Sacramento daily record-union. [volume] (Sacramento [Calif.]) 1875-1891, 1888-03-31
road passes, upon communities at points where
there Is no com NOT itiOD

road passes, upon communities at points where
there is no competition.
THE SECURITY.
| Senator Dawes-What is the security you will
| give us if we will do thiR
Mr.. Haymond-Just one moment. and then
will tell you. Under this plan which suggest
here, not the plan of the railroad company, be-
cause the Government ought to suggest this, ]
propose to give the United States every dollar
that is due them. Let the Government o,
The United States borrow the money IA pay
this debt at the lowest rate ii can get We kn".
u can be done at "a per cent, and possio y "a
}.et them, instead of putting he burden
upon few communities living al0rI. the Cen
trail Pacific, distribute the bur6s ON New
Orleans to Ogden and down aad bring it
nearly as possible back to where the United
States started in. You ask me what Sc
curity would give, Iwould make very simple
Act, and would say if tn Central Pacific shall
assent to this within ninety days, VIXEN il does
assent to this Act that assent should constitute
ated.
Commissioner Littler-Would it not require
the assent of the Southern Pacific?
Mr.. Haymond-Of course that might be had.
Inc southern Pacific already guarantees and
does pay over S4OOO,OO0 year for it.
MODIFICATION OF THE LEASE.
Commissioner Littler-would it not also re-
quire modification of that lease?
MT. Raymond No doubt the lease would be
modified. All these are matters of details.
senator Dawes-fou propose the obligation of
the entire SYSTEM
Mr.. Raymond As security on all the prop
erty which the Central Pacific owns do not
know whether the engineer included our termi-
nal grounds; he says this property is worth
sllO,O00,OOO say the prospective value of the
roads IN the San joaquin and Sacramento valleys
exceed that. He says they are worth that and
90 not think he has included the terminal
grounds at all In San Francisco and in Oakland,
which are very valuable, We are not occupy
ing them. and they would not naturally come
before him.
Senator Hiscock-Under this proposition you
abandon these counter claims?
Mr. Haymond-No; would not do that, nor
do we want you to ask us to do it. / am glad
you suggested that. II has been said that these
men have not acted fairly with the United
States.
The Chairman-Does not Mr.. Patterson make
them out a parcel of thieves
Mr. Haymond-Oh YES If YOU tell your Office
boy to look over the files of newspapers for the
last twenty or thirty years and patch together
all the things he can find-from the result you
could make up such a report
The Chairman-You deny any wrong doing
Mr.. Haymond-Why, certainly Mr.. Littler
will bear me out that in the main it is so. had
forgotten what you gentlemen have 10 do, and
expected to come here and argue and present
the matter to you just as would to a chancellor
and bring up the testimony on each point, but
that Is impossible. 1t is impossible for you to
hear me. would pass that bill separately. l
am speaking now for myself, and l may be lit
tie dogmatical at times. but il is my way and
mean no offenss. would pass another one COW
ering all these iniquities.
THE cohIPANY's PLEDGE
Senator Dawes-Under your proposition does
promise?
Mr.. Haymond-No; they would perhaps not
do anything more, because they would not want
TO cucumber their property.
Senator Hiscock-The Southern Pacific?
Mr.. Haymond-The Southern Pacific / would
have them indorse it just as the lease now
stands. They agree to pay the interest. This
would be soon cleared of. Ample security
would be given, because all of the property
of the Central Pacific would be mortgaged and
the security would be ample. In other words,
would propose to take the whole property of the
Central Pacific, cleared of every lien, and to
make this mortgage date back to the date of the
acceptance, so that no other lien could be put
on it. OF course these little matters of detail |
do not go into, nor have thought about them.
1t IS simple enough to do it when the Central,
as it is now termed, is in the hands of both.
THE SOUTHERN PACIFIC LEASE
regard it as very important to the United
States that the lease of the Central to the South
ern Pacific should stand in its main features
My suggestion is simply this without going into
the details of how it would be worked out,
knowing it could and would be- that YOU take
the first lien on the road
Senator Dawes-Will you be kind enough to
show US on the map just what line you refer to?
Mr.. Hammond-From point FIVE miles west
of Ogden to Sacramento; from Sacramento to
Francisco or Roseville Junction TO the Oregon
line, and our terminal facilities, lands etc.,
in San Francisco
Senator Dawes-We would have bottom
mortgage on that?
Mr.. Haymond-You would have bottom
mortgage on that.
Senator Hiscock = That is only about 900
miles?
Mr.. Haymond-It is more than that about
1900 miles.
LINES THE LIEN WOULD COVER.
Senator Hiscock-Eight hundred miles of the
original line, and how long is that road that
runs up to Oregon?
Mr.. Raymond About 800 miles from Rose
vile.
Senator Dawes-Who owns the line to Yuma?
Mr.. Haymond-The Southern Pacific, except
this portion Qndicated). l cannot state exactly
the number of miles of the road the lien would
cover, but think about 1900. have. may it
please the committee, but one or two ques ions
to discuss the principal one the cost of the con-
struction of the Central Pacific road and the
nature of the obstacles its projectors had to
overcome. l desire TO show you clearly that
the methods pursued by the Directors of
only right, but were the only methods which
could have succeeded. l desire to say few
words as to the reports before you, and to show
you toat it goes to the extent, and even beyond
what the Government ought in common justice
to ask. desire to say something as TO the
duties of this company which have already
been recognized by Congress, but the hour is
near wnen you session for to-day must close and
must leave these matters for consideration at
your next meeting. Approaching as do the
other calls that are made upon your time, ! can
rjghtfully do no less than to thank you for the
patience and kindness which for two days you
have listened to me.