Wheeling register. [volume] (Wheeling, W. Va.) 1878-1935, 1891-05-02
PLANS DISCUSSED
FOR THE PROPOSED WHEELING & C0NNgLLS-
WILLIE RAILROAD
At JOINT Meeting Of Committees Of tie IaOr-
pOratOrs and the Board Of County Com
missonsrs, Last Night.

A committee Of the incOrporatOrS OF
the proposed Wheeling and ConnellSyille
Railroad, met with a committee OF the
Board of Commissioners of Ohio county
in the Office of the latter last night, and
had an informal discussion relative TO
the subscription which is asked of the
county. The discussion was participa
ted in by all the gentlemen present, land
much valuable information was secured
which will aid the members of the
Board in reaching a decision on the
proposition Of the railroad people.
President Cruise and Messrs. Hall, Blay-
ney, McGregor and Mckinley, Of the
Board, were present, and w. p. Hub
bard, Judge r. II. Cochran, Frank
Hearne and Geo Wise represented the
incorporators OF the road. Attorney J.
D. Ewing and Prosecuting Attorney
Howard were also present for the coun-
ty.
The proposition Of the incorporators
of the road, as brought out in the dis
cussion, may be outlined, briefly, as fol-
lows: 1t is proposed to build 4 road
from Wheeling to the ConnellSyllle coke
region, upon route not yet selected.
Four different surveys have been made,
and one or two more will probably be
added before decision is made.
The road will eventually be the con-
Meeting link on a through trunk line
from New York city to Chicago which
would be 100 miles shorter than the
Pennsylvania route. The cost OF con-
struction TO Connellsville would be
about So, 900, 600. Ohio county will be
asked to issue bonds to the amount OF
$500, ,O00 and the proceeds OF these
bonds be turned over to the railroad
company. In payment therefor, the
company proposes TO issue second mort
gage traffic bonds, which the county
will receive as explained in Thursdays
REGISTER. The rate of interest on
these traffic bonds will be the same as
the county pays upon the bonds issued
by it, so that in the event of the road
being operated upon paying basis
from the start, the interest paid by the
county upon its loans, will be offset by
the interest received upon the traffic
bonds.
Judge Cochran explained that the
county was not asked to subscribe to
the capital stock, but was to act as the
company'S banker-to advance loan OF
$500, 900, so that the incorporators could
go to Eastern capitalists backed by a lib
eral subscription from Ohio county, and
with the additional strong argument OF
A c..aranteed traffic business Of s., 5,000,-
600 from merchants and manufacturers,
who would utilize the bonds held by
Ohio county, upon basis OF ten per
cent. of the aforesaid business, payable
in freight . The incorporatorS did not
intend to take stock in the road; they
felt that their interests were Identical
with those of the county. The scheme
originated with local manufacturers,
who pay freight rate on coke from
Connellsvile of S1.35, while the rate to
Pittsburg is but 70 cents. 1t is the de-
sire of the incorporators to secure the
Pittsburg rate for local manufacturers.
Wheeling wholesale houses would also
be benefited. Tariffs are higher be-
tween this city and Washington, Pa,
that from that city to New York.
The question arose as TO what induce
ment would be held to the manufac-
turers to purchase the traffic bonds, and
it was suggested that since they were TO
be greatly benefited by the road, they
could easily be induced to pledge them
selves TO use the bonds in part payment
of freight charges. President Cruise
called attention to the fact that the
county would be virtually borrowing to
its limit, 81 900, 900, its present indebt-
edness being $3.50, 900. Mr.. Hearne re-
piled by saying that great deal OF
what is counted among the liabilities Of
the county are really assets, giving as
an example the p, w. & KY. r. R.
stock
"Do the railroad people offer any Sc
curity for the payment Of the traffic
bonds held by the county, in the con-
tingency of foreclosure by the holders
of first mortgage bonds, and default Of
payment?" asked a member Of the
Board.
Judge Cochran replied that, in that
event the bonds would be practically
worthless, but he did not anticipate any
such proceeding. 1t was impossible to
raise money among Eastern capitalists
except upon the terms proposed. Mr..
Hearne thought it was not likely that
the holders of the first mortgage bonds
would foreclose, ,.for the $4,000 annual
interest, and crowd out the county.
After a full and free discussion the
conference adjourned, to meet again
next Monday evening, when Mr.. Lynch
will be present, and the incorporatorS
expect to have formulated full outline
OF their plans