Evening star., 1902-07-30
RAILROAD MATTERS
Confereneei in Regard to Penn
sylvania Tunnel Franchise.
COMPANY MAY GET IT
CONCESSIONS WERE MUTUALLY
AGREED UPON YESTERDAY.
Prospects Of the New Salt Lake Road
Are ood-Announcement as to
Rock Islands Plan.
COMPANY MAY GET T.

board of aldermen and the Pennsylvania
railroad officials.
While the conference was private, 1t Is
reported that progress was made along the
line of an agreement and the prediction Is
made that the railroad will yet get the de-
sired privilege Of tunneling under the city
Of New York and constructing magniti-
cent terminal station In that city.
AS a result of the conference, Mayor Low
will ask the board of aldermen tomorrow for
the appointment of a conference committee
to take into consideration the tentative ar
rangement reached in his office whereby the
road agrees to forego some Of the privileges
originally asked for. and which it is re-
ported, blocked the scheme by reason Of
the unwillingness of the aldermen to con-
cede.
Some Changes Agreed To.
Some of the important changes in the
franchise reported agreed to by the Penn
sylvania people yesterday include the grant
ing to the city the use of the tunnel for the
fire and police telegraph wires.
1t will substitute a fixed limit of time
within which the franchise must be availed
of, and 1t will agree to fix periods for Its
future leases.
1t will agree that the board of health
have sanitary control Of the tunnel.
years the question of new compensation
shall be taken up on new basis agreeable
to the authorities, and that city authorities
as well as the rapid transit commission,
shall determine as to the granting of the
privileges of local traffic.
1t agrees that the tunnel shall always be
controlled by a New York corporation, and
to take into consideration the holding of the
city harmless against any damage that may
be caused by the closing of 32d street.
Sfafopoart
After the conference Mayor Low ex-
pressed the belief that agreement would
ultimately be reached and that the road
would get the franchise desired. President
Cantor Of the borough of Manhattan, who
was present at the conference, said after
the meeting:
While nothing was definitely settled, the
railroad representatives seemed to consent
that the tunnel corporation be formed under
the laws of the state OF New York. Ihis
will make it possible for the state to step
in any time and dictate in any emergency
If the tunnel becomes menace to the COM
merce of the city. 1t eliminates all of the
chlse. Ny proposition to place the road un-
der the control of the state courts gives US
the whip that we need. The railroad Off
cials assured us they have no intention to
use the tunnel for freight purposes and do
not intend to build a great freight station
at Montauk Point"
Labor interests will doubtless get all that
the law allows them,'' said Mr.. Shepard.
THE railroad is willing to pay the prevail
ing rate Of wages and agree to an eight hour
day. Men cannot work in a tunnel eight
hours anyhow. There will be some delay,
but a franchise will be drawn that will be
acceptable to everybody
Coastward Railways.
An important railway move in the west,
which is just now attracting the attention
of the railroad and business world, is the
construction of new road from Denver to
Salt Lake City, generally known as the Salt
Lake road. The late moves in this direction
are the incorporation of a company to con-
struct the road with capital Of $40, 100000
While the immediate purpose is to build
this road to Salt Lake City, it is stated that
it will ultimately reach San Francisco. 1t
is understood that the road will ultimately
reach San Francisco. 1t is understood that
the road will cooperate with the new Los
Angeles and Salt Lake road, forming an
important eastern outlet for the latter line.
Vice President Thomas E. Gibbon Of the
Los Angeles and Salt Lake road has just
made some important announcements on
his return to the west after seven weeks
spent in New York and vicinity in connec-
tion with the right-of-way problems of his
road. The most important statement In
this connection is that the route out of
southern California has been definitely fixed
possess many advantages over the Santa Fe
In the matter of grade, etc. The route in
southern Nevada was also settled recently,
and ends the sensational fight between this
line and the Oregon Short Line road in this
territory. 1t is declared that the work of
construction, on this read will begin as soon
as the steel can be secured. This problem
is not SO easy to solve, however as Mr.
Gibbon reports that the steel manufactur-
ers are simply overwhelmed with orders
and will be for year or more. He re-
ports that orders now waiting fulfill
ment for over 100000 tons Of steel rails
and that the Pennsylvania road alone has
an order for 100000, which will have to be
delivered before the proposed new western
road can get material for tracks. Mr.
Gibbon says further that offers for quickly
delivered rails have been made to his COM
pany by German manufacturers and that
unless the home producers of steel rails
can assure something like prompt action
the German proposition will be seriously
considered.
Mr.. Gibbon declares that the 775 miles of
this road to be built between Los Angeles
and Salt Lake are to be the best railroad
construction In the world There will not
be single wooden bridge or culvert on the
line, steel and concrete taking the place of
piles and beams. The prediction is made
that the road will be in operation two wears
from October 1.
The Rock Islands Plan.
Since the announcement Of the gigantic
fecapitaH2atlon pan OF the ROCK lSlanu |
road there has been considerable criticism |
indulged in through the medium or news !
papers and Wall street reports to the effect |
that great injury might follow such an in
fation of the companys securities. Ap- !
parently to break the effect of this criticism |
there was issued a statement yesterday in |
New York, supposed to have been inspired |
by the directors of that company, declaring |
that no underwriting syndicate would be |
required in the plan. The wording of the |
statement was;
Neither banks trust companies nor un- |
derwriting synddcates will be required to |
furnish any money. Every shareholder, |
small or large, will receive the same bene- |
fits For It's present plans the road does |
not need any money. The new stock which |
each shareholder has the privilege of SUBJ !
scribing for, 12h per cent of his holdings |
at par, Will furnish all the money needed |
for its present plans. The shareholders |
alone are interested and will receive all the |
benefits and bonuses"
At the offices Of the company 1t was de- |
clared that no official statement regarding |
the new capitalization plan would be issued |
until the last of the week
nAo<6e 10, xI> ns.l-S>I