Perley's reminiscences of sixty years in the national metropolis, v. 1-2

by Benjamin Perley Poore

General Grant, soon after his election to the Presidential chair, turned his attention to the improvement of the National Capital, which was then unworthy of the American people. The streets generally were wagon tracks, muddy in the winter and dusty in the summer, while the numerous public reservations were commons overgrown with weeds. The growth of the city had been slow and labored, the real estate being generally in the hands of a few old fogies who manifested no disposition to improve or to sell. For many years the metropolis had been petted and spoiled by the general Government, which had doled out small annual appropriations, and the residents had been exempted from many of the ordinary burdens of municipal government and local improvement.

General Grant, with his great knowledge of men, found the right person to place at the head of the regeneration of the city. It was Alexander R. Shepherd, a native of Washington, born poor and without friends, who went from the public schools into the shop of a gas-fitter and plumber, where he learned the trade and became, in a short time, by honesty, industry, and ability, a leading business man. The Territorial Government was organized with Henry D. Cooke, the banker, as Governor, a Legislature, and Delegate to represent the District in Congress. Shepherd, as Chairman of the Board of Public Works, commenced with his immense energy and invincible determination, to transform a slovenly and comfortless sleepy old town into the great and beautiful metropolis which L'Enfant had planned and which Washington approved before it received his name. The grandest systems of municipal improvement ever conceived were carried out regardless of expense. The whole city was placed upon an even and regular grade, the low places filled up, and the elevations cut down. Some ninety miles of the three hundred miles of half-made streets and avenues were graded and paved, some with wood and others with asphaltum. The public grounds and parks were made and ornamented with grass plats, shrubbery, and fountains, the sewerage and drainage were made perfect, and health, beauty, and comfort were permanently secured.

Washington, thanks to Governor Shepherd (he having in time succeeded Governor Cooke) became a metropolis worthy of the Republic. By reducing the width of the streets a front yard was given to each house, planted with trees or flowers, and where the old canal yawned through the heart of the city, a muddy receptacle for dead dogs and filth, arose a broad avenue, while the small reservations dotted over the city were graded and ornamented with trees, fountains, and flowers.

All of this cost a great deal of money. Congress appropriated five million dollars in cash, and several millions more were raised on bonds. Much of this money was disbursed by Governor Shepherd, and he undoubtedly was disposed to give profitable contracts to his friends, and to the henchmen of those members of Congress whose votes secured him liberal appropriations. Newspaper correspondents received in several instances contracts for paving, which they disposed of to those engaged in that business, and realized handsome sums, but close investigation failed to show that Governor Shepherd had enriched himself or had added to the value of his own property as distinguished from the property of others. His ambition was more than a merely selfish one, and it was shown clearly that his ability was equaled by his honesty. A few years later he became financially embarrassed, and was forced to exile himself to Mexico, hoping to repair in its silver mines his shattered fortune. General Grant never lost confidence in him, and as his improvements became perfected, Alexander R. Shepherd was regarded as the regenerator of the National Metropolis.

Another man who did much for the ornamentation of Washington City was A. B. Mullett, the Supervising Architect of the Treasury. After having finished that magnificent structure, the extended Treasury Building, he planned and commenced the great State, War, and Navy Building, the cost of which is about twelve millions of dollars. His professional advice was followed by Governor Shepherd, and it is not altogether creditable to our institutions that after having honestly disbursed millions on the public buildings in almost every section of the country, as well as on those at Washington City, Mr. Mullett was removed from his position on political grounds, and was obliged, after having given the best years of his life to his country, to commence anew the practice of his profession for a livelihood.

General Grant was much embarrassed early in his Presidential career by the attempts of some of those around him to engage in speculations for their private benefit. Always willing to bestow offices, or to dispense profitable favors to his numerous relatives by blood and by marriage, and to advance the interests of those who had served him faithfully during the war, he could not understand the desperate intrigues which speculation had led some of them into. Among his protégés was Abel R. Corbin, who had been known at Washington as the clerk of a House committee, a correspondent, and a lobbyist, and who had afterward removed to New York, where he had added to his means by successful speculation. Marrying General Grant's sister, who was somewhat advanced in years, he conceived the idea of using his brother-in-law for a gigantic speculation in gold, and in order to obtain the requisite capital entered into a partnership with Jay Gould and James Fisk, Jr. By adroit management, these operators held on the first of September, 1869, "calls" for one hundred million dollars of gold, and as there were not more than fifteen millions of the precious metal in New York outside of the Sub-Treasury, they were masters of the situation. The only obstacle in the way of their triumphant success would be the sale of gold from the Sub-Treasury at a moderate price, by direction of General Grant. Corbin assured his co-conspirators that he could prevent this interference, and wrote a letter to the President urging him not to order or permit sales from the Sub-Treasury. He ostensibly sent this letter by special messenger, but, in fact, substituted for it an ordinary letter on family matters. General Grant's suspicions were aroused by the receipt of this unimportant epistle, and at his request Mrs. Grant wrote to Mrs. Corbin, saying that the General had learned with regret that her husband was engaged in gold speculations, and he had better give them up.

General Grant returned to Washington on the 23d of September, 1869. The next day, "Black Friday," the conspirators put up the price of gold, and a wild panic ensured. Leading men of all parties in the city of New York telegraphed the President and the Secretary of the Treasury, urging their interference as the only way of preventing a financial crash, which would have extended over the whole country. About eleven o'clock Secretary Boutwell went to the White House, and after a brief conference General Grant expressed his wish that the desired relief should be given, and Secretary Boutwell promptly telegraphed to Sub-Treasurer Butterfield, at New York, to give notice that he would sell four millions of gold. This collapsed the speculation. "I knew," said Jim Fisk, afterward, "that somebody had run a sword right into us." It was not without difficulty that Corbin, Gould, and Fisk escaped from the fury of their victims. The conspiracy was subsequently investigated by a committee of the House of Representatives, and a report was made by James A. Garfield, completely exonerating General Grant, and declaring that by laying the strong hand of Government upon the conspirators and breaking their power he had treated them as enemies of the credit and business of the Union.

General Grant was known to advocate the speediest practical return to specie payment, but the Supreme Court of the United States changed the current of financial operations by declaring that the act of Congress of 1864, making "greenback" notes a legal tender, was unconstitutional. It is a curious fact, that while the community every now and then is thrown into a condition of great excitement about political rights and duties, and about who shall be President and who member of Congress, nine elderly gentlemen, wearing silk gowns, sitting in a quiet room in the Capitol, are deciding questions of direct and immediate political concern, taking laws from the statute books, and nullifying the action of the executive and legislative departments of the Government, yet not one in a thousand of the busy, restless citizens of the country knows or cares what the decisions of this arch-tribunal are.

This high tribunal holds its sessions in the chamber of the Capitol which was originally constructed for and occupied by the Senate of the United States. The Supreme Court began its sessions here in 1860. The Court is in session from the second Monday in October to early in May of each year. It usually sits five days each week, reserving Saturday for consultations on the cases in hand. Positions on this bench are deemed eminently desirable, as they are for life, or "during good behavior." The salaries are not to be despised either, being ten thousand dollars each per annum, with an additional five hundred dollars to the Chief Justice.

The Credit Mobilier made a deal of talk, although comparatively few people knew what it really was. Under various acts of Congress granting aid to the Union Pacific Railroad, that corporation was to receive twelve thousand eight hundred acres of land to the mile, or about twelve million acres in all, and Government six per cent. bonds to the amount of twelve thousand dollars per mile for one portion of the road, thirty-two thousand dollars per mile for another portion, and forty-eight thousand dollars per mile for another. In addition to these subsidies, the company was authorized to issue its own first mortgage bonds to an amount equal to the Government bonds, and to organize with a capital stock not to exceed one hundred million dollars. All this constituted a magnificent fund, and it soon became evident that the road could be built for at least twenty million dollars less than the resources thus furnished. Of course, the honest way would have been to build the road as economically as possible, and give the Government the benefit of the saving, but this was not thought of. The directors set themselves at work to concoct a plan by which they could appropriate the whole amount, and, after building the road, divide the large surplus among themselves. The plan hit upon was for the directors to become contractors, in other words, to hire themselves to build the road. To consummate this fraud without exciting public attention, and to cover all traces of the transaction, was no easy matter, but the directors employed an eminent attorney skilled in the intricacies of railroad fraud, and with his aid and advice the machinery for the transaction was finally arranged to the satisfaction of all concerned. This attorney was Samuel J. Tilden.