Eureka daily sentinel. [volume] (Eureka, Nev.) 1871-1887, 1878-03-13
GOVERNMENT SUBSIDIES.

GOVERNMENT SUBSIDIES.
Referring to the Texas and Pacific
Railway, in a late article, we stated that
the company who propose to build this
great thoroughfare from the Mississippi
to the Pacific, asked only the good will
of the Government to enable them to
complete the work already begun.
This Is really so. While the company
ask the Government to guarantee the
interest not the principal of their
construction bonds, they propose to
cover the risk four or five times; first,
by the proceeds Of the sale Of their
lands, of which they hold large guam
tity, donated by Texas; second, by a
first lien on all their property and
franchises; third, the net earnings of
the road; fourth, the transportation Of
troops, stores, Indian supplies, mails
and Geographic service; and fifth, by
the deposit of s. 1000 per mile of bonds
for each computed mile of road, to be
sold al any time to meet any possible
delay or deficiency in paying their in
terest. The fourth item alone, calcu-
lating from the amount paid the pres
ent line for similar service. would meet
the demand, especially if we take into
account the large saving that would be
made in the cos Of border protection.
The road, in this way, would keep the
Government all the time in its debt,
and the four other items would be still
left to fall back upon.
Does this look like subsidy? The
fact is, the people get a little crazed and
bewildered about this fearful word sub
sidy. Abused, it is the source of fraud
and corruption. Properly applied, its
influence is most beneficial. It is SIM
ply taking some of the money paid by
the people and giving it back to them
in a shape to accomplish the most
good. Every letter and paper we re-
ceiye from the Postofice come to US
cheaply on account of a Government
subsidy. The postage from many
States and Territories pay less than
half the expense Of supplying postal
facilities; yet no one abuses the Gov
eminent for not charging twenty-five
cents postage on every letter, and in
like proportion for newspapers. 1t is
senseless to rant over the abuse of a
policy. when proper application is full
Of blessings.
But in the matter of q Southwestern
Pacific railroad there GENES up a spe-
oious, seductive and most deceptive
scheme, 10 the form of a forced subsi
dy obtained from the Government and
its people. The Central Pacific, with
Its Southern prolongation to Yuma on
the Colorado, has received Govern
ment aid in bonds or land to the
amount of 500, 900 900; and as it has
q perfect monopoly of traffic to the
Pacific coast, takes annually from the
people seven or eight millions in the
shape of exorbitant charges. Then it
compels the people to pay several mil
Ions annually on its bonded obliga-
tons. Here are two forced subsidies
amounting to at least $40, 900, 900 a year;
and now this company comes gracious
~ forward, and with a smile of peculiar
benevolence, offers to build the road
through Arizona and New Mexico,
without any aid except a few million
acres of land in the rich mineral dis
tricts of these territories. This almost
equals the generosity Of the thief who
stole a blind mans horse and wagon,
and afterwards, without revealing him
self, offered the poor fellow a ten mile
ride at half price. Where the company
will fall short of the highwayman's
generosity is in the fact that if it builds
the road out of money forced from the
people, it will charge them double in
stead of half price for transportation.
The object of this movement is to pre-
vent the Texas and Pacific being con
structed as a competing line, and then
to extend East the Southern Pacific of
California, thus doubling and perpetu-
ating the curse of a monopoly already
too grievous to be borne.
THE TWO.FOOr GAUGE.
A standard or broad gauge railroad