The herald., 1895-03-24
TALKED WITH THE GOVERNOR
Valley Railroad Men Make a Trip to
Sacramento
One or Two Trust Features in the Contract
Cause the Railroad Projectors Some
Worry

SAN FRANCISCO, March o3-John D.
Spreckels, 4. Z. Preston and Engineer
Storey of the Valley road went up to Sac
ramento today prepared to meet the Gov
ernor and the Harbor Commissioners and
new road desires in the way OF terminal
facilities on the water front.
1t transpires that the trust compact,
which was approved by the board of
directors last week, had one or two feat
ures in it which were a source of good
deal of worry to the projectors. That
feature which caused them the most
trouble was regarding the extent of the
powers with which the trustees to be
{. @ted should be endowed
lhe question of making it fat
trust was at first considered, but an i'm
portant objection to this was pointed out.
'.In such an event. said Isaac L pham
today "the trustees would have absolute
and unlimited power for the whole term
of their office. There would be no going
behind any action they saw tit to take.
Now, wea do not for moment suppose
that such an emergency would arise, but
still the fact remalns that there would be
nothing to hinGef the trustees from prac
tically turning the road over to any an
tagonistic element. 1t was to guard
against any such contingency that we
made the trustees subject to three
fourths vote of the stockholders.
By the terms of the pooling trust it re-
quires that proportion of the stockholders
to break the trust or go behind the action
OF the trustees. 1t was matter OF much
consideration, this question of the exact
proportion OF stockholders which should
be required to accomplish such purpose.
Several of the directors thought two
thirds vote would be sufficient, but the
present form was adopted because it was
4 ! Il
retention OF the road in the capacity of a
competing line. This is the bulls eye at
which all features of the trust fund are
aimed and an unanimity of feeling on the
point mentioned was secured.
President Spreckels has named Wednes-
day, April Sd, at ? O'Clock as the
date, and the Merchants Exchange build
ing, rooms OF the Chamber of Commerce,
as the place for holding the meeting OF
the stockholders for the purpose OF elect
ing trustees and adopting the pooling
trust.
Isaac Upham said that the new road
ought to be finished and in operation be-
fore the expiration of year.
Governor Budd stated this evening that
the lease;as framed by Attorney Preston,
was in the main satisfactory TO him and
he thought it would be to the people.
lone of the reasons why | do not want
to sign it for week., " he said sis that
have plenty OF time to look 1T over and
think about it. Another reason is
of the state to read and study it,
Somebody may discover bug in it and
if there is one | want to know what it is,
and SO do the other gentlemen on the
board with me. | understand from En-
gincer Holmes that instead of the state
losing any water front, in reality it will be
gamer by 800 feet, besides all the fees
tolls, wharfage and dockage collected
from it. -
J. d. Spreckels expresses satisfaction
with the result of the conference.
The suspicion, he said. that there
is any intention of combining with the
Southern Pacific has no foundation. The
stockholders have entered into an agree
ment to pool their stock with the trustees
for term of years. 1t will be impossible
for any combination to get control of it, -
Mr. Spreckels and Attorney Preston will
go TO the city in the morning.