History of Linn County Iowa Part 76

T. DEVENDORF IN THE SUNDAY REPUBLICAN OF JUNE 10, 1906

The population of the city in 1856 was not to exceed 1,200 to 1,500 people. There was little wealth in the community. No manufacturing enterprises had as yet located here. The princ.i.p.al dependence of the people was in the farming community and the bountiful harvests that Iowa never fails to produce.

The one great desire and ambition of the people was for a railroad to the east on which they could transport their surplus product to an eastern market. Railroad building had not been very extensive in the west, the Chicago, Iowa & Nebraska had its track built as far west as the Mississippi river and was formulating plans to bridge the river and extend the road across the fertile prairies of Iowa. Some of our pioneer citizens with shrewd business instincts and confidence in the rapid settlement and development of the state, on the completion of the railroad, became interested in this new project and advocated the granting of a loan to them provided the road should be built to or through our growing city. The subject of giving aid to this new proposed railroad was discussed largely among the people, and on the 1st day of September, 1856, the city council pa.s.sed a resolution instructing the mayor to call an election of the qualified voters of Cedar Rapids to vote on the question, shall the city in its corporate capacity subscribe sixty thousand dollars to the capital stock of the Chicago, Iowa & Nebraska railroad and pay for same in bonds issued by the city. Said bonds were to bear interest at the rate of ten per cent per annum, and were to mature 20 years after date at the option of the city. The election was called by Mayor Isaac Whittam and held September 22, 1856, and resulted in the very decisive vote of 111 for the proposition and only 2 against it.

[Ill.u.s.tration: THE OLD BLAIR BUILDING, NOW THE SITE OF THE KIMBALL BUILDING]

These bonds were to be issued in series as the work on the new road progressed, fifteen thousand dollars worth when the contract was let for building the road from De Witt to Cedar Rapids; the second series of fifteen thousand dollars worth when the first five miles of grading were completed in Linn county; and the balance of thirty thousand dollars worth when the grading was finished into the city of Cedar Rapids and the road in operation and cars running as far west as Mt.

Vernon.

On the 20th of February, 1857, Mayor Whittam in a report to the city council made a statement that he, as representative of the city, had attended the meeting of the stockholders of the Chicago, Iowa & Nebraska, held on the 25th day of January, 1857, at Clinton and at that time had pa.s.sed over to the railroad company the fifteen bonds of one thousand dollars each, to which they were ent.i.tled, they giving the required stock certificates for same as per agreement. The railroad company also entered into a contract with the city in which they agreed to pay interest on said bonds and all others to be issued to the railroad until such time as the road should be finished and the cars running into the city of Cedar Rapids.

The mayor also complimented the men in charge of the affairs of the road as men of means, honor, and energy, and finished his report by predicting that when the road was completed it would be of great benefit and advantage to our young but growing city. But notwithstanding the financial aid and the general encouragement given by the people the road advanced westward slowly and while the grading had been nearly completed there were many other things necessary to build a railroad and which could only be had by having the ready money with which to buy such supplies. In June, 1857, another pet.i.tion was presented to the city council asking that the mayor call an election of the legal voters of the city to vote on the question, shall the city issue its bonds to the amount of forty thousand dollars to aid in purchasing the iron rails to complete the road to Cedar Rapids, the city to be a subscriber to the capital stock of the road to that amount. On July 10, 1857, the mayor called the election to vote on the proposition, shall the city in its corporate capacity issue its bonds for forty thousand dollars, the money to be used to procure iron rails and for no other purpose. The election was held on July 20, 1857, and resulted as follows: For the proposition, 104 votes; against 25 votes.

These bonds were to be issued in series and were to be paid one-quarter in 13 years, one-quarter in 14 years, one-quarter in 15 years, and the balance in 16 years from date.

Some time after these bonds were issued and turned over to the railroad company some legal point was raised touching their validity, and this together with the fact that the financial standing of the railroad company in the east among the iron manufacturers was not first cla.s.s, made it necessary that some other plan should be adopted to procure the iron rails to build the road to Cedar Rapids. Heretofore they had found it practicable to survey and locate and grade a road and pay for the same in farm products, dry goods and groceries, etc. But when it came to buying iron from the manufacturers it required the cash or a suitable collateral. But our people were ready to meet this unforeseen emergency. Six of our early and more wealthy citizens made notes of $8,000.00 each, each note being signed by each of the other gentlemen, making a joint note of each one and together amounting to the $48,000.00. These notes were to be used as collateral and to strengthen up their credit, so that the iron rails could be bought and the road completed to this city. This was purely accommodation paper and the road contracted that the interest and princ.i.p.al of these notes should be paid by the railroad company from the first net earnings of the company, but in the early years of the road there were no net earnings.

It was only by the most economical management that the operating expenses could be met, and several years elapsed before these notes given to aid the railroad were fully paid. The gentlemen aiding in the early construction of the first railroad to Cedar Rapids were Gabriel Carpenter, George Greene, Sampson C. Bever, J. J. Snouffer, and two others whose names are not remembered.

After the railroad was completed and in operation to this place little was said in regard to these city bonds. In the proceedings of the city council June 13, 1860, a resolution was pa.s.sed authorizing E. H.

Steadman, the mayor of the city, to represent the city at the annual meeting of the stockholders of the C., I. & N. Ry., which was to be held in Clinton at a later date.

On January 25, 1861, a committee was appointed consisting of the mayor, I. N. Whittam, and Alderman G. Livensbarger who were to examine into the legal condition of the city in relation to the $100,000.00 worth of city bonds already issued for railroad purposes. What this investigating committee did, and what their conclusions were, are not matters of record. Nothing more is said in any of the proceedings of the city council in regard to this matter until May 8, 1863, when it appears from the preamble of a resolution introduced that the railroad company was calling upon the city authorities to comply with the terms of the contract entered into when the bonds were issued, which was that the city should pay the interest on such bonds after the completion of the road to this place.

The road had been finished and in operation some two years and still no interest had been paid and the city made no efforts to collect any sum for such purpose. At the meeting of the council May 8, 1863, a resolution was introduced asking that a committee be appointed to investigate and report on the recorded facts bearing upon this matter of railroad bonds from its inception to this date. Aldermen McClelland, Denlinger and Slonaker were desirous of having light on the subject and voted for an investigation, but Aldermen Bever, Carroll and Stibbs voted in the negative, and this being a tie vote it was decided by the mayor, who also voted in the negative.

At the council meeting held June 11, 1864, another committee to investigate was appointed who was authorized to procure legal advice in regard to the liability of the city and also meet and confer with the officers of the railroad company, and this committee consisting of Aldermen McClelland and E. H. Steadman reported back to the council that they had procured legal advice in the matter and from all data and facts collected their attorney was of the opinion that the railroad company had no legal claims against the city and that the bonds were illegal and void.

In October of 1864 the same subject came up in the city council and a committee of three consisting of S. C. Bever, H. C. Angle and John Weare were appointed to confer with the railroad company and get the best terms of settlement they could, either by taking reissued stock in payment or a certain amount of money yearly in full settlement. This committee were prompt in their investigations and reported back to the council November 4, 1864. Their report was that they had a conference with the railroad company and the best compromise they could obtain was this:

First. That the city surrender to the company all its claims to stock in said road.

Second. The railroad company would then return to the city $90,000.00 worth of the city bonds already issued together with all coupons on the balance, leaving in the hands of the company $10,000.00 worth with all coupons cut off to date. This surrendering of bonds to in no way affect the legality of the bonds retained, the legal points to be settled later.

At the meeting of the council Alderman Bever introduced a resolution covering all the points made in the report of the committee that the city surrender the stock and that the railroad company return the $90,000.00 worth of bonds, leaving outstanding and in the hands of the railroad company $10,000.00 worth of city bonds.

On the yeas and nays being called the following aldermen voted yea: Bever, Denlinger, Holland and Slonaker, and in the negative, Alderman McClelland, and the resolution was declared adopted.

Alderman McClelland then at once offered his resignation as alderman from the Third ward and his resignation was as promptly accepted and Wm. Richmond elected as his successor.

Nothing more appears in the records of the city council bearing on this question of railroad bonds until June 29, 1866, when Alderman Adams of the Third ward introduced a resolution that a committee of one consisting of Alderman Snouffer be appointed to confer and negotiate with Horace Williams, agent of the Chicago, Iowa & Nebraska railroad, for the surrender of the outstanding bonds, and he was authorized to release and exonerate the railroad company from performing certain acts they had previously agreed to do. One was the grading of Jefferson street and another was the grading of the North city park and the building a fence of oak posts around said park, both of which they had failed to do. These agreements of the railroad company the city would relinquish, provided the railroad company would return the balance of the city bonds in their hands, amounting to $10,000.00.

It is presumed that Alderman Snouffer failed to make these negotiations with Horace Williams as instructed by the city council, at least there is nothing in the records to show that this committee of one ever made any report on this subject to the city council.

At the meeting of the city council held May 15, 1868, another committee was appointed to investigate and try to induce the railroad company to relinquish and return these outstanding city bonds and it is fair to presume that the committee accomplished something in that direction as at a subsequent meeting held June 26, 1868, Alderman Leach moved that the city treasurer be authorized to receive the city bonds now in the possession of the Chicago & Northwestern railroad and receipt for same.

This is the last record to be found in the proceedings of the city council bearing on this subject of city bonds.

Going back to the time the railroad was built into Cedar Rapids it will be remembered that little value was placed on the stock. People subscribed for the stock and paid their subscriptions as called for more to encourage the building of the road than for an investment.

Nearly every citizen had some few shares of the stock. They had all done their share in getting the road here according to each one's means and financial ability, and held their stock in the road. It was then that men of means with confidence in the rapid growth and advancement of this great state of Iowa began in a private way gathering up this stock of the Chicago, Iowa & Nebraska R. R., buying up from the small holders their stock at prices from 25 to 35 cents on the dollar of the par value and in a few years the small holders had parted with their holdings and in 1865 there was little or no stock of the Chicago, Iowa & Nebraska R. R. to be had and in the latter part of that year the road was merged into the Chicago & Northwestern system. At what price per share the Chicago, Iowa & Nebraska went into the Northwestern is not positively known, but it is generally supposed that one share of the Chicago, Iowa & Nebraska R. R. was good for about three shares of the new consolidated Chicago & Northwestern.

SOME OF THE EARLY BRICK HOUSES IN CEDAR RAPIDS

Charles Weare used to say that there was a brick building on the Y. M.

C. A. corner which was torn down many years ago, and which was supposed to be one of the first brick buildings in Cedar Rapids; it was occupied by Ingham Wood as a store building. Porter Earle erected one of the first, if not the first, brick building at the corner of First avenue and Second street where the Union Block is now standing, which was one of the most commodious buildings of its kind in the city for many years. The Michael Bryan family erected one of the first dwelling houses of brick about where N. E. Brown's home now stands in 1849 or 1850, and for many years it was one of the best equipped houses in the city and the west. This house had an open fire place in every room, and consisted of eight rooms. The house was built according to the southern style of architecture. Another member of the Bryan family erected a stone and cement house about the same time at the corner of Third avenue and Second street, which building was later occupied by the family of William Greene.

D. M. McIntosh erected a one-story brick building near the present library in 1850 or 1851, which building is still standing. About the same time the father of James Snyder erected a brick dwelling which stood on South Third street near where the Vardy cottage is located.

Greene's Hotel on First street was a brick structure erected between 1854 and 1855; it had an eighty feet front and ran back toward the river about eighty feet. The picture of this building shows that it was a four-story structure, although many claim that it was only a three-story building. This buildup was erected by J. J. Snouffer; for many years it was the largest and best equipped hotel in this part of the west.

Part of the residence of Dr. Skinner was erected by George Berg and was one of the most complete brick structures in this city. Elihu Baker also erected a brick residence on the property now occupied by Dr. H.

W. Bender about the early '50s. Sampson C. Bever erected a brick building on the premises where the Rock Island offices now stand, being a two story structure similar to the Spangler residence which was erected later across the street. In this structure Mr. Bever installed the first hot air furnace used in Cedar Rapids, and a great many of the early settlers came to inspect the house, and especially to examine the hot air furnace which was a new thing in those days.

J. S. Cook in the early days erected a brick structure on the corner of A avenue and Fifth street, which was one of the fine homes for many years in this city. S. A. Shattuck built in the early '50s a brick structure on Sixth avenue and Fifth street. John Newell, during the years 1855 and 1856, erected a double brick structure at the corner of Fifth street and Seventh avenue. The old Seabury house on Eighth avenue was erected prior to 1860 and for many years was a landmark in that end of town. The Barthel house which stood where the Majestic Theatre now stands was one of the early brick veneer houses in the city and was occupied by many of the prominent families from time to time.

R. C. Rock, one of the early merchants, erected a brick house in the early days on the premises where George Williams has since erected a magnificent mansion. Dr. Wilman, Dr. J. L. Enos and Dr. S. D. Carpenter erected brick houses in the early days which were landmarks along Second avenue up toward Tenth street. The Lawson Daniels brick residence was on First avenue between Second and Third streets adjoining the Thomas Building, and adjoining this was the dwelling of Dr. Thomas, a friend of J. J. Snouffer and a native of Maryland; Dr.

Thomas returned to his native state in the '50s. Adjoining these brick dwellings was also another brick building erected by the old pioneer H.

G. Angle and occupied by him as a residence for many years.

Another substantial brick dwelling was erected by John Graves on B avenue and Fourth street, being a two-story brick building with an upper and lower porch. The old Gillette house was on the east side of Fifth street where William S. Bye now resides; it was known as the Gillette house. Mr. Gillette being the brother-in-law of the late W. D.

Watrous.

Another large and commodious brick dwelling house was a two-story structure erected on Fifth street between B and C avenues and near what is known now as Whittam Park. Adjoining this was the Koontz house, occupied by Dr. Koontz and his family for many years. The Tryon house was also a brick structure erected near the corner of Third avenue and Second street; Mr. Tryon was a surveyor and well known in the early days.

Nearly all the brick used in the early days was made by a Mr. Geeslan who operated a brick yard near what is now known as the "Lame Johnny"

place. Brick was cheap, labor was low and the cost of erecting these dwellings in that day was much lower than later. It is said that Sam Stambaugh in the early days worked as a brick mason and walked home to Bertram every night, the wages paid being about $1.00 a day, which was considered high. It is also said that during the '50s Cedar Rapids had more commodious homes than any other town of its size in Iowa. It was made up largely of a brainy, wide-awake, enterprising lot of men, such as N. B. Brown, H. G. Angle, the Greenes, Earles, Elys, Daniels, Macks, Weares, Bevers, and many others who had drifted into the town and who soon built up an enterprising little town, engaging in various ventures, not always successful, but they had Cedar Rapids before the world so that they finally landed the railroad which henceforth made the town. It is said by the late Charles Weare that "when they first started a newspaper there were no settlers in the town, but they had to use a newspaper to boom the town with."

SOME STRENUOUS DAYS IN THE OLDEN TIMES

FROM THE CEDAR RAPIDS REPUBLICAN, SUNDAY, JUNE 10, 1906

An ordinance creating a fire department was introduced in the council in January, 1869, and it was pa.s.sed February 12, 1869. This ordinance was lengthy. It stipulated what officers should be appointed, what their duties were, how many fire companies to each engine, how many men to each company and many other details. One of the provisions of this first and original ordinance was that the fire chief should be appointed by the council.

On March 12, 1869, the fire company which had already been organized but not officially recognized by the city council, presented a pet.i.tion to the council, asking that P. C. Lusk be appointed as fire chief. At a subsequent meeting a vote was taken on the election of a fire chief with the following result:

P. C. Lusk, who was the choice of the fire department, received four votes and J. J. Snouffer one vote. Lusk having received a majority of the votes cast was declared elected chief of the fire department. At the meeting held April 9, 1869, the chief of the fire department presented the names of the members of the first company which was styled "The Steam Fire Engine Co., No. 1." It was organized under Ordinance No. 78. Mr. Lusk reported the names of sixty members, including officers, and asked the council to confirm them, which was done.

The officers of this company were as follows:

Foreman--Geo. A. Lincoln.

a.s.sistant Foreman--M. T. Bell.

Secretary--E. W. S. Otto.

Treasurer--W. B. Stewart.

Hose Captain--D. A. Dingman.

a.s.sistant Hose Captain--N. H. Martin.

Engineer--W. Berkley.

Stoker--H. S. Gilmore.

Some of the "high privates" in this first organized fire company of Cedar Rapids were as follows: Al Jacobs, Richard Cornish, C. E. Calder, Lyman Ayers, Geo. Rhodes, Ed. b.u.t.tolph, John H. Smith, H. S. Bever, H.