The Union Pacific Railroad

The first railroad line in America was in 1830 when the Baltimore & Ohio began fifteen miles of operations. By 1840 there were 2800 miles of line in the country, and, by 1850, 9000 miles-all east of the Mississippi River. The town of St. Joseph was then seven years old with a population of 3460.

A railroad to the Pacific Ocean had been under consideration for a number of years, and it was generally recognized that the immense project was too large for private capital and that a federal subsidy would be necessary. In 1849 Senator Benton of Missouri introduced in the Congress a resolution favoring a transcontinental road to run west from St. Louis.

The first action by Congress was taken on March 1, 1853. The thirty-second Congress appropriated the sum of $150,000 “to ascertain the most practicable and economical route for a railroad from the Mississippi River to the Pacific Ocean.' The Secretary of War, (then Jefferson Davis, in the Franklin Pierce Cabinet), was authorized to employ the U.S. Corps of Topographical Engineers to explore the region and suggest possible routes. As the result of their work, five routes were suggested for consideration:

1. ‘North Route’ - 2025 miles from St. Paul to Seattle. This is the route now followed by the Northern Pacific and the Great Northern.

2. ‘Central Route’ - also called “Overland Route' and “Mormon Trail' - 2032 miles from Council Bluffs to near Sacramento via the South Pass in Wyoming. This is now the Union Pacific and Southern Pacific route.

3. ‘Buffalo Trail’ - 2080 miles from Westport (now Kansas City) to San Francisco. Now followed to some extent by the Denver & Rio Grande Western.

4. Fort Smith, Arkansas, through Santa Fe to San Francisco — 2096 miles-now largely the route of the Atchison, Topeka & Santa Fe.

5. “Southern Route” - from Texarkana through. El Paso, Fort Yuma to Los Angeles - 2024 miles - largely the present line of the Southern Pacific.

Only one line was to be built, and sectional rivalry was already becoming tense over the slave state/free state issue, which involved actual control of the federal government. The Southern congressmen wanted the transcontinental line, and would block a northern route; the Northerners felt equally strongly, so a stalemate continued as the nation drifted toward the War between the States.

Abraham Lincoln was much interested in the Pacific Railroad and in August 1859 he traveled over the six-months-old Hannibal & St. Joseph Railroad to St. Joseph, then the westernmost point of the American railroad network. Here he took a steamboat to Council Bluffs, Iowa, where he spent August 13 as the guest of Mr. W. H. M. Pusey whom he had known in Springfield, Illinois. Sitting on the porch of the Pacific House, he asked about the local point of view on the Pacific Railroad. Mr. Pusey said that a young man also on the porch was the most knowledgeable person on that subject. He was Grenville M. Dodge, then twenty-eight years of age, engaged in surveying the line of a railroad being built across the state of Iowa. Dodge had just returned from a trip to the Rocky Mountains in order to estimate where the future Pacific Railroad might be built. His purpose was to determine the point at which his Iowa line should terminate. Pusey introduced Lincoln to Dodge and, in response to Lincoln's questions, Dodge expressed his conviction that the best route for the Pacific Railroad to minimize grades would be up the long, gradual slope of the Platte River valley.

Lincoln remembered that conversation through the many events of the next few years: his election to the presidency; the secession of the Southern states; and the outbreak of the war. Dodge was living in Council Bluffs when the war started. He was commissioned a colonel in the 4th Iowa Volunteers. He was wounded at Rolla, Missouri, and again in the decisive Battle of Pea Ridge in northwestern Arkansas. He was promoted to be brigadier general and General Grant put him in charge of repairing and building railroads, bridges, and telegraph lines in the South.

In Congress, the building of the Pacific Railroad was regarded as urgent in order to cement closer ties with California and its rapidly developing mineral wealth. After the Southern senators and representatives had departed, there no longer remained the former obstacles to the choice of a route for the western line. Accordingly, in June 1862 the Thirty-seventh Congress passed 'An Act to aid in the construction of a Railroad and Telegraph Line from the Missouri River to the Pacific Ocean, and to secure to the Government the use of the same for Postal, Military, and Other Purposes. A new corporation was created by the act, called the Union Pacific Company.’ By the same act, the Central Pacific Railroad Company of California, already privately incorporated in California in 1861, was 'authorized to construct a railroad and telegraph line from near San Francisco to meet and connect with the Union Pacific Railroad.' President Lincoln signed the legislation on July 1, 1862.

Naturally enough, the various Missouri River towns were all anxious to secure the eastern terminus of the new railroad. Sioux City, Council Bluffs, St. Joseph, Atchison, Leavenworth, and Kansas City all put forward their claims. Congress decided not to be trapped into deciding between the various claimants, so the act provided that the eastern terminus of the Union Pacific should be some point on the 100th meridian of longitude west from Greenwich-about 250 miles west of St. Joseph. Then each of the competing cities could arrange to build their own lines out to that point. This neatly got Congress out of a difficult choice. At that time, St. Joseph was the farthest west railroad point and under the leadership of M. Jeff Thompson tracks of the Marysville & Roseport Railroad had been laid from Elwood to Wathena. But there was no bridge across the Missouri River, and by 1862 Jeff Thompson had departed from St. Joseph to become a brigadier general in the Confederate Army. Nor were conditions in St. Joseph calm and settled.

In April 1863 General Dodge was summoned from the field in Tennessee to the White House in Washington. Greatly apprehensive, not knowing the purpose of the trip, and wondering what shortcomings might be charged against him, he was relieved to find that Lincoln had remembered his 1859 conversation and now wanted his advice on fixing the place to start work on the Union Pacific Railroad. Dodge agreed with Lincoln that there was no point in starting the line 250 miles west of the Missouri River, and again expressed his strong conviction that the Platte River valley was the optimum location.

So, Lincoln issued an Executive Order:

‘Washington, November 17, 1863

‘In pursuance of the fourteenth Section of the Act of Congress, entitled “An Act to aid in the Construction of a Railroad and Telegraph Line from the Missouri River to the Pacific Ocean, and to secure to the Government the use of the same for Postal, Military, and other purposes,” Approved July 1, 1862, I, Abraham Lincoln, President of the United States, do hereby fix so much of the Western Boundary of the State of Iowa as lies between the North and South boundaries of the United States Township, within which the City of Omaha is situated, as the point from which the line of railroad and telegraph in that section mentioned, shall be constructed.

Abraham Lincoln’

The language of this Executive Order is curious. Perhaps it relates to the fact that Iowa had been a state since 1846 while Nebraska was still a territory. In any event, the legal headquarters of the Union Pacific Railroad have remained in Iowa, while the operating headquarters have been in Omaha.

In 1859 Lincoln had made a loan, secured by pledge of seventeen lots, a quarter-section of land, in Council Bluffs. Dodge later wrote that, at the time of signing his executive order, Lincoln said: “People will say I am picking this point because I own some land there, but that's the right place, and I’m going to sign anyhow.

Ground was broken in Omaha on December 2, 1863, eleven months after the Central Pacific had started work in California. By the end of 1864 only twenty miles of grading had been done and no track laid. The Central Pacific had completed thirty-one miles of track. The war ended in April 1865, and the first rail of the Union Pacific was spiked down at Omaha in July. By the end of 1865 the first forty miles of track were completed and the line reached nearly to Fremont. The first hundred miles of regular rail service was available on July 27, 1866. A great public relations trip was organized to bring important people from the East to see the work. One train started from New York, picked up guests at Chicago, and then proceeded over the Hannibal & St. Joseph track to our town. Here the party proceeded by steamer to Omaha.

By December 1866 Union Pacific service reached North Platte, Nebraska, and work stopped for the winter 305 miles west of Omaha. During 1867 the line was built from Julesburg to Cheyenne -- 139 miles; from Cheyenne to Laramie -- 54 miles; from Laramie to Green River -- 275 miles; and from Green River to Ogden -- 187 miles. The Central Pacific had reached the western border of Nevada. In 1868 the two lines built to the north of Great Salt Lake and on May 10, 1869, met at Promontory Point, Utah. Approximately eleven hundred miles of railroad line had been built west from Omaha.

The building of the line was financed primarily by Oakes and Oliver Ames of Massachusetts, wealthy men whose Ames Shovel Works was producing about half of the shovels in the world. Oakes Ames, a highly respected man, had been elected to Congress and, shortly before Lincoln's assassination, Lincoln had asked Ames to undertake the financing job, saying that he considered the building of the transcontinental line a patriotic necessity, and he believed it should be done privately rather than as a government project. Substantial government subsidy was provided in grants of land adjoining the line and in the award of government bonds as the line was built. These bonds were due in thirty years and the completed road was to be responsible for repaying the government for its outlay at the bond's' maturity. This provision ultimately proved impossible and forced the reorganization of the road and the scaling down of the debt in 1893.

The Ames brothers loyally undertook the enormous task, which eventually forced Oakes Ames into insolvency. Their problem was complicated by the fact that when they entered the picture, the building of the road was in charge of one Thomas C. Durant. A clash of fundamental and basic ideas between him and the Ameses occurred. Railroad building was a hazardous, risky, expensive business. Usually the newly constructed roads were not able to generate enough business for a number of years to support the debt incurred in their construction. Realistically, the builders of most railroads realized that they must make their profit out of the building, get out with it, and go on to the next job. The investors in the securities, often local people enthusiastic about the coming of the railroad to their community, were frequently left holding the bag for the eventual reorganization and scaling down of the capital structure. Durant was of that school, while the Ames brothers, perhaps more naive, certainly higher principled, believed that they could build a railroad at honest cost and that the securities issued for true value could be supported by the earnings. The legislation subsidizing the operation provided for the issuance of government bonds by mileage, so that Durant's interests were served by building more mileage-not the most direct line. General Dodge, a man of integrity, chief engineer of the road, shared the views of the Ameses, and as a result there was enormous turmoil and conflict until the Ameses were able to get control and oust Durant.

In July 1868, Dodge was in the East and he heard that, in his absence, Durant was changing the route of the line to make more mileage and, therefore, get more government subsidy. Dodge hastened out West to confront Durant face to face. He said:

‘Durant, you are now going to learn that the men working for the Union Pacific will take orders from me, and not from you. If you interfere, there will be trouble-trouble from the Government, from the Army and from the men themselves.

Dodge turned and walked away, leaving Durant standing speechless on the dusty Main Street of Laramie.

Dodge also called for support, and a distinguished committee representing the government was sent out to Laramie. It consisted of General U. S. Grant, General W. T. Sherman, General Phil. Sheridan, and several others. They called a meeting between Dodge and Durant. General Grant said: "The Government expects this railroad to be finished; the Government expects General Dodge to remain with the road as its Chief Engineer until it is completed. That was the end of trouble from Durant.

General Grant was, at that time, candidate for the presidency, having been nominated at Chicago in May. Durant having been quieted, the party returned to Omaha and then proceeded by train to St. Joseph, arriving on Tuesday, July 28, 1868.

The arrival of the distinguished visitors in St. Joseph was reported by both the Morning Herald, the Republican paper, and the Daily Gazette (which had resumed publication), the Democratic paper. The party arrived by train from Council Bluffs at 9 p.m. Two hours before that, crowds began to gather and the Herald estimated that six thousand persons were present. Their account continues:

‘The visitors were met by a committee of the G.A.R. and escorted .÷.¬ ¬s 4 through a line of old soldiers to their carriages and hastily drawn. ¬s ¬ 47:11 KASAN : through the surging crowd to the Pacific House. During the reception a national salute was fired, while bonfires blazed and signal lights loomed up in all directions. Grant and Sherman were seated in Cundiff's barouche drawn by four spirited horses, the crowd clinging closely to the carriage from the depot to the hotel.

‘Before the visitors had been escorted from the carriage to the hotel, Third Street was fairly blocked with people-in fact, the streets were densely packed in the vicinity of the Pacific House. The office and lower halls of the Hotel were at once filled to suffocation and only the presence of a strong guard kept the crowd from rushing into the reception room on the second floor.

‘The Generals, soon after their arrival, made their appearance on the balcony on Third Street. Their appearance created great excitement, and for a long time the shouts were deafening. At this time it was discovered that quite a number were present with the determination to insult the visitors.

‘General Grant was introduced to the vast crowd by Colonel Harbine. The announcement was received with tremendous applause. After the excitement had been somewhat quieted, General Grant addressed the crowd as follows:

‘I return my sincere thanks for this hearty reception. I have been travelling for two weeks, every day, and most of the time at night, over mountains, visiting this Western country, which I am now seeing for the first time. I am fatigued, weary, dusty, and unable to address you. I thank you, but I cannot speak to you this evening.'

‘The speech of General Grant, brief as it was, was interrupted by the most boisterous applause, mingled with hooting, groans, and cheers for Seymour and Blair (the Democratic nominees for the Presidency and Vice-presidency).

‘The proprietor of the Pacific House and several other gentlemen then appeared on the balcony and attempted to inform the crowd that as soon as Generals Grant and Sherman had partaken of refreshments, they would again make their appearance. But few, however, heard their words, so evident were the groans and cheers for Grant and Seymour respectively.

‘After loud calls, General Sherman appeared on the balcony and attempted to deliver an address. His appearance was greeted with tremendous applause. He spoke as follows:

‘Gentlemen: I return thanks to you for this hearty reception. General Grant did not choose to speak, as he was worn out by travel. (Loud cheers for Seymour and Blair, with groans and hooting.) I do not desire to advise violence, but if I was a resident of St. Joseph, I would duck that fellow in the Missouri River (pointing to a man in the crowd who was making a great disturbance on a horn). There was a time when people who wanted to fight could be accommodated -we gave them all they wanted. (Increased excitement) When you learn to behave yourself, I'll continue my speech. (Cheers and groans) Well, I'll eat my supper and go to bed; you can do what you please.'

‘The distinguished visitors then retired to the reception room and quietly conversed with the few fortunate ones who were able to pass the guards placed on the lower floor. The vast crowd continued to shout for Grant, with frequent yells and screams for Seymour and Blair. It was at least an hour before the crowd dispersed.

‘After the Generals had partaken of refreshments, they returned to the reception rooms. There they were visited by large numbers of our most respectable ladies and gentlemen; afterwards they took a position at the foot of the stairway and shook hands with the crowd as they, one by one, passed by. Soon after the distinguished visitors retired for the night.

‘Until long after midnight, the Pacific House was thronged with visitors. The principal topic of conversation was the disgraceful conduct of those who attempted to break up the reception. Democrats of standing united with our Republican citizens in denouncing in the strongest terms the conduct of the few citizens who have brought disgrace upon our city. It was openly stated that the mob was led by an individual who now holds a responsible position in our city government. Those men who have disgraced themselves and their city, most signally failed in their purpose, as the reception to Generals Grant, Sherman, and Sheridan was, despite their efforts, the most enthusiastic and hearty one that was ever given in the city of St. Joseph.” The generals left St. Joseph that next morning by the Hannibal & St. Joseph Railroad for St. Louis. The Democratic Gazette reported that “when General Grant left, there were not more than fifty persons to see him off, including the employees about the depot, and no enthusiasm whatever was manifested.'

The Morning Herald (Republican) editorialized:

‘ST. JOSEPH DISGRACED

“It is very difficult to assign any good and sufficient reasons for the outrageous conduct of a portion of our citizens, on occasions when such manifestations insure speedy retribution. In the noisy mob, hooting and yelling insults at Generals Grant and Sherman, we recognized the same boisterous element which passed a resolution at a meeting at the Courthouse in 1861 that no appointee of Mr. Lincoln should ever occupy the St. Joseph Post Office; the same element that raised a rebel flag at the foot of Felix Street, and killed the commerce of this city, dead as a doornail, for four years; the identical element which tore the flag from the roof of the Post Office; and threatened with death any man who dared insult the chivalry of the South by unfurling the banner of his country.

‘Citizens of St. Joseph, men who have property and valuable interests here, what has been, and surely will be, our reward for all this? We lost the initial point of the Pacific Railroad, the overland mail and express, custom house, and other public buildings because of that rebel rag which floated defiantly here when Schuyler Colfax, Chairman of the Committee on Post Offices and Post Roads, visited us in the spring of 1861. Our Senators declared that they could make no headway in the Senate of the United States, against the charges of disloyalty and insubordination so truthfully made against the citizens of St. Joseph. Such conduct has tied the hands of General Loan in the House and effectually blighted our every prospect of political influence or favor at Washington.

‘Such insults as were heaped upon Grant and Sherman last Tuesday night, will tell surely and effectively against us, in every endeavor of ours for favor with the next administration, or the present Congress.

‘Were our citizens baptized with a spirit of lawlessness, and penetrated with an insane desire for self-destruction, they could not act differently from the course pursued by a portion of them on Tuesday evening. So long as we follow a line of action which renders us obnoxious to the charge of insubordination, rowdyism and indecency, so long will this city find every avenue of progress and advancement effectually choked.

‘Our merchants, mechanics, artisans, laborers and capitalists are all interested in the preservation of good order on such occasions as the visit to our city of men who occupy the highest positions known to our form of Government.

‘It is an insult to the intelligence of the age, a stigma upon our fame as a city of the great, free West, and a burning shame to the civilization of the Nineteenth Century, that American citizens, occupying the enviable positions before the world, which Grant and Sherman are accorded, should be insulted by a people not brutalized and savage-a people, too, whose invited guests they unwillingly became after much persistent and urgent entreaty.’

For many years it was widely believed in St. Joseph that we lost being the eastern terminus of the Union Pacific Railroad to Omaha because of the insulting of General Grant on the occasion of his visit in July 1868. But the dates disprove it. By that time, the Union Pacific Line had been constructed over six hundred miles west from Omaha. The decision as to the eastern terminus had been made in 1863 by President Lincoln on the advice of General Grenville M. Dodge, who had expressed the same opinion based on purely geographic grounds as far back as 1859, before the violence of the Civil War.

Before the Civil War both Kansas City and Leavenworth had begun to build railroads to link up with the Hannibal & St. Joseph Railroad at Cameron, Missouri. Both projects were halted by the war. As soon as the war was over, Kansas City men sought the help of the Boston capitalists who had built the Hannibal & St. Joseph Railroad and sought Congressional approval for the building of a bridge across the Missouri River at Kansas City. The branch railroad line was completed on November 30, 1867, and the Hannibal Bridge' over the river at Kansas City was opened on July 3, 1869. Construction of the St. Joseph bridge was started in 1871 and the first locomotive crossed on May 20, 1873. Construction of the Union Pacific bridge at Omaha was commenced in 1868 and was completed on February 20, 1872.