Leading Events in Johnson County, Iowa, History, Part 18

Author: Aurner, Clarence Ray, 1861-
Publication date: 1912
Publisher: Cedar Rapids, Ia. : Western historical Press
Number of Pages: 745


USA > Iowa > Johnson County > Leading Events in Johnson County, Iowa, History > Part 18


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"the point on the line." At this date one does not understand why such propositions for voting taxes blindly were so easily carried. It happened many times in connection with the rail- road history of Iowa counties, and it was a foregone conclusion that this would carry by a large majority. The very sugges- tion of steam cars crossing this state was sufficient to arouse enthusiasm and the purchasers of bonds made it a business to speculate on this enthusiasm.


The newspapers of that interesting period are not obtain- able, but according to legal provision the notice of this elec- tion was published for four weeks in the Iowa Capital Re- porter and Iowa City Republican. This was the beginning of bond history which ran on for a period of not less than seven- teen years before final agreement on a settlement.


Johnson county was only one of the great number concerned. ' The records of the county judges and boards of supervisors all along the line of this road contain numerous acts, or attempts to act, in the struggle to shake off the bond holders. It is a long story and should be arranged in some form to bring to- gether all the data obtainable from the several counties. A general view, only, can be given at this time.


On the sixteenth day of June, 1853, the vote was taken on this first bond issue, and the canvass of the vote on July 1, gave 453 votes for the issue, and 47 votes against the issue, a majority of 406, Iowa City township casting 231 votes for, and none against the proposition, while no township of the eleven voting at that date had a majority against the tax. Pleasant Valley had 16 for and 10 against, showing the greatest oppo- sition. From a special study of this Lyons Iowa Central road as projected, and as it concerned a citizen of Iowa City, who has since then occupied a leading position in his chosen pro- fession, we may select the following items, as prepared by Mrs. Ruth Irish Preston for the Annals of Iowa, for January, 1910:


"Previous to 1850 all efforts had been toward the improve- ment of the inland waterways, but in this year, when the Fourth General Assembly convened at Iowa City (December 6, 1852) Governor Hempstead recommended that the Legislature 'urge Congress to make a grant of public lands to aid in the construction of railroads in Iowa;' and at this session strong


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efforts were made to secure land grants to aid in the con- struction of several lines in the State.


"In 1850 a company had been organized in Iowa City to build a road from the Mississippi to that place. This organiza- tion was known as the 'Iowa City and Davenport Railroad Company,' and later, having taken no steps toward construc- tion, other than the making of a preliminary survey, its fran- chise was transferred to the 'Mississippi and Missouri' com- pany - after its organization in October, 1852-on the condition that the road should be built through Iowa City. This transfer was made May 25, 1853.


"However, before the organization of the 'Mississippi and Missouri' company in October, and before the recommenda- tion of Governor Hempstead concerning land grants in De- cember, 1852, the 'Lyons Iowa Central' engineering corps was in the field, locating its line from Lyons westward. I quote the following from the journal of my father, C. W. Irish, who was a member of that engineering party: 'October 15, 1852. To- day I entered the corps of engineers at work setting grade stakes on the Lyons Iowa Central Railroad. The party con- sists of the following persons: Mr. J. I. Wanzer, assistant engineer ; C. H. Holbrook, as rodman; J. Wright, as teamster ; Wm. Hunter, and myself as axemen.' During the next two months Mr. Irish, then a youth of eighteen, worked back and forth several times between Iowa City and Lyons, serving for a time as chainman in Mr. Buck's party and then as rodman in R. P. Mendenhall's corps.


"In January, 1853, Mr. Estes and party arrived at Lyons, after which Mr. Allen Slack, chief engineer, made different arrangements for the several parties under his charge. The winter of 1852-53 was not a very pleasant camping season. My father records that, 'The winter has been a remarkably cold one, the thermometer standing several times at 18 and 20 degrees below zero. The Mississippi river is frozen to a great- er depth than it has been for some time and the ground is cracked open in every direction.'


"As further proof of the priority of the Lyons Iowa Central work over that of any other railroad in the State, I cite the following from a recent letter to me from Hon. Peter A. Dey of Iowa City :


" 'In the spring of 1853, while in charge of the construction


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of a division of the Chicago and Rock Island railroad in Bu- reau Valley, Illinois, I was instructed to make a survey of a railway from Davenport to Iowa City to be followed by a lo- cation as early as practicable. Before it was fully completed it was turned over to Mr. B. B. Brayton and I directed to make a survey to such point on the Missouri river as I deemed prac- ticable for the starting of a line of railway to be extended up the Platte valley. My instructions in this regard were liberal. The haste to make this survey was occasioned by the fact that a line was being surveyed on practically the same route by the Lyons Iowa Central railroad company. This survey was being made by a Mr. Buck, a land surveyor living near Lyons. Hav- ing occasion to observe some of Mr. Buck's work I saw that his object was evidently to get as near as practicable an air line from one county seat to the next. This was usually followed by a vote in every county in favor of issuing bonds to aid in the construction of the railroad. Under this plan bonds were voted, and, as I remember, issued in Clinton, Cedar and John- son counties, and voted but not issued in Iowa, Jasper, Powe- shiek and Polk counties. The haste in making the Chicago and Rock Island surveys seems to have been to prevent if possible the further issue of bonds by any other counties until some- thing was definitely determined. At that time it was thought by parties interested in the Rock Island road that money could be procured from the securities of the road to build across the State of Iowa as soon as the conditions warranted. When I came into the State there was a strong feeling, particularly in Cedar, Poweshiek, Jasper and Polk counties, in favor of the Lyons Iowa Central project, which was stimulated by a rail- way campaign that put its orators in the field. The head and brains of this project was H. P. Adams, a gentleman I believe from Syracuse, N. Y.'


"Looking further for information regarding this first rail- road work in Iowa, I find in the 'First Annual Report' of the Lyons Iowa Central, an article from the Chicago Democrat of Feb. 4, 1854, concerning the 'Galena Air Line' (a road then under construction by the 'Galena and Chicago Union Rail- road,' parent of the railroad system of Illinois) which was then completed to the village of Lane, in Ogle county, seventy- five miles west of Chicago. The article states :


" 'The whole of the road is under contract and is to be com-


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pleted to the Mississippi by the first of August next. At Dixon it crosses the main line of the Illinois Central and will furnish the people living on the line of that road, for many miles north and south of that point, direct railway communication with our city. At Fulton City it is said there is a fine point for crossing the Mississippi. The plan of the bridge places it one hundred feet above high water mark, and of course it would be no impediment to navigation. From Chicago to Ful- ton City the distance is 135 miles. There will be two daily passenger trains and one freight train leaving the city on the first of May next. The extension of the Galena Air Line west- ward is called the "Lyons Iowa Central Railroad." Council Bluffs, on the Missouri, is the point to which several of the extensions of the roads from this city are aiming, and that is to be the western terminus of this road. It is under contract and the money is provided to build it to Iowa City, seventy- three miles. The distance from Lyons to Council Bluffs is 308 miles. It is to be completed to Tipton, fifty miles west of the Mississippi, by the first of October next. This part of the road is to be nearly an air line. Five hundred men are now at work upon the road. The country through which it passes is as fine as any portion of the Mississippi valley and it may therefore be expected to add very much to the business and general pros- perity of the city. It is to be completed to Iowa City by the first of April, 1855.'


"The First Annual Report of the Lyons Iowa Central rail- road company is a very interesting document. The directors' report to the stockholders states that, 'On the 14th day of Feb- ruary, 1853, the company was organized in accordance with the provisions of the law of Railroads and the Right of Way in the State of Iowa.' The Report further tells us :


" 'Subscriptions to the capital stock have been made as fol- lows :


By individual subscribers $686,300


By Cedar county, in bonds. 50,000


By Johnson county, in bonds 50,000


By Jasper county, in bonds 42,000


By Polk county, in bonds 150,000


Total


$978,300


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" 'There have been prepared for issue, and a mortgage has been executed on the first division of the road for the security of the payment thereof, 800 bonds of $1,000 each, $800,000. The individual and county subscriptions being a basis for the issne to this amount.


" 'Assurances are made, and may be relied on with con- fidence, that six additional counties will subscribe for stock and authorize an issue of their bonds to an aggregate amount of $500,000, making the present immediately prospective re- sources amount to $2,278,300.


" 'The work is now steadily progressing with a winter force of about 430 men and a corresponding number of teams and implements. As soon as the frost shall be out of the ground, to admit of a vigorous prosecution of the work, a sufficient force will be put on the line to bring that part of the first division as far west as Iowa City into running order as soon as pos- sible.'


"Mr. Slack, the chief engineer, says :


" 'A survey was made early last spring and the fall pre- vious, from Lyons to Iowa City, for the purpose of getting a general outline of the country.


" 'From Tipton to Iowa City four lines have been run, and although a portion of the line next east of Iowa City has been located, and considerable work done, yet on account of the un- evenness of the ground, I desire to make a more careful ex- amination before submitting an estimate.


" 'The survey west of Iowa City was commenced on the first of September, 1853, and in order to get through to Council Bluffs before cold weather there was no time to revise the line. This survey, however, I consider of great value, as furnishing data to indicate the final location. Portions of it, no doubt, will require little or no alteration, but as much will be susceptible of improvement, I considered it useless to prepare an estimate from the present notes, particularly as our services were so necessary elsewhere.


" 'I would recommend that the whole line west of Iowa City be revised early in the spring, and that the country be more minutely explored on each side of the line, particularly on the north.


" 'In view of the directness of the line through Central.


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Iowa, and the advantages it possesses in regard to the several bridge crossings, I think there can be no doubt it will do the greatest share of through business, both in the conveyance of passengers and freight. In addition to the freight of Central Iowa that will seek an eastern destination, is the immense lumber trade from the Mississippi to supply the demand of Central and Western Iowa, which range of country, as well as the vicinity of Council Bluffs, is dependent on the Mississippi river for its supplies of pine lumber. This article alone will furnish a large western business.


" 'No drawbridges will be necessary on the entire extent of your line.'


"Returning to Mr. Irish's journal for further information regarding the locating of the line, I read under the date of April 1, 1854:


" 'I today commenced work in Mr. Allen Slack's corps, sec- ond division of civil engineers, as flagman. Heretofore I had served in the capacity of axe man. I have received my pay up to this date.


"'April 11. Made ready this morning for a start in Mr. Estes' company to run a line from Iowa City west to Fort Des Moines. The morning was pleasant. We started out from camp and ran a curve commencing at 3941 west of Iowa river.'


"The Lyons Iowa Central boys, in June, 1854, were all laid off indefinitely, many of them without recompense for their months of weary toil. What caused this sudden collapse of a project that seemed so flourishing, and was so well boosted financially by the communities through which the road was projected, was not quite understood then by the men in the field, and after a lapse of 55 years, cannot be fully determined now. The little evidence obtainable points to misappropriation of funds by some trusted party or parties, near the head of the company. Mr. Dey, in his interesting letter on the subject, says that one of the board of directors for the road, 'H. P. Adams, of Syracuse, N. Y., was a fugitive from justice at the time that he was making his strong campaign through the counties of Iowa, encouraging the issue of railroad bonds,' in proof of which he tells the following story :


" 'General Ney, a member of Congress from the Syracuse district, came to Chicago, called at the Rock Island office and


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while there stated he was in the West for a requisition to arrest Mr. Adams and take him back for trial in New York. This Mr. Adams was the one who had, as I have before stated, the machinery at work for obtaining for his road county bonds. which pliant County Judges - as the plan was popular - readily issued. Judge Lee issued the Johnson county bonds, although it was stated that he had pledged himself not to do 90.


" 'It was generally believed, after the failure of Adams and his railway project, that with the county bonds he had made his peace with General Ney. At all events this gentleman en- tered heartily into the railway campaign in Adams' behalf, and being a popular orator, his services were very effective. I recall reading one of his reported speeches wherein he was advocating the advantages of a high bridge over the Missis- sippi river, a suspension bridge of nearly a mile span, where he used the following figure of speech: "The trains will cross the Father of Waters without detriment to the navigation of that noble stream. There will be no piers or other obstruc- tions. Its abutments will be on the high hills. The good fel- lowship of the river and the railway will be shown as the loco- motive laughs when the steamship puffs in its face." As an orator at Tipton, on another occasion, his eloquence not ex- hausted, he uttered the following tribute to the man whom he had come into the West to arrest: "Caesar crossed the Rubi- con to crush the liberty of Rome, H. P. Adams crossed the Mississippi to make the prairies blossom as the rose." It was said that General Ney went home happy and his clients were satisfied.'


"Following his reminiscence regarding Adams, Mr. Dey again says :


" 'I think it was in June, 1854, that Mr. Adams, having used all of his resources, withdrew his men from the field, many of his contractors unpaid and his popularity gone. It is possible . that Mr. Adams hoped, by getting bonds from all the counties between Lyons and the Missouri river, that he could form a basis that would enlist enough capital to build the road; if so his plans were certainly sanguine. It was generally believed, after his failure to accomplish anything, that it was a cold-


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blooded scheme to rob the counties and, after getting their bonds, pocket the proceeds and decamp.'


"When the collapse came it was a severe stroke, not only to the locating engineers but to the construction men as well. Between Lyons and Iowa City much if not all the road-bed had been completed. This grading work had been done by a large gang of Irish immigrants who had been brought from New York and Canada for the purpose. These men, with their fam- ilies, some 2,000 persons in all, were now stranded at Lyons and vicinity, practically helpless and enduring great hardships. The railway company had supply stores at Lyons from which were issued to the graders - in lieu of their wages - grocer- ies, dry goods and miscellaneous articles; but these supplies were exhausted long before the indebtedness was cancelled. It was from these stores that the enterprise was derisively called, and is still known as, 'The Calico Road.'


"Returning to the bond issue which a number of the coun- ties had made in favor of the Lyons road, and which produced litigation of long standing and intense interest, Mr. Dey tells us: 'Later I met in Chicago, Paul B. Ring, who was in some way connected with the project (he was one of the Board of Directors) who offered the Johnson county bonds - the $50,- 000 that had been issued - for $35,000. These bonds the county afterward paid in full with ten per cent. interest from date of issue.' 218 The counties had resisted the payment of these bonds, and were sustained by the Supreme Court of the State; but an appeal being taken to the United States Supreme Court, it was held that although the law authorizing their issue might be questionable, the counties having sold them, and having received in pay thereof the consideration named in the bonds, could not be released from the obligation voluntarily incurred.


"The final climax of the bond issue is told as follows by Mr. Gilbert Irish in his History of Johnson County :


" 'After years of discussion and litigation a convention of counties was called December 15, 1868. Delegates from Wash- ington, Muscatine, Johnson, Jefferson, Lee, Cedar and Powe- shiek counties met in the city of Muscatine. After a lengthy discussion the following preamble was adopted:


" 'Whereas, the recent decision of the Federal court, in-


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volving corporation railroad bonds in this State seems to us subversive of our authority and the dignity of our State courts, and dangerous to the rights and privileges of citizens of the State, if not a positive and unwonted encroachment upon the jurisdiction of the State courts, therefore, Resolved, that this convention recommends to the citizens of the several counties, and citizens interested in this railroad bond question, to pay all their taxes except the railroad tax, and refuse to pay that until all legal and practical remedies are exhausted.


" 'Several other default resolutions were adopted, speeches were made by Hon. Rush Clark of Johnson county, Charles Negus of Jefferson, Robert Gower of Cedar and by ex-Gover- nor Kirkwood, who said: "All will admit that we have a right to make our state constitution and laws just as we please, provided we do not trench upon the constitution of the United States. What value is this right if our courts cannot interpret the meaning of our constitution and laws." '


"Still, like Banquo's ghost, the railway bonds would not down, and in the following May, 1869, a United States Marshal came to Iowa City and arrested the Board of Supervicors and City Council on a warrant for contempt, and took them as prisoners to Des Moines. When the United States entered the field it soon closed the bond war. The terms of peace were brief and dictated by the victorious bond holders - it was tax or prison, and tax it was for some years.


"I visited points on the road-bed that are still visible at Iowa City, prominent among which are a big cut just outside and north of the Catholic cemetery, and a remnant of embank- ment at the head of Dubuque street which was to have formed the approach to the proposed bridge over the Iowa river. Soon these historic evidences of the Lyons road will be gone, as are the men who wrought and suffered loss and disappointment in its work. As the laborer is worthy of his reward it is gratify- ing to realize that not a few of the men who bravely met defeat in this venture afterward attained distinction in their chosen profession. Prominent among these were Messrs. J. I. Wan- zer, J. L. Estes, Allen Slack and Charles W. Irish. Of the after history of the two former I have as yet been unable to get definite data.


"Mr. Slack, the Chief Engineer, was a native of Vermont,


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and a graduate of the University of that State, where he took a course in civil engineering. After graduation he went to New York, where he was employed on the Erie Canal until called west to take a position on the Illinois Central. Later he was sent into Iowa as Chief Engineer to locate the Lyons Iowa Central, making his home at Lyons. To Mr. Slack's early work in Iowa, Hon. Peter A. Dey pays this tribute: 'He suc- ceeded Mr. Buck and made locations that were creditable, and were adopted west of Iowa City in some places by the Rock Island company when their road was built.'


"Mr. Irish, in arranging his effects for removal to Nevada, gave me, among other papers, his Lyons Iowa Central note book, on the last page of which stands recorded: 'To 104 days work as second assistant Engineer for L. I. C. Ry., at $2.00 per day, $208.00, by loan to the President of the Co. $52.00, sum total of indebtedness to C. W. Irish, $260.00, which I never expect to get.' And he never did."


The canvass of the vote on the Lyons Lowa Central road, was scarcely completed when a new petition came before Judge Lee from "a large number of the citizens of Johnson county," for another vote on bond issue in aid of the "M & M" rail- way. The election came on August 6, the second election for fifty thousand dollars in bonds inside of two months. The total vote was greater than in June by 296. Interest was grow- ing, or a better subject was up. Clear Creek township did not appear in the vote for the Lyons road, but in the M & M bal- lot, cast 28 votes for, with none against the proposition. Mon- roe refused to approve of the second issue, voting 5 for and 38 against. This was the only township having a majority against such issue. Iowa City township cast 371 votes for and one against, while in June before only 231 votes were cast, a gain of 140 in less than eight weeks.219


September following Ebenezer Cook, of Cook and Sargent, Davenport bankers and commercial agents who operated through this region in town sites and other speculations, was authorized to sell these bonds on the New York market on the best terms the county could obtain. He was allowed compensa- tion for his services equivalent to that paid him for the same service by Scott county. The paper was payable at the office of E. W. Clark, Dodge & Co., of New York, and was issued in


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500 shares of one hundred dollars each. Thus the second bond issue subscribed was first placed on the market. These carried a rate of seven per cent interest payable semi-annually, and the M & M bonds were due in ten years, or in 1863, the Lyons bonds in 1873. They were turned over to the company for stock, which was received by the county in December, 1853. The Bank of the Commonwealth in the city of New York col- lected the interest. The printing and engraving of the Lyons Iowa Central bonds cost the county ninety-nine dollars, which was allowed in five separate orders.220


Judge Lee made inquiry of Ebenezer Cook concerning the bonds for the M & M line in the early part of 1854 in the fol- lowing letter :


"Iowa City, Ia., Feb. 8, 1854.


"Sir: I write you at this time to enquire about our county bonds. Perhaps you will be able to give me some information as to how they will be disposed of; whether the company will take them or whether we will have to sell them to raise the amount of our county subscription. These bonds being dated the first of September, of course the first payment of interest would fall due on March first next, if the bonds had been dis- posed of. If the company would take the bonds at par in pay- ment of Johnson county subscription any time before the first of March they would be entitled to receive the first six month's interest on them. Please write me and give me any informa- tion and advice in your power in relation to the matter.


"Yours truly, "F. H. LEE.


"Ebenezer Cook, Esq."


The preliminary history of the M & M may be summed up here, since it is fragmentary and has not been mentioned more than by reference :




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