Encyclopedia Dubuque
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Affiliated with the Local History Network of the State Historical Society of Iowa, and the Iowa Museum Association.
DUBUQUE AND SIOUX CITY RAILROAD
DUBUQUE AND SIOUX CITY RAILROAD. The Dubuque and Sioux City Railroad was incorporated on August 1, 1860 after Morris K. Jesup forced the DUBUQUE AND PACIFIC RAILROAD into receivership. (1) Jesup held many of the railroad's defaulted bonds and wanted to put the line on a firm financial basis. Jesup controlled the company for twenty-seven years and held the presidency from 1866 to 1887.
The railroad reached Cedar Falls, Iowa in 1861, but the CIVIL WAR ended all further construction except for a feeder line called the Cedar Falls and Minnesota Railroad. This line had been incorporated on April 16, 1858 by Platt SMITH and others who were also involved with the Dubuque and Sioux City Railroad.
It was not until 1866 that the first train reached Iowa Falls from Dubuque. On April 15 a large crowd of people met the train at its arrival. A three-day celebration was held with a special excursion train running from Dubuque to Iowa Falls. Both the Dubuque Herald and Dubuque Times carried stories of the celebration including evening entertainment, dinner and dancing were held at Sayer's Hall. The following day the excursion returned to Dubuque where another grand celebration was held. (2)
Despite the celebration, the fact remained that the Dubuque and Sioux City, the Iowa connection for the Illinois Central, was only half way across the state. Other lines were making much greater progress. On October 1, 1867 the Illinois Central leased the Dubuque and Sioux City for twenty years. Platt Smith was instrumental in forming the Iowa Falls and Sioux City Railroad Company at the time of the lease acquiring the franchise, right-of-way, and land grants belonging to the Dubuque and Sioux City west of Iowa Falls to Sioux City. (3)
The interest of the Illinois Central in owning rather than leasing the property of the Dubuque and Sioux City Railroad led to a showdown between the two parties at an annual meeting in Dubuque on February 14, 1887. Forces of the Illinois Central controlled a majority of all those present at the meeting and therefore nominated five directors friendly to them. During the call of the roll of stockholders proxies representing 5,000 shares of stock were presented and rejected by the directors in control of the meeting on the grounds that proxy voting in Iowa was not legal.
Lawsuits followed and litigation lasted for months with those holding stock in the Dubuque and Sioux City demanding purchase of their shares at par which was well above their current value. In the end, the stockholders were given $80.00 per share, and the Dubuque and Sioux City Railroad disappeared into the Illinois Central.
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Source:
1. Silag, Bill. "The Dubuque and Pacific Railroad," Iowa Heritage Illustrated, Summer and Fall 2002, p.117
2. A National Register of Historic Places Travel Itinerary, "Iowa Falls, Iowa--Railroad Era, 1866-1909. http://www.iafalls.com/historic/railroad_era.html
3. Silag, Bill.
Donovan, Frank P. Jr. Iowa Railroads. Iowa City: University of Iowa Press, 2000, p. 104-109, 112-114
