Sacramento daily record-union. [volume] (Sacramento [Calif.]) 1875-1891, 1889-10-16
THE PACIFIC ROADS.
Matters for the Consideration of the
United State Senate Committee.

Matters for the Consideration of the
United State Senate Committee.
TSan Francisco Alta, October 18th
The Senate committee which has under
consideration the adjustment of the debt of
the Union and Central Pacific railways to
the Federal Government, does well in WIS.,
iting the region upon the resources of which
that debt rests as mortgage. Discussion
of the matter has heretofore proceeded as
if the obligation were upon the individuals
composing the two corporations which
operate the indebted lines. 1t is said,
"They are rich, they gained in fortune bg
building the roads, and the Government
should deal with them accordingly 1t
may be said also, that thousands of indi-
viduals owning property or prosecuting en-
terprises upon the wide area which the
roads opened to improved transportation
had their fortunes favorably affected
thereby. And it may be added that the in
crease in American commerce during the
twenty-one years since these roads were
first operated has helped to enrich the Fed
eral treasury to an amount larger than the
present volume of the joint debt, by the
import duties on merchandise, which, ex-
cept for the roads. would not have been
diverted from its European channels. But
neither of these obvious facts changes the
situation at all. Theroads have no sorcery
by which to pay their fixed charges, their
bond interest their stock dividends and
their debt to the Government. The money
to do all this must be earned By their bust
ness. 1t must come out of their charges
for transporting to market the products of
the country through which they run. The
committee, by the time it reaches San
Francisco, will have seen that country,
from the Missouri river to the Pacific ocean.
We venture to say that there is not on
the continent stretch of 1900 miles that
upon its face seems for the most part less
promising of tonnage for a railway, or a
railway that has within its territory less
population per mile. Especially is this
true of that part of the road between Ogden
and this city. The land grant through
Utah and Nevada presents but few features
tempting to the husbandman, and even the
herdsman and shepherd find it a difficult
region. But out of it and California must
come the revenue to pay the debt to the
Government. The request for lower inter-
est and longer time does not interest the
corporations as much as it does the people.
1t is matter of great importance to Ne
vada whether her share of it shall be paid
by $4,000 people. confined to the present
resources of that State, or whether it shall
be borne by ten times as many engaged in
agriculture, upon twenty times the area at
present devoted to that pursuit, and main
tanned by irrigation made possible by the
proper storage of water that is now wasted.
1t makes great difference also to Califor-
mia whether her share shall be extracted
from the present development of her re-
sources, grand and impressive as that is, or
whether our people shall get from the Gov
fHof axrfa ,o,O 1ax
asked, that the burden may lie upon ten
acres where it now lies upon one, and be
on the shoulders of three men to one that
will be CALLED by it now. The people of
Illinois have enjoyed, and still enjoy, the
benefits, distributed to every taxpayer, of
the great grant given to the State as trustee,
to build the first railroad. For thirty-nine
years the people of Iowa have had repeated
extensions of the grant to that State as
trustees for the development of its trans
portation system. The Federal Govern
ment did not tie string to 1t to pull it
back. The States trusteeship was respected
until the last available section that could
coax the laying of a rail had been utilized.
There the railroads and the people both
ate their cake and kept it. The Federal
bounty given in lands 10 build roads in
those two States alone to. day exceeds
in value the total OF lands and bonds given
to the pioneer Pacific roads, and nobody
has wanted any of it back, and no extension
of it has been refused.
The case of the Pacific railroad debts is
the case of the people, the products of
whose labor must pay the Government
debt. There ale periodical fiurries of in
vestigstion of these roads, but these inves-
legations, whether judicial or legislative,
whether in earnest and of proper motive
or for political purposes can have no bear
ing upon the primary fact that the tribu-
tary country must pay the debt, and its
people have not done anything in the
premises to incur investigation. They are
at work, each in his calling. The roads
are necessity to the prosperity of all, and
all are necessary to the prosperity of the
roads. The Government has. within
twenty-five months, paid about SAC, 900 600
in premiums TO the holders of It's imma-
tured bonds, as an inducement to surrender
them When it is in the market paying
premiums on its own paper, it would seem
to be able to grant lower interest and longer
time to the people of the mountains and
deserts west of the Missouri river in which
to pay it back q sum not greatly larger
than the premiums it has just paid to its
bondholders.