seems to us it would be alike profitable to the public and to the railroads. By means of their powers they could bring railroad management into the scrutiny of the public, and subject it to the influence of that most powerful of all motors for the correction of evil-public opinion. This will afford to the public a tribunal to whom they can appeal for a redress of grievances, easily and without expense; whereas, now the only redress is to be had in a legal controversy with a powerful corporate interest. If wrongs should be practiced or attempted, the commission, by investigation, could bring them to light, and the restraining effect of possible or probable exposure of improper management would, in itself, be a powerful conservator of public interests. Commissions have been tried in many other States of the Union, and from their long continuance it is to be presumed that they have worked satisfactorily and beneficially there. While we easily foresee that an improperly constituted commission, composed of dishonest and incompetent men, would be alike a curse to the railroads and to the public, yet the necessity of enforcing a proper relation of these vast interests to the public and holding them to a proper accountability, and especially in view of our State government as at present constituted, your committee are of opinion that the example of other States and other countries in respect to a commission may, with propriety and with profit, be copied by us. Your committee have suggested remedies for the prominent evils discovered. The very limited time since our testimony was in print has not enabled us to review the whole field of legislation with the thoroughness desired, but the testimony submitted and the wisdom of the legislature will suggest such remedies as we have omitted to specify. RELATION OF THE STATE TO THE RAILROADS. The relation of the State to the railroads and its power over the same is fully and clearly laid down in Munn v. Illinois, 4 Otto, 113; Chicago, Burlington & Quincy Railroad Co. v. Iowa, reported in the same volume; Peck v. Chicago & Northwestern Rail way Company, and three other cases following, reported in the same volume; People v. Boston & Albany Railroad Company, 70 N. Y. 569. In accordance with the doctrine laid down in these cases, the legislature has not only the power to regulate the transportation of freight and passengers upon our railroads, but it has the power to regulate the charges of all other persons or corporations whose functions are, by lease or contract with the railroads, made a necessary link in the chain of transportation, including the charge for elevating and warehousing, the charge of express companies, sleepingcar companies, drawing-room car companies, stock yard companies, and the charge for the terminal handling of oil, fast freight lines, etc. A. B. HEPBURN, Chairman. JAMES LOW, WM. L. NOYES, JAMES W. WADSWORTH. I concur in the summary of the evidence and in the statement of facts embraced in the report, and generally in the recommendations that it embodies. I dissent to the proposition for a commission. J. W. HUSTED. I concur in the report, except that part of it which recommends a commission. I believe that restrictions upon railroad management should be imposed by law instead of intrusting such important interests to the discretion of a commission. Dated ALBANY, January 22, 1880. GEO. L. TERRY. NOTE: In this report the words "New York Central" and "Central "have been frequently used to designate the New York Central & Hudson River Railroad; and the word Erie to designate the New York, Lake Erie & Western Railroad. APPENDIX TO REPORT. AN ACT To amend sections nine and twenty-eight of chapter 140 of the laws of 1850, entitled "An Act to authorize the formation of railroad corporations and to regulate the same." The People of the State of New York, represented in Senate and Assembly, do enact as follows: SEC. 1. Section nine of chapter 140 of the laws of 1850, entitled "An Act to authorize the formation of railroad corporations, and to regulate the same," is hereby amended so as to read as follows: § 9. In case the capital stock of any company formed under this act is found to be insufficient for constructing and operating its road, such company may, with the concurrence of two-thirds in amount of all its stockholders, and the written approval of the State engineer and surveyor, until such time as there shall be appointed a board of railroad commissioners and after that with the written approval of such board, increase its capital stock from time to time, to any amount required for the purposes aforesaid. Such increase must be sanctioned by a vote in person, or by proxy, of two-thirds in amount of all the stockholders of the company, at a meeting of such stockholders, called by the directors of the company for that purpose, by a notice in writing to each stockholder, to be served on him personally, or by depositing the same, properly folded and directed to him at the postoffice nearest his usual place of residence, at least twenty days prior to such meeting. Such notice must state the time and place of the meeting, and its object, and the amount to which it is proposed to increase the capital stock. The proceedings of such meeting must be entered on the minutes of the proceedings of the company, and thereupon the capital stock of the company may be increased to the amount sanctioned by a vote of two-thirds in amount of all the stockholders of the company as aforesaid. A copy of such notice shall also be published within the county where the main office of such corporation shall be located, once a week for four weeks prior to such meeting, in a newspaper to be designated by the State engineer and surveyor uutil such time as a board of railroad commissioners shall be appointed, and after that time by such board, and in no case and under no circumstances shall any railroad company of this State increase its stock except upon the notice and with the approval herein provided. Any officer or director of any railroad company violating the provisions of this section shall be guilty of a misdemeanor, and upon conviction thereof shall be punished by imprisonment not less than six months and by fine not exceeding one thousand dollars. § 2. Section twenty-eight of said act is hereby further amended so as to read as follows: § 28. Every corporation formed under this act shall, in addition to the powers conferred on corporations in the third title of the eighteenth chapter of the first part of the Revised Statutes, have power: 1. To cause such examination and surveys for its proposed railroad to be made as may be necessary to the selection of the most advantageous route; and for such purpose by its officers or agents and servants, to enter upon the lands or waters of any person, but subject to the responsibility for all damages which shall be done thereto; 2. To take and hold such voluntary grants of real estate and other property as shall be made to it, to aid in the construction, maintenance and accommodation of its railroad; but the real estate received by voluntary grants shall be held and used for the purpose of such grant only; 3. To purchase, hold and use all such real estate and other property as may be necessary for the construction and maintenance of its road, and the stations and other accommodations necessary to accomplish the objects of its incorporation; but herein nothing contained shall be held as repealing, or in any way affecting the act entitled "An act authorizing the construction of railroads upon Indian lands," passed May 12, 1836; 4. To lay out its road not exceeding six rods in width, and to construct the same; and for the purpose of cuttings and embankments, to take as much more land as may be necessary for the proper construction and security of the road; and to cut down any standing trees that may be in danger of falling on the road, making compensation therefor as provided in this act for lands taken for the use of the company; 5. To construct their road across, along or upon any stream of water, water-course, street, highway, plank-road, turnpike or canal, which the route of its road shall intersect or touch; but the company shall restore the stream or water-course, street, highway, plank-road and turnpike thus intersected or touched to its former state, or to such state as not unnecessarily to have impaired its usefulness. Every company formed under this act shall be subject to the power vested in the canal commissioners by the seventeenth section of chapter two hundred and seventy-six of the Session Laws of eighteen hundred and thirty-four. Nothing in this act contained shall be construed to authorize the erection of any bridge, or any other obstructions across, in or over any stream or lake navigated by steam or sail-boats, at the place where any bridge or other obstructions may be proposed to be placed; nor to authorize the construction of any railroad not already located in, upon or across any streets in any city, without the assent of the corporation of such city; nor to authorize any such railroad company to construct its road upon and along any highway, without the order of the supreme court of the judicial district in which said highway is situated, made at a special term of said court, after at least ten days' notice in writing of the intention to make application for said order shall have been made to the commissioners of highways of the town. in which said highway is situated; 6. To cross, intersect, join and unite its railroad with any other railroad before constructed, at any point on its route, and upon the grounds of such other railroad company, with the necessary turnouts, sidings and switches, and other conveniences in furtherance of the objects of its connections. And every company whose railroads is or shall be hereafter intersected by any new railroad, shall unite with the owners of such new railroad in forming such intersections and connections, and grant the facilities aforesaid; and if the two corporations cannot agree upon the amount of compensation to be made therefor, or the points and manner of such crossings and connections, the same shall be ascertained and determined by commissioners to be appointed by the court as is provided in this act in respect to acquiring title to real estate; and all companies whose railroads are or shall hereafter be crossed, intersected or joined as aforesaid, shall receive from each other and forward to their destination all goods, merchandise and other property intended for points on their respective roads, with the same dispatch and at a rate of freight not exceeding the local tariff rate charged for similar goods, merchandise and other property received at and forwarded from the same points for individuals and other corporations; 7. To take and convey persons and property on their railroad by the power or force of steam or of animals, or by any mechanical power, and to receive compensation therefor; |