AHC, ET&G 7/15/1863

{From the minutes of the Directors' Meeting of the East Tennessee & Georgia RR, July 15, 1863}

 
Office E Tenn & Ga RR Co
15 July 1863
   At a called meeting of the President and Directors of the East Tenn Ga RRC. The following proceedings were had.
   Present President Wallace, Jno L Bridges J H Reagan J H J Lewis Robt Snead T C Lyon J G M Ramsey W S Callaway and D H Cummings.
   The President presented the following re:
Knoxville July 15th 1863
To the directors
   As your meeting today will probably be of more than usual importance I think best to submit in writing the subjects for your consideration. You will see from statements submitted that you have a surplus of $416,282.55 after paying current expenses, dividend declared in Febry last and for engines, cars, and interest accumulated during the year. I suggest the propriety of dividing this surplus among the stockholders at once. I also submit correspondence with the Quarter Master General with regard to an advance in the price of work done for the Government. My opinion of what that advance should be is set forth in my letter and the final result will show that I have not demanded more for our stockholders than they are justly entitled to -- it will not do to assume that any portion of our surplus as shown from time to time are profits -- the question to be considered by you is whether or not you are receiving sufficient compensation for the waste and destruction of your property. I also submit a letter addressed by me to the commanding Genl of this Department and his answer thereto on the subject of the removal of your shops to a place of more security. This removal would embrace necessarily and properly the removal of your offices and valuable books and papers. With this I respectfully tender you my resignation as President of this company to take effect as soon as you can with diligence and convenience provide a suitable successor, reserving the right to terminate my connection with the company at any time I may deem it right and proper for me to do so, but for the clouds that today hang over our beloved country this act would be final and from the close of this meeting. A mans first duty, in temporal affairs, is to his family and especially so in my case as mine are mostly females and while I am, I hope, as free as almost any man living from a desire to accumulate property, I am bound by obligations the most sacred, particularly at my time of life to try and provide something for their support more than my daily earnings, but as my reasons for the step I now take are almost entirely of a personal and private character I will dismiss the subject. In conclusion let me suggest the propriety of your fixing the salaries of your Officers for the year. The term for which those Dollars are fixed extends as I conceive from the 1st July to the 30th June of each year and it is due to the Officers that they should know what they are to depend on as a support for their families at the commencement of each fiscal year. Your Officers have almost quarterly been compelled to advance the wages of all your operators until prices have become what in after times may be considered fabulous. This has been done to enable them to support their families and to keep up with prices paid by other Rail Road companies and unless a rapid reduction in the price of clothing and procuring occurs soon yet still further advances will have to be made. I respectfully suggest that you appoint committees on each of the subjects embraced in this communication. 1st On the propriety of distributing the surplus found on hand. 2d On the propriety of an advance in the rate of Government work. 3d On the propriety of a removal of your shops &c. &c. 4th On the subject of resignation and the election of a successor to the President. 5th On fixing salaries for the present fiscal year. By thus systematizing the work before you the meeting may not be unnecessarily extended.
Respectfully yours
C Wallace Prst
 
   J F I Lewis Esq offered the following resolution:
   Resolved  That a dividend of Thirty Dollars on each share of the stock of the Company be and is hereby declared. To be paid in Treasury notes or bonds as the President may elect and at such time as he may give notice.
   Pending this Maj T. O. Lyon offered the following substitute
   Resolved  That the Prest of the Company is hereby instructed to invest 75 percent of the surplus funds now on hand in the Bonds of this Company or in State bonds and he is hereby directed to pay a premium of 25 percent if he cannot buy said Bonds at less price. In the event he cannot make the disposition of the surplus funds of the Company then he is directed to invest the same in Confederate Bonds on the best terms he can.
   Mr Lewis resolution was the adopted.
   Maj T C Lyon offered the following which was adopted:
   Resolved  That the President be authorized to make such arrangement in regard to an increase of price for freight or transportation for the Confederate government as he may {deem?} just to the Company and the government.
   Genl Reagan offered the following which was adopted:
   Resolved  That in addition to the resolution passed with regard to the removal of the valuables of this Company, the President and Superintendent are hereby authorized to remove the shops and shop tools and machinery when in their judgment it may become necessary for their protection
   Dr J G M Ramsey offered the following which was adopted
   Resolved  That the board are impressed with the importance at the present general emergency of the present ??? retaining his present position of President in the Company and that he is respectfully requested to withdraw the resignation as intimidated in his report.
   Dr Ramey also offered the following -- adopted
   Resolved  That in consideration of the great increase in the price of the means of subsistence and of other supplies and in view the consideration of the faithful and arduous duties of the President of the Company his salary be and is hereby increased to $10,000 per annum.
   Maj Lyon the following   adopted
   Resolved that the salary of the Superintendent of Transportation shall be $7,500 for the coming year and that of the Secretary & Treasurer be $4,000

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