St. Paul daily globe., 1893-03-30
FREIGHT-RATE PROBLEM.
The Tawney Bill Expected 30 Offer
a Solution.

Solution.
Senator Tawney's bill was warmly
greeted-the bill to encourage the I'M
provement of waterways and canals. II
is Senate File 35j, authorizing municipal
corporations to issue bonds in similar
way to the method of Issuing bonds to
encourage railroad construction. Sen
ator Tawney elaborated upon the
project, claiming that the development
of canals and waterways to compete
with railway transportation will solve
the freight-rate problem by providing
direct and formidable competition.
Mr.. Donnelly said that for twenty
five years he had been urging the con-
struction of a canal from Taylor's Falls
to Duluth. The river could be readily
made navigable to TaylOr'S Falls, and
for about 100 miles north of that point
the ST. CrOiX river could be cleared OF
logs and rocks and made nayigable for
large-slZed canal boats; and this wonld
leave a little more than fifty miles OF
canal TO build over a swampy country,
amply supplied with water on the
watershed. The construction of such
work would unite the Mississippi
valley system with the Great Lakes,
and create unbroKen water connection
from the Gulf of Mexico, by way of Du-
luth. to the Atlantic ocean. Every
river town of Minnesota would have a
cheap outlet for its grain and meats to
Chicago, Buffalo, New York and
Europe. The Mississippi valley was
the greatest body of arabic land on the
planet, and it was simply impossible to
anticipate its tremendous productive
capacity.
lie believed the state should yet
take hold of this great work; toll
could be put on the freight that would
pay the interest and principal of the
bonds. Ii would be simply be loan
of credit. 1t was in vain to look to con-
gress, for the railroad corporations
would fight any such project. He did
did not advocate such canal in any
spirit of hostility to the railroads, but
thought the people ought to have the
benefit OF the competition between
these two modes of transportation.
Senator March had a kind word for
the project. and he saw great good that
can result in the event that cities i'm
prove the opportunities presented.
Senator McHale thought an additional
safeguard should be thrown around the
operation of the act. 1t provides that
the bonds may be voted by majority
only, and he asked Senator TaWney if
be would be willing to so amend that it
would require 90 per cent of the voters
voting. Senator Tawney did object.
he cited the oft-repeated fact that too
many inducements cannot be offered to
capital to come to Minnesota for invest
ment. Not only this. but there will al
ways be found old fogy and non-prugreS-
siye citizens who will oppose such i'm
pr0vements because they cost something.
Besides these, the railroads VIII wage
relentless warfare on such projects
because of the competition than viii ell
sue. Waterways companies will natur-
ally have to come from the East with
foreign capital TO encompass the objects
in view. Senator Stevens gave weight
to Senator McHale'S suggestion, but
he had confidence in the action of a
majority Cf the electors in any city that
has not exceeded its limitation of
bonded Indebtedness. He dilated upon
the astonishing reductions that have
been made in freight rates the past ten
years. and predicted that the day is not
far distant when a much greater revolu-
ton will b9 effected, and navigation
will prove the key. The bill was passed,
d to 2.