USA > Iowa > Des Moines County > History of Des Moines County, Iowa, Volume I > Part 42
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Farm Lots and incidentals
2,793.63
$649.174.61
Deduct expense and taxes
414,428.70
Balance $212,863.75
Bills Receivable and Cash 21,882.09
$234,745.84
The net proceeds of this grant was pledged to the payment of principal and interest on $5,058.350 of B. and M. bonds."
Such was the financial condition of the B. & M. at this time, that during the year 1873 its stock was increased $357,000 by the conversion of bonds. The stock was better than bonds. From the beginning it could be clearly foreseen that
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HISTORY OF DES MOINES COUNTY
some years must elapse before the road would pay a net income; but that it would pay could be easily foreseen. Interest was accumulating on the bonds, and its payment demanded. The same men who undertook to repudiate the bonded debt of the city created for the construction of the road undertook to repudiate the indebtedness of the county for the same purposes. Their attempts had the same result in reference to the county that it had as to the city. The county was compelled to settle under the same law and under like conditions as the city. Both county and city lost the stock for which they had subscribed and which had been delivered to them for the loans voted. Some years ago the county by suc- cessive tax levies paid off its indebtedness incurred by the bonds ; but the city still owes the debt contracted more than sixty years ago. Had the city and county done as they agreed they would have had both road and stock.
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CHAPTER XXI BANKS AND BANKING
BURLINGTON BANKS
The establishment of banks of issue in Iowa were inhibited by law until the ratification of the Constitution of 1857, which provided under certain conditions banks might be established, and which also provided, the Legislature might pro- vide for the establishment of a state bank.
The Legislature passed an act March 22, 1858, which took effect July 29, 1858, entitled "An Act Authorizing General Banking in the State of Iowa."
On the 20th day of March, 1858, the same Legislature passed an act which took effect on the 29th of July, 1858, entitled "An Act to Incorporate the State Bank of Iowa."
It was under these two acts, the financial destiny of the state was to be worked out to a large extent. No system, however perfect, will accomplish its purpose effectually unless under able and honest management. Anything to succeed depends more on management than anything else. The whigs had been claiming for years that banks might be established under proper safeguards, and the time had come when they had the opportunity under the law of 1858.
We find in 1858 the following persons engaged in the banking business in Burlington : Cook & Baxter, 48 Jefferson Street ; Coolbaugh & Brooks, 23 Jef- ferson Street ; Lauman, Hedge & Company, 45 Jefferson Street ; White & Ather- ton, 47 Jefferson Street.
The Des Moines County Savings Bank was incorporated in 1856. Capital stock $200,000, divided into 10,000 shares of $50 per share. Incorporators, Charles Mason, J. D. Crocker, Nat Erwin, W. W. White, J. S. Schramm, G. R. Atherton, and William Jerald.
There was organized on April 24, 1857, the "Merchants Insurance Company and Burlington Savings Bank," capital stock $200,000, with authority to increase the same to $1,000,000. Incorporators, R. C. Kendall, J. F. Tallant, A. Hebard, E. E. Gay, Michael Parks & Co., John S. Peasley, Fitz Henry Warren, Brown and Allen, N. Lathrop, R. Wilson, Moses Beers, A. B. Porter, T. S. Taft, W. S. Viney, W. P. Brazelton, H. B. Ware, A. D. Green, William Sunder- land, Elisha Chamberlain, J. F. Abrams, J. W. Cole. The face value of each share of stock $50. The articles showed the above named had subscribed for 685 shares of the capital stock of the company. The company's incorporators were men from Burlington and Mount Pleasant. What became of the mag- nificent paper company we do not know, but we do know that this bank was a "Wild Cat" bank, as they were called. It did not have legal authority
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HISTORY OF DES MOINES COUNTY
to issue its notes to circulate as money, promises to redeem them by payment of so many dollars; such banks were prohibited by the Constitution of 1846; but the constitution was not self-enforcing, as it did not furnish a penalty for its violation. It was not until the Code of 1851 went into operation, wherein it was provided that no incorporated company shall issue its notes as evidence of debt and to be put into circulation as money ; and further provided, that for a viola- tion of the statute any officer, director, agent, etc. of the company, shall be im- prisoned in the county jail for a term not exceeding one year. Undoubtedly it was this statute which put an end to the first Burlingon Savings Bank as a bank of issue.
As stated, the banking laws provided for two systems, general banking and a state bank.
The provisions of law for the incorporation of a state bank were in many respects the most admirable. It provided for the organization of a state bank with one or more branches, each branch to have a capital of not less than fifty thousand dollars and not more than three hundred thousand dollars. The issue of such banks to be redeemable in specie. The state bank to furnish the notes to be issued for circulation. The number of state banks not to exceed thirty. All the branches were held liable for the redemption of the notes issued by each, as well as each stockholder held liable for the face value of the stock held by him. In case of failure, the bill holder to have a preference over all other cred- itors of the bank. The act creating banks was submitted to a vote of the people. and was ratified by them by a vote 41,588 for the law and 3,697 against it.
To carry into effect the provisions of the act, by the terms of the act, C. H. Booth of Dubuque County, E. H. Harrison of Lee County, Ezekiel Clark of Johnson County, J. W. Dutton of Muscatine County, William J. Garling of Polk County, C. W. Slagle of Jefferson County, Elihu Baker of Linn County, William S. Dart of Mahaska County, L. W. Babbitt of Pottawattamie County, and Ed- mund T. Edgerton of Lucas County were appointed commissioners who were to receive applications for the organization of state bank branches. Under the pro- visions of the law a branch was established in Burlington.
On the 25th of August, 1858, James W. Grimes, Charles Mason, Lyman Cook. W. F. Coolbaugh and Francis W. Brooks made application to the state bank commissioners for the establishment of a branch of the state bank at Bur- lington. The application showed its signers had subscribed $150,000 to the cap- ital stock of the bank. The bank did not commence business until the 14th of February, 1859, at which time James W. Grimes, W. F. Coolbaugh, Lyman Cook, J. M. Baxter and F. W. Brooks were elected to the directory of the bank.
The first officers of the bank were: W. F. Coolbaugh, president; Lyman Cook, vice president; F. W. Brooks, cashier.
It can be said that this branch of the State Bank of Iowa, and its successor, the National State Bank of Burlington, had their origin in a commission, for- warding and brokerage business carried on by F. J. C. Peasley and F. W. Brooks on Water Street in 1842.
The pioneer bankers of Burlington were first engaged in the commission, for- warding and mercantile business. J. F. Peasley and F. W. Brooks were com- mission merchants ; Lyman Cook a dealer in hardware, stoves, etc .; W. F. Cool-
EDWARD HAGEMANN
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HISTORY OF DES MOINES COUNTY
baugh sold queensware; George and J. G. Laumann were selling dry goods and hats and caps of the latest style.
NATIONAL STATE BANK
This bank was organized January 9, 1865, by F. W. Brooks, E. D. Rand, Lyman Cook, W. F. Coolbaugh, Coolbaugh & Brooks, O. H. Schenk and F. T. Parsons. The first board of directors consisted of F. W. Brooks, Lyman Cook, E. D. Rand, O. H. Schenk and F. T. Parsons, and the first officers were F. W. Brooks, president, and F. T. Parsons, cashier. In 1915 the capital stock is $150,000 ; surplus, $150,000; undivided profits, $24,225.40. The board of directors is composed of John T. Remey, J. J. Fleming, J. W. Brooks, J. J. Seerley, Thomas Wilkinson and C. E. Brooks, and the officers are John T. Remey, president ; J. W. Brooks, vice president and cashier ; M. C. Stelle, assist- ant cashier ; C. E. Brooks, assistant cashier ; F. W. Brooks, assistant cashier, and Miller R. Brooks, assistant cashier.
FIRST NATIONAL BANK
The First National Bank was organized February 2, 1864, with a capital stock of $100,000. Its first directors were Lyman Cook, Erastus Chamberlain, John L. Corse, George C. Lauman, Mark S. Foote, Joseph Norton, D. M. Ewing and Anthony W. Carpenter, and the first officers were Lyman Cook, president, and George C. Lauman, cashier ; capital stock, $100,000 ; surplus and undivided profits, $76,484.90. The board of directors is now H. S. Rand, M. F. Hedge, Charles E. Perkins, Thomas Hedge, H. Hagemann, William Carson and William P. Foster. The officers are William Carson, president; William P. Foster, vice president ; L. C. Wallbridge, cashier, and E. A. Kohrs, assistant cashier.
MERCHANTS NATIONAL BANK
This bank was organized October 29, 1870. Its capital stock at the time of organization was $100,000. The first board of directors were C. A. Bodemann, J. C. McKell, P. H. Smythe, T. W. Newman, T. W. Barhydt and C. O. Brien. The first officers were T. W. Barhydt, president ; E. McKitterick, cashier ; capital stock, $100,000 ; surplus and undivided profits, $130,000. The board of directors is now composed of W. E. Blake, chairman; H. A. Brown, James Moir, W. C. Tubbs, John Bernard, W. W. Copeland, Alex Moir, J. L. Waite and J. L. Edwards. The officers consist of J. L. Edwards, president ; W. E. Blake, vice president ; James Moir, vice president ; Alex Moir, vice pres- ident ; H. J. Hungerford, cashier ; F. L. Houke, assistant cashier, and C. L. Ful- ton, assistant cashier.
THE IOWA STATE SAVINGS BANK
This bank was organized August 20, 1874. Capital stock, $80,000. The first directors were Charles Starker, J. C. Peasley, E. D. Rand, Theodore Guelich and C. E. Perkins. The first officers were E. D. Rand, president, and William
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HISTORY OF DES MOINES COUNTY
Garrett, cashier. The present board of directors is composed of E. Hagemann, president ; Louis Blaul, vice president ; H. S. Rand, H. W. Chittenden, William Carson, C. E. Perkins, C. H. Mohland and Henry Ritter. The officers consisted of E. Hagemann, president ; Louis Blaul, vice president ; H. S. Rand, vice president ; J. George Waldschmidt, cashier ; W. C. Kurrle, assistant cashier ; R. A. Baldwin, assistant cashier. Capital stock, $200,000 ; surplus, $200,000; undivided profits, net, $117,312.45.
GERMAN-AMERICAN SAVINGS BANK
This bank was incorporated September 1, 1874, by Charles Mason, Dr. J. J. Ransom, John H. Armstrong, Fred Becker, H. H. Scott, S. H. Jones, W. D. Gilbert, John S. Schramm and John Lahee. Capital stock, $60,000. The first board of directors was composed of Hon. Charles Mason, J. S. Schramm, W. D. Gilbert, S. H. Jones, John Lahee, Dr. J. J. Ransom, Fred Becker, Henry H. Scott and J. H. Armstrong. The first officers were Charles Mason, president ; William A. Torey, cashier ; capital stock, $150,000; surplus, $150,000; undivided profits, $300,000. The directors consist of James J. Ransom, R. M. Green, S. P. Gil- bert, John C. Power, U. Ita, Frank E. Schramm, E. P. Eastman, George C. Boesch, E. C. Gould. The officers are composed of James J. Ransom, presi- dent ; R. M. Green, vice president ; S. P. Gilbert, second vice president ; T. W. Kriechbaum, cashier: C. J. Artz, assistant cashier ; E. W. Wischmeier, second assistant cashier.
BURLINGTON SAVINGS BANK
This bank was incorporated July 1, 1904, with a capital stock of $100,000. The first board of directors were H. D. Copeland of Chariton, Iowa ; John Blaul, C. A. Stutsman, P. Henry Andre, George Whipple, H. Miller. The first officers were H. D. Copeland, president ; John Blaul, vice president ; George C. Swiler, cashier. Present capital stock. $100,000 ; surplus and profits, $33,000. The pres- ent board of directors are Geo. H. Higbee, S. C. Scotten, P. H. Andre, J. J. Fleming, August Schlapp, C. HI. Walsh, G. C. Swiler, W. H. Grupe. The present officers are George H. Higbee, president ; John J. Fleming, vice president ; George C. Swiler, cashier ; William P. Fleming, assistant cashier.
TIIE STATE BANK OF MEDIAPOLIS
This hank was incorporated by R. P. McClement, E. Fry, T. McClement, J. R. Hutchcroft, John Eland, Wm. C. Smith, C. H. Parrett, John L. Thomas, B. F. Stahl, Thomas McClintock, H. Meyers, Edward Farrer, F. P. Helphrey, F. A. Walker, W. V. Lloyd, Ruth Ann Haynes, Mary A. Thomas, F. W. Kline, R. D. Pool, Joshua Hedges, Lewis Wagner, I. J. David, John Hutchcroft, I. N. McClure, Jacob Nordstrom, Thomas Davis, J. H. Scott, C. Johnston, Elizabeth E. Farrer, Win. Harper, Wmn. Husted, Gardiner Haynes, D. Kelley and D. W. Lunbeck. Capital stock, $20,000 ; divided into shares of $100 cach. The first board of directors were Wm. Harper, C. H. Parrett, Lewis Wagner, D. Kelley, F. A. Walker, I. N. McClure, F. W. Kline, I. J. David, T. McClement. J. H. Scott, R. Hutchcroft, John L. Thomas, Thos. McClintock. The first officers
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HISTORY OF DES MOINES COUNTY
were W. Harper, president ; I. N. MIcClure, vice president ; W. V. Lloyd, cashier. This bank continued until 1910, when it sold and transferred its assets to the Citizens State Bank of Mediapolis.
CITIZENS STATE BANK OF MEDIAPOLIS
This bank was incorporated in 1891 ; capital stock, $25,000. The first board of directors were John L. Thomas, John R. Hutchcroft, Hope Eland, W. S. Husted, C. H. Parrett, D. H. McKee, Joseph Barton, S. J. Huston, M. M. Miller, M. J. Seeds, John L. Jones, John T. Beckman, Merman Meyers. In 1900 the capital was increased to $50,000. The State Bank of Mediapolis and the Citizens Bank was consolidated in 1900, under the name of the Citizens Bank of Mediapo- lis, when the capital stock of the consolidated bank was increased to $100,000. Surplus, $50,000. The board of directors are Daniel Matson, J. L. Jones, Victor C. Peterson, M. U. Bridwell, Herman Walker, W. S. Husted, Peter Vance, John T. Beckman, R. Eland and S. J. Huston. The officers are M. U. Bridwell, president ; J. L. Jones, vice president ; E. R. Nordstrom, cashier ; J. E. Berry, assistant cashier.
COMMERCIAL STATE BANK
This bank was incorporated in 1911, by Henry Breder, Edward Riepe, Theo- dore Beckman, A. F. Anderson, W. W. Meyers, Arthur McDonald, Amos Bolick, Joseph P. Baird, Gust H. Berstrem, S. C. Dodds, H. H. Martin, Frank McDonald, Thomas Hutchcroft and John Schultze. Captial stock, $50,000. The first board of directors were S. C. Dodds, Frank McDonald, Joseph P. Baird, Amos Bolick, H. H. Martin, Fust H. Berstrem, W. W. Meyers, Edward Riepe, Henry Breder, Arthur McDonald, Theo. Beckman, Tom Hutchcroft, and the first officers were Henry Breder, president; Amos Bolick, vice president; A. F. Anderson, cashier. The present board of directors are D. J. Kelley, Frank McDonald, Joseph P. Baird, Amos Bolic, H. H. Martin, Gust H. Berstrem, W. W. Meyers, Edward Riepe, Henry Breder, Arthur McDonald, Theo. Beckman and Tom Hutchcroft. The present officers are Henry Breder, president; Amos Bolick, vice president ; A. F. Anderson, cashier ; T. F. Richardson, assistant cashier. Present capital, $50,000 ; surplus, $3,000.
DANVILLE SAVINGS BANK
This bank was incorporated August 23, 1899. Incorporators: D. H. McKee, W. H. Hurlburt, B. W. Shepherd, George F. Giese, George Nau, J. H. Dodds and A. P. Caldwell. Capital stock, $12,000. The first board of directors were B. W. Shepherd, J. H. Dodds, A. P. Caldwell, George H. Giese, W. H. Hurlburt, George Naut and D. H. McKee, and the first officers were W. H. Hurlburt, presi- dent ; D. H. McKee, vice president ; W. M. Irwin, cashier. Present capital stock, $50,000 ; undivided profits, $6,000. The present board of directors are W. M. Irwin, Charles Nealey, Ray Mathews, J. H. Dodds, R. P. Cady, Joseph Bolick and Will Kelley, and the present officers are W. M. Irwin, president ; J. H. Dodds, vice president ; Ray W. Mix, cashier.
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HISTORY OF DES MOINES COUNTY
MIDDLETOWN STATE SAVINGS BANK
Incorporated February 22, 1907. Incorporators: George Beck, E. A. Carden, F. Blakeway, William Kassel, J. W. Westerbeck, W. H. Scott, Thomas Sutton. Capital stock, $12,000 ; undivided profits, $9,482.86. The board of directors are William Kassel, George Beck, Thomas Sutton, Frank Blakeway, William Wester - beck, E. A. Carden and W. H. Scott. The officers are W. H. Scott, president ; Thomas Sutton, vice president ; Elmer S. Sutton, cashier.
ROSCOE FARMERS SAVINGS BANK
This bank was organized on the 6th day of December, 1910. Capital stock, $12,000 ; surplus, $1,000. The board of directors are Joseph Barton, M. T. Evans, John Kuhlenbeck. C. H. Barton, John Caldwell, J. F. Schwaller, John Stucker and H. R. Weinrich. The officers are Joseph Barton, president; Craig Dodds, cashier.
FARMERS BANK OF YARMOUTII
The Farmers Bank of Yarmouth is a private bank owned and controlled by Hon. Fred N. Smith, one of the largest landholders in the county. This bank commenced business July 1, 1895. It was first owned and controlled by Hon. Fred N. Smith, William Beck and E. L. McClurkin. Subsequently Mr. Smith purchased the interests of Mcclurkin and Beck. Capital invested in the bank, $15,000 : surplus, $6,000. O. F. Miller, cashier.
FARMERS BANK OF KINGSTON
This is a private bank, owned and controlled by Hon. Fred N. Smith of Yar- mouth and Oren L. Asby of Kingston. Capital invested, $10,000 ; surplus, $1,000. Oren L. Asby, cashier.
ORCHARD CITY SAVINGS BANK
This bank was organized April 20, 1867, by Chancey L. Olmsted, James Put- man, William D. Olmsted, J. S. Wright, Henry B. Olmsted, John H. Davey, John P. Sunderland, C. P. Squires, N. P. Sunderland and R. C. Kendall. Capital stock, $100,000. For a time it did a good business, but hard times struck it, and at a time when it was impossible to realize on its assets to meet pressing needs, and was compelled to make an assignment for creditors. The bank paid in full all its liabilities under the assignment, except the liabilities due stockholders on their stock.
COMMERCIAL BANK
This bank was organized February 14, 1883. Its incorporators were among the best men in Burlington and Des Moines County, Iowa, and Henderson County, Illinois. Capital stock, $100,000. The first board of directors was composed of John M. Gregg, John Scarff, J. O. Anderson, David Leonard, R. T. Root, R. A.
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HISTORY OF DES MOINES COUNTY
Lomax, E. McKitterick, John Zaiser, E. H. Carpenter, I. N. Ripley, J. H. Parks and Marcus Simpson. The first officers were John M. Gregg, president; E. H. Carpenter, vice president ; E. McKitterick, cashier.
The bank had a good start and under proper management would have been among the successful and leading banks of the city, but there was connected with the institution one man, and a most remarkable man. He possessed certain quali- ties which made his influence almost irresistible. In a certain sense it was hyp- notic. In his life he was to outward appearances the embodiment of "Piety." He was a Methodist, but had to be baptized by immersion in the Mississippi River. His business was that of publishing and selling a book called "The Foot- prints of Time," which he claimed to have been written by one George Bancroft, a great historian. That he was successful in the publishing and selling of this book is not questioned. One peculiarity about him was, he never could be aroused to anger. If he was smitten on the right cheek, he turned the left. "He was a lean and hungry Cassius"; cool blooded, while he appeared warm hearted. While he appeared to recognize an obligation, he in fact did not heed it; paid only when it suited his conscience to pay, and that never came. The president of the board of directors began to get suspicious that things were not as they should be at the bank, and sent his son to investigate. The son, a young lawyer, investi- gated and reported to his father things were not as they should be, that R. T. Root, the publisher of the "Footprints of Time," was a large borrower from the bank, and that it held his note, whose payment was secured by his stock, deposited as collateral, and the bank held his note given for his part of the capital stock. At the time, this financier was possessed of a large amount of territory purchased from Webster & Co., the publishers of the "Memories of General Grant." He had got a good old farmer whom he had hypnotized to go on his note to Web- ster & Co. The bank's money went to push the sale of the "Memories" through agents. The bank was compelled to make an assignment for creditors, of which there were not many, because gradually depositors had withdrawn their money and the principal creditors were the stockholders who had paid for their stock. Root turns up of a sudden in Denver, a curbstone broker in mining stocks. Time heals wounds; it is the parent of forgetfulness. In time Root's man Friday appears in Burlington, purchases all claims against Root at from five to ten cents on the dollar, and he is a free man.
CHAPTER XXII
THE SEMI-CENTENNIAL OF IOWA
No event had ever taken place in Burlington which gave its people such feel- ings of pride, or taxed their generosity, than the semi-centennial celebration of the first settlement of the state which took place at Burlington on the Ist day of June, 1883. On the Ist day of June, 1833, by the terms of the treaty through which the Black Hawk Purchase was acquired, the Indian title became extin- guished and the whites had the right to cross the Mississippi into this land, a land more beautiful and plentiful than the one which Joshua entered over Jordan in the long past centuries. It was a proper thing that this celebration should be held in Burlington and Des Moines County. Des Moines County was the mother of half the counties in the state, and Burlington was the first seat of government after that district of country north of Missouri and west of the Mississippi River had been given a territorial existence known as Michigan Territory. (In this connection I will state that in 1804 Congress passed an act dividing the Terri- tory of Louisiana, and that part lying south of the thirty-third parallel from the Territory of Orleans, and the part north from the District of Louisiana, which was placed under the control of the governor and judges of Indiana Territory. A year later Congress established a territorial government for the District of Louisiana and changed the name to Territory of Louisiana, of which the execu- tive and judicial powers were entrusted in a governor and their judges appointed by the President. In 1812 the name of this territory was changed to the Terri- tory of Missouri and a legislative department was established in addition to the executive and judicial. In 1821 Missouri was admitted into the Union with defined boundaries, when the remaining part of Missouri Territory was left as an orphan until 1834, when it became included within the boundaries of Michi- gan Territory.)
A committee of citizens, of which Hon. P. M. Crapo was chairman, had been appointed by the citizens of the city and county to go to Des Moines and procure state aid to help make the celebration such as would reflect honor on the state. The matter was presented to committees both of the House and Senate in such a way that brought conviction as to the justness of the citizen committee demands, with the result an appropriation of $10,000 was granted by the state to help in the matter of the celebration. The people of Burlington generally contributed a large sum to make the occasion a success.
OFFICERS OF THE CELEBRATION
President, Hon. A. C. Dodge; vice presidents, Hon. A. G. Adams, Thomas Hedge. Jr.
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COMMITTEE ON INVITATION
Hon. A. C. Dodge, chairman ; Hon. John H. Gear, Thomas Hedge, Sr., E. D. Rand. Hon. John Patterson, C. E. Perkins, Charles Starker, Hon. C. H. Phelps, Hon. A. H. Stutsman, Hon. David Rorer, T. L. Parsons, J. W. Burdette.
CHAIRMEN OF OTHER COMMITTEES
On finance, Hon. Lyman Cook; on transportation, W. W. Baldwin; on deco- ration, R. M. Washburn ; on river excursions, George W. Vinton; on boat club program, Thomas Hedge, Jr .; on music, James A. Guest; on printing, C. C. Fowler; on waterworks display, J. C. McKell; on entertainment, S. H. Jones ; on arrangements, Hon. J. Patterson ; on reception, Hon. John Zaiser.
"HOW BURLINGTON LOOKED ON THAT DAY"
"The morning dawned bright, clear, and cool. The auspicious and favorable weather was hailed with general joy. The people began streaming into the city at an early hour from the surrounding country, and on the trains and steamboats from every direction. The early trains were jammed with people, though addi- tional coaches had been provided. The special trains brought thousands of vis- itors. On all the branch roads large delegations came in. On many of the trains flat and box cars were attached to accommodate the crowd.
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