Newark evening star and Newark advertiser. [volume] (Newark, N.J.) 1909-1916, 1911-02-20

3hA%1 vi pA dAibAis W lltC
Mayor of Newark. suggesting the use
Of the bed of the Morris Canal through
Newark for a subway for street rail-
way purposes, was a surprise to the
Lehigh Valley Railroad Company,
Lessee OF the Canals
The publication OF Mr.. McCarter's
communication has led to much extrav-
agant comment, similar to that which
appeared six years ago when the report
of the Commission. consisting of Elk
Governors Werts, Grlggs and Voorhees,,
which favored and suggested legisla-
ton authorizing the abandonment of
navigation on the Canal. was published.
1t is alleged "That the Canal Com
pany controls three-fourths of the po-
table waters Of North Jersey and de-
sires to keep them after abandonment
of navigation: hat the property at
stake is worth more than $50, 600, 900;
that the water rights at Hopatcong
alone are worth more than s5.009,000,
tho old Jersey City Underwater Basin
500 900, 900, etc"
The fact is the entire property and
rights of the Canal from the Delaware
TO the Hudson are valued by the State
Board of Assessors at $3,S79,s23, which
the Company thinks excessive, espe-
cially in view OF the fact that upon It's
entire issue OF securities, which are
only ST. TAT, 23T. so, not one single dollar
OF interest or dividends is earned.
In It's operation during the last
twenty years the gross losses have been
81, e34, 400. 20. and in the last thirty-four
wears of it's operation not n single
HoJIp- 1oz haap aoYnaH 4ttnnn tina nYYf-
standing securities the contract obli-
cations of which have been kept inyio-
late at the expense of the Lessee.
The expenditure of this sum Of
money IS clearly an economic waste;
a waste which the State OF New Jer-
sey ought not to permit to continue,
as In It's final result 1t Injuries all and
benefits none Surely It would have
beer Of greater benefit to the citizens
of New Jersey to have received some
value than to have insisted upon the
continuance of so useless q waste.
The water rights, which amounts to a
right to divert a few million gallons a
day for eight go months a year from
the Pompton River, a small amount
from the Rockaway, and enough from
Lake Hopatcong to keep UP the SUM
nit level and feed both ways there
from. and some from the Musconet-
cong, viii all vanish on abandonment
Of the Canal. and the waters will flow
down their ancient channels as they
did before the opening Of the Canal in
1881. The basin in Jersey City (the
only one in which the Canal Company
las any INTEREST," and the other lands
in Jersey City are valued by the State
Assessors at $500, 900. OF the LOG miles
Of the right of way of the Canal four
ffths win Immediately revert to the
former wne on abandonment OF nav
igation. All the Canal Company Will
have left of it's original Investment OF
more than So 00,0 600 will be the Jersey
city basin, disjointed parts OF the right
OF a which ii owns absolutely, dam
and lands at Lake Hopatcong ano
Greenwood Lake, Cranberry Lake and
one or two other points, some mules
and canalboats and a few parcels OF
land not used for Canal purposes. with
these it must pay off a bonded debt OF
$500, 900, satisfy stockholders holding
s2,247, 237.50 of stock and scrip, and the
claims of the State, to which the
Canal. by the terms of the charter, Is
10 go absolutely in 1874.
The old cry is raised that the Rail
road Company has ruined the Canal by
diverting business from 1t. The fact
is the Railroad Company for nearly
thirty years after taking the lease OF
1871 deliberately diverted to the Canal
from $50, 900 to 800, 900 tons of coal per
year to give it something to do.
The subject is important, n the
facts. owing to the lapse of years, are
as clearly before the minds of the
neople as they should be, although they
were made perfectly plain by theG GOV
ernors' Report in 1905, which shows the
desirability of presenting these facts
anew In order hat many Of the mis-
statements to which reference Is MADE
above. may be corrected and the sub
iect made clear to the people of the
state.
The Lehigh Valley Railroad Company
believes the public are entitled to the
facts, and an opportunity TO verify
them, and has authorized this state
ment, desiring to withhold absolutely
nothing. and willing to add any IN
formation that ma be needed for a
correct understanding.
1t respectfully asks a hearing Tor the
truth from the State authorities, the
newspapers and all others legitimately
interested. To be reasonably BRIEF 1t
is necessary to c~ondense, but sources
of further information will be fndi-
Gated. The Legislative Concurrent
Resolution of 1868, the report OF thu.
Commission of Governors Hereunder
In 1905 and Statement of Facts laid
before them by the Canal Company,
the numerous briefs by counse Of spe-
cial interests along the Canal (sueh as
Jersey City, Newark, Hopatcong,
Greenwood Lake, etc.), n the Bill
reported by the Commissioners Will
give any inquirer all the esseStial
facts.
Those documents are voluminous, and
it is with the hope of giving briefly the
SO that all may be informed, that
this statement Is submitted.
CARLY HISTORY OF THE CANAL.
The Morris Canal and Banking Com
pany was chartered in 1924 (P. /. 1924,
1887 to construct a public waterway
from the Delaware River (near Easton)
10 the tidewaters of the Passaic at
Newark. The Act recited that tho
construction of such a Cana would
"be of great public benefit and advan-
tage to the people OF New Jersey" and
FOR the encouragement of so great al
undertaking as the erection of saidY
Canal and in some measure to induce
capitalists and Others to subscribe to
the same" banking powers were given
e. . RI