The true northerner. [volume] (Paw Paw, Mich.) 1855-1920, 1878-04-26

enforcement OF the law by the Government, can
protect the public against the love OF gain which IL
The truth il recognized by the bill Of the Texas
and Pacific Company reported by the majority OF
the committee, and stringent provisions therein
made TO hold that corporation within the
bounds Of justice and law; vey unusual safeguards
being provided for In consideration OF the fact that
the Government itself really required by the bill
10 furnish the means necessary 10 build the road
aud give TO the projectors an additional bonus Of
s6O,Oo0,O00. Restrictions and conditions In char
ter can be enforced by the machinery Of the law
against one corporation AZ well - another.
WILL THE SOUTHERN PACIFIC COMPANY BUILD The
ROAD?
We submit that II will work great wrong to the
Southern Pacific Railroad Corporation to the great
South and Southwest, and to the whole country, TO
reject this bill aud TO enact the bill recommended
by the majority OF the committee In the interest OF
the Texas and Ps,ihc Company, or to reject this
bill under any circumstances. This measure does
not antagonize nor did the Southern Pacific rail-
road antagonize before us any railroad project,
branch. or connection east Of the Rio Grande.
IL simply asks to build 900 miles OF railroad, half
way from the Colorado to Fort Worth, the present
westerly terminus Of the Texas and Pacific Com
pany, and ninety additional miles In California, TO
complete the Ban Diego connection, without any
public aid and subject to all reasonable restrictions
In sne public interest. True, II desires the land
grant, but we do not recommend IL, because we be-
leve that this corporation wu build the road with
out.
Should the representatives. Of that portion of the
country chiefly to be benefited, not by the subsidy,
but by the road, defeat this measure, IL IN dfcult
for us TO see how they can reasonably expect the
rest OF the country to consent to burden the tax
payer and embarass our policy with the most dam
gerous precedent, which would exhaust the treasury
with hundreds OF subsidies throughout the unlimit-
ed future Of the nation.
1t would seem impossible for any man TO justify
himself to his constituency and to his country ut
large In a course which depetes the treasury when
all that is desired Is attainable without expense to
the people.
vIrws or Mrssps rurrnrrr AND nrIrp
Both the act and its amendments required as a
condition precedent that the work should be prose-
cuted simultaneously from the eastern and western
termini. by the of 1872 there were required to
be completed not less than 200 miles on the main
line in Texas and not less than 10 miles in Califor
mia by May 2, 1878, Whereas in fact less than 200
miles of the main line have been completed westerly
from the Marshall terminus in Texas, and not one
mile even foot, from San Diego eastery. There
has been marked failure on the part OF the COM
pany to comply with the terms on which the lands
and franchises were granted. This contingency OF
failure was, by the caution of Congress, foreseen
and provided for in both acts. proviso that
"Upon failure to 40 complete IL, Congress may
adopt such measures as il may deem necessary and
proper to secure its speedy completion"
In this attitude OF affairs 1t represents that 1t
would be great hardship to be compelled to watt
indefinitely upon disabled company for u connect
ing road from the East and asks OF us the privilege
of continuing it's road eastward through the Terri
tories to the Rio Grande and much farther
might be necessary to meet the Texas roads within
six years. Such Is the desire for outlet to the
Last, WHICH fnhu ADMIT partclpAtOn III tnrOuHn
overland traffic, that it offers that If its request be
granted to construct line to San Diego harbor In
addition to its present ocean termn and to prorate
on through business with all Eastern connections
to San Francisco or other points, and to allow Co n
gress to impose the rates and fares the line be-
tween its Eastern and Western termini at Pacific
ports, although asking no aid of the United States
which it Is not its advantage for Congress to grant
This is rather more than IL is within the power Of
the other company to offer. No good and satisfao-
tory reason is found why this proposition should
not be DrOmDtlV and cleerfully acCpDtAd
FROM A BUSINESS STANDPOINT.
Two propositions are before us looking 10 that
end. One of them, the Texas and Pacific, seeks TO
retain Its land grant from the United States,
amounting to $4,000 900 acres to obtain two years
additional time, and special and extraordinary
grant OF the credit Of the nation in the form of an
Endorsement upon S3s, 100000 Of the companys
bonds pledens it to the payment OF per cent gold
The other, the Southern Pacific asks only our
sanction to continue its road eastward across the
Territories within the same time, but without any
other or further assistance than the contiguous
grant OF lands now at the disposal OF Congress.
Which Of these two propositions az GU ardians Of
the public interest can we adopt? Which Of these
two candidates, rs practical business men, ought
we TO intrust with this undertaking? We should
select the proposition most favorable to the good of
the people. 1t would seem that by the charter the
grant of land along the thirtysecond parallel line
In the Territories was made double thar OF the po-
neer line by the forty-nrst parallel as if in lieu Of
future aid In money or credit.
Were we administering our own private business
could we for moment hesitate between these Of
fers, Of which, besides being undeserved favor
involves grave responsibilities, dangerous precedent
and great risks, while the other avoids all commit
ments, all doubtful policy and insures all its prof
fered benefits within the same time without the
risk OF dollar Of the peoples money credit7
We conceive We are not here the amoners OF the
bounty OF the Government to its citizens corpora
tons, but "a guardians of the public welfare and
trustees OF its property and credit of the nation,
sworn to obey the constitution and protect the hes.
interests Of the people, and in this view cannot
concur In the report Of the majority, which pro-
poses to grant a subsidy guaranty OF $685. $50 900
OF the peoples money or credit to corporation.
AsrI-sUBsIDY VIEWS OF MR.. MORRISON.
The Texas and Pacific Railroad Company seek to
obtain the guarantee of the United States for the
payment Of the interest on $3S 900 of fty-year
per cent bonds, to be issued by said railroad
pany, and used by ii in building and extending its
railroad from Fort Worth in Texas, to the Pacific
ocean at San Diego, In California. The road to be
constructed is 1400 miles in ength; the bonds to be
issued amount to $27678 per mile and the interest
guaranteed to be paid by the United States, used
a sinking fund, and invested in Government bonds
bearing the same rate of interest would pay $780,,
OeOOOO Of the public debt.
POWER CONGRESS DOUBTFUL.
Has Congress the power to authorize the coveted |
guarantee? II it has, then power has been con- |
ferred upon Congress TO make gifts Of the public |
moneys and public property to private corporations
and individuals. Has any such power been granted |
by the constitution, IL necessary to the execu-
ton OF any power that II is granted7
Ihis railroad, when built, will be the private |
property OF the shareholders. II will be a military |
ana post-road in the same sense. and to the same |
extent, and none other, that all other railroads OF
the country over which the Government may trans
port Its mails, troops or supplies for reasonable
are military and post-roads. II is
submitted that the power has not been conferred
upon Congress to make The United States a party
N such an enterprise by subscription to its capital
stock or more, to authorize the construction Of
The road ont Of the of the people to be
made gift to the railroad company.
The attempt IN deriva tha -
stdbltsh military and post roads, is in the opinion
u the undersigned, an attempt to prevent the OBJ
1ous purpose OF power intended for the public
Iood to private ends The United States are
,ound to provide for the general defense, but 1t
ioes not follow that they may construct operate
railroad for the exclusive benefit of = private cor
'oratiop, because they may ultimately and in some
possible contingency want 10 IL for a military |
,urpose any more than they may go into partner
llip with stock raiser because horses are neces-
airy In war. The United States have power 10 reg
late foreign commerce and commerce between the
'taies but II does not follow that they may indorse
he notes OF shipbuilder or merchant by way of
and encouraging business. The I'M
ersigned IL unable to perceive any distinction in
rinciple between these cases and the demand Of
he projectors OF this railroad for loan Of the
rnment credit to the extent Of many millions, with
Which to prosecute private speculation.
DANGER OF SUBSIDIES.
The railroad company which asks for this en- |
rmous appropriation Of credit presents no claim |
lpon the public which entities IL to exemption |
rom the general rule. The enterprise In essen |