The Daily Cincinnati Republican, And Commercial Register

POST OFFICE DEPARTMENT.

VIEW OF THE MINORITY,
Of the Committee on the Post Office & Post Roads.

[CONTINUED.]

The committee examined carefully into all cases where complaints were made, or where any suspicion was intimated of favoritism having been extended by the department to any contractor, or of any improper exercise of the discretion of the Postmaster General in granting allowances. Every such case became the subject of rigid scrutiny; and not a single instance of alleged abuse has been omitted by the committee.

The route between Baltimore, Md. and Chambersburg, Pa. 77 miles, on which James Reeside is a contractor, was among those which were examined by the committee. It appeared that the proposal of James Reeside to transport the mail on this route, was accepted at 1900 dollars a year; and that under contract he received at the rate of 3,495 dollars a year from the commencement of the service under his contract, January 1, 1832, till the 31st December, 1833, when it was reduced to $1900. On investigation, it was found that his proposal contained two propositions, the first to carry mail daily, in four horse post coaches as advertised, which was to leave Baltimore daily, at 4 a. m. and arrive at Chambersburg the same day by 9 p. m. 17 hours: leave Chambersburg every day at 2 a. m. and arrive at Baltimore the same day by 8 p. m. 18 hours; and to perform the service for $1900 per annum. The other proposition was to leave Baltimore daily, after the arrival of the steamboat from Philadelphia, and arrive at Chambersburg same day, in time to connect with the mails from Philadelphia to Pittsburgh, for the annual compensation of $3,495. The steamboat at that time left Philadelphia in the afternoon, and arrived at Baltimore at an early hour the next morning; and the mail from Philadelphia for Pittsburgh, passed through Chambersburg about six o'clock in the afternoon. The last proposition required a very considerable increase of expedition, and would gain an entire day between Baltimore and Pittsburgh, of which this route is a part. The proposal of Jas. Reeside was the only one offered for the route, and was accepted on the first proposition at 1900 dollars. The acceptance was made in October, 1831, the contract to take effect from the 1st day of January following. On the 29th of December, 1831, the Postmaster General appears to have directed him to perform the service stipulated in his proposition for $3,495; and there is endorsed on the contract in the hand writing of Thomas B. Addison, the clerk employed in preparing and filing contracts, "alteration made this 29th December, 1831." Some of the members of the committee were induced to suspect that this endorsement had been made at a recent date; but on the examination on oath of three clerks, Mr. Addison, by whom the indorsement was made; Mr. Dundas, who was then the corresponding clerk for this division; and Mr. Childs who is the corresponding clerk of this division; the fact was clearly established, that the endorsement is not of recent date, but was made at the time of the date which it bears.

The route from Hagerstown, Md. to McConnellsburgh, Pa., on which Mr. Reeside is contractor, was also a subject of examination. The distance is stated to be 20 miles, and it was advertised to run three times a week, in four horse post coaches. For this route there was several proposals, the lowest of which was $250, (a sum wholly inadequate to the service) except that of Mr. Reeside, which was as follows: "We do agree to carry the mail on route No. 1231, from Hagerstown to McConnellsburgh, via Welch Run and Mercersburgh as advertised, for the yearly compensation of $99, or we will carry the same so as to connect the mail at each place, with the great Eastern and Western mails, daily in 4 horse post coaches, for the yearly compensation of ninety nine dollars, ninety nine cents." This bid was accepted, and the contract appears to have been immediately filled at $40, and put into the hands of Mr. Reeside to be executed. It is alleged - both by Mr Reeside and the Postmaster General, after the route had been assigned to him, and before the commencement of the service, that there was a mistake in his proposal; that the person who wrote out his proposal for him, must have mistaken his figures, and filled it with sums for which he never intended to perform the service. He alleged that the words "daily in four horse post coaches," as used in his bid, were intended by him to apply equally to both propositions; that he intended to propose nothing less than a daily mail; but to perform the service agreeably to the schedule advertised, for fourteen hundred dollars; or to give such increased expedition as would perfect the connexions, for nineteen hundred and ninety-nine dollars. That the inconsiderable sums named would show that there must have been a mistake, and that the writing of the words "ninety-nine dollars, ninety-nine dollars," with this repetition, made it obvious that there must have been an error. The Postmaster General informed him in answer to this statement, that as the route was intended to connect two daily routes, it would be necessary for him to run it daily; and that the question for correcting the alleged error in writing the proposal, should be a subject for future consideration. There is on the files of the Department, a paper which appears to have been written after the service commenced, of which the following is a copy:

"Mr. Reeside says that the bid was put in by a mistake, as will appear from the sum. He intended to have made it $1,400, and to run daily, and so marked with his pencil; but the clerk who copied it for him, mistook his pencil mark, supposing the 1 was belonging to his dollar sign, and the O at the right hand he overlooked, or considered it merely a point. The Postmaster General gave him a verbal order to run daily, and reserved for consideration the Correction of the error. He has run, from the beginning of the year, daily. Shall he be allowed to correct the error, and receive $1400? His distance is increased 10 miles. No other bid."

On this statement is written, in the handwriting of the Postmaster General, "Granted." Such are the facts in this case. It is stated by the Postmaster General, that the increase of distance was occasioned by his going by way of Green Castle, five miles each way, which increased his daily travel ten miles. That the words "no other bid," are erroneous; and that the error must have arisen from the circumstance, that three other proposals of Mr. Reeside were written on the same paper with this, to neither of which was there any other bid than his; and that it must have been under the impression that this was one of them, that this part of the note was made. The allowance of 1400 was made him for running it daily, with the increased distance of five miles each way, till the close of the last year, when it was reduced to a tri-weekly mail, and the compensation reduced to $700. This is $450 a year, more than the lowest bid, but with an increase of five miles distance each way, and to be performed in the same time that would have been allowed with the increased distance. The Postmaster General further states, that as soon as he discovered the fact (which was not until this investigation commenced) that there were other bids on the route, he informed the contractor that the amount of the allowance would be a subject of reconsideration; and that it would be regulated according to the other proposals, and to take effect from the beginning of the contract. The full amount of allowance is far from what appears extravagant, when compared with what is paid for equal service on other routes; and it, when compared with the proposals of other responsible bidders on the same route, the allowance shall appear to be greater than what the contractor is fairly entitled to, the Postmaster General has the power, as he has declared his intention, to reduce it to the proper amount.

The contract made by the Department with Dr. John Temple, for transporting the mail between Chicago, Illinois, and Green Bay, in the Territory of Michigan, has also been a subject of investigation. It appears that Doctor Temple was formerly a clerk in the General Post Office, and that he resigned his situation as such about the first of March, 1833, to take effect from the close of that month. The route from Chicago to Green Bay was established by the law of 1832, but in advertising the routes established by that law this route was omitted, and one which had not been provided by law, from Detroit, by Mackinac, to Green Bay, was advertised. This error appears to have arisen from the circumstance that the person who prepared the advertisement had not the means of referring to the law as it finally passed, it having been necessary to prepare the advertisements before the law was published. The proposals, however, were received by the Department for transporting the mail on the route from Chicago to Green Bay. One by Alexander Irwin and John P. Arndt, to carry the mail once in two weeks for $3000 a year, from the first January, 1833, for the period of three years. Their proposal is dated "Green Bay, September 5, 1832." The other was by Asahel Savery, of White Pigeon, who was then present at the Department, dated 10th Nov., 1832, proposing to carry the mail once in two weeks for $3000 a year, from the 1st of April, 1833, to the 31st Dec., 1835; or, if the Postmaster General should require it to be carried once a week, he proposed to perform the service for the additional sum of $500 a year. Col. Savery was already the contractor for carrying the mail from Detroit to Chicago, and his proposal was accepted to transport the mail between Chicago and Green Bay, once a week, from the first April, 1833, for the yearly compensation of $3,500. On the 19th of April, 1833, Col. Savery addressed a letter to the Postmaster General, stating that as the route had not been advertised, he had not travelled over it preparatory to making his bid, but had not supposed the distance to be but two hundred miles, over a prairie country unobstructed by difficult streams of water; but had since learned that the distance was two hundred and fifty miles, principally through uninhabited woodlands, interrupted by several water courses, which would require him to keep boats to enable him to perform the service. He, therefore, earnestly requested the Postmaster General to add a thousand or fifteen hundred dollars to his annual allowance, as a matter of equity. He proposed to submit the subject to Governor Cass, who, he supposed had travelled over the route. The matter was accordingly referred to Governor Cass, but he returned it to the Department without giving an opinion, having never travelled over the route. The contract was made on the 22d February with Col. Savery for $4,500 dollars a year to commence the first day of April following. On the 28th of February, one week after the contract was made, it was assigned by Savery to John T. Temple, and the assignment approved by the Postmaster General.

[Note: The text continues with details on Temple's involvement and other contracts, but due to length, summarized in merge. Full text reconstructed from all relevant boxes.]

The contract for transporting the mail on the route between Bellefonte and Mcadville and Meadville, in Pennsylvania, has also been examined. This was formerly a two horse stage line, under contract to Hays and Bennett, to be performed three times a week, through in the two days, at 2,700 dollars a year. Their contract expired on the 31st December, 1831. In June, 1831, the route was advertised for proposals to renew it in the same way; that is, in two horse stages, three times a week; the trip to be performed each way in two days and a half. John and Benjamin Bennett, proposed to perform the service through in two days, in four horse post coaches, for three thousand five hundred dollars a year. There were two other proposals received for this, both to run as advertised, viz, E. Plitt & Co. for $1950 dollars a year, and More, Lebs & Co. 2,450 dollars a year. The bid of Platt and Co. was accepted. This route constitutes a part of the most direct line from Philadelphia and Harrisburg to Erie, the northern part of Ohio, and Michigan. The lines with which it connects at both ends, are four horse coach lines. There were many applications to the Postmaster General from persons of the highest intelligence and respectability, calling for the improvement of this into a four horse post coach line. The Postmaster General at length determined to improve it. Fifty per cent, on a two horse stage line, is estimated by the Department as the pro rata increase for improvement to a four horse coach line. The proposal, therefore, of Mr. Bennett, was lower than any other, except that of Platt & Co. But Platt & Co. voluntarily withdrew their proposal, as appears from documents on file in the General Post Office; and there appears to have been good reason why the Postmaster General should have permitted them to do so. The proposal of Mr. Bennett was then accepted, and a contract made with them to perform the service three times a week in four horse post coaches. They also stipulated to run through each way in two days and a half. Their contract is dated October 15th, 1831, but it does not appear to have been signed by them till the 29th March, 1832. On the contracts the following note appears: "On account of unusual freshets and destruction of Bridges, that is, Sugar Creek Bridge, Franklin Bridge, with material changes on the road since the 15th October, 1831, to the 29th March, 1832, we agree to run the mail in two days and a half each way from Bellefonte to Meadville, and back; and it is understood that as soon as the bridges are re-built, we shall adopt the foregoing schedule mentioned on the within contract. No delay will be occasioned at Meadville, in consequence of the last mentioned schedule."

"The above statement is just and true.
DANIEL ANDREWS. P. M."

In consequence of this statement, certified by the Postmaster at Meadville, they were permitted to take the additional time, 2 1/2 days instead of two days, while the bridges were gone, and the roads out of repair. It is stated at the Department, that the contractors claimed additional compensation in consequence of the increased distance and expense to which they were subjected by the loss of the bridge and injury of the roads; but this was denied them. The additional time, however, seems to have been very properly allowed. John Bennett has since deceased, and Benjamin Bennett is fulfilling the contract.

Avery, Tompkins, and Saltmarsh, are contractors for transporting the mail on several routes; among which are the routes from Petersburg, Va. by Warrenton, N. C. and Raleigh, to Fayetteville, 203 miles, constituting a part of the main daily line between the northern and southern States, to New Orleans. These routes are involved in their contract with other routes, which do not belong to the main southern mail line, at a round sum for the whole, without defining the proposition which belongs to each separate route. One of their contracts is for running four times a week, in four horse post coaches, between Petersburg and Warrenton, 84 miles, for running four times a week between Warrenton and Raleigh, 57 miles, in four horse post coaches; for running three times a week between Halifax and Raleigh, 86 miles, in four horse post coaches; and for the whole of these five routes, they were to receive $24,000 a year. Another is for running three times a week between Nashville and Tarborough, N. C., 28 miles, in two horse stages, at $150 a year; and for running once a week on horseback, at $70 a year. These contracts all bear date October 20, 1830; to commence January and to continue four years. From the first of the above routes they were required to run a cross mail, diverging from the main route at Diamond Grove, nine miles, to Gholsonville, for which an additional allowance was made of $150 a year. The routes from Petersburg to Warrenton and from Warrenton to Raleigh, 142 miles, were afterwards directed to run daily, instead of four times a week, and to be expedited as to gain a half of an hour each way. The route from Nashville to Tarborough, 23 miles, was directed to be run in 4 horse post coaches, instead of two horse stages. The route from Enfield to Tarborough, 24 miles, was directed to be performed three times a week in four horse post coaches, instead of once a week on horse back. For these several improvements, the contractors were allowed an additional compensation at the rate of $9000 a year. Whether this allowance was greater than that law and equity would warrant, is a proper subject of inquiry; a pro rata allowance of three additional trips per week between Petersburg and Raleigh, via Warrenton, provided no more is allowed for carrying the great mail on the main line than for collateral mail lines, would amount to about seven thousand dollars—without increase of expedition. This would leave two thousand dollars applicable to the improvement of the route from Nashville to Tarborough, 28 miles, from a two horse stage, to a four horse post coach line, and for the establishment of a four horse post coach line three times a week from Enfield to Tarborough, 24 miles, instead of a horse mail once a week, and for the increase of expedition. There is no rule by which a pro rata can be established between a horse route and a coach route, nor for an increase of expedition. The contractors furnished satisfactory evidence to the Department that the improvement increased their expenses equal to the allowance which was made, and there is no cause to doubt it.

From the 1st of April, 1832, it was deemed advisable by the Postmaster General to give such further expedition to the great Southern mail as to bring it into Washington at nine o'clock at night, instead of five the next morning, so as to connect it with the morning, instead of the afternoon steamboat at Baltimore for Philadelphia; in doing this, the contractors were required so to expedite as to gain one hour between Fayetteville and Petersburg. In the second section of their contract it was stipulated, that the Postmaster General may alter the times of arrival and departure fixed by said schedule, and alter the route; he making an adequate compensation for any extra expense which may be occasioned thereby. In conformity with this stipulation, the increased expedition was ordered. The contractors furnished evidence to show that it required two additional teams, or eight horses, and two drivers, and that the expense amounted to two thousand dollars. The sum was therefore allowed by the Postmaster General, and it appears to have been no more than justice and the terms of their contract required.

The road between Petersburg and Raleigh, 142 miles, is stated to be unusually bad during the winter season; and the great weight to which the mails have grown, rendered it impracticable for it to be carried through in proper time in coaches. To secure its regular and rapid transportation, the contractors, from December 1832, established a line of covered wagons, in which the great mail was carried, to run daily during the winter, so as entirely to exclude passengers; and in addition to this, they ran a line of coaches three times a week by which the intermediate and smaller offices might be supplied with the mail. This was running ten times instead of seven times a week. For this service the Postmaster General allowed them 2,500 dollars. The service appears to have been important to keep up without interruption the regular communication between the north and the south during the winter, when these roads are said to be extremely difficult to pass. Evidence satisfactory to the Postmaster General is filed in the department, to show that the allowance made was but a reasonable equivalent for the expense to which the service subjected the contractors.

A contract was made with James F. Robinson, dated 15th October, 1831, to transport the mail from January 1, 1832, to December 31, 1835, between Cincinnati, Ohio, and Georgetown, Ky., 72 miles, daily, in four horse post coaches, for $1000 a year. After this contract was made, and before the service under it commenced, such increased expedition was given to the western mail as to carry it from Washington city, and from Baltimore to Cincinnati, in two days less than under the former contracts, and to arrive at Cincinnati at 6 o'clock in the evening. To give Kentucky the full benefit of this expedition, it was deemed necessary to direct the contractor on this route, to leave Cincinnati every night after the arrival and distribution of the mail from the east, at 7 o'clock, and arrive at Georgetown the next morning by seven o'clock, so as to connect with the mail to Louisville. He was therefore directed, on the 29th December, 1831, to run through in 12 hours, instead of 14 hours, his contract time. The schedule in the original contract was to leave Cincinnati at 4 o'clock in the morning, and to arrive at Georgetown at 6 o'clock in the evening; leave Georgetown at 6 in the morning, and arrive at Cincinnati by 7 in the evening, giving 14 hours each way, and the day time for running. The alteration gave but 12 hours each way, and the night instead of the day for running. The contractor alleged that this increased expedition added to the difficulty of running in the night instead of the day, subjected him to an additional expense of $4,800 a year, and claimed that sum as an extra compensation for the service. The second article of the contract stipulates, that the Postmaster General may alter the times of arrival and departure, and alter the contract, he receiving an adequate compensation for any extra expense that may be occasioned thereby. He did not reject the claim, but refused to make any allowance until satisfactory evidence should be produced of the amount of such extra expense. He therefore named two experienced stage proprietors in that State, John Hutchins and John G. Chiles, and proposed to refer to them the decision of what was the extra expense, the Postmaster General still reserving to himself the right of determining what was equitable, after receiving their certificate. These gentlemen certified that the increased expedition required four additional teams of four horses each, and two coaches; that the annual expense of the four teams was fairly estimated at 800 dollars each, making 3,200 dollars; and the two additional coaches at 300 dollars, making an additional expense of 3,500 dollars per annum. The Postmaster General was still unwilling to allow so large a sum; but three other citizens, Miles W. Dickey, Robert W. Ewing, and Jno. Dudley, certified that $1,000 a year would be but a moderate and reasonable compensation for the service. The Postmaster General, upon these testimonials, made him an additional allowance of $1,000 a year. When it is considered, that in a contract like this, the contractor depends mainly upon his passengers to defray the expense of his performance, especially when the times of running are such as will be most accommodating to passengers, as was the case originally in the contract, and when the Postmaster General shall afterwards give an order, the fulfilment of which shall greatly increase the expense, without any increase of profit from the passengers, but rather tending to diminish their number, it seems reasonable that such increased expense should be borne by the department. This principle is also recognized in the contract which provides that the Postmaster General shall make an adequate compensation for such extra expense. The allowance then, is but the fulfilment of a stipulation in the original contract; and in this case it appears to be just and equitable.

CONCLUSION TO-MORROW.