USA > Illinois > Mercer County > Past and present of Mercer County, Illinois, Volume I > Part 8
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subscriptions made in Keithsburg and Abington, but the line was never completed. Then the Iowa Central Railroad was projected from Peoria to Keithsburg and across the river to Oskaloosa, Iowa, thence north to Mason City. This road was finished and extended through the southwest part of Abington Township and through Keithsburg Township, and the Village of Seaton is located on the same. Subsequently the Mississippi was crossed by a railroad bridge and the line in Iowa completed to Mason City with different branches, and now the railroad is a part of the Minneapolis & St. Louis System.
Philander Cable of Rock Island, with a few friends, organized a railroad called the Rock Island & Mercer County Railroad Com- pany, and constructed a road from Milan and Rock Island, coming into Mercer County northwest of Preemption, and passing through Preemption, and terminated on section 16 in Richland Grove Town- ship where the Village of Cable was laid out. This road was com- pleted and subsequently a branch was built to Sherrard, and is still operated, and became a part of the Rock Island & Peoria Railroad Company, it having used the line of that road from Milan to Rock Island.
Then the Rock Island Southern Railroad was constructed, start- ing at Galesburg and running to Monmouth, and thence north to Reynolds, and over the Rock Island & Peoria line to Rock Island. There is a branch from Gilchrist to Aledo and one from Alexis to join the main line near the county line between Warren and Mercer counties. A more detailed account is hereinafter shown in regard to these roads.
The railroad which now passes east and west through Mercer County was originally called the Air Line Railroad and a little later the American Central Railroad, the company of the latter name finally completing its construction. Almost immediately thereafter it passed to the Chicago, Burlington & Quincy Company and the short branches between Gladstone and Keithsburg and New Boston and Keithsburg were constructed. The line enters the county on the east at Windsor and passes almost directly westward through the townships of Rivoli, Greene, Mercer and Millersburg and then deflecting to the south, reaches New Boston by a branch, the main line continuing on to Keithsburg.
On May 3, 1853, the County Court and board of supervisors took action in reference to the Western Air Line Railroad. There were present in the courthouse at Keithsburg at this meeting Ephraim Gilmore, county judge; John Glancey, associate county justice of the
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peace; John S. Thompson, clerk; and James Garner, sheriff. It was ordered by the court that an election should be held on the 11th day of June next to determine whether the county should subscribe $100,000 to the capital stock of the Western Air Line Company which had been duly chartered by the last Legislature. The bonds were to run for twenty years and bear 6 per cent interest and were not to be issued until a sufficient amount should be subscribed to build the road. At the election the voters authorized the issuance of the bonds. Accordingly the County Court on December 5, 1853, subscribed for the stock in due form. On March 20, 1854, the court ordered the clerk to issue and deliver to the railroad company the bonds and orders of the county for the sum of $100,000 at such times as the same might be needed and called for by the company. At the same time the faith of the county was pledged for the redemption of the bonds. Before June, 1853, the citizens thus authorized by vote the county authorities to subscribe $100,000 to the capital stock of the Western Air Line Railroad Company, upon condition that none should be paid until the full amount needed had been sub- scribed. The people a little later asked that only one condition be required, namely, that the funds should be expended in the county only. Accordingly an election was held in August, 1855, to deter- mine this point. The friends of the new movement agreed to give bond to the county signed by Levi Willits, James S. Thompson, E. Gilmore, Jr., and others, in the sum of $200,000, condition that the money arising from the railroad subscriptions should be faithfully applied to the interests of the county according to the order of the board. This change was carried at the polls. Accordingly the bonds were ordered issued with the restrictions therein as had been voted. At first it was proposed to issue ten separate bonds of $10,000 each and James S. Thompson, in 1856, was authorized by the county board to cast the whole vote of the county at the company meetings. The bonds in the sum of $10,000 each proved unsatisfactory to the com- pany, whereupon they asked that they be permitted to surrender such bonds and that new ones to the amount of $1,000 each might be issued therein. This request was granted.
In June, 1856, the railroad company surrendered the county bonds for $100,000 issued for the county by the president of the board of supervisors and the clerk of the county board, and the same were accepted and canceled. In lieu thereof there were issued to the company new bonds to the same amount in denominations of $1,000 each. At the March term, 1857, provision was made by the county
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board to set apart a specific fund with which to pay the annual interest on the bonds. The county treasurer, I. N. Bassett, was made agent of the county to pay this interest as it should become due. In Febru- ary, 1860, the Supreme Court of Illinois, having rendered a decision which was thought to invalidate these bonds, the county board passed a resolution to pay the bonds in any event and thus maintain the honor and credit of the county. Thus the steps in the bond transaction prior to 1866 were as follows: May 3, 1853-Court ordered an elec- tion to vote for or against taking the stock; June 11, 1853-People decided to take the stock with restrictions; December 7, 1853-Court by virtue of such election subscribed $100,000 to the stock; March 20, 1854-Court ordered the county clerk to issue the bonds of the county for such subscription in accordance with the election results; June 8, 1855-County board ordered an election to vote for or against removing the restrictions in the bonds ; August 4, 1855-People by the vote decided to remove the restrictions and for the bonds to be issued ; September 12, 1855-Board authorized the clerk to issue the bonds whenever they should be called for; October 8, 1855-Clerk issued the bonds during vacation ; March 1, 1856-Board at a called meeting approved the action of the clerk in vacation and appointed James S. Thompson agent of the county in the matter; March 14, 1856- Board declared all the acts at the called meeting legal and right; June 18, 1856-Railroad company surrendered the bonds in denomi- nations of $10,000 each and received in lieu thereof bonds in denominations of $1,000 and the old bonds were canceled; March 5, 1857-and March 2, 1858-Board set apart money to pay interest on the bonds; September, 1859-Board approved payment of interest on the bonds; February 8, 1860-Board resolved not to repudiate redemption of the bonds; May, 1865-Board ordered prepared an abstract of all orders made and bonds issued relative to the Air Line Railroad.
In May, 1855, a large meeting was held at Keithsburg in the interests of the Warsaw & Rockford Railroad. There were present many prominent railway officials and several leading citizens of the county. The meeting was held in the open air, under the trees, and a repast was furnished by J. A. Noble and others. After dinner the meeting adjourned to the courthouse and elected W. D. Hender- son, of Oquawka, president; M. L. Marsh and James Noble, vice presidents; and L. W. Myers, secretary. Mr. Thornton addressed the meeting and explained the object that had brought them together. He was followed by Mr. O'Sullivan, president of the road, who explained that the line had been surveyed in three divisions: First, Vol. I-6
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the Warsaw & Oquawka branch; second, Oquawka & Rock Island branch; third, Rock Island & Port Byron branch. He stated that the railroad company desired Keithsburg stockholders to pay over 20 per cent of the stock which they had conditionally agreed to subscribe and that the supervisors of Mercer County be asked to place the bonds of the county that had been voted at the disposal of the company. A. B. Sheriff, of Keithsburg, opposed the wishes of the railway authorities. He explained that the subscribers at Keiths -. burg had declined to pay the 20 per cent assessment, because it was the agreement that not more than 5 per cent should be demanded until work had actually been commenced and that the road should come within a half mile of Keithsburg. He further declared that Keithsburg would guard its own interests and desired nothing but what was fair and lawful. J. A. Noble stated that he was in favor of paying the 20 per cent and that his firm, B. P. Frick & Company, would take $500 more stock. A resolution was finally passed by the meeting, pledging support to the road under suitable restrictions. The first division of the Warsaw & Rockford Railroad was 120 miles long. Of this line twenty-five miles were within the limits of Mercer County, entering two and a half miles south of Keithsburg and leaving six miles west of Preemption. The purpose of the road was to connect the Upper with the Lower Mississippi, thus avoiding the obstruction called the Rock Island & Des Moines Rapids. The road was designed to connect with the Western Air Line road at McGwin's farm. Portions of this line were to be under contract in 1855 and in the fall of that year Keiths- burg subscribed $40,000 preparatory to the letting of the branch from Warsaw opposite Fort Madison and from Oquawka to Keiths- burg, thus guaranteeing the construction from Warsaw below the Des Moines Rapids to Keithsburg-a distance of seventy miles.
In the fall of 1855 it was proposed to rescind the restrictions on bonds which had been voted November, 1854, in order to secure private subscriptions with which to build the line twelve or fifteen miles northeast of Keithsburg, leaving a link of about ten miles which friends of the road on the entire line could construct. In this way county bonds already voted would connect the road with the Western Air Line and secure to the county direct communication below the Des Moines Rapids, giving the county railroad facilities south over eighty miles and east to the Military Tract road. W. H. Thornton published a statement, showing the value this road would have to the citizens of the county.
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In accordance with a recommendation, J. C. Cabeen, David Lloyd, B. D. Ellett, Robert Keith, A. B. Sheriff, A. Rife, B. F. Gruwell, S. S. Phelps, T. B. Cabeen, B. P. Finch, William Gayle and H. W. Thornton, on September 12, 1855, entered into bond with the board of supervisors of the county in the penal sum of $200,000 to the following effect, that whereas the County of Mercer had sub- scribed with the sanction of the people the sum of $100,000 to the capital stock of the Warsaw & Rock Island Railroad Company to be paid in county bonds, which were to run for twenty years at 6 per cent interest, payable annually, provided that the bonds should not be issued until the whole amount of the capital stock necessary to build the road should be subscribed; and, whereas, upon the application of many citizens of the county and the agent of the road the county board at the September term, 1855, had ordered an elec- tion for or against rescinding the condition upon which the sub- scription of stock was authorized so that the bonds could be issued whenever asked for by the railroad company and placed in the hands of a trustee appointed by the board with the consent of the company without regard to any conditions whatever and on the requirement simply that the company should expend the proceeds arising from the sale of the bonds thus to be issued within the limits of Mercer County commencing at the depot or station near Keithsburg; and that, therefore, should the conditions be rescinded and the subscrip- tion made and the bonds issued according to the requirements of the order and should the company duly expend the proceeds of the bonds as above specified, then the bond for $200,000 should be null and void, otherwise to remain in full force and virtue. This propo- sition to remove all the restrictions from the stock subscription was defeated when submitted to the voters, by about one hundred and forty-five majority. About twelve hundred votes were polled.
In 1855 work on the Air Line Railroad was commenced at sev- eral places and was continued for some time, not with energy, but with spasmodic efforts which in the end completed the grading, after which no further work was done. In May, 1858, at a big rail- road meeting held in Aledo, it was resolved to aid the road with private subscriptions to the extent of the abilities and means of the people. The completion of the road was earnestly desired and resolutions were passed that every effort should be made to this end. Elisha Miles, J. H. Reed, J. W. Miles, I. N. Bassett, Rev. H. J. Humphrey and N. Edwards were present at this meeting. A com- mittee, of which Elisha Miles was chairman, was appointed to raise at once by subscription the sum of $10,000, with which to begin
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operations. Soon after this event about ninety thousand dollars more was called for in order to complete the work of grading the road from Galva to the Mississippi. It was stated that $140,000 had already been spent by this county. Miles and his committee suc- ceeded in raising subscriptions to the amount of $60,000 of the $90,000 needed and had the sum pledged by July, 1858. The con- ditions of subscriptions were no subscribers, no road; no road, no pay. The argument used at this time, and it was an excellent one, was the great cost of marketing the products of Mercer County in the absence of a railroad. It was shown that fully 25 per cent could be saved if the county had its own railroad where ship- ments of all products could be made. In order to raise the $90,000 it was, at first proposed to sell county bonds and use the proceeds for the railroad. Already interest on the $140,000 bonds issued was being paid. Instead, however, it was thought best to secure private subscriptions in the largest amount possible before asking the county board to issue bonds. This was the step taken and was in a large measure successful, because the people generally were willing to take a chance to secure a railroad.
By the summer of 1859 the grading of the road was well advanced. By May, $162,152.89 had already been spent and it was stated that $130,000 more was needed to complete the line. The cost from New Windsor to Viola was estimated at $15,206; from Viola to Aledo, $8,996; and from Aledo to New Boston, $5,194; total additional for this county, $29,397. The question was finally submitted whether the county board should issue bonds and the following was the result: New Boston, for subscription, 175; against it, 18; Millers- burg, for subscription, 17; against it, 76; Mercer, for subscription, 132; against it, 51; Greene, for subscription, 49; against it, 38; Rivoli, for subscription, 81 ; against it, 69.
In November, 1859, stockholders of the American Central Rail- way (Western Air Line) were called upon to pay the balance due and unpaid on their stock at the treasurer's office in Galva. Work had been resumed on the division between Galva and New Boston and its speedy completion was promised. James S. Thompson, Elisha Miles and W. B. Sweet were the superintending committee of this division.
By January, 1860, the road was graded to Viola and sections west of that point had been commenced. The Supreme Court, early in 1860, having rendered a decision which seemed totally to invalidate bonds which had been issued by counties for the construction of railroads, many counties had taken steps looking to the repudiation
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of such tokens of indebtedness. In this connection the county board of Mercer County resolved that whatever course sister counties might pursue, whether they should repudiate their just obligations and plighted faith or not, this county would maintain her honor and integrity. They prepared to pay the interest as soon as it should become due.
In February, 1860, the county board appointed John W. Miles as agent or proxy for Mercer County to attend the meeting of stock- holders of the American Central Railway and authorized him to cast the vote of the county for directors and learn what were the prospects for the early completion of the road. Upon his return Mr. Miles reported that an agent of the road had been sent to Eng- land to buy the iron necessary for the completion of the line from Galva to New Boston and that the officers believed that $17,000 private subscriptions, $69,400 township bonds and $70.400 special subscriptions would be sufficient to put the line in working con- dition. If the agent should succeed in getting the necessary iron, the road could be completed in short order. If these efforts failed the owners could demand of the company the sale of the Western Division to the Chicago, Burlington & Quincy Railroad Company, an accomplishment greatly to be desired, as such a step would put the county into direct communication with Chicago, already the leading market of all the West. Mr. Miles strongly recommended this course in case the other company should fail in its plans. He urged upon the part of the county board earnest and persistent action to effect the completion of the line by some good company.
In January, 1864, B. C. Perkins was appointed agent of the county by the county board to attend the next annual meeting of the Great Western Air Line Railroad Company to cast the vote of the county for such directors as would favor the early completion of the line from Galva to New Boston, either by selling or leasing or giving the right of way.
It was reported in May, 1865, that Thompson, Willits & Com- pany had bought the line from the owners in New York City. At a railroad meeting in Galva, in July this year, the following directors were chosen: James S. Thompson, Wells Willits, of New Boston ; Lewis W. Thompson, John S. Thompson, of Aledo; and others in New York City. John S. Thompson was elected president of the road. A little later the latter went to Europe for the ostensible pur- pose of securing means with which to complete the road. It was thought that his real object was to sell out entirely for a large sum. Calls for new subscriptions to complete the road, however, were
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made in this county. It was agreed that one-third should be payable when the iron was down from New Boston to Galva, one-third six months later, and one-third after the cars would be running. The old subscriptions were to be retired and new stock issued in their place. It was promised that work would start in March, 1866. There was considerable litigation from time to time over the various features of this project. There was a strong feeling that the road would never be built and that the people would be justified in repudiating the obligation. However, the county determined to fulfill its obligation even though it failed to secure the road. In the meantime every effort within reason for its completion was made by the citizens.
In the case of John Cowles vs. the Board of Supervisors of Mercer County, Judge Drummond of the United States Circuit Court held, in November, 1866, that the county was not restricted to one elec- tion under the general railroad law of November 6, 1840, and that the county authorities could legally receive the surrender of the original bonds and issue therefor like bonds of less denomination, as had been done. The court further held that as by law counties had the right in a certain contingency to take stock in railroads and issue their bonds therefor, and as these bonds and coupons purported upon their face to be issued in accordance with law and had passed into the hands of bona fide holders for value before maturity with- out notice of fraud or illegality in their issue and interest had been paid for several years on the bonds, the county was estopped from denying their validity and were bound to pay the amount of coupons sued upon to the plaintiff. The court directed the clerk to compute the interest due on the coupons, allowing interest on such coupons from the date of their maturity to the rendition of judgment and that judgment be entered for plaintiff for the amount so found.
Under the law of 1865 the county changed forty-six of its old bonds of $1,000 each and gave forty-six new ones for the same amount, running twenty years, 5 per cent of the principal to be paid annually. These bonds were registered October 19, 1868. On July 1, 1878, this indebtedness had been reduced to $24,850. The last were due October 19, 1888.
By January, 1869, the county board had issued twenty-five new bonds of $1,000 each and had taken up twenty-two of the old bonds previously issued. From 1866 to 1869 the road underwent many changes and modifications. The news came in January, 1867, that 17,000 tons of iron had been purchased in England and had been shipped to this country for use on this line. At this time President
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Thompson received a cable dispatch from Europe, saying "We are shipping iron." It was immediately planned that as soon as the iron arrived it should be laid at once from Galva to New Boston.
At the May term, 1868, of the county board it was resolved to pay the interest coupons of the old railroad bonds as they should mature and to levy a tax in September sufficient to meet as large a portion of the interest coupons as would not be too burdensome to the people.
The county board found it out of the question to meet its bond indebtedness in 1868 or in the near future. Answer to this effect was sent in response to inquiries from the holders of the bonds. The best the county could do was to execute in new bonds of the county an amount not exceeding the present bonded debt and accrued interest thereon in lieu of the old bonded debt in conformity with the act of the Legislature of Illinois, approved February 13, 1865, the new bonds to run for a term of twenty years and bearing 6 per cent interest. After the expiration of ten years 10 per cent of the prin- cipal was to be paid annually. This course was offered by the county board. A financial agent was ordered employed to ascertain the exact bonded debt of the county.
At a well attended railroad meeting held at Aledo late in May, 1868, President Thompson explained the situation. He announced that he had contracted with an able and experienced company to build the division of the road from Galva to New Boston and had agreed to raise $225,000 in township and individual subscriptions and stated that the contractors would commence work in ten days after the amount was raised. One-half of the individual subscrip- tion was payable when the iron was laid and the balance in six months thereafter. The subscription was to be void if the road was not completed by July 1, 1869. The meeting determined to raise the amount asked, and elections in the various townships through which the road was to pass, were ordered held. The road was now known as the American Central Railroad. Each township was required to subscribe $13,400 to the capital stock of the road. A sinking fund for the retirement of the bonds was provided. Everybody was now in earnest, because all realized and admitted that this perhaps was the last chance the county would have soon to get a railroad. The amount required of Mercer County under this proposition was $175,000. The Record showed that the extra cost of marketing Mercer County products without a railroad aggregated more in one year than it would cost to build this road.
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Real work on the road under the new order was commenced in August, 1868. By October 14th the railroad shanties of the work- men were within two and a half miles of Aledo. In the latter part of that month work was commenced on the line west of Aledo. On Friday, February 5, 1869, the first locomotive entered Mercer County. It arrived at Windsor at II o'clock A. M. Thus after twelve years of waiting, Mercer County at last welcomed the long hoped for and expected train.
During 1868 two new lines were projected across the county. In May Keithsburg and Abingdon voted considerable aid to the Quincy & Dixon Line. The Rock Island, Alton & St. Louis Line was planned to cross Mercer County.
In 1868 New Boston Township by vote of 184 to 3, took $18,000 subscription in the Western Air Line road. At the same time the City of New Boston held an election and by almost a unanimous vote took $50,000 stock in the line. Mercer Township by vote of 142 to 15, agreed to raise $13,400. Millersburg Township by a vote of 114 to 27 agreed to take $13,400 subscription. Eliza and Perryton voted to help the line, but Greene Township cast a majority of four votes against it. It began to be reported at this time that the line had been sold to the Chicago, Burlington & Quincy Company, though this was not verified until later. The vote of $18,000 by New Boston Township and $50,000 by New Boston Village was the occasion of much opposition later by many citizens of that com- munity. The bonds were to be issued when the road was completed to New Boston. Upon this condition the vote was nearly unanimous in favor of the bonds. When it became certain that the line would be built across the county, many citizens of New Boston endeavored to repudiate the obligation and after considerable negotiation the railroad company agreed to remit $20,000 of the $50,000 which had been subscribed by New Boston Village. On April 14th the line was built to New Boston. Soon afterwards when the bonds were to be issued, John S. Thompson of the road went over to receive the bonds. No action had been taken to issue them either by the town- ship or the village. Several of the best citizens took an opposite course and there was at once a clash between the taxpayers. Meet- ings were held and the opinion of the factions either in favor of repudiation or against it was expressed in emphatic and sometimes abusive terms. Each faction endeavored to make headway and a real campaign, or railway war, was conducted for several weeks. The feeling became so intense that personal threats were made and several fistic encounters between the citizens livened the occasion.
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