Wikipedia:WikiProject Trains/ICC valuations/Duluth Terminal Railway

Interstate Commerce Commission, Valuation Reports, Volume 133

Location and General Description of Property
The railroad of the Duluth Terminal Railway Company, herein called the Duluth Terminal, is a single-track, standard-gauge, steam railroad, located in Duluth, Minn. The owned mileage extends from a connection with the tracks of the Northern Pacific Railway Company, near the north end of the bridge of the latter carrier over the St. Louis River, to a point near the union passenger station, 1.826 miles. The Duluth Terminal also owns yard and side tracks aggregating 4.527 miles. Its road thus embraces 6.353 miles of all tracks, all classified as owned and used by the Duluth Terminal. Other carriers operate over this property, but use their own equipment.

Corporate History and Development of Fixed Physical Property
The Duluth Terminal was incorporated under the general laws of the State of Minnesota for a period of 50 years from August 31, 1887. Its declared purpose was to build and operate a line of railway along the shores of Superior Bay and St. Louis Bay, in St. Louis County, Minn., and across Superior Bay from Rice's Point to Minnesota Point. The Duluth Terminal is controlled by the Great Northern. Its principal office is at Duluth, Minn., but the records are kept at St. Paul, Minn.

The property was constructed principally by the Eastern Railway Company of Minnesota, predecessor of the Great Northern, under an agreement with the Duluth Terminal dated October 15, 1888, whereby the Eastern Railway Company of Minnesota agreed to have the property completed by May 14, 1889. The dates of beginning and completing the construction of the railroad are not of record, but certain records indicate that the construction was completed about the date specified in the agreement.

Leased Railway Property
Other carriers operate over the property of the Duluth Terminal, using their own equipment and paying the expenses of operation. The Duluth Terminal has exclusive charge of the maintenance, pays its taxes and makes the additions and betterments to the property. The property is therefore classified as owned and used by the Duluth Terminal. The Great Northern operates over all of the property and up to July 1, 1915, was the only lessee company, paying for operating rights a sum equal to 6 per cent net per annum on the average cost of the property. On July 1, 1915, the Minneapolis, St. Paul and Sault Ste. Marie Railway Company began to operate over that part of the main track extending from the northerly line of Maple Avenue to a point in Lot 2, Block D, second division of Duluth, for which it pays 3 per cent per annum on an agreed valuation of $345,711.12, plus its proportion of maintenance, operation, and renewals. During the year preceding date of valuation, the Duluth Terminal received $43,353.72 from other companies for joint use of its property.

Under the terms of the franchise granted by the city of Duluth to the Duluth Terminal, its net receipts after paying the cost of necessary maintenance, operating expenses, taxes, renewals, and improvements, were limited to 6 per cent per annum on the average cost of the property. The franchise provided that the excess, if any, be divided among the companies participating with the Duluth Terminal in joint use of the property in proportion to the amount received from each of them.