The San Francisco call., 1895-05-19
VALLEY ROAD TRUSTEES,
They Meet and Effect a Per-
manent Organization for
Business.
THOMAS BROWN IS CHAIRMAN.
Their Duty VIII Be to Preserve
the Valley Railway for
Competition.

The board of trustees of the San Fran.
cisco and San Joaquin Valley Railway
Company effected permanent organiza-
ton yesterday.
At a meeting held by the board at 1O
A. NJ. in the railway offices, 321 Market
street, the representative men comprising
that important body selected their officers
and talked over many matters connected
with organization.
The full board was present, Adolph B.
Spreckels, Lowell White, Daniel Never.
James Cross, Thomas Brown, James D..
Phelan, G. de Guigne, o. D. Baldwin and
+. w. Van Sicklen appearing on the scene
early and participating in the deliberations
of the board.
After some preliminary conversation
Thomas Brown of the Bank of California
was elected president, Lowell White vice.
president, James D. Phelan secretary and
Daniel Meyer assistant secretary.
Ihe burden of the debate was general
review of the situation and the work to be
performed by them, as well as conscien-
tlous consideration of their duties as trus-
tees OF the Valley Railway enterprise. The
bylaws OF the corporation were discussed
informally, and the secretary was in
structed to send copy of them to each
trustee, so that the members may be
familiar with the laws and regulations
when the time comes for formal discus
sion.
A meeting will be held by the trustees
next Tuesday morning, and now that
they nave 1ully organized and perfected
all preliminary arrangements they intend
to enter on their duties at this session.
No doubt they will bring to their task
quite as much enthusiasm and vigor as
has characterized the efforts of the direc-
tors.
The stock trust was formed on April 5
last for the purpose of insuring the per-
manence OF reduced rates, and also of com
petition through the Valley Railroad. With
nine such men to control the stock there
can be no possibility of a designing capi-
tallst IN the nature of a railway opponent
buying blocks of Valley road stock, and
thereby securing dominion of the enter
prise.
In the pooling agreement there occurs
the following preamble, which fully ex-
plains the Importance and necessity for
the stock trust:
AND WHEREAS, The rates of charge for the
transportation of the crops and products of this
State, from the interior to the seaboard and of
merchandise from the seaboard to the interior
OF the state, have hitherto been excessive, op-
presslve TO the people of the State, and de-
structtve to its industry and commerce, and all
the parties hereto that have become subscrib-
ers to the stock of the San Francisco and San
Joaquin Valley Railroad Company have sub
scribed therefore and undertaken the construc-
tion OF said railway, for the purpose of effect
ing permanent reduction in the cost of trans
portation between the City and port of San
francisco and the great interior valley of the
State, by the construction and operation of said
road as competitive means of transportation
between said points; and the said parties re-
cognizing that in order to insure the mainte-
nance OF such reduction of transportation rates
as tho fixed policy of the said company, and to
insure the permanence of its competition, the
voting power of the stock must be confded to
nine trustees, who shall by its exercise in the
choice of directors and otherwis Use, effect those
purposes.
The agreement has covenant that the
trustees shall not vote stock for the bene-
fit of any competing railway corporation
nor lease or consolidate the road with any
company owning or operating parallel
lines. SO for ten years at least the integ-
rity of the San Francisco and San joaquin
Valley Railroad shall be preserved, and ac-
cording to law there can be no coalition
with the Southern Pacific Company.