Democratic Sentinel, Volume 8, Number 28, Rensselaer, Jasper County, 8 August 1884 — WHY HE VETOED IT. [ARTICLE]

WHY HE VETOED IT.

Seasons Given by Governor Cleveland for Disapproving the Five Cent Fare Bill Existing Contracts and Constitutional Requirements Ignored by the General Assembly. Hm Measure Intended to Benefit Only People of Some Means and Considerable Leisure. Workingmen Biding on W L" Boads at Fire Cent Pares—The Clamor Baised by Designing Politicians. Otow York speciaLl Since Ooremor Cleveland was first spoken of so prominently as a candidate for the Presidency, certain of his official acts have been brought up by his enemies to create prejudices against him. Now that he is actually the rtominee of his party it will be the more necessary for his opponents to suppress some and falsify other truths in regard to the acts of his administration as Governor of the Empire State. His veto of Assembly bill No. 58, commonly known as the * Elevated Bailroad Five Cent Fare Bill," in March, 1883, is the act which has been most prominently urged against him ■during the oampaign to influence the laboring classes. It is safe to predict, however, that none of his opponents will dare to state in detail the reasons which the Governor gave for his veto, or mention all the circumstances under which it was proposed to reduce the faxes on £he New York elevated roads to five cents. The bill forbade the collection of more than five rents fare between the Battery and Harlem on any elevated railroad. For the past two . years, by an aot of the Legislature, the railroads have been compelled during six hours of the day, from 5:30 a. m. to 8:30 a. m., and from 5:30 ,p. m. to 8:30 p. m., to carry passengers for 5 cents, and these hours were specially fixed to accommodate the laboring classes duting the hours for their going to and from work. This bill was to make the fare 5 cents all day long, and was confessedly gotten up and urged by Wall street people who were “bearing" the Elevated Railroad stocks, although a popular agitation was cleverly worked up to aid their scheme. Impressed with its importance, and, aware of the public interest which it had excited, the Governor exercised the greatest •care and made most diligent inquiry into the measure before rendering his decision, which he gave, finally, in a veto message, setting forth his vrews with great fullness. “I am convinced," he said, “that in all cases the share which falls upon the Executive regarding the legislation of the State should ibe in no manner evaded, but fairly met by the expression of his carefully guarded and unbiased judgment. In his conclusions ho may err, but if he has fairly and honestly acted, he has performed his duty and has given to the people of the State his best endeavors." Then, in justification of his veto, he gave a history of the elevated road 3 and dhe agreements made between them, and the State and city of New York. In 1875 an act was passed, known as the rapid transit act, creating a Board of Commissioners (to be appointed by the Mayor of New York Oity) with power to regulate various matters in connection with the elevated roads. The Board was appointed, and they made a special agreement with the company that it should charge for any distance less than five miles not more than ten cents, and not more than two cents for each additional mile or fract'oa of a mile. It was further •agreed that tae company should, between 5:30 and 8:30 in the morning and evening, run what was known as “commission” trains, for the benefit of workingmen going to or coming from their work, on which not more than five cents fare should be charged from the Battery to Fifty-ninth street, and no more than seven cents from the Battery to Harlem. It was still further agreed that when the net increase of the road, after all •expenditures, taxes and charges were paid, should amount to a dividend of 10 per cent, on the capital stock of the company, then, or within six months thereafter, the company should run trains at all hours of the Aay at reduced rates. These agreements were reported by the Board of Commissioners to the Mayor, and, in the fall of 1875, they were approved by the Board of Aidermen. The New York Elevated Kailway •Company thereupon completed its road to Harlem, a distance of ten miles. “The bill before me,” said the Governor, “provides that, notwithstanding all the statutes that have been passed, and all that has been done thereunder, passengers shall be carried the whole length of this road for 5 cents, a sum much less than is provided for in any of such statutes or stipulated in the proceedings of the Commissioners. I am of the opinion that in the legislative proceedings which I have detailed, and in the fact that pursuant thereto the road of the company was constructed and finished, there exists a contract in favor of this company which is protected by that clause in the Constitution of the United States which prohibits the passage of a law by any State impairing the obligation of contract.” The Governor wont on so say that, even if this view of the case were incorrect, section thirty-three of the general railroad act provided that the Legislature may, when any railroad shall be opened for use, from time to time, alter or reduce the .xates of freight, fare, or other profits upon said road, but the reduction shall not, Without the consent of the company, be so great as to bring the profits on the invested capital to less than 10 per cent, per annum, and this reduction shall not be made except upon an examination by the State Engineer and Surveyor and Comptroller, showing that in the year then last past the net income of the company from .all sources shall have exceeded an annual income of 10 per cent, on the capital actually expended. “Even if the Slate has the power,” continued the Governor, “to reduce the rates of fare upon these roads, it has agreed not to do so except under certain oiroumstauces, and after a certain examination. I am not satisfied that these circumstances exist, and it is conceded that no Buoh examination has been made. The constitutional objections which I have suggested to the bill under consideration are net I think, removed by the claim that the proposed legislation is in the nature of an alteration of the charters of these companies, and that this is permitted by the State •Constitution and by the provisions of some of th? laws to which I have referred I suppose that, while the charters of corporation* may be altered or repealed, it must be done in subordination to the Constitution of the United States, the supreme law of the land. This leads to the conclusion that ihe alteration of a charter can not be made the pretext for a law which impairs the obligation of contracts.” In addition to these reasons Gov. Cleveland said that to arbitrarily reduce the fares under the circumstances existing would be * brenoh of faith on the pait of the State and a betrayal of confidence which the Sta e had invited. For many years rapid tran it yras th™ great need of the people of New YAxk Oily. The Legislature, appreciating

the situation, passed statute after statute encouraging schemes which promised a solution of the pn blem. Capitalists were induced to in vest their money .and rapid transit had but Lately become an accomplished fact, but much of the risk and burden attending the maintenance of the roads was yet unknown and threatening. In conclusion the Governor said : “We have especially in our keeping the honor and faith of a great State, and we should see to it that no suspicion attaches, through any act of ours, to the fair fame of the con mon wealth. Th? State should not only be strictly just but scrupulously fair.”