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From these sources it appears that in the en- fifty to two hundred feet long, and say twentylargement of the Erie canal about seventy miles three feet wide, have been in successful operation of the eastern section, being the first portion en- thereon for the last twelve or fifteen years. larged, was constructed with what are termed Their average speed, including lockages, being wall-benches, and is from six to ten feet narrow-three miles per hour, at which they are limited by the regulations upon the canal."

er on the bottom than the remainder of the channel. The reverse should be the case, and the This change will diminish the cost of transporeastern the wider portion, to accommodate the tation, give to the public the full use of the enaccumulation of boats as they come in from the larged channel of the canals, and secure to us the other canals and approach the Hudson river. The rapidly increasing commerce of the West and removal of these wall-benches, so as to make this Northwest. Already the opening gates of other portion of the canal as wide at least as the re-avenues are turning on their hinges, and unless maining portion, is indispensable to secure the we act promptly and wisely the flood may pass full navigable capacity of the Erie canal. in other directions.

They are also of opinion that the present locks upon the Erie, Oswego and Cayuga and Seneca canals do not furuish to the canals more than one quarter of such navigable capacity. The locks will not admit of the passage of boats carrying over about two hundred tons, and for considerable portions of the seasons of navigation they are not sufficient to accommodate the business now offered.

The published estimates and tables, based upon an equal distribution of lockages through the entire season of such navigation, show that not over seventy-five or eighty per cent of the capacity of the locks has yet been reached.

But these estimates are fallacious in practice, as the main business is crowded into a much shorter period of time. The lockages cannot, in practice, be so distributed, and when boats are crowding for lockage, the time of passing will always be more or less delayed by irregularities which unavoidably will occur.

We must depend mainly upon this commerce for our future revenues. The history of canal transportation abundantly proves this.

In 1837 there was only 56,255 tons from the West reaching tide-water, while from within the State the quantity was 321,251 tons. In 1866 the amount from within the State had diminished to 287,948 tons, while that from the West had increased to 2,235,716 tons. This was the largest quantity ever received, save in the exceptional years of 1862 and 1863, when the greatest delays occurred in the navigation of the caual. With these exceptions the increase has been gradual and almost uniform from the opening of the Erie canal to the present time, as will appear by the following table, giving the tonnage arriving at tide-water by the Erie canal for the last thirty years, and the portions from within the State and from the Western States and Canada.

1837,

YEARS.

From
Western

From this

587,506 419,249 886, 267 467,315, 532,520 480,149 >

States,tons. State, tons.

Total tons.

56,255

321,251

1838,

83,233

836,016

1839.

121,671

264,596

1840,

158,148

309, 167

1841,

224,176

308,344

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258, 672

256,376

378,969

635,345

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491, 791

799,816

1845,

304,551

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In the mode in which the business is now done, the locks are taxed, during the season from harvest to near the close of navigation, to their full capacity, and at times, beyond that. This is shown to have been the case for several years, resulting at times in serious and protracted delays in navigation. To obviate this and to secure to the public the use of the navigable capacity of the canals, it is proposed to construct a single tier of locks of 1843, sufficient size to pass boats twenty-three feet in width and two hundred feet in length, capable of carrying six hundred tons. The boats now in use can be passed through such locks with the same facility as through those at present existing. The materials, where there are double locks, are nearly, perhaps quite, sufficient for the new structures. To do an equal amount of business the number of lockages will be diminished; carriers will be enabled to take freight at reduced prices, 1856, and steam can be used as a propelling power. The following extract from the report of the Committee on Canals, to which reference has been made, 1860, and which has been furnished to the members of 1861, the Convention, is pertinent in this connection: 1863, "If any are of the opinion that the proposed 1864, work is of doubtful utility, after what has already 1865, been stated herein, the committee respectfully 1866,. refer all such to the Delaware and Raritan canal, So the statistics show a like gratifying increase in the State of New Jersey, a canal of about the upon the tonnage of all the canals during the same same sized prism as the Erie; with locks two period. In 1837 there was carried upon all the hundred and twenty feet long, and twenty-four canals 1,171,296 tons, valued at only $55,809,288, feet wide, two boats the size of those now in use and producing a revenue in tolls of $1,292,623, upon our canals will pass one of those locks at while in 1866 we reached the enormous amount the same time, full as quickly as one will through of 5,775,220 tons, valued at $270 963,676, and our locks; and steamers from one hundred and producing a revenue in tolls of $4,436,639:

1862,

178,588 2,077,180 287,948 2,523,664

The following table will show the remarkable steadiness and uniformity of this increase:

YEAR.

Tons.

1,333,011

Value.

65,746,559

Tolls.

What is to be done with all this property when
transported to New York by rail? The Atlantic
docks and the immense expenditure which has
been made to furnish facilities for this commerce,
by water, what is to be done with those? The
increased expense by rail is another insuperable

1,171,296 $55,809,288 $1,292,623 objection. The actual cost to the railroad from
1,590,911 Buffalo to New York for the past three years, as
1,616,382
1,775,747 appears by the returns made under oath, on be-
2,034, 882 half of the New York Central railroad company,
1,749, 196
has been double all the charges upon the Erie
2,081,590
2,446,374 canal, and in excess of the water carriage from
2,646,181 Chicago to New York.

2,268, 662

2,756,106
3,635,381

The following is a statement of such cost and

3,252, 212 charges:

1837,

1838,

1839,

1,435,713

73,399,764

1840,

1,416,046

66,303,892

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92,202,929

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60,016,608

1843,.

1,513, 439

1844,

1,816, 586

76,276, 909
90,921,152

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100, 553, 245
115,612,109
151,563, 428

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3, 268, 226

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156,897,929

3,273,899

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8,329,727

1852,

3,863, 441

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1853..

4,247, 852

207,119,570

3,204,718

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In 1866 3,305;607 tons reached tide-water from the Erie and Champlain canals. This was more than the foreign exports or imports at the city of New York. The rapid settlement and growth of the new States, and the rapidly increasing products of the States of the Northwest demand more ample facilities for transportation. It is clear that an increase of the capacity of the locks and aqueducts and the removal of the wall-benches are all that is requisite to furnish such facilities. If we fail to do this, that increasing commerce will be forced to seek other channels; but, if we exercise that wisdom and foresight which characterized the conduct of the distinguished men with whom the canal system originated, the Erie canal may continue to be what they designed and hoped it would always remain-the great artery of commerce from the lakes to the ocean.

Why should not such improvements be made upon the canals as time and experience have proved to be necessary, and as our means will allow? In truth, the position is now openly advocated that they should not be improved. The opponents of such improvement intrench themselves behind the position that the work is wholly unnecessary.

It is a strange position to advance that in the construction and operation of railroads, in river and ocean navigation, various improvements and vast expenditures are annually found necessary to supply the public wants and promote economy and convenience, but no such necessity exists in respect to the canals. They must stand still, Had the destinies of the Empire State always rested in the hands of such advocates, the Erie canal would never have been constructed.

The suggestion that this increasing business can be done by constructing railroads needs but a moment's notice. It is entirely impracticable. I

Comparative statement of movement of eastward bound tonnage on the Erie canal and New York Central railroad.

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Canal.

479,281
761,162
2 cents.

2,146,634

....

869,214
541, 916

2,077,180

478, 748
742,159

2,523,664

1 25-100 cts. 2 54-100 cts. 112-100 cts.

2 7-100 cts. 1 15-100 cts.

$8.84

9 45 $6.26

$11 23

8 87 $5 60

$9 14

$5.65

10 12

Average freight per ton for three years, from Buffalo to New York, canal,........... Average freight per ton for three years, from Chicago to New York, canal and lakes,.. Average cost per ton for three years, from Buffalo to New York by rail.........

The reports also show that the cost of repairs | ducts and bridges, the estimates heretofore made upon the track of railroads is equal to about ten are, in substance, adopted. per cent upon the cost of the road track, while the cost of superintendence and repairs upon the Erie canal, with all the waste of money which has occurred, is only about one-tenth of that sum, or less than one per cent.

It will be an unfortunate day for the people of this State when they adopt and act upon the idea that the canals have "fulfilled their mission," and that "we have outgrown their more important use." The Central road, during the periods aforesaid, carried all the freight its cars would hold or its motive power propel, at the time when freights were pressing, and yet the quantity, except animals, was only about one-fifth part of that taken by the canal, and including live stock less than one-third.

A survey and estimate of the cost of enlarging the locks and making improvements, as proposed, were made in 1863. An experienced engineer, who assisted in making them, as the agent of the general government, was examined as a witness before us. From his evidence, it appears that the work was projected with a view of affording a passage for gun-boats to the lakes. The plan was to construct a series of new locks, all of new material, of the highest finish used in structures of that character, leaving one tier of the present locks for permanent use. In arriving at the cost of twelve millions for such work, the cost prices of 1860 were adopted aud fifty per cent added thereto.

Three items of the same, for deepening the The Auditor has reported to this Convention in canal one foot, for land damages and removal of response to a resolution of inquiry the aggregate buildings, and engineering and contingencies cost of all the canals and feeders, both productive make $3,417,421. By changing the masonry and unproductive, with all cost of maintenance from the full finish therein contemplated to what and repairs, and interest at seven per cent upon all is termed rough dress or hammered masonry, and such expenditure. (Manual, vol. 2, 450, 451.) The by using the materials on hand, which are beentire cost and interest foots at $200,093,502.25. lieved to be ample, where there are double locks, The entire income, with interest, has been that estimate is greatly reduced. The materials $202,619,510.08. This leaves the canals debtors equal about one-half the cost of masonry. to the State in the sum of $7,473,992.27. AsRecapitulation. suming this statement to be correct, it follows that what are now termed canal debts have been arbitrarily fixed as such. In no estimate or statement which has fallen under our observation, except in this of the Auditor, have the canals been credited with the $200,000 per annum which has been paid for the support of the State government out of their revenues since 1846.

This account of receipts and expenditures, and interest on each, appears to be the true mode of determining the extent to which the canals are indebted to the State.

In either view of the subject the question may well be asked, what system of public works of equal magnitude can compare with our canal system in the remuneration they have furnished for the expenditures made in their construction and maintenance?

The canals we propose to have improved are creditors to the amount of over thirty-eight millions of dollars.

In determining the question whether the proposed improvement can be made without taxation, your committee have provided in the foregoing article for the payment of the principal and interest as they fall due of the canal debt, the enlargement debt, the floating debt, and the interest on the general fund debt. The appropriation already made for the Champlain canal is supposed to be sufficient for the work, as now authorized by law; but an additional sum is set apart to meet any contingency, and save a resort to taxation. They have estimated the cost of building the enlarged works at $40,000 per lock, or $4,000,000. Witnesses have testified that price is ample for the purpose.

An experienced contractor and former canal officer, on his examination, stated he would be willing to do the work at the sum named.

For Champlain canal,.
Enlarging locks.....
Enlarging aqueducts and bridges,.....
Additional water and basins,.
Removal of wall-benches, etc.,......
Estimated total cost,.....

$300,000 00 4,000,000 00

300,000 00

400,000 00

1,644,314 00

$6,644,314 00

The canal debts for payment of which provision is made, are as follows: Canal debt of 1846,

Canal enlargement debt,.
Floating debt,.

Total.......

$3,265,000 00 10,807, 000 00 1,700,000 00

$15,772,000 00

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Jan. 1, 1868,.. 403,022 94 1,087,881 69 1,912,118 31

For the removal of the wall-benches; for additional water and basins, and for enlarging aque-Balance, January 1, 1868,..

$3,976,472 24

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1874.

$431,890 26

It will be observed that a deficiency loan of three and a half million dollars, to extend for the term of three years, will become necessary in Two installments of the general fund debt, amounting to $1,642,961, will also have to be provided for in like manner. Provision is also made for the ultimate repayment to the State of the general fund debt, and of all advances heretofore made, or hereafter to be made to the canals, with interest thereon at current rates.

If the annual revenues shall increase, at the rate per cent contemplated, these loans will not become necessary; but the debts, including the general fund aebt, will all have been paid by the year 1877, and a large balance will be left in the treasury, as will appear by the statement and estimate of the canal committee, to which reference has been made.

It will be observed that the above mentioned provisions supersede the State loan, to pay the interest on the floating debt, and to that extent relieve the people.

adopted, would have produced in excess of the actual receipts, at the rates since charged, $30.703,454.

This sum would have more than paid the entire debts chargeable upon the canals, and the improvements since made, and have left them the creditors of the State.

In considering the subject of the care and management of the canals, we have arrived at the conclusion that concentration of power and a clearly defined responsibility furnish the surest guarantees for a more economical and efficient administration.

This end they hope to secure by the abolition of the offices named and by placing the canals assistants amenable to himself, and employees under the charge of a single superintendent, with of his selection, and always subject to his control. The combinations which have been strengthening and forming for so many years, and which have resulted so disastrously to the interests of the State, as shown by the recent investigations, will thus be broken up.

The committee regard the appointment of the Superintendent by the Governor and Senate, to hold for a term of eight years, subject to removal for cause, as the most advisable mode of selection. It will place such officer in a position of independence of political organizations, and above the vicissitudes and changes resulting from party contests.

Who can doubt what would have been the result had the New York Central railroad company, at the date of its organization, resolved to select its superintendent at short stated periods, by a vote of all the stockholders, instead of leav ing his selection to the executive board? Combinations for the promotion of favored persons, Your committee believe a larger annual revenue without due regard to their fitness for the posithan $3,000,000 will be realized. The expenses tion, would have been the inevitable result, and of maintenance and repairs will, we hope, be ma- inefficiency and want of success in the manageterially diminished. With an increase of tonnagement would doubtless have been the consequences. even at the average rate of the last twenty years, and with undiminished tolls for which we have provided, such increase is certain.

A glance at the past, on this subject of tolls, will be instructive.

At the rate existing in 1846, when the present Constitution was adopted, the receipts for tolls for the year 1866 would have been $6,930,264, or $2,477,039 in excess of the sum actually obtained. It is the opinion of your committee that the tonnage will not be materially affected by a change of tolls within the range of prices charged since 1852. The capacity of the canals to afford facilities for transportation, so that forwarders can lessen the expense of their labor, will do far more to attract tonnage to the canals than any adjustment of the tolls which may be made.

The experiment adopted in 1858 to 1860 to invite additional tonnage, by a reduction of tolls, resulted in no substantial increase by the same while the State sustained a loss of revenue of $1,998,966, or more than the entire floating debt, in those three years; and before the State restored the present rates, the loss was over $2,600,000.

The tonnage since 1846, at the rates of toll existing when the present Constitution was

It is in no spirit of hostility to the elective principle that we make this recommendation. The people elect the Governor and Senators, by whom the selection is to be made, and the duties of the position are such that fitness alone should control the choice, and the interests at stake are too vast to be left to the capricious choice of nominating conventions.

The recommendation as to the appointment of the Auditor is in conformity to the usage which has prevailed since the office was created and to which we have heard no objection.

Your committee feel constrained to notice the proposal that the revenues of the canals shall be devoted to the payment of the bounty or war debt before any of the improvements demanded by the public necessity shall have been made. There are many reasons why this should not be done, prominent among which are the following:

First. It is to be hoped the general government will refund to each State and locality the entire debt contracted for war purposes, thus placing the States upon an equal footing in defraying the expenses of the contest for national life.

Second. The Western and Northwestern States have not only contributed largely to our revenues

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