Commodore Vanderbilt was one of the most remarkable men our country has produced. He was endowed with wonderful foresight, grasp of difficult situations, ability to see opportunities before others, to solve serious problems, and the courage of his convictions. He had little education or early advantages, but was eminently successful in everything he undertook. As a boy on Staten Island he foresaw that upon transportation depended the settlement, growth, and prosperity of this nation. He began with a small boat running across the harbor from Staten Island to New York. Very early in his career he acquired a steamboat and in a few years was master of Long Island Sound. He then extended his operations to the Hudson River and speedily acquired the dominating ownership in boats competing between New York and Albany.
When gold was discovered in California he started a line on the Atlantic side of the Isthmus of Darien and secured from the government of Nicaragua the privilege of crossing the Isthmus for a transportation system through its territory, and then established a line of steamers on the Pacific to San Francisco.
In a short time the old-established lines, both on the Atlantic and the Pacific, were compelled to sell out to him. Then he entered the transatlantic trade, with steamers to Europe.
With that vision which is a gift and cannot be accounted for, he decided that the transportation work of the future was on land and in railroads. He abandoned the sea, and his first enterprise was the purchase of the New York and Harlem Railroad, which was only one hundred and twenty-eight miles long. The road was bankrupt and its road-bed and equipment going from bad to worse. The commodore reconstructed the line, re-equipped it, and by ****** it serviceable to its territory increased its traffic and turned its business from deficiency into profit. This was in 1864.
The commodore became president, and his son, William H. Vanderbilt, vice-president. He saw that the extension of the Harlem was not advisable, and so secured the Hudson River Railroad, running from New York to Albany, and became its president in 1865. It was a few months after this when he and his son invited me to become a member of their staff.
The station of the Harlem Railroad in the city of New York was at that time at Fourth Avenue and Twenty-sixth Street, and that of the Hudson River Railroad at Chambers Street, near the North River.
In a few years William H. Vanderbilt purchased the ground for the Harlem Railroad Company, where is now located the Grand Central Terminal, and by the acquisition by the New York Central and Hudson River Railroad of the Harlem Railroad the trains of the New York Central were brought around into the Grand Central Station.
In 1867, two years after Mr. Vanderbilt had acquired the Hudson River Railroad, he secured the control of the New York Central, which ran from Albany to Buffalo. This control was continued through the Lake Shore on one side of the lakes and the Michigan Central on the other to Chicago. Subsequently the Vanderbilt System was extended to Cincinnati and St. Louis. It was thus in immediate connection with the West and Northwest centering in Chicago, and the Southwest at Cincinnati and St. Louis.
By close connection and affiliation with the Chicago and Northwestern Railway Company, the Vanderbilt system was extended beyond to Mississippi. I became director in the New York Central in 1874 and in the Chicago and Northwestern in 1877.
It has been my good fortune to meet with more or less intimacy many of the remarkable men in every department of life, but I think Commodore Vanderbilt was the most original. I had been well acquainted for some years both with the commodore and his son, William H. When I became attorney my relations were more intimate than those usually existing. I was in daily consultation with the commodore during the ten years prior to his death, and with his son from 1866 to 1885, when he died.
The commodore was constantly, because of his wealth and power, importuned by people who wished to interest him in their schemes.
Most of the great and progressive enterprises of his time were presented to him. He would listen patiently, ask a few questions, and in a short time grasp the whole subject. Then with wonderful quickness and unerring judgment he would render his decision.
No one knew by what process he arrived at these conclusions.
They seemed to be the results as much of inspiration as of insight.
The Civil War closed in 1865, and one of its lessons had been the necessity for more railroads. The country had discovered that without transportation its vast and fertile territories could neither be populated nor made productive. Every mile of railroad carried settlers, opened farms and increased the national resources and wealth. The economical and critical conditions of the country, owing to the expansion of the currency and banking conditions, facilitated and encouraged vast schemes of railroad construction.
This and a wild speculation resulted in the panic of 1873. Nearly the whole country went bankrupt. The recovery was rapid, and the constructive talent of the Republic saw that the restoration of credit and prosperity must be led by railway solvency. In August, 1874, Commodore Vanderbilt invited the representatives of the other and competitive lines to a conference at Saratoga. Owing, however, to the jealousies and hostilities of the period, only the New York Central, the Pennsylvania, and the Erie railways were represented.
The eastern railway situation was then dominated by Commodore Vanderbilt, Colonel Thomas A. Scott, of the Pennsylvania, and John W. Garrett, of the Baltimore and Ohio. Both Scott and Garrett were original men and empire builders. There was neither governmental nor State regulation. The head of a railway system had practically unlimited power in the operation of his road.
