The herald., 1896-04-21
Progress and Prospects of the
Valley Road
NOT AFRAID OF A RATE WAR
A Supreme Court Decision on Taxing
Railroad Lands
naycr Sutfo Decides to Bc,rd the Congress
In Its Den and Oppose the
Funding Bill
Assoc,oted Press special Wire.

Associated Press SpeC1dl w lTc
SAN FRANCISCO. April 20. - Con-
struction work on the San Joaquin val
lev rairoad Is progressing so rapidly that
the directors expect the new line to be
in operation as far as Merced on May
31st NEXT.
The question the directors will decide
at their meeting tOnorraw oAw,thin
the next week or two is whether or no.
they shall put on freight and passenger
trains from stockton to Merced. So,'e
of the directors do not think 1t advisable
to establish any regular train service
until the line has been completed 10
FRESNO. That will be next August.
Other directors favor freight service
to Aferced as soon as the line from
stockton reaches that point. None of
the directors, however, favor q passen-
ger service until chnection shall nave
been made with Fresno. These differ
Aifces Of opinion in the directorate nave
been referred to Traffic Manager Moss
for a final decision on his return from
his present trip through the valley.
It is said that Mr.. Moss is not In favor
Of putting on passenger trains until
Fresno Is reached. He favors moving
freight trains between Stockton and
1ferced as soon as the road shall enter
the latter city. In discussing rates to-
day Vice. President Watt said:
Our stock-pool agreement provides
to yield per cent annually on the cash
stock subscriptions of $c,444, 45O. after
paying current expenses. l think this
Arrangement insures low traffic. The
Valley line will represent an honest
financial outlay, both as to the cost of
its construction and equipment. 1t will
not have any bond or stock imitation,
and, therefore. will be in position to
fulfill the expectation of the public of
givin sreasonable rates and still make
an honest return on the Investment /
am not in a position now to say what
rates will be made. We have employed
Mr.. Moss to assist us in performing that
interesting duty. He is now gathering
data for that purpose. After we have
made our rates the Southern Pacific
may see fit to cut under our tariffs and
make up what it may lose in fighting us
in other parts of the state.
''All can say is that if it declares
rate war an us we will meet its figures
and be in a position to hold on rown
against it,
A CASE DECIDED.
WASHINGTON. April 30 - Justice
Brown delivered the opinion of the su-
preme court today in the case uf the
Central Pacific Railway company vs.
the State of Nevada. involving the right
of the state to tax the lands of the rail-
road company.
The state courts held that the state
was entitled to levy taxes upon patented
lands and also for lands which had not
been patented. but which had been sur
veyed and on which the cost Of survey
ing had not been paid
Judge Browns opinion affirms this de-
cision If" he said, "the railroads had
possessory claim to the lands, they are
taxable under the statute Of Nevada. -
The cases involving the Mormon
church property which was confiscated
under the Edmunds act. were sent back
tHHhe supreme court of Utah for final
diseggal In conformity with the joint
resoraHPHSef congress approved March
2Gtn last. festoaing this property to the
church. The decision qE t12scourt below
was reversed for this,hHE64a
SCTRO WILL LOBBY, TOO.
SAN FRANCISCO. April 2O.-Mavor
eutro today was granted permission by
tne board of supervisors to be absent
from the city and state for sixty days.
1t Is understood that the mayor NAV
spend a portion of his vacation in Wash
1ngton, doing waht he can to prevent
the passage by congress of the Central
Pacinc refunding bill. The mayor be-
Aeves that his presence in the national
capital Will be of great assistance to the
opponents of the funding hill, and he has
been making arrangements during the
past rev days for the journey.
BICYCLES AS BAGGAGE.
ALBANY, N. ", April 2O.-Gov. Nor
ton tonight signed the bill of Mr.. Arm
strong, compelling railroad compa MES
to carry bicycles as baggage free of
eharge.