REPORT OF THE MINOEITY OF THE COMMITTEE ON JUDICIARY, ON HOUSE BILL NO. 3Y3, IN SENATE, MARCH 1, 1869. A minority of the Judiciary Committee, who have had under advisement House Bill No. 3T3, entitled a bill for "An act relating to a portion of the submerged lands and Lake Park grounds, lying on and adjacent to the shore of Lake Michigan, on the eastern frontage of the city of Chicago," not concurring in the recommen- dation of the majority of said committee, beg leave respectfully to state some ot their reasons for recommending the rejection ot the bill. It is conceded by the friends of this bill that the strip of land on the shore of Lake Michigan, between Randolph street and Park Row, and from the west line of Michigan Avenue to the water's edge, was dedicated to the public use— part of it by the United States government, and part of it by the Canal Trustees — and that such dedication had been confirmed to the city of Chicago by act of the Legislature in 1861. That, originally, it was dedicated as a street, and that when the city became incorporated (March 4th, 1837,) the title to this strip of land vested in the city, with all the riparian rights incident to the ownership of the bank of navi- Yol. 1—64 [ 506 ] 2 gable water, including the right to erect wharves, docks and piers, for the accommodation of navigation and commerce. Such continued to be the rights of the city up to the time when it granted to that company the right of way for its track through the lake in front of the same. Although the charter of the company granted to it the right of way over and through lands owned by the state, for the "only" and SOLE inirpom'''' of constructing, maintaining and operating its road, it provided that the '■'■company should not he authorized to make a location of its track within any city without the consent of the Common Council of the city^ [Private laws, 1851, p. 61.] Thus it will be seen that, in the wisdom of the Legislature that created the Illinois Central Railroad Company, while it bestowed upon it the richest endowment ever granted to any railroad com- pany in this country, it recognized its paramount obligation to its citizens by reserving to each particular locality, through which the road should run, the authority to fix the terms and limitations upon which it should traverse its streets and occupy its public grounds and waters. Fully recognizing this, the company applied to the Common Council of Chicago to be permitted to enter the city upon the lake shore, which was granted upon the company's entering into an agreement, under seal, with the city, upon the terms, among other things. That " the said road should enter the city at or near the inter- section of its south boundary with Lake Michigan, and following the shore on or near the margin of said lake, northerly to the southern bounds of the open space known as Lake Park, in front of canal section fifteen, and continue northerly across the open space in front of said section, to such grounds as the said company may acquire between the north line of Randolph street and the Chicago river, in the Fort Dearborn addition to said city." That " the company might enter upon and use in perpetuity, /b/* its line of road and other works necessary to protect the same from the lake, a width of three hundred feet from the southern boundary of said public ground, near twelfth street; the inner or west line of the ground to be used by said company to be not lees than four hundred feet east from the west line of Michigan avenue and parallel thereto." 3 [ 5or ] That "the company rni'f^ht extend their works and fill out into the lake to a point in the southern pier not less than four hundred feet west from the present east end of the same, thence parallel with Michigan avenue to the north line of Randolph street ex- tended, hut it is expressly understood that the Common Council does not grant any right or 'privilege beyond the limits above specified, nor beyond the line that may be actually occupied by the works of the company!''' " That should any damage or obstruction occur to the harljor of Chicago, clearly traceable to the construction of said works, then the compan}^ should be held responsible for the same." That "the said company should erect and complete ***■'«■ and shall f)r ever maintain a continuous wall or structure of stone masonry, pier work or other sufficient material, of regular and sightly appearance, and not to exceed in hight the general level of Michigan avenue, opposite thereto, from. the north line of Ran- dolph street, to the southern bound of Lake Park before mentioned, at a distance of not more than three hundred feet east from and parallel laith the western or inner line, pointed out to said com- pany, as herein before specified^ " The said company shall erect no buildings between the north line of Randolph street and the south line of Lake Park, nor occupy nor use the xoorhs proposed to be constructed betioeen these points, except for the passage of or for making up or distributing their trains, nor place upon any part of their works between said points any obstruction to the view of the lake from the shore, or suffer their locomotives, cars or other articles to remain upon their tracks, but only erect such works as are proper for the construction of their necessary tracks and the protection of the same." " The said company shall erect and maintain on the western or inner line of the ground pointed out tor its main track on the lake shore, as the same is hereinbefore defined, such suitable walls, fences, or other sufficient works as will prevent animals from stray- ing upon or obstructing its tracks, and secure persons and property from danger." " Said structure to be of suitable materials and sightly appear- ance, and of such hight as the common council may direct, and no change therein shall be made, except by mutual consent : Provi- ded, however, That the company shall construct such suitable gates at proper places at the ends of the streets which are now or may liereafter be laid out, or may be required by the coramoQ [ 508 I 4 council, to afford pafe access to tlie lake. And pi'ovided also, That ill case of the construction of an outside harbor, streets may he laid, out to approach the same in mam er provided by law, in -which case the common council may regulate the speed of locomo- tives and trains across them. [Gary's laws and ordinances of Chicago ; page 454.J The bill, whose passage is recommended by the majority of your committee, falsely assumes that the Illinois Central liailroad Com- pany is already the owner of all rights outside of its track for one mile east into the lake. The minority of your committee can see no reason why this .^assumption should be made, unless it is intended by false claim of right to deceive your honorable body and the public, into granting to that company, without- compensation, property and franchises, worth, as your committee are advised and believe, an amount equal to the whole value of all the property of the company. Under the express understanding that no right or privilege was granted beyond the limits specified, it asserts the ownership of a mile square of land and water beyond it. Under the solemn agreement that in case of the construction of an outside harbor, streets might be laid out to approach the same in the manner prescribed by law, and to regulate the speed of lo- comotives and trains crossing the same, it claims to be the only party entitled to build and enjoy such a harbor, and that the rights of the city terminate with its line of road. Under their agreement to be responsible for all damages and obstructions to the harbor of Chicago traceable to the construction of its works, as authorized by the agreement, it claims the right to appropriate to its only and sole use the entire outside harbor, and to extend its piers and fill out across the only entrance to the mouth of Chicago river, covering as it will, the channel of the river, which by the action of the waters of the lake is thrown to the south across the tracts which will be ceded to this company by this bill. Instead of keeping the space in front of Lake Park free from buildings, open and unobstructed to the view from the shore, it claims the right to fill it with warehouses, storehouses, lumber yards, and such erections as it shall please to erect thereon for its convenience oi- profit. 5 [ 509 ] Instead of keeping its solemn covenant in any particular, it seeks, without consideration to its covenantee, to break it in every part, to the destruction, as the people of the city believe, of the dearest interests of the city and the State, And to all this the bill proposes to add the sanction of a law. The minority of your committee cannot refrain from expressing the belief that no exigency exists which will justify this wrong on the part of this great corporation, or that will justify them in recommending that this bill be enacted into a law. Beyond these considerations there are others to which the mi- nority of your committee beg leave briefly to allude. The bill takes from the city of Chicago a strip of ground to which it has undoubted title, thirteen hundred and fifty feet in length and three hundred feet in width, fronting on Michigan avenue, worth $3,000,000, for which it arbitrarily fixes the price to be paid by the city at $800,000, and imposed as a penalty the for- feiture of even this small sum if it does not promptly yield to the unequal bargain. Whether this is constitutional or not, your committee have not stopped to consider. The glaring injustice demands at least that the bill shonld be amended so as to give the city fair compeusation for its property. It cedes to the company a mile square of land and water equal in value, when improved, to any in the city of Chicago, and in which the State and the city have the only interest, and over which they have control, limited only by the exigencies of navigation. The average depth of water over this land does not exceed ten feet. It may be filled up and docked over for about $200 per foot front by 180 feet deep, including the necessary streets and alleys ; and it adjoins property that is now selling for $800 to $1,500 per foot front. Carrying out these calculations, the Senate will get some idea of the vast inheritance with which we part if we pass this bill ; though it may give but a faint conception of the conse- quences for good or for irreparable evil to the state. It has been urged that this property is unimproved, and una- vailable to the state, and, in its present condition, yields no reve- nue to the state. This does not seem to us to justify even the least injustice to the city of Chicago ; much less does it justify us in hastening to give it away, and exempting it from state and county taxes, for less than two-thirds the actual yearly tax which [ 510 ] 6 would be paid to the state if it were sold to and improved by- other ])arries than the grantees in the bill under consideration. Your committee are informed that numerous parties stand ready to purchase this property in larger or smaller parcels — and they would deprecate the sale of the whole to any one individual or company — and that these purchasers would buy it in its unim- proved condition ; and among such purchasers would no doubt be found the railroads now seeking it as a gift. Lands of the state have heretofore been sold, and the avails honestly accounted for ; and it is believed honest agents might be found in this behalf. That part of the property included in the bill which lies east of a point fifteen hundred feet east of the present track of the Illi- nois Central Railroad should not be disposed of to any person or corporation, for the reason that throwing out embankments or piers beyond that point would cause the deposit of sand in front of the present entrance to the harbor, and destroy its usefulness, and impair the value of vast amounts of dock property within the city of Chicago ; and only such quantities, say three blocks in width north and south, ought to be disposed of until that shall be improved, and other parts are demanded for the accommodation of the growing business of the state, when it will bring an increased price. There is no guarantee in the bill that any improvement shall be made b}^ the company, and no protection against any arrangement which the company might make, under which the gross receipts of the road from such property might be merely nominal. One of the heaviest burdens which now rests upon the produ- cers of our state and the north-west is the present high rate of storage which is charged by the grain warehouses, now unfortu- nately combined under the influence and control of the railroads centering in Chicago. Although there is a stringent law upon our statute book, that railroads shall deliver grain to any ware- house to which it may^ be directed, yet so powerful is this combi- nation that the law is put at defiance, and all competition in stor- age is crushed out; and while the warehouses in the combination are filled to overflowing, at exorbitant rates of storage, other warehouses stand rotting by their sides, with empty bins, for the want of the business which they would gladly do for half the price. Yet, while the bill is careful to preserve legislative control over the wharfage and dockage upon the premises proposed to be 7 [ 511 ] ceded, no such control is reserved over the storage of grain and other products and merchandise. This will be the principal busi- ness which must be here carried on, and your committee would ask the Senate to inquire the cause of this omission. The minority of your committee might continue to enumerate reasons against the passage of this bill, but they forbear. They respectfully recommend that the bill be rejected. J. D. WARD, Chairman. ALLEN C. FULLEE, J. W. STREVELL, H. SNAPP. KFX