Edgefield advertiser. (Edgefield, S.C.) 1836-current, January 21, 1857, Image 1
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"We will cling to the Pillars of the Temple 0 our- Liberties, and If it must fall, we will Perish amidst the Ruins."
SIMEINS, DURISOE & CO., Proprietors. EDGEFfELD, .C., JANUARY 21, 1857. ~L" -1"--" *
PEERCH OF WK. GREGG.
On a Bill to amend an Act entitled, " An Act to
* authorize aid to the Blue Ridge Railroad
Company, in South Carolina." (Bill by th,
Committee of Ways and Means.)
MR. SPEAKER: In 1854, the Legislature, af
ter a long struggle, passed an act which author
ized a subscription of a million of dollars, and
also a loan of a million, to the Blue Ridge Rail
road Company. Certain restrictions were im
posed oi the Company, one of which provided
that the charter should be so amended, as to re
quire that each of the Directors of the Blue
Ridge Railroad Company should hold, in their
own right, five thousand dollars of stock in the
Company. The-amendment proposes to strike
out that clause.
I have serious objections to that amendment,
and as it involves a principle which interweaves
itself into all my objections to the Blue Ridge
enterprise, I deem it to be a fit occasion to give
my views in full on the subject. In doing so,
I beg to disclaim all intention of speaking of
the South Carolina Railroad, except.to illustrate
the subject. I am a stockholder inothat Com
pany, and.the gentlemen who have charge of its
management are my personal friends. If I own
ed 5,000 shares, I would say what I An about
to say.
I believe, most sincerely, that every dollar
the State puts in it will be lost, for I have not
the slightest idea that she will respond to the
calls that will, necessarily, be made upon her
before this work will be so far completed as to
- becoise available. 4
There is no man who stands higher in my
estimation than Judge Frost, the President of
that establishment, and if he were to advise
with ine, as a friend, as to what he should do in
the matter, I would, n'iihesitatingly, say to him.
that I would suspend the whole matter; I would
stop the work where it is, and let it so stand,
until the people of the States of Georgia, North
Carolina and Tennessee come forwara with as
surancea that could not be doubted, that ample
means were to be supplied to finish and eq'ip
the work in those States. I would then require
that the people of Charleston, and of the State,
should give me clearly to understand where the
means were to come from to build a rond from
the city of Charleston to the North Carolina
line.
I have no doubt but an estimate from the
present Engineer, for such a work, would reach
twelve or thirteen millions.
When this enterprise was commenced, I was
a citizen of Charleston, and used my utmost ef
forts to prevent that corporation from subscrib.
ing a million and forty-nine thousand dollars.
Knowing how little confidence the people of
Charleston had in the scheme, I could not bring
myself to believe that .o small an amount of
capital to commence with, could end in any
thing short of disaster and defeat.
-4.The ground that- ithen took was, that Char
leston would derive little or no benefit from a
road cut through the mourtains. with a South
eastern terminus at Anderson. That it' she were
disposed to consult her own interest, she would
require as a condition to such a subteription that
the work should commence at her own borders.
That no city can reasonably expect to thrive
and become a great commercial emporium that
had but one interior outlet; that, under the
control of a chartered Company, and the keys
in the pocket of a single individual. That tier
dgatiny was fixed and indissoluble with the
'State of South Carolina, and that mainly her
great investments in internal improveutents
should be made with a view to developing the
resources of the immediate country around her.
That certain and cheap modes of transportation
from all quarters of the State could not fail to
re-act on the general prosperity of the city.
That the dormant wealth of Charleston miglt
be so directed as to be felt in the remotest parts
of the State, in stimulating agriculture, drain
ing our great swamps and putting into renewed
culture our worn-out and waste landa; diversi
fying Industry, stimulat'pg the mechanic arts,
and increasing the population and wealth of
the State.
There. is no city in the Union which has accu
mulated more wealth to its size than Charleston
-none that has shown so little inclination to
put forth her wettlth in such a way as to develop
the resources of the State. Heir millionaires die
in New York. There is scarcely a day that pas
- sea over that does not send forth Charleston
capital to add to the growth and wealth of that
great city. There is a silent and an impercepti
ble drain in that direction; the aggregate of
which for twenty years would more thatn build
a railroad from Charleston to Cincinnati.
In order to arrive at a proper conclusion as
to what claims the Blue Ridge Company have
on the State, and also whether Ihis Legislature
can by such acts benefit either the State or that
company, it will be necessary to go into an in
vestigation of the wole subject.
With that object in view I will commene
with a review of the early history. It seems
that in the beginning there was no serious effort
made to procure individual subscriptions in the
city or Chare on, indeed the enterprise was
coinjmenced in a way that capitalists had no
confidence in it.
Long before it was known, how thte parties
got any money to operate upotn, engimeers were
at work in the moutains, and a great flourish
of trumpets made abdut contractors who were
ready to perform the. whole work at unheard of
low prices, and all that was wanted in order to
se.dle thme mountaitns and carry out with modern
-intgenuity the long since exploded Cincinnati
scheme, was a small subseription from the city
of Charlestotn, and a very moderate amount from
the State.
After getting the city of Charleston itt for a
- million and fortyninme thousand dollars, without
atty serious effort to stir tup thme private capital
of that place, indeed withIout showing a disposi
tion to draw even upon their own abundat
means, a certuin set of Charleston gentlemen
came up here, with all the influtencesi that men
can sotmetimes bring to bear, and besieged the
yegislature t-o take a .,step whtich would force
ths State of Sopth Carplinau tp bepome proprie
$pr, in pojpinpn' withm the pity of Charlestqn, of
gita szpensive enterprise, inyolving ten or fiftpen
ptiilllons of capital and the building of a railroad
throngh fopr States.
J bive byen watching ths piovements of the
parties enigagedi in this worls frowmthe pommenee
mnent, aud l Inust say that whetn I saw genttle
men from Charleston on this floor, asking State
aid, wealhy gentlemnen, some of whom have
mhips floating in every sea.: I say when I saw
such gent lemetn here, asking State aid to build
a road which is to be purely commercial in its
chiaraicter, for the accommodation of the ship
ping interesta of that city, a work whtich can do
the State at large so little good, and those gen
tlemen not willing to take stock~ themselves, I
could not divest tnyself of the apprehension
that all was not right. The gentlemen who
have been most prominent in this work have no
pecuniatry intterest int it, except such paltry aunms
as wasn necessary to quatlify ai Director, and ena
ble hin to participate in experndintg the State's
money. These gentlemen, including the Presi
desat and irectors, ad one hundred ad ninety
two other individuals, had raised the sum of fif.
ty-two 4housand dollars, when preliminary con
tracts were entered into to build a road one
hundred and ninety-five miles long, through a
mountain country the whole way, which is to
have thirteen tunnels and thirty-two bridges,
varying from one to six hundred feet long, and
in some instances to be ninety feet high. They
employ inexperienced engineers to perform work
which requires all the science ,the present age
can bring upon it, and then to cap the climax,
they enter into a contract with irresponsible men
to build railroads through mountainous coun
tries, which had not been explored in order to
ascertain the nature of the work. They bargain
with these contractors to import iron without
stipulating the price; in short, put themselves
in the hands of men whose intentions were to
swindle them. Is it not strange that our Legis
lature could be led so far estray under such cir
cumstances, as they were in 1852, when the
State proffered its aid and support, and offered
a loan of one million two hundred and fifty
thousand dollars, (1,250,000,) and at the same
time refused to loan the Greenville Railroad one
hundred thousand dollars.
Then in 1854, when the Blue Ridge Railroad
affairs were in such utter confusion, under in
competent managers as Mr. Gwynn's report will
show, and what was worse, in the hands of
swindling contractors, to see our Legislature
commit the State for aid to the amount of $2,
000,000 to be expended on a work a large por
tion of it out of the State, and that, too, in what
is equal to ready money, and then offer such piti
ful sums to useful internal improvements as we
have going on in our State, to be paid in depre
ciated stocks; when I witnessed all this I think
I had a right to draw the conclusion that our
ILegislature was a little wild, and wandering
from their path of duty to the State.
But it is not my object to impugne the mo
tives of the projectors of.the Blue Ridge Rail
road, nor to casL reflections on the past acts of
this Legislature; but to show that as set forth
before this body, the Blue Ridge scheme is in.
complete, and calculated to mislead the State,
and put her in a position which will require the
Legislature to do more than the people of the
State ever expected to do.
In the name of common sense, where is the
capital to come from if the State does not as
sume the whole work, and undertake to supply
the means. Independent of the State, the only
resources I can find in the President's report
Vich I regard to be reliable, are as follows:
City of Charleston subscription ....01,049,000
Private subscription in Charleston .. 52,000
In Pendleton .................... 52,000
In State of Georgia .............. 3,600
North Carolina.................. 55,400
Tennessee ...................... 250,000
Total of......................$1,462,000
To begin a work which, according to Mr.
Gwynn's figure., will cost $8,691,677; and to
which I would add 6500,000 for additional ma
chinerv and according to my estimates for addi
tional *work which will be necessary before the
wViik'eirn'be useful to the State, $4,500,000
nor'e for a road from Anderson to Charleston
giving us the round sum of $13,691,677.
In the name of common -ense,'gentlemen, let
me ask you where is all this immense sum to
come, from? Then again let me ask where this
great trade is to find a channel of communica
tion with Charleston if the work is to stop at
Anderson?
Its advocates have eloquently set forth the
immense commerce which is to be set in motion;
the State is to be flooded with cheap western
products, the seas are to be whitened with the
commerce that it is to give to Charleston. The
wilderness swamps in the vicinity of Branch.
ville and down to Charleston, that have slept
under the sound of the engine's whistle for
twenty years,, are to be waked up. The body
politie is to be exhilerateu, and South Carolina
is to wipe off the reproach of Rip Van Winkle
bloth by a liearty co-operation in this work.
Let us not deceive ourselves, but in sober
earnest, set to work as men of business and men
of capital would do for themselves, were they
engsged in such an undertaking. The first in
quiry after surveying the ground and making
sure the capital necessary to complete the work,
would be, how is the trade which will be re
quired to pay expenses on this work to get away
from Anderson ? A road which has cost rine
millions will require a very large business to
even pay its expenses and mnake good the wear
and tear of road and machinery, to say nothing
about interest on capital..
I ask the question again, how is that vast
amount of Western produce to get away from
Anderson ?
Will the Greenville Railroad be able to do it?
It is absurd to talk about it. But we will pass
on a little further anid suppose the trado to have
reached the South Carolina Railroad at Colum
bia, or any other point you choose to name.
Can that Company add to its present enormous
business the trade which will be necessary to
support a 9,000,000 road, drain the vast country
which it is to penetrate, when it gets beyond
the Cumnberland mountains, and furnish a trade
which is to make Charleston the queen city of~
the South ?
Admit that the South Carolina Railroad Coin.
pany will set about at once to prepare for such
a trade, by building double track. Witli it do
the business on such liberal terms as to enable
the Blue Ridge Railroad Company to pay ex
penses? If we draw our conclusions from the
experience of the past, we wvill be bound to come
to the copelusion that the last proposition is as
absurd as the first.
Any man wiho looks at all irnto the subject is
bound to come to the conclusion that the Blue
Ridge Railroad Company will stand in the same
re!ation to the South Carolina Railroad Compa
ny that the people of the Stale now do. It is
said their interest, if not identical, will be mu
tual. So it was said with regard to the Green
ville arnd Charlotte Railroads.- But what are
tlbe facts of thme case ? That great Company
which monopolises every thing has dictated its
own terms to railroads and individuals, and will
continue to do so, in reference to the Blue
Ridge Railroad. If the South Carolina Rail
road Company do not kill the goose for the
golden egg, she pill at least put, it on short
allowance,
ptoog at the past histofy of that enterprise;
Iook at the present state of things: TIhie Colum
bia people buiiding steamboats, qnd applying to
yout to open nan1'atton. that they may haye a
fre outlet for 'reenyjle an4 Charlottp flait
road cotton. 'Khe people of Newberry, hauling
ctton across the Greenville Railrond, and gobtag
in wagons sixty and seventy miles to avail them
selves of Georgia facilities and Georgia markets,
and cotton that used to coame to this place eigh
tv miles in wagons on its way to Charleston,
now taking *lhe back track up thie Charlbtte
Road, and thence to North Carolina anark ets
over the North Carolina Roads; and with all
this staring us in the face. the managers of the
South Carolina Road will tell you that tiey
have tracks and machinery enough to do all the
business.
On the other line of road, leading from Char
leston to Hamburg, this is ain evil whch is fet
to be a sore grievance; anywhere above 75
miles, the people are required to pity 25 per
met amn thana the Georgia people. If the....
tiele of hay be brought up to Aiken and Gran
iteville, the freights is 30 cents; if the same
article goes on ten or fifteen miles further to
Augusta, the freight will be but 20 cents. If
our Granitville cloth, the product of South Car
oliria industry, go to Charleston, it pays 25 per
c'ent. more than gimilar goods from Georgia,
although we are ten miles nearer. . If we send
our goods into Georgia or Alabama, we are
charged 15 cents a hundred pounds for ten miles
to Augusta, which is the price of freight from
Charleston to New York, and equal to the third
of the freight on a similar bale from Liverpool
to Charleston, and I of the price of shipping a
bale of sheetings 170 miles on the Georgia
road.
Although the South Carolina Railroad has
been in operation, I may say, a quarter of a
century, the country along its line is compara.
tively a wilderness. Finely timbered lands im.
mediately alongside of the road, have been
sold, since 1847, for 25 to 50 cents an acre, and
that within 38 miles of Charleston. When
Graniteville was established in 1846, 75 cents
to a dollar was a common price for. well tim.
bered, lands on the railroad, and within ten
miles of Augusta. This is truly a commentary
on Mr. Gwynn's notions and quotations from
DeBow's Review-remarks which are attached
to his report on the Blue Ridge road, which
speaks of how much the South Carolina road
has done for the country along the line of road.
The truth is that it is the interest and policy
of the South Carolina Railroad to keep all that
country unimproved and in a wilderness state ;
and it always will be so until they are compell.
ed to look for business at home, or the people
of the country find other means of transporta.
tion to market. From a few miles above
Charleston, timber, cross.ties and fuel men have
no market but the railroad, except it be imme
diately'on the Edisto River. All the wood and
timber along the line of the road belongs to the
South Carolina Railroad Company as effectually
as if they had a fee simple to the land. Those
who furnish the company do it for prices which
will barely' pay for the labor, considering the
timber to be worth nothing; and I am only sur
prised that the Railroad Company shot ld have
held so long as they have $100,000 worth of
land.
This explains at once why that country has
remained so long a wilderness, while it abounds
with the finest merchantable timber on earth.
There has always beei such a pressure of
through Western business on the South Caro
lina Railroad that it has not been the interest of
that establishment to seek local business. At
certain seasons of the year there has always
been such a flood of both up and down freights,
that the President has never been able, if he
were willing, to say to lumber men, buikl mills
on the road, bring ranging timber, shingles,
staves, &c., and it shall be taken to Charleston
promptly, at all seasons of the year, and at fair
rates. Nothing has been done in that way to de
velop the resources of that vast wilderness
country, which lies an idle waste, and a living
reproach upon our enterprise.
In tie Summer season, when blsiness'shick.
ens, lumber and heavy articles are carried at liv.
ing rates. But as soon as the Western trade
sets in, every thing of the kind is thrown over
board, the freights on lumber, bripks, and all
heavy articles are raised to a scale of prohi
bition.
Some may suppose that this is a sin that o'ught
to be brought down upon the heads of the
President and Directors. But I think not, it
grows out of very nature of things, and if vou
expect much better from them, you look for
more than reason would warrant you to look
for.
In the absence of competition it will always
be so, to the great detriment of the country,
and retmain a draw back on the prosperity of
Charleston.
That the South Carolina Railroad is a mon
opoly beyond all control, we are all willing to
admit. That it will remain so until competition
relieve us is equally apparent.
It is also equally as obvious, that every new
railroad which has it. terminus so located as to
have no other outlet than the South Carolina
Railroad must inevitably inicrease tha~t evil ; and
I warn this Legialature of the necessity of so
directing her inivestmients as to mitigate and not
increase this evil and burden upon our country.
I think that gentlemien who have carefully
examined the Presidents and Engineer's reports
on the Blue Ridge Rtoadi must have come to the
conclusion that it will fall to the lot of the State
of South Carolina to furnish the means to do
pretty ntearly the whole work, and that if she
does'not tire and abandon it before the work is
half comlheted, the meatns will be supplied so
relutantly and slowly, as to renden it a very
costly work. Judge Frost informs us that in
paying a part in stock, part in bonds and the
balatnce in cash, it enhances the cost, so that lie
gets no more for a dollar than 70c. in money
would command. Where is the capital to come
from to relieve this difficulty? What has
Georgia done, and wvhat will she do ? The peo
ple of that State have subscribed $3,600 to.
wards a work which is to cost $885,404,00.
What has North Carolina done ? Literally
nothing; the people of that State have subscrib
ed $55,400 towards building a road seventy.
three miles long, and which is to cost $2,330,
790.90. What has Tennessee done ? Very little
indeed; her subscription amounts to no more
than 8250,000, raised principally by the issue
of county bonds, the legality of which is to be
tested by legal investigation. The sum total is
$250,000.00 to build a road fifty-three miles
long, and wjuich is to cost 61,536.918.00.
The State of Tennessee has passed an act for
the purposu/ of aiding in the construction of
railroads in Tennease. That act involves the
isuo'of bonds to the nmount of the enormous
suim of seventeen millions of' dollars for works
now in progress or about to be. But how differ
ent that act is from the proceedings of our
Legislature in subscribing and loaning to the
Blue Ridge Road.
The act of the Legislature of Tennesse ati
thorizes the issue of State bonds to be loaned
to nll newv railroad companies in the State, a
sufficient sum to purphase the iron and build
the necessary bridges. The road, before it can
receive the bonds, must be graded and the mu.
persructure on it, then the State takes a first
mortgage on the road. The State in that way
ma~y loan her credit do a vast amount and do
good to the State without hazard of loss, for
the very iron which her bonds purphase is ulor
taged with thle road for the debt,
The State of Tennessee doe. nothIng more
than to loan her bonds In this case to the Knox.
vlle and Charleston raIlroad eompany for' ,650,.
000.00, to purchase the Iron and buIld the
bridges. She takes very good care to provide
that the road shall be graded and the wooden
superstructure on it before the buonds shall be
issued, which arc to be secured by .rtmr
tage. rtmr
\ve regard South Carolina to be the pro.
pritor of' this large undertaking, and the facet
cannot be disguised, can the credit of the State
of Tennessee be regarded as a part of the avail,
able assets ? Can the State of South Carolina
whic-h has always been set jealous of her righta
nd independenee, bring herself down to a posh.
tion that will plaie her in the situation of a bor.
rnWy'? a ersadmut n( then mta of TPaaes... I
It will be the.lft of imprudence for us to
count on getting)at with a sum short of ($12,
000.000) twelvsfi llions of dbllars without
counting the cit of Charlestin subscription,
and the small surXeceivedin other Stales, and
after the road is it, what will be our condi
tion ? We will~ ,ian unwieldy property-a
political hobby flir needy politicians to ride
and to rule the S' with an iron rod.
No man can lo- at the subject for a moment
without seeing .t !a direct.road to Charleston
will be inevitable When tIie Blue Ridge gets
to Aiken it will.- the hands of the south
Carolina Railrr mpany,,,Jbject to- their
will and pleasre, their 'Ates, however ex
orbitant, and the Ml be no alternative left
but to buy that e ern out, or build a road to
Charleston, whor .hBlue Ridge ought to have
commenced.
I am not willii to see the State of South
Carolina engage itany public work without hav
ing at least three-hs of the stock subscribed
by responsible in 8.
Individual en. 'ise and capital ought to
predominate in ev great work. The absence
of it has shipwrc many a promising under
taking. In nearl I the recently made rail.
roads leading on, f Northern cities, private
capital predomind ; and yet they are set forth
as examples to 0, our State into a work in
which she will -,no inch aid.
There are few:it works within my ktowl.
edge which have tved successful. The great
Erie Canal is on e4ht is, however, so dissimi
lar to a railroad, 4iit a just comparison can
scarcely be made great canal like the Erie
may be com.iare a river, which is free to
every man to u s own craft, his own ma
chinery, ehlsing own mode of propelling.
The whole opers n is individual enterprise,
independent of al l'eAtraint, excent payiu.u' .^
tolls. The State Niw York on that work
simply receiies th. tools, and has nothing to
gain or to lose, e good or bad management
of the working 4artment; while railroading
is the most. compl -business known to civilized
man.
There is no ess which requires such
comprehensive i1 lly connected driving en
terprise, and min t dtailed economy. A rail
road is not wo ny thing without a good
manager to condue it. Out of 50,000 men you
can scarcely fiid man for a railroad presi.
dent; and withoutod management it will be
a tax upon is oWper.
Tie Georgia Sa.e road is another successful
State enterprise. It-is somewhat similar to the.
Blue Ridge road enepi that it passes its entire
length through a prjductive, agricultural part of
the State of Georgia, which was a wilderness
waste before thit pork was commenced. It
opened a now andVit field for profitable agri.
culture, as was thi-*se with the Erie Canal and
Gennessec country -n that way, the Stales of
Georgia anrid New ork have been largely cow
pensated for the o ya incurred.
But you must Jn mind, that the Slate of
Georgia, before 8, ould move in that matter,
secure&Aol 'a atiet to the seaboard, to
Uhnauetorr, 2 : If.N iisllrgilnret for
that before she went into that enterprise. It
proved successful, and the State of Georgia now
owes but $500,000 for her public works. With
out that competition outlet, that property would
have been worthless. Thb State road at Au
gusta felt that inconvenience in occasional low
rivers, which threw that Company on the mercy
of the South Carolina Railroad Company; but
that has been obvinle I by the Waynesboro road
to Savannah, thus giving that work two outlets.
The great railroad works all around us are cited
as examples for emulation. I have learned long
since that all is not gold that glitters. We are
very apt to look at the success and brilliant out.
ward show of an enterprise, rather than to the
difficulties that it has had to encounter. The
histo'ry of the rise and progress of the Georgia
State road ought to be a beacon light to warn
South Carolina of the quick -sands ani shoals
which eame near swamping the State of Geor
gia. That State hnd a banking institution simi
lar to our Bank of the State. In the midst of
Georgia's embarrassments with her great State
work, her Bank gave way, and it became ne
cessary to wind it up; her p~ublic works had to
bc suspended, and remained so for several years,
during which time Georgia State 7 per cent.
bonds went down to 48 cents in the dollar, and
it was only through large loans from Charleston
merchants that Georgia was able to resume her
works, and pay interest on her debt.
Now, Mr. Speaker, let me ask you, are we
not liable to the same state of things ? Is our
bank on a better foundation than the State Bank
of Georgia was? Can we flatter ourselves that
we are bettor able to manage a bank, or a pub
lic work, than the enterprising people of Geor
gia?-admitted on all sides to be a people un
exampled for bold and successful works, and
who constitute the Empire State or the south ?
But to return to the subject. Did you ever
know a State government to carry on a business
right ? Have we not a sad lesson before us in
the new State Capitol? Over $300,000 entirely
lost and gone before we commence to get out
the stones for a foundation.: slave we not a
lesson almost equal to it in the first three years
of operation on the Blue Ridge Road? From
the reports before us, we have reason to come
to the conclusion that the whole operation is
chargeable with errors, confusion, loss and ab
sence of progress-for it is no nearer comple
tion now than it was the time of its commence
ment.
Would any of you be willing to purchase a
ic or a cotton plantation, or a large mercan
tile concern, ithat was under the control and
management of the State? I think you will
say no. Then why will involve the State in a
large debt for works which she is not capable
of managing ? It is bad enough to spend ready
money in doubtful and unprofitable enterprises
-to borrow for such purposes is unpardonable.
Some years ago I had occasion to visit many
of the railroad establishments at the North. I
was there struick with the difference between
the manag ment of - State works, and those
which were'owned and managed by enterpiisiqg
individuals. The offe~ps gf- 5t'te works Nad the
appearance' of' any~fmg more than that of a
place of business. Segar smokers in idleness,
business papers scattered about mixed with
segar stumps, all confusion, floors not swept
once a month, yard gates broken ; if you wan
ted information, the man who could give it was
out, indeed every indication of careless rah
Ilow diffe.ent~ the qffce j60 in injyjiual eniter
pr~iso-~!everythin~g as ueat as a pin, and as order
las a mercantile counting house.
The Pennsylvamia State works are notorious
for bad managomenit, and works which cost that
State a dlebt of $40,000,000, will soonbe
worthless property ; they are now being ranr'
ly superceded by wvorks of in'.,prciclcl
act -, nder9.2utrection of individual capi
The Georgia State Road is complained of by3
every body ; the people of Georgia are heartily
tired of their ownership, and the State wvould
have sold out long ago, but for the political
poer of the road to retain itself in the hands
of the State.
f oident that if the Blue Ridge Rail
roadwas ompltedfrom Knoxville to the city
of Charleston, and 'owned by the ciyand the
State, its msanssma odalitthhad
of politicians; and it would be so badly iianag
ed as to be a worthless property;
The State of South Carolina has had warning
enough, (independent of those which I have
just cited,) to-teach her that she should be ex
tremely cautious how she embarks in public
works.
In 1820 to '24 she was largely engaged in
works of internal improvement on her own ac
count. After expending the sum of $2,300,000,
she abandoned the work, and that sum has been
proved to be a total loss to the State.
In 1836 the people and the State embarked
again, with a flourish of trumpets, in an enter
prise to build a great railroad from Charleston
to Cincinnati; which work was to be completed
in three years. The only serious obstacle that
seemed to be in the way was that the State of
Kentucky refused to permit us to build a rail
road bridge over the Ohio- River to Cincinnati,
which was to cost only a million (f 4ollars. The
Kentucky opposition was-a serious obstacle in
deed; and all eyes were turned to Old Ken
tucky, who thus stood obstinately in our way.
In order to obviate tmat serious difficulty, one
of our most talented youngmen, now amember
of this House, was sent, at an expenseof $5,000,
on 'a special mission to Frankfort, ip Kentucky,
to make an appeal to the Legislature of that
State. His eloquence was triumphant. The
State of Kentucky yielded-purchased the fi
ngst horse in the State and sent our minister
home upon him. Cincinnati was illuminated on
that occasion; transparencies were hung up in
the windows, representing passenger trains of
cars departing for Charleston, and all rejoiced
in the confident hope that as tlte bridge obstacle
was removed, mountains would give way, and
the gold of the South would soon create a new
state of things in that region of country.
Two years after that time I made a journey
in a :rivate conveyance over. the country, near
trie li.e of that road. The engineers were
then at work in the mofttains. 1 came to the
conclusion that our great work would not be
completed in my day. I was asked while in
Cincinnati how long it would take to finish the
work. My reply was twenty to twenty-five
years! The people could scarcely listen to such
suggestions with any sort of patience, for they
were living under the delusive hope that Char
leston would in two years more have her loco
motives in Cincinnati.
We all know how soon that bubble burst. It
was nothing but the $3,000,000 of individual
subscription that saved the State at that time
from another total loss. I have a clear recol
lection of the natter, for I had subscribed some
thousands of dollars, and worked ten long years,
in common with other private stockholders, to
save ourselves from serious, and we sometimes
thought total loss. I there received many prac
tical lessons on the sulject, and think I under
stand something about the embarrassments that
a State may get herself into unless she moves
very cautiously in large undertakings like this
One of the first operations of the Cincinnati
and Charleston Railroad Company was to pur
chas,the:.Heu qurglo dgnvrder.to~ineqma
sikriptioni to an amount thit-woudentitle
them to State aid. In this way they obtained
twenty thousand shares of subscription-55 in
every $125 was to be a share of stock in the
new compatiy.
When the Hamburg road changed hands, it
was transferred by a Board of twelve Directors
-Charleston capitalists-who had achieved in
mortal fame by building one of the first and the
longest railroads in the world, and put upon it
the second locomotive that ever went on iron
ways. liat concern, cruel to relate, went into
the hands of twenty-four directors, that knew
nothing about railroads practically, coluposed of
conspicuous gentlemen and politicians, scattered
frota the seaboard in South Carolina to the
banks of the Ohio River. Nothing short of a
general or leading politician was thought to be
in keeping with this gigantic enterprise, nut one
of the old directors was placed where he could
have a voice in the management of this new
company. You will perceive at once that mat
ters took suddenly a new direction. Business
men were thrown out, and the establi.shment
had assumed a political character-or, I might
more appropriately have said, no character at
all-for the stockholders had individually so
little at stake, and were so dispersed over this
Stite, North Carolina and Tennessee, that no
one seeime: to care much about it, and paid it
little or no attention until the company became
embarrassed, and begando call for instalments.
The Cincinnati and Charleston Railroad Co.
purchased the Hamburg Road, which up to that
time had cost for building and re~iuilding, $2,
000,000, and agreed to give $2,500,000, faking
it, however, with all its assets and liabilities ;
and it ultimately cost the new company $3,
300,000, just sixty-three per cent. advance on
its cost-a pretty dear bargain. B3ut it gave
them a subscription of two thousand shares,
and secured State aid.
Iew engineers were imported, a principal at
a salary of ten thousand a year, and some genm
tlemen strongly advocated a salary of twenty
thousand dollars, on the ground tlhat ten thou
sand was too paltry a sum to offer so great an
engineer to take charge of so great a work. The
State was then in for $1,000,000 subscription,
and $2,000,000 loan.
The new company commenced at Branchiville,
and were led away by influences that never
could have moved men who were using thieir
own capital, to take around-about route through
the Congaree swamps, sixty-eight miles, at an
expense of $3,000,000 or thereabouts, to reach
Columbia, when they could, by branching at
Blackville, have obtained a direct dry ground
route forty-five miles long at a cost of $800,000.
After expending near a million on the Broad
River route, the question was serioqjsly enter
tained whether that route should be abandoned
and the more direct onr adopted. It was then
found that $250,000 had been expended in sur
veys. The route which the engineers passed
over could be readily traced by thp ohanipagne
bottles that were 14f rn the watysido, and wa
gan 1o;ds gf eastly engineering istruments,
Wehioh were purchased at great cost, were eitimer
taken away by some of the retiring member~s
of the corps of engineers, or were left to take
care of themselves in Tennessee and Kentucky ;
few of them found their way back to the oflimco
in Charleston. Such is the history of man enter
prise in the days of ynung Frimxmt, who was
a enginer on tligt work. Thio history of the
Cincinnati project is unequalled, exept by the
getting up of' the Bhue Ridge scheme, its reckless
contracts and consummate blunders in the exe
cution of two and a half years operations.
I was in the Board of Railrona.. Sank Direc
tors for several --73 and afterwards in the
.adBoa rd, and lost my seat in both of these
Boards by efforts to bring matters into some-,
thiing like a business shape ; and I can attest to
the fact, that the government and operations of
the South Carolina Railroad Company never as
sumned a business shape and charnicter until the
stock became concentrated into few hands, and
the State parted with her interest and gave up
her vote in the election of officers. I have a per
fect recollection of how matters stood, and how
anxious the large stockholders were to get rid
of the State as a partner. They believed as I
dId, that the establishment new er would be an
interest paying stock, while the State held a
large amount and voted URD it.
And such were-the impressions then made
upon my mind, that I came to the determination
never to become personally interested in any
public work, where the capital had to be raised
in smaU sums drawn from individuals by patri
otic a ppeals, or where State aid was required
and obtained, unless the State relinquished her
right to participate in the management.
Now, Mr. Speaker, the Chief Engineer of the
Blue Ridge Railroad has read us a lesson on the
advantages which hav. been derived by many of
our principal cities by the extensions of rail
roads. Those, remarks connected, with the list
of subscribers in Charleston, furnished by the
President, is, I think, a fit subject for comment.
Every body must admit that railroads have a
developing tendency; to deny that, would ex
hibit a total ignorance of what the spirit of pro.
gress has done for our country; and, I may say
for the whole civilized world, durink the last
thirty years. And I am free to admit that where
they are properly located, carried out, and man
aged with spirit and enterprise, that these advan
tages can scarcely be estimated. That gentle
man cites the increase of the value of property
in Boston as an example: Boston ! tiat city
which has of recent days run mad on an ab.
straction, and clings to niggerdom closer than
even to the almighty dollar! That city was
originally opposed to the Tarriff, but when it was
forced upon her, she withdrew a large portion of
her capital from commerce, and sent it forth into
the country to build up industrial pursuits. She
spread her capital not only over Massachusetts
but the States of New Hampshire, Maine, 9nd
Connecticut.
She dammed up rivers, built manufacturing
towns, stimulated agriculture, and every other
branch of industry, and obtained in return a rich
harvest of reproduction. When railroad enter
prises came about, she, with her quadrupled
capital, set about to make railroad avenues, and
with her own capital traversed all Massachusetts,
all New England, and scaled the mountains to
wards Canada, and the great Erie Canal, in or
der to bring that great work to contribute to the
wealth of Boston and'of Massachusetts.
Can it be said of Charleston that she is not
able to build her own commercial outlets? Were
it not that the bungling legislation of this State
has fenced her out from the back country, she
would long since have cut out ways fur her
commerce in every direction. The exclusive
charter granted to the South Carolina Railroad
Company has shut her out, and has been the
means of transferring millions of her capital to
other cities. No, Mr. Speaker. It will only be
necessary to show the Charleston capitalists a
practical scheme, and one vbich promises profi
table results, in which our politicians cannot
meddle, and ley will be found to be as ready
and as able contributors as the citizens of any
place in the Union. Charleston is asleep and
slothful, because you have made her so; and she
helped you to do it.
Here is a list of stockholders, which speaks
volumes, and it is proof conclusivet ,mind
that the wealthy merchants a
of Charleston.neil I'
Co materially enhance er tr
Leaving out those who have subscribed to
take a directorship, I find that only one gentle
man has subscribed ten shares; out of the four
daily papers that made so much dust in getting
up the breeze for the Blue Ridge road, only two
have subscribed one share each. Seven mer
chants, two hundred dolfars, and one hupdred
and eighty-six individuals, one share, of one
hundred dollars each-they are principally mer
chants whose business would be doubled, if the
Blue Ridge brought Charleston an increase of
trade that would even approximate to what some
setm to have anticipated. The 186 individuals
subscribed just as little as they could put down,
and get clear of those who were pressing them
'to subscribe. Why, the chimney sweeps and
shoe blacks of Boston would do better than that
if in earnest.
Need we speak of Boston alone? look at Ila].
timore. ler merchants and capitaliatsstibseribed
to the Baltimore and Ohio road stock to the
anrt of $5,432.300,00, the city corporation
$3,500,000.00 subscription, and $3,500,000.00
loan. Maryland subscribed to that work $685,
500.00. The city of Wheeline $500,000.00.
How much the State of 31aryhind hats loanesi
that company dues not appear in their reports;
a loan by a State is a very diff'erent matter from
a subscription, for in that case the State does
not meddle with the managemient.
South Carolina has a great deal to do inter.
nally, without cutting runds through the moun
tains to foster the commerce of cities. If she
will confine herself to loans, as is the case in
Tennessee, individual capitail and management
will then prevail; she could scari~ely in thiatease
place hersolf in a wrong position, and might
safely incur a large debt in that way, in promno
ting the general welfare of the State. If that
had been the undeviating rule of the Legisla.
ture, it would not have been besieged as it was
In 1853 an'd 1854. It, was astonishing to wit
ness the influences that were brought to bear
upon the Legislature at the last onset fnr the
Blue Ridge Railroad in 1854. The city of Char
leston having been drawn into it, all of her in
fluence was brought to bear upon the Legisla.
ture. The South Carolina Railroad Company
having mothing to lose, and everything to gain
by it, she of course joined the clamor. 'Tho
Banmk of the State, another powerfully influen
tial institution. always ready to show how the
State can get out of debt through her surpl4
earnings, she too joined thme clamor, and the
Pr~sident of the Bank was as busy an-advocate
for ~the appropriation to tho Blue Ridge Rail.
road, as could be found about Colombia.
Whether impressions were made by him or
others, certain it is, that some members voted for
the appropriation, under the dolusive idea that
the,Bank of the State was to pay off' the bonds.
God save the State of South Carolina from so
frail a rlanre as a political bank, to sustain her
oredit in time of trouble. Eloquent appeals by
Charleston men to excite the patriotism of gen
tlemen on this Iloor; the young men were called
on to come to the rescue of South Carolina,
just as though our State was to go into ruin,
dilapidation and disaster, if the bill failed to pass
the Houso..
The Greenvillo Railroad. Its influence was
secured by expectations that it was to be the
outlet, and so with the Savannah Valley road.
It was also to be an outlet, and wanted aid from
the State. The Cheraw and Darlington Road
wanted Slate aid, and so did tthe North-Eastern,
and the Charleas'n and Savannah Roads. The
fri."5 of the above natmed establishments, and
others I could name, had all to fall into tho
ranks with the Blue Ridge men, or they were to
be read out. Then comes old E'dgefleld. The
members from that quarter had theo expectation
of a splendid railroad, right through the centre
of the District to Aiken.
By such influences was this ruinous subscrip
tion secured; and unless there be some roles
established by wvhich the State will be restricted
in her power to is.%ue bonds a-d libituan, we will
always be subject to be carried away' by sueh am
storm.
No one LegIslature ought to have the powem
of committing the State to such large and reck.
less speculations as this; the country ought te
have time to consider well, and canvass suell
matters thoroughly before any movement. oi
that kind is made which wilIcommit the State-.
,to the expenditure of miilions of dollars.
Such is the lire.and reckless sjiirit with which
bonds are resorted to now,tliat there is secarcely
enterprise, however useless and unnecessary,
that may not be forced upon the' State, a city,
village, county, or any otier corporation-gas
works, water works, in fact any thihg, that in
genious arguments may make it appear to be
for the public good. If this State tiouse were
to burn down to.morrow, such a thing as taxa
tion to build a temporary house would, in all
probability, shrink before the convenient system
of issuing six per cent. bonds.
The bond debts of all the States and corpo
rations in the United States have swelled to
nearly, if not over, a thousand millions, and the
system must end, sooner or later, in overwhelm
ing disaster.
Such has become the reliance of all projeci
ors of public works on State and corporation
subscriptions, that private capilalists, our only
security for good management, are not regarded
to be at all essential. Indeed the capitalsts,
who are the bone and sinew of our country,
avoid most studiously any act which will bring
their capital in reach of such crazy men.
The State wal reluctant.to go into the Blue
Ridge enterprise, and threwthe only shield she
couldget.around her, and5provided that-the e
management should. be in the hands of interest
ed -men; and this bill, if it passes, will take that
only security from us.
It is said that South Carolina has done little
or nothing for railroads, while all tfie other
States are going ahead with gigantic steps. So,
much the better for us. . Our- railroads have
kept fully up with our other improvements. We
can egunt mile for mile in proportion to territo
ry, with many, if not all the States. Let as fin
ish those we have started, which, I feel a confi
dent hope will all work themselves into perma.
nent and profitable establishments. _We want
rest and repose from this eternal ding-dong'on
the State for aid, and What we, and the whois
people of the United States want, above all oth.
gr things,-is, that the idea that railroads are naL
in future to loo.k to private capital for their
erection. The States will continue to auander
and missapply, but will finally tire, as IPennsyl
vania has done. Private capital will thencome
to the rescue, and the day is not 'distanthen
you will see Charlesto- capital set in motion;
which will not stop at millions to break through
the barrier which lies between that city and the:
back country. ' -1
The exclusive right to construct railroads-to
Columbia, 'Camden, Augusta and the waters of
the Savannah River, does not clash with a road-,
directly from Charleston, or Beaufort, to Aqder
son. Why was the Blue Ridge ' Railroad not
commenced at Charleston ? With proper men
at the head of such an enterprise, it would have
commanded the wealth of that city.
Charlesy has the capital. If a cliizier
could be obtained-with an unrestricted right to
build another road to Apgusta, I %would
my reputation upon it, that thee 0
Ch ansacap.
tal, besideithe Bank of thoState-;-twice as
much as the legitimate business of that city re
quires ; hence you find that a large portion of
her capital is in Wall street, N. Y., and still a
larger portion in New Orleans, Mobile, Memphis,
Montgomery, Ala., Columbus, Ga., and other
commercial towns in the south-west. Charles
ton has,Jesides bonds no one can say how
much. And will it be said that the people of
Charleston would refuse to take 3-5 of the stock
in a road which they believed would bring to
that city onre-half or one-fourth of the trade
which the friends of the Blue Ridge look for?
The proposition is absurd, and the -truth is,
that they had not the slightest faith in the Blue
Ridge enterprise, or of the practical ability qf
the gentlemen who were at the head of it, who
had just completed a very wasteful expenditure
of about a million of dollars for the South Ca
rolina Railroad Company, to build a new inclined
plane, and other expensive works almost as bad,'
and had turned upide down the affairs of that
company. They were not the men to lead
forth at that time the capital of Chiarleston.
Private capital is always shy, some men can
command it as with a magic wand, but such'
men are few and seldom to be found.
In order to show how esiiial has been dis
posed to seek railroad and other country invest
muents from Charleston, it'.tlie samue disposition
does not exist now, I will relate some facts~
which may illus'trnte the case:
In 1845 an enterprise was started to build a
manufnecturing town in the interior,and although'
such projects had but little of thie confidence of
the public mind, upwards of two hundred thou..
sand dollars were without any dificeulty raised
for that purpose. Some years after that three
gentlemen of that city, one in particular, a very
wealthy gentleman, started a project to make as
nearly an air line railroad as could be 'made
from the city of Charleston to Macon, in Georgia.
In order to accompiinh that object, application
was made to the Georgia Legislature for a char.
ter. The first application was rejected. There
were, however, strong expectations held out
that another application would be successful.
A second was made, and simultaneously with it,
an application for a charter from this State, with
a pledge that the company woul4 not ask the
State for a dollar of aid. The bill was lost in
this Legislature, on the ground that it would be
acting in bad faith towards the South Carolina
Railroad Company, which enjoyed a monopoly
from this State-the constitutionality of whicih
we intended to lest. News went to Georgia
that we had failed to get a charter here, anid
caused a failure there by four votes in the lower.
house, thce Senate having passed the bill.
The who!e capital necessary to build the road
was promised. The principal mover in the mat
ter was pledged to furnish a half-million, another
gentleman 8150,000, another 100,000 ; ~ and
those three gentlemen would have supplied a
million and a half rather than permit the work
to stop. One of those gentlemen has since died,
and iL was found that a million of his capital
was located in New York; another has recently
died in New York, to whlichc ilace he had trans
ferred 8300,000 of his capital-beth native born
sons of Souith Carolina. They were both living
when the Blue Ridge was started; neither wouldl
take a single dollar in it.
I have in my mind, another individual, who
wvas an apprentice 'ooy when I went to Charles
ton in ,1838. Hes has retired from Charleston
with aconct one hundred thousand dollars, and ia
now building a village in New England.'
Mr. Speaker, if I have been able to unfold
my views on thi.s vastly important subject, I
have shown that the State will have to expend a
very large sum of' money in this enterprise, and
add enormously to her debt. How far she will
be compensated, time oicly can develope.
I will now close by a few brief femarks on
the general prospects, and the probable working
operations of the road, in reference to advancing
the commerce of Charleston, an/promoting the"
welfare and wealth of the State.
Now, it is not.my object to set forth the doe
trino that railroads are not profitable to a coun
try~sor that the people of Charleston and the.
State of South Carolina -could not build a rail
road frqm the seaboard to the -Ohio River, or
that such a road could not be made to be proS.
-CeX~eDm O)IraUn-rO2