THE CONSOLIDATION ACT; PROVIDING FOR THE CONSOLIDATION OF RAILROAD COMPANIES.—Act of Feb. 28, 1854.

SEC. 1. All railroad companies and plank road companies which have the termini fixed by law, whenever their roads intersect, may consolidate their property and stock, and may consolidate with companies out of the State, whenever their lines connect with the lines of such companies.

SEC. 2. Such consolidated companies are regarded, after consolidation, as one body corporate.and politic.

SEC. 3. The consolidated corporation shall have power to increase their capital stock to any amount not exceeding the cost of the consolidated roads and works.

Other railroad laws have subsequently been passed by the legislature of Illinois, but none in conflict with the above.

To give even a synopsis of the railroad laws of the other States, would swell this volume to an unwieldy bulk. The above synopsis of the railroad laws of New York, Pennsylvania, and Illinois, will give a good general idea of those of the other States. And as a general rule, in regard to the railroad laws of the respective States, it may be observed 1st, that they confer every necessary power and privilege on railroad companies, and that to the fullest extent; and second, that they fully protect the rights of private indi viduals, and the public, from any invasion on the part of these corporations. Where these ends are both secured, no other legislation is necessary.

APPENDIX.

NOTE A.-NEW YORK AND ERIE RAILWAY.

DURING the year 1887, it was determined by the Board of Directors of this Company to replace iron with steel rails whenever renewals were made; and to lay a double track on the Delaware Division of the road, also with steel rails. The report of the General Superintendent, made March 3, 1868, is as follows:—

"OFFICE GENERAL SUPERINTENDENT,

NEW YORK, March 3, 1868. HON. JOHN S. ELDRIDGE, President Erie Railway. "SIR: On the 3d of December I addressed a communication to the Vice-President recommending the purchase of five thousand tons of steel rails, and at an interview with you I expressed the opinion that fifteen thousand to eighteen thousand tons of rails would be required for the repairs of track during the year 1868.

"Since that opinion was given we have passed through three months of unusually severe winter weather and moved more than an average winter tonnage, with the roadbed frozen solid as a rock, the rails encased in snow and ice, so that it has been impossible to do much in the way of repairs; the iron rails have broken, laminated and worn out beyond all precedent, until there is scarce a mile of your road, except that laid with steel rails, between Jersey City and Salamanca or Buffalo, where it is safe to run a train at the ordinary passenger-train speed, and many por( 443 ).

tions of the road can only be traversed safely by reducing the speed of all trains to twelve or fifteen miles per hour, solely on account of the worn-out and rotten condition of the rails. Broken wheels, axles, engines, and trains off the track have been of daily, almost hourly, occurrence for the last two months, caused mostly by defective rails. Fully one thousand broken rails were taken from the track in the month of January, while the number removed on account of lamination, crushing, or wearing out, was much greater. February will show a still worse record than January. i "The failure of rails is confined to no particular make, although there is a difference, easily observed, between those made at Scranton and those re-rolled at Elmira. The former break readily into many pieces, and by so doing are pretty sure to throw a train from the track; a large number of these rails have broken with less than six months' service, some with scarce one month's wear.

"The Elmira re-rolled iron seldom breaks until very much worn, but it does not possess the hardness and durability found in the Scranton iron, when the latter has strength to resist breaking strains.

66 With the ten miles laid with the John Brown Bessemer steel no fault need be found. Only one rail has broken during the winter, and no lamination and very little wear is perceptible. Twenty steel rails were laid in Jersey City yard last March; the iron rails adjoining, subject to the same wear, have been renewed four times since the steel was put down, and I have no doubt the steel rails will outlast three times as many more iron rails.

"This winter's experience has satisfied me that the quality and weight of the iron rails in use cannot be depended upon to sustain the traffic of the Erie Railway. Forty-two tons locomotives hauling trains of fifty and sixty loaded cars, and passenger engines weighing thirty-seven

tons, running at a speed of thirty to forty miles per hour, literally crush and grind out the iron rails beneath them. Instances have been reported to me of rails removed from track too much worn for safety, where the first imperfection was visible but the day before.

"In view of this state of things what is the remedy? Manifestly the adoption of steel rails as far as practicable, and iron rails of superior quality and heavier section, to be followed by the gradual reduction of the weight of engines and cars as new equipment becomes necessary. The tendency has been of late years to larger and more powerful locomotives, and heavier, stronger cars, and this has been carried to such an extent as to render them out of all proportion to the strength and durability of the track. Especially has this been the fact upon the Erie Railway.

"The condition of the iron at the present date is such as to give not much anxiety and apprehension for the safety of trains. We cannot and do not attempt to make the schedule time with our trains; nearly all lose from two to five hours in passing over the road, and it has been only by the exercise of extreme caution we have been able thus far to escape serious accident.

"A very large quantity of rails must be laid as soon as the weather will permit and they can be furnished.

After a

"In conclusion, I desire to modify my estimate of the quantity of rails required for the current year. careful observation of the whole road, assisted by information obtained from Division Superintendents and Track Masters, I have come to the conclusion that twenty-five thousand tons of rail will be needed to keep up your track in 1868, and I would earnestly recommend that as large a proportion as possible shall be of steel.

"Very respectfully, your obedient servant,

H. RIDDLE, General Superintendent.”

NOTE B.-PENNSYLVANIA RAILROAD.

The earnings of the Company during the year 1867 exceeded sixteen millions of dollars, being sixteen million three hundred and forty thousand one hundred and fiftysix dollars. Of this amount, nearly three and a half millions of dollars were from passengers. The expenses amounted to twelve millions of dollars ($12,080,299); leaving as the net earnings of the road for the year 1867, four million two hundred and fifty-nine thousand eight hundred and fifty-six dollars; being an increase of two hundred and fifty-one thousand nine hundred and seventyeight dollars, over the net earnings of 1866.

The general results of the year 1867 show a large increase in the business of the road.

The annual report of J. Edgar Thomson, Esq., President of the Company, made Feb. 15, 1868, says :

"The Tyrone and Clearfield Railroad at present terminates at Phillipsburg. During the past year the road-bed has been graded to the town of Clearfield, and the track will be laid upon it in the ensuing spring and summer.

"That portion of the railway between Pittsburg and Columbus, Ohio, extending from Pittsburg to the Ohio River, across the State of West Virginia-in consequence of its great cost and long delay in its construction-became involved in inextricable financial difficulty, to free it from which it was sold under a decree of the Supreme Court. Arrangements are now being made to consolidate it with the Steubenville and Indiana Railroad, under the name of the Pittsburg, Cincinnati and St. Louis Railway Company, with a view to make but one corporation between Pittsburg and Columbus. In this line the Pennsylvania Railroad Company has a large interest in its shares, and we entertain the belief that its revenues will at once pay