The Daily Texarkanian., 1894-07-16
THE PACIFIC RAILWAYS.
Congress to Pass a Measure Protecting
Government Interest
Therein.


Therein.
Second only to that felt in the
result of tariff conference, is the in
terest felt by national legislators in
the final action of the House COM
mittee on Pacific railways Nor
is this interest confined toWashing-
ton, for the people of the entire
country are anxious to see decisive
action taken for protection of Gov
eminent interests, the most popu
lar plan, and that which we, with
many others, would gladly see adj
opted, would be immediate fore
closure of mortgage Indebtedness,
with the government as purchaser
to operate, lease or sell as may be
deemed most advisable. Concern
ing the committees action in the
premises a.Saturday's dispatch, from
Washington says:
BY a meeting which lasted all day
the House committee on Pacific
railways was able today to finish
the problem which it had up
throughout the session, and to
reach a practical agreement on a
plan for the settlement OF the
debts of the Central and
Union Pacific railways, The
bill, which will be reported to the
House will be the main features of
one introduced by Chairman Kelley
with some important amendments
for the second draft of it. The
time for settlement of the debt to
to the government is fixed at fifty
years semi-annual payments in
liquidation of it to be made Inter
est is to be at the rate of 3 per cent
per annum.
The principle amendments agreed
to today were in the direction of
making iron clad the governments
hold upon the property and insur-
lug it from losing any of its rights
by the new arrangements; also in
obliterating the provisions for a
purchasing committee in case the
property should change hands, the
committee, not deeming it best to
anticipate such a contingency. Ac-
cording to the plan the first mort
cages, amounting to $65, 900, 600,
will be paid as they mature, clear
ing the property Of debts on which
it is paying 6 per cent; the sinking
fund, now amounting to $18, 600, 600,
will be devoted to paying the first
mortgage. The governments lien,
which will become the first lien UNI
der the plan, will draw interest at
3 per cent, the principal being paid
in graduated semi-annual pay
ments throughout period of fifty
years.
Propositions were made during
the discussion to have this period
reduced to forty years, but it was
concluded that in the present con-
dition of the roads they could not
not be expected to meet such re-
quirements. The period of fifty
years is a reduction to one-half Of
the time originally proposed in the
bill.
One member of the committee
made a stand for government own
ership, taking the position held by
the California members of Congress
Mcguire and Geary. His views did
not gain the support which they
might have won if it had seemed
clear that the railroads would be-
come paying property in the hands
Of the government. Even had that
been the prospect most of the com
mitteemen expressed themselves as
opposed to government ownership
on general principles Under the
bill, however, the government will
foreclose if the corporations fail to
meet their payments.
The amended bill will be printed
and submitted to the committee
early in the week when a formal
vote will be taken. The Senate
committee of which Senator Brice
is chairman, has held no meeting
lately and it is understood to have
been waiting for the House COM
mittee to take the iniative and
frame bill which it can pass,