Daily Los Angeles herald. [microfilm reel] (Los Angeles [Calif.]) 1876-1884, 1878-04-13


Government.
WASHINGTON, April 9th.-The
Union and Central Pacific Roads
met with crushing defeat to-day
In the passage of the Judiciary
Funding bill by vote of two to
one, and q defeat of Blaine's amend
ment by IS to 20. These votes are
decisive, as the House will unques-
tionably pass the bill and probably
by two-thirds vote. The House
Committee on Pacific Railroads
agreed to-day to report favorably a
bill identical with the bill passed
by the Senate. Debate has been so
long-it has lasted four weeks-that
its close was tedious in the extreme,
and the only sign of interest GEN.
tered about the lobby, which was
active and hopeful to the lasts
Gould was to be seen everywhere,
and at one time actually establish
ed himself in the Presidents room
with. his lawyers. Towards the
close of the session he appeared on
q top seat in the gallery, and when
test motion to adjourn was de-
feated he picked up his hat and dis
appeared. Huntington was around
all day, but he is always much less
active than little Gould, and
showed his disappointment less
keenly than his associate. On the
decisive vote rejecting Blaine's
amendment Booth and Grover
voted in the negative, Sargent and
Mitchell in the affirmative, and
Jones, of Nevada, though about the
chamber, did not vote on any i'm
portant roll-call. Chaffee was
pared in favor of the amendment
and Teller voted for it. The same
votes were cast on the bill.
THE BILL
Provides that the Union Pacific
and Central Pacific Railroad
Companies shall pay into the
Treasury of the United States, in
addition to the amount earned by
the roads In Government transport
tation, a sum not to exceed, for the
former Company $150,000, and for
the latter, 100000 per year. The
Government has heretofore re-
tanned rail- Of the Governments
earnings, although oue-half of
them has been due to the Compa-
MES. The objections made to the
bill were not as to the amount to
be paid into the Sinking Fund, but
to other sections of the bill, includ-
ing the declaration of the right to
amend, alter or repeal the bill
should it become law. Senator
Thurman, in his remerks to-day,
explained the sections in a manner
which deprived them to some ex-
tent of the Objectionable features.
The amount due the Companies
hereafter from the Government for
transportation and other services
which has heretofore been held in
the United States Treasury without
benefit or interest to the Compa-
MES, will, Immediately on the bill
becoming law, bear compound
interest as part of the Sinking
Fund, and to be placed to the credit
of the two Companies.
PROCEEDINGS IN DETAIL
WASHINGTON, April 9th.-Jn the
Senate to-day consideration of the
Railway Funding bill was resumed
and Edmunds spoke in favor of the
Judiciary Committee measure. He
dissented entirely with Matthews
and Hill as to the unconstitutional.
fty of the proposed legislation. II
the corporations should succeed in
breaking down legislation at this
time, it might be that the time
- Ia A,
people would be heard and affairs
placed in the hands of impartial
men. The provision for the pay
ment of the obligations of corpora
tions was purely an administrative
act, and required different applica-
ton from time to time as circum-
stances changed, as new roads were
built, as new men came into the
directory, or as stock was run up or
down by bulls or bears. Yet it was
proposed 10 tie the hands
of this sovereign adminis-
trative power behind its back for
twenty-five years, nearly an entire
generation. He did not think the
gentleman from Maine (Blaine)
would, upon reflection, think this
was an entirely safe mode of
procedure. He said that it
might happen that the stock should
pass into the hands of foreign hold
ers, who might bedevil the roads
and bring about state of things
where there would be no net earn
ings. The interest on the first mort
gage bonds would not be paid, and
oil rpntI ll nn 10 In
the Senator from Maine, in the in
nocence of his nature, supposing
everybody to be as honest as him.
self, would fold his hands and allow
himself to be put in a bag and
placed in the custody fof
the Union Pacific Railroad,
Thurman proceeded to close the
debate. He said that the bill was
not framed on the idea embraced
In Blaine's amendment. That
amendment proposed TO make q
law that should stand for twenty
years, and it proposed to go farther
and surrender the power to alter,
amend or repeal. For many years
the roads had sought this surren-
der, but this was the first time such
a proposition had been made by
Senator on this floor or Repre-
sentative in the House of Repre-
sentatives. If the roads could OBJ
tain this surrender they would give
much more than the sum named in
the amendment. A reservation
was put in the bill to retain for the
Government control over all con-
tracts with these corporations.
Sooner than see it abandoned he
would see the bill sunk to the
depths of the sea.
Blaine's amendment was then
voted upon and lost-ayes 90, noes
Thurman's amendment, provid-
ing for the Endorsement OF sinking
fund bonds by the Secretary of the
Treasury, was then adopted.
Sargent and Chaffee stating that