Jackson County, Missouri - Chapter 13: The Progress of 1873 to 1876, 1881

Chapter 13: The Progress of 1873 to 1876

Street Railroads - Barge Line Agitation - The Panic of 18^3 - Efforts to get the Indian Territory Opened to Settlement - Efforts for Transportation Improvements - The Mail Delivery - The , Securing of the Atchion, Topeka &= Santa Fe and the Missouri, Kansas &" Texas Railroads - How the Latter was Done - The Grasshopper Plague - The Revision of the City Charter - Efforts to Secure a Mint - The Re-organization of the Board of Trade and Erection of the Exchange Buildings

But little real progress was made by Kansas City during the year 1873. The depression preceding the panic of that year had already begun to affect public enterprise throughout the country, and Kansas City suffered in common with all other places. The population by this time had increased, by the estimates of the Directory to 40,740, being but a few hundred more than in 1872. There was httle improvement or building of any kind, and every movement looking to the advancement of existing enterprises or the addition of new ones felt the weight of the national depression. However, the spirit of the people was such that they still struggled to secure the improvements of a public nature that they felt the city most needed. There was much discussion of the water works matter, and in the early part of the year an attempt was made to form a company to build works. There was also an effort to secure the union of interest between the Kansas City, Wyandott & Northwestern Narrow Gauge Railroad, which had now been turned to the eastward toward Lexington, and the Keokuk & Kansas City Company, which was proposing to build a road to this city from Keokuk, but it failed. There was also an effort to inaugurate a railroad from Kansas City northward toward Chariton, Iowa. The importance of an extensive white lead manufactory was also much discussed and investigated by a committee of the Board of Trade.

Street Railroads Again

Early in this year the Jackson County Horse Railroad Company was organized, and proposed to build a street railroad from the corner of Fourth and Main streets by Fourth street to Wyandotte street, thence to Fifth street, thence by Fifth and Bluff streets and Union Avenue and Mulberry, thence north to Ninth street, and thence by Ninth street to the State Line, to connect with a company that had been organized in Wyandotte. It proposed another line from the corner of Fourth and Main street by the way of Fourth and Walnut to Fifth, thence by Fifth to Grand avenue, thence to Independence avenue, thence to Forest avenue, and thence southward to Twelfth street.

About the same time there was organized the Union Depot Company. Its line was to run from the Exposition grounds on Twelfth street to Grand avenue, thence to Eleventh street, thence to Main street, thence to the junction of Main and Delaware, thence down Delaware to Fifth, and thence to Walnut. Another part of the line was to start from Sixth and Delaware, and run along Sixth to Broadway, thence to Fifth, thence down Bluff and Union avenues to the Kansas stock yards. Part of this line was built in 1873 ^^^^ at the same time the western part of the Jackson county line, and in connection with it the Broadway line from Fifth to Twelfth street. The next year the depot line had some trouble of a financial character, and was sold, when it was bought in by the proprietors of the Jackson county line, and both roads were put under one management, and not long thereafter the Westport road passed into the same management. Since the consolidation of the Jackson county and Depot lines, the latter name has been dropped and that part of the line on Sixth street abandoned and taken up. It is now operated as a double track road from Broadway to Hickory street, and the Delaware and Twelfth street, and Independence and Forest avenue part of the line is operated as a circuit.

The Barge Line Agitation Of 1873

With the beginning of the year 1873 there was a more determined effort made to secure the establishment of barge navigation of the Missouri River. It was proposed now to make an effort to have this matter tested practically, and to that end the Board of Trade appointed a committee to ascertain if barges could be had, and, if so, what guaranty would be required. This committee corresponded with the Mississippi Valley Transportation Company, of St. Louis, then the only party on the western rivers using barges, but got little satisfaction from them. However it was determined to raise a guarantee fund of five thousand dollars, and the money was subscribed.

While these events were transpiring the people of St. Louis were arranging for a convention of western Congressmen in that city, the object of which was to awaken a more general interest among them in the improvement of western rivers, and especially the Mississippi. This convention was held May 13th, and. the Kansas City Board of Trade was invited to send delegates to attend it. The Board accordingly appointed as such delegates, Col. R. T. Van Horn, Col. James E. Marsh and Hon. H. J. Latshaw. Col. Van Horn could not attend and so appointed as his substitute the commercial editor of the Journal, of which he was editor. This gentleman had a personal acquaintance with Charles Davis, then editor of the St. Louis Globe, a new and very enterprising paper which as yet had no record on the question of Barge Navigation of the Missouri River. During the three days he remained in St. Louis, in attendance at the convention, he furnished Mr. Davis with three editorial articles on Barge Transportation on the Missouri from a St. Louis point of view, strongly favoring it as a St Louis enterprise. The other St. Louis papers which the year before had ridiculed the idea, now indorsed it. The "Old River Captains" were quoted in its favor, and singular as it may seem the Kansas City papers which the year before had opposed it as chimerical republished all these articles from the Globe approvingly, and urged the movement already on foot to secure a practical test. Soon afterward the Board of Trade committee was able to make a contract with the Mississippi Valley Transportation Company, to make the trial trip on a guaranty of $2,700. It was now a very unfavorable season of the year. There was httle grain, which it was proposed to load the barges with, remaining in the country, and the water was getting low. By the time all these difficulties could be overcome, and a load of grain secured, it was found that proper insurance to protect the grain, could not be had and its owners would have to take the risk themselves. This led to an abandonment of the effort.

The Panic Of 1873

Mention has been made in several places in this chapter of the financial panic of 1873. It is not necessary here to discuss the causes that led to that event further than to remark that it was the result of the inflated condition of prices which had prevailed since the war, and a most unwise contraction of the national currency by the action of the Secretary of the Treasury. It was precipitated in September by the failure of the banking house of Jay Cooke & Co., of Philadelphia, and immediately spread to all parts of the country, causing a sudden suspension of nearly every bank in the land, and the collapse of prices to an equality with the contracted volume of the currency. The banks in Kansas City suspended payment on the 25th of September, and for a time nearly stopped all business by the locking up of the funds of their customers. This action of the banks, however, was rendered necessary by the suspension of their correspondents east. At that season of the year the movement of currency was to the west, and for them to have continued would have resulted only in paying out what currency they had on hand, which would have been done in a day or two, when they would inevitably'have gone into bankruptcy. The merchants held a meeting at the Board of Trade that day and adopted resolutions approving of the course taken by the banks, and pledging them their cordial support in whatever efforts they might adopt to remedy the difficulty. In a few days new accounts were opened by the banks with their customers, and new checks were paid from the new deposits, the banks promising to pay old deposits as speedily as possible. This arrangement was acquiesced in by the people, and soon business was resumed, though on a much restricted scale.

The First National Bank was at this time the one of chiefest interest to the people. At an annual election in the winter of 1S72, Howard M. Holden, Esq., had been elected president, having previously been its efficient cashier. By his enterprise and liberal management he had advanced the bank to a leading position, and at this time it was the chief dependence of the live stock, packing, and grain interests, which were now considerable, as will be shown in succeeding chapters, for money with which to move the products of the country. It was accordingly determined by the stock-holders, who were all business men of Kansas City, to strengthen it, and to that end its capital was increased from $250,000 to $500,000.

The effect of this panic was to cause great depression in local improvements and town development, attended with a decrease of population, and the city did not recover from these effects until 1876; otherwise it was an advantage, for in the depression caused in the surrounding country it led merchants to trade here much more largely than they had done before. In their depressed situation they felt the importance of buying nearer home than they had been accustomed to do, so that they might not have to carry such large stocks, and so that they could turn their capital oftener. For the same reasons a closer market became desirable to country shippers of all kinds, which caused Kansas City markets to be more liberally pationized. The same causes affected banks, and after the panic a much larger number of the banks in the adjacent parts of the country, and some in Colorado and Texas, began to keep their deposits here. Hence the effect of the panic was to cause a development of trade and the markets, and make Kansas City much more of a financial center than she had ever been before.

Opening Of The Indian Territory

The depression which, it was evident from the first, would follow the panic, led the people to look about them for means of relief. One thing suggested was the opening of the Indian Territory to settlement, which would cause a large immigration, and create population for Kansas City to trade with. This was not a new idea at that time, having been embodied in a bill for that purpose, introduced into Congress in 1868, by Colonel Van Horn, while representing this district in that body ; but it was revised at this time, hoping that the effort might now be attended with better success. To this end, the Board of Trade joined the National Board of Trade, and caused to be entered upon the official programme of that body, for discussion at a meeting to be held in Chicago, in October, the following resolution, which, it was hoped, might receive the sanction of the National Board, whose indorsement was relied upon, to give the proposition strength in Congress :

Whereas, It is the duty of the Government and people of the United States, to inaugurate and execute such a policy toward the Indian tribes, occupy-

Whereas, Experience has shown that the Indian tribes may be assimilated to the prevailing civilization of the country, and be gradually brought to a recognition of the highest social and civil relations of life. And

Whereas, By the exclusive occupancy of the Indian Territory, under tribal laws, the hand of industry and the arts of civilized life have been excluded trom a large area in the midst of the continent; an area rich in agricultural and mineral resources, with highly favorable climatic advantages ; and whose exhaustless treasures need to be developed, to supply the surrounding and incoming white population now pressing into the southwest, and thus contribute to the prosperity of the whole country. And

Whereas, The enlightened and cultured among the tribes have indicated their unequivocal desire for the presence of our civilization in their midst, as a powerful ally in their struggle for a higher social and civil life. And

Whereas, The President of the United States, in a late annual message, invoked such legislation by Congress as will contribute to those high purposes. Therefore :

Resolved, That Congress be and is hereby respectfully memorialized to establish, without delay, a Territorial Government over the country known as the Indian Territory, bringing the people thereof under the laws and jurisdiction of the United States, on such an equitable basis as will secure - ist. A homestead to the head of each Indian family, the title to which cannot be alienated, for a designated term of years. 2nd. The sale of the remaining lands on such terms as will induce the rapid settlement and development of the Territory ; the proceeds of said sales to be held or invested by the Government as a fund, the interest on which shall be distributed annually and equitably among the several tribes. 3rd. The establishment of free schools, to the end that the Indians may learn the arts and occupations of civilized life.

Col. James E. Marsh and Hon. H. J. Latshaw were selected as delegates of the Board of Trade to attend the meeting of the National Board in Chicago, and urge the adoption of these resolutions. It was not reached at that meeting, but was reached at an adjourned meeting held in Baltimore, in January, 1874, which was attended by Col. Marsh and Col. Van Horn, at which it was adopted and sent to Washington to be presented to Congress and urged upon the attention of that body. At the election in the fall of 1874 Hon. B. J. Franklin, of this city, was elected to represent this district in Congress, and as soon as he could, under the rules and usages of the house, he took up this subject and introduced a bill for the purpose indicated in this resolution, but with no better success than had attended the efforts of Col. Van Horn.

The New West

At a session of Congress in 1873, the Senate created a commission to inquire into the transportation facilities and needs of the country with a view, it was understood, of taking such action, looking to improvements as the country might need. Hon. WiUiam Windom, of Minnesota, was chairman of this commission. The people of Kansas City watched its movements with great interest, hoping for an opportunity to lay before it the needs of improvements in the country in which she was interested. Learning that the commission would hold a session in St. Louis, the Board of Trade appointed Col. Van Horn and Gen. W. H. Powell to attend it, and lay before it the needs of this country. These gentlemen prepared an address far that purpose which, on account of its able and accurate recital of existing facts, at that time, has great historical value now. It is, therefore, inserted here entire. It should be remarked that it was in this memorial

Gentlemen: - The Board of Trade of Kansas City desire to represent to your committee the needs of the country comprehended by its commerce in marketing the products of its soil and receiving the merchandise consumed by it in exchange.

The country in question is new to the commerce of the Union - its importance dating from the close of the late civil war - its population in that time having increased at a moderate estimate one million in number.

It embraces Western Missouri, Western Iowa, Nebraska, Kansas, Colorado, the Indian Territory, Northwestern Texas and New Mexico - covering twelve degrees of latitude, sixteen degrees of longitude, and comprises an area of m'ore than 600,000 square miles.

This vast district of country has but one navigable river - the Missouri - and its lines of commerce are thus exclusively by railway, except the limited margin on either side of that river.

The system of railway construction for this interior region - the geographical center of the United States and of the continent - is, so far as the great trunk lines are involved, very far advanced, and are concentrated at the mouth of the Kansas River, the nearest and most available point for all the country to the navigable waters of the Missouri River - as you will see by the map.

The agricultural portion of this part of the Union embraces the portions of Missouri and Iowa referred to, the States of Nebraska and Kansas, and the Indian Territory, and is of a more uniform character in quality and production than any equal area on the globe. The soil is of exceptional fertility, and the official report by the census of 1870 shows it to embrace the largest and most productive corn and winter wheat area in the world.

It also embraces the only natural pastoral region in North America, where, from time beyond the knowledge of this continent, have been subsisted the countless herds of aboriginal cattle, exceeding in number the domestic herds of the globe. These are now being supplanted by the cattle of civilization. The present season has brought together for market, at the several points in Kansas, on the feeding grounds of the Kansas City stock market, over $7,000,000 worth of grass-fed cattle alone.

In addition to this, a careful computation from the crop statistics of the census of 1870 shows that for the year ending June of that year there was produced in this region 56,452,116 bushels of wheat; 631,353 bushels of rye; 89,- 236,854 bushels of corn; 24,367,214 bushels of oats ; 1,429,946 bushels of barley ; 1,856,138 tons of hay; 6,235,366 pounds of tobacco.

In live stock it produced: Of hogs, 2,566,185; cattle, other than exclusively grass-fed, 533,833; of grass-fed, 2,061,343; exclusive of the Indian Territory where there are large herds but from which there are no returns; of mules, 116, 585; of sheep, 2,233,326; of horses, 835,833.

The value in soil products of the amount produced by these figures, at the current market rates paid at Kansas City this season, would amount to $85,228, 837. And the live stock, at a low average per head, are in value $26,557,630'

A country thus productive, and which has become so practically within seven years, and which has seen its three most productive years since the census figures were obtained, is, we most respectfully submit, entitled to be heard on a question so vital as that for which your committee was raised to inquire into and report upon - transportation.

And we approach this part of the subject with the statement - that, as compared with other portions of the Union affected by both the foreign and domestic markets, it is pratically cut off from both, and in times of abundant crops its products do not admit of shipment with profit to the producer - only when prices are high, induced by failure of crops east of the Mississippi or in Europe, or both, can its grain be profitably transported to the Atlantic seaboard by present facilities.

From Kansas City, the converging point of the principal great trunk lines, to New York is by rail fourteen hundred miles, being nearer to that city than from any point of the Missouri River above the mouth of the Kansas, and for this reason taken as the standard of computation.

Taking the rate of transportation by rail, as we find it in the documents printed by Congress, 10 be twelve and a half mills per ton per mile, we find that the cost of a bushel of sixty pounds, from Kansas City to New York, would be fifty-two and a half cents - or eighty seven and a half cents per one hundred pounds for all products.

This we may assume to be the rate by all rail, and for our corn and pork, which come into market after the close of navigation, rail transportation is our only dependence. As to corn, it is quoted the day on which this is written in New York at fifty-eight and a half to sixty cents per bushel - leaving to the farmer, the shipper and for all expenses of getting it in the car at Kansas City, a margin of six to eight cents. Is it strange that it is burned for fuel to save the destruction of timber? and cheaper than coal at cost of mining and delivery?

It is unnecessary to lengthen the argument by parallel illustrations as to other products, as this one affecting our great staple is sufficient - everything being governed by it.

Natural Outlets

But these disabilities can be remedied. They are artificial, and result from causes which are susceptible of remedy - and which have been in great part removed by private and corporate enterprise.

And we are before your committee to day because it is proposed to devise a general system of relief for the whole country, by opening up cheaper channels of transportation by the common fund of the nation. And because what is needed in this respect by us can only be done under national authority.

By Galveston Harbor

From Kansas City to Galveston it is now eight hundred miles as the railroad are constructed, but which can be reduced within seven hundred miles - or just half the distance to New York. It is as to cost of transportation, as if Kansas City was removed east to Columbus, Ohio. The question as it addresses itself to us is :

"Why should Kansas City, and the country surrounding it, with its one hundred millions of annual production be compelled to seek the market through

History Oe Kansas City

If the port of Galveston was made accessible for ocean going vessels, the wheat and corn of the Missouri Valley could seek the ocean at twenty-six and one-fourth cents per bushel, and pay the same rate it does to-day to New York at fifty-two and a half cents - adding a quarter of a dollar to the price of the 150,- 000,000 bushels of these crops, produced in 1870 - or more than $28,000,000 to the farmers of this New West every year.

Then the country embraced in this central portion of the nation would be, as to foreign markets, as favorably situated as the States of Indiana and Ohio, and our rich lands increased in corresponding value.

And why the national treasury should not improve this harbor equally with those of the lakes and Atlantic seaboard is, we submit, not a question for discussion. Its need is all that requires to be established. And this we feel our illustration and the facts recited most conclusively establish.

By The Mississippi

The navigation of the Missouri River by barges, its seasons of low water and ice - and the low water and ice of the Mississippi River above the mouth of the Ohio.

The cost of shipping grain, per bushel, from St. Louis to New Orleans may be fixed by present facilities, at a high stage of water, at eight to ten cents It may be brought to a lower minimum, but we prefer to be within actual figures, as demonstrated in practical transportation.

At present, as the channel is in the Missouri, it would require lighter tonnage in vessels, and thus the cost be somewhat enhanced over the same distances in the Mississippi. We depend entirely upon conjecture when we put the cost from Kansas City to St. Louis, by barges, at about the same figures - or in all about 16 to 20 cents per bushel from Kansas City to New Orleans.

This would be a saving to ocean ports, over the present rates to New York, of 32)^ cents for all grain for European demand, and of 22^ cents to New York itself, counting ten cents from New Orleans to New York.

We know, it is claimed, and we believe within the limits of practical demonstration, that these figures can be materially reduced, but we prefer to take what has been done, as it is ample to command consideration - leaving to the future and mutual enterprise to reduce the cost by both routes. The point we desire to enforce being the relative cost between the two - ^both being susceptible of farther cheapening.

The Missouri River has not been tested by being navigated by grain barges in tow of steamers, as has the Mississippi between St. Louis and New Orleans. It is believed by practical men that it can be so used successfully, and we have so considered it in estimating the cost of transportation. But frankness requires us to say that it has yet to be demonstrated.

But conceding that it is so, it is insufficient as an outlet for the products of the vast area of country dependent upon it. And for these reasons :

From August until the close of November is the low water season, when the channel contains but from three and a half to five feet of water. From the last week in November to the middle of March, navigation is suspended by ice. True, in some seasons the interruption from this cause is more brief, but there is no safety within that period, and even by steamboats, it is seldom attempted, until

Our corn crop is never ready for shipment until ice has closed the river, and our pork crop, made from it, necessarily so, as well as most of the beef - although a portion of this can go forward before ice is formed. The wheat, in part, may go before the close of navigation, but so far as the Missouri can be availed of, most of our products must lie in store until the opening of navigation in the spring.

The same obstacles await us between St. Louis and Cairo - both from low water in the autumn months and ice and low water during those of the winter.

The general result arrived at by these facts and figures is, that this central area of the country has a common interest with the whole Mississippi Valley, in the removal of obstructions to navigation in the channels of that river and its tributaries, and the removal of the barrier at its mouth, as the cheapest and most available outlet to the markets of the world.

But confined as we are to the one river, the main dependence for gathering the crops and concentrating the products of the agricultural lands for transport is, and for all time must be, upon the railway And for fully one-half the year, we must use the railroad to reach the Mississippi ; and to fully utilize that river, it must be reached by rail below the mouth of the Ohio, where an open channel and deep water can be found throughout the year.

The Mississippi At Memphis

Private enterprise has already fixed upon the point for this connection at Memphis, and the work of constructing a railroad from Kansas City to that city begun - the first hundred miles being well advanced, and the work going forward at this time. The importance of this connection, and the aid of your committee, and through you of Congress, will be seen from the considerations we present.

In the season when the Missouri is closed, it is by rail to St. Louis, 283 miles, and from St. Louis to Memphis, 319 miles; 602 miles by rail from the mouth of the Kansas to Memphis, where the permanently open river and deep water is reached.

The upper Missouri Valley can thus reach the Mississippi River below ice, and at permanently deep water, by 200 miles less by rail transportation than as now employed by way of St. Louis.

By employing 107 miles longer rail transit than at present, 450 miles of river are saved, as against the route by St. Louis; 'and by employing 212 less miles of railway, the same point is reached by all rail, as now. And in both cases the only obstacles now existing are completely and entirely overcome.

This obtained, and uniform, freights throughout the year are secured, or, if there is any difference, the winter freights will be lower than the summer, from the fact that the boats that are driven from the upper rivers by ice, will seek the lower Mississippi for winter employment, making tonnage more abundant than in the summer.

Then with the obstructions at the mouth of the Mississippi removed, or avoided, ocean steamers could land at Memphis just as freely as at New Orleans, and grain be loaded direct from the elevators, and shipped either to New York, Philadelphia, Boston or to Europe ; and the flour made from our winter wheat, equal to any in the Union, be shipped by the shortest route to the West Indian and South American markets.

It would practically place our grain port within four hundred miles of the mouth of the Kansas, and give us both for export and import the lowest rates, and uniform at all seasons.

Taking the same rates of charges on freight by river and rail, as we have used above, we could by this proposed route place grain in Memphis at 15 cents, in New Orleans at 20 cents, New York at 30 cents, and Liverpool at 35 cents per bushel - or even by rehandling at New Orleans in addition to Memphis, it would only make the cost of our grain at New York and Liverpool 35 and 40 respectively; or a saving over present rates to Europe of 36^ cents for every bushel of the grain of western Iowa, western Missouri, Kansas and Nebraska.

At this writing, grain from St. Louis to Memphis costs 22J4 cents per 100 lbs., or about 14 cents per bushel. To New Orleans by barge, 30 cents per 100 lbs., or 18 cents per bushel. By barge from Kansas City at corresponding rates to those now paid, grain at Memphis would cost 20 to 22 cents, and at New Orleans 24 to 26 cents per bushel.

But with railroad to Memphis to-day, we could save 5 to 7 cents at the rates now charged on the Mississippi River ; and this saving would hold good pro rata on any reduction which improved facilities in transportation might give in the future.

It is thus demonstrated, not by presumptive figures and contingencies in the future, but upon actual prices, as paid today, that with railway connection between the Missouri River and the Mississippi - at the mouth of the Kansas and at Memphis - the surplus of our annual product of 146,000,000 bushels of grain can find its cheapest and most available outlet to market.

The Missouri river, down stream, is not safe for navigation by night, and has never been used by steamers descending the river - the practice always, and made imperative by the rules of the underwriters, being to land and remain at moorings during the darkness. It would require from three to four days for a fleet of barges from Kansas City to reach St. Louis, and longer in proportion to distance from all points above ; while changing cargo at St. Louis and thence to Memphis, would require eight to ten days' time for our grain to reach that point.

Cars could be loaded at any point on the railroads of the upper Missouri, or from the elevators at Kansas City and unloaded into vessels or elevators at Memphis in from thirty-six to forty hours, thus adding largely to the profit of shipment - saving a week in tiime and the high rates of insurance above the mouth of the Ohio and in the Missouri River.

There is but one more proposition in this connection to discuss, and that is the point on the Missouri River at which the railroad connecting with the Mississippi should commence. We have assumed it to be at the mouth of the Kansas River - and for the reasons.

It has been so recognized by becoming the converging point for the great trunk lines of railway already built and in operation - being to-day the commercial center of all the country embraced in this memorial.

The Missouri River, below the Kansas, is open for navigation later in the autumn and earlier in the spring, making a month's difference in navigation, in some seasons, over points above, and having a larger volume of water, is safer for river craft and heavier tonnage than above the mouth of the Kansas.

And it is the nearest point at which the Missouri River can be reached for all the country west and north - the distance being increased from either above or below, as the map will demonstrate.

We have thus briefly laid before you the leading facts in regard to the important portion of the common territory of the Union, with which we are bound up in common interests and in common destiny.

We have demonstrated that as a meat and wool-producing region it surpasses any other portions of the United States - and that as yet it is in the infancy of its development in this respect.

We have not averted to its wealth in iron, coal and lead - for the disabilities under which its agricultural labors are immediate and pressing - but in all these mineral resources it is equal to any portion of the Union.

We have shown how by two natural and near outlets it can be placed, as to markets, on a footing with the most favored interior districts of the Union.

And we claim that if so favored, and its products allowed to reach a market, that the effect will be not only beneficial to its own people, but will open up to the industrial masses of other portions an abundant and cheap supply of all the staple elements of food, both now and in increasing volume for all time to come.

3. To aid in securing a connection with permanent deep water and permanent freedom from ice with the Mississippi, as indicated, by railway from the mouth of the Kansas River to Memphis.

As to the latter, we can see no difference between connecting commercial points by rail and by canal. And we are thoroughly convinced that in all the projects submitted to you for the better accommodation of the different portions of the Union, there has been no one proposed conferring so large benefit upon such important interests and so large an area of country, that can be afforded at so small a cost to the National Treasury as this.

Were it within the scope of this memorial, or within the purposes for which your committee has been raised, we could demonstrate that what we ask, to thus connect us with the Mis^issippi, can be fully accomplished, and that speedily, without the expenditure of a dollar in money by the General Government.

And upon a favorable consideration of the matters herein presented, and its recognition by your committee as deserving the attention and consideration of Congress, the method by which it can be thus accomplished will be laid before that body through your committee.

Free Mail Delivery

The only other movement of importance undertaken by the people of Kansas City during the year 1873 was to secure a free delivery of mail matter in the city. Congress, on the 3d of March of that year, had enacted that this should be done in cities that in 1870 had a population of over 20,000. On the 17th of May the Board of Trade memorialized the Postmaster General to establish a general free delivery in Kansas City, and by means of this memorial and other efforts, it was secured and put into effect on the ist day of July, the number of carriers then employed being eight.

The Water-Works

The subject of water-works presented itself again early in 1873, ^^^ th^ Legislature was induced to pass a bill specially authorizing Kansas City to make a contract for the construction of water-works. This bill was passed March 24th, and was regarded as havi- g conferred upon Kansas City such powers as would enable her to offer acceptable terms to some party of capitalists. The National Water-Works Company, of New York, soon became an appHcant for the contract, and on the 27th of October, after the matter had been much discussed, the city council adopted an ordinance which became a contract between the city and the National Water-Works Company. The company began the work early in 1874 and completed them in 1875.

On the 3d of March the Legislature adopted amendments to the charter of the city, whereby its boundaries were enlarged. The limits fixed in this charter were as follows : Beginning at the river at the intersection of the State line, thence running southward along the State line to Twenty-second street ; thence east along the half section line dividing sections seven, eight, nine, to Woodland avenue; thence north by Woodland avenue to Independence avenue; thence west to the half section line dividing section thirty-three, and thence north to the river. This is the present Hmits.

At the same time the city wards were re-established. The First ward was made to include all that part of the city east of Main street and north of Independence avenue; the Second all that part east of Main street between Independence avenue and Thirteenth street east to Campbell street, and from thence to the east limits, all between Independence avenue and Twelfth street ; the Third, all east of Main street and south of Thirteenth, and of Twelfth street east of Campbell, to Twentieth street, and from thence all east of the quarter section line which runS along the alley between Main street and Baltimore avenue; the Fourth ward lay west of the Third, and extended to the city limits on the south, and to the State line on the west, and its northern boundary was Thirteenth street from Main west to Summit street, then Mulkey west to Dripp street, and Twelfth street from Dripp to the State line; the Fifth ward was all north of Fourth and west of Main street to Penn street and a line in continuation of Penn street from Fifth, street to the river; and the Sixth ward was all west of the Fifth and north of the Fourth.

In the spring of 1874 the Topeka, Lawrence & Kansas City Railway Company, heretofore mentioned as organized at Topeka in 1872, for the purpose of building a road to Kansas City, gave way to a new company called the Kansas Midland Railway Company, of which a number of the officers of the A., T. & S. F. were members, and by August the road was built to Lawrence.

In October the Kansas City company contracted with the Midland company to build the Kansas City end of the line, and it was completed in the following

December. Previous to this, in August, the Atchison, Topeka & Santa Fe company began to run its trains to Kansas City by the way of the Midland to Lawrence, thence over the Lawrence & Pleasant Hill Railroad, which was built in 1872, to Olathe, and thence over the Missouri River, Fort Scott & Gulf to this city.

The M., K. & T. Railroad And Galveston Trade

The same week in August that the Atchison, Topeka & Santa Fe Railroad began to run its trains to Kansas City, the Missouri, Kansas & Texas Railroad began to run its trains here also. This came about in this way : This road had been completed to Denison, Texas, the winter previous, where it made connection with the Texas Central for Galveston. Kansas City availed itself of this fact to make an effort, now that it had such connections with Galveston, to realize the old dream of 1856, to effect an outlet by that port to the markets of the world.

In May, 1874, Dr. Edward Dunscomb presented the subject to the BCard of Trade, which, together with the city press, took it up. In the latter part of that month the Board of Trade sent a delegation to Galveston .to investigate the situation. They were received with many manifestations of pleasure by the people and commercial organizations of Galveston. This delegation consisted of Dr. Edward Dunscomb, Vice-President of the Board of Trade, Col. Jas. E. Marsh, Col. R. T. Van Horn, Dr. M. Munford, T. J. Bigger, A. C. Dyas, B. A. Feineman, M. Dively and Maj. G. W. Branham. These gentlemen left Kansas City, May 12, and after about a week's absence returned and submitted to the Board of Trade the following report :

Gentlemen : Your committee appointed to visit the cities of Galveston and Houston, in Texas, and such other points and parties as might be necessary to the object in view - direct trade with the Gulf of Mexico and the export of the grain of this region of the West - have performed that duty, and beg leave to report what has been accomplished.

The committee left Kansas City on Tuesday evening, May 12th, at 5:15 p. m., and arrived at the city of Galveston on Thursday, at three p. m. - forty-six hours - two of which were consumed in Fort Scott - making the actual running time forty-four hours between the two cities.

The committee was most cordially and hospitably received by the city authorities and the commercial interests of Galveston, which was during our stay, incessant and uninterrupted - every facility on land and water was afforded in furthering the objects of our visit - ^and we can say in brief, that our stay was made as pleasant as profitable, and crowned by a hospitality and friendly co-operation that admits of no qualification - and for which your committee and your board can not be too grateful - and has incurred an obligation which we trust the future will soon enable us to reciprocate.

In the city of Houston we were met in the same open-handed and generous manner. The mayor, the city authorities, the merchants, the manufacturers, the navigation interests - all met us with a hearty hospitality, and an active sympathy with the purpose of our visit, that supplemented in every particular and to the fullest extent the reception given us by their sister city.

The Houston and Texas Central Railroad, through their superintendent. Gen. J. Durand, met us at the line of the State, and tendered us the privileges of their various lines during our stay, which enabled us to visit the capital of the State, and see the most thriving portions of Texas. We desire to acknowledge, in this formal manner, our obligations to this road for courtesies in all respects and at all times, and which largely contributed to the purposes of our visit.

Col. R. S. Stevens, general manager, and the Missouri River, Fort Scott & Gulf Railroad, through Maj. B. . S. Henning, superintendent, for like favors and courtesies.

The Results Of Our Visit

The object in view, for which the committee was raised was - direct trade with the Gulf, and particularly the shipment of grain from Kansas City and the Missouri Valley.

The merchants of Galveston, the ship owners, the shipping agents, the capitalists, the harbor interests - all met us with every assurance that could be desired - low rates of freightage, facilities for transferring grain from cars to ships, adequate to fully test the capabilities of the route, and ample capital to handle all that may be sent. The facilities at Galveston now existing afford the means necessary to a full test of the advantages offered by that port. The cars run within a few feet of the ships at the wharf, and in all cases are at a higher elevation than the decks of the ships, thus unloading by gravity, and rendering all cartage, or carrying by stevedores, or lighterage unnecessary.

It will require at the beginning, or in the first shipments, some care in timing the shipments, so that delay may not take place in transferring from cars to steamers and ships, until the facilities for a large and constant grain trade are provided.

In calculating the practicability of handling our grain with profit, we laid before the merchants of Galveston the present rates from Kansas City to New York, Baltimore and New Orleans, the distances by rail and by water, with all the facts and elements involved in the various routes. And taking rates for distance, they unhesitatingly announced not only their willingness but their ability to handle our grain profitably. And as an earnest of their feeling in the matter, two orders were given, for a cargo each, to members of your committee to be forwarded at any time.

At Houston we were met in the same spirit. The water route from Houston to the waters of the bay of Galveston is by Buffalo bayou and the San Jacinto River, which is now navigable for boats of the class of our Missouri River steamers, and from some six miles below the city has ample water to the bay, at which point there is nearly completed a ship canal to the outer bar of Galveston harbor - thus, when completed, making a water route of the depth of the bar from the City of Houston.

As all freight for the gulf must go to Houston, the advantages of this open channel must be apparent at a glance - as it gives competition at once, and a choice of routes, as well as of increased facilities for the rapid transit and speedy shipment of grain that may be sent forward. Not only this, but it will aid in stimulating effort, and be the means of an earlier development of the trade in question than probable with but a single port and a single route to it.

Your committee are pleased to say that they found both at Galveston and Houston, only a spirit of emulation as to which should do most to inaugurate this important trade - the rivalry being that of enterprising men intent upon the general good to their respective cities and of Te.xas, and not a local jealousy that is too often found in similar situations - a broad and generous policy which the committee cannot but commend to our people and our neighbors.

And lastly to crown all these favorable conditions and prospects, we were met by the controlling authorities of the Central Railroad with a spirit of fairness and enlightened policy that makes all that had heretofore promised so much, an assured fact.

miles of the eight hundred between this city and the Gulf - from Red River to Houston - and without its co-operation the dififiqulties would be insurmountable. They had studied the situation well and thoroughly, as we found when the conference was held with your committee, and they summed up the whole question, when Vice-President Baker closed his remarks with the declaration - ' ' We will make a rate that will compel the shipment of your grain to the Gulf." This declaration was made with full reference to existing rates to other seaports, and designed to cover the whole case.

Of necessity, no rates specific at this time could be given or asked, as a conference of the Central with connecting lines will be necessary, not only to establish through rates, but the other details necessary for the working of all hnes over which the traffic is to pass, both for out-going and in-coming transportation. But so far as the lines in the State of Texas are concerned, we are warranted in saying that all obstacles are already overcome - and business may commence at once.

It does not come within the purpose for which the committee was raised, to go beyond the simple question of grain transportation and export - nor is it necessary to enlarge upon the general advantages and commerce to flow from the successful opening of such trade. We need only advert to that question and say that at Galveston, at Houston, at Austin, and from merchants and business men from all portions of that Empire State, which we met at the State fair, we found the liveliest interest in the establishment of a more direct and intimate commercial relations with Kansas City, and could have spent a month in travel and intercourse with her cities and towns had we accepted half the invitations pressed upon us.

This is a suggestive fact to our people. There is really no conflict in productions of Texas and the Missouri Valley. They want what we produce and we need what they grow - it is an exchange oif commodities that await both, not a competition in products. And we being nearer to them than any country of similar production, can sell them cheaper than they can obtain elsewhere, and they being nearer to' us than any seaport, can supply us at the ininimum cost. And the day is not far distant when Texas will furnish from her own soil all the sugar needed in the Kansas City market.

In conclusion, your committee do not deem it foreign to the subject to advert to the early policy of Kansas City in the direction of trade direct with the Gulf of Mexico. As early as 1857, a railroad charter was obtained for that purpose, out of which has grown the Cameron road, the bridge and the Fort Scott & Gulf road. In 1865, a like committee, on the part of the city, was mainly instrumental in securing, at the great Indian council at Fort Smith, a treaty concession for a road across the Indian Territory, upon which the Missouri, Kansas & Texas road was constructed - now happily at last a Kansas City road. Many were the obstacles from the beginning that have intervened, but practical courage and persistence have at last won the great object, the consummation of which may date from this day ; and, though the struggle was long and trying, yet the results achieved are worth it all, and Kansas City may now look forward to a future that will repay discounting a hundred per cent beyond any of her achievements in the past !

Congratulating your board, the people of our city and the entire Missouri valley, upon the auspicious beginning of a new era in their prosperity, your committee ask to be discharged.

return visit to Kansas City, where they were banqueted and then taken to Colorado and back by our citizens. The result of this interchange of visits was that the business men of Houston and Galveston united with those of Kansas City in an effort to bring about an arrangement between the Fort Scott and M., K. & T. R. R. and the Texas Central Railroad, by which there might be an interchange of business between the people of Kansas City and those of Texas, and by which Galveston might be made a seaport for all the New West. It was through the success of these efforts that the trains of the M., K. & T. R. R. came to be first operated to this city - the same week in August that the Atchison, Topeka & Santa Fe was completed here. For several years afterward there was a continuation of the effort on the part of both the people of Kansas City and of the Texas cities, to secure modifications of the railroad arrangement which would facilitate business ; and, though much success attended these efforts, there were difficulties in the way of complete immediate success that the cities and the railroads could not at once overcome. There were business connections established, however, during these visits, that have continued and increased until there is a fair share of the Texas trade enjoyed by Kansas City

The infection of this movement was caught by the up river towns, and in January, 1875, Kansas City was visited by a delegation from Omaha, Council Bluffs, Plattsmouth, Nebraska City and St. Joseph, who were on their way to Texas, to seek an opening of trade relations with the people of that State, and to give additional strength to the movement already initiated by Kansas City. They were warmly received and sent on their way with words of encouragement. While here they united with the people of Kansas City, through the Board of Trade, in a memorial to Congress praying for the opening of the Indian Territory.

The Grasshopper Invasion

The invasion of Kansas, Nebraska, Colorado and Western Missouri, by the grasshoppers; or more properly speaking, the Rocky Mountain Locusts, in 1874, occurred in the month of August; and was fraught with great disaster to the agricultural interests of those States and to the trade of Kansas City. The locusts came in immense clouds and literally covered the territory mentioned. Their first appearance was generally at a great altitude, flying from the northwest to the southeast, and their appearance was that of a snow storm. Sometimes they were so numerous as to darken the sunlight. They settled gradually to the ground, when their voracity soon made itself apparent; whole fields of green corn being destroyed in a single day. Nothing escaped them; there appeared to be nothing they would not eat; at least there was nothing that they did not eat; and in their progress they left the country nearly as bare of vegetation as if it had been scorched by fire. By the time they reached the Missouri River section, vegetation, at least the crops, was too far advanced for them to do material harm, but on the frontiers, where they appeared earlier, and where the new settlers' dependence was a crop of sod corn, necessarily late and immature, their destruction was great and caused much suffering during the following winter. They matured sufficiently to begin to deposit their eggs when about fifty miles west of Kansas City, and continued until they had advanced to about fifty miles east of it. Hence, in the spring of the year 1875, ^ "^^ '^'"OP ^^^ hatched to infest the country, and they proved no less voracious than their progenitors of the year before. A district about a hundred miles wide extending southward from Kansas City a hundred miles and northward to the British possessions, was kept as bare of vegetation as midwinter until June of 1875, when the young brood suddenly took wing and disappeared as mysteriously as their progenitors had appeared, going in a northwesterly direction. The effect of all this was to cost the larger part of the country united by them the bulk of a year's crop, part of it in the

Early in the winter of 1874-5 i' ''^^s ascertained that there was great suffering among the people of western Kansas from this cause, and organized efforts for relief began to be made. The east was appealed to and responded liberally. Kansas City organized a local association in January, which collected and forwarded such aid as our people could give.

Disastrous as this calamity was to the people of Kansas and to the trade of Kansas City, it had its compensation for Kansas City, in the development it gave to her infant grain market. The loss of Kansas crops in the fall of 1874, made it necessary for the people of that State to import grain from Iowa and Missouri in the spring of 1875. This opened a profitable field for business in Kansas City, and enlisted men in the grain trade who probably would not otherwise have put money into that line of business. The result was that the men and the money to make an excellent little grain market in Kansas City became interested in the spring of 1875, and as the crops of Kansas for that year promised more than usual abundance by the time this importing trade ceased, they continued in itj to handle the exported product in the fall. This circumstance, disastrous as it was, put the grain market of Kansas City on its feet, and secured it that definite organization which only years of labor could otherwise have attained.

The Events Of 1875

The year 1875 was not fruitful of new enterprises. With the shadow of the panic of 1873 s'i" resting upon trade, and the depression resulting from the grassliopper plague of 1874 and 1875, there was a tendency, on the part of the people, to await the revival of times and the growth of new crops.

A Revision Of The City Charter

In the depressed state of affairs resulting from the panic of 1873 to the beginning of the year 1875, city taxes were collected with difficulty, and it was found difficult by the city officers to pay the interest on her bonded debt, small as it was, and preserve her credit. The First National Bank and the Mastin Bank had tided the city over to this time, by taking and holding its paper ; but the load began to be too heavy for them. Accordingly, in January, the officers of those two institutions prepared and sent to the Legislature, a draft of amendments to the charter, which would provide for a more economical and business like administration of city finances. As soon as this bill was introduced into the Legislature the people took alarm. There was, at this time, trouble brewing between the city and the Water Company, in which the Mastins were interested. The people feared some scheme in the proposed bill that would give the Water Company the advantage, and hence became very much excited. A copy of the bill was sent for, a public meeting was called, and it was examined and condemned. The meeting then appointed a committee of thirteen, of which Major William Warner was chairman, to prepare a revision of the whole charter. This was done, and it was sent to Hon. S. P. Twiss, then representing Kansas City in the Legislature, by whom it was introduced into the House of Representatives. This bill, after a most memorable contest, in which the dominant party of the State took sides against the people of Kansas City, finally became a law, and is our present excellent charter. Its definition of city limits and division of the city into wards are the same as now exist. Among its other provisions, it forbids the city to create any debt, and will not allow the Council to appropriate, or the Auditor to issue a warrant for, any money, until the cash is in the treasury, to meet it ; and it provided for the debt by setting apart a sufficient part of the revenues of the city to pay our interest, and most of the bonds as they mature.

The Mint And Smelting Works

In the spring of 1875 Dr. Linderman, director of the United States Mints, was authorized to locate a branch mint in the Mississippi valley. Kansas City at once entered the list with Chicago, St. Louis, Cincinnati and other places as competitor for it. Preparations were made to receive and entertain Dr. Linderman on his visit to the west, and a statement of Kansas City's advantages for such an establishment were prepared and forwarded to him. He was received here in September, and all the information given him that he required. At a subsequent period, February ist, 1876, the Board of Trade sent an offer to the Secretary of the Treasury to donate building and grounds for the mint, but still it was not secured.

In connection with this affair it appeared that one of the difficulties in the way of Kansas City was her lack of smelting works, for which it was believed her ready command of Colorado ores peculiarly adapted her. This caused an effort to supply that defect, but it was not successful at that time.

Other Events

Besides a protest against the settlement of the Sioux Indians in the Indian Territory; some fostering of the Narrow Gauge Railroad to Lexington; some efforts to secure alterations in railroad freight tariffs, and a few other matters of less consequence, there were no other other public movements during the year. The water works were completed and put into operation this year, as was also the Washington Street Horse Railroad. This latter was built and is owned by Messrs. Thomas and Bernard Corrigan. This is a double track road and extends from Main and Sixth streets along Sixth to Washington street, thence to Lykins street, thence to Catherine street, and thence to Seventeenth street.

In July, 1875, the Kansas Rolling Mills were established at Rosedale, four miles from the city. They have since been enlarged, and now do a business of about two hundred tons a day, and employ seven hundred men.

On the 2d of December, the Kansas City Academy of Science was organized with a fair membership. The society has continued annually to increase in interest and importance.

The Year 1 876

The year 1876, like that of 1875, was an uneventful year in Kansas City. Trade at this time had begun to revive, and merchants were active in their efforts to extend their business into new localities in Kansas and Missouri, Colorado and Nebraska. By the middle of the summer, there set in a decided change in the situation of affairs. People began again to come to Kansas City in large numbers, as they had done previous to the panic. All vacant houses were occupied, and rents began to advance before the close of the year. This was the beginning of the era of prosperity which is now upon us.

The Board Of Trade

An important change took place in the Board of Trade in 1876, which becomes a part of the history of Kansas City The grain market, which by this time was considerable, was located, by accident on Union avenue, west of Union Depot, and the rooms of the Board of Trade were under the First National Bank on the corner of Fifth and Delaware streets.

In April, 1876, the members of the board engaged in the grain business, complained of the inconvenience of attending its daily meetings at the room under the First National Bank, where it had been since 1872, and proposed that it remove to the western part of the city where they were located. Other members proposed that they should remove their offices to the upper part of the city, which they expressed a willingness to do, but office rooms could not be had to accommodate them. To remedy this deficiency Dr. Edward Dunscomb proposed that an effort should be made to erect a suitable exchange building containing offices for them. This was assented to, and a committee of thirteen was appointed to devise ways and means, of which Dr. Dunscomb was chairman. This committee finally reported in favor of incorporating and re-organizing the board making memberships permanent and transferable, and fixing them at $ioo each. The money thus raised was to be appropriated to the erection of a building, any balance that might be needed to be borrowed on a mortgage on the property. The plan was adopted, the board incorporated and re-organized May 9th, and ground for the building purchased.

Previous to this there had been no membership fee, but only an annual assessment of ten and twenty dollars, according to the class of business in which members were engaged. Under this arrangment the board never attained a membership of over one hundred and eight, but under the new, it speedily attained a membership of two hundred and eleven. The ground selected for an exchange building was on the corner of Fifth and Delaware streets and cost $15,- 700. Ten thousand dollars was borrowed of citizens of Kansas City, on second mortgage bonds, during the summer, and the erection of the building began in September. It was not completed, however, until the ist of October, 1877, and cost about $47,000. The grain market was moved to it in July, 1877, and has since occupied it.

The Markets And Packing Business

Contemporaneous with the events narrated in the last three chapters, were a series of. active events relating to the development here of the live-stock and grain markets, and of the packing business, which will be given in the next chapter. Their history will also be sketched through to the present time, thus anticipating somewhat the events to be narrated in the chapter following.

City Additions

For reasons already stated, there was not much local growth of the city during the years from 1872 to 1877, and but few additions were platted. The following is the list :