"Section 10. The credit of that state shall never be given or

loaned in aid of any individual association or corporation,

except that, for the purpose of expediting the construction of

the lines of railroads, in aid of which the congress of the

United States has granted lands to the Territory of Minnesota,

the governor shall cause to be issued and delivered to each of

the companies in which said grants are vested by the legislative

assembly of Minnesota the special bonds of the state, bearing an

interest of seven per cent per annum, payable semi-annually in

the city of New York, as a loan of public credit, to an amount

not exceeding twelve hundred and fifty thousand dollars, or an

aggregate amount to all of said companies not exceeding five

millions of dollars, in manner following, to-wit:"

The amendment then prescribes that, whenever ten miles of railroad was

graded so as to be ready for the superstructure, it should receive

$100,000 of the bonds, and when ten miles should be completed with the

cars running, the company so completing should receive another $100,000

of the bonds until each company had received its quota. The bonds were

to be denominated "State Railroad Bonds," for the payment of which the

faith and credit of the state was to be pledged. The railroad companies

were to pay the principal and interest of the bonds, and to secure such

payment they were to pledge the net profits of their respective roads,

and to convey to the state the first two hundred and forty sections of

land they received, and to deliver to the state treasurer an amount of

their first mortgage bonds equal to the amount of bonds received by them

from the state, and mortgage to the state their roads and franchises.

This was all the security the companies could give, but the underlying

difficulty was that it had no value whatever. There were no roads, no

net or other profits. The lands had no value whatever except such as lay

in the future, which was dependent on the construction of the roads and

the settlement of the country. The bonds of the companies, of course,

possessed only such value as the property they represented, which was

nothing, and the mortgages were of the same character. The whole scheme

was based upon hopes, which the slightest application of sober reasoning

would have pronounced impossible of fulfillment. But the country was

hungry, and willing to seize upon anything that offered a semblance or

shadow of relief.

The proposed amendment was to be submitted to the people for adoption

or rejection, at an election to be held on the fifteenth day of April,

1858. In order to fully comprehend the condition of the public mind, it

should be known that the constitution, with all the safeguards that I

have mentioned, had only been in force since Oct. 13, 1857, a period of

about six months, and had been carried by a vote of 30,055 for to 571

against its adoption.

The campaign preceding the election was a very active one. The railroad

people flooded the state with speakers, documents, pictures, glee clubs

singing songs of the delights of "Riding on the Rail," and every

conceivable artifice was resorted to to carry the amendment. It was

carried by a vote of 25,023 in favor of its passage, to 6,733 against.

To give an idea of the intense feeling that was exhibited in this

election, it is only necessary to state that at the city of Winona there

were 1,102 votes cast in favor of the amendment and only one vote

against it. This negative vote, to his eternal honor be it said, was

cast by Thomas Wilson, afterwards chief justice of the state, and now a

citizen of St. Paul.

In the execution of the requirements of the amendment, the railroad

companies claimed that they could issue first mortgage bonds on their

properties to an indefinite amount and exchange them with the state for

its bonds, bond for bond, but the governor, who was Hon. Henry H.

Sibley, construed the amendment to mean that the first mortgage bonds of

the companies which the state was to receive must be an exclusive first

lien on the lands and franchises of the company. He therefore declined

to issue the bonds of the state unless his views were adopted. The

Minnesota & Pacific Railroad Company, one of the land grant

corporations, applied to the supreme court of the state for a writ of

mandamus, to compel the governor to issue the bonds. The case was heard,

and two members of the court holding the views of the applicants, the

writ was issued. I was a member of the court at that time, but

entertaining opposite views from the majority, I filed a dissenting

opinion. Anyone sufficiently interested in the question can find the

case reported in Volume II. of the Minnesota Reports, at page 13. This

decision was only to be advisory, as the courts have no power to coerce

the executive.

The railroad companies entered into contracts for grading their roads,

and a sufficient amount of grading was done to entitle them to about

$2,300,000 of the bonds, which were issued accordingly, and went into

the hands of the contractors to pay for the work done. It, however, soon

became apparent that no completed railroad would ever result from this

scheme, even if the whole five millions of bonds were issued. What

should have been known before was made clear when any of these state

bonds were put on the market. The credit of the state was worthless, and

the bonds were valueless. The people became as anxious to shake off the

incubus of debt they had imposed upon their infant state as they had

been to rush into it.

Governor Sibley, in his message, delivered to the second legislature in

December, 1859, said, in speaking of this issue of bonds:

"I regret to be obliged to state that the measure has proved a failure,

and has by no means accomplished what was hoped for it, either in

providing means for the issue of a safe currency, or of aiding the

companies in the completion of the roads."

At the election, held on Nov. 6, 1860, the constitution was again

amended, by expunging from it the amendment of 1858 authorizing the

issue of the state railroad bonds, and prohibiting any further issue of

them. An amendment was also made to section 2 of Article IX. of the

constitution at the same time, by providing that no law levying a tax,

or making any other provisions for the payment of interest or principal

of the bonds already issued, should take effect or be in force until it

had been submitted to the people, and adopted by a majority of the

electors.

It was very proper to prohibit the issuance of any more of the bonds,

but the provision requiring a vote of the people before those already

out could be paid was practically repudiation, and the state labored

under that damaging stigma for over twenty years. Attempts were made to

obtain the sanction of the people for the payment of these bonds, but

they were defeated, until it became unpleasant to admit that one was a

resident of Minnesota. Whenever the name of Minnesota was heard on the

floor of congress as an applicant for favors, or even for justice, it

was met by the charge of repudiation. This was an era in our history

very much to be regretted, but the state grew steadily in material

wealth.

On March 2, 1881, the legislature passed an act, the general purpose of

which was to adjust, with the consent of the holders, the outstanding

bonds, at the rate of fifty cents on the dollar, and contained the

curious provision that the supreme court should decide whether it must

first be submitted to the people in order to be valid or not, and if the

supreme court should not so decide, then an equal number of the judges

of the district court should act. The supreme court judges declined to

act, and the governor called upon the district court judges to assume

the duty. Before any action was taken by the latter, the attorney

general applied to the supreme court for a writ of prohibition to

prevent them from taking any action. The case was most elaborately

discussed, and the opinion of the supreme court was delivered by Chief

Justice Gilfillan, which is most exhaustive and convincing. The court

holds that the act of 1881 is void, by conferring upon the judiciary

legislative power, and that the amendment to the constitution providing

that no bonds should be paid unless the law authorizing such payment was

first submitted to and adopted by the people was void, as being

repugnant to the clause in the constitution of the United States, that

no state shall pass any law impairing the obligation of contracts. With

these impediments to a just settlement of this question removed, the

state was at liberty to make such arrangements with its bond creditors

as was satisfactory. John S. Pillsbury was governor at that time. He had

always been in favor of paying the bonds, and removing the stain from

the honor of the state, and finding his hands free, it did not take him

long to arrange the whole matter satisfactorily, and to the approval of

all the parties. The debt was paid by the issue of new bonds, at the

rate of fifty per cent of the principal and interest of the outstanding

ones and the surrender of the latter. This adjustment ended a

transaction that was conceived and executed in folly, and was only

prevented from eventuating in crime by the persistent efforts of our

most honorable and thoughtful citizens throughout the state. The

transaction has often been called by those who advocated repudiation,

"An old Territorial fraud," but there was nothing in it but a bad

bargain, made under the extraordinary pressure of financial

difficulties.

THE FIRST RAILROAD ACTUALLY BUILT.

The state was restored to all the lands and franchises of the various

companies by means of foreclosure, and on March 8, 1861, passed an act

to facilitate the construction of the Minnesota & Pacific Railroad, by

which act the old railroad was rehabilitated, and required to construct

and put in operation its road from St. Paul to St. Anthony on or before

the first day of January, 1862. The company was required to deposit with

the governor $10,000 as an earnest of good faith. Work was soon

commenced, and the first ten miles constructed as required. This was the

first railroad ever built and operated in Minnesota. The first

locomotive engine was brought up the river on a barge, and landed at the

St. Paul end of the track in the latter part of October, 1861. This

pioneer locomotive was called the "William Crooks," after an engineer of

that name who was very active and instrumental in the building of the

road. This first ten miles of road cost more energy and brain work than

all the rest of the vast system that has succeeded it. It was the

initial step in what is now known as the Great Northern Railway, a road

that spans the continent from St. Paul to the Pacific, and reflects upon

its enterprising builders all the credit due to the pioneer.

It was not long before the Northern Pacific Railroad Company was

incorporated by act of congress, passed on July 2, 1864. This road was

to extend from the head of Lake Superior to Puget Sound, on a line north

of the forty-fifth degree of north latitude, with a branch via the

valley of the Columbia river to Portland, Ore. The company had a grant

of land of twenty alternate sections through the states. It was

commenced shortly after its incorporation, but met with financial

disaster, and was sold under foreclosure of a mortgage, and underwent

many trials and tribulations, until it was finally completed on the

eighth day of September, in the year 1883, and has been in successful

operation ever since. As the Northern Pacific has its eastern terminus

and general offices in St. Paul, it is essentially a Minnesota road. The

same may be said of the Great Northern, although both are

transcontinental roads.

From the small beginning of railroad construction in 1862 have grown

thirty-seven distinct railroad corporations, operating in the state of

Minnesota 6,062.69 miles of main tracks, according to the official

reports of 1898, with quite a substantial addition in course of

construction. These various lines cover and render accessible nearly

every city, town and village in the state.

The method of taxation of railroad property adopted by the state is a

very wise and just one. It imposes a tax of three per cent upon the

gross earnings of the roads, which, in 1896, yielded the comfortable sum

of $1,037,194.40, the gross earnings of all amounting to $36,918,741.71.

This plan of taxation gives the state a direct interest in the

prosperity of the roads, as its taxes are increased when business is

good and the roads are relieved from oppressive taxation in time of

business depression.

The grading which was done and for which the bonds of the state were

issued was, as a general thing, utilized in the final construction of

the roads.

THE SPIRIT LAKE MASSACRE.

In 1842 the country north of Iowa and west of the Mississippi as far

north as the Little Rapids, on the Minnesota river, was occupied by the

M'day-wa-kon-ton and Wak-pe-ku-ta bands of Sioux. The Wak-pe-ku-ta band

was at war with the Sacs and Foxes, and was under the leadership of two

principal chiefs, named Wam-di-sapa (the "Black Eagle") and Ta-sa-gi.

Wam-di-sapa and his band were a lawless, predatory set, whose

depredations prolonged the war with the Sacs and Foxes, and finally

separated him and his band from the Wak-pe-ku-tas. They moved west

towards the Missouri, and occupied the valley of the Vermillion river,

and so thorough was the separation that the band was not regarded as

part of the Wak-pe-ku-ta when the latter, together with the

M'day-wa-kon-tons, made their treaty with the government at Mendota in

1851.

By 1857 all that remained of Wam-di-sapa's straggling band was about ten

or fifteen lodges under the chieftainship of Ink-pa-du-ta, or the

"Scarlet Point," or the "Red End." They had planted near Spirit lake,

which lies partly in Dickinson county, Iowa, and partly in Jackson

county, Minnesota, prior to 1857, and ranged the country from there to

the Missouri, and were considered a bad lot of vagabonds.

Between 1855 and 1857 a small settlement had sprung up about forty miles

south of Spirit lake, on the In-yan-yan-ke or Rock river.

In the spring of 1856 Hon. William Freeborn of Red Wing (after whom the

county of Freeborn in this state is called) had projected a settlement

at Spirit lake, which, by the next spring, contained six or seven

houses, with as many families.

About the same time another settlement was started some ten or fifteen

miles north of Spirit lake, on the head waters of the Des Moines, and a

town laid out which was called Springfield. In the spring of 1857 there

were two stores and several families at this place.

These settlements were on the extreme frontier, and very much isolated.

There was nothing to the west of them until you reached the Rocky

Mountains, and the nearest settlements on the north and northeast were

on the Minnesota and Watonwan rivers, while to the south lay the small

settlement on the Rock river, about forty miles distant. All these

settlements, although on ceded lands, were actually in the heart of the

Indian country, and absolutely unprotected and defenseless.

In 1857 I was United States Indian agent for the Sioux of the

Mississippi, but had lived on the frontier long enough before to have

acquired a general knowledge of Ink-pa-du-ta's reputation and his

whereabouts. I was stationed on the Redwood and Yellow Medicine rivers,

near where they empty into the Minnesota, and about eighty miles from

Spirit lake.

Early in March, 1857, Ink-pa-du-ta's band was hunting in the

neighborhood of the settlement on the Rock river, and one of them was

bitten by a dog belonging to a white man. The Indian killed the dog. The

owner of the dog assaulted the Indian, and beat him severely. The white

men then went in a body to the camp of the Indians and disarmed them.

The arms were either returned to them or they obtained others, I

have never ascertained which. They were probably given back to them on

condition that they should leave, as they at once came north to Spirit

lake, where they must have arrived about the 6th or 7th of March. They

proceeded at once to massacre the settlers, and killed all the men they

found there, together with some women, and carried into captivity four

women, three of whom were married and one single. Their names were Mrs.

Noble, Mrs. Marble, Mrs. Thatcher and Miss Gardner. They came north to

the Springfield settlement, where they killed all the people they found.

The total number killed at both places was forty-two.

I was the first person to receive notice of this affair. On the 9th of

March a Mr. Morris Markham, who had been absent from the Spirit lake

settlement for some time, returned, and found all the people dead or

missing. Seeing signs of Indians, he took it for granted that they had

perpetrated the outrage. He at once went to Springfield, and reported

what he had seen. Some of the people fled, but others remained, and lost

their lives in consequence. It has always been my opinion that, being in

the habit of trading with these Indians occasionally, they did not

believe they stood in any danger; and, what is equally probable, they

may not have believed the report. Everyone who has lived in an Indian

country knows how frequently startling rumors are in circulation, and

how often they prove unfounded.

The people of Springfield sent the news to me by two young men, who came

on foot through the deep snow. The story was corroborated in a way that

convinced me that it was true. They arrived on the 18th of March,

completely worn out and snow-blind. I at once made a requisition on

Colonel Alexander, commanding at Fort Ridgely, for troops. There were at

the fort five or six companies of the Tenth United States Infantry, and

the colonel promptly ordered Capt. Barnard E. Bee of Company "A" to

proceed with his company to the scene of the trouble. The country

between the fort and Spirit lake was uninhabited, and the distance from

eighty to one hundred miles. I furnished two experienced guides from

among my Sioux half-breeds. They took a pony and a light traineau, put

on their snowshoes, and were ready to go anywhere. Not so with the

soldiers, however. They were equipped in about the same manner as they

would have been in campaigning in Florida, their only transportation

being heavy wheeled army wagons, drawn by six mules. It soon became

apparent that the outfit could not move straight to the objective point,

and it became necessary to follow a trail down the Minnesota to Mankato

and up the Watonwan in the direction of the lake, which was reached

after one of the most arduous marches ever made by troops, on which for

many miles the soldiers had to march ahead of the mules to break a road

for them. The Indians, as we expected, were gone. A short pursuit was

made, but the guides pronounced the camp fires of the Indians several

days old, and it was abandoned. The dead were buried, and after a short

stay, the soldiers returned to the fort.

When this affair became known throughout the territory it caused great

consternation and apprehension, most of the settlers supposing it was

the work of the Sioux nation. Many of the most exposed abandoned their

homes temporarily. Their fears, however, were allayed by an explanation

which I published in the newspapers.

I at once began to devise plans for the rescue of the white women. I

knew that any hostile demonstration would result in their murder. While

thinking the matter out an event occurred that opened the way to a

solution. A party of my Indians had been hunting on the Big Sioux river,

and having learned that Ink-pa-du-ta was encamped at Lake

Chan-pta-ya-tan-ka, and that he had some white women prisoners, two

young brothers visited the camp and succeeded in purchasing Mrs. Marble,

and brought her into the Yellow Medicine agency, and delivered her to

the missionaries, who turned her over to me. I received her on the 21st

of March, and learned that two of the other captives were still alive.

Of course, my first object was to rescue the survivors, and to encourage

the Indians to make the attempt, I paid the brothers who had brought in

Mrs. Marble $500 each. I could raise only $500 at the agency in money,

and to make up the deficiency I resorted to a method, then novel, but

which has since become quite general. I issued a bond, which, although

done without authority, met with a better fate than many that followed

it,--it was paid at maturity.

As it was the first bond ever issued in what is now Minnesota, the two

Dakotas, Montana, and, I may add, the whole Northwest; it may be

interesting to give it in full:

"I, STEPHEN R. RIGGS, Missionary among the Sioux Indians, and I,

CHARLES E. FLANDRAU, United States Indian agent for the Sioux,

being satisfied that Mak-piya-ka-ho-ton and Si-ha-ho-ta, two

Sioux Indians, have performed a valuable service to the

Territory of Minnesota and humanity, by rescuing from captivity

Mrs. Margaret Ann Marble, and delivering her to the Sioux agent,

and being further satisfied that the rescue of the two remaining

white women who are now in captivity among Ink-pa-du-ta's band

of Indians depends very much on the liberality shown towards the

said Indians who have rescued Mrs. Marble, and having full

confidence in the humanity and liberality of the Territory of

Minnesota, through its government and citizens, have this day

paid to said two above named Indians, the sum of five hundred

dollars in money, and do hereby pledge to said two Indians that

the further sum of five hundred dollars will be paid to them by

the Territory of Minnesota or its citizens within three months

from date hereof.

"Dated, May 22, 1857, at Pa-ju-ta-zi-zi, M. T.

"STEPHEN R. RIGGS,

"Missionary, A. B. C. F. M.

"CHAS. E. FLANDRAU,

"U. S. Indian Agent for Sioux."

I immediately called for volunteers to rescue the remaining two women,

and soon had my choice. I selected Paul Ma-za-ku-ta-ma-ni, the president

of the Hazelwood Republic, An-pe-tu-tok-cha, or John Otherday, and

Che-tan-ma-za, or the Iron Hawk. I gave them a large outfit of horses,

wagons, calicos, trinkets of all kinds, and a general assortment of

things that tempt the savage. They started on the twenty-third day of

May, from the Yellow Medicine agency, on their important and dangerous

mission. I did not expect them to return before the middle of June, and

immediately commenced preparations to punish the marauders. I went to

the fort, and together with Colonel Alexander, we laid a plan to attack

Ink-pa-du-ta's camp, with the entire garrison, and utterly annihilate

them, which we would undoubtedly have accomplished had not an unexpected

event frustrated our plans. Of course, we could not move on the Indians

until my expedition had returned with the captives, as that would have

been certain death to them; but just about the time we were anxiously

expecting them, a couple of steamboats arrived at the fort with

peremptory orders for the whole garrison to embark for Utah to join Gen.

Albert Sydney Johnson's expedition against the Mormons, and that was the

last I saw of the Tenth for ten years.

My expedition found that Mrs. Thatcher and Mrs. Noble had been killed,

but succeeded in bringing in Miss Gardner, who was forwarded to me at

St. Paul, and by me formally delivered to Governor Medary on June 23,

1857. She was afterwards married, and is now a widow, Mrs. Abbie Gardner

Sharpe, and resides in the house from which she was abducted by the

savages, forty-three years ago. I paid the Indians who rescued her $400

each for their services. The territory made an appropriation on the

fifteenth day of May, 1857, of $10,000 to rescue the captives, but as

there were no telegraphs or other speedy means of communication, the

work was all done before the news of the appropriation reached the

border. My outlay, however, was all refunded from this appropriation. I

afterwards succeeded, with a squad of soldiers and citizens, in killing

one of Ink-pa-du-ta's sons, who had taken an active part in the

massacre, and that ended the first serious Indian trouble that Minnesota

was afflicted with.

THE CONSTITUTIONAL CONVENTION.

The History of Minnesota and Tales of the Frontier · 第 7 / 28 段