Читать книгу Atlanta And Its Builders, Vol. 1 - A Comprehensive History Of The Gate City Of The South - Thomas H. Martin - Страница 17

The year 1857 was memorable for the great panic that ruined so many merchants in the larger cities of the country, closed most of the banking institutions, and plunged the masses of the people into want and distress. The panic of 1857 was felt the hardest in the north, but those cities of the South the basis of whose trade was credit, felt it severely also. Atlanta, in the full flush of her remarkable progress and prosperity, was little affected by the terrible financial stringency and business depression that was working sad havoc with other communities. We will leave Wallace Putnam Reed to tell the reason:

"The great panic of 1857, which was felt so disastrously in many parts of the union, especially in the northern states, was felt but little in Atlanta, for the reason that it was felt but little anywhere in the South. The main reason for this fact was that the cotton crop that year was exceptionally large and the price high, notwithstanding the large crop. The price of cotton was high because there was an unusual demand for it abroad, and it was thus controlled by the market price in Liverpool, England. The heavy demand for it abroad caused payments to be made in cash, and thus there was an abundant supply of specie in the Southern states, though there was very general suspension of specie payments North. The unusually large amount of specie, which that year flowed into the South, rendered it practicable for the banks of this section to avoid suspension, and thus merchants were not affected by the stringency in the money market. It cannot be remembered that any merchant failed in Atlanta during that panic.

"The above is presented as the general reason for the continued prosperity of Atlanta during that period of distress in other parts of the country. There are, however, two other reasons for that uninterrupted prosperity — one of which may be termed a special reason, and the other a peculiar reason. The former of these two was, that at that time the merchants of the South, including, of course, those of Atlanta, owed much less than the usual amounts to Northern merchants, and hence were not called upon for the payment of debts they could not pay? The latter reason was that the first merchants of Atlanta, as a very general, if not a universal thing, were so limited in their capital that they could not give credit without incurring the risk of almost immediate failure. The business they did was therefore from necessity conducted on a cash basis. Being thus compelled to transact business on a cash basis, they were also compelled to conduct it on the smallest practicable margin of profits in order to attract customers, or, in other words, they were obliged to undersell their competitors in neighboring towns and cities. By thus underselling their competitors, they soon attracted to Atlanta not only the trade of the merchants from other towns and cities, but also very largely that of the majority of private families who could pay cash for their supplies; of private families living in surrounding cities as well as of those living in the surrounding country.

"In this way was the cash basis for the transaction of business adopted and established in Atlanta, adopted from necessity and established from choice. It was so beneficial, it was so conducive to the individual interests and to the combined interests of the business men, it gave Atlanta such an impetus in the direction of prosperity, such a prestige and advantage over her rivals, that it has been adhered to, in the main, ever since, and has, in all probability, been the main principle of the city's growth and success as a community. Even up to the present time business is conducted in Atlanta either on the "spot cash" principle, or on the "cash" principle, the former plan requiring cash to be paid on delivery of the goods purchased, and the latter requiring it to be paid in thirty days. Thus long credits, always dangerous, have been avoided, and thus the city acquired and sustained the reputation of being a cheap place to trade: and thus, also, has it attracted cash customers and driven the time customers to other cities which either could not adopt, or did not believe in a cash trade, coupled with small profits and safety.

"While the remarks just made are in the main correct as applied to the retail trade and to the smaller class of wholesale dealers, yet they require slight modification when the larger wholesale dealers in dry goods are taken specifically into account. These generally give a credit of sixty days; but this slight modification has no perceptible effect on the volume of business transacted, except to increase it, and no effect on the kind of custom attracted to the city."

In the municipal election at the beginning of 1857, William Ezzard was elected mayor, and Messrs. Lawshe, Sharpe, Simpson, Holcombe, Peck, Glenn and Farnsworth, councilmen. The remaining city officers were: Clerk and tax receiver and collector, James McPherson; treasurer, Cicero H. Strong; superintendent of streets, William S. Hancock; first lieutenant of police, Willis P. Lanier; second lieutenant of police, Daniel C. Venable; clerk of the market, John D. Wells; sexton, G. A. Pilgrim; city surveyor, H. L. Currier.

On the 6th of January, 1857, before the old council went out, an ordinance was passed subscribing to $100,000 worth of the stock of the Georgia Air Line Railroad, the long talked of new line which was to connect Atlanta with Richmond, Va., Baltimore and the North by the most direct route possible. The survey extended in almost a straight line from Atlanta to Charlotte, N. C. When this conditional subscription to the stock of the Air Line road was made by the city of Atlanta, many citizens were skeptical of it being anything but a "paper railroad."

On the 13th of the same month council entered into a contract with Winship Brothers to supply the city with twenty-five lamp posts, with lamps and burners, for $500.

The inaugural address of Mayor Ezzard is interesting in throwing light upon some public matters that still concern the city of Atlanta, and in disclosing the financial status of the municipality at the opening of 1857. Extracts are taken from it in part as follows:

"In 1855 tne mayor and council entered into a contract with William Helme, of Philadelphia, for the erection of gas works in the city of Atlanta, and subscribed $20,000 to the capital stock of the Atlanta Gas Light Company. They had also contracted for the purchase of fifty streetlamps and lamp posts for lighting the streets of the city, at a cost of $1,050, which has not been paid. The stock of said company has been paid for in city bonds payable in twenty years, bearing interest at the rate of seven per cent, per annum, payable semi-annually. Early in that year the city council, thinking it doubtful whether this stock would prove to be a profitable investment to the city, and being anxious to discharge some of its debts, passed a resolution authorizing the mayor to sell one-half of said stock for the purpose of liquidating the outstanding debts of the city. Under this resolution stock to the amount of $1,000 was disposed of at par value for city checks; when, it becoming apparent that the stock would prove a profitable investment, the resolution was repealed. According to the terms of the contract with the gas company, the streetlamps were to be lighted with gas for the sum of $1,500 per annum, but as the lamps were not all in operation the first year, only $1,458.20 was demanded by the company. At the expiration of the first six months after the commencement of their operation, the company declared a dividend of four per cent, par; for the next six months a dividend of eight per cent, was declared, making the whole amount of dividend received by the city upon its stock for the year, $2,280, leaving a balance of $821.80, which has been paid into the treasury.

"In view of the fact that gas pipes have been laid down in many parts of the city which had not been supplied with street lamps, the council authorized me to contract with Messrs. Winship Bros. & Sons for twenty-five additional lamps, which has been done, the lamps to cost $500. During the summer, the citizens of Roswell, Cobb county, being anxious to have a bridge erected across the Chattahoochee river, on the road leading to this place, and having ascertained that a suitable bridge could be built for $7,000. they organized a company for that purpose, to the capital stock of which they, together with two of the citizens of Atlanta, subscribed the sum of $4,000, and the city council, having been petitioned by a large number of the citizens of this place, subscribed for the remaining $3,000 of the stock, to be paid in bonds payable twenty years after date. From the most reliable information which we were able to obtain on the subject, we believed that the tolls arising from said bridge would be sufficient to pay, not only the interest on the bonds that might accrue, but that also by the creation of a sinking fund, judiciously arranged, to extinguish the principal also by the time it should fall due.

"In compliance with the petition of a large number of our citizens, the city council passed an ordinance directing the mayor to subscribe $100,000 to the capital stock of the Georgia Air Line Railroad Company, all of which, except $1,000, is payable in bonds of the city bearing seven per cent, interest, the bonds being issued in the following manner: One-third so as to fall due on January 1, 1873; one-third on January 1, 1878, and one-third on January 1, 1883. The subscription has been made accordingly, and the prospect is that the road will be built at no very distant day."

The attainment of metropolitan proportions by Atlanta made necessary the establishment of fire-limits, and on the 7th of December, 1857, the city council passed an ordinance of that kind. It provided that after its passage no person should erect or cause to be erected any house for any purpose whatsoever, the walls of which should be constructed of wood, on any street within the following limits: On Whitehall street, between the intersections of that street and Mitchell and Marietta streets; on Mitchell street, between Hunter and Alabama streets; at any point between Loyd and Forsyth streets; on Pryor street, between Alabama and Mitchell streets; on Decatur street west of Collins street; on Marietta street east of Market street; on Market street south of Walton street; on Peachtree street from Marietta street to the junction of Market and Peachtree streets.

On the 8th of June, 1857, the Gate City Guards, Atlanta's first military company, was organized with the following officers: George H. Thompson, captain; William L. Ezzard, first lieutenant; S. W. Jones, second lieutenant; John H. Lovejoy, third lieutenant; James L. Lewis, first sergeant; Wilson Ballard, second sergeant; Willis P. Chisholm, third sergeant; James H. Purtell, fourth sergeant; Thomas M. Clarke, first corporal; James E. Butler, second corporal; E. Holland, third corporal; Joseph Thompson, Jr., fourth corporal; James F. Alexander, surgeon; Daniel Pittman, secretary and treasurer. The company soon became one of the crack military organizations of the state, and in a few short years it was destined to take its place in the ranks of the army fighting for Southern independence.

The Young Men's Christian Association was organized in Atlanta the latter part of 1857, with B. H. Overby, president, and N. J. Hammond, secretary and treasurer. Lewis Lawshe, John Clarke, J. Hill Davis and M. C. Cole were the vice-presidents, and a membership of between 150 and 200 was soon enrolled. The association had its first hall in a building on Whitehall street, just below Alabama street. It flourished until the outbreak of the war when it disbanded.

In the city election of January, 1858, the following candidates were successful: Mayor, L. J. Glenn; aldermen, first ward, F. H. Coleman and John Collier; second ward, William Rushton and Thomas J. Lowe; third ward, James E. Williams and J. M. Blackwell; fourth ward, John H. Mecaslin and George S. Alexander; fifth ward, Hayden Cole and J. A. Hay den; clerk, Clement C. Howell; treasurer, Philip E. McDaniel; marshal, E. T. Hunnicutt; deputy marshal, Willis Carlisle; lieutenant of police, George W. Anderson; clerk of market, E. B. Reynolds; street overseer, Thomas G. W. Crussell; city surveyor, H. W. Fulton; sexton, G. A. Pilgrim.

A communication presented to council on March 5th, 1858, in the form of a memorial signed by some two hundred mechanics and workingmen of Atlanta, throws a good deal of light on an early and unique phase of the labor troubles, in which negro slavery figured. The memorial was as follows:

"We, the undersigned, would respectfully represent to your honorable body that there exists in the city of Atlanta a number of men who, in the opinion of your memorialists, are of no benefit to the city. We refer to negro mechanics whose masters reside in other places, and who pay nothing toward the support of the city government, and whose negro mechanics can afford to underbid the regular resident citizen mechanics of your city, to their great injury, and without benefit to the city in any way. We most respectfully request your honorable body to take the matter in hand, and by your action in the premises afford such protection to the resident citizen mechanics of your city as your honorable body may deem meet in the premises, and in duty bound your petitioners will ever pray."

Early in April the Georgia Air Line Railroad applied to the city council for the first installment of the city's subscription of $100,000 to its capital stock. By the provisions of the subscription, when the railroad company had received bona fide subscriptions to the amount of $650,000, exclusive of the stock subscribed for by the city of Atlanta, ten per cent, of the amount subscribed, or $10,000 was to be paid to the railroad. To this demand of the Air Line Railroad the council demurred, contending that the railroad had not produced proof of having the necessary amount subscribed. The railroad persisting in its claim, council appointed a special committee to carefully investigate the matter and report the result of its labors at the earliest possible date. The committee brought in a report to the effect that the railroad had not raised the necessary amount, and submitting the following list as representing the sum total of bona fide subscriptions:

Fulton county $ 84,700

Hall county 156,900

Franklin county 146,200

Hart county 74,600

Gwinnett county 18,300

Total stock subscribed $480,700

This confirmation of its suspicions caused the council to lay the petition of the Air Line road upon the table without more ado; but the railroad people were not so easily put off. They insisted that the necessary $650,000 had been subscribed, and at the next meeting of council, on May 6th, they again petitioned that body to issue ten per cent, of the bonds agreed upon. The petitioners accompanied their petition with the following" interrogations:

1. Assuming that the stock already subscribed amounts to $650,000, and that the subscriptions are bona fide, is there, in the opinion of the council, any legal impediment to the city's payment of its regular installment of ten per cent, on $100,000, when the same shall be demanded by the company?

2. If any legal impediment exist, has the council the power to remove it?

3. Will the council exercise the power if requested so to do by a majority of the legal voters of the city?

4. Will the council provide for the holding of an election by the citizens, that their wishes on this subject may be expressed?

On the 13th of May council again took the railroad bond matter up and replied to the questions of the corporation. The reply was courteous, but firm in its adherence to its previous decision. In substance it said that "while it was never the intention of the city to build the Georgia Air Line railroad alone, it was nevertheless its settled policy to assist in the work of construction to the full amount of its subscription, reserving to itself the right to withhold further aid when the conditions on which the subscription was made had not been complied with, viz.: the subscription of $650,000 outside of the city's subscription. This amount, as the council thought, had not been secured, yet, nevertheless, the council declared its earnest friendship for the road, and its warm desire for its success. To the stockholders along the line of the road it said once for all: 'We are with you in this work, ready to comply when others have fulfilled.' '

The Georgia Air Line Railroad did not prove to be of the paper variety, and Atlanta did her part in aiding in its construction, as promised. But for the breaking out of the war between the states, then so imminent, the work of construction would have been begun several years sooner.

The population of the city at this time exceeded 10,000, and its rapid growth continued. In 1858 nineteen substantial brick stores, some of them pretentious structures, were erected. The city hall and county courthouse building was, for the time, a handsome structure of the colonial style of architecture, with white entrance porticos on all sides and a double-story cupola with half-globe roof, surmounted by the inevitable weather-vane. The Atlanta Medical College was among the best of the large buildings, being also of the colonial type of architecture. The church organizations heretofore mentioned had creditable brick houses of worship. The original "car-shed" was very similar in appearance and dimensions to the present beautiful (?) structure, and the early Atlantans, unlike the present fastidious generation, were exceedingly proud of it, a wood cut of the depot adorning every descriptive print of Atlanta. In addition to the large hotels already mentioned, at this time the city boasted of the Fulton Hotel, at the corner of Alabama and Pryor streets, later the site of the Block factory, and the Trout House, at the corner of Decatur and Pryor streets. Both of these hotels were prominent ante-bellum landmarks and helped to make history during that momentous period. It was from the gallery of the latter that General Longstreet, en route to join General Bragg at Chickamauga, delivered an inspiring speech to his troops and the citizens in the streets below. Among the larger brick stores erected at this time was that of Jonathan Norcross, on the site of his pioneer store. Of this period Mr. Reed says: "Among the largest business firms were Beach & Root, dry goods merchants, located where J. M. High's store now is in Whitehall street; McDaniel, Mitchell & Hulsey, dealers in groceries and provisions, located where John Keeley's store now is; McNaught, Ormond & Scrutchins, who had a hardware store on Whitehall street, where now is the hardware store of a son of Mr. Scrutchins; Thomas M. Clarke & Co., dealers in hardware, located where they are at the present time, No. 27 Peachtree street; Thomas Kile, a prominent merchant, located at the corner of Marietta and Peachtree streets. Among the manufacturing establishments were the repair shops of the three railroads which then terminated in Atlanta — the Georgia Railroad, the Western and Atlantic, and the Macon and Western. These shops employed a large number of men, and thus contributed largely to the prosperity of the city. Joseph Winship & Co. manufactured cotton gins, threshing machines, machine gearing, and carried on quite an extensive business where the Winship Machine Company's works now are. Richard Peters had a flouring mill located just below the present site of the Georgia Railroad shops. J. C. Peck & Co. had a planing mill and manufactured quite extensively sash, doors and blinds, and Pitts & Cook also had a planing mill and carried on the same kind of business as J. C. Peck & Co."