The grants of land voted by Congress were accepted, and in the following year the states of Wisconsin and Minnesota granted right of way. Not much was done until 1869, when Jay Cooke & Co. became financially interested in the road, and might have been successful in placing the bonds of the road upon the eastern markets but for the European war, during which time the firm of Jay Cooke & Co. went down overburdened with railroad securities. The financial panic of 1873 which followed found the company in possession of 555 miles of completed railroad, of which 450 reached from Duluth to Bismarck, and 105 from Klamath to Tacoma on Puget Sound; but embarrassed by want of funds the enterprise made but little headway, and in 1875 Henry Villard was appointed receiver, and a decree of sale obtained by which the bondholders were enabled to become the preferred stockholders. Under the new arrangement and by the powerful aid of Henry Villard and Thomas F. Oakes, the public, and especially the capitalists of the country, regained faith in the enterprise, and the work was pushed steadily forward until September, 1883, when the golden spike was driven at Gold Creek by Henry Villard. Mr. Villard resigned the presidency of the road in December of the same year, and Robert Harris succeeded him. The main line of this road extends from Duluth to Tacoma, a distance of nearly 2,000 miles, and the number of miles on the main and branch lines aggregates 3,395.
The magnitude of the work, the leagues of wilderness to be traversed, the mountain ranges to be crossed, the streams to be bridged, the supposed obstructions from wintry storms to be overcome, all these were of such a nature as to make the project seem impossible. It was, nevertheless, through the liberality of the government and the enthusiasm and executive ability of its managers, accomplished in a comparatively short time.
The government contributed to this road a land grant of forty sections to the mile. With this liberal basis, bonds for the required amount of money were speedily furnished to build and equip the road from Lake Superior to the Pacific coast. This road has, however, the advantage of southern roads, in that it traverses a rich agricultural and mineral region throughout almost its entire extent, passing through belts of timbered land not excelled in the quantity and quality of their production. The mineral regions are rich in gold, silver, copper, lead and coal.
The country along the road is being rapidly settled, and the property in its possession, and that of those who have made improvements along its line, has increased to many hundred times its original value.
THE CHICAGO, ST. PAUL, MINNEAPOLIS & OMAHA RAILROAD.
The Wisconsin legislature in 1854 chartered a company to construct and operate this road, then called the St. Croix, Superior & Bayfield railroad. May 3, 1856, Congress granted twelve sections of land to the mile to aid in building a railroad from Hudson in the St. Croix valley to Bayfield on Lake Superior, with a branch to Superior City. July 5, 1864, this grant was increased to twenty sections per mile, with indemnity lands to make up deficiencies. These lands were ceded directly to the State. A company was created by the state legislature of Wisconsin, to which were consigned the lands and franchises granted by the government for the purpose of building the road. The lands and franchises passed through several organized companies. Impediments to construction arising, extension of time was asked and obtained from the United States and Wisconsin governments, complications arose, delaying the construction still further, other companies claimed part of the indemnity lands, and litigation ensued. The state legislature upheld the chartered right, and appointed agents to watch the timber and protect the interests of the company. A sum amounting to $200,000 was collected from trespassers and at once applied to the building of the roads in 1879.
The St. Paul, Stillwater & Taylor's Falls Company in 1872 had built a line of railroad from Hudson to New Richmond. In 1874 the St. Croix, Superior & Bayfield Company obtained possession of this line of road and continued it in the direction of Superior, completing it in 1883 to Superior City, Bayfield, Washburn, and Ashland. The company have built a road from Hudson by River Falls to Ellsworth in Pierce county. The main line to Lake Superior passes through a rich agricultural and immense pine region. The company have constructed at Washburn, on Chequamegon bay, extensive docks, elevators, warehouses and shops. There are on the main line 20 wooden bridges from 25 to 100 feet long, 10 from 100 to 300 feet, 10 from 300 to 500 feet, one of them on a branch of White river being 90 feet high. The amount of logs and lumber carried over this road amounts (1888) to 1,240,000,000 feet, and 1,500,000,000 feet remain. There are few trips more enjoyable to the tourist than the one over this road, terminating as it does on the north, in a region attractive for its beautiful scenery, including the lovely bays of Ashland, Washburn and Bayfield, with their picturesque shores, hills green with spruce pine and balsam, and the Apostle islands, favorite haunts of summer travelers. The road is splendidly equipped and well officered.
THE ST. PAUL & DULUTH RAILROAD (FORMERLY KNOWN AS THE LAKE SUPERIOR & MISSISSIPPI).
The first land grant for Minnesota was made in 1854, for a road from St. Paul to Lake Superior. This bill gave twenty sections per mile to the company building. While the bill was in the hands of the enrolling committee, some fraudulent changes were made in its provisions, as a consequence of which, after it had passed both houses and was in the hands of the president, it was recalled by the house of representatives, which had originated it, the fraudulent passages were pointed out, and the further consideration of the bill was indefinitely postponed.
Railroad enterprise received a check from which it did not recover in many years. May 5, 1864, Congress gave ten alternate sections on each side of lands to aid in building the Lake Superior & Mississippi railroad. This grant was increased to twenty sections per mile, and indemnity lands were given. The state of Minnesota has also given seven sections of swamp land per mile. The city of St. Paul also gave a bonus of $250,000 in city bonds, to run twenty years, and St. Louis county gave $150,000 in bonds for a like period. From the proceeds of these lands and bonds an excellent thoroughfare has been built and maintained. The franchises pertaining to this road changed holders many times before the road was completed.