STATEME^^TS BEFORE THE Cflmraitícc ira llaÜtoajs ¡mir Canals, ON THE PETITION FOR AN ACT INCORPORATING THE MARGINAL RAILROAD, Marcli ae, 1867. REPORTED BY J. M. \Y. YERRINTOÏT. BOSTON: WRIGHT & POTTER, PRINTERS, 4 SPRING LANE. 1 8 6 7. THE MARGINAL RAILROAD. STATEMENT OF HON. THOMAS RUSSELL. I have only time, Mr. Chairman and gentlemen, to indorse what Mr. Bates has said, and, in advance, what 1 know Mr. Crane will say, being very fully possessed of his ideas. It seems to me that it would be a great relief to have the different depots connected by rail with the wharves of the city ; it would save a vast amount of daily expense in transporting freight, and it would of course save a large amount that must other¬ wise be expended in building freight depots ; thereby saving just so much to the public, for whatever is spent in that way must be paid by those who travel over these roads or send freight by them. The prinbipal view that has interested me in this project is its effect upon foreign commerce. It is a lamentable fact, known to all, that the foreign commerce of Boston has decreased, and is, in many branches, decreasing every year. One illustra¬ tion of that is to be found in the extremely low value of our wharves. India Wharf and Central Wharf might be men¬ tioned. Several reasons, perhaps, have contributed to this result, but the chief reason is want of freights. There are reasons why Boston should be preferred, as a commercial city, to New York. Its nearness to the ports of Europe is one reason. I believe I can say that the custom-house facilities have been greater here than in New York, and I hope they will continue so, for the present, at least. But the want of return freight, when a vessel comes here, outweighs these advantages. To illustrate that : One of the largest ship-owners of Boston told me, on Saturday, that he imports Manilla hemp into Boston because he wants to help this city, but that every ship costs him a thousand dollars more than it would if it went to New York,—which he pays for the love he bears to Boston. Instead of having a return freight, he is obliged to ballast her, send her 4 round to New York by sail, or, more frequently, by steam, and there the ballast is discharged. That expense, with the extra insurance for going round Cape Cod, amounts to fully a thou¬ sand dollars on every ship that arrives here. Now, a thousand dollars on a trip will turn the scale between Boston and New York with most men, and that fact keeps a vast deal of com¬ merce from Boston. If we had such facilities as this road will afford for loading and discharging freight, by placing a car when it arrives with grain at the wharf and unloading it by means of an elevator, it seems to me our foreign commerce would be largely increased, and we should have millions of bushels of grain, and those millions of hogs of which we heard, although, unfortunately, it happens that we had only 65,000 hogs last year. Mr. Bates was probably looking forward to the time when we should have this road built. Mr. Bates. I spoke of the millions coming from the West. They did not all come to Boston. Mr. Russell. I can only add, that I have conversed with a great many of the business men of Boston, and I never have found a project that met with so much favor. They all seem to feel it is just what we need ; and if this road should be chartered, 1 have no doubt that the stock will be subscribed ; and it will be a pleasure to me, for the sake of the business of Boston, to give all the time and energy that 1 can to carry the project through. STATEMENT OP EDWARD CRANE. 1 think, gentlemen, that in order to a correct understanding of the subject-matter now before us, it is desirable that we should stand all of us at one common point, that we may arrive at the same conclusions, with the same facts before us. The first fact which 1 deem it essential to have well understood is the amount of tonnage these railroads have actually carried from and brought to the market of Boston during the past year. 1 find by the annual returns made for the year 1866, that the gross tonnage on all the railroads entering Boston is 2,775,545 tons. This freight is not all of it brought to Boston, or carried from this city. It embraces the aggregate freight of the Boston and Worcester Railroad, the Fitchburg Railroad, the Boston and Maine Railroad, the Eastern Railroad, the Lowell Railroad, the Boston and Providence Railroad, and the Old Colony and Newport Railroad, leaving out the Boston, Hartford and Erie Railroad, for the reason that the freighting done on the part of their line from Woonsocket to Boston was counted in the Worcester Railroad returns, amounting to 29,000 tons; embraced in the. returns of the Boston and Provi¬ dence Railroad, which during the last year did the freighting on that line from Dedham to Boston, and therefore is properly left out. The aggregate tonnage, I say, of all these railroads, as sworn to by the gentlemen who have made these returns, is 2,775,545 tons. Ten thousand tons per day would give us an aggregate of 3,000,000 tons, allowing thr?e hundred business days to the year; showing that the freight on these various railroads that I have mentioned, including that from town % town, is less than 10,000 tons per day. Now, I have been a little curious to ascertain how much of this 2,775,545 tons came and went over the Worcester and Western Railroads, to and from points between Albany and Boston ; and I have been utterly surprised and astounded at the smallness of the aggregate amount of that tonnage. I find that only 263,382 tons of freight were carried during the past year between Albany and* Boston and Boston and Albany, by the united efforts of the Western and Worcester Railroads. I have gone a little further in these reports of the Western and the Worcester Railroads, and I find that 79,950 tons of this aggregate of 263,332, were actually received at points this side of Albany, and never saw Albany—not a ton of it. I find that the whole aggregate local business of the Western Railroad to and from Boston was 79,950 tons. Taking out this local business from the aggregate of 263,332 tons, it leaves 183,382 tons of through freight, back and forth. I could hardly believe myself, until it was fortified by the sworn reports of these directors, that it was possible, that with an investment of about twenty millions of dollars to reach the canal interest in the State of New York, and the railroad interest of that State, the whole gross tonnage of that year was but 183,382 tons. It was so small an amount, that I could hardly believe it possible ; and yet it is true. 6 Now, any man who will take the report of the Western Rail¬ road, will find the aggregate tonnage between Worcester and Albany (which embraces the branches of the Western Rail¬ road, which ■ they legitimately own and control,) to be 884,564 tons. Where does that freight all go to ? One man will tell you it is freight that comes from the West, and stops at Worcester and Springfield, and other places on the line, and does not go to Boston. Now, if you will deduct from that 884,564 tons of freight on the Western Railroad last year, the 263,332 tons, which is all the Worcester road received from and delivered to that road, of every name and kind, the balance is what you may term the local business of that road, independent of all foreign accounts, and independent of the city of Boston. Of what is it» made up ? It is not from the West. It is possible that there is more freight distributed every year oft the line between Albany and Worcester, than between Worcester and Boston. What do we find? If you go to the city of Hudson, you will find those boats, running every night during the summer season between New York City and Hudson, loaded with products to go into Western Massa¬ chusetts. What are those boats loaded with ? West India goods, groceries, all sorts of wearing apparel, dry goods ; and these are taken from that point and distributed all through the western part of our State, and on the west side of the mountain. Then if you will go with me to New Haven, you will find what takes place there. A steamboat runs every night from the city of New York to New Haven, and the freight it carries is distributed up and down the Western Railroad, and in the Connecticut Valley. There they receive large accessions of freighting business. Then if you go to the city of Hartford, you will find another steamboat running every night from New York to that city ; and you will see the cars of the Hartford and New Haven Railroad by the side of that steamer, receiving freight. Look at that freight, and see what it is. West India goods, dry goods—such articles as we have got in abundance here in Boston. Why is it distributed over the Western Rail¬ road from that point, instead of going from Boston ? I leave it to the people of this Commonwealth, and to the legislature, in session to-day, to get an answer to that question, and see where our true interests lie, as a State and commercial com- 7 munity, and apply the proper remedy. Rumor says that these boats, and these interests, are largely owned by the gentlemen who control to-day our lines of railroad reaching from Worcester to Albany. Gentlemen, I want you to feel about this matter as I do. I have no personal feeling other than as a citizen of this Com¬ monwealth. I harbor no ill-will to any of our great public means of transportation, to any railroad, or to any city ; but I do feel to my fingers' ends, as one of the people of this State, that we are taxed to support eighteen millions of investment between Boston and Albany, for the accommodation of our citizens, and are really letting the West run by our doors, and allowing New York to supply our citizens with dry goods, groceries, and various other articles, simply because a few men are growing rich out of it. If occasion requires, put your fin¬ gers on the men. No man should grow rich at the expense of the body politic. It is the duty of the representatives now in this State House to see not only that the public receive no harm, but that our railroad interests are so managed as to bring the greatest good to the greatest number. The aggregate of the whole State aid of Massachusetts to the Western Railroad is employed to-day in doing what ? In distributing West India goods and groceries from the city of New York, and in bring¬ ing Western products to this metropolis, and carrying back our manufactures to the extent of 183,382 tons. Why, Mr. Chairman and gentlemen of the Committee, the West India goods trade ought to send not less than 200,000 tons of freight every year from this, city to the Western Rail¬ road, to be distributed, first, in the western part of the State, and its tributaries, and secondly, reaching to Albany and the West. Why is it not done? Let your increased railroad tariffs answer this question. 183,000 tons of freight carried to and fro, while our locomotives are dragging back empty cars over our rails ! And what is the reason ? Because it would interfere very much with the steamboat interest of Hartford and New Haven and the city of Hudson to do otherwise. Then another item which astounds me still more is the aggregate local business coming on to the Worcester Railroad from the Western—79,000 tons ! The little towns of South- bridge, Sturbridge, and Charlton, that feed into the Worcester 4 8 road, furnish nearly one-half of that amount annually. You may take Westborough, Southbridge, Sturbridge, Brimfleld, Monson, and Wales, and those little towns alone, properly developed, will bring to the Worcester road more freight than the Western road has brought the past year. Now, gentlemen, while we are talking about this Worcester Railroad, and Western Railroad, and Marginal Railroad, and all these interests, I would I could make you understand what these figures mean ; that our sixty or seventy millions of dol¬ lars invested are transporting only 2,775,000 tons to and from this city every year. It is but a drop in the bucket. , Every man woman and child in this Commonwealth is taxed to-day for the support of these lines of railroad, with a local business, and not a foreign business. We are doing nothing for foreign export. Two hundred and some odd thousand barrels of flour were exported last year, out of our fifteen hundred thousand and odd barrels. What is that? It amounts to nothing. I say this, gentlemen, that you may take this simple statement and go down to the Worcester Railroad, and I will bring you merchant after merchant who will say, " I have sent for freight to the Worcester Railroad, and they have told me my cars were up on the side tracks, and would be reached in a few days. The railroads say, ' Complaints are made that our little business cannot be accommodated ; that there is not room to store it, and the merchants make storehouses of our cars!'" This little aggregate of freight on the Worcester Railroad, 621,232 tons, what is it ? Go down to the depot and see it. The streets are crowded, and Boston to-day employing between two and three thousand horses, and bringing grain from Illinois to feed them, at 11.25 a bushel. You have got an amount of machinery and paraphernalia to carry on this business in this city that cannot be found in another city to-day on the seaboard. There is not one that is managing its business so slovenly and so expen¬ sively, or that manages to get so many charges and percentages out of every barrel of flour, box of sugar, and chest of tea. Who pays these charges ? It comes out of the pockets of the people, the consumers of these articles. Mr. Plummer. We are as well off as New York in that respect, are we not ? 9 Mr. Crane. I say you cannot find a city on the seaboard whose business is so poorly and so slovenly managed as ours is to-day, with one qualification, which I am now going to make— with the facilities we have for having it otherwise. Now, we have got the aggregate of what these railroads are doing, and I should like to put one other question. I know it is easier to put questions than to answer them, but I would like to have the gentleman look into this subject a little further, and see how much is done by these great through lines. Begin with the Fitchburg, which carried, next to the "Worcester, the largest amount of freight—512,874 tons. What are the Fitch¬ burg and these other lines capable of doing, consistently with an economical and judicious management of their local business ? I find the Fitchburg line to-day, as a line east and west, unsur¬ passed in point of capacity to do a through Western business. That line connects itself with the Erie Canal at Schenectady, thirty miles west of Albany, where the canal boat avoids twenty- eight locks to get down to Albany, and it costs less for those boats to reach that point than any other point below it. I find that that road carried an aggregate of through business, to and from the canal, of about 30,000 tons for the twelve months. That one line of railroad, gentlemen, is capable to-day of carry¬ ing not less than a million and a half of tons annually, in addition to the freight they are now carrying, and without hin¬ drance to their local business. The cars come alongside of the canal at Schenectady, so that you may have more than a mile of canal front if you please, with the grain in the boats lying within two feet of the floor of those cars, and you can load any amount of grain-at scarcely any cost. There is no place where it can be loaded so cheaply as at Schenectady. At Albany, the grain has to be lifted from the river up to the point where the Western Railroad comes in. I say, that one line is capable to-day of adding a million and a half tons of freight to its busi¬ ness, simply by the addition of cars and engines, with scarcely any other outlay of capital. Now I turn to the Lowell Railroad, which is the next great line. I find that that road carried 419,666 tons, which includes all the local as well as the through freight. That is their entire tonnage for the year 1866. If you will analyze it as I have done, and find where it goes to, and where it comes from, you 2 10 will be surprised to find how very little comes from the West to the East, or goes from the East to the West, through. You may take that Ogdensburg line to-day, and if you, gentlemen, will give your attention to just that one subject, and ascertain what is the capacity of that one line of railroad for the trans¬ action of freight business from the lake, which is the battle¬ ground of the West for trade, you will come unanimously to the conclusion, if you will cite the evidence and hold your minds to that one point, that you have got by your investments, a through line which is a unit in action, and which, with some additional turn-outs upon it, is capable of the transportation of two million tons of freight from the lake to tide-water at Bos¬ ton, and from the East to the West, in addition to their present local business. Now, gentlemen, what have they done the last year ? 1 believe less than 100,000 tons were carried back and forth, on a line of railroad costing in the aggregate rising thirty millions of dollars. To-day, it is doing nothing, comparatively. I say, comparatively nothing, because, when a road does only one-twentieth what it has the capacity to do, it is unwise to let it remain in that situation long, if it can be avoided. Suppose a man builds a cotton mill, and constructs his dam, and erects his tenements, and provides every means for running 20,000 spindles, and when he has got it all completed, he says, " I can't put in but one thousand spindles ; I haven't the means ; " and then expects out of those thousand spindles to make enough to pay the interest on all his capital invested. That is a good illustration of the way this railroad is managed between Boston and Ogdensburg. That property, capable of paying an inter¬ est of eight per cent, on fifty millions of dollars, has been lying dormant for years, doing only a business of 50, 75, or 100,000 tons tbrough freight a year ; and yet we find the people of Massachusetts, with these 400 miles of railroad, and thirty millions of capital invested, denying to the Lowell Railroad the right to widen its bridges, for fear that six gallons of tide¬ water may be pressed out somewhere ! And when they come up here and ask for power to enlarge their depot grounds, to enable them to take care of this freight, tiiey meet with this response, " Get out of the way ! You are a private corpora¬ tion. We cannot give you this privilege." They are treated in this way, and the people of New Hampshire, Vermont, and on 11 the line of the Ogdensburg Railroad, if there was any other way of sending their freiglit, would not allow their cars to remain loaded with lumber, as they have day after day and week after week, on the railroad. Let us come down next to the great line to the West, which is the Boston and Worcester and Western line. That line of railroad I know ; I helped build it ; I have worked upon all parts of it ; its curves and grades are as familiar to me as my daily walks to my house. The line from Albany to Boston, with a double track, is capable of doing a through business, not of 183,382 tons, but of three millions of tons annually. I speak advisedly when I say, it has a capacity in rails, grounds, and everything, except cars and engines, to do that amount of business ; and I say this line is a fair counterpart of the man who builds his factory and then puts in only machinery enough to do one-twentieth part the work of which it is capable. Go and put in your machinery, put on your engines and cars, and then what ? You have got a capacity of three millions on the Western Railroad ; you have the Ogdensburg, with a capac¬ ity of two millions ; you have the Fitchburg, with a capacity of a million and a half,—that is, 6,500,000 tons annually. Now, what does that amount to ? Why, you can hardly carry it in your brain. It is more than all the freight of the Erie Canal, during the year of navigation last past. Thirty- three million bushels of wheat will weigh about a million of tons. Multiply six and a half by thirty-three, and see what you have, if it was all reduced to grain. Now, gentlemen, notwithstanding this enormous tonnage that we have the means of doing to-day within our grasp, go down to the station of the Worcester Railroad on the one hand, the Fitchburg on the other, and the Lowell on the other, and you will find that we, the people of Massachusetts, have treated them as if they were pri¬ vate corporations, and as if every facility we gave them for track, for depot grounds, and for the economical handling of the business of the Commonwealth, was given, to a private corporation. Now, gentlemen, you ask me if that is the capacity of these railroads, and this the tonnage that we now have, where is this thing to end ? Gentlemen, it will end just here. In 1900, at the close of this century, when you and I shall be dead and 12 gone, the young men here will lire. One hundred millions oí population, grain reapers, threshing machines, talent and skill, with an inexhaustible fertility in the soil, will make America, within ten years, the granary of the world, and we shall send grain to Europe by the fifty millions and hundred millions of bushels a year. What is the trouble to-day ? The trouble lies just here, gentlemen, and we may as well look it in the face. It lies in the expense of transportation. It costs three cents a bushel to get grain from the Worcester depot to Commercial Wharf. That is one item. Then you will find every railroad man through the whole length and breadth of the line trying to see how much he can tax it, and still keep the business. Gentlemen, this is not a private matter, but a public matter, and one in which every man throughout the length and breadth of the land is interested. We want to raise the greatest amount from the earth and to sell the greatest amount to the nations of Europe who want it, with the least possible expense. Then, as a nation, we shall grow rich. But when you find one class of the community devoting their attention to reaping, mowing, and all sorts of machinery to. save labor, and another class at work to see how much they can tax these articles, because they have been raised so cheaply, and get rich out of it, that is all wrong. It is high time that not only the Commonwealth of Massachusetts, but every other State, should understand that this question of transportation is one that affects the whole land, from one end of it to the other. Now, gentlemen, I want you to go with me a single step fur¬ ther. Let us analyze a little, and see what was brought to this city of Boston the past year. I will refer you for my figures to the Shipping List Report, condensed,, for the year 1866. I believe these statements are as nearly accurate as any state¬ ments of that kind can be. The aggregate number of barrels of flour brought into Bos¬ ton was 1,504,262. I felt a little curious to ascertain how that was brought here, and I made the inquiry of one of our flour merchants. " Seven-eighths of it came by rail," said he. "Are you sure of it?" "Yes." I wanted to get an exact statement, and I find that it came from the following points :— New York city, 313,230 barrels. How did that get here ? By water, from New York. Where did New York get it ? Brought 13 it over the Erie Railroad. New Orleans, 62,250 barrels. "Where did they get that ? Down the Mississippi, and ships brought it round to Boston by water. Philadelphia, 19,587 barrels ; brought here by water. Baltimore, 47,437 barrels. Portland, —that city to which, ten years ago, we were sending flour by hundreds of thousands of barrels, for the State of Maine,—is now actually sending flour to Boston, to the amount of 273,880 barrels a year. Mobile, 889 barrels ; Liverpool, 400 ; George¬ town, 950. Making a total of 718,123 barrels of flour brought to our city by water. If you will take also the flour brought by the Erie Railroad to Jersey City, by water here, and by the Grand Trunk Railroad to Portland, by water here, thefb are 500,000 barrels annually ; and our railroads stand looking on ! There is one other point, gentlemen, to which I wish to call your attention, because I have a personal interest in it with you and every gentleman in the room. I eat my due allowance of flour every year, and I try to buy the best flour ; and I find that the best flour comes from St. Louis to Boston. I ask myself this question : Why do the West send us their flour, instead of sending us their wheat ? True economy would lead the people of Massachusetts, as they are situated to-day, to buy the raw material, and manufacture it on their own ground, and keep their boys at home. England does not buy flour of America. Why not ? Because her statesmen, her rulers and her merchants understand, what we of Massachusetts have not yet come to understand, and that is, that the cheapest way to get flour is to buy the wheat and manufacture it where you want to consume it. Your wheat will keep dry and clean without barrels ; and, furthermore, the bran and shorts will nearly pay the cost of transportation from St. Louis directly down to Long Wharf. We do not raise in Massachusetts what we want to consume here. We are buyers of everything for food. We are manufacturers, not producers. Our farmers buy lean cattle, work them, and buy shorts and bran and a little meal to feed them, and pay for the transportation of all this material over the various railroads of our State. There is* not an operative in a mill to-day, anywhere in New England, who is not buying his flour in the most expensive way he can buy it, simply because you cannot bring your grain to Boston in bulk ; or, if you do, you cannot take care of it. Suppose, 14 instead of bringing these 1,500,000 barrels of flour, you bad brought the wheat. Five bushels of wheat make a barrel of flour. Multiply 1,500,000 by 5, and you have the number of bushels of wheat. And what is passing strange to me is, that notwithstanding the fact, that the bran and shorts from the wheat ground here at home will very nearly pay the whole transportation, yet we insist on going abroad, to New York and St. Louis mills, for our flour, while I can take you down to a mill right here in our midst which is second to no mill in the country in point of machinery ; and if you ask the miller why it is not running, he will tell you, " We can't get any wheat, sir ; waiting for navigation to open." Our laborers and mechanics are to-day living on poor flour and damaged flour, , whereas they might eat the very best flour, at a lower price. Why do they not have it ? Because our railroad men and rail¬ road directors say they cannot bring wheat here, for they have no place to put it. Now let us go one step further. I find there were imported into Boston last year 10,537 bushels of wheat, and 525,680 bushels of shorts. We Yankees are very smart! We buy flour at St. Louis and leave the shorts, and then go down where there are men smart enough to grind grain, and buy their shorts, which they send here by thousands of bushels. Go down to the Lowell Railroad, and you will find them elevating shorts with a little elevator. Is it not passing strange that Boston should buy shorts and flour, instead of buying wheat and running that mill on Commercial Wharf, and hundreds of other mills ? It is not economy ; and my object to-day is, if I can, to get this Railroad Committee so thoroughly impressed with this subject-matter, that they will rise up in their places in the legislature and make every man who owns a factory, and every mechanic who is doing a day's work, understand these points as I understand them, and tiiey will find a remedy very speedily, which will be the best kind of a protective tariflf. We bought last year 190,658 bushels of barley, 37,864 busbels of rye,, and 1,219,717 bushels of oats. The bulk of these oats came from Vermont and New Hampshire, but very few from the West. They came from New England mostly, and by rail ; yet when they come to Boston, see how they are treated. It costs one, two or three cents a bushel to get them 15 where you want them. Who pays all this expense ? Every man who uses a bushel of oats pays his proportion. Now, in regard to corn, which is a commodity we have to buy largely in New England. I find that the total amount arriving in Boston was 2,157,292 bushels. .Where does it come from ? I asked a grain dealer, " Wliere does your corn come from ? " " The great bulk of it comes by rail." " How does it get here ? " " Well," says he, "uve bag it. We send our bags out West. They won't send it to us in bulk, but we send them the bags and they bag it, and when it gets here, the Lowell Railroad have got an elevator, and they will put it up into a cockloft for us. It comes here in various ways." But he could not give me an intelligent answer. By the same report in the Shipping List, it appears that Maryland contributed, of these 2,157,292 bushels, 102,886 bushels; Pennsylvania, 228,462; Delaware, 78,050; New York City, 1,090,047. How did they get it? They do not grow it in New York City, or on Long Island, or anywhere about there; it comes from tlie West, and Boston brings it through New York City. Virginia, 53,500; New Orleans, 69,002 ; and all the railroads together brought in 585,845. Ask the Western Railroad how many bushels of corn they brought from Albany and distributed in the western part of Massachusetts, how many bushels they brought to Worcester, and how many bushels went up and down the Connecticut River, and you will find that the aggregate of our consumption in Massachusetts to-day, over and above what we raise, is rising four millions of bushels. Do you not see that every man has an interest in the handling of these two millions of bushels that come to Boston ? Where does it go to ? You will find one mill turning out 2,000 bushels a day. Where does that go to ? It is consumed within a circuit of ten miles round Boston. Go to anotlier mill, and you will find it grinding 1,500 bushels,a day. Where does that go to ? It is circulated all about here ; and we, the people, are taxed to keep up all this paraphanalia, to a large amount. Every bushel of corn brouglit to Boston by rail costs four cents more than there is any occasion for it to cost, simply on account of the bad mefliod of handling this freight, laying aside all other questions. 16 Now, I want to take up another item that comes in here. The number of hogs, in the round, brought to Boston last year was 65,301, out of an aggregate of 2,425,253. Those hogs were brought iu mainly by the two great Western lines. A part of the through freight of the Western Railroad and the Fitchburg is made up of these hogs. Instead of carrying the salt to the hogs, we brought the pork to the salt, which is the right way of doing it. Ifc is true economy to bring the hogs here as they are killed, where the portion of the hogs not tised in packing amounts to nearly enough to pay the freight. The number of barrels of beef brought here was 32,067 ; pork, 43,763; hams, 9,388; barrels of lard, 43,397. These are items that came to the city of Boston. Where do they go to ? They go out into the country, and every charge of five cents a barrel put on in Boston for truckage or storage, or any other item, comes out of the consumers ; and therefore I say the consumer has a direct interest in the handling of all these items which we have got to handle with the utmost economy. Now, the number of tons of coal brought here was 835,756. That coal comes by water—none by rail ; and it is taken by the Lowell Railroad, the Eastern Railroad, the Boston and Maine Railroad, and the Worcester Railroad, and delivered to our manufacturing establishments and scattered among the people in the vicinity of Boston. That is a very important item, because it goes into every man's household, and it becomes us to see in what way that coal can be handled and managed so that it shall produce the greatest results with the least possible cost. Now, in regard to the handling of that coal, you will find these facts. It arrives here by vessel, and if it is bound to the Worcester station, it has got several draw-bridges to go through, and every one of those draw-bridges adds from ten to fifteen cents per ton extra charge to the coal. Who pays that ? It is added by the seller to the price of the coal, and it comes right out of every man's pocket who burns a pound of that coal, in proportion to the amount he consumes. Another ship-load finds its way round to the Lowell Railroad and the Fitchburg Railroad, through draw-bridges. With a fair wind, you will sometimes find a whole fleet of coal vessels coming in the same day, and the railroads have got to find a place for tliem to discharge. IIow can they do it best ? I would have this Mar- ginal Railroad, when it is established, say at once, " We will take all your coal, to be delivered anywhere between South Boston Bridge and Charlestown Bridge, at a specific price." What is the result ? The result will be that you will handle this coal with the greatest ease and economy, and deliver it at any wharf where it is wanted, provided you can take a little steam dummy, after the business hours of the day are over, and, beginning at one side of the city, take the cars that want to go to the Eastern Railroad down there, and then take the cars that want to go to the Worcester road round there. The expense would be materially less than it costs now to get through the bridges, to begin with. Let this work of distribu¬ tion be carried on at night, and you have the means of handling millions of tons of coal in Boston with the utmost ease, only do not persist in concentrating this freight around the stations, to the great injury of the railroad and great expense to the public. I would handle this item of coal in that way. But hère comes an item, gentlemen, that is very astounding to me ; and that is, that Boston to-day handles about as many tons of sugar and molasses, to feed our Yankee population, as she does tons of flour. All this is brought in by vessels. Where does it go to ? It does not go to Albany ; it does not go to Western Massachusetts ; it does not go to Lake Cham- plain. It is consumed right round here, within a circle of sixty miles, and we, the people, pay for every unnecessary charge put upon this sugar and molasses. Our merchants buy it abroad, we buy it of them, and they make their profit. There were last year, of molasses, 68,445 hogsheads brought into this city. I should like to have you look this matter over with me. Where does that go to ? Go down to the bonded warehouses on Boston Wharf, and you will find molasses stowed there by the cargo. Tiiey take that from the vessels, and roll it into sheds prepared for it ; economieally, I grant ; there is no complaint of that ; it could not be done more economically. But then it seems as if all idea of economy was lost. They take a truck with two horses, put three hogsheads on the truck, and go trundling along, down to this man's store and that man's railroad, and there deliver it. Can you give me any good reason in this world why a man in Worcester, if he wants a lot of molasses, should not have a car taken on the rails to the 18 bonded warehouse, have the molasses put on it, and then have the horses take it directly to the Worcester Railroad,—instead of three hogsheads, carrying ten ? There is no answer in the world. You will do it more economically ; the two horses will do tiie work of ten. Who pays for this unnecessary expense Y The man who buys the molasses. Why do we not send molasses to Western Massachusetts ? They say it will cost nearly as much to cart a hogshead of molasses across the city to the Worcester Railroad, as it would cost the railroad to carry it to Pittsfield, and then wonder why the people of Western Massachusetts do not get their supplies from Bos¬ ton ! I say, let that cease. Let us require of these railroads that they put down tracks where the people can manage this freight with the greatest economy. If they have not sense enough to do it, let us see that the legislature make them do it. Now take the item of sugar, which comes into the consump¬ tion of every man, woman and child. 65,327 hogsheads ; 10,136 barrels ; 69,792 hags; 76,481 boxes. See how that is handled. That is brought here by water, and the hogsheads go mainly in bond over to Boston Wharf, and there it is trucked round through Commercial Street to East Boston, and all around to the various railroads. It is a system of truck¬ ings, and handling, and re-handling, that is very expensive ; whereas, that sugar is capable of being put directly on the cars that come here loaded with grain from the West, as soon as tliey are unloaded, and they can be immediately sent on their way home. We are managing our business in the most extrav¬ agant way, because we have so little through freight. You will find the cars of the Boston and Worcester Railroad going loaded into Worcester, and returning empty to Boston for another load, because the return freight is wholly insufficient ; and so it is with the Fitchburg road ; and so it is with the Lowell road ; their freight is substantially all one way. Now let me put one other question to you : If we make such mistakes, and create such expenses, in doing the business we are now doing, what are we going to do when these rail¬ roads are worked to their full capacity ? I wish the author of the article signed " Common Sense," in the Advertiser of this morning, was here. "Ten thousand tons of grain," he says. 19 " to be bandied between sun and sun ! Preposterous ! Seven miles of cars, of ten tons each, would be required to move it." If this man has never been out of Boston,—as I rather think he never has,—I would like to have him go to Philadelphia, and see 20,000 tons of freight a day handled and disposed of without any fuss whatever. Twenty thousand tons by one corporation alone I Then, if he goes to another one, he will find 10,000 tons a day handled with perfect ease ; it is hardly felt. I suppose that man thinks we are going to take this grain that comes in bulk, and cart it and handle it as it is handled to-day, and put up elevators that will raise a bushel at a lift ! My way of doing this business would be, to take a car loaded with ten tons of grain, and run it right up on the sec¬ ond floor of your store-house, open the trap door, and out goes your deposit. In that way, you can handle your grain cars as fast as they do their coal cars in Philadelphia to-day, where they are handling, as I have said, from ten to twenty thousand tons with perfect ease, and can handle twenty thousand more, if necessary. I say, there is no freight that can be handled so economically as corn and wheat in bulk, if you will only nse a little brain work. Arrange your cars with trap doors, and you can empty them as fast as you please ; your elevator keeps on working, day and night, and there is no stopping for cars to unload. What do you find now ? You put a car at the eleva¬ tor of the Lowell Railroad, and four or five men get in and poke out the grain. I would have a trap door opened, and the grain would run out before a man could get in ; or, if he got in, he would have to jump out quick, to escape being carried down, too. Who pays for these laborers, and all these other expenses ? I pay for them ; you pay for them ; we, the people of the Commonwealth, pay for them. It is a slovenly way of doing business, and it is time it was stopped. I should like to take a whole train load of our " Common Sense " men, who write such articles, and carry them to Philadelphia, keep them out of Boston six weeks or two months, and let them see the world. It would take the conceit out of them pretty thoroughly, and give them a little practical common sense. Now, gentlemen, I will come back to the subject-matter in hand. I want Massachusetts to see to it that her railroads are doing all they can do, and then to see to it, that when they get 20 their freight here, it is managed with the utmost economy. Then what ? It seems to me that all these plans for going round to East Boston, for filling up Boston Harbor, and for put¬ ting our capital into dead estate, are uncalled for, when we have two miles and a half of the best water-front of any city lying upon the seaboard, and allow those storehouses to be rented for $800, $900, or $1,000 a year, which ought to com¬ mand $3,000. Who owns them ? They are owned all over this State. Once let this Marginal Railroad start, and have the opportunity of going from the Worcester road round to the Lowell road, and you give increased value to these storehouses, and to all your wharf property. Do not bring any more flour ; bring your grain in bulk from Ogdensbiirg. It costs you noth¬ ing to load it there ; it loads itself ; it unloads itself here ; and then it is simply the expense of bringing it from the granaries of the West to the hungry consumers. You may receive 30,000 tons of grain a day and empty it with the most perfect ease ; not in the way " Common Sense " would propose, of lift¬ ing it by spoonfuls, but by letting it run. The power of grav¬ itation will do the work, only put your cars where you ought to put them. And then your grain will be where that three thousand ton ship that I saw at South Boston to-day taking in her machinery, can come alongside of the wharf and be loaded in three hours. " Common Sense " would say, " That is too quick." " Common Sense " would say, " Take a truck, and be a month loading that ship." " Common Sense " thinks he is wise ; thinks he understands matters ; but it is because he does not go abroad. I tliink 30,000 tons can bè handled daily with less complaint than is now made in handling this little amount of freight that is transported to and from our city annually. And then what ? You will want every truck-horse in Boston that you have got now ; you will not need to sell one of them. You are not going to diminish the consumption of grain in Boston. The only difference will be, you will do ten tons of business where you do one to-day, with the same amount of machinery, and horses, and men. You will put your brains to work, and will take an eighty or one hundred horse-power engine and drive an elevator, instead of getting a little bit of a donkey machine to lift shorts ! 21 I have referred only to the Worcester road and the Lowell ; but the same results will follow on the Fitchburg road, going to Schenectady. How many weeks will it be after this system goes into operation, before tiie merchant in Salem will say, " I will buy my West India goods on the line of that road ; it saves truckage " ? These two horses will do the work of ten, and somebody has had to pay for those ten horses. It will not be a month before some man will say to the Boston merchant, " You have a ship going to New Orleans ; we want that ship to come to our wharf ; we have got deep water." " I can't go there. There is a railroad on the other wharf, and I can have my cot¬ ton taken directly from the ship and put on a car, and sent up to Lowell or Manchester." Who pays for the expense on that cotton ? It comes out of the consumer in some way, or we have got to raise our tariff on foreign goods to pay tiiis extra price. By this plan, that expense will be sa%'ed, and you may reduce your tariffs. I say, instead of going to the Lowell Railroad and having them buy land at two or three dollars a foot, in order to be able to store this cotton, or to get a place for teams to turn round in, have your cotton taken directly from the wharf to the car, and sent at once on its way to the mill where it is tó be epnsunied. If men would but understand their interest, they would revolutionize this whole matter of loading and unloading freight, to such an extent that every railroad would be crying out, " Give us your lumber ; give us your freight ! " You may start from Prison Point and go round to South Boston Point, and you have got all this terri¬ tory to deposit the lumber from New Hampshire upon. I say, this plan will equalize these expenses, and we the people will have the benefit of that equalization. I hope, therefore, it will be carried out. Now, sir, with regard to the matter before us here. You are asked to grant a charter for a railroad from the Worcester depot round through certain streets. Why are you asked to locate this railroad ? Because every man has a deep interest in its location. If you build this railroad in one way, the cars from the Michigan Central Railroad, or the Illinois Central, arriving in Boston, cannot turn the corners, on account of their construction, and that would create the necessity for unloading them. I think we need to keep this thing in mind,—that we 3* 22 are preparing a highway for the cars that run across this conti¬ nent, and for all the intermediate lines of railroad whose gauge is the same as ours. The narrow-gauge will go across the con¬ tinent. People have very different modes of constructing cars. Some build them so that they will turn a short corner of sixty feet radius, but there are a great many cars that cannot turn on so short a radius. We wish this line of railroad laid out in such a way that a locomotive built at Taunton, Springfield, or anywhere else, may pass directly, at night, over any part of that line to any railroad whose tracks are connected with this Marginal Railroad ; and any curve that will pass that locomo¬ tive, will pass any railroad car that may come to you from any part of the West. That is the reason we ask to go through the head of Rowe's Wharf, where the street is of such an angle that it is impracticable to get a curve over which a locomotive can be run. That, and an archway through India and Central Wharves, or perhaps taking out one store, will remove all diffi¬ culties until we strike the Lowell Railroad. At that point, it becomes a difficult matter ; but we hope that the counsel for the Commercial Railroad will see that the plan of those of us who have embarked in this matter is a feasible one, whereas their location is an impracticable one to be carried out ; and we hope that a compromise may be made that will be satisfac¬ tory. Then we propose to lay a double track, with connecting turn-outs every 500 feet, so that if the track is obstructed at any point, we shall be able to pass by the obstruction and go on. I have had a conversation with the mayor of the city of Boston in relation to this subject, and he asked this question— " Why do you put in this provision about steam ? Have you any idea of using steam ? " " Yes, sir, we have. I may as well tell you frankly, that the parties who go into this project, intend to reduce the cost of transportation to the lowest possi¬ ble point ; and to do that, it will require all the horses we have to do the day work, and at niglit, when the streets are quiet, we wish to take the freight by steam and deliver it at all these wharves. It is a great deal better that the freight should arrive at the time when it can be handled cheapest, and the cheapest time is at night. Your elevators will be run day and night ; and if we can take a dummy engine, while the citizens are asleep, and transport this freight, is there any good reason why 23 it should not be done, if it will diminish the cost of transporta¬ tion of a bushel of wheat or a barrel of flour." He said, " That is perfectly satisfactory. The city will not be found in opposition to you on any of these questions." He said, also, this : " It solves one other question—these South Boston flats. If this whole margin is made available, as it can be by this proc¬ ess of economy, when this business grows, then you can go to filling in, and keep on filling." When the heart, and the arte¬ ries, and the veins are all full, and commerce begins to spread out beyond these wharves. East Boston will feel it. South Bos¬ ton will feel it,—the suburbs will all feel it,—and a healthy circulation will make Boston what she ought to become—the first and foremost of the seaboard cities as connected with the West. Gentlemen, this may look to you like digression, but it is all, to my mind, directly in point. The position which we occupy is not for us and for to-day, but for the generations that are to come after us. Those trees on Boston Common were not planted by you or me, but we have the benefit of them. What planted them ? Forecast, forethought, wisdom. Let us take up and consider these matters of legislation in accordance with the dictates of a wise policy. To my mind, it is just as inevi¬ table that our General Government will be called upon to open a highway from Lake Erie to Lake Ontario, as that the waters run over the falls to-day. When New England understands this question of economy in transportation, her representatives will be, to a man, in favor of making a free canal from Lake Ontario through to Lake Erie ; and when you have got that, there is no way in which grain in bulk can be carried so cheaply toward Europe as it can be by these cars taking it from the lakes in the summer season, and depositing it upon our wharves, or directly in ships for Europe. Now, gentlemen, on this subject of a ship canal, the West will be united ; and when the West are united, we of the East must be united ; and I long to see the day when Western farm¬ ers, wiio till those soils, instead of having their products all eaten up in transportation, shall receive the pecuniary benefit of their toil and labor, by the high prices in Europe and on the sea¬ board. Where lies our true interest as a State ? It lies directly here. Tap Lake Ontario again. You have got one point 24 where you do tap it. Make the shortest line that can be made from Boston to Lake Ontario, and that shortest line will pass directly through Worcester, Springfield, Albany, and so on to the lake. If you have money to spend, you can reduce that transportation, to-day, in point of distance, sixty miles. That is a suihcient saving to make the difference of an import and export point between this and Europe. Let the roads be worked exactly as our coal roads are worked, and one and a half cents per ton per mile will pay all expenses and all the dividends that the law allows to the line doing that business, whatever may be said to the contrary by railroad men. So important do I regard this matter, that I would stop the wheels of government, and take to-day the most wise and learned and skilful men we have among us, and appoint them a commission to give Massachusetts just what it costs our roads and other roads similarly situated to carry grain in bulk from the lake to the seaboard, per ton per mile ; and when I had done that, I would see to it that the people had all its benefits. I say that one and a half cents per ton per mile, from the lake to the sea¬ board, ignoring all your local business, and with no return freights, will pay ten per cent, and over, annually, on the net cost of a double-track railroad, with all its paraphernalia. But what facilities have these railroads for doing the local business ? Why, sir, these cars that carry cotton to Manches¬ ter and to other points in New Hampshire, have comparatively no return freights. Their loads are all up—from the East to the West ; whereas, the business of the Western Railroad is from the West to the East. We want to give them a return business from East to West. Let our railroad men take up this subject, and understand it. When they do, that same car which takes cotton to New Hampshire, will pass directly on to its destination at the lake, for a load of wheat, and then return here. Now, Mr. Chairman, an objection may be made to this Bill by some railroad officer, who will say, " We don't like this phrase, ' shall connect their tracks.' " I like it. The public have not got to go to the superintendents and directors of the several railroads and ask them whether they will connect with this road or not. The Bill requires that it shall be done ; and I think it is about right. Then the truckmen will say, " You • w 25 are going to destroy our business." All I can say to that is, that when the Providence Railroad was opened in 1834 or '35, opposition stages were running, and dirt flying, and men said, " Horse flesh is going to be good for nothing ; sell your horses cheap." We all know the result. The city of Boston should not complain, for the rise in prop¬ erty that has been lying dormant for twenty years will diminish the taxation on other property, and the keeping in repair of those streets through which this line passes will diminish their expenses, and there will be a vitality and power infused here which will make themselves felt throughout the Commonwealth, I am much obliged to you, gentlemen, for the courtesy you have extended to me. STATEMENT OF HARVEY SCÜDDER. Mr. Chairman :—Mr. Crane has been over the ground so thoroughly, that it probably is not necessáry I should say any¬ thing ; but I desire to add a few words, simply as a merchant. I have been in business in Boston for twenty-flve years, and have been connected with the grain and flour business of the West ; and of course all I have to say is what I understand to be the facts in regard to carrying on this business. Mr. Crane has presented a great many features, but he has omitted a great many. There are a good many things connected with this matter which might be said, in favor of the granting of a charter for this railroad. When I first commenced business in Boston, I recollect we used to bring our grain here in vessels, and we would take a gang of five or six men, and get out 2,000 or 2,500 bushels a day. It is so now. Take a gang of five or six men, and place them on the cars of the Worcester Railroad, and they can get out 2,000 or 2,500 bushels a day, if they work sharp, and have plenty of bags. One thing is certain : we cannot get the business, as things are managed now ; and I say the members of the legisla¬ ture ought not to go for ihdividual profit, but for the good of the State. We cannot do the grain business of the West, unless we have facilities different from those we have had for the last twenty-five years. We bring our cars into the Worcester depot, and they lie there. Here is a man who buys perhaps 4 26 five hundred bushels of grain, and says he will send his bags there at a certain time. We go there with a gang of men, and he is not there, and we must wait for the bags. Of course, it takes up time, and these men, who are hired by the hour or by the day, have got to be paid, whether they work or not. It is very evident, that with this railroad in operation, the grain could be carried down to all these wharves, and discharged at once. I have had letters this last month from people at Toledo, who say, "We cannot ship our grain to Boston, because the railroads won't take it in bulk. They say you have no facil¬ ities in Boston to discharge this grain, and they keep it in their cars so long, that we won't send it there." Of course, we ought to act for the interest of Boston. The reason why our grain business has gone to New York, is because they have got facilities for taking the grain and unloading it. There are hardly a thousand bushels sold in Boston now to the State of Maine, where there were fifty thousand when I first com¬ menced business. It is because New York has facilities that we have not got. Everything here has to be carted. Our vessels cannot be hauled round to these railroads without going through a great many bridges ; but when our railroads can discharge their grain upon the wharves where vessels can come in, then we can bring back the Maine business we have lost. Let this writer who signs himself " Common Sense " go out West, and he will be as astonished as one of our fish merchants was. He took a tour, and his ideas were enlarged. Says he, " They have got an elevator at Chicago that will hold eighty thousand bushels of grain ! " Says I, " My friend, it isn't pos¬ sible ! You must be mistaken ! " " No," said he, " I am right." Said I, " No, you are not. It is eight hundred thou¬ sand bushels." * I suppose they have got elevators now that will hold twice that amount. Look at the facilities at Ogdens- burg, Buffalo, and other points ; and here is Boston, seemingly out of the question entirely. Why is the export business to Europe done in New York? Because they have got facilities for handling the grain, and putting it on board their ships. It seems to me the only thing Boston needs is to have some ♦ 24,000 tons. 27 enterprising man take hold of this thing and carry it through, and then we can have our lines of ships carrying our freight back and forth, and carrying our grain to Europe ; and a great many people have said that it is cheaper to carry goods from Europe to New York through Boston, than to have them shipped directly to New York. Now look at Commercial Wharf. I used to pay 1700 rent for a store there ; I believe the same store rents now for $500, for the fish business. It was formerly used for the grain busi¬ ness, when fiour and grain came here by vessel. They have put an elevator on that wharf to do the grain business, and one of the proprietors told me, within a week, that they had sunk $3,000 a year ever since they put it there, and it is now advertised for sale. What is the reason ? Because they can¬ not get the grain. A little comes by vessel, but if we had this railroad, so that we could take this grain at the West, and bring it to Boston, and deliver it on our wharves by means of elevators, (without resorting to the improved plan suggested by Mr. Crane,) we should be able to compete successfully for the business of the West. Unless something is done of that sort, you may depend upon it that Boston will not be able to compete for the grain business, even with Portland. Look at Portland, Philadelphia, New York and Baltimore. You will find that their railroads all connect with the wharves, so that this business is done advantageously, and they draw it. Bos¬ ton will never draw business from the West until she has facilities for doing it.