The Black Hills union. [volume] (Rapid City, Pennington County, Dakota [S.D.]) 1889-1904, 1898-05-27
STATE COAL MINES.
AS AN EXPERIMENT. IN TEN
NESSEE.

A Brief Record OF an Object Lesson in
the Public Ownership and Operation
OF Natural Monopolies-The Plutocrats
Are Surprised by the Success.
In the history of the state coal mines
OF Tennessee, and the state salt springs
OF New York, the advocates of public
ownership may find prolific sources of
very useful information. The Onon-
daga salt springs reservation, which
has been owned and operated by the
commonwealth for more thar a CEN
fury, benefiting the state treasury to
the extent of many millions of dollars,
have finally been allowed to pass into
possession of the salt trust. The citi-
Zens OF the Empire State may we'll
hang their heads in shame when the
history of the bartering away Of that
splendid property is related, and yet
1t may fairly be said that the property
was stolen from them. virtually with
out their knowledge or consent.
Now, since the people of the state of
Tennessee have wisely determined to
compel the coal trust to share with
'le inhabitants Of that commonwealth,
and to some extent at least, the people
OF the entire nation. the benefits of
ownership in the rich coal fields which
lie beneath the soil, all patriotic and
Intelligent people should watch the re-
suit with keen interest.
In 1894 the state of Tennessee pur-
chased for $50, 600 a tract of 5000 acres
OF land in Morgan county, twenty miles
northeast of Hartman, on which very
valuable coal fields are located. AL
ready meetings of the combined coal
operators of the country have been
had to take measures to gain possession
OF these valuable coal mines. AT one
OF these conference meetings, one r.
A. McFerrin of Oliver Springs, Tenn,
said to be an experienced coal opera
tor, declared that the Goa lands re-
Gently purchased by the state of Ten
nessee for the sum. of $50, 900 have
been carefully examined and are, with
out any doubt, fully worth $500, 000."
Notwithstanding the high estimate Mr..
McFerr1n placed on the value of the
mines, which is said to have astonished
his hearers, there is ample reason to
believe that his estimate was decidedly
conservative. From the official re-
ports Of the manager of the mines, and
the commissioner Of labor and inspec-
tor OF mines of the state of Tennessee,
we learn that the product of the mines
increased from 5,697 tons in 1895 10
14SS62 tons in 1896, and the capacity
of the mines is now easily 1000 tons
per day, or say 300, 900 tons per year.
The cost Of mining 1872, 1872 tons is re-
ported to be $50, O67.4S, or less than
forty cents per ton, which can hardly
fail to be materially reduced with the
Improvement of equipment which
comes with experience. If the mines
are worked with economy, it appears
to be officially demonstrated that coal
can be mined to the extent of at least
three hundred thousand tons per year,
and if sold at $1.40 cents per ton, yield
a profit to the state of $500 900 per
year, being ten per cent on three mil
lion dollars, or just six times the value
which Mr.. McFerrin stated the prop
erty to be worth.
The mines are operated under the
general direction of the board of state
prison commissioners, the labor being
performed by the prison %convicts.
During 1896, a total of 303 men were
employed in and about the mines, 222
of whom were engaged in mining prop
err. 1t may be an open question whether
or not the employment of state con-
victs is the best method that can be
conceived Of to work the coal mines
considering the fact that there are SO
many idle men not yet convicted of
crime, yet suffering for an opportunity
for useful employment. l incline very
much to the opinion that the bill in
troduced in the New York legislature
in 1897, providing for a business like
and economical operation of the state
salt springs, is applicable to the state
coal mines Of Tennessee. That bill
provided that the salt springs should
be operated by officials who We're to be
paid according to the product of the
reservation; that subordinate laborers
should be we'll paid. and that the prod
uct should be sold at a very small
margin over the cost Of production.
l.. S. LEWIS.