History-Railroads History Of Delaware County
T. B. Helm
1881

Lora Radiches

CHAPTER XVIII

RAILROADS

INDIANAPOLIS & BELLEFONTAINE--FORT WAYNE & SOUTHERN INDIANA--INDIANAPOLIS, CLEVELAND & PITTSBURGH--MUNCIE & CINCINNATI, AFTERWARD THE FORT WAYNE, MUNCIE & CINCINNATI--BLOOMINGTON & LA FAYETTE, AFTERWARD THE LA FAYETTE, BLOOMINGTON & MUNCIE, NOW THE LAKE ERIE & WESTERN--"BEE LINE," OR CLEVELAND, COLUMBUS, CINCINNATI & INDIANAPOLIS.
INDIANAPOLIS & BELLEFONTAINE.

Pursuant to the provisions of the charter of the Indianapolis & Bellefontaine Railroad, passed at the session of 1847-48, of the State Legislature, the people of Delaware County, contemplating the ultimate importance of railroad intercommunication between eligible points of trade, took early steps toward availing themselves of the privileged advantages to be derived from this the first railroad through the middle-eastern part of Indiana. At a special session of the Board of Commissioners of Delaware County, held on the 2d of July, 1848, John Black, of Delaware Township, in this county, was appointedby the board an appraiser of the real estate subscribed in stock to the Indianpolis & Belefontain Railroad Company, in pursuance of the charter of said company, passed at the last session of the Legislature.

At the March session, 1849, the following further action was had by the board, for the purpose of ascertaining the wishes of the people especially interested, concerning the furtherance of the proposed enterprise of constructing a railroad through the county: "Ordered by the board, that the inspectors of the several annual spring [April] township elections in the several townships in the county, at said next ensuing election, open a poll for the voters to express on their tickets, when they vote for officers, the wish of the several voters to express on their tickets whether they are for or against the County Commissioners subscribing in behalf of this county, stock in the Indianapolis & Bellefontaine Railroad, to an amount that will be produced by a levy of tax, to not exceed the amount of $1 oneach $100 valuation, of all the taxable property in the said county, one-half to be collected this year, the other, next year, in pursuance of the provisions of the charter of said road company; and the said voters shall express their consent to their so doing, by the word on their tickets, stock; and those on the contrary, by the words, no stock. And the tally papers shall be worded accordingly--and make report of the result of said election to the Auditor, at the time and in the manner thy otherwise report such elections to him; and the Auditor shall publish notice of this order, in the Muncie Signal, from now until said election."

Such an election was held accordingly, and reported to the Auditor, as follows:
TOWNSHIP. FOR. AGAINST.
Salem 6 78
Mount Pleasant 106 7
Harrison 8 55
Washington 4 4
Monroe 18 48
Center 176 52
Hamilton 33 10
Union 7 43
Perry 27 28
Liberty 111 8
Delaware 92 8
Niles 6 8
   Total 594 344
Majority 250    


In consideration of the above vote, the Commissioners, at a special session held in June following, ordered, "That the County of Delaware do subscribe and take stock in the Indianapolis & Bellefontaine Railroad Company, to the amunt of $12,000, one-fourth to be paid when said road shall be cleared and grubbed continuously from Indianapolis to the east line of this county; one-fourth when graded and bridged to the east line of the county, the remaining one-half when said road shall have been completed ready for cars, from Indianapolis to Muncie. The sum of 28 cents on every $100 valuation, was ordered assessed."

Another special session was held in may, 1850, of which the following record appears: "Be it remembered that on this day the board received from A. W. Morris and O. H. Smith, officers of the Indianapolis & Bellafontaine Railroad Company, a letter and also a guaranty in writing, in relation to the expenditure of the sums of money hereinafter mentioned, and the furtherance of said work, and thereupon, the board to order and direct the payment to said company the sum of $2,000 in full, of the first installment due to said company by the former order of this board, and to accelerate said payment beyond the requirements and conditions of said order, as herein set forth. And the board, being satisfied that said letter and guaranty from a sufficient guaranty to the county for the object set forth, and that the granting of said request is for the good of the work and the county, and especially to the contractors and laborers engaged in contracts on said road, and to the community, by putting into circulation the funds now idle and useless to them, among the people from whom it has been most generally made up--do finally order and direct that the County Auditor draw his order or warrant in pursuance of former orders in relation thereto, upon the County Treasurer of this county, in favor of said company, for the said sum of $2,000."

Again in August, 1850, a special session of the board was held for the purpose of considering the proposition of the Directors of the Indianapolis & Bellefontaine Railroad, asking the county to aid said company in the prosecution of its work by advancing the sum of $3,000 on conditions named. The board, having duly considered the proposition, "Ordered, that so soon as that sum can be obtained on a loan on the credit of Delaware County, that the same shall be done accordingly, and paid to the person authorized by said company to receive the same; the county to pay the same rate of interest as the company will allow the county; the company to give stock for security. The company also to bind themdselves that they will have ready for use said road from Indianapolis to Muncie on or before the 1st day of October, 1851, and one, 1st of November; one, 1st of January, 1851, and one, 1st of April, 1851; for the sum of $1,000 each; and that for the interest on said $30,000, which shall have accrued, shall be paid out of the installments of county subscription hereafter to become due said company, out of the taxes collected in 1851, or years following."

Another special term was held in February, 1851, when, on motion of Samuel P. Anthony, agent of the company, an order was caused to be drawn by the Auditor on the County Treasuer for the sum of $3,000, for the second installment of subscription by Delaware County to said railroad company. It was further ordered by the board, at its January session, 1852, "that the County Auditor draw upon the treasury an order for $3,000, in favor of the Indianapolis & Bellafontaine Railroad Company, and deliver the same to the Treasurer of the company, on demand;" and, at the June session following, the board "Ordered that the County Auditor draw on the Treasurer an order for $3,000, the last installment of the subscription by the county to the Indianapolis & Bellefontaine Railroad." At the same session, T. J. Sample was appointed agent to cast the vote of Delaware County in the election of railroad directors. The board made this further order, at its regular March session, 1853: "That the Auditor and Treasurer refund all tax against stock for the Indianapolis & Bellefontaine Railroad."

This road having been entirely completed to Union City, on the State line, during the winter of 1852-53, the people entertained a proposition to transfer the stock held by the county, at its par value, to the Fort Wayne & Southern Railroad, receiving, in return, the stocks of the said last-named company at like rates. Accordingly, the following petition was circulated and signed as a means of securing the expression of the people concerning the same: "We, the undersigned, citizens of said county, would respectfully petition your honorable body to transfer to the Fort Wayne & Southern Railroad Company all the county stock in the Indianapolis & Bellefontaine Railroad Company, in an exchange, at the par value of the repective stocks, for the stocks of the said Fort Wayne & Southern Railroad Company; and we do hereby authorize and request the Auditor to convene the Board of Commissioners for the aforesaid purpose." Signed by Jacob N. Poorman and others, to the number of 1,323. Pursuant to said petition, the board having been regularly convened in special session, December, 1853, to consider the same, rendered the following: "Whereupon, it is ordered by the board that all of the stock owned by the county in the Indianapolis & Bellafontaine Railroad Company, and the accumulations thereon, be assigned and transferred in equal parts--one-half to the Fort Wayne & Southern Railroad Company, in exchange for their stocks respectively, at their par value, and that W. J. Holman is hereby appointed an agent to make said transfer by assignment or otherwise."

In 1859, this road was consolidated with the Ohio line, and about that time an appraisement of the road-bed, superstructure, bridges, depots and depot-ground, rolling-stock, machinery, etc., of this line, then known as the Indianapolis, Cleveland & Pittsburgh Railroad, extending from the State Line on the east to Indianapolis, was order to be made, and a Board of Appraisers appointed, consisting of Thomas G. Clark, Miles Marshall, Thomas Clevenger, Lemuel Vanlangham and Reqin Perry, to value the same and apportion such valuation among the several counties, interested, according to the number of miles in each. That Board of Appraisers, made report to the June Session, 1859, of the Coutny Commissioners of Delaware County, as follows:

"We, the appraisers of Randolph, Delaware, Madison, Hancock, and Marion Counties, agree to appraise the Indianapolis, Cleveland & Pittsburgh Railroad, for road-bed, superstructure, bridges, depots, depot-grounds, together with the rolling machinery and other matter connected therewith, at the rate of $4,300 per mile; making the aggregate for the entire length of the road of 83.40 miles, $358,620, prorata, as follows: To Marion County, 14.82 miles, $63,726; to Hancock County, 7.09 miles, $30,487; to Madison County, 20.86 miles, $89,698; to Delaware County, 20.36 miles, $87,548; to Randolph County, 20.27 miles, $87,161."

In 1868, it was consolidated with the Cleveland, Columbus & Cincinnati road, and became the Cleveland, Columbus, Cincinnati & Indianapolis Railroad, now familiarly known as the "Bee Line." Its eastern connections give it an immense business general as well as local.

FORT WAYNE & SOUTHERN.

This road was projected in the fall of 1865, and the route through which it was proposed to be located commanded the attention and interest of all likely to be affected by its construction. Delaware, like other counties along the line, began early to manifest a disposition to assist in the furtherance of the proposed enterprise. At the June session, 1866, of the Board of Commissioners of Delaware County, it was ordered, "that the Indiana Southern Railway Company be allowed the sum of $35,000 as a bonus for the construction of its railroad within the limits of Delaware County, Ind., one-half when said road shall be finished from Fort Wayne to the city of Muncie, and the remainder when said road shall be completed and the cars shall run from Jeffersonville to Fort Wayne thereon; provided, that said road shall be fully completed before January 1, 1869." At a subsequent special session of the board, held on the 23d of June, 1866, a petition, signed by 1,693 citizens of the county was filed, asking for an additional allowance to said company of $10,000 as a bonus for the construction of said road in this county. A remonstrance was filed, however, signed by seventy-six persons, objecting to such donation, on the ground that it was illegal and unjust. The board, deeming such further allowance impracticable, refused to make the same.

At a special session of the board held on the 23d of March, 1868, upon the petition of John W. Burson, William F. Jones, Charles P. Sample and others, for an appropriation in behalf of the Muncie & Cincinnati Railroad Company, to aid in the construction of said road, it was ordered by the board, that there be appropriated to the Muncie & Cincinnati Railroad Company, or to the company under any other name, which shall be organized for the purpose of construcing a rail road from Hagerstown, in Wayne County, to Muncie, in Delaware County, as an extension of the White Water Valley Railroad, the sum of $50,000, payable when said road shall be completed to Muncie, in running order--in consideration of the benefits to be derived to Delaware County: Provided, however, that the said appropriation be accepted on or before June 1, 1868." A similar order and for a like amount was also made to the Cincinnati, Connersville & Muncie Railroad Company, when the road shoud be completed and in running order from New Castle to Muncie. At the regular June session, 1868, the Cincinnati, Connersville & Muncie Railroad, having filed its acceptance of the appropriation proffered by Delaware County, the Treasurer of the county was ordered to pay to John W. Burson, in trust for said road, the said sum of $50,000. Mr. Burson then filed his agreement or bond, as such Trustee, with securities to the acceptance of the board.

Subsequently, at the March session, 1869, the Fort Wayne, Muncie & Cincinnati Railroad Company petitioned the board for an appropriation in aid of the construction of its road from the line of the Bellefontaine road to the north line of the county. The board acceded to the proposition, and ordered an appropration of $50,000 for that purpose, and directed the issue of fifty $1,000 bonds, drawing 7 percent interest; those numbered from one to seventeen, payable in three years; from eighteen to thirty-three, in four years, and from thirty-four to fifty, inclusive in five years. David T. Haines was appointed Trustee to take charge of the appropriation, with direction to pay $17,000 of the sum when the iron had been laid to the Muncie and Granville Pike, three miles north of the Bellefontaine road; $16,000, when the iron should be laid to the line dividing Sections 23 and 26, Township 22, Range 10 east, and the remainder when the iron should be laid to the county line. Mr. Haines accepted and filed bond. In the meantime, the Cincinnati, Muncie & Connersville road having been consolidated into the Fort Wayne, Muncie & Cincinnati Railroad, John W. Burson, as Trustee, made his report on the appropriation of $50,000 to the said Cincinnati, Connersville & Muncie Railroad Company, when said funds were turned over to and recipted for by David T. Haines, as Treasurer of the said Fort Wayne, Muncie & Cincinnati Railroad, which transaction the board approved.

Thus matters stood until July 9, 1875, when the Randolph Circuit Court having granted an order restraing the Fort Wayne, Muncie & Cincinnati Railroad from selling or causing to be sold any bonds issued in favor and for the construction of said road; restraining, also, the County Treasurer from delivering any bonds so issued to said company, and directing said company to deliver all bonds so issued and received to the Auditor to be canceled, the board directed the said orders to be filed and placed on the proper record, with the appeal therefrom to the Supreme Court.

Afterward, at the June session, 1876, it was "ordered by the board that the fifty coupon bonds, numbered from on to fifty, respectively, of $1,000 each, which were issued and delivered to the Fort Wayne, Muncie & Cincinnati Railroad Company, bearing date March 5, 1869, and drawing interest at the rate of 7 per cent, payable semi-annually, and signed by Thomas J. Matthews, Benjamin F. Smith and John Parker, as Commissioners, and John L. McClintock, as Auditor of Delaware County, with all the coupons that were originally attached to said bonds, when issued, be burned and destroyed," which order was executed in the presence of the Board, Auditor and Treasurer of said county, on the 7th day of the June term (June 11), 1876, the bonds and interest amounting at that date to $76,000. In the meantime, however, the road had been completed and was in successful operation. The freight office of the company was first located at the north end of Walnut street, in the city of Muncie, and opended for business in February, 1869, with F. W. Palmer as agent.

At the time of consolidation of the Cincinnati, Connersville & Muncie Railroad with the junction road, forming the Fort Wayne, Muncie & Cincinnati, a lease was entered into between the contracting parties, of which the following is a copy, dated June 9, 1869:

"Whereas, prior to said consolidation of the said Cincinnati, Connersville & Muncie Railroad Company and the Fort Wayne, Muncie & Cincinnati Railroad Company, the said Cincinnati, Connersville & Muncie Railroad Company, in the construction of her railroad from Connersville to Muncie, became largely indebted to the Junction Railroad, to Wit: in the sum of $500,000, for the payment of which the said party of the first part, the Fort Wayne, Muncie & Cincinnati Railroad, by the terms of said consolidation, became liable; and whereas, prior to said consolidation, the Cincinnati, Connersville & Muncie Railroad incurred other liabilities, amounting to $50,000 and by the terms of said consolidation the party of the first part became liable; and whereas, also, prior to said consolidation, the Fort Wayne, Muncie & Cincinnati Railroad Company became largely indebted to the party of the second part, to wit, in the sum of $25,000, for the payment of which the party of the second part, by the terms of said consolidation, became and is liable to pay; and whereas, prior to said consolidation, the said Fort Wayne, Muncie & Cincinnati Railroad Company incurred other liabilities, amount to the sum of $200,000 which the said party fo the first part, by the terms of consolidation, became and is liable to pay; and whereas, the railroad, prior to said consolidation, owned and located by the said Fort Wayne, Muncie & Cincinnati Railroad Company, is in course of construction from said town of New Castle to Fort Wayne, and the said party of the first part, by the terms of said consolidation, is under obligation to construct said railroad, and the said party of the first part has no money to construct and has no equipment of any kind to operate such railroad when constructed and no means to procure such equipment, and has no means to pay said indebtedness to said party the second part, or to pay other liabilities by the Fort Wayne, Muncie & Cincinnati Railroad Company prior to said consolidation. And whereas, the said party of the first part, is about to issue 1,800 of her bonds for $1,000 each, with interest coupons at 7 per cent, payable semi-annually in gold, secured by mortgage on her railroad from Connersville to Fort Wayne, and other property, and deliver the same to said party of the second part: Therefore, the said party of the first part, for and in consideration of the stipulations, covenants and agreement hereinafter set forth, have leased unto the said party of the second part the entire railroad of the said party of the first part from Connersville, through New Castle to Fort Wayne, and all the property and appurtenances thereunto belonging, for a period of ninety-nine years, renewable forever. And the said party of the first part agree to issue and deliver 1,800 bonds, as aforesaid, as soon as possible, and further agree to issue no other bonds or securities without consent of said party of the second part. The said party of the second part agrees to construct said railroad from New Castle to Fort Wayne and equip the entire road from Connersville to Fort Wayne.&
L. L. Worthington, President Ft. W., M. & C. R. R.
L. L. Worthington, President, Junction Railroad.
D. T. Haines, Secretary.
[Recorded, June 9, 1869, Mis. Rec. 1, p. 431].

LAFAYETTE, BLOOMINGTON & MUNCIE.

The original design contemplated in the proposed construction of this road was to connect the Bloomington & La Fayette Railroad with the Columbus, Cincinnati & Indianapolis Railroad, at some eligible point withing the limits of Delaware County. In order to secure such a termination of the road at Muncie, which was deemed the most desirable point, the County Commissioners, at a special session of their board, held on the 6th of April, 1869, donated $300, to be placed in the hands of Joseph S. Buckles, Esq., to be by him expended in obtaining this object. Subsequently, at a special session held on the 17th of July, 1869, on the petition of the LaFayette, Muncie & Bloominton Railroad Company, with the signatures of 137 citizens of Delaware County, an election was ordered to be held on the 21st of August following, to decide on an appropriation of $150,000, to aid in the construction of said road. Prior to the holding of that election, however, at a special session on the 11th of August, the Auditor was directed to draw an order in favor of the La Fayette, Muncie & Bloomington Railroad, for $400, to be credited on any stock that might thereafter be taken by Delaware County in aid of the construction of said road.

As ordered, an election was held on Saturday, August 21, 1869, to secure an expression of the people of the county on the question of appropriating the sum of $150,000, as requested, for the building of such connecting railroad.

The result of that election is shown in the following abstract:
TOWNSHIPS. For. Against. Total.
Salem Township 27 157 184
Mt. Pleasant Township 66 136 202
Harrison Township 126 21 148
Washington Township:      
   New Corner 30 29 59
   Wheeling 13 98 111
Monroe Township 44 29 73
Center Township 905 3 909
Hamilton Township 70 20 90
Union Township 16 100 116
Perry Township 52 18 73
Liberty Township:      
   Selma 62 123 185
   Smithfield --- --- ---
Delaware Township      
   Sharon 44 39 79
   Albany 15 64 80
Niles Township:      
   Center Schoolhouse 3 90 93
   Granville 44 50 94
TOTAL 1517 973 2490


With this expression, the board, feeling authorized thereby, at its regular September session, 1869, on the petition of the railroad company, "Ordered, that a levy of $75,000, one-half of the railroad appropriation, be made in June, 1870, and the other half, $75,000, be made in June, 1871, the expenses of election and all advances heretofore made to be deducted." Accordingly, at the June session, 1870, a levy of $75,000 for the benefit of this road was order to be made.

At a special session of the board, on the 11th day of August, 1871, on petition of the company, eighty-five shares of capital stock, representing $4,250, were subscribed, and the sum ordered to be paid out of the county treasury, from the tax levied for that purpose. During the following September session of the board, E. M. Talbott, Chief Engineer of the La Fayett, Muncie & Bloomington Railroad, filed a report exhibiting the amount of work done on that road in Delaware County in the month of
August, 1871, as follows:
Snell & Taylor, contractors $8,283.19
Eighty per cent 6,590.55
Right of way 3,752.00
Engineering 260.00
   TOTAL $10,575.55

The September report exhibited the following:
Snell & Taylor, contractors $10,596.93
Eighty per cent 8,477.55
Engineering 245.00
   TOTAL $8,722.55

The following report of the operation of the company during the month of October, was presented at the special session of the board,
November 3, 1871:
Snell & Taylor, contractors $8,095.41
Engineering 300.00
Right of way 463.00
   BALANCE DUE $8,858.41

When the board adjourned, at the preceding session, the county was indebted to the railroad as follows:
To the railroad--October report $10,138.56
October estimate 8,858.41
   DUE November 3, 1874 $18,991.97

Thereupon, the board ordered the subscription of stock by the county, to the amount of 8,000. On the 11th of January, 1872, the board allowed $12,500 for capital stock in this road, and, at the March session following, it was "&Ordered, that 300 shares of stock in the L., M. & B. R. R., at $50 per share, be assessed, and paid out of the county treasury; also, the additional fifty shares ordered taken, at the January session, be paid as above, in the sum of $12,000.

A further report was submited by the company, at the special session in May, 1872, showing the total amount due since the last estimate, to be $11,672.11, when the board ordered that stock be taken in said road, in the sum of 233 shares, at $50 each--$11,650. One hundred and two additional shares of stock were taken on the 2d of August, amounting to the sum of $5,100. Again, at the special session, on the 24th of February, 1873, the board subscribed the further sum of $24,000 to the stock of said company, $10,000 to be paid in cash, and $14,000 to be issued in six months. At the September session, 1873, the Auditor was directed &to draw a warrant on the Treasurer of the county for $14,500, to be made payable in four months from September 9, 1873, for the purpose of liquidating a county warrant and interest, issued for purchasing capital stock in the La Fayette, Muncie & Bloomington Railroad," provided for at the special session in February preceding.

At a special session of the board, on the 5th of January, 1874, called to devise means for liquidating the county debt, among other proceeding had in view of the premises, we find the following:

"Ordered that, when it may be determined by the courts, that counties are bound to pay the full amount of their appropriations to the La Fayette, Muncie & Bloomington Railroad Company, that the Muncie National Bank be allowed the balance of such appropriation from Delaware County to said La Fayette, Muncie & Bloomington Railroad Company, after deducting the amount of a certain judgment against Delaware County in favor of William J. Hyatt, which will result from a decision of the courts, making the counties liable for the full amount of said appropriation; and, it be further ordered, that none of such balance be paid to said Muncie National Bank, until the said La Fayette, Muncie & Bloomington Railroad be completed to Muncie, Indiana."

The road was completed in the month of January, 1876, and the first train west, to La Fayette, over the new line, "made the trip with forty Muncie citizens to La Fayette, on Tuesday, February 1, 1876. At a meeting held at La Fayette, 44,227 shares of stock were represented, and on a vote of ratification of the road, etc., 42,201 voted aye, and 2,026 voted no. The first regular train, mixed, freight and passenger, commenced running Thursday, February 10, 1876."

The following items clipped from the local press of the county, contain some interesting details of the history of this road: &The ded of purchase of the La Fayette, Muncie & Bloomington Railroad, has been placed in the hands of the purchasers, and the name changed to La Fayette, Bloomington & Muncie Railroad Company. E. H. Waldron is appointed General Manager, and C. R. Cummings, President. The new management has now full control--all of the employes of the road will be retained." [Muncie Times, May 8, 1879.]

"A railroad meeting was held at the court house, on Monday evening, June 23,1879, to take action to secure the location of the shops, etc., of the La Fayette, Muncie & Bloomington Railroad shops. May Kilgore was chosen Chairman, J. N. Templer as Chairman of the Committee," appointed for the purpose, "reported that the committee had decided to collect from Center Township, $60,000; from Delaware, $10,000; and from adjoining township, $5,000, making a total of $75,000, the amount proposed to give the company for the location of said shops. He also read the security bond which is being circulated for signers to secure to the company, the said $75,000. The security bond holds the parties subscribing thereto, for $200 each, the number of subscribers solicited being 3000; but, should the number of securities exceed 300, then the amount for which they are held will be proportionately less, as the subscribers exceed that number. It is the intention that the money shall be raised by taxation. An election will be held as soon as practicable, to settle the question of raising the money by taxation."---[Times, June 26, 1879.]

The election was held on the 5th of August, 1879, with the following result: Center Township--for tax, 922; against the tax, 198; majority for tax, 623. In Delaware--whole number of votes, 328; for, 157; against, 171; majority against, 14. (Pages 76-79)


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