Wikipedia:WikiProject Trains/ICC valuations/Fort Smith and Western Railroad

Interstate Commerce Commission, Valuation Reports, Volume 134

Fort Smith and Western Railroad

Location and General Description of Property

The railroad of the Fort Smith and Western Railroad Company, herein called the carrier, is a single-track, standard-gauge, steam railroad, extending in a general westerly direction from Coal Creek to Guthrie, Okla In addition to its owned mileage, the carrier operates under trackage rights over the line of The Kansas City Southern Railway Company from Coal Creek, Okla., to Fort Smith, Ark., and over the line of The Missouri, Kansas & Texas Railway Company from Fallis to Oklahoma City, Okla. The carrier wholly owns and uses 230.251 miles of all tracks, which are classified in the trackage table in Appendix 1.

Introductory

The carrier is a corporation of the State of Arkansas, having its principal office at Fort Smith, Ark.

The records reviewed do not indicate that the carrier was controlled by any individual or corporation on the date of valuation. On the other hand, the carrier controls through ownership of 51 per cent of the capital stock, the St. Louis, El Reno & Western Railway Company, which operates its own property.

The property of the carrier was operated by its own organization from February 1, 1902, the date the first section of the road was received from the contractors, until October 15, 1915, the date it was placed in the hands of a receiver. From that date it was operated by the receiver, who still operated it on the date of valuation.

Corporate History

The carrier was incorporated January 25, 1899, under the general laws of Arkansas, for the purpose of constructing a railroad westerly from Fort Smith, Ark., to a point east of Guthrie, Okla., in what is now Lincoln County, Okla. On July 3, 1903, it purchased certain of the road of the Fort Smith & Western Railroad Company of Oklahoma, and on July 10, 1907, the remainder of the road of that company, together with its rights and franchises, were purchased.

The predecessor company was incorporated under the general laws of Oklahoma February 14, 1902.

Development of Fixed Physical Property

The road owned by the carrier, 196.995 miles, was acquired by purchase and construction. The years when the various portions of the road were constructed and the manner in which the property was acquired are indicated in the following statement:

		Mileage
Acquired from the Fort Smith & Western of Oklahoma July 3, 1903, and July 10, 1907; constructed by that company, from a point in Lincoln County to Guthrie, Okla., 1903.		52.00
Constructed by the carrier:
In Fort Smith, Ark., 1901.	1.00
Coal Creek to McCurtain, Okla., 1901.	17.70
McCurtain, Okla., to South Canadian River, 1902.	59.00
South Canadian River to a point in Lincoln County, Okla., 1903.	69.00
		146.70
Total.		198.70
Difference between total recorded mileage and mileage inventoried as of date of valuation.		1.705
Mileage inventoried as of date of valuation.		196.995

The Fort Smith terminals and the line from Coal Creek to McCurtain were constructed, under contracts, by George Hayden, of Ishpeming, Mich. The remainder of the road was constructed, under contract, by The Johnson Company, of Cleveland, Ohio.

Leased Railway Property

The carrier uses on date of valuation facilities owned by other companies and other companies use facilities owned by the carrier to the extent indicated in the statement below. 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, 1918, are as follows:

	Rentals
Solely owned, but jointly used, used with—
St. Louis, San Francisco Railway Company, station at Warwick, Okla.
Missouri, Kansas & Texas Railway Company, station at Crowder, Okla.
These are minor facilities, and separate terms can not be stated. Aggregate amount credited to income for year ending Dec. 31, 1918, was	$44.64
Jointly used, but not owned, owned by—
The Kansas City Southern Railway Company, tracks, 19.3 miles, from Fort Smith, Ark., to Coal Creek, Okla., term indefinite, 12 months' notice necessary for cancellation; annual rental, $400 per mile and 50 per cent of local passenger fares between Coal Creek and intermediate stations and Fort Smith; maintenance on wheelage basis.
Missouri, Kansas & Texas Railway Company—
Tracks, 32.49 miles, from Fallis to Oklahoma City, Okla., and freight and passenger terminals at Oklahoma City; term Dec. 6, 1915, to termination of receivership of either party; rental $22,500 per annum for main line, $7,500 per annum for Oklahoma City terminals; 3 per cent on additions and betterments; 60 per cent of local passenger, freight, mail, and express revenue; taxes divided on basis of 50 per cent charged to each company; maintenance and operation on wheelage basis of line, and on basis of tonnage, ticket sales, and cars handled for terminals at Oklahoma City, Okla.
Station and yard facilities at Fallis, Okla.; term 15 years from Aug. 1, 1910; annual rental 3 per cent on valuation of $5,137.50, plus 50 per cent of cost of addition and betterments and taxes; maintenance and operation on tonnage basis.
Atchison, Topeka & Santa Fe Railway Company—
Station and yard facilities at Guthrie, Okla.; term indefinite; annual rental based on valuation; proportion of taxes; maintenance and operation on basis of traffic handled.
Station and yard facilities at Sparks, Okla.; term indefinite; annual rental based on valuation; 50 per cent of maintenance, operation, and taxes.
The amount charged to income for use of each of the jointly used but not owned facilities for year ended Dec. 31, 1918, can not be separately stated; the aggregate amount was	59,067.22

Predecessor Company

Fort Smith & Western Railroad Company of Oklahoma

The records reviewed indicate that no separate accounting records were maintained for this company. Therefore, no information can be given from the accounts regarding its financial dealings, corporate operations, or investments. The company was controlled on July 10, 1907, the date of demise, by the carrier, but the manner of control was not disclosed by the records reviewed. There is no record indicating that the Fort Smith & Western of Oklahoma had any active participation in the construction of its property. The expenditures made in connection therewith were included in the accounts of the carrier, but are not separately identifiable therein. The predecessor company deeded 50 miles of its road to the carrier on July 3, 1903; and about 2 miles additional, including all property, rights, and franchises, on July 10, 1907.