New-York tribune., 1897-02-06
RAILROAD CONFISCATION.

No state IN tne Union owes more OF us pros
perty to the railroads which traverse and inter
sect it than Kansas. And no State is so much
Indebted for It's railroads to outside capital. The
citizens of Kansas have very little capital in
vested in railroad property in the state. 1t IS
probably for this reason that they are so willing
and even anxious to regulate fares and freights
upon basis that will put upon the stockholders
of the roads the burden Of furnishing transporta-
tion for Kansas citizens and their products with
out compensation or profit They reason that
low fares and freights are for the advantage of
citizens and the disadvantage Of no one except
outside capitalists, who really have no rights
that Kansas citizens or the Kansas Legislature
are bound TO respect. From the time OF the
inception OF the first railroad enterprise in the
State. which was undertaken by Eastern capital
lists with the aid of a Government subsidy and
land grant, no Kansas capital amounting TO any,
thing has been invested In railroad building in
the State. Through lines have been constructed
and branch lines built in answer to the demands
Of people who would not put their own money
into such enterprises because they saw larger
profits in land specuations which the railroad
extensions made successful. The era Of land
speculatons having come TO an end. the farmers
who have bought agricultural lands at high
prices and mortgaged them at fancy valuations
instead Of their actual worth have turned upon
the lenders of money because they want their
interest paid, and upon the railroad corporations
because they look for reasonable returns upon
their investments The mortgages are protect
ed by the Constitution of the United States, but
the restless citizens of Kansas think they can
reach the railroads by State legislation.
Hence tie present Legislature has under con-
sideraton a bill establishing maximum freight
rates, the effect OF which will be- while securing
cheap transportation for the Kansas people TO
cut entirely away all profit on the business and
reduce the railroad companies to bankruptcy and
ruin. In memorial addressed to the Legislat-
ure President Ripley Of the Santa Fe road shows
that for fifteen years, covering the period Of de-
preston and decline in all values. the freight
rates Of that road have been scaled down until
the company Is barely able to operate its prop
erty with profit on only part of the vast ex-
penditure of money spent in Its building and
equipment. He shows, further that out of every
dollar his road earns in Kansas it pays back at
once for labor about seventy cents, and eight
cents more for taxes. out Of S1,S00,000 net
earnings for 1895 in Kansas, he says, $500, 900
was paid for Kansas taxes. And he very peril
nently inquiries, What other business or industry
in Kansas was taxed A per cent Of It's income?
The answer to this, Of course is that so long
as not a cent Of It comes directly or indirectly
out Of Kansas citizens, but, on the contrary. Kan
sas citizens derive direct benefit from It, the
Kansas Legislature will not be swerved from
its purpose by any such objection. The great
work Of confscation will 60 on.
The memorial closes with an appeal to the
Legislature not to advertise 10 the world that
"!nvested capital Is unsafe in Kansas or that
"resort to the courts Is necessary 10 protect the
rights Of citizens against unreasonable dema-
"gogues or honest but mistaken agtators who
'imagine wrongs that have no existence and be-
"leve that the interests OF the State can be ad-
"vanced by driving away capital or confscating
"the property Of others" 1t is doubtful If the
appeal will have any effect. The Popullsts now
in absolute control in the State are carried away
with the insane hea that the railroad corpora
tons are public enemies, and that whatever can
be done to cripple them and reduce them TO bank
ruptcy will rebound to the general good. The
ultimate purpose, Of course. Is conhscation-
which Is only another name for robbery. Mean
time the country at large will watch with curl