Sacramento daily record-union. [volume] (Sacramento [Calif.]) 1875-1891, 1881-02-11
RAILROAD commIssIoNERs' REPORT
OFFICE OF TIE RoARr OF RAILROAD


COMMISSIONERS OF THE STATE OF CALiFoRNIA,
SAN Francisco, February 4, 1881.
To His EXcellency George c. Perkins, Governor,
etc-Sir: We respectfully submit the following as
our first report a elaborate and detailed
account Of work is rendered impossible for
the present by reason of illness resulting from
attempted assassination on the night of December
IL 1880, of one of the Commissioners, causing an
unavoidable delay in action upon important busi.
ness before the Board, and as 4 necessary conse.
quence limiting the amount Of work done.
The powers granted the Board are extraordinary
in range and novel in composition The Constitu-
ton divides the State Government into three co ordi
nate departments the Legislative, Executive and
Judicial-and inhbits persons charged with the
| exercise of powers belonging TO one OF these de-
partments from the exercise of any func-
tions appertaining to either of the others,
thus dividing the powers duties and responsibilities
The Railroad Commission is made an exception in
this general apportionment of the powers and obi
cations of government, neither constituted SO as to
belong to be under the direct control OF either
of the enumerated departments, yet granted powers
IN their nature appertailIing TO ali three-yested
with the power of originating arbitrary rates for
carriage of passengers and freight the power to e.
tablish tariffs ba ed such rates and the power to
determine infractions and cause punishment for yo-
lations of orders, With jurisdiction thus extended
it is not matter of surprise to encounter from
tain quarters clamor for hasty, ineonsiderate ac-
ton biased demand for execution OF authority
at random. Were ii compatible with an honorable
and intelligent discharge Of our official duties to at
duties of the Board would be the opposite of onerouS
but reason and justice alike dictate that the
tions OF this Board be governed by a
desire to do right that its decisions
be the result OF investigation and thorough
understanding Of the subjects passed upon. Ca
price and prejudice will but coUfound, never solve
the transportation problem. The requirement OF the
knowledge necessary for rational action in matter
so complex and intricate is not the labor of hour
or a day, or any fixed period comes not by intui
ton, but only through patient investigation and
study. The State, in assuming the supervision and
control Of railroads and other methods OF Transports
tion when the property Of private persons corpo
rations, does under the plea Of necessary regula
ton to sustain this plea and not transcend its
scope, State interference under it must not become
confscat;on and spoliaiOn, but limit itself to what
on investigation appears as just and reasonable reg
ulation The difficulties attending Just and eff
cent administration OF our office need but mention
to be appreciated Our office and its duties is
We are without precedent to guide Sister States
and foreign countries have labored for years to
solve the railroad problem, and to this day
their actions have been experimental. While the
efforts OF others for period OF forty years
valuable aids they are far from infallible guides
The transportation problem in each State and
country is a matter peculiar TO that State and
country In the exercise Of its authority the Board
must assume control over property whose ownership
is private. The employment of private property in
the various methods of transporting passengers and
freight does not OF itself divert private ownership in
the thing so employed, and thereby constitute it
quite extent that railroads built owned and
operated by private corporations nevertheless
public property, and this in unqualified sense
Were this true, would be free Of the main diff
culties surrounding work. However much the
orists may declaim and loose construction
lists argue, the fact remains that railroads
owned and operated by private corpora
tions private property, and this, though
subject to State supervision and control. Among
the number Of circumstances to be considered in
determining the status OF railroad ownership in this
State, but one needs mention. Does the property
IN railroads in this State pay taxes TO the State
etc? Does property owned by the State pay taxes
To whom is the property in railroads assessed?
There cannot be correct understanding of the
position this Board occupies until the idea
that the railroads, as constituted in California are
public property, is thrown aside as false Were the
railroads in this STATE public property our duties
would be most easy and pleasant. 1t would be the
case OF management of property by its owner,
whereas under existing circumstances t,is the man
agement of the property Of others. An unpreiu-
diced admission of the true condition OF affairs in
this connection in wise jeopardiZe or even in
the slightest euIta the right of the State to change
existing property rights in and to railroads,
and to make them public property, but
this change has not been effected and
therefore is not the of the present super
vision and control The Hon. J. S. Black, in let
ter to the Committee on Railroad Transportation of
the New York Chamber of Commerce, dated No
vember 16, 1880, uses the following language
" Most Of our Western roads were built with the
proceeds of public lands granted mediately i'm
medisteiy by the United States to the several com.
panies which now have them in charge They did
| not really cost the stockholders anything and in
| some cases they got lands worth great deal more
than all expenses of making, stocking and running
che roads Nevertheless, think the claims
Of these campans 10 take re1s onab'e tolls s4-7,9
u9on the same foundation as that Of conf 4.ll, ;