Sacramento daily record-union. [volume] (Sacramento [Calif.]) 1875-1891, 1883-03-14
RAILROAD COMMISSIONERS.
Testimony Concerning the Southern Pa
cific Railroad.

GAN FRAACIsCO, March 18Th. ~ At the
meeting of the BoaTd of Railroad Comuis-
sloners to-day all the members were present.
Jhe hearing of the case Of Richards L Har.
Fison Va. the Central Pacific Railroad Com-
pany was set for hearing tomorrow morning.
hr. FOote presented complaints feceivsd
from 8. B. McCrosky, of Hollster, alleging
excessive rates charged upon the Southern
Pacific Railroad. Also an anonymous com.
plsint from Salinas City. It states that the
fare from San Francisoo to Monterey. round
trip, is So. A single ticket TO Castrovilie. Is
miles nearer to San Franoigeo is S3 80, or 81
round trip. The fare to Salinas, nine miles
south Of Csstroville and the same distance
from San Francisco ss Monterey is So 30, a
discrimination or difference of 81 between
Csstroville and Salinas although the price Of
single tiokst between these two points is
but 70 cents.
Among those present wers Chas. Crocker,
Judge Sanderson, 7, II. Goodman snd Frank
5. Douty. The latter being sUorn presented
an answer to the question asked by Mr. Foote
at the last meeting concerning the exact cost
Of the Southern Pacific road TO the Western
Development Company. MIR. D0nty's answer
being from the records was that tho average
cost per mile of this road, from point near
Sumner 60 San Fernando, from Goshen TO
Huron, snd from Spadra TO the bank of the
Colorado river, was S29, 562 Oh, or for 404 81
ceived bonds and stock Of $72. 600 per mile,
or 500, 153, 520. This was tho cost of the main
contract. One mile alone Of the rosd-the
part near the San Fernando tunnel--cost
about 81, 500, 600.
MIR. Foote propouuaed further questions to
witness, and asked if the witness knew what
had finally become of the stock and ths bouds
of the Western Development Company.
The question was objected to by s. w. SAM
deraon, upon the ground that il was inmate
rial TO the information desired.
Mr.. Croker sustained Judge Sanderson's
point. He said he thought it should be first
found if tho bonds Of the road were actually
worth more than S29, 900 or the cost per mile.
Ii it could be shown that the road might have
gone upon the market and disposed of it's
bonds for mere than the actual cost, then
the question, be thought, would be relevant.
MIR. Foote insisted upon an answer to his
question, and in reply Mr. Crocker spoke at
some length, referring TO the great benefit
Of this roso to the State, and that ne thought
10 i'll became people to question the minor
workings Of tie construction OF tne road.
1t was completed at great risk, and never
would have paid a cent il it had not been
pushed through aud connected with the
South. The people now ought not TO COM
plain bs ssie, if the company or capitalists
made q little money out OF railroads.
Mr.. Carpenter decided that the question Of
the final disposition of the bonds referred to
was matter, as he thought, wholly outside
Of the requirements Of the Board. What be-
came of them cannot effect the deliberations
of the Commissioners.
Mr.. Foote opposed the Chairman's decision
and pressed his question.
Mr.. Crocker said that he from the first had
wished to have the Board and the public IN.
derstand that be had nothing 60 conceal con-
cernipg his methods of building railroads. IF
the company at that time had sold the bonds
they would only have received IL per cent.
This road has been carried all along, and ia
now only beginning to pay.
The Board sustained mr. Ssnderson's OBJ.
lection, Humphrey and Carpenter voting aye
and Foote no.
Mr.. Foote erdeayored to get the same
question answered through another form, but
it was ruled out like its predecessor He thsn
explained st length what hs desired by the
point raised.
Mr.. Crocker replied to Mr.. Foote, stating
that if outside interests entirely had been
considered in the construction Of the roads
across the desert, if outside men-men not
citizens Of the Stste-had built these rosds,
then nothing would have bean said; but siuce
| few individual citizens of the State Of Cali
f0rnia had staked their all and built these
roads, it is 8 crime. "Yes. sir, repeat it, a
crime % OF course the railroads chespened
rates of transportation. It reduced them 100
per cent.-50 per cent. / meas-one-hslf.
| The roads have cheapened the rates and
built up the country. Why, even the mer-
chants of this city, iu public meeting, said
that the railroad rates vera being rsducad to
such figure that it would not pay to run
ships in opposition.
Being questioned by Mr.. Foote, Mr..
Crocker stated that S51, 600, 600 Of the stock
and bonds of the Southern Pacific Railroad
had been paid to contractors.
Mr.. FoOte asked if any Of tho stock of the
Central Pacific Railroad had been given by
the Contract and Finance Company TO
Messrs. Stanford, Huntington, Hopkins or
Crocker
Judge Sanderson objected to the question
on the ground of irreleVancy. The objection
was sustained by the affirmative votes of
Commissioners Carpenter and Humphreys.
Mr.. Crocker stated that all the stock he
had received had been obtained honestly and
fairly.
Judge Sanderson spoke concerning the cen.
struction of the Southern Pacific Railroad,
and the small amount thst had been received
by the company in payment. The Acts of
Congress authorizing the construction of the
Southern Pacific Railroad south to the Colo
rado river from San Francisco, and connect
ing with the Texas Pacific at that point, and
the construction of tho Atlantic and Pacific
oAsI lEOul bIVJaNo, anu connecting AE the
Needles with westward-bound end of the
same line, had both been passed az the same
time. The Texas PeciGc contract was not
completed, and the Southern Pacific Railroad
having built to the Colorado river, was Obliged
to p1sh the line through in ordsr TO protect
that portion Of the line already built. He
referred to the many difficulties experienced
by the projectors of the road. It was built
during war times.
nv CrOo6or
son'a statement interruptingiy by saying:
why, cir. We had to pap S37, coo for one
locomotive"
u. I'll. Miller, Secretary Of the Central Pa
cihc Railroad Company, was then sworn. and
in answer to questions by Mr. Foote, stated
that he never had had any connection with
the Contract and Finance Company, He be-
lieyed the statement of General Manager
TowEe-that the cost OF the Central Pacific
Railroad was S13S, 0O0 0O0--ysaa correct. The
cost in bonds, exclusive Of all stock, was
S73.00O,000. The company PAYS dividends
when it can on about $50, 000, Oo0 Of stock.
Mr. Foote inquired Of the witness as to
what disposition had been made Of gil the
stock Of the road, and whether it had bsen
paid exclusively to the Directors Of the Con-
tract snd Finance Company, and to this ques-
tion judge Sauderson objected. He said this
was merely former question repeated, and
that Mr. Foote, chameleon-Iike, constantly
changed his colors.
Mr.. Miller said hs thought Msssrs. Stan
ford, Crocker, Huntington and Hopkins had,
in former times, held majority of the stock,
aud that these gentlemen now held a nsjor.
ity ef the stock. Subsequently, however, he
said he was not certain as 60 the latter part
of his statement.
MIR. Foote said he had not yet the informa-
ton desired concerning tho. Contract and
Finance Company. and it was decided to
| summon Mr.. Brown, former Secretary, now
in the employ of the G. P. r. r. Hs will be
asked to be present at o meeting next Mon
day morning.
The Board then adjourned to meet Thurs
day morning at IL O'Clock.
THE PROFIT ON Does.-We keep horses,
cattle, sheep and hogs because they aid us
in securing the necessaries and luxnries Of
life. The dog crop is never mentioned