Sacramento daily record-union. [volume] (Sacramento [Calif.]) 1875-1891, 1883-02-05
HE RAILROAD coEsoLIDATIos ALARM
THE TRUTH OF THE MATTER.

representation by demagogues, whose sols
aim is TO pose in effective attitudes before
the public. Mere vehemence they mistake
for righteous zeal denunciation displaces
reason, and resonant harangues take the
place of argumentasive force. These men
have found little to do since the opening
of the session but to aim their venom.
GUS darts at the transportation com.
oauies of the State, with a view of Grip
ping these important industries if possi-
BILE, that they may erect themselves upon
their ruins and draw prosperity from ad-
versity. It is impossible for the conscien-
tieus and honest to remain passive in the
face of the error that is now being dissent
mated. The thinking masses of the people
will penetrate the thin DISCUSSES i'll conceal
ing this latest effort to retard the growth
OF the State and paralyze the means put
forward TO bring her products closer to the
best market.
Let the general reader examine into the
truth Of the situation in plain and simple
English and divested of all entangling
sophistriea, and judge if there is any cause
whatever, outside the realm of ignorance
and hatred, forthe latest intolerant crusade,
which. if successful, must go far toward
the re.ardation Of CALIFORNIA; beat inter
esss.
A Southern Pacific Railroad line has
been constructed, connecting the two great
oceans by the shortest, speediest and al
together most desirable transcontinental
route on American soil It is admitted on
all sides to be line of the highest i'm
portance to the State, as tending toward
the speedy development of her resources,
the peopling of her territory, and the dis.
posal of her products in the best markets
of the world.
The union has been made by the joinder
of six roads as links of a continuous chain,
built, owned and operated by six separate
corporations organized under the laws of
nearly as many distinct jurisdictions, State
and Territorial.
1t now requires six distinct and wholly
compliments of officers and
men to operate this link-like line
six managers with corps of assistants, six
superintendent, six distinct and adequate
mechanical departments, six purchasing
agents. six corps of legal advisers, and SO
on through all the long list OF factors necss-
sary to the operation of well ordered lines
of railway.
In the interest of an economy that must
be reflected in the tariff of rates, it is de-
sirable TO have this new line from ocean to
gulf operated as one continuous line, with
one management. enc set of officials, etc.
Unless this can be accomplished there must
be continued pro rata division between
the six roads. This is the mora difficult
since the terminal sections, which are sit
uated where there is greater density of
have the greatest amount of
local traffic, and the owners Of the other
and intermediate sections desire that these
local advantages shall be reflected to their
interest in the pro rata for services.
The value Of the new line to this State
resides in its ability to compete with ocean
transportation lines. If successful, it re-
suits in the direct benefit to the people
that flows from rapid transit at the lowest
attainable rate to the best market. It hiss
been aolemnly promulgated by body of
Ssn Francisco merchants that this has
already been accomplished, and that rates
are now SO reduced that commerce is no
longer bound to the keeIs of the ocean car.
riers. This, it will be clear to the lowest
intelligence, is to the benefit of all pro-
ducers seeking distant market, and of all
consumers demanding remote supplies-in
short, the competitive relation outlined is
constant guarantee for low rates.
a bill is pending in Congress to permit
the merger of the corporate powers of the
six lines referred to under one control, to
secure, as an economic arrangement, one
continuous line under one management,
because of the established fact, that not
even the most pronounced railroad haters
will be bold enough to deny, that long
line under one control may, mile for mile
proportionately, be operated more cheaply
than several short divisions on a continu-
GUS route of equal length, because there is
in the former case but one margin of loss
on fixed expenses, but in the latter there
are many margins.
The bill declares that the new corpora
tion may become she legal successor Of the
old, and shall be recognized as such. But
it is objected that there is an ulterior OBJ
ject, to wit, to insure the transfer of the
land grant of the Texas Pacific Railroad TO
the Southern Pacific Railroad.
The land grant to the Texas Pacific road
has lapSed, while the Act very properly
and plainly provides that nothing in the
bill shall be SO construed as to affect any
grant of land, the section reading:
And provided further, That nothing in this Act
shall be SO construed as to confirm or in anywise
effect any grant of land to any railroad company.
When this proposition of merger is made,
which is SO clearly in the interest of the peo-
pie, some one springs to his feet in the Legis-
lature, and, with the usual quantum of de.
mandatory and untrue preamble, offers a
resolution memorializing Congress not to
permit this just communication, On the
ground that it will exempt the new cor
poration from the regulative control
claimed and exercised by the State OF Cali
fOrnia. Now this must proceed upon the
theory that California has the right to reg
ulate transportation only on the lines
owned by corporations organized under
and by virtue Of its laws.
It follows without saying, tGen, that
lines of railway extending into, or to be
extended into this State by corporations
organized under the laws of other States,
cannot be regulated by California as to
transportation.