| From the Richmond Sentinel |
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| December 19, 1864 |
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| Our Railroads |
| Inconsiderate censure and ignorant
denunciation, are the order of the day. Every person understands his
own troubles, every interest realizes its own inconveniences; but few
take the pains to make inquiry before pronouncing judgment in the case
of others. There seems to be a luxury in finding fault. There seems to
be a solace for a new or unexpected inconvenience by greeting it with
maledictions. |
| While much may be pardoned to a natural
impatience, and while it is conceded that the disposition to bawl out
is one of the relief of pain, one of nature's medicaments, so declared
by the doctors, yet we should always be ready at least to hear before
we really strike, and to examine before we pronounce judgment. It is
an exhibition of this degree of justice that we now ask in reference
to the railroads, and their rates of transportation. The subject is
one well worthy of full consideration. The railroads, while private
interests, are public institutions. They are the arteries by which the
vital circulation is carried on. Our convenience and our essential
interests, are inseparably connected with their maintenance, and their
proper management. The means of maintaining their efficiency should be
devised and enforced. While excesses should be restrained, fair and
adequate rates of charge should be conceded. Of the complainings which
we utter for the luxury or relief they afford, we are not now
speaking; but of the facts on which judgment ought to be formed, and
action based. |
| The following elucidation of this subject
has been prepared at our request, and is based upon official figures
and the facts of record. The positions seem temperately taken, and in
the main, very fairly argued, and some very important suggestions are
made, not only for the instruction of the people, but for the
consideration of the authorities of Government. We bespeak for what we
now introduce a patient study and frank judgment: |
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| A portion of the public is complaining of
the charges ??ly the railroad companies, and it is requires a common
thing to accuse them of ???, without a proper knowledge of the facts.
Are the companies justly liable of the charge? In 1860 the Virginia
roads charged from four to five cents per mile for passengers, and an
average of from six to eight cents, per ton per mile for freight.
These prices enabled the companies to repair their roads, and a few of
them could declare dividends of from five to seven per cent. The roads
were, doubtless, worked at a minimum of expense in most cases, as
labor was easily obtained, and supplies ??? forced upon them at the
lowest rates. These companies, at the commencement of the war,
undertook to carry the Government passengers and freight at rather
less than half these rates, and, owing to the increased amount of
travel, did a fine business at the commencement of the war. The
repairs, it is true, were not fully kept up, but th general impression
was that the war would soon be over, and the repairs made at the usual
prices. But as the war progressed, the prices of supplies advanced
labor became scarce and high, and the companies were compelled to
increase their rates, still, however, neglecting repairs in everything
which could be postponed. At this date the Virginia companies are
charging individuals from 20 to 26 cents per mile for passengers, and
from sixty to eighty cents per ton per mile for freight, the
Government paying about half these rates. An average would probably
show an increase of about three times the old rate for travel, and
five times the old rates for freight, the great bulk of transportation
being on Government account. |
| Let us now take one month's supply of
certain articles of home production on one of the Virginia roads,
excluding those articles which are imported, and therefore, bearing a
much greater rate of increase over old prices than those named, and
compare the prices in 1860 with those paid at the present time: |
| 6,390 pounds bacon cost in 1860, 11 cents,
$692; at present $7, $87,780 |
| 877 1/2 bushels corn meal cost in 1860, 80
cents, $702; at present $80, $26,825 |
| 29 suits summer and winter clothing cost
in 1860, $16 $435; at present $850, $10,150 |
| 29 hats and blankets cost in 1860, $4,
$116; at present $60, $1,740 |
| 116 pairs shoes cost in 1860, $1.25 $145;
at present $60, $6,960 |
| 10 tons hay cost in 1860, $15, $150; at
present $350, $3,500 |
| 2,000 pounds tallow cost in 1860 12 cents,
$240; at present $9 1/2, $19,000 |
| 8000 pounds iron of all kinds cost in
1860, 4 cents, $1,200; at present $1.25 $87,500 |
| Cost of above articles in 1860, $3,580.90; in 1864,
$142,906 |
| The monthly expenses of this road in 1860,
were about $28,000, or which, perhaps, $10,000 were expended in
supplies and the remainder in salaries, wages, &c. The articles
enumerated above are, therefore, about one third in value of the
supplies which were used and thought to be necessary in 1860. |
| The prices of supplies are, therefore,
about forty times those of 1860. Some articles not mentioned above are
not so much advanced. It may be remarked her that gold has not
advanced to forty to one. Here, then, are the facts. The community is
charging the railroads forty prices for their necessary supplies; the
railroad companies are charging the community, including the
Government, about four prices, and excluding the Government, five
prices for passengers and ten prices for freight. Dividing the first
class rates by forty, the companies are carrying passengers at about
half a cent per mile, and freight at less than two cents per mile, and
including Government transportation they are carrying passengers at
three and a half mills and freight at one cent, that is, if the prices
are measured by the cost of supplies. |
| What interest can show such a record as
this? Manufacturers of all kinds, in cotton and wool, in iron and wood
are charging fully up to the increased prices of produce. Is it so
with the railroad companies? But it is charged that the railroads have
made enormous dividends. Manufactories have made more, so has the
farming interest, and this seems to be thought just and proper. But
many railroad companies have only declared the usual dividend made
before the war, and those who have done more than this have probably
done it at the expense of capital, or in other words by neglect of
repairs. |
| Our roads are wearing out, the rolling
stock is becoming less and less efficient. Had the roads been kept in
as good condition as in 1860, very few if any would have had any
surplus to declare dividends upon. Take one instance of depreciation
which is apparent to all, that of iron rails. How many companies have
purchased new iron since 1860. None that I know of have done so to
any considerable extent -- and yet, nearly four years have passed,
which is at least one fourth of the life of railroad iron. One fourth
of our railroad iron then is gone. If the war continues this must be
replaced; it is absolutely necessary to replace some of it now. What
will it cost? Ordinary iron castings are worth $1.25 per pound, rails
could scarcely be made at less than 76 cents! Deducting the value of
old material, I suppose this necessary amount of iron for repairs, say
20 tons per mile, could not be obtained (if labor could be had to
manufacture it) for less than $17,000. A road of 100 miles is at this
day in debt then $1,700,000 for this article alone! This is no exaggeration,
and if depreciation in rolling stock and in buildings and fixtures
were accounted for this amount would probably be doubled. If the war
continues the companies will be forced to expend these sums or the
Confederacy will lose the only means of transportation left, at least
between distant points. These roads are of vital importance and should
be kept up -- nay, improved; the companies should be paid rates which
will enable them to do this and then be compelled to do it, and to
this end sufficient details should be allowed them. The roads are of
as much importance as the armies in defending the country. Indeed,
without them, there can be no armies. |
| What hardship can there be in compelling a
manufacturer, or a producer of any sort, to pay to the railroad
companies for freight or fare a price corresponding with the advance
in his own productions? If it required five bushels of corn to carry
him one hundred miles in 1860, why should he expect to be carried for
half a bushel now? If it required the price of thirty pounds of bacon
or tallow then, why should the railroad company be restricted to a
charge equivalent to the value of two or three pounds now? These are
the rates now charged, and the railroad companies are called
extortioners. |
| The truth is that the companies have been
the last to raise their rates. Necessity has compelled the step. A
further advance is now necessary, and money and labor must be put at
the service of these companies and they compelled to use them, or the
time is not distant when the roads will be found inadequate for the
transportation required of them. Some persons think that time has
already come. Let this subject be examined candidly and fairly. It is
all that these companies ask. They court investigation. |
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