The Beginnings of the Texas Railroad System. 
57 
charters for speculative purposes, and he desired to protect the 
honest citizen and the State from imposition and loss. In his first 
message to the Fifth Legislature he recommended a course of action 
in regard to charters already granted, as follows : 
“ I * # * recommend that no extension of time shall be granted 
to any company unless satisfactory evidence is presented that it has 
actually commenced the construction of its road and that a sufficient 
amount of stock has been paid to * * * (insure) that the road 
will be completed. * * * The route and termination of the road 
# * * (should) be designated when this has not been done in the 
original charter, and if any further donations of land are made to 
such companies they should receive the patents only on the final 
completion of their road . 1 ’ 0 
No action was taken on these recommendations. However, in 
amendments to the charters of the San Antonio & Mexican Gulf and 
the Buffalo Bayou, Brazos & Colorado Railroads the privilege of 
building branches was rescinded. 7 Governor Pease in his message to 
the Sixth Legislature, advocating the State system, reiterated the 
recommendations of his first message, and urged the adoption of 
the necessary regulations in case the corporate system was continued. 
He failed in his attempt to establish the system of public works, but 
he determined to engraft these regulations in the charters of the 
companies. In this purpose he was successful. 8 
In December, 1855, the Galveston, Houston & Henderson Company 
applied to the Legislature for an extension of time. When the bill 
came up in the House an amendment was offered, reserving the right 
for the State to buy in this road at any time by paying to the com- 
pany an amount equivalent to the value of the road plus ten per 
cent. It was held by the supporters of this amendment that the 
provision in the general law requiring the cost of the road to be paid 
to the company, instead of its value, destroyed the possibility of 
exercising control, since the road would be unprofitable to buy. They 
insisted, therefore, on its alteration. The relief was extended to this 
company, but no such right on the part of the State was asserted. 9 
The company was required to keep its principal office in the State, 
to hold all elections, and to have a majority of the directors reside 
in Texas. 3-0 Similar terms were imposed on the Galveston & Red 
River Company and the Memphis, El Paso & Pacific Company when 
they applied for relief. Branching privileges were denied all three. 
A bill granting relief to the Texas Western Railroad passed the 
Legislature at this time, but was vetoed by the Governor because it 
did not impose these conditions. This corporation was powerful 
enough to lobby this measure through at the adjourned session over 
