Mississippi : comprising sketches of towns, events, institutions, and persons, arranged in cyclopedic form Vol. II, Part 60

Author: Rowland, Dunbar, 1864-1937, ed
Publication date: 1907
Publisher: Atlanta, Southern Historical Publishing Association
Number of Pages: 1032

USA > Mississippi > Mississippi : comprising sketches of towns, events, institutions, and persons, arranged in cyclopedic form Vol. II > Part 60

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president of the M. & C., M. Emanuel, president of the Southern, M. B. Pritchard, superintendent of the Selma & Meridian, and Abram Murdoch, for the M. & O. This was without avail. In January following the governor reported that the Southern had agreed to an arrangement and was collecting the tax, but the others had done nothing. He asked for a law authorizing com- pulsion. The legislature of October, 1865, appointed a joint com- mittee on Internal Improvements to investigate the conduct of the railroads which had received charters, to ascertain whether they had faithfully discharged their duties to the State and people, ac- cording to the spirit and letter of their charters, or had violated them and worked a forfeiture of the charters. The constitutional conventions of 1865 and 1868 refused to recognize the validity of the settlements of 1863, and subsequently the courts held that the State could recover the full amount of the loans. When the N. O., J. & G. N. was about to go into the hands of a receiver in bankruptcy, in 1870, Governor Alcorn, in a message to the legis- lature, declared the company had broken faith with the State in every instance of their mutual contracts, defaulting in payments of loans and interest, and neglecting to build the Aberdeen Branch as required in the charter. He urged the enforcement of the pen- alties of forfeiture of charter, and the seizure of the property. A compromise act was passed in April, 1872, and the debt of the New Orleans road was paid, $213,000 in auditor's warrants, and $81,000 in warrants issued as a subsidy to the Ripley railroad. Treasurer Wasser refused to accept the latter, and later, Governor Powers executed an act of the legislature in aid of the Ship Island road, by transferring to it $110,000 of the auditor's warrants in exchange for first mortgage bonds of the road last named. Eleven miles of the Mississippi Valley & Ship Island road were completed in 1873, in order to draw from the State this subsidy of $110,000, after which the road subsided.

The period following the war was one of renewed enthusiasm in railroad projects. The constitution of 1869, the State being again in a speculative period similar to that of 1835-45, required the legislature to provide for the organization of a Board of Pub-

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lic Works. But a clause was adopted prohibiting the loan of the credit of the State, and the taking of stock in improvement enter- prises. The rebuilding of the levees involved some heavy finan- cial transactions. (See Levees.) Many companies were chartered by the legislatures, particularly in 1870 and 1871. In the latter year a general railroad act offered $4,000 from the State treasury, for every 25 miles of road constructed by September 1, 1875, by any company that had finished no construction in May. The New Orleans road was authorized to issue bonds to the amount of $3,500,000, and all forfeitures to the State were released on condi- tion that the line should be built from Canton to Kosciusko by January 1, 1872, and to Aberdeen within five years, as required in the original charter. It was also pledged that on such comple- tion, the governor should transfer to the N. O., J. & G. N. com- pany "all the stock owned by said State in any and every railroad company whose road is in whole or in part within this State." Subscriptions to stock by counties and towns, and donations of land were also authorized for various proposed roads. The sub- sidies granted the Vicksburg & Nashville and Mississippi Valley & Ship Island roads amounted to about $1,000,000. Counties and towns were embarrassed by the resulting taxation. Governor Ames urged, in 1875, the revocation of the charters.

A large number of railroad lines were surveyed in 1872 and grading was begun on the following: Memphis & Selma, Mobile & Northwestern, Vicksburg & Ship Island, Vicksburg & Nash- ville, Prentiss & Bogue Phalia, Natchez, Jackson & Columbus. These projects were dependent almost exclusively on private aid and county subscriptions, some counties voting extravagant sub- sidies. The Ripley railroad was the only one to qualify for the State subsidy, and received from the treasury, in warrants, $81,- 968. On the advice of the attorney-general the State treasurer gave notice that he would not receive these warrants in payment of dues to the State, but Governor Powers promised that they would be received for face value on the debt due from the N. O., J. & G. N. company, and thus prevented their repudiation. In 1873 the legislature voted to give the Vicksburg & Nashville rail- road, on certain conditions, the trust funds known as the Three per cent. and the Agricultural land scrip, amounting to $320,000, and receive the note of the company secured by first mortgage bonds. In the opinion of Governor Ames it was a pure steal of the trust funds. The company had not completed any of its road in February, 1874, when Ames recommended the repeal of the donation.

Under the old laws the railroads were exempt from taxation until 1874. In the legislature of 1873 there was an attempt to prolong this exemption ten years by smuggling a provision to that effect into an act regarding the Liberty & Woodville rail- road. "Aside from having been exempt from taxation," said Gov- ernor Powers in 1874, "these companies, with one exception, are now indebted to the State for moneys loaned (Chickasaw and In-

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ternal Improvement funds) on which they have for the past eight years been paying no interest." Suit was pending against the Mobile & Ohio. In the summer of 1873 most of the railroads agreed to pay taxes upon a valuation of $5,000 per mile; but the N. O. & M. and M. & O. would not agree to this. No taxes had been paid, early in 1875. The railroads paid taxes in 1875, to the amount of $12,383, which was distributed to the counties. The legislature of 1875 levied a tax of $75 per mile which most of the roads paid, the Mobile & Ohio and a few others, contending for charter exemption. One of the most glaring forms of "graft" of that period must have been with the connivance of the railroad companies, i. e., the payment of commissions to tax collectors on railroad taxes they did not collect. In one case $23,400 commis- sions for levying and collecting a tax of $600,000 were paid, though not a dollar of revenue reached the State. (Powers' message, 1873.) The legislature of 1872 and 1873 made provision for sell- ing large areas of forfeited lands along their right of way, to the Vicksburg, Pensacola & Ship Island railroad, later known as M. V. & S. I. and the Memphis & Vicksburg, at two cents an acre, as aid to those enterprises. Many other railroads were similarly favored. The two companies above named made a demand for deeds in 1881, but they were refused by Governor Stone on the ground that the companies had failed to meet the conditions of the laws, and the lands had been disposed of by the abatement laws of 1874 and 1875. In March, 1876, the supreme court affirmed a judgment in favor of the State against the Mobile & Ohio for $397,866; but there was an appeal to the United States supreme court. In the same year there was a similar judgment and appeal in the case brought under the law of 1867 to compel the New Or- leans, Mobile & Texas railroad to maintain a drawbridge over Pearl River. The latter was finally decided in favor of the State. Under an act of legislature in 1877, the State settled with the Chicago, St. Louis & New Orleans railroad company, the indebt- edness of the Mississippi Central, which was merged in the new company. The company gave its notes for $136,158. An act of 1878 permitted the Mobile & Ohio to compromise its indebtedness to the State and counties, on account of taxes, by the payment of $25,000. The 990 miles of railroad in the State in 1870 were but slightly increased by 1880 (to 1,127) and much of the increase was in narrow gauge roads, notably the Natchez, Jackson & Colum- bus from Natchez to Martin City, and the Ship Island, Ripley & Kentucky from Middleton, Tenn., to Ripley.

After 1880, mainly in the first five years, there was a great growth of railroads. A statement of the railroad work in 1881-82 noted the purchase of the old Southern road by the Erlanger syn- dicate, who were building a road from Meridian to New Orleans ; the road from Natchez to Jackson was completed; the Chicago, St. Louis & New Orleans had begun a branch to Yazoo City from Jackson ; R. T. Wilson, of New York, had begun the building of the line from New Orleans to Memphis, paralleling the river ; the

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old Memphis & Selma had been revived and put under contract. The legislature had extended aid to new roads by exemption from taxation for ten years. There rapidly followed the building of what is now the Yazoo & Mississippi Valley system, and the Aberdeen branch of the New Orleans-Ohio river system, which at this time came under the control of the Illinois Central. Six hun- dred miles were built in 1882-84. The change in conditions was shown by the paralleling of the river as closely as possible to its banks, whereas 25 years before there had been fierce political bat- tles whether the New Orleans-Chicago line should be permitted west of the Pearl. After years of inanition the once proud "Mis- sissippi Railroad" that was to have joined Natchez and Nashville, managed to revive as a narrow-gauge line. The Grand Gulf & Port Gibson was torn up and abandoned after 1883. The total mileage in the State in 1885 was 1,878, and in 1889, the Georgia Pacific being the main addition, the mileage was 2,366. In more recent years the main addition aside from branches of old lines, has been the Gulf & Ship Island and the Mobile, Jackson & Kan- sas City, the former providing that outlet to a Mississippi port that was so long sought, and the latter giving the State a fourth north-south system tributary to outside ports.

The mileage reported by the State commission in 1905 is 3,503 miles, an increase over 1903 of 361 miles. The railroad commis- sioners reported for 1892 that the railroads were assessed at $26,- 925,000 for taxation, paying a state tax of $134,622. In addition they paid a privilege tax of $20 a mile for first class roads, $15 for second and $10 for third class, and county, municipal and levee taxes also were levied on the valuation assessed. "It will be seen that the railroads now pay a fair proportion of the taxes required for the support of the government." The valuation of railroads for taxation in 1905 were $36,316,800, and of express, telegraph and sleeping car companies $725,000 more. The State tax thereon was $222,000. The privilege tax is $65,000 additional. (See Rail- road Commission.) "Section 3560 of the Code of 1892 is intended to prevent the combination of competing lines of railroads. As it stands it is debatable whether it prohibits the purchase of one competing road by another company, if indeed, one company can purchase another road than its own. But one thing is not debat- able, that the section does not impose any penalty upon the com- pany that manages, regulates or controls the other company." (Message of Gov. McLaurin, 1898.)

Illinois Central. The New Orleans, Jackson & Great Northern, Mississippi & Tennessee, and Mississippi Central were bought about 1871 by a syndicate headed by Col. H. S. McComb, of Wil- mington, Del., who was made president of the Chicago, St. Louis and New Orleans Railroad Company. In association with Col. H. S. Edgar, vice-president of the combined lines from New Or- leans to Cairo; Gen. A. M. West, president of the Mississippi Cen- tral railroad; Thomas A. Scott and J. Edgar Thompson, they organized the Mississippi Valley Company, which invested in

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land and built the town of McComb City, where the shops of the line were located. "The Chicago, St. Louis & New Orleans rail- road company was formed by consolidation of the New Orleans, Jackson & Great Northern, and Mississippi Central railroad com- panies, under act of February 27, 1878." A few years after the consolidation of 1878, the system was leased to the Illinois Cen- tral, the outlet from Cairo to Chicago. The Canton, Aberdeen & Nashville road, making the branch to Aberdeen that the old char- ter required, was completed in 1884, also the Kosciusko branch. The C. St. L. & N. O., was leased to the Illinois Central to pay $400,000 rent, taxes, and interest on bonds not exceeding $18,000,- 000. The Miss. & Tenn. was merged into the C. St. L. & N. O. and leased in 1889, on similar terms, the bonds being $3.500.000. Mileage in State, 1889, 636. The president of the Illinois Central is Stuyvesant Fish, New York, general manager, W. J. Harahan. The latest statement of mileage is: main line, 301; Memphis divi- sion, 88; Aberdeen division, 88; Kosciusko branch, 18; M. B. & N. Division, 8; Monticello branch, 24; double track, 55 miles ; total 583 miles.

The Illinois Central also controls the Yazoo & Mississippi Val- ley System, with a mileage of 1,024 miles, making a grand total of 1,606 miles in the State, nearly half the total trackage. The abandoned Meridian, Brookhaven & Natchez road was brought by the Illinois Central indirectly, in 1891, and rebuilt a few miles out of Brookhaven.

Yasoo & Mississippi Valley. In 1882 R. T. Wilson, of New York, had begun the building of a railroad paralleling the river, from Memphis to New Orleans. The Natchez Jackson & Colum- bus, from Martin to Jackson, was completed October 6, 1882, nar- row gauge, the road having been built to Martin in 1876-77, as a revival of the old "Mississippi railroad." The Mississippi Valley, from New Orleans north, via Vicksburg, was completed in 1884; the Durant-Lexington line was built in 1882-83; to Tehula in 1885; the Yazoo City-Jackson line was completed, 43 miles, in the same period ; the Louisville, New Orleans & Texas was completed January 1, 1885, main line 456 miles, with several branches, to Eagle Nest, Arkansas City branch, Lake Washington branch, Bolivar branch, Bayou Sara branch, Clinton & Port Hudson leased. The consolidation of the Memphis & Vicksburg and the Mississippi Valley and Ship Island was authorized in 1882, and they were merged in the L., N. O. & T. R. R., a system which be- came the second in mileage and importance in the State, the main line and branches in 1889 aggregating 585 miles, including the main line, the Greenville, Lake Washington and Huntington branches, the Bolivar loop, the narrow gauge Mobile & Northwest- ern, from Glendale to Eagle Nest, the West Feliciana from Wood- ville to Bayou Sara, lately extended to Slaughter, near Baton Rouge, on the main line, the Natchez-Jackson & Columbus, which was changed to standard gauge from Harriston to Jackson in (Report of 1889.) The Yazoo & Mississippi Valley rail-

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road company was organized February 17, 1882, under the laws of Mississippi, act approved Feb. 2, 1882. It is a consolidation of the following constituent companies: Yazoo & Miss. Val., incorpor- ated Feb. 17, 1882; West & East, incorporated April 15, 1873, absorbed by and consolidated with the Y. & M. V., Nov. 30, 1886; Louisville, New Orleans & Texas, incorporated August 12, 1884, and consolidated with the Y. & M. V. Oct. 24, 1892. (See Back Tax Cases.)

The Yazoo & Mississippi mileage in 1905 was as follows : main line, 315; Riverside division, 156; Natchez & Jackson division, 98; Yazoo branch, including Lake Cormorant, 394; Helena branch, 20; Boyle & Sunflower branch, 32; Bayou Sara Branch (the old West Feliciana), 8 miles. Total, 1,024.

Southern Railway. The Georgia Pacific, Atlanta to Greenville, was partly built in 1883, but was not completed and put in opera- tion until 1889, with 202 miles in the State, and was then a part of the Richmond & Danville System. Branches were in construc- tion or in contemplation in 1889. The line was bought at fore- closure August 31, 1894, by the Southern Railway company and made part of that great system which has also acquired control of the Mobile & Ohio. This line has a mileage in Mississippi of 237, composed of State line to Greenville, 179; Itabena to Webb, 35; Stoneville to Percy, 23. The Georgia Pacific is now a part of the Southern railroad. The same stockholders own the majority of stock in the Mobile & Ohio. A legal consolidation of the two roads was authorized by a bill which passed the legislature on the last day of the session of 1904, but it was not given the approval of the governor. Samuel Spencer, New York, is president of the Southern, the Mobile & Ohio, the Memphis & Charleston and the Alabama Great Southern, together constituting a system of about 600 miles in Mississippi, and allied to the Schiff roads with ter- minals at Vicksburg and New Orleans and a mileage of about 300.

Memphis & Charleston. The Memphis & Charleston Ry. Co. was organized under the laws of Mississippi (Code of 1892) by certain of the purchasers of the property of the old Memphis & Charleston company at foreclosure sale, to take title to and oper- ate that portion of the property which lies in the State of Mis- sissippi. The old company was organized under an act of Tennessee approved Feb. 2, 1846, and was first authorized to con- struct a line in Mississippi by act approved March 1, 1854. There are 34 miles of line in Mississippi now generally known as "The Southern railroad."

Mobile & Ohio. The project of the Mobile & Ohio Railroad was prominently urged by M. J. D. Baldwyn, a citizen of Mobile. He showed the importance of a railway connection between the Ohio and Mississippi Valley and the Gulf of Mexico, and the favorable location of Mobile for its southern terminus. The birth of the enterprise is said to date with the public meeting at Mobile, Jan. 11, 1847. Alabama passed an act incorporating the company, February 3, 1848, capital $10,000,000 ; on Feb. 17, of the same year,

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Mississippi granted a right of way through its borders and an extension of all the chartered privileges appertaining to the com- pany under their act of incorporation in Alabama. Kentucky and Tennessee promptly conceded the same rights through their bor- ders. In May, 1848, the books were opened in Mobile for sub- scription to the capital stock, and in 20 days the sum of $650,000 was subscribed in that city. Hunt's Magazine for December, 1848, declared "This will be the longest railroad in the United States under a single charter" and gave its proposed route as follows : "Commencing at Mobile up the mouth of the Chickasaw-bogue until it strikes the dividing ridge between the Tombigbee and Escatawba rivers-follows this ridge to the head of the Esca- tawba-from thence, continuing its general northerly direction, and passing near the towns of Marion, Macon, and Aberdeen, Mis- sissippi, to the Tennessee River in the State of Tennessee, below the Big Bend Shoals, a distance of 340 miles from Mobile. From thence through the towns of Jackson and Trenton in Tenn. and Moscow in Ky., to its terminus on the Mississippi river, at the town of Columbus, Ky., 16 miles below the mouth of the Ohio river, and 470 miles from Mobile." It is remarkable how closely this original route was adhered to as the line was gradually built. Official reports declared it to have been organized June 7, 1848, under the laws of Alabama, Mississippi, Tennessee and Kentucky, approved February, 1848, also act of Mississippi, March 5, 1880. Debt of the road was readjusted in 1879 without foreclosure and it is still operated under its original name and charter, operating the St. Louis & Cairo under 45 year lease from 1886. General office, Mobile, also operating office: president, Samuel Spencer, N. Y .; operates the following lines in Mississippi: main line, 272 miles ; Branches-Artesia to Columbus, 14 miles; Artesia to Aberdeen, 11 miles ; Aberdeen Branch, 9 miles; Montgomery Divi- sion, main line, 9 miles ; total in Mississippi, 315 miles.

In February, 1901, the reported sale of the Mobile & Ohio rail- road to the Southern system caused much excitement, and the railroad commission, made an investigation, but abandoned pro- posed action upon assurance that the alleged consolidation was a purchase of the majority of stock of the Mobile & Ohio by the individual stockholders of the Southern railroad company.

Alabama Great Southern. The Alabama Great Southern was organized Nov. 30, 1877, under the laws of the State of Alabama. The original corporation was the Alabama & Chattanooga, char- tered in Alabama, 1853, and in Mississippi in 1871. It operates 19 miles of road in Mississippi from the Alabama-Mississippi State Line to Meridian, under a contract with the Southern Ry. Co. for joint use of track between York, Ala., and Meridian, Miss., paying 5% on valuation of $326,400, divided on wheelage basis-contract dated Nov. 3, 1895. Also has contract with N. O. & N. E. and A & V. for joint use of track and terminal facilities at Meridian, for the space of 50 years from July 1, 1890.

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The East Tenn., Va., & Ga. seven miles in State, uses M. & O. tracks into Meridian from Lauderdale. (Alabama Central.)

Alabama & Vicksburg. The Vicksburg & Jackson and the Brandon Companies were merged in the Southern railroad com- pany before the war, and the line now known as the Alabama & Vicksburg was completed in the summer of 1861. After the war it was known as the Vicksburg & Meridian. The Queen & Crescent operating system was formed in the late '80's, with a total mileage in the State of 315 miles, embracing the V. & M., name changed to A. & V., and the Alabama Great Southern, main line 295 miles, 19 miles in Mississippi, which was completed May 17, 1871; also the New Orleans & Northeastern, completed Novem- ber 1, 1883, 153 miles in Mississippi. C. C. Harvey, New Orleans, is president, and Charles Schiff, London,"is vice-president, of both the A. & V. and N. O. & N. E. The Alabama Great Southern is now a part of the Southern system. The main line of the Alabama & Vicksburg to Meridian is 141 miles.

New Orleans & North Eastern. The New Orleans & North Eastern railroad company was organized under the laws of Lou- isiana, Oct. 14, 1868. (See above.) The total mileage of the road is 196, and it operates 153 miles in Mississippi, from Meridian to Pearl river. Hattiesburg is the division terminus between New Orleans and Meridian.

Louisville & Nashville. The New Orleans, Mobile & Chatta- nooga railroad, New Orleans to Mobile, was built under an act of the Alabama legislature, approved Nov. 24, 1866, and its char- ter was approved by act of the Mississippi legislature, Feb. 7,1867. It was sold at decretal sale and by declaration of incorporation un- der Alabama statutes dated April 29, 1880, it was reorganized as the New Orleans, Mobile & Texas. Its property was deeded to the Louisiana & Nashville R. R. Co., Oct. 5, 1881. There are 733/4 miles in Mississippi, part of a great system connecting the Ohio river and Chicago with Jacksonville, Pensacola, Mobile & New Orleans.

Gulf & Ship Island. The Gulf & Ship Island railroad company was first chartered in 1855, liberally, with exemption from taxa- tion. A grant of land was made by the United States, and a com- pany was organized, but the land grant lapsed because of failure to meet the conditions. (See Internal Improvements.) In March, 1871, the Mississippi Valley & Ship Island company was chartered, to lay a line from Vicksburg to a point near Mississippi City, and the legislature petitioned congress to renew the grant of land. In 1872 interest in the development of the Gulf Coast was renewed, and Governor Powers recommended a general State tax to aid in the building of a railroad from Mississippi City inland. The pro- ject was paralyzed by the panic of 1873. A new Gulf & Ship Isl- and company, with a majority of directors at Chicago, was char- tered March 4, 1882, W. H. Hardy, president, and a few miles of track were built in 1887-89, with state convict labor, which was withdrawn in the latter year. The railroad commissioners se-

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cured $40,000 first mortgage bonds in payment of two years' lease of the penitentiary. In 1896 the chief of engineers of the army reported Ship Island harbor not worthy of improvement, consid- ering that the government had improved the Mobile and New Orleans harbors at great expense. He praised the harbor at Ship Island, but estimated the cost of a channel dredged to the shore at over $800,000. Governor McLaurin and the congressional dele- gation joined in representations of the advisability of that expen- diture, considering that the government was expending $3,000,000 at Sabine Pass, where there was less export, and the governor recommended aid to the Gulf & Ship Island road extension. "As soon as it reaches the Alabama & Vicksburg railroad all opposi- tion to appropriations for improvement of the harbor must of neces- sity cease."

The G. & S. I. in 1892 had only 20 miles of track laid, on the south end, and 70 miles graded, and work had ceased. Subse- quently the road was completed from Gulfport to Hattiesburg, a distance of 70 miles, but continued in serious financial straits, until, in the course of court proceedings, Capt. J. T. Jones, a capi- talist of Pennsylvania, who had considerable money involved in the enterprise, assumed the ownership, and individually under- took the completion of the road, the opening up of the great tim- ber region and the development of an ocean port for Mississippi. In this he has been eminently successful. The mileage of the road was extended to 125 miles by 1900 and to 248 by 1901, since when additional lines have raised the total to 277. A deep water chan- nel was dredged to afford access to a great pier 5,900 feet long and 300 feet wide, and the first ocean going vessel tied up here, along- side of the freight cars of the Gulf & Ship Island road, in 1902. The completion of this road marks one of the most important eras in the history of the State. J. T. Jones, Gulfport, is president of the road, J. A. Jones, of Buffalo, N. Y., vice-president ; mileage Gulfport to Jackson, 160; Maxie to Columbia, 49; Saratoga to Laurel, 42; Mendenhall to Bush, 10; total, 277.

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Mississippi : comprising sketches of towns, events, institutions, and persons, arranged in cyclopedic form Vol. II, Part 60

Author: Rowland, Dunbar, 1864-1937, ed Publication date: 1907 Publisher: Atlanta, Southern Historical Publishing Association Number of Pages: 1032

Author: Rowland, Dunbar, 1864-1937, ed
Publication date: 1907
Publisher: Atlanta, Southern Historical Publishing Association
Number of Pages: 1032