Perrysburg journal. (Perrysburg, Wood Co., O. [Ohio]) 186?-1965, 1879-01-10


highest standards were.
The road ls reported literally equipped
with rolling stock. The company seems TO be
pursuing systematic and sufficiently liberal
policy OF renewing It's bridges, and the road
bed, although, as whole, not vet brought up
to the proper standard of excellence, is be-
ing rapidly improved, and the completion of
needed improvements will be a simple and in
expensive matter.
However it might be II the road were com
pleted and brought up throughout to first
class standard, It is obvious the percentage of
operating expenses to earnings is now smaller
than it should be. The policy Of the com pany
should be public-spirited policy. The com
muntv has the right TO expect that in its
commercial relations strict business principles
should be tempered with liberality Itwoud
not seem, therefore, unreasonable to ask the de-
velopment Of the country, and easy and even
economical exchange Of traffic should be con-
sidered by those invested with the manage
ment, as well as the strict business view of
the largest profit. In any event IL is clearly
the mission of those representing the Nation
al Government in the Union Pacific direction
If, indeed, they have any mission, to develop
the principle of public responsibility, and
keep it continually in the minds of those more
Immediately interested with the management.
The business policy of the corporation should
be large and liberal-minded, above all a policy
which seeks so far as circumstances will per-
init, TO avoid all determinations, and to deal
reasonably and equitably both with other
roads and differently circumstanced indivldu-
ais and communities. ...
All things considered, It's tariffs, though
high in comparison with those on some trunk
lines of the east, are lower than the average
in no respect appear eXtortionate These
tariffs which were practically put in the trans
continental business of the country, were de-
vised by two freight agents, never before be-
ing publicly announced or submitted for con-
ai1praTinn IN the pYPQnfiVp QOmmiitpn or
directors, and were finally put in force to the
utter surprise of the public, by the verbal al-
thority, SO far as can be ascertained, of the
president and single director
The through business over the Union
Pacific is mainly done by large houses. They
have special contracts covering it at less than
published tariff rates, and these lack that
element of publicity which will always re-
main one real safeguard against discrimina-
tions. . . .."
By the act of May 7, 1878, commonly known
as the "Pacific Railroads Funding Bill, "
the Government would seem to have
given its formal approval to the present
business policies of both these corporations
by insisting on having share OF their re-
suits. In the report which accompanied
that act the Senate Judiciary Committee
very distinctly rests it on the large net earn
ings of the roads to which it applies and ex-
presses the opinion that these earnings p" will
be largely increased in the future;" and again
that they " in the future will not be less than
they were in the FIVE years Of 1S72-6n Those
net earnings in part we're, however, and ii
maintained they will in future continue to be,
the direct result of that policy on the part OF
those managing the Union Pacific which the
directors, in this report, have felt II
their duty to criticise. The directors
have already intimated their belief that
the percentage of net earnings (ffty'
eight per cent? returned by the Union Pa
cihc during the last five years is cOnsidera-
bly, larger than it should have been. The
adoption by the company of liberal policy
as respects renewals and local business devel
opments would unquestiOnably, for some
years to come, decrease that percentage. The
Government should, however, for obvious
reasons, exert all its influence to that end.
Meanwhile, the legislation referred to would
seem to sanction wholly different policy, in
| the unnaturally large results of which il il
proposed to secure its fair share to the Ma
| tional Treasury. The Government becomes
| in short, one of the principal benetciaries
from the system of railroad management
which is to say, at least in some respects, un
| lust, in some respects, harsh, and in nearly al
| respects iliberal to its own citizens. While
| the Government occupies this position, II
would seem difficult for those who represent
it more Immediately In the direction of thu
! company to exercise any considerable infu
| ence in favor of policy more liberal but less
| Immediately profitable.
| The course of the company in its business
policy toward the public Is, in some respects
| considered open to much adverse criticism oI
| the ground of illiberality, but nevertheless
present tariffs do not appear to be extortion
ate. The directors, in their report, think thu
enactment of the recent funding act has haC
direct tendency to retard at present tn
adoption of more liberal but less immediate
ly profitable policy by the company the Gov
ernment having thus become one OF the prin
cipal benefciaries in the present system o
management by exacting large proportion
of the proceeds. They report that a con
solidation of the Union Pacific with its con
Meeting branch lines is not now desirable II
public interests, but they recommended tina
companies be compelled to submit their differ
ences on the subject of "pro rating" to de
cision of some impartial board of arbitratort
In conclusion the directors indorse the rt
commentator of Secretary Schurz for legis
lation, which shall enable the Government t
cede to the railway company all sections q
grazing or desert lands on one side of the roa
and receive from it all similar sections on tn
other, in order that each party may dispose c
the land in large tracts, in which alone the
are desirable or susceptible of profitable us
| hy purchasers,