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in mind, also, that San Francisco is in its infancy; that her wharves have been built at great expense; that the sea wall has but just been commenced, and that the law under which this Board was organized contemplates the erection of said sea wall from revenues to be collected from the commerce of the port; that the wharves in Boston are owned by private individuals or companies, competing for the business of the port, and are permanent structures, and from which the owners are only expecting a moderate interest on their capital; that the wages of labor, the cost of material, and all other expenses of conducting a wharf in this port, are much greater than in Eastern ports.

The great necessity for the speedy construction of a sea wall along this water front, and the length of time requisite to build the same, if accomplished with the revenues of commerce, will preclude, in my opinion, the reduction of the charges in any considerable amount. If it should be done, what benefits would accrue to the State of California, or to the city of San Francisco by such a reduction? If it could be shown to the satisfaction of the community that the commerce of this port could be increased by such a change, then such a change would certainly be desirable. It will not be claimed by any one at all conversant with the laws of trade, that such would be the case. It is a well known fact that the commerce of this port is limited in amount, though steadily on the increase, and cannot be forced by any legislation such as is contemplated.. It has been argued by some that if the charges on shipping could be reduced one half, that more vessels would come here to obtain charters, and that freights would be correspondingly reduced, and that farmers would get a better price for their produce. Can it be for a moment presumed by any one at all conversant with commercial affairs, that vessels would be sent here from Eastern and foreign ports in ballast, seeking charters merely because the dockage and other port charges were decreased in the amount of one or two hundred dollars, more or less? I think not. From careful estimates made by this Board, it has been ascertained that it will require at least ten years to build the sea wall, upon the economical plan adopted, if no changes are made in the rates of dockage. If the Legislature should in its wisdom deem it advisable to provide for the issuance of bonds for the construction of said work, pledging the revenues of the port in payment of the interest, and to create a sinking fund to pay such bonds at maturity, it would require very careful consideration to determine, in that event, whether the charges could be materially reduced. By reference to the statutes of eighteen hundred and sixtythree and sixty-four, section eleven, page four hundred and eleven, it will be perceived that this Board now has the power to reduce the dockage twenty-five per cent below present rates, which it will proceed to do whenever in its judgment the interests of commerce will be enhanced thereby, and the objects of the law accomplished. In view of all the facts as within set forth, I am decidedly of the opinion that no legisla tion reducing the rates of charges is necessary, but that the whole matter should be left to the discretion of this Board, which is presumed to have a more thorough knowledge of the subject matter than can be obtained by any parties that have given it little or no attention. In the opinions herein expressed, and the facts set forth, I have the concurrence of my colleagues in the Board, the subject having been fully discussed

on several occasions.

All of which is respectfully submitted by your obedient servant,

S. S. TILTON,

President of the Board of Harbor Commissioners.

REPORT

FROM THE

SAN DIEGO DELEGATION

UPON THE BILL ENTITLED

An Act concerning the San Diego and Gila Southern Pacific and Atlantic Railroad Company, and to extend the time of performing certain acts.

D. W. GELWICKS.........STATE PRINTER.

REPORT.

For the bill referred to the San Diego delegation, the accompanying substitute is hereby reported, and its passage recommended.

This company was formed under the general railroad Act of this State, approved April twenty-second, eighteen hundred and fifty-four, with a capital stock of four million dollars, divided into forty thousand shares of one hundred dollars each, to continue fifty years, " for the purpose," as expressed in the articles of incorporation, "of constructing, making and maintaining a railroad from a point on the Bay of San Diego, thence eastwardly, by the most direct practicable route, through the County of San Diego to the Colorado River, at or near the mouth of the Gila river, a distance of about one hundred and forty miles." The full amount required by law was subscribed, and ten per cent. upon the same paid to the Treasurer, as shown by the articles on file in the office of the Secretary of State, November seventh, eighteen hundred and fifty-four. By Act approved April thirtieth, eighteen hundred and fifty-five, the Trustees of the City of San Diego were authorized to convey to the company two leagues of the "pueblo lands," immediately upon or adjacent to the Bays of San Diego, no lot to be less than fifty yards front. "The lands so conveyed," it is provided, "may either be sold, leased or hypothecated, for the purpose of raising funds to construct the said road, and the procuring of the necessary machinery for the same, but for no other purpose." This Act having been submitted to the vote of the people, was unanimously approved by them at the election. The Act allowed ten years for the completion of the work, which term was further extended by the Legislature in the year eighteen hundred and sixty-four.

The company now ask for a further extension of six years, in the belief that this will be amply sufficient for the accomplishment of the objects of its creation.

In the year eighteen hundred and fifty-five, the survey was completed, at considerable expense for the company, by Charles H. Poole, civil engineer, the result of which is annexed. His full report will be found in Vol. VII of the United States Pacific Railroad surveys, in the report of Lieutenant John G. Parke. From this it will be seen that one certainly feasible route for a railroad does exist through that county by the San Diego River and Warner's Pass, and without entering Mexican Territory, its highest grade, and that for only a short distance, being one hundred

and seven feet to the mile; thus disproving the conjectures previously hazarded, in the want of actual instrumental observation. Its grade throughout compares favorably with other roads. The Central Pacific is understood to have three and one half miles with a grade of one hundred and sixteen feet, while the bulk of the heavy grading is represented to be one hundred and five. On the Baltimore and Ohio Railroad, there are seventeen miles in two stretches of one hundred and sixteen feet to the mile. It would seem that difficulties of grade and curve and distance vanish before the lights of modern engineering.

In the progress of its operations since, this company has had the fortune of many similar undertakings in California and elsewhere, all aiming to secure a share in the profits of railway communication between the Pacific and Atlantic oceans. The splendid triumphs of the Central Pacific have inspired new energy in all other directions. The long cherished Southern route-whether on the thirty-fifth or the thirty-second parallel, or along both-has ceased to be a matter of doubt. With this brightening prospect it should not cause surprise that the citizens of San Diego County are pushing forward in this race for prosperity.

Their company owes nothing. The City of San Diego, holding still a great part of its original eight leagues confirmed to it, is in debt about one thousand dollars; and, although the county obligations reach to ninety thousand dollars, it is believed that the financial arrangements to begin with the legislation of the present year will place our public credit upon a firm basis for the future. Our resources have been much underrated. The aggregate of Mexican grants confirmed amounts to six hundred and fifty thousand acres. Of a region not yet prospected, it is enough to say that the gold-bearing quartz vein of the rancho of Escondido yields fifty dollars per ton of rock; copper assaying twenty per cent. is traced upon the rancho of Encinitos (five miles from the sea shore), and at innumerable other points; silver, elsewhere. It may serve to remove a mistaken impression with many, to remark further, that the mountain summits and slopes of Cuyamaca, Santa Ysabel, San Felipe and Palomar-all in the immediate vicinity of Warner's Pass-bave an abundance of timber, water and pasturage, with numerous valleys well adapted to the cereals; while the lower ranchos of San José, Santa Maria, El Cajon and Temecula, taken together, with an area of over one hundred thousand acres (not to specify other tracts), will sustain a large farming population. They are all good for grain, as well as cattle and sheep; and the Cajon in particular (in extent of forty-eight thousand acres) is most desirable for the grape, orange and other fruits best suited to the climate; tobacco would be a profitable crop for this rancho. It may satisfy a natural inquiry to add that this last named tract (eleven leagues) has been offered for sale at twenty thousand dollars, San José (of twenty-two thousand acres) at ten thousand dollars, and Cuyamaca (eleven leagues) at one dollar per acre (probably so high on account of its forests of pine).

From this statement merely, it appears that "the back country" of the harbor of San Diego is not so limited nor of so little value as some have thought who have seen only the rough and comparatively barren coast road.

The people even of the rich valleys of San Bernardino County, according to the latest indications, are looking to San Diego as their probable depot hereafter, in the shipment of their wool and grain and fruits to San Francisco. The distance is but one hundred and ten miles from San Bernardino City, and about one hundred and twenty from the summit of

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