The Marietta journal. [volume] (Marietta, Ga.) 1866-1909, 1904-08-18
FAvORS SALE OF STATE ROAD.

Editor of the Journal The an
nouncement in Sundays Atlanta Con-
stitution that the L. 4 N. railway is
about to extend the A. (. & N. to
Atlanta by way of Kennesaw leaving
Marietta completely off of its main line
will, If carried out very seriously affect
the commercial ioterests OF our city. It
is certain that the L. & N. will build a
connecting line from some point on the
A. K. & n. lin Tennessee if it cannot do.
SO in Georgia. to Chattanooga, and prob
ably the line thus formed from Chat
tanooga to Atlanta will be as short as
or shorter than the w. & A., that this
line, together with the one to Knoxville,
will secure all the through traffic now
coming to the w. & A.; and that this
latter road if not sold to the L. & NJ,
will become mere local line on which
slow schedules, WORKOUT engines and
dilapidated cars will play their part.
Evidently, the plan to extend the A.
K & N. to Atlanta by way of Kinnesaw,
is illegal as the charter for this extern
sion calls for Marietta as the point from
which the extension is to be made, or
one of the termini of q new road pro-
vided for by the general railroad law of
the State. 1t is true that the general
law allows railway companies, by vote
l of IN hn bn 70
of their lines but no such right is given
to change the termini especially after q
charter has been granted. Therefore
when the L. & n. applies to the Secre-
tary of State for this new charter our
Mayor and Council and Board of Trade
should appear before this officer to re-
sist the granting of charter for the
extension to Atlanta from some point
on the A. K. & NJ, via Kennesaw, for
the reason that such line would come
within ten miles OF the w. & A., at
points at greater distance than ten
miles from the temporary terminus on
the A. K, & N, contrary to section PIG
of the code.
The w. & A. should be sold to the
L. & N. for the reason that the state
would derive more from such transac-
ton, if the road sold for $4,000, 00(
than it does at present The state
owns in round numbers $7,600,000 ir
bonds which / believe, are payable a.
the pleasure of the state though run
ming for period of years. @The inter
est on these bonds is $3l6,880 per an
mum. The W. & A. pays no taxes Il
the state or to the counties and mum
cipalities through which it passes, hut
if owned by a private corporation
would be required to do so. The seere
tary of the state declares that the w
& A. is worth, on basis of eight pei
cent net profit on it's earnings, 1900,
900. There is no doubt that if sold tt
the L. 4 n. the road would bring al
least that figure and probably more
Nearly all Of this road lies in Georgis
and it should be taxed on about So, 900,
600. One anC one-quarter per cent
state tax on this amount would be $780,.
900 per annum which added to $316, SS(
the amount saved in interest by the
payment Of the bonds, would make
$416,8S0. The franchise law would add
perhaps: $4,000 to this amount. The
rental of the road is only $500 ,012 pei
annum, and when it is thrown back or
the state Is years hence by the L. & N
which then will not wish it any longer
because of its owning lines covering the
same territory, would rent or sell for 6
mere song. If sold for $l0,000,000 the
state would have surplus of 81, 400 ,00C
after paying its debts. The interest on
this, at per cent, is 500, 900 per annum
The state could loan this amount for
this sum and thus still greater increase
it profits over the present plan.
IEthe $40 900, 900 for which the w. &
A, should be sold were apportioned for
taxing purposes among the counties