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General fund debt in 1872.

more appropriate use could be made of the money Floating debt loan in 1872.

when paid into the treasury than to apply it to the Enlargement debt in 1877.

payment of the debts of the State, and thus reTho whole annual requirements to meet the lieve our overburdened people from taxation to obligations imposed upon the revenues of the that extent. canals are $3,366,000. After the payment in The only objectors to this course will probably 1868 of the canal debt of 1846, the requirements be those who advocate an additional enlargement will then be reduced to $2,816,242.66. Under of the Erie and Oswego caual locks. An appropriathe provision of section five of the article herewith tion of the money to such a purpose, would, in the reported, the appropriation of $187,500 per annum view of the undersigned, be injudicious ; and it to the sinking fund of the Boating debt loan, is believed, after due consideration, by the Con. which has heretofore been paid by taxation, will vention and the people, that the advocates of that be added to the requirements, making the total policy, whether in or out of this Convention, will amount for the next fiscal year $3,003,742.64, and be very few. 80 continue until 1872, when the general fund The engineer's estimates of the cost of the debt and the floating debt loan will have been enlargement of the Erie and Oswego canal locks paid. From that period, after paying the appro- will be found on page forty-six of the last financial priation of $1,116,242.66 per annum to the report of the Auditor of the Canal Department, enlargement debt sinking fund and $200,000 per as follows: annum to the general fund, the remaining portion of the revenues would be applicable to the pay. ment of the interest of the bounty debt.

CANALS. Stone locks. Wood locks.

Wood and After the payment of the enlargement debt in

stone locks. 1877, the entire net revenues of the canals with the exception of $200,000 per annum, appropri- Erie, ...... $11,902, 888 16 $10,718,040 16 $10,985, 946 65 ated to the general fund, would be applicablo to Oswego... 2,503,000 00 1,901, 000 00 2,064,000 M the payment of the principal and interest of the

$14,405, 888 15 $12,619,040 15 $13,049,946 65 bounty debt. The law authorizing the bounty loan provides for the payment of the principal and interest of the debt by taxation within twelve The Auditor remarks in reference to the estiyears from the time of the passage of the act. mates: “It may be doubtful whether either of The amount to be annually raised to meet the these gums will now be sufficient to pay the cost requisition is about $4,000,000. By the provision of the work, whichever plan may be adopted. authorizing the extension of the loan, nothing The estimates were made in 1863, and while I have more would have to be raised by taxation for the no doubt great care was had in making the measpayment of the principal of the debt.

urements and estimates of quantities, it may be If the revenues of the canals do not exceed questionablo whether the prices used were not $3,000,000 per annum it will be nesessary to below what the work and materials would now raise by taxation & sum sufficient to pay the cost when let to competing bidders." The cost whole of the interest on that debt, up to the year would probably exceed $20,000,000. 1892, when the general fund debt, and floating The Erie canal was completed in 1825. At that debt loan will have been paid. After that period time the western part of the State was but sparsely the whole of the interest will be paid and provi. settled, and was in fact comparatively a wilder. sion for the payment of the principal of the debt, ness, producing hardly sufficient for its few in. through the operations of its sinking fund, from habitants. Only three of the Western States were the revenues of the oanals. The people, therefore, then organized. Urtil the year 1830, the small from 1872 will be relieved from taxation on surplus of flour, meal, pork, etc., produced in the account of that or any other of the present debts western part of this State, was sent to the then of the State.

territory of Michigan, and to other portions of the It will be observed that under the provisions West, for the subsistence of new settlers. of the article that the people would be at once The astonishing effect of the construction of relieved from the tax of $187,500 per annum, to the Erie canal, in increasing the population pay the appropriation to the sinking fund of the and in developing the resources of our own floating debt loan, and also from the tax of about State and the great West, was such, that in $2,600,000 per annum now raised to apply in pay- a few years it became apparent that the carrying ment of the principal of the bounty debts. The business would soon exceed the then capacity of State taxes, therefore, would be about $2,800,000 the canal, and provision was made for its enlargeless the next year and thereafter until 1872, than ment. The work of the enlargement was comthey were the last year, and from 1872 until the menced in 1835, and so far completed as to admit bounty debt would have been paid, under the pro- the larger class of boats in 1853. visions of the act authorizing the debt, the tax While, however, the enlargement was in prowould be about $4,000,000 per annum less than gress, the population, wealth and resources of the they were the last year.

country had so vastly increased, of which the It has before been stated that the amount now canal itself had been the occasion and the stimu. due the general fund from the revenues of the lus, that the demands of travel and commerce canals is about $18,000,000, and will

, with the had covered the land with a net-work of rail. accumulated interest up to the time of its pay-roads. Two roads had been constructed running ment, amount to more than sufficient to pay the parallel with the Erie canal, from tide waters to principal and interest of the bounty debt. No Lake Erie, competitors with the canal for freight,

and superseding it entirely in the transportation The following statement from the Auditor's of passengers. There has been, consequently, no report shows the total number of tons delivered considerable permanent increase of freight on the at tide water from the Erie and Champlain canals, Erie canal since 1853. The increase of freight in each year for the last seven years: to and from tide waters, has, since that period, 1860,.

2,854, 877 been carried by railroads, and the tendency of 1861,

2,980, 144 1862

8,402, 709 that increase is still steadily in the same direc

1863,

3, 274, 727 tion.

1864,

3,805, 257 Hon. D. W. C. Littlejohn, Chairman of the 1865,.

2,730,181 Canal Committee of the last Legislature, in a

1866,

3,305,607 report in reference to enlarging the locks of the The average increase is only about equal to Erie and Oswego canal, says:

one boat load in each year. " Latterly the people of this Stato find very

The following statement, also from the Auditor's little use for their canals. Their surplus products report, shows the number of tons carried on all are small and mostly consumed in the vicinity of of the canals of the State in each year for the their growth by adjacent cities and villages. The last fourteen years: tonnage going to tide water, the product of this 1853..

4,247,823 State, has been steadily declining for nearly fif- 1864

4, 165, 862

4,022,617 teen years, until the total tolls thereon are scarcely 1866,

1,116,082 half sufficient to pay the expenses of keeping the 1857.......................

3,341,061 canals in order; and the merchandise for the 1868,

3,665, 192,

3,781, 781 interior, purchased at the sea-board, is shipped by 1860,

4,050, 214 the railroads almost exclusively."

1861,

4,507,635 The Auditor's report shows that the number of 1862

5,598, 785 tons which arrived at tide-water by the Erie canal 1864,

6,557, 692

4,852,941 from the State of New York, in 1853, was 637,- 1865,

4,729,654 748; in 1866, only 287,948 tons; and in 1831, 1866,

5,875, 220 thirty years ago, the quantity was 321,251 tons,

The above shows a small average increase, but or 33,303 more than in 1866.

not equal to the increased tonnage of coal and The following statements from the report of the products of the forest mostly upon the lateral Auditor of the Canal Department shows the quan-canals. Tho following statement, also from the tity of wheat and flour which reached the Hudson Auditor's report, shows the number of lockages river by canal, in each year, for the last fourteen to and from the Hudson river, from 1847 to 1866, years:

both inclusive :
1847,

..54,230 1852, ............. 576,772 1848,

.42, 714 1853,

..46,852 1854,

.51, 422 1855, 801, 125 1851,

..56, 799 1856, ....................................... 475, 385 1852,

.57,368 1857, 263, 141 1853,

..53,826 1858,

-46,787 1859, 250,872 1855

38, 319 1860, 710, 138 1856

.46,049 1861, 1,054, 295 1857,

28, 374 1862, 1,177, 292 1858

33,774 1863,

27,874 1864, 606,891 1860

34,609 1865, 420, 644 1861

34,594 1866, 289, 166 1862

40, 245 1863,

35,017 The average for the whole period shows that 1864

28,993 there has been a small decrease.

1865

29, 406 1866,

30, 226 The following statement from the Auditor's report shows the number of tons moved on the

It will be observed that the greater pumber of Erie canal in cach year for the last fourteen lockages in any one year of the series, was years:

57,368, in 1852, and that tho lockages in 1866

were only 30,226. 1852,

2,129,334 It further appears, by the Auditor's report, that 1853,

2-196, 308 the greatest number of lockages at any one lock 1854, 1855,

2,202,463 on the Erie canal, before the enlargement, was in 1856

2,107,678 1847, at Alexander's lock, west of Schenectady, 1857,

1,566, 625 then a single lock. The number of boats passed 1858, 1859,

1,753,954 was 43,957. The double locks at that point are 1860,

2, 253, 533 now capable of passing double the number, or 1861,

2,500,782 87,914 boats, within the time occupied in passing 1862, 1863,

2,955, 302 the boats in 1847, and each boat, if as large as 1864,

2,635,692 the locks now admit, capable of carrying three 1865,

2,523,490 times the number of tons that the boats carried 1866,

2,896,027

in 1847. The number of lockages last year (1866) Ono boat making four round trips in each year at Alexander's double locks was only 29,3. Por could have carried all of the average increase for 14,075 less boats thau pescu ihe inizle hain the whole period.

1847.

TONS.

618,858 1849,
240,655 1850,

454, 831 1854,

'846, 446 1859,

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It is not necessary to add other statistics to, their interest to diminish the size of boats, and show that there has not been any permanent consequently increase their speed of movement, increase, worthy of notice, of tonnage on the rather than increase the size of boats, and consecanals, since the completion of the enlargement. quently diminish their speed. There has been a gain in the quantity of coal and It is admitted that nearly all of tho up or westin the products of the forest transported on the ern bound freight is now carried by railroads ; canals, otherwise the aggregate would show a boats, therefore, have but little up freight, and large falling off.

that of a class such as coal, etc., which is carried It is evident that the railroads have carried all at very low rates. It requires thirty days' time the increase of freight for the last fourteen years, for a large boat to make a round trip from Buffalo and that the canals have reached their maximum to Albany and back, including time of loading without having been taxed to the extent of moro and discharging cargo. Under such circumstances than one-quarter of their capacity.

it is hardly within the range of probabilities that The State Engineer and Surveyor recommends, there can be any reduction of cost of transportaas a measure to meet the growing demands of our tion on the canals. internal commerce, the enlarging of the locks of In reference to the use of steam on the canals the Erie and Oswego canals. The chief argument as a propelling power, the State Engineer and urged in favor of the measure is that by admit- Surveyor says in his report: ing larger hoats the cost of transportation would “The experiments thus far made in the use of be greatly reduced, and the speed of movement steam as a motor have been unsuccessful. This of boats increased.

result is attributable to the want of capacity iu It should be borne in mind that the officer the locks. The room occupied by the power referred to recommends the enlarging of the locks necessary for rapid transit is too great, as comwithout enlarging the canals. Conjectures, there- pared with the space remaining for stowage of fore, of increased speed under such conditions can cargo make its use economical. The difficulty have no authority whatever, and as conjectures will be greatly lessened, if not entirely removed, they are rendered of little value, as the results of by the use of the large boats.” Now if the diffiexperience have shown. A loaded boat of the culty aşsigned is the only obstacle in the way of size recommended will be equal to a tonnage dis- using steam, it would seem that it could be more placement of 684 tons. Now it has been found easily overcome by using steam tugs, that would practically by forwarders that boats of the size run two boats 100 feet long each, than to expend now in use, which are generally far smaller than say $20,000,000 to try the experiment of propel. the capacity of the locks, cannot be propelled ling a boat 200 feet long with the propelling power with the speed attained by smaller boats before in the boat. The fact is the use of steam has the canals were enlarged. We have a right, been thoroughly tested and proved a failure, by therefore, to believe that, with another enlarge- reason of the boats being already too large for the ment of boats, there would be another diminution size of the canal, tho resistance of the water is of speed.

too great to admit of a propulsion of more than The Auditor in his report shows that the aver. two miles per hour with safety to the canal banks. age time for the passage of boats from Buffalo to When the State debts are paid from the reve. Albany, has increased since the completion of the pues of tho canals, the tolls could be roduced to a enlargement from eight and a half to ten days. point sufficient only to keep the canals in repair. The larger class of boats require twelve days. In that way they would be more formidable com

The tonnage capacity of boats now admitted petitors of railroads than it is otherwise possible through the locks, can certainly be rated as high for them to be. The canals would continue for all as 250 tons, some are registered as high as 300 time to carry coal, lumber, and other freight that tons, and they pass the locks as readily as smaller cannot be easily handled on cars, and have a tenboats. And yet the Auditor's report further dency to keep down the prices of other classes of shows, that the average tonnage of the 485 new freight on the railroads. In this way the canals boats built last year was only 154 tons. After will continue to be of great service to the State, making due allowance for a few smaller class of even after they have ceased to yield a revenue boats built for some of the lateral canals, the new beyond keeping them in repair. boats are not within forty per cent. as large as the The enlargement of the locks would have no locks will admit. With this greater capacity in- influence whatever in retaining our ascendency in viting use, and certain to be used if required and transportation. If we rely upon our canal to do profitable, we find this small average of tonnage the carrying trade of the West, a large portion of of new boats built fourteen years after the com. it will be diverted into other channels, and lost to pletion of locks which admit boats of at least one the State. third more tonnage. Our enterprising forwarders Great and important as was the conception of are either failing to appreciate their privileges, or our canal system, it is evident that it has in a too shrewd not to see that their privileges are great measure fulilled its mission. The progress greater than it is profitable for them to accept. of the country is in advance of the canals; we

The average tonnage of boats built in 1862 was have outgrown their first and more important use. 168 tons; those built in 1863, 177 tons, and those with the exception of a part of the canals of this built in 1864 and 1865 were of considerable less State, it is believed that there is not one in the whole toanage than those built in the two previous country, owned and operated upon by a State, years, and as previously shown, those built in that is productive. Several canals have been en1866, averaged 154 tons.

tirely abandoned, and not one of the loast imporThe above shows that forwarders find it for tance has been constructed within the last twon

943.

ty years. Railroads, on the other hand, have quantity, would require the arrival each way of vastly increased and will continue to increase. only fourteen trains per day. The records in the office of the Secretary of State If the trains were but half as large, say fifty show that 248 companies have been organized in care of ten tons each, the general result would be this State since the passage of the General Rail- varied but little. It would be the additional exroad Act, in 1848, with an aggregate capital of pense of the motive power only. $236, 903, 000, and length of roads 6, 9674 miles. Such are the probabilities and prospacts of In the United States there are now about railroad transportation. Nothing can be clearer 38,000 miles of railroad.

than that such transportation, at rates favorable It is plain to be seen that railroads are superse- to the companies and to the public, can be made ding canals in every section of the country. to outstrip any conceivable demand. Nor is it to Speed is now the great desideratum of the times. be doubted but that our people will find or make This is demonstated by the transportation through a way for the realization of these advantages, our State. The freight, including tolls, on all of whatever the impediments which a mistaken

our canals the last year, as appears by the Audi- policy may for the time interpose. • tor's report, was $10,160,051. During the same

FREEMAN CLARKE. year, the receipts for carrying freight on the Erie and New York Central roads alone were $21,282, The PRESIDENT — The minority report just

read, will be referred to the Committee of the More business could probably be forced upon Whole and bo printed. the canals by imposing tolls on railroad freight, Mr. LAPHAM - The Committee on Canals but it would be unwise to do so. There are com- closed their labors last evening, and this morning peting thoroughfares to the sea-board, our natu- took up and perfected the article which they have ral advantages are very great, but in order to concluded to recommend for the consideration of retain our supremacy we should refrain from the Convention; but as the evidence which has imposing restrictions tending to depress individual been taken before the committee has not yet been or corporate enterprise.

written up by the stenographer, the report that Great advances have already been made in the we design to accompany the article is not yet fully construction and management of railroads, but so completed. We ask, therefore, in view of the far as the business of freight is concerned, they fact that the elaborate reports which have just are comparatively in their infancy. The time is been read deal somewhat extensively with the subnot far distant when railroads will as effectually ject of the canals, to place our report on file; and supersede other methods of carrying freight, as in connecton with that we ask leave to add to the they have already other modes of carrying passen- report the reasons which we assign for the article gers. The freight business through this State will we report at a subsequent day. As the article has soon demand (and individual enterprise will meet not been engrossed, I ask that a member of the the demand) a double track railroad, exclusively committee read it from the draft to the Convenfor freight, from New York to Buffalo, and ere tion. long to connect with the Pacific road.

There being no objection, Mr. ALVORD read The capacity of such a road will meet all the the article reported by the Committee on Canals requirements of our internal commerce for the as follows: uext fifty years. The canals and railroads, running both passenger and freight trains, could not

ARTICLE successfully compete with it. On a road substan SECTION 1. The Comptroller, Treasurer, and lially built, with grades not exceeding ten feet to Attorney-General shall be the Commissioners of the mile, trains of one hundred cars, carrying ten the Canal. Fund; said Commissioners shall have tous on each car, could be drawn by a single power to appoint and remove all officers who shall engine. Trains could be multiplied to any extent be intrusted with the ascertainment, collection that business should require. Two hundred trains and safe keeping of the revenues derived from going up and two hundred trains going down the tolls on the canals of this State, and with the could be upon the road at the same time, carrying Auditor of the Canal Department and the Superone thousand tons each, and not occupy more intendent of Public Works, shall determine and than forty-eight hours from Buffalo to New fix the rates of tolls on the canals, which shall York, one hundred trains arriving at each not be reduced below the rates fixed for the year terminus in every twenty-four hours. This eighteen hundred and sixty-seven, until all liabiliwould give an aggregate for the year of 73,000,- ties and debts recognized by this article shall have 000 tons, which at $2 per ton (or about $1 per been paid or provided for; the Commissioners of ton over tolls now paid on the canal), the gross the Canal Fund shall also have such further yearly receipts of the road would amount to powers and duties as now are, or may hereafter $146,000,000.

be prescribed by law, not inconsistent with this There is not, of course, any probability of there Constitution. being any such quantity of freight to be carried, § 2. The Governor shall nominate and with the for a generation to come. The estimate is made consent of the Senate, appoint an Auditor of the in order to show the capacity of a road of that Canal Departmont, who shall hold his office during character. If, however, such a road should be the term of five years, at a salary to be fixed by law; constructed, it would be safe to say that it would and he shall have such powers and perform such carry 10,000,000 tons the first year after its com- duties as now arə or may horeafter be prescribed pletion, or what would be equivalent to that by law and not inconsistent with this article. He amount of through freight. To transport that may be suspended from office by the Commission

ers of the Canal Fund for incompetency, neglect|hold their respective offices until, and including of duty, or malfeasance in office, and removed by the thirty-first day of December, eighteen hunthe Governor on their recommendation; but no dred and sixty-seven, and no longer. such suspension or removal shall be made § 5. No moneys shall be appropriated or paid unless he shall have been previously served by the State, or out of the canal revenues, for with a copy of the charges preferred against him, the construction or maintenance of any bridge and shall have had an opportunity to be heard over any of the State canals or feeders connected in his defense. In case of the suspension or therewith, at any point where a bridge was not removal of the Auditor of the Canal Department located and maintained at the expense of the under this section, or his vacation of the office State prior to the first day of January, 1867. for any cause during a recess of the Senate, the Nor for any damages or injury sustained in the Governor, upon the recommendation of the Com- navigation or use of any of the canals of this missioners of the Canal Fund, may appoint a State, or feeders or structures connected thereproper person to act as such officer during such with. Nor for any damage or injury caused by suspension, or to fill the vacancy occasioned by any breakage or defect in any of the Stato such removal or vacation of office, and the person canals, feeders or structures connected there80 appointed shall hold such office no longer than with. Nor for any damage or injury arising the duration of the session of the Senate suc-from, or on account of the construction or mainceeding such appointment.

tenance of any of the State canals, feeders or § 3. The Governor shall nominate to the Sen structures connected therewith. Nor for any ate, and with its consent, shall appoint a Superin- extra allowance or compensation to any person tendent of Public Works, who shall hold office for for, or upon, any contract after the services shall eight years, and whose salary shall be determined have been rendered, or contract entered into. by the Legislature. He shall be vested with the the immunity of the State shall not at any time control of all matters relating to the repairs and be waived by the Legislature, or any public keeping in navigable order of the canals, and of officer or body. But nothing in this section conany improvement that may be authorized by law, tained shall be construed to prohibit the payment and of the rules and government of their naviga- of just compensation for property or water approtion. He may be suspended from office and priated, provided the demand for such compensaremoved by the Governor, on the recommendation tion be made within three years after the approof the Commissioners of the Canal Fund, for incom- priation. petency, neglect of duty, or malfeaşance in

8 6. The canal stock debt conoffice; but no such removal shall be made tracted prior to the first of Jupe, unless he shall have beon previously served 1846, amounting on the first day with a copy of the charges preferred against of May, 1867, to.......

$3,265,900 00 him, and shall have had an opportunity of being the canal enlargement debt heard in his defense. In case of the suspension, removal from office, vacation, or inability

amounting at the time afore-
said to,....

10,807,000 00 to serve, from any cause, the Superintendent of the floating debt loan, contracted Public Works, during the recess of the Senate, the Senior Assistant Superintendent of Public

under the provisions of chapter

271 of the laws of 1859, Works shall act in his place and stead; but not

amounting at the time aforefor a period beyond tho session of the Senate next

said to,...

1,700,000 00 after such suspension, removal, vacation, or inability to serve. The Governor, upon the recom.

$15,772,900 00 mendation of the Superintendent of Public Works, may nominate, and with the consent of the Senate, shall hereafter be known and designated as the appoint four Assistant Superintendents of Public canal debt; and the several sinking funds appliWorks, who shall hold their office eight years, at cable to the payment of the said debts, amount. an annual salary to be fixed by law; the said ing at the time aforesaid to the sum of $2,010,assistant superintendents shall be subject to the 734.35, together with the contributions to be anthority and control of the Superintendent of Pub- made thereto, and the income thereof, shall be lic Works, and may be removed by him for cause; known and desiguated as the canal debt sinking all other officers and employees necessary for the fund. care and management of the canals, other than & 7. After paying the expenses of collection, financial officers, may be appointed by the Super- superintendence and repairs of the canals of the intendent of Public Works, subject to removal by State, the surplus revenue thereof shall in each him, and he may have such other powers and year, commencing with the year eighteen huuduties, not inconsistent with this article, as may dred and sixty-seven, be set apart and paid into be prescribed by law.

the canal debt sinking fund; and the principa) $ 4. The Canal Board, the Contracting Board and income of said fund shall be annually approand the powers and duties of the office of State priated and applied to the payment of the canal Engineer and Surveyor, as applicable to the and general fund debts, and to the improvement canals, are abrogated; the office of Canal Commis- of the canals, in the following manner and order, sioner and Canal Appraiser are hereby abolished, until the said debts have been paid and such imto take effect on the first day of January, provements as herein stated shall have been comcighteen hundred and sixty-eight. The Canal pleted: Commissioners and Canal Appraisers in office at First

, To pay the principal and interest of the 1:e time of the adoption of this Constitution, may canal debt falling due within the year.

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