Wikipedia:WikiProject Trains/ICC valuations/Cincinnati, New Orleans and Texas Pacific Railway

Interstate Commerce Commission, Valuation Reports, Volume 37

The Cincinnati, New Orleans & Texas Pacific Railway

Location and General Description of Properties

The railroad operated by The Cincinnati, New Orleans & Texas Pacific Railway Company, hereinafter called the Cincinnati, New Orleans & Texas Pacific, is a standard-gage, steam railroad, located in Ohio, Kentucky, and Tennessee. The main line, part of which is double tracked, extends from Cincinnati, Ohio, to Chattanooga, Tenn., a distance of about 338 miles. The other principal cities served by this road are Danville, Lexington, and Somerset, Ky.

The railroad owned by the Cincinnati, New Orleans & Texas Pacific amounts to only 5.490 miles, comprising a short branch line in Tennessee, all of which it uses. This company also owns equipment, together with lands, sidetracks, buildings, machinery, furniture, and other improvements located along its leased line.

The railroad leased by the Cincinnati, New Orleans & Texas Pacific amounts to 341.277 miles, of which 128.519 miles is double tracked, and comprises the entire main line from Cincinnati to Chattanooga. This property is owned by the city of Cincinnati, Ohio, but is known under the trade name of and is hereinafter called in this report the Cincinnati Southern Railway. Information respecting the management, financing, and accounting of the Cincinnati Southern Railway will be found in Appendix 2.

The Cincinnati, New Orleans & Texas Pacific is indirectly controlled by the Southern Railway Company, and its property is operated as a part of the Southern Railway system. Its line is a part of a through route from Cincinnati, Ohio, to New Orleans, La.

The Cincinnati, New Orleans & Texas Pacific wholly owns and uses 26.044 miles of all tracks, wholly uses but does not own 706.694 miles of all tracks, and jointly uses but does not own 0.231 undivided mile of all tracks. These tracks, consisting of first and second main tracks and yard tracks and sidings, are classified in the trackage table in Appendix 1.

Introductory

The Cincinnati, New Orleans & Texas Pacific is a corporation of the State of Ohio, having its principal office at Cincinnati, Ohio.

The Cincinnati, New Orleans & Texas Pacific is controlled by the Southwestern Construction Company through ownership of a majority of its capital stock. On the other hand, the Cincinnati, New Orleans & Texas Pacific controls, through ownership of their entire capital stock, the Harriman and Northeastern Railroad Company and the Cincinnati, Burnside & Cumberland River Railway Company, whose common-carrier properties are operated independently. It controls further, jointly with other companies, through ownership of capital stock to the extent indicated, one terminal company and one industrial company that are operated independently. The names of these companies, together with a statement showing how and the extent of the Cincinnati, New Orleans & Texas Pacific's control, are given below.

Name of company	How controlled	Extent Per cent
Terminal company, Chattanooga Station Company.	Jointly with The Alabama Great Southern Railroad Company, the Southern Railway Company, and the Central of Georgia Railway Company.	25
Industrial company, Gadsden Car Works.	Jointly with The Alabama Great Southern Railroad Company.	50

The property held under lease by the Cincinnati, New Orleans & Texas Pacific was operated by its own organization from October 12, 1881, until the receivership March 18, 1893. From the latter date to September 30, 1899, it was operated by a receiver, and from October 1, 1899, to December 31, 1917, it was operated by its own organization. On January 1, 1918, the common-carrier property of the company and that held by it under lease was taken over for operation by the United States Railroad Administration, which still operates it on date of valuation.

Corporate History

The Cincinnati, New Orleans & Texas Pacific was incorporated September 8, 1881, under the general laws of the State of Ohio, for the purpose of leasing and operating the railroad of the city of Cincinnati, Ohio, hereinafter referred to as the Cincinnati Southern Railway.

Development of Fixed Physical Property

The owned mileage of the Cincinnati, New Orleans & Texas Pacific amounting to 5.490 miles consists of improvements along leased line located in the State of Tennessee which was acquired by construction. The date when the property was constructed was not ascertained. In addition, the company owns certain equipment, shop buildings, machinery and tools, furniture and fixtures, and certain real estate, all of which was acquired by construction and additions and betterments.

Leased Railway Property

The property of the Cincinnati, New Orleans & Texas Pacific, together with the property of the Cincinnati Southern Railway that it leases, devoted to common-carrier purposes, was taken over for operation by the United States Railroad Administration on January 1, 1918, and is so operated on date of valuation.

The arrangements of the Cincinnati, New Orleans & Texas Pacific with other carriers, in effect December 31, 1917, covering the use of joint facilities have been continued by the United States Railroad Administration during the period January 1, 1918, to date of valuation.

The description of the property, the period and terms of use and the rentals accrued and charged or credited to income for the year ended December 31, 1917, are as follows:

	Rentals
Solely leased from others, leased from Cincinnati Southern Railway, entire property; term 25 years from Oct. 12, 1881, with supplemental lease dated June 7, 1902, extending to Oct. 12, 1966; stipulated payment per annum $800,000 for first five years, $900,000 for second five years, $1,000,000 for third five years, $1,090,000 for fourth five years, $1,250,000 for fifth five years, $1,050,000 per annum for first 20-year period of supplemental lease, $1,100,000 for the second 20 years and $1,200,000 for the last term of 20 years; at the time of the extension there remained four years of the original 25-year term, the rental of which was so modified that $200,000 thereof per annum was extended and made payable at rate of $40,000 per annum, with interest at 3 percent per annum on the remaining deferred payment until fully paid. The Cincinnati, New Orleans & Texas Pacific pays, also, $12,000 per annum for maintenance of trustees’ organization, pays all taxes and maintenance, and interest on bonds issued to provide funds for certain additions and betterments at Cincinnati, together with an amount equal to 1 per cent per annum of the par value of the bonds to provide a sinking fund for the retirement thereof; all additions and betterments to the property to become the property of the Cincinnati Southern Railway at the termination of the lease.	$1,210,815.00
Solely leased, but jointly used, owned by Cincinnati Southern Railway, used with—
Southern Railway Company—
Tracks, 4.88 miles, together with freight and passenger stations and yard tracks at Danville, Ky.; for indefinite period from June 19, 1905; annual rental a proportion, on a car and train basis, of interest at 5 per cent on a valuation of $242,075.21 for main track, $107,820.05 for yard tracks, and $57,202.28 for freight and passenger stations; also a proportion on the same basis of maintenance, operation, and taxes.	5,640.27
Tracks, 2.075 miles, from junction with tracks of The Alabama Great Southern Railroad Company, near Chattanooga, Tenn., to junction with tracks of the Belt Railway Company of Chattanooga, near Citico, Tenn.; for indefinite period from Apr. 20, 1911; annual rental a proportion, on a wheelage basis, of interest at 5 per cent on a valuation of $119,050.34; also a proportion on the same basis of maintenance, operation, and taxes.	2,331.83
Tracks, 0.975 mile, and passenger-station facilities at Lexington, Ky.; for indefinite period from Dec. 7, 1915; stipulated payment of $3,125 per annum for track and station facilities and $20 per annum for right of way; also a proportion, on a percentage basis, of maintenance and operation.	3,158.64
Yard tracks, 1.43 miles, and station facilities at Georgetown, Ky.; for indefinite period from Oct. 15, 1915; use of certain track facilities exchanged; rental $378 per annum, also 15 percent of maintenance and operation.	378.00
Depot facilities at Harriman Junction, Tenn.; fixed monthly rental of $6.78.	81.36
Depot and terminal facilities at Burgin, Ky.; for indefinite period from Nov. 15, 1915, fixed rental of $10.75 per month.	129.00
Central of Georgia Railway Company, yard tracks, 0.097 mile, at Chattanooga, Tenn.; for indefinite period from June 1, 1910; stipulated payment 75 cents per car.	2,282.44
The Alabama Great Southern Railroad Company, freight station facilities, yardmaster's office, and river track at Chattanooga, Tenn.; for indefinite periods from August, 1900, June 1, 1889, and January, 1884, respectively; fixed rental of $45 per month for freight-station facilities, $8 for yardmaster's office, and $76.76 for river track.	1,557.16
Harriman and Northeastern Railroad Company, yard tracks at Harriman, Tenn.; fixed monthly rental of $40.	480.00
Frankfort & Cincinnati Railway Company, depot facilities at Georgetown, Ky.; for indefinite period from Nov. 1, 1911; fixed rental of $18 per month.	216.00
Solely owned, but not used, leased to Kentucky & Tennessee Railway, 166.78 tons of rail and 11.20 tons of angle bars at Stearns, Ky.; valuation $3,737.58; for indefinite period from Sept. 15, 1904.	226.24
Jointly used, but not owned, owned by—
The Baltimore and Ohio Southwestern Railroad Company—
Tracks, 1.08 miles, at Cincinnati, Ohio; for indefinite period from Apr. 16, 1880; fixed rental $600 per month.	7,200.00
Yard track No. 4, Gest Street, Cincinnati, Ohio; for indefinite period from June 1, 1911; rental $50 per month.	600.00
The Cleveland, Cincinnati, Chicago and St. Louis Railway Company, tracks, 1.22 miles, at Cincinnati, Ohio; for indefinite period from Apr. 17, 1880; rental $10,000 per annum; the Cincinnati, New Orleans & Texas Pacific pays, also, a proportion, on wheelage basis, of maintenance and operation.	10,000.00
Chattanooga Station Company, tracks, 1.06 miles, passenger station and yard tracks appurtenant thereto at Chattanooga, Tenn.; term 50 years from Jan. 1, 1907; stipulated: payment a proportion, on a car basis, of 5 per cent interest on $1,000,000 par value of bonds, 4 per cent on outstanding fully paid capital stock and of maintenance and operations.	12,919.72
The Central Union Depot and Railway Company of Cincinnati, tracks, 0.24 mile, passenger station and yard tracks appurtenant thereto at Cincinnati, Ohio; for indefinite period from Nov. 16, 1883; stipulated payment $1,500 per month; maintenance, operation, and taxes divided on a train basis.	17,233.91
Southern Railway Company, tracks, 0.49 mile, at Harriman Junction, Tenn.; for indefinite period from June 13, 1905; stipulated payment 2.5 per cent on a valuation of $3,253; maintenance and operation divided on an engine and car basis. The amount of rental accrued and charged to income for the year ended Dec. 31, 1917, was not ascertained.	......
Belt Railway Company of Chattanooga (The Alabama Great Southern Railroad Company, lessee), tracks, 25.160 miles at Chattanooga, Tenn.; for indefinite period from July 1, 1915; annual rental 32.06 per cent of interest on outstanding obligations of the Belt Railway Company of Chattanooga, also of maintenance, operation, and taxes.	15,908.54
Chattanooga Terminal Railway Company (The Alabama Great Southern Railroad Company, lessee), tracks, 0.855 mile, at Chattanooga, Tenn.; for indefinite period from July 1, 1915; stipulated payment per annum 32.06 per cent of interest on outstanding obligations of the Chattanooga Terminal Railway Company, also of maintenance, operation, and taxes. The amount of rental accrued and charged to income for the year ended Dec. 31, 1917, was not ascertained.	......

There are other facilities of minor importance, such as stations, interlockers, yard tracks and sidings, in which the Cincinnati, New Orleans & Texas Pacific grants or receives joint use, that are not listed in this chapter.