Morning journal and courier. [volume] (New Haven [Conn.]) 1848-1894, 1885-03-04
Railroad Prosperity.
rE-oy,, tba Hartford Co,,rant


The increase in the value of railroad prop
erty in this State aud its effects upon great
variety of other interests furnishes an in
structive lesson in a State policy which en-
courages and fosters well established enter
prises; and most striking illustration of the
benefits of good management and Of the adj
vantages derived from liberal State policy
is furnished in the history and present con-
dition of the Consolidated road. This road,
like all other early railway enterprises, had
hard struggle, and many early investors in
it lost heavily, but it built up supporting
highway of its own; and what it has done in
Connecticut for the growth of cities and
towns along its line from New York to Mas
saehusetts is almost beyond computation by
any ordinary estimate of the value of its ser
vice, as applied to the development of the
material resources of the State. It's main
artery has created and practically sustained
the whole railway system of Connecticut,
which to-day brings all parts of the State
within easy communication. People have
lived long enough to see that the evils of
consolidation which were predicted when the
two lines of this road were united were more
imaginary than real. A better service has
come out of it in all respects. And ~.
:, =, ,...nst the extension OF
ling power of the road over others
, are dying out, as the people living on the
Shore Line, Air Line, and Connecticut Val
ley routes give thei- testimony to the better
and speedier facilities they enjoy with less
hazard than before.
The State will not consciously do anything
to cripple the management Of This or any
other road. 1t cannot afford to do SO. This
road alone is a valuable contributor directly
to the financial support of the State 1t paid
into the treasury last year $187, 404. 35, while
its contributory lines paid $72, $50 more
This is an important part of the entire reve
nue. of the State; it is three-ffth of what al
the towns in the State pay On. their grand
list. Tf one should count ali the auxiliary
benefits to the State going out of taxation
levied upon property created by the estab
lishment of single line of road, saying moth
ing of the value of railroad real estate taxed
IN the towns, an enormous aggregate would
| be furnished
Aside from what the State. gets the indi
vidual benefits in the State are vast. The
| holding of individual stockholders are worth
eight millions, one hundred and thirty-seve1
| thousand five hundred dollars ($8, 1877, 50O
The market value of the stock calling it S175
though it sold at auction at $17911 in New
York on Saturday. of the Consolidated road
owned in Connecticut to-day is eleven mil
lions, six hundred and sixty-six thousand
dollars III 1866, 000). On the basis of the sale
just quoted these figures would be increased
s308, 40. Of an aggregate of six hundred
and sixty-tnree thousand, two hundred dol
lars (S663, 300 paid annually in dividends il
Connecticut, four hundred and sixty-ive
thousand dollars 1886, O00) goes into individ
ual hands. This stock is scattered in al
least eighty towns of the State, and about
one million dollars OF. it, at par
is held by executors, trustees, guardians
ETC., who. could realize from it to-day at least
81, 100000. The fire insurance companies OF
the State have 1915, 500 of assets in the
stock and the life insurance companies have
$421 ,975 more. We have taken no account
in these figures of any stock except that Of
the New York, New Haven and Hartford
road proper.
Without calling special attention to the
distribution of the stock it would hardly be
thought that many interests in the State
could be affected by it, and affected in vari-
ETY. of ways. The lowering of single "point'
in the market value of the stock from the
present quotation ($175) makes a difference
with Connecticut holders of $3.50, $780, and
even the slightest huctuation touches SEN
sitive nerve somewhere. Anything that
might have tendency to permanently impair
the value of stock would be & calamity to
great multitudes of people, SO vast are the
ramiications of the stock distribution in
Connecticut. It is not speculative stock
like that of the New York Central road for
example. IF there should happen in Con-
necticut such disaster to the stock
of the Consolidated road as has hap
pened to the stock of the New York
Central, through fuinotis competition
brought about by rival enterprises whose
time had not yet come, bnt which was push
ed by speculators to sell, the Connecticut
stockholders would have to pocket loss of
over two millions and half of dollarsl
The hearing the other day at the Capitol
on bill to reduce railroad fares showed that
there is too much triaing with railroad in
terests by men who apparently think little
advantage from personal notoriety can be
gained by fathering schemes of special leg
islation. There has been no call
whatever for reduction of rail-
way fares-certainly none for the grading
of fares for all the future on the amount of
dividends declared by the railroads in 1884!
If there was any one subject about which the
people were not bothering themselves it was
that of fares ON railroads. Butin comes Mr.. Col
yer, of Darien, with bill and as soon as he has
introduced it he sends to every town in the
State blank petitions, with request to have
them signed and sent to him. and this is called
public sentiment backing the BILL" In
this case, perhaps, no great harm is done,
but 1t shows a loose regard for important in
terests. Such things are not alone an annoy
ance to railroad officials; they disturb invest
ors, and may cause alarm, besides giving
encouragement to an unreasoning prejudice
against well conducted corporations.
The State should of course, see that those
who enjoy the valuable franchises it grants
dealing with the public justly, and
SHOnid hold them TO accountability for
the faithful performance of all their duties.
Having done this it should protect its own,
and give all the vitality it can, by encourag-
ing legislation, to every enterprise which adds
to the wealth and prosperity of the common
wealth.