USA > Illinois > Stark County > History of Stark County, Illinois, and its people : a record of settlement, organization, progress and achievement, Volume I > Part 17
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In the suit of Johnson vs. Stark County, it was shown that about eighty miles of the road bed had been graded and made ready for the ties and rails. Some of the people of Stark County were not willing to see all this work go to waste, hence a new company, known as the American Central Railroad Company, was organized to succeed the Western Air Line. William Lowman, of Toulon, was chosen treas- nrer, and William F. Thomas, of Wyoming, was one of the directors. The new company was no more successful than its predecessor and after a short time the interest in the effort to build a railroad waned and the project was abandoned.
CHICAGO, ROCK ISLAND & PACIFIC
On March 7, 1867, a charter was granted to the Peoria & Rock Island Railroad Company to build a railroad between the points named. The new company acquired the right of way of the old West- ern Air Line for $27,000 and began making active preparations for construction. New encouragement was thus given to the people of Stark County and on August 26, 1867. a railroad meeting was held in Toulon. Charles Myers presided and Oliver White acted as secretary. Resolutions indorsing the proposed railroad were adopted and Pat- rick M. Blair, Benjamin Turner, Martin Shallenberger, Davis Low- man and Oliver Whitaker were appointed a committee to formulate and present a plan by which the county could aid in building the road.
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HISTORY OF STARK COUNTY
At a second meeting. November 9, 1867, resolutions pledging Toulon Township to subscribe $50,000 to the capital stock of the company were adopted and Miles A. Fuller, Martin Shallenberger and Davis Lowman were appointed a committee to solicit subscrip- tions to the stoek fund. Three days later the first board of directors was elected. William R. Hamilton was chosen president: Patrick M. Blair, vice president; C. P. James, secretary; and H. M. Wheeler, treasurer.
On November 22, 1867, a large number of the citizens of Toulon, Penn, Essex and Valley townships-through which it was supposed the road would pass -- assembled at Wyoming to consider the question of granting financial assistance to the company. H. A. Holst pre- sided and Dr. J. C. Copestake was elected secretary. A motion to appoint a committee on resolutions, consisting of two from each town- ship, was carried and the following were appointed: Toulon, John Wrigley and Isaac Thomas: Essex, A. G. Hammond and C. H. Butler; Penn, Charles Holgate and George Nicholas; Valley, Thomas Crone and Elisha Dixon. The committee offered a resolution pledg- ing each of the townships to subscribe $50,000, which was adopted.
About this time the survey of the road was completed through the county and it was discovered that it did not touch Penn Township. Instead it passed through Goshen and on January 27, 1868, an elec- tion was held in the townships of Valley, Essex. Toulon and Goshon on the question of subscribing the stock recommended by the Wyoming meeting the preceding November. The proposition carried, though Valley Township voted only $30,000. The lesson of the old Western Air Line bonds was not lost on the people of Stark County, and in the case of the Peoria & Rock Island the bonds issued by the townships were safeguarded by such conditions that default on the part of the company was impossible.
Work on the road was commenced in the spring of 1869 and early in June, 1871, the first train arrived at Toulon. Although it was only a construction train, the occasion was one of rejoicing on the part of the denizens of the town, and the incident was celebrated by a big dinner served in Judge Ogle's grove, at which the officials and employes of the railroad company were invited guests. The first regular passenger train passed over the road on July 8, 1871. Pre- vious to that time the Peoria & Rock Island Railroad Company had formed a consolidation with the Rock Island & Pacific. The road is now known as the Peoria & Rock Island division of the great Chicago, Rock Island & Pacific system.
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HISTORY OF STARK COUNTY
CHICAGO, BURLINGTON & QUINCY
The branch of this great system which runs through Stark County had its inception in 1855, in the Peoria & Hannibal Railroad, of which James II. Stipp was the principal projector. Some five or six years later Mr. Stipp, on behalf of his company, gave a perpetual lease to James F. Joy and E. B. Ward, agents of the Chicago, Bur- lington & Quiney, with the stipulation that the line would be com- pleted and operated by that company. Early in 1869 the road was finished and trains were running between Canton and Rushville. The line was then called the Peoria, Dixon & Hannibal Railroad. Abont that time the townships of Osceola, Penn, Valley and Essex, in Stark County. took up the question of granting some financial aid to the company, in order to hasten the completion of the road.
In this work Dr. Alfred Castle, of Wyoming, was one of the leading spirits. Through the influence of him and his associates, liberal subsidies were granted and the work was pushed with such vigor that before the close of the year the line had crossed the boun- dary of Stark County being the first railroad in the county. In 1870 it was finished to Buda, where it connects with the main line of the Chicago. Burlington & Quincy system. It is now known as the Buda & Rushville branch. It passes through Essex, Toulon, Penn and Osceola townships, the Stark County stations on the road being Dun- can, Wyoming. Castleton, Bradford and Lombardville.
CHICAGO & NORTHWESTERN
About the close of the nineteenth century the Chicago & North- western Railroad Company decided to build a branch from some point on the main line to Peoria. After surveying several routes the one decided upon was from Nelson, six miles west of Dixon on the main line, southward through Lee, Bureau. Marshall and Stark counties. No subsidies were asked by the railroad company, the right of way was purchased, construction commenced and in 1902 the road was complete and in running order. From Buda to the Stark County line it runs almost parallel to the Chicago, Burlington & Quincy Rail- road. Upon reaching the northern boundary of Stark County it veers slightly eastward, crossing the northeast corner of Osceola Township and entering Marshall County. Just south of Camp Grove it again turns toward the west and re-enters Stark County in section 12, Valley Township. It crosses the southern boundary of the county about
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three-fourths of a mile west of the southeast corner. Two stations have been established in Stark County by the Chicago & Northwestern Railroad Company-Morse, in the northeast corner of Oseeola Town- ship, and Speer, in the southeastern part of Valley Township.
Two townships of Stark County-Elmira and West Jersey- are without railroads. In the other six the valuation of railroad property is as follows: Essex. $116,382: Goshen. $63.428: Osceola, $107,029; Penn, $78,354; Toulon, $82,644; Valley. $77,881. This total of $525,718 is the value as fixed for tax purposes, but it is far below the real value of the property.
CHAPTER XI
FINANCE AND INDUSTRY
PUBLIC REVENUES-PROPERTY VALUES-PRINCIPAL FUNDS RAISED BY TAXATION-BANKING INSTITUTIONS-GENERAL HISTORY -- EARLY BANKING IN ILLINOIS-STARK COUNTY BANKS-AGRICULTURE -- CROP AND LIVE STOCK STATISTICS-STATE BOARD OF AGRICULTURE- FARMERS' INSTITUTES-COAL MINING-MANUFACTURING-TELE- PHONE COMPANIES.
There is a story of an old man who once counseled his son that "The best way to establish and keep a good eredit is never to use it." This seems to have been the policy of Stark County from the time of its organization in 1839. With the exception of the railroad bonds mentioned in the preceding chapter, and a few county warrants to cover a small floating debt at times, the county has never issued promises to pay, but has lived strictly within its income. And it is worthy of comment that during the entire three-quarters of a century of the county's corporate existence there has never been a defaleation on the part of any public official, nor any serious charge of unusual or unwonted extravagance in the expenditure of public funds. With such a record it is not surprising that the county has an unquestionable reputation in the matter of publie credit. Should the authorities find it necessary to issue bonds, it is an easy matter to predict that they would command a good price in the market and find ready purchasers. Few counties in the United States-especially those that have been organized for three-quarters of a century-can say, "We do not owe a single dollar."
The property values of the several townships and corporations in 1914. as shown by the official records, were as follows:
Elmira Township $ 758,198
Essex Township
756,058
Goshen Township
1,000,249
Oseeola Township 983,845
Penn Township
807,147
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HISTORY OF STARK COUNTY
Toulon Township 1,318,600
Valley Township 778,955
West Jersey Township 735,851
Chicago, Rock Island & Pacific R. R. 176,998
Chicago, Burlington & Quincy R. R. 295,978
Chicago & Northwestern R. R. 52.742
Total. $7.664,621
In the above table the assessed values of the cities of Toulon and Wyoming and the villages of Bradford and Lafayette are included in the townships in which they are located. In the State of Illinois the custom prevails of assessing property for taxation at about one- third of its real value. When this fact is taken into consideration it will be seen that the taxables of Stark County are easily worth, in round numbers, $24,000,000. And even this estimate is too low. Of the 184,320 acres of land in the county, the average valuation, based upon recent actual sales, would be not far from $200 per acre. This gives a valuation of $36,874,000 for the lands alone. Add to these figures the value of improvements, personal and corporation property. moneys and credits, and the property of the county would show a valuation of fifty millions or more.
The total amount of tax collected in 1914 was $213,929.96, the principal items of which were as follows:
State tax $36,800.33
County tax
26.070.77
Road and bridge fund. 44,703.80
School fund
61,134.03
Total $168.709.13
Deducting the total of these four principal items from the entire amount of tax collected leaves a balance of $45,220.83 to be used for all other purposes. The tax rate upon the low valuation of $7.664.621 is less than 3 per cent, and if the property of the county were appraised for tax purposes at its actual value, with the same amount of revenue collected, the rate of taxation would probably be the lowest in the United States.
BANKING INSTITUTIONS
A crude system of banking was inaugurated early in the Christian era by the Venetian money-changers. The Bank of Venice was
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HISTORY OF STARK COUNTY
established in 1172 and continued in business until 1797. Jewish money-lenders invented "foreign bills of exchange" in the latter part of the thirteenth century, but the Bank of Barcelona (established in 1401) was the first financial institution that made a business of issuing them. The Bank of Genoa, which commenced business in 1407, was the first to issue notes that passed as currency. They passed by en- dorsement, however, not being made "payable to bearer." The same bank introdneed the system of drawing against deposit accounts by cheeks. The Bank of Hamburg was opened in 1619 and the Bank of England in 1694. Each of the above institutions was an improve- ment upon its predecessors, hence the business of banking as conducted today is the product of nearly eight centuries of evolution since the first organized bank was established in Venice.
The first banking house in the United States was formed by an association of citizens of Philadelphia, Pennsylvania, June 18, 1780. Four days later Congress passed an act granting the association authority to conduct a general banking business, and two years after- ward a "perpetual charter" was granted to the Bank of North America, located at Philadelphia. In 1784 the Bank of Massachusetts was chartered. In the same year the Bank of New York commeneed operations, but it did not receive its charter until 1791.
The Bank of the United States was established by aet of Congress in 1791. At first a majority of the stock was held by the United States Government, but this was gradually disposed of and the bank became a private corporation. In 1832 a bill to recharter the bank was vetoed by President Andrew Jackson. This caused the bank to lose a great deal of its prestige as a financial institution: the panie of 1837 so seriously affected its affairs that on October 5, 1838, it was forced to suspend specie payments. After a precarious career of about five years more, the bank finally closed its doors in 1843.
Then came the era of state and private banks which lasted until the beginning of the Civil war. During this period the country was flooded by what became known as "wild cat" banks-that is. banks established by individuals or corporations without sufficient capital for successfully conducting a banking business or adequate means for meeting their obligations. In 1863 an aet of Congress established the national banking system, and the first comptroller of the currency was appointed in 1864. In March, 1866, another aet of Congress levied a 10 per cent tax upon the note issues of all state and private banks and since that time all paper currency in the United States has been issued by the Government or by the national banks.
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HISTORY OF STARK COUNTY
EARLY BANKING IN ILLINOIS
One of the first banks in Illinois was the Bank of Shawneetown, which was chartered by the Territorial Legislature for twenty years, beginning on January 1, 1817. The next year Illinois was admitted into the Union as a state. Article 8, section 21, of the constitution adopted in that year provided :
"There shall be no other banks or moneyed institutions in this state than those already established by law, except a state bank and its branches, which may be established and regulated by the General Assembly of the state as they may think proper."
From the time the state was admitted to about 1830, its experience in banking was unpleasant, if not actually disastrous, but in the face of necessity for some form of circulating medium adequate to the demands of business the lesson such an experience should teach was forgotten. The internal improvement scheme was inaugurated and a large amount of state bonds were sold to construet the contemplated improvements authorized. The ninth General Assembly provided for a new state bank with a capital stock of $1,500,000 and the state was given the right to subscribe for $100,000 of the stock "whenever in the judgment of the General Assembly the condition of the treasury would justify such action." The charter of the state bank thus estab- lished was to expire on January 1, 1860. At the same session the charter of the old Bank of Shawneetown, which had been inactive for ten years, was extended for twenty years beyond the original date of expiration (January 1, 1837) and the bank reorganized under the name of the Bank of Illinois.
At the next session of the Legislature the capital stock of the State Bank of Illinois was increased from $1.500,000 to$3,500,000, and that of the Bank of Illinois from $300,000 to $1.700,000, the state reserving the right to subscribe for all the increase of the former and $1,000,000 of the latter. Then came the panic of 1837, when both . banks were forced to suspend speeie payment. The State Bank failed in February, 1842, and the Bank of Illinois elosed its doors the follow- ing June, notwithstanding the most liberal laws had been passed in the hope of keeping their heads above water.
The winter of 1842-43 was a critical period in the financial history of the state. The failure of the banks, in which the state held large interests, had a depressing effect upon the publie credit of Illinois. The state debt was over fifteen millions of dollars, with interest past due, and the bonds fell below par, selling sometimes as low as 20 cents
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HISTORY OF STARK COUNTY
on the dollar. Without banks there was a scarcity of circulating medium and all lines of industry languished. Many people claimed that large sums had been wasted in the internal improvement scheme and in speculation, and advocated the repudiation of the debt.
Stark County, then only about four years old, was affected by the existing conditions. On March 8, 1843, the board of commis- sioners ordered: "That Minott Silliman, treasurer of Stark County, be employed and authorized to exchange the State Bank money now in the treasury of said county. amounting to about sixteen hundred dollars, for the pro rata of specie paid by said bank, and the balance in certificates of State Bank indebtedness, and that he have the same in the treasury as soon as practicable."
Mr. Silliman made the exchange, receiving $467.31 in specie and $1.147.37 in certificates of indebtedness, or a total of $1,614.68. Some of the certificates were paid out to county officials "for services" at the rate of 50 cents on the dollar, and some time later the state redeemed the proportion represented by stoek held in the defunct bank.
Before the state fully recovered from the pame of 1837 and the depression caused by the gigantie internal improvement scheme, the second state constitution was adopted. Article 10. section 3, of the constitution of 1848 provided that "no state bank shall hereafter be created, nor shall the state own or be liable for any stoek in any cor- poration or joint stock association for banking purposes, to be here- after created."
The constitution also provided that individual stock holders in every bank should be liable to the full amount of stock owned by them. It was a case of the "burnt child dreads the fire," and the framers of the new constitution took the precautions to prevent the state. through its law makers, from again commiting the folly of becoming a stockholder in any banking institution. The provisions of the constitution of 1848 were incorporated in the present constitu- tion when it was adopted in 1870, so far as state ownership of bank stock is concerned.
STARK COUNTY BANKS
The first bank in Stark County was established at Toulon in 1860.
It was known as the Bank of Toulon and was conducted by the firm of Small & Walley, though the real proprietor was Benjamin Lombard. Bonds of the states of Georgia and South Carolina were used as the basis of security for the bank's circulation. When the
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HISTORY OF STARK COUNTY
bank falled. after a short career, the holders of its notes lost about 25 per cent of their face value and the depositors lost even more.
About the close of the Civil war Samuel M. Dewey, a Toulon merchant, began loaning money, and in December, 1865. the banking house of Dewey & Burge was opened on the north side of Main Street, nearly opposite the northwest corner of the public square. Mr. Dewey died in August. 1866, but the firm of Dewey & Burge continued until 1869, when Samuel Burge purchased the interest of the Dewey estate. In 1875 he erected the building at the northwest corner of Main and Washington streets and removed the bank to new quarters. Charles P. Dewey, a son of the founder, became a partner in 1879. The busi- ness is now conducted under the firm name of Dewey, Burge & Gould, the partners being Charles P. Dewey. Samuel D. Burge and William E. Gould. The paid up capital stock of the bank is $50,000, and the surplus $25,000, and the deposits $500,000.
The Exchange Bank of Wyoming was opened in 1869 by A. B. Miner, with Otis Dyer as resident manager. After a short time the name of Exchange Bank was dropped and the business was continued under the firm name of A. B. Miner & Company. In 1876 William Holgate and four others purchased the interests of A. B. Miner & Company and changed the name of the institution to the Farmers Bank. The five partners then conducted the bank as a private con- cern until the fall of 1882, when it was reorganized as the First National Bank of Wyoming, with James Holgate. president: Wil- liam Holgate, Cyrus Bocock. Levi Silliman. John A. Klock and W. P. Buswell, vice presidents: Andrew F. Stickney, cashier. It began business as a national bank on March 15. 1883, and continued as such until early in the year 1885. when it went into voluntary liquidation. the interests being transferred to the banking house of Scott & Wrigley.
The Scott & Wrigley Bank of Wyoming commenced business as a private bank in 1870. A few years later H. A. Hammond was admitted to a partnership and the firm took the name of Scott. Wrig- ley & Hammond. In 1910 the name was again changed. the firm then becoming Scott. Walters & Rakestraw. under which it still con- tinues. This is one of the leading banking concerns of the county and maintains branches at Castleton and Duncan, W. H. Hartz being in charge of the Castleton branch and E. V. Graves at Duncan.
William Leet opened the Exchange Bank at Bradford in 1872 as a private banking house. It is now known as the Bradford Exchange Bank, with Rosa L. Thompson, president : Robert Thompson. cashier:
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PHENIX BANK, BRADFORD
INTERIOR VIEW OF PHENIX BANK
LIBRARY UNIVERSITY OF ILLINOIS URBANA
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HISTORY OF STARK COUNTY
J. E. Harney, assistant cashier. C. W. & Harmon Phenix also began the banking business at Bradford about the time the Exchange Bank was started. The business they established is now conducted mider the name of the Phenix Banking Company.
The State Bank of Speer was organized in 1902 under the general banking laws of the State of Illinois with a capital stock of $25,000. It has been prosperous from the beginning and in September, 1915, reported a surplus fund of $14,000 and deposits of $100,000. At that time the officers of the bank were as follows: John Turnbull, president; Adam Davidson, vice president; Benjamin E. Davis, cashier.
Two banks were established in Stark County in 1903-the State Bank of Toulon and the National Bank of Wyoming. The capital stoek of the State Bank of Toulon was fixed at $25,000 and the first officers were: S. M. Adams, president; D. K. Fell, vice president; W. W. Fuller, cashier. In September, 1915, this bank reported a surplus of $25,000, undivided profits amounting to $10,711, and deposits of $275,000. S. M. Adams was then president ; R. E. Taylor, vice president; E. H. Lloyd, cashier, George Nowlan, assistant cashier.
The National Bank of Wyoming occupies a neat and well arranged building erected expressly for the purpose. The capital stoek of the bank is $50.000; the surplus, $25,000; and the deposits, $275,000. In October, 1915, James Harty was president: John T. Colgan, vice president; A. J. Adams, cashier : D. J. Colgan and Hazel Sellon, assistant cashiers. This bank enjoys the distinction of being the only national bank in Stark County.
The first bank in Lafayette was opened by Bailey & Beecher as a private banking house, in the building occupied in 1915 by Aldredge's store. Bailey & Beecher sold out to Dewey & Potter, who conducted the bank but a short time when they in turn sold to A. M. Janes. Mr. Janes continued the institution as a private bank until early in the spring of 1915, when it was incorporated as the State Bank of Lafay- ette, beginning business under the new name on March 9. 1915, with a capital stock of $25.000 and the following offieers: A. M. Janes, president : Baxter Fuller and Alexander Inglis, vice presidents: W. N. Nelson, cashier. The bank has its home in a substantial building erected purposely for its accommodation, and on September 30, 1915. reported deposits of $85,000.
Six of the eight banks in the county reported deposits in Sep- tember, 1915, aggregating $1, 235,000. Scott, Walters & Rakestraw,
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HISTORY OF STARK COUNTY
of Wyoming, and the two Bradford banks, being private institu- tions, chose to exercise the privilege granted to such banks of with- holding information regarding the amount of their deposits. It is probable, however, that they carry deposits that would raise the total for the entire county to nearly or quite two million dollars-approxi- mately two hundred dollars for each man, woman and child residing in the county. If the bank deposits of a community form any index to its prosperity, Stark County certainly has no cause for complaint.
AGRICULTURE
Farming and stock raising have always been the leading occupa- tions of the citizens of Stark County. From the small clearing in the timber or the sod cornfield on the prairie in 1840. the agricultural interests have gradually developed until in 1915 practically all the agricultural land of the county was under cultivation. Originally some of the land was too wet to produce good crops, but. according to a bulletin issued by the State Board of Agriculture on August 1. 1915, there are over one thousand miles (5,451,540 feet) of drain tile upon the farms of the county, and the total number of acres under cultivation was 180,576.
There is neither poetry nor romance in figures, and statistics as a rule are regarded as "dry reading," but the story of a community's progress can often be better told in statistics than in any other way. Adopting that method, then, for the purpose of showing Stark County's agricultural status, the following tables have been compiled from the bulletin of the State Board of Agriculture of December 1. 1914, to show the principal crops, miscellaneous products, and live stock conditions:
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