The Hill Family Trusts

This is a continuation of my posts about the Willamette Valley & Cascade Mountain Wagon Road.

Taking a page from his father’s example of the Minnesota mineral lands, Louis Hill turned his timber lands in Oregon into a trust. Louis, however, wasn’t as generous as his father. Instead of making Great Northern Railway stockholders the beneficiaries of the trust, he created the trust to provide a continuous income for his family. Actually, he made six trusts: one for each of his children, one for his wife, and one for himself. Each had a one-sixth undivided ownership of the timber lands. While the trusts were created in 1917, the lands earned no income for another two decades.


Congress’ policy of granting only every other square mile of land creates a distinctive checkerboard pattern. The dark green on this Google map is the Willamette National Forest while most of the light green squares are Hill trust forest lands. Highway 20 closely follows the route of the Santiam wagon road. Click here to see the same map in satellite view showing clearcuts on the Hill forest lands.

Shortly after Louis Hill acquired those timber lands, a forestry professor at UC Berkeley quit his job to start a forestry consulting firm in Portland. Dave Mason was a prophet of sustained yield forestry, which he described as “limiting the average annual cut to the production capacity” of a forest. This was in contrast to most timber land owners of the time, who generally bought land, cut the timber, and then let the land go for taxes. Continue reading

Amtrak Reaches 87% of 2019 Passenger-Miles

Amtrak carried almost 87 percent as many passenger-miles in October 2022 as it did in October 2019, according to the monthly performance report released by the state-owned company yesterday. This is a significant increase from the 80.5 percent recorded in September.

This is an update of a chart posted last week. I’ll provide another update when October driving data are available.

This is still short of the 94.5 percent carried by domestic and international airlines. Domestic air travel alone is even higher, but unfortunately those data are somewhat behind — the latest is for September, when domestic air travel was several percent higher than the average of domestic and international travel. Continue reading

Slow & Boring vs. Fast & Wasteful

Matthew Yglesias thinks that Amtrak’s latest “vision” is “slow and boring” and that Amtrak instead should spend money on high-speed trains in the Boston-Washington corridor. But Yglesias’ vision is no better; it might be faster, but it also means faster spending of money on worthless projects.

Amtrak’s 2021 “vision” for expanding its rail service. Click image for a larger view.

The first thing to note is that Amtrak’s latest plan is not so much a vision as it is a smorgasbord of pork barrel. Amtrak told the states, “We have this free federal money to spend; if you want some of it, draw some lines on a map where there are rail lines and maybe we’ll spend it there.” What Yglesias calls a vision is a taxpayers’ nightmare of idiotic rail projects. Continue reading

France Bans Rail Competitors

Supposedly, European high-speed trains are so successful that the airlines stop operating when new high-speed rail corridors open. The reality is much more dismal: in order to guarantee customers for its trains, France is banning airline flights in corridors served by high-speed rail. This is a tacit admission that government-owned trains can’t compete without forcibly shutting down competitors.

Under the new rule, commercial air flights are banned in corridors where trains can make the same journey in under 150 minutes. So far, this is limited to Paris-Bordeaux, Paris-Lyon, and Paris-Nantes. The French government wanted to extend it to five more city pairs, but the European Commission ruled that France could only ban air travel in corridors that had not just fast but frequent rail service. Members of France’s Green Party also want to extend it to corridors where trains make the journey in under 240 minutes. Continue reading

What Happened to the Land?

Long before their title to the Willamette Valley and Cascade Mountain Wagon Road land grant was secure, the farmers and livestock owners who founded the company put the road and land up for sale. In 1871, they agreed to sell the company to someone named H.K.W. Clarke for just over $160,000 (about $4 million in today’s money), of which Clarke paid $20,000 and the rest was paid by someone named Alexander Weill.

This 36-page booklet was used to try to sell lands from the WV&CM land grant. Click image to download a 26.5-MB PDF of the booklet, which is from the Harvard Library.

At the time, the company had received title to just 107,893 acres, or about one-eighth of the final grant, but since the governor had certified the entire road by 1871, both sides were confident that the company would get the rest. While $160,000 for 860,000 acres of land is only 18-1/2¢ an acre, it is a pretty good return for the company owners who probably spent less than $30,000 building and maintaining the road and got most or all of it back in tolls. Continue reading

Were These Roads Really Necessary?

This is a continuation of my posts about the Willamette Valley & Cascade Mountain Wagon Road.

Before the Willamette Valley and Cascade Mountain wagon road was built, or not built as the case may be, a number of families had started farms near the route of the road in the Prineville area. They planned to claim their lands as homestead as soon as the federal government did a land survey. But once the survey was done, about three dozen of them found themselves on odd-numbered sections that were automatically given to the road company.

This 41-page document published by the House Committee on Military Affairs contains W.F. Prosser’s report on his examination of the wagon road. Click image to download an 11.7-MB PDF of this report.

The wagon road company offered to sell them the land for $1.25 an acre. This, said the company, was the same price the government sold its land for, but homesteaders only had to pay a filing fee that worked out to less than 20 cents an acre. Angered, the settlers sent an 1880 letter to the Department of the Interior arguing that “has never built or con­structed any road as the laws of this State requires roads of that character” and that in the 300 miles from Smith’s Rock to the Snake River “there has been no attempt to open or construct any road by the above named com­pany or anyone else.” Continue reading

Transit Carried 63.7% of 2019 Riders in October

Transit carried 63.7 percent as many riders in October 2022 as October 2019, according to data released yesterday by the Federal Transit Administration. Reflecting falling fuel prices, this was a drop from 66.8 percent in September.

Meanwhile, air travel, as measured by the number of people passing through TSA checkpoints, grew to 94.5 percent of pre-pandemic levels. Data for Amtrak and highway driving are not yet available. Continue reading

The Willamette Valley & Cascade Wagon Road

Most central Oregon residents are familiar with the Santiam Wagon Road, which parallels U.S. highway 20 up the Cascade Mountains from Sweet Home to Santiam Pass and then down the other side to Sisters. Parts of it are still open as a gravel road that is frequently used by recreationists and the occasional log truck. Other parts have been downgraded to a trail that is less frequently hiked. I’ve both hiked and driven much of the route.

Much of today’s post is based on this book by Cleon Clark, who wrote it after retiring from a career with the Deschutes, Ochoco, and Malheur national forests, all of which were crossed by the wagon road. This book was published by the Deschutes County Historical Society in 1987 and is not copyrighted, so I am making it available for download here. Click image to download the 22.5-MB PDF of this 122-page book with two large maps.

What most residents don’t know is that the Santiam Wagon Road is only part of what was supposed to be a road from Albany, in the Willamette Valley, to the Snake River on the eastern boundary of the state. Even fewer realize that this road was part of one of the biggest land scams in the state, even bigger than the Oregon & California Railroad scandal in the sense that the owners of the Willamette Valley and Cascade Mountain Wagon Road company got away with their scam, while the O&C Railroad did not. Continue reading

Railroad Land Grants: Boon or Boondoggle?

I wrote several posts for my other blog, Streamliner Memories, that are relevant here as well. Recent news stories have asked why projects like the California high-speed rail and Honolulu rail line are so expensive. The answer is that the politicians who support these projects don’t care about the cost because someone else will have to pay it. Or rather they do care but for them the cost is the benefit — the more they spend, the more might be turned into contributions to their future political campaigns from grateful contractors.

This 1939 report from the Department of the Interior lists 105 railroad, wagon road, canal, and river improvement land grants made by Congress in the 19th century and how many acres various transportation companies ended up receiving for those grants. A few of the grants, including the massive Northern Pacific grant, were still open with the grantees hoping to get several million more acres. Click image to download a 4.7-MB PDF of the report.

We saw an early example of this in the First Transcontinental Railroad and later railroads supported by large federal land grants. Railroads weren’t the only transportation projects supported by federal land grants: there were also canals, wagon roads, and river improvements. As it happens, I live near one of the wagon road projects that turned out to be a giant scam in which a few people got more than 860,000 acres of federal land for doing little more than driving a wagon across the state of Oregon. Continue reading

September Driving 4.9% More Than in 2019

Americans drove 4.9 percent more miles in September 2022 than the did before the pandemic in September 2019, according to data that the Federal Highway Administration has finally posted on its web site. That’s the greatest amount, relative to pre-pandemic levels, of any month since the pandemic began.

Miles of driving in both urban and rural areas were greater than in September 2019 and driving was greater in 35 states. Of the states where driving still has not reached pre-pandemic levels, the biggest shortfalls were Hawaii (-23%), DC (-22%), Rhode Island (-22%), Delaware (-18%), and Pennsylvania (-11%). Driving grew the most in Arizona (33%), Alaska (19%), South Dakota (18%), Florida (14%), North Dakota (14%), Maine (13%), Louisiana (13%), Arkansas (12%), and California (11%). None of these are surprising except California, which was minus 3 percent in August. Continue reading