The interests of the Southern Pacific Company, on the other hand, were comparatively unimportant. The traffic of the Imperial Valley, at that time, amounted to perhaps $1,200,000 a year, from which the railroad derived a revenue of only $20,000 or $30,000 for freight transportation.[13] This, in its relation to the whole business of the company, was so insignificant as hardly to be worth consideration. The flooding of the valley, moreover, could not injure the road much more than it had already been injured. A section of new line, about sixty miles in length, had been surveyed and graded, and the ties and rails for it were on the ground. At an additional cost therefore of only $50,000 or $60,000, the imperilled part of the track could be moved to a higher location where the rising waters of the Salton Sea could not reach it.

President Randolph, after full investigation reported the existing state of affairs to Mr. Harriman by telegraph, and informed him that while the original break might be closed at a cost of from $300,000 to $350,000, permanent control of the river would require about twenty miles of muck-ditching[14] and levee reconstruction, and that if he (Mr. Harriman) decided to proceed with the work, he might have to spend $1,500,000 more. In view of this possibility, Mr. Randolph suggested that the Government, or the State of California, be called upon to render aid.

Mr. Harriman, who had implicit confidence in the sound business judgment as well as the engineering ability of Mr. Epes Randolph, accepted the latter’s view of the situation. He did not doubt that the Colorado River might ultimately be controlled; but as the expense would be very great, and as the chief interests imperilled were those of the nation, he did not think that the Southern Pacific Company, of which he was President, was equitably or morally bound to do the work alone and at its own expense. In a long telegram to President Roosevelt, dated New York December 13th, he fully set forth the state of affairs, but did not comment upon it further than by saying: “In view of the above, it does not seem fair that we should be called to do more than join in to help the settlers.”

The following telegraphic correspondence then ensued:

Washington, December 15, 1906.

Mr. E. H. Harriman,
New York.

Referring to your telegram of December 13, I assume you are planning to continue work immediately on closing break in Colorado River. I should be fully informed as to how far you intend to proceed in the matter.

Theodore Roosevelt.

New York, December 19, 1906.

The President,
Washington.