disposition of the public domain and coal lands of Alaska also began to have an unfortunate effect upon such new construction as might have been contemplated and was, moreover, a tremendous handicap upon the railroads which were then in operation because of the difficulty of obtaining coal from local sources. The railroad problem became thus entangled with the general conservation controversy. The outcome was the realization that private capital would not build adequate transportation facilities to the interior of Alaska unless the coal mines. and mineral deposits were opened for private exploitation and that, consequently, if conservation for the nation of this coal and mineral wealth were desired, the government itself would be obliged to construct the necessary means of transportation. Several bills were introduced in the sixty-second Congress to solve these problems; also a bill to provide a territorial legislature for Alaska. The final result was the passage of "an act to create a legislative assembly in the Territory of Alaska, to confer legislative powers thereon and for other purposes,' ,"26 the eighth section of which provided for the appointment of a commission by the President to conduct an examination into the transportation question in the Territory of Alaska as recommended in 1908 and 1909 by the Governor of Alaska. In accordance with this act, President Taft appointed the following commission: Maj. Jay J. Morrow, Corps of Engineers, United States Army, Chairman; Alfred H. Brooks, Geologist in charge of Division of Alaskan Mineral Resources, Geological Survey, vice chairman; Leonard M. Cox, Civil Engineer, U. S. Navy; and Colvin M. Ingersoll, consulting railroad engineer, New York. The report of this commission, which was submitted to the President on January 20, 1913, may be summarized as follows: 27 26 Act of August, 24, 1912 (37 Stat. L., 517). 27 62 cong. 3 sess., H. Doc. 1346. p. 8 et seq. 1. That railway connections with open ports on the Pacific were necessary for utilization of the fertile regions of the Alaskan interior and the mineral resources and to open up a large region to the homesteader, the prospector, and the miner. 2. That construction of two independent railroad systems was advisable to be ultimately connected and supplemented as future conditions made necessary, one to run from Cordova by way of Chitina to Fairbanks and the other from Seward around Cook Inlet to the Iditarod River, with a total cost of $35,000,000 for the 733 miles of new construction involved. 3. That "assuming the necessity of earning 6 per cent. on the capital invested the road could be operated without loss on the estimated available traffic, at a passenger rate of seven cents per mile and an average freight rate of eight cents per ton-mile." 4. That "an average freight rate exceeding 5 cents per ton-mile and passenger rate in excess of 6 cents per mile would defeat the immediate object of the railroad, namely, the expeditious development of the interior of Alaska and, furthermore, would introduce the question as to whether or not the Seattle-Cordova-Fairbanks freight route would be able to compete with the present all-water route via the Yukon River system, except on shipments in which the time element is of such importance as to warrant the payment of a higher freight rate." 5. That the annual expenditures of the road could be.reduced materially if capital could be secured at the lower rates of interest obtainable under a government guaranty of principal and interest on bonded indebtedness or if the road were constructed by the government itself. 6. That although this railroad development "should be undertaken at once and prosecuted with vigor," the project was not feasible without some plan which would provide for low transportation rates and the "consequent rapid settlement of this new land and the utilization of its great resources." This report was sent to Congress on February 6, 1913, by President Taft with his opinion that "the necessary inference from the entire report is that in the judgment of the commission its recommendations can certainly be carried out only if the Government builds or guarantees the construction cost of the railroads recommended, If the government is to guarantee the principal and interest of the construction bonds, it seems clear that it should own the roads, the cost of which it really pays. This is true whether the government itself should operate the roads or should provide for their operation by lease or operating agreement. I am very much opposed to government operation, but I believe that government ownership with private operation under lease is the proper solution of the difficulties here presented. I urge the prompt and earnest consideration of this report and its recommendations." 28 Subsequently several bills were introduced in Congress to carry out the recommendation of the commission, and a bill was passed entitled "An Act to authorize the President of the United States to locate, construct, and operate railroads in the Territory of Alaska and for other purposes" which was approved March 12, 1914.29 (38 Stat. L., 305). The President was given full authority to designate, locate, and construct the routes of the proposed lines of railroad and the necessary telephone and telegraph lines; to purchase or otherwise acquire all real and personal property, terminal grounds, right of way, equipment, etc., which were essential to carry out the purpose of the act; to fix or modify rates; to establish all necessary rules and regulations; and in general to perform all things incidental to the success of the undertaking. The only important limitations upon the President were that the road was not to exceed one thousand miles in the aggregate, that it was to be so located as to connect one or more of the open Pacific Ocean harbors on the southern coast of Alaska with the interior navigable waters and with the coal fields, and that the total expenditure was not to exceed $35,000,000. The sum of $1,000,000 was appropriated to be immediately available for carrying out the provisions of the act. On May 2, 1914, the President directed the Secretary of the Interior to proceed with the surveying of the routes for the railroad, and conferred upon him "the power and authority to do any and all acts necessary thereto." For the immediate direction of the work, a commission, designated the Alaskan Engineering Commission was created by Presidential appointment composed of Lieutenant Frederick Mears, "because of his experience as an engineer on the Great Northern under Mr. J. F. Stevens, and later in the construction of the Panama Railroad under Col. Goethals," Thomas Riggs, Jr., "because he had spent many years in Alaska and surveyed the AlaskanCanadian boundary from the sea to the Arctic Ocean and was familiar with the Alaskan people and conditions under which work can be done in Alaska," and W. C. Edes, "because of over 35 years' experience in locating and constructing railroads in the far West for the Santa Fe, Southern Pacific, and other railroad companies." 30 Formal authorization to begin work was received by this commission from the Secretary of the Interior on May 8, 1914.3 31 The Commission. The history of the commission falls into four periods: the period of the survey; the initial period of construction: the period of war time retardation of construction; and the post war period of reorganization and full resumption of activities. Period of the Survey. As indicated above, the Secretary of the Interior formally authorized the commission to proceed with its work on May 8, 1914. In general terms, the first problem then facing the commission was "to make such surveys 32 and compile such data as would enable the President to decide on the most available route over which to build the railroad." The commission found at the beginning of its work that In order to accomplish the objects set forth in the act of Congress it was necessary to investigate two general routes 30 House Committee on Territories, Bills, Reports, Hearings and Acts Alaska, 1921, p. 205. 31 See Appendix 5 for letter of authorization. 32 The surveys which had been made by the Railway Commission were not in sufficient detail for the purposes of construction, from the coast to the interior of Alaska, namely, the eastern route starting from Cordova or Valdez and extending northward via the Copper River, Tonsina River, Delta River, and Tanana Valley to the vicinity of Fairbanks, and the western route, starting from Portage Bay or Seward and following along the shores of Turnagain and Knik Arms, thence northward through the Susitna Valley and over Broad Pass and down the Nenana River to its junction with the Tanana, and thence by one of several routes to the vicinity of Fairbanks. 33 Since considerable information was already available on the eastern route there was planned a careful preliminary survey and estimate of the western route, including a branch therefrom to the Matanuska coal fields; a survey from Chitina on the eastern route to these coal fields; and a reconnaissance from the western route into the Kuskowim and Iditarod districts which had never been gone over in anticipation of railroad construction. Supplementing the work of the locating and surveying parties whose investigations were first hand, an analysis was made of previous surveys of the routes or portions of them and modifications were made in accordance with the best knowledge then obtainable. At times there was conflicting testimony on important matters, and the commission then made arrangements for observation and verification by its own representatives. Consequently through surveys of its own men and through judicious use of former investigations, the commission was enabled to compile in a relatively short time the facts as to the advantages and disadvantages of alternative routes. The act of March 12, 1914, authorized the President To purchase, condemn, or otherwise acquire upon such terms as he may deem proper any other line or lines of railroad in Alaska which may be necessary to complete the construction of the line or lines of railroad designated or located by him: Provided, That the price to be paid in case of purchase shall 33 Alaskan Engineering Commission, Reports for period March 12, 1914 to Dec. 31, 1915, p. 11. |