Deseret evening news. [volume] (Great Salt Lake City [Utah]) 1867-1920, 1893-02-20
A RAILWAY AT STAKE.
Jbs San Francisco and Grsat Salt
Lake Read.
TRAFFIC ASSOCIATIONS MISTAKE.
Imnortant iii Before the Leglsla'
ture.-Iloprs Of lis
Passage.

article ~ C1pItu HV" WV $3.50 =
cisco Chronicle Of the l7th inst. For
some time little has been said OF
written OF the San Francisco ana
Great Salt Lake railroad.
lite sponsors, however, have not been
idle. On the contrary they nave
been engaged In an effort to secure inc
only means to build 1t or any other
tranpco rood to this city.
As the law now stands no railroad
Incorporated In this state, that IL TO
say, having its headquarters In Cai-
ifornia, can he consolidated with n
railroad in any other state. a ROAD
built In another state, and having its
headquarters there can, however, De
consolidated with railroad company
iu this state. The Southern Paoiiic
company Of Kentucky ia an iIlnstra'
ton OF this latter condition. All Its roads
I'm this state are consolidated M one
company, and rs whple was leased to
tho Southern Pacific company Of
Kentucky.
At first sight 1, may not be apparent
why this condition Of the law should
interfere with the building OF a trans
continental limo from or to San Fran
cisco. When the Central Pacific road
was built 1t had right OF way gladly
accorded, millions Of acres Of land and
any amount Of money, and there were
no such difficulties Of incorpors'
ton "a beset any proposed road nova
days.
The San Francisco and Great Salt
Lake, us the law now stands, must be
composed OF three distinct companies
II the road be built 10 Salt Lake. There
would have to be company head
quarters, resident directors, etc., In
this state, "a second Incorporation, batch
OF resident directors in Nevada and a
third In Utah. Even this might be
managed, but when II came to floating
the bonds Of the different companies,
secured by real estate, etc., In the states
and territory in which the companies
were incorporated, no one would
want the Nevada or Utah lands
with the security that state or
territory could offer, and any one
WHO uO ~ Mbhlh OtiN w
too glad TO obtain the bonds OF the Cal
iiornia incorporation. II IL therefore
evident that under such condi.
tions 1t would be impossible to build
trans. continental road into or out Of
this state having this city as It's head
quarters and 80 having the power 10
dictate the prices at which California
products could be carried to the mar.
kets OF the world by connection at
Salt Lake with the lines running east.
Yet II IL lust In this very particular
that competition Is needed and this Ia
the reason why competing line
should be built.
The directors and attorneys OF the
Great Salt Lake railroad, recognizing
this difficulty OF the law, went very
quietly TO work and drafted ian act to
provide for ths consolidation OF fail-
road corporations organized under the
laws OF the state OF California with
railroad corporations organized under
the laws OF any other state or terri.
tory or bOth.v This document is now
known IN Senate bill 800. 1t was In
troduced simultaneously In the assem-.
bly, by Shanahan aud In the Senate by
MCGOWAN and then, thanks to the
careful laying Of the plans beforehand,
1t went TO the judiciary committee OF
each House, from which 1t has been
favorably reported upon. The refer
ence was not made to the Senate com |
niltee on Corporations rs that would |
have simply meant Its death at the |
hands OF the Southern Pacific COM |
pany, and for that reason, too, the |
facts about the introduction OF the bill |
were kept a closely guarded secret.
Just as everything began to wear |
very hopeful aspect dash OF cold |
water was thrown upon the plan by |
the very people VINO are banded In this |
city to promote anything and every |
thing which will relieve the state from |
The expressions incidental TO the lack |
Of q competing road. The Traffic nsso. |
citation has been led into misappre- |
henslon OF the objects OF the bill, and |
acting under this apprehension, now |
frankly admitted by majority OF the |
executive committee, Issued n circular |
and directed Its immediate transmits. |
BiOn to the senators and members OF |
the assembly. The gist OF the circular |
Is that Sin the Judgment OF the execu.
tive committee, senate bill 800, now |
peudiDg In the legislature, II u most |
Objectionable measure; that its effect |
would DO to permit the consolidation |
OF the Southern Pacific system with |
the Southern Pacific OF Arizona, the |
Southern Pacific OF New Mexico anu |
The eastern extension thereof under |
tue ownership OF u single gigantic cor
lOIation OF unlimited capital anu end
less duration, exempt from all the
restrictions on the abuse OF corporate
privileges imposed by our statutes ana
10 no way amenable To the laws Of Cali.
iCrhia or even OF the United States. To
ass such law would be to abdlcate
forever the sovereignty Of the state over
tllroad corp fations OF iis own crea
ZION and leave the people OF Cnlifornis,
VINO lepenu upon them for transporta.
Non, NJ the mercy OF CORPORATION
WIN powers Unrestricted by any pres.
ent and incapable OF restriction by any
ulufe legislation anu OF an organlza.
non totally ot variance with our con.
tlllution and laws"
me directors OF the San Francisco |
anu Great Salt Lake road turned 10
meif attorneys, CARRIER, Roalt Il Bishop, |
anu hsked them specific answers TO the |
questions:
would Senate bill 500 permit tho crea.
an i corporation exempt from all or |
~ vi we restrictions or the abuse Of |
,Ivrne privileges imposed by the |
aules OF this state, aud in no way |
snv1nhDle To tho laws OF California, or oil |
'hs United Sta o,Y -
nould the effect Of such law be TO |
unulcale the sovereignty OF the state over |
IA i'nau corporations OF its own creation |
rn ,u ,saNe me people Of California at the |