Legacy
of Congress's 1864 Northern Pacific Railroad Land
Grant
A Photographic Essay
Railroads
& Clearcuts
Contents
visits
since November 29, 2002
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"This is the story of the biggest land
grant in American history, larger than 10 Connecticuts, to
railroad companies and how the timber companies got hold of
huge forests to clearcut. Jensen and Draffan point the way
to returning these lands to their rightful owners -- the
American people who will preserve them for future
generations. A revealing report of government giveaways and
corporate perfidy and greed that motivates corrective
action."
Ralph
Nader, Washington,
D.C.
"Ecosystem management will never be
achieved in the Pacific Northwest until the checkerboard
railroad lands are returned to their rightful owners -- 'the
American public!' Probably no other single event in this
country has contributed more to the current Northwest forest
crisis than the profit-driven harvest activities on the old
railroad checkerboard lands."
John
Mumma, U.S. Forest
Service Regional Forester, Northern Region,
1988-1991.
"Railroads and Clearcuts makes
the case that the timber companies are fully accountable to
the public and that Congress can, and should, take decisive
action. This valuable account is essential information for
all those who want to see justice done in the deep woods of
the northern tier."
Charles F.
Wilkinson, Moses Lasky
Professor of Law at the University of Colorado and author of
Crossing the Next Meridian -- Land, Water and the Future
of the West.
The Lands
Council
ISBN 1-879628-09-0
Pacific Northwest $5
Forest Conservation, Railroad Land
Grants-History, Forest Products Industry, Public
Domain-History.
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Introduction
The Lands
Council
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Watching one entire square mile of
forest being clearcut, then another, and another, in
Montana, Idaho, and Washington during the 1980s began for me
a painful journey of understanding. This journey led
inexorably to Congress's 1864 Northern Pacific land grant,
which lies at the core of the forest crisis.
Once understood, this repeatedly
violated contract between the American people and the
railroad company created by Congress opens the door to new
options for resolving the crisis unfolding in the forests
and communities of the Pacific Northwest.
So alive and dynamic is Congress's
land-grant legacy in the Pacific Northwest that the moment
our analysis was finished it was already out-of-date.
Companies enriched by Congress's land grant are on the move.
The natural history of the timber industry is to overcut and
leave behind stumps and unemployed workers. So it was in New
England, and so it was in the Great Lakes region. So it is
today in the Pacific Northwest, where tensions are
escalating over the future of our forests.
This photographic essay is based on
the book Railroads and Clearcuts: Legacy of Congress's
1864 Northern Pacific Railroad Land Grant. To order the
book, Railroads and Clearcuts, see the order form at
the end of this essay for details.
-- John Osborn, M.D.
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Railroads and
Clearcuts
The legacy of the Northern Pacific
railroad land grant is alive in the Pacific Northwest and
takes the form of log exports, checkerboard forests,
unrelenting "public education" campaigns, wealthy lobby
groups, and large corporations that wield enormous political
and economic influence in the state capitals of the Pacific
Northwest and in Washington, D.C.
Because the land-grant forests and
land-grant-based timber companies are central to the forest
crisis, policymakers will be unable to find adequate
solutions for Pacific Northwest forests and communities
until they recognize and correct the problems deriving from
the 1864 and 1870 land-grant contracts.
The intent of this analysis is to
restore to the national debate over forests the central
importance of these contracts, the federal laws that are the
legal basis for "private" ownership of millions of acres of
Pacific Northwest forests, including lands claimed by Plum
Creek and the Weyerhaeuser corporate empire (Weyerhaeuser,
Potlatch, and Boise Cascade).
In 1864, during the Civil War,
Congress and President Abraham Lincoln conditionally granted
millions of acres of the public domain for the purpose of
raising capital to build and maintain a railroad from Lake
Superior to the Pacific Ocean. In Section 20 of the law,
Congress explicitly retained oversight of the granted lands
and may, at any time, "add to, alter, amend, or repeal" the
law.
From the beginning, Northern Pacific
failed to meet most of the conditions of the 1864 law.
Violations of the grant, coupled with serious threats to the
public interest, have prompted Congressional oversight of
the railroad grant. The most recent major Congressional
investigation was requested by President Calvin Coolidge in
1924. The Congressional investigation from 1924 to 1928
concluded that wrongdoing had occurred. Congress then
directed the Department of Justice to take legal action
against Northern Pacific in 1929. The partial settlement
which followed in 1941 left most of the major issues
unresolved.
Overview of the
Book -- Railroads and Clearcuts
Railroads and Clearcuts
summarizes the history of the 1864 Northern Pacific railroad
land grant; shows how the land-grant forests helped give
rise to Plum Creek and the Weyerhaeuser corporate empire
(Weyerhaeuser, Potlatch, and Boise Cascade); analyzes the
impacts of overcutting and log exports on Pacific Northwest
forests and communities and offers a range of solutions for
concerned citizens.
Our analysis is not intended to
denigrate railroads, which are recognized as an important
part of our nation's transportation infrastructure. Rather,
we hope to demonstrate how the 1864 legislation helped
create and can also help resolve the current crisis in
American forest policy.
History
In 1864 President Lincoln signed into
law the largest of the railroad land grants, the Northern
Pacific railroad land grant. This law conditionally granted
public lands for the purpose of building and maintaining a
railroad from Lake Superior to the Pacific Ocean. The law
gave public lands for a railroad right-of-way upon which to
lay the tracks, and 40 million acres (an area slightly
smaller than Washington state) to raise capital needed to
build and maintain the railroad. The land was granted in
alternating square miles, which created a "checkerboard"
pattern of ownership that is still visible on maps and the
landscapes of many Pacific Northwest forests. This pattern
of granting some sections while retaining alternating
sections--the checkerboard pattern-- was intended to
increase the value to the public treasury of land remaining
in public ownership (every other section), once railroad
access was provided.
In 1870, after Congress had extended
deadlines, track had still not been built. Financier Jay
Cooke persuaded members of Congress to revise the 1864
grant, and Congress granted the holders of the grant the
right to raise capital by selling bonds. If Northern Pacific
failed financially, then it was to sell the remaining grant
lands at local auction. In any case, all lands were to be
opened to homesteaders within five years of completing the
railroad. In 1873 and again in 1893, Northern Pacific failed
financially, but the lands were never legitimately sold at
local auction. Ultimately, millions of acres of railroad
forests would pass from Northern Pacific to Weyerhaeuser and
other corporations.
Land-Grant-Based
Timber Corporations
Today Plum Creek, Weyerhaeuser,
Potlatch, and Boise Cascade are based on the railroad grant
forests which, in turn, are based on the conditions of the
1864 and 1870 contracts.
Plum Creek Timber Company is a direct
corporate successor of Northern Pacific. In the 1890s, J.P.
Morgan and James J. Hill combined Northern Pacific and Great
Northern to form a railroad monopoly across the northern
tier states. The Supreme Court struck down the monopoly in
1896 and 1904, but allowed it to stand in 1970. The merger
resulted in the formation of Burlington Northern.
In 1980 Burlington Northern segregated
itself into a railroad and a holding company for the
railroad grant lands. In 1988 this separation became formal
and the company divided into a railroad (Burlington
Northern) and a collection of land-grant-based companies
(Burlington Resources). Next, Burlington Resources began to
"spin off" its subsidiaries. One spin-off from Burlington
Resources was Plum Creek Timber Company, which controls the
grant forests not previously sold by Northern
Pacific/Burlington Northern.
Despite the law requiring that the
Northern Pacific grant lands be opened to settlement within
five years of completing the railroad, Northern Pacific sold
large tracts of the land-grant forests to Frederick
Weyerhaeuser and his associates. Weyerhaeuser purchased
millions of acres of land-grant forests in the Great Lakes
region and the Pacific Northwest, mostly during the 1890s
and early 1900s. The largest of the many Weyerhaeuser
purchases was 900,000 acres in Washington state in 1899.
Weyerhaeuser subsequently incorporated Potlatch and Boise
Payette (later Boise Cascade) to cut lands obtained in
Idaho.
The largest purchase of Northern
Pacific grant lands in Montana was about a million acres
bought by Amalgamated Copper Company (later Anaconda) in
1907. About 670,000 acres of these land-grant forests were
purchased by Champion International in 1972. Champion began
liquidating the land-grant forests in the 1970s, and in 1993
sold these lands to Plum Creek.
Overcutting
In 1864 the Pacific Northwest's
forests had not yet been logged and extended from the
Continental Divide across parts of the Columbia River
Watershed to the Pacific Ocean. Across this same region
today, watersheds are unraveling and the spotted owl, the
marbled murrelet, the grizzly bear, many runs of salmon, and
other species of flora and fauna have become threatened,
endangered, or extinct through the last century of excessive
logging.
The checkerboard pattern of the
land-grant forests complicates management of the National
Forests. Management philosophies alternate by the square
mile, precluding efforts to manage forests as ecosystems.
Cumulative environmental damage from overcutting the
railroad checkerboard forests has constrained logging
activities in adjoining National Forests.
Log
Exports
Many of the raw wood materials
exported to Japan and other Pacific Rim nations originate
from lands conditionally granted to build a railroad. These
land-grant logs, cants, and wood chips bypass local mills
and opportunities for value-added industries. Because of
loopholes in federal log export reform legislation passed in
1990, companies such as Plum Creek can export land-grant
logs to lucrative foreign markets, convert foreign profits
to American dollars, and then use those dollars to bid
against smaller domestic mills for an increasingly scarce
timber supply available from the National Forests of the
Pacific Northwest.
Options To
Intervene
Oversight authority of the Northern
Pacific grant lands is explicitly provided to Congress in
Section 20 of the 1864 grant. Congress has exerted oversight
several times since 1864. Failure to fulfill contractual
obligations has led Congress to take back millions of acres
of grant lands and restore them to public ownership. Major
revestments (or forfeitures) occurred in 1890, involving
Northern Pacific and other railroad companies, and in 1916
when Congress revested the Oregon & California railroad
grant lands in western Oregon.
In 1924 President Calvin Coolidge
asked Congress to investigate the Northern Pacific grant.
Coolidge noted in his letter to Congress that the defaults
by Northern Pacific on the "contract or covenant" were
"numerous and flagrant." The Congressional investigation
which followed prompted the Attorney General to recommend
judicial review of the grant. Congress voted to seek court
action against Northern Pacific. Despite a partial
settlement in 1941, major legal issues raised by President
Coolidge and Congress were never resolved and have not been
resolved to this day.
The full extent of the public trust
obligations pertaining to the 1864 and 1870 laws has yet to
be defined by Congress and by the courts. These efforts at
clarification could start by revisiting the work begun with
the 1924 Coolidge investigation and the subsequent court
case.
After completing a thorough
investigation, Congress could restore land-grant forests to
the public. Such action would be especially important in
correcting the checkerboard land ownership pattern that
precludes sound, ecosystem-based management in National
Forests. Restoring land-grant forests to the public could be
accomplished through purchase, exchange, or
revestment.
Congress could address the problem of
exporting land-grant logs by amending either the 1990 log
export legislation or the 1864 and 1870 land-grant contracts
to prohibit the export of unprocessed logs and fiber from
grant lands.
The crisis for Pacific Northwest
forests and communities has at its core the 1864 Northern
Pacific railroad land grant, the defining piece of
legislation for the Pacific Northwest. Understanding
railroad land-grant history opens the door to solutions for
resolving the forest crisis. Congress may amend legislation,
a power granted to it in the United States Constitution. In
the specific case of the 1864 Northern Pacific land grant,
Section 20 explicitly provides Congress with oversight
authority. Section 20 states:
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. . .
Congress may, at any time,
having due regard for the rights of said
Northern Pacific Railroad Company,
add to, alter, amend, or repeal this
act.
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Railroads
and Clearcuts
Legacy of
Congress's
1864 Northern Pacific Railroad Land
Grant
A
Photographic Essay
© Trygve
Steen
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. . .
Congress may, at any time,having due regard for the
rights of said Northern Pacific Railroad
Company,add to, alter, amend, or repeal this
act.
-- Section 20,
1864 Northern Pacific Railroad Land
Grant
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Forests and
the 1864 Northern Pacific Land Grant
Congress's
Subsidy to Build and Maintain a
Railroad
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Checkerboard forest
clearcut by Plum Creek Timber Company, Colville
National Forest in northeastern Washington. Aerial
views of Pacific Northwest forests reveal the
checkerboard pattern that is a legacy of Congress's
Northern Pacific railroad land grant. This same
clearcut is pictured to the right, as seen from the
ground.
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In the Pacific Northwest,
the land grant's checkerboard pattern on forest
maps has become a reality in the forest.
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The Lands
Council
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Land Grant
Legacy: The Checkerboard Forests
National
Archives Collection
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Chief
Sitting Bull
(1834-90)
Chief Sitting Bull
(Tatonka I Yatanka), leader of the Sioux nation,
said in his language at a ceremony marking the
completion of the Northern Pacific's main line in
1883, "I hate you. I hate you. I hate all the white
people. You are thieves and liars. You have taken
away our land and made us outcasts, so I hate you."
Sitting Bull's words were translated into a
friendly, courteous speech for the audience
(Glaspell, 1941).
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President
Abraham Lincoln
(1809-65)
In 1864 Congress and
President Lincoln created Northern Pacific and
conditionally granted it 40 million acres of the
public domain for the purpose of raising capital to
build and maintain a railroad from Lake Superior to
the Pacific Ocean.
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Dictionary of
American Portraits, Courtesy New York Historical
Society
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Congress and
the Checkerboards
Congress's 1864 Northern
Pacific land grant created a swath of checkerboard
lands nearly 2000 miles long and up to 120 miles
wide between Lake Superior and the Pacific
Ocean.
For every mile of track
built, Congress conditionally granted Northern
Pacific 40 square miles of public lands in the
Western Territories.
Congress also allowed NP to
select lands in special "indemnity belts" located
at the outer reaches of the checkerboard. These
belts were 20 miles wide.
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Western
Territories:
Into the
Hands of Robber Barons
Dictionary of
American Portraits
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Jay
Cooke,
Investment Banker
(1821-1905)
In 1870 Cooke, head of the
nation's largest banking house, used his money to
"gain the votes of recalcitrant Congressmen" to
rewrite Congress's 1864 contract, allowing Northern
Pacific to sell bonds rather than stocks. In 1873
Northern Pacific failed, taking Cooke with it and
helping to trigger a nationwide depression.
(Schwinden, 1950, and Sobel, 1988.)
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Frederick
Weyerhaeuser,
Lumber Magnate
(1834-1914)
In 1899 James J. Hill sold
to Weyerhaeuser nearly a million acres of
Northern
Pacific grant lands. This was Weyerhaeuser's
largest of several purchases. Most of
Weyerhaeuser's holdings in the Pacific Northwest
derive from the Northern Pacific land grant. (U.S.
Bureau of Corporations, 1913-14.)
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Dictionary of
American Portraits,
Courtesy Weyerhaeuser Company
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J. P.
Morgan and James J. Hill
Dictionary of
American Portraits,
Courtesy of Library of Congress
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J. P.
Morgan,
Financier
(1837-1913)
Financial panic in 1893
swept Northern Pacific into receivership. After
this, Morgan and Hill effectively combined the
"northern" lines (Northern Pacific and Great
Northern), added the Chicago Burlington &
Quincy Railroad in 1901, and formed the framework
for the Burlington Northern
Railroad.
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James J.
Hill,
Railroad Promoter, Financier
(1838-1916)
In 1893 James J. Hill
completed the Great Northern Railroad, linking St.
Paul, Minnesota, with Everett, Washington. In the
Pacific Northwest's era of railroad building, Hill
became known as the Empire Builder. "Give me enough
Swedes and whiskey and I'll build a railroad
through Hell," he reputedly said (Schwantes, 1993,
p. 133). Hill associated closely with J.P. Morgan
and Frederick Weyerhaeuser.
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Dictionary of
American Portraits,
Photograph by Pach Brothers
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Morgan, Hill,
and the
Burlington Northern Railroad
Combining the
Two Northern Lines and the Burlington
Northern
Pacific Railroad
In the 1890s Morgan and
Hill effectively combined Northern Pacific with the
parallel and competing Great
Northern.
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IEPLC
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IEPLC
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Great
Northern Railroad
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Burlington
Railroad
The purchase of the
Chicago Burlington & Quincy Railroad gave
Morgan and Hill rail access to lucrative markets in
Chicago and St. Louis, and triggered a battle with
Harriman of Union Pacific that caused panic in the
nation's stock markets in 1901.
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IEPLC
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IEPLC
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Burlington
Northern Railroad
Morgan's and Hill's
efforts to form a railroad monopoly, beginning in
the 1890s, were repeatedly struck down by the
Supreme Court. In 1970 the Supreme Court acceded to
the merger, and Burlington Northern was
created.
Burlington Northern is the
nation's longest railroad, with over 24,000 miles
of track. Burlington Northern links Puget Sound to
the Great Lakes, and links Canada to Gulf Coast
ports in Texas, Alabama, and Florida
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Chronology
1864
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Congress passes the Northern
Pacific (NP) land grant, creating Northern Pacific
Railroad Company. Congress conditionally grants 40
million acres of public lands in a checkerboard
pattern to subsidize railroad construction and
maintenance.
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1913
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Weyerhaeuser incorporates
Boise Payette.
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1870
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Congress amends the NP land
grant, allowing NP to sell bonds. Construction
begins.
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1916
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Congress revests three
million acres of the O & C (Oregon &
California) railroad grant lands in
Oregon.
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1873
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NP fails, triggering a
national financial panic.
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1924
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President Coolidge asks
Congress to investigate NP.
Congress soon begins
investigating the NP land grant. The investigation
continues to 1928.
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1883
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NP completes the main line,
seven years after the original deadline.
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1929
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President Hoover signs a bill
directing the U. S. Attorney General to sue NP for
the return of 2.8 million acres.
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1890
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Congress revests railroad
grant lands, including two million acres of the NP
grant. NP sells 212,722 acres in Minnesota to
Weyerhaeuser.
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1930
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U.S. Attorney General files
suit in Spokane against NP.
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1893
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NP fails financially a second
time. James J. Hill completes Great Northern's (GN)
main line.
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1931
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Potlatch joined with
Clearwater and Rutledge Timber
Companies.
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1894
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J.P. Morgan and James J. Hill
combine NP and GN.
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1940
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Supreme Court hears United
States v. Northern Pacific.
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1896
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Minnesota and U.S. Supreme
Courts rule against merger of NP and GN.
Morgan refinances NP with 100- and 150-year
bonds.
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1941
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Partial settlement between NP
and U.S. Attorney General returns 2.8 million acres
to the national forests.
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1899
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Congress establishes Mt.
Rainier National Park, enabling NP to exchange
"rocks and ice" for other public lands.
NP begins to sell granted
lands in Washington, Oregon, and Idaho to
Weyerhaeuser and associates. By 1940 over 1.5
million acres have been sold to Weyerhaeuser and
associates.
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1957
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Boise Payette joined with
Cascade Lumber to form Boise Cascade.
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1901
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Morgan and Hill acquire the
Burlington Railroad.
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1970
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Supreme Court allows the
merger of the Burlington and the two northern lines
(NP and GN), thereby forming Burlington Northern
(BN).
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1903
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Weyerhaeuser and associates
incorporate Potlatch.
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1981
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BN reorganizes as a holding
company.
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1904
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U.S. Supreme Court strikes
down merger of NP and GN.
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1988
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Liens on J. P. Morgan's bonds
are lifted by a settlement with the bondholders,
allowing the railroad's grant lands and natural
resources to be spun off into Burlington
Resources.
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1906
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NP claims lands already
protected in the Gallatin National Forest, near
Yellowstone Park.
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1989
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Burlington Resources spins
off Plum Creek Timber Company.
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1907
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NP sells about 1 million
acres in Montana to Amalgamated Copper (later named
Anaconda Copper).
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1992
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SPO Partners acquires control
of Plum Creek, a tax-free limited partnership since
1988.
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1993
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Plum Creek purchases 867,000
acres of western Montana timberland from Champion
International, which had purchased it from Anaconda
Copper in 1972, which had purchased it from NP in
1907.
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Weyerhaeuser
Comes to the
Pacific Northwest
Mt. Rainier
Scrip and Lake States Lumbermen
Frederick Weyerhauser emerged
as the nation's preeminent lumberman by logging
forests of the Midwest during the late
1800s.
By the turn of the century,
the end was near for the once vast pine forests of
the Great Lakes region and upper Mississippi River
Valley.
James J. Hill was one of
Weyerhaeuser's neighbors in St. Paul, spending many
evenings at the Weyerhaeuser home. In 1899 Hill
sold to Weyer-haeuser nearly a million acres of
Northern Pacific grant lands in the Pacific
Northwest. Weyerhaeuser, along with other Lake
States lumbermen, then shifted operations from the
cutover forests of the Midwest to the Pacific
Northwest.
Not all of the Northern
Pacific grant lands were rich forests. Some were
"rocks and ice." But Cong-ress helped Morgan and
Hill by creating the Mt. Rainier National Park: a
"rider" in the law gave Northern Pacific the option
of exchanging nearly a million acres of
checker-boards in the Mt. Rainier Forest Reserve
(now parts of the Gifford Pinchot National Forest
and Mt. Baker-Snoqualmie Nat-ional Forest) for
public lands elsewhere. This "Mt. Rainier scrip"
was used by the Weyerhaeuser syn-dicate to exchange
Cascade Range rocks and ice for control of rich
forests elsewhere, including Idaho and
Oregon.
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Weyerhaeuser's timber
holdings in Washington and Oregon, 1959. Most of
these lands are based on the Northern Pacific
contracts (adapted from Fortune, July 1959,
v.60, no. 1, p. 93).
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Mark
Lawler
Mt. Rainier
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(From Puter
and Stevens, 1908.)
"Map of the Mt. Rainier
Forest Reserve, showing the position of the Mt.
Rainier National Park, which was created for the
special benefit of the Northern Pacific Railroad
Company, that the Hill corporation might be enabled
to exchange its worthless holdings for the cream of
creation."
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Western
Washington and Northern Pacific
Map showing checkerboard pattern of
timberland ownership deriving from the Northern Pacific
Railroad land grant. (U.S. Bureau of Corporations,
1913-1914, Part 2, p. 44.)
Weyerhaeuser holdings on this map
totaled 1,372,474 acres, containing an estimated 70 billion
board feet; nearly 90 percent of this was acquired from the
Northern Pacific. Northern Pacific holdings include 306,261
acres, containing an estimated 11 billion board
feet.
The "Group Of Large Holdings"
(holding 731,803 acres with 40 billion board feet) is
comprised of 33 companies, including Chicago, Milwaukee
& St. Paul Railway, St. Paul & Tacoma Lumber, Puget
Mill, Simpson, Merrill-Ring, Polson Logging, Western Timber,
Great Northern Railway, and others; Weyerhaeuser and
Northern Pacific held interests in some of these companies
(U.S. Bureau of Corporations, 1913-1914, Part 2, pp. 28,
30).
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North Idaho
and Northern Pacific
Map showing checkerboard
pattern of timberland ownership deriving from the
Northern Pacific Railroad land grant (U.S. Bureau
of Corporations, 1913-1914, Part 2, p.
130).
Northern Pacific holdings on
this map comprise 108,403 acres, containing an
estimated 1.6 billion board feet. The "First Group
Of Large Holdings" (Potlatch Lumber and Clearwater
Timber, largely controlled by Weyerhaeuser
interests, and acquiring much of their land from
the Northern Pacific; and the Chicago, Milwaukee
& St. Paul Railway) is shown on the map with
508,778 acres, containing an estimated 16 billion
board feet of timber. The "Second Group Of Large
Holdings" (Edward Rutledge Timber, also associated
with Weyerhaeuser; Blackwell Lumber; and Coeur
d'Alene Lumber) controlled 118,406 acres with 3.4
billion board feet. This second group also largely
acquired its land from the Northern Pacific land
grant (U.S. Bureau of Corporations, 1913-1914, Part
2, p. 119-124).
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Land Grant
Checkerboard Forests: Mallard Larkins Region,
Idaho Panhandle National Forests
© Paul
Chesley
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Congress's
1864 Land Grant and
Patterns of Corporate Power
Interlocking boards of
directors, selected examples.
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Craig
Gehrke
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Boise Cascade world
headquarters in Boise, Idaho.
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Weyerhaeuser world
headquarters near Tacoma, Washington, not far from
Mt. Rainier National Park.
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John
Rosapepe
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Sam
Scott
Potlatch corporate
headquarters at One Maritime Plaza in San
Francisco, California.
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The Weyerhaeuser syndicate
incorporated Potlatch in 1903 to log forests in
north Idaho. In 1913 Weyerhae-user incorporated
Boise Payette, which in 1957 was joined with
Yakima-based Cascade Lumber to form Boise
Cascade.
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Interlocking
Corporate Officers
and Directors (Selected Examples)
Several officers/directors went
directly from Anaconda Copper to Burlington
Northern in the early 1980s.
Boise Cascade, Burlington Northern,
and Burlington Resources were interlocked from
1981 to 1992 by J.B. Parrish.
Boise Cascade, Great Northern,
and Weyerhaeuser were interlocked from the 1910s
to 1940s (through Frederick and F.E.
Weyerhaeuser).
Boise Cascade, Northern Pacific,
and Potlatch were interlocked from 1947 to 1955
by G.F. Jewett.
Boise Cascade, Potlatch, and
Weyerhaeuser were interlocked from the time of their
incorporation by Weyerhaeuser and associates in the early
1900s until the 1980s (through members of the Bell, Clapp,
Jewett, Musser, and Weyerhaeuser families).
Burlington Northern and
Weyerhaeuser were interlocked from 1969 to 1981 (through
Robert B. Wilson and through Frederick Weyerhaeuser's
great-grandson Walter J. Driscoll).
Burlington Resources and
Weyerhaeuser were interlocked in 1987 and 1988 (through
William Ruckelshaus, who formed Burlington Resources' Ecos -
a hazardous waste company - and who has been on the
Weyerhaeuser board since 1976).
Northern Pacific, Potlatch,
and Weyerhaeuser were interlocked from 1935 to
1946 by R.M. Weyerhaeuser.
Potlatch was incorporated by
Frederick Weyerhaeuser and associates, and has been
interlocked ever since. There are currently two
Weyerhaeusers (Frederick T. and William T.) on the Potlatch
board. Weyerhaeuser interests are estimated to hold at least
40 percent of the stock of Potlatch.
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Selected
Corporate Beneficiaries Of The Northern Pacific Land
Grants
Northern Pacific
(1864, 1870)
- 38.6 million
acres.
Weyerhaeuser
(incorporated 1878)
- Bought at least 1,489,000
acres from Northern Pacific,
1890-1940.
Potlatch (incorporated
1903)
- At least 229,000 land
grant in-lieu acres 1901-1927.
Boise Payette
(Boise Cascade) (incorporated
1913)
- At least 172,000 land
grant in-lieu acres 1913-1947.
Anaconda
(Amalgamated) Copper (Standard
Oil acq. 1899)
- Bought more than 1
million acres from NP by 1910.
Champion
International
- Bought 670,500 land grant
acres from Anaconda in 1972;
- sold 867,000 acres to
Plum Creek in 1993.
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Burlington Northern
(incorporated 1970)
- Railroad track: 24,000
miles.
Burlington Resources
(spun off 1988)
Glacier Park Real
Estate: 925,000 acres.
Meridian Minerals:
taconite, talc, dolomite, kaolin.
Plum Creek Timber
(spun off 1989)
- Timber: 10.4 billion
board feet on 2.1 million acres.
Meridian Gold
(1990)
Meridian Aggregates
(spun off 1991)
Meridian Oil
(subsidiary of Burlington
Resources)
- Oil & Gas: 5.7
trillion cu. ft. on 13.3 million
acres.
El Paso Natural Gas
(spun off 1992)
- Natural gas pipeline:
17,000 miles.
Great Northern Properties
LP (spun off 1992)
- Coal: 16 billion
tons.
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[Sources: Burlington Northern
Railroad, 1992 Annual Report, p.27; Burlington Resources,
1992 Annual Report, p.15; El Paso Natural Gas, Mar. 12. 1992
Prospectus, p.F-4; Plum Creek Timber, 1992 Annual Report,
p.16.]
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Liquidating
the Land-Grant Forests
Clearcutting
from Yellowstone Park to Seattle
By 1980 Morgan and Hill's
railroad, the Burlington Northern, still retained
about 1.5 million acres of checkerboard forests
between Yellowstone Park and the Pacific Ocean.
BN's logging arm, Plum Creek, began liquidating the
forests in the early 1980s. Plum Creek became a
tax-free "limited partnership" in 1989.
In 1907 Hill sold a million
acres of the Northern Pacific checkerboard lands in
northwestern Montana to Amalgamated Copper, which
later became Anaconda Copper. In the 1970s most of
this land was sold to Champion International.
Champion overcut the forests and in 1993 sold the
grant lands to Plum Creek
|
Plum Creek's holdings in
1989 (adapted from Plum
Creek's Prospectus, May 1989, p.54). In 1993 its
holdings in Montana more than
doubled.
|
© James R.
Conner
|
Checkerboards. Montana,
Mission Mountain Wilderness as backdrop. April
1988.
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Checkerboards. Idaho,
Mallard Larkins region of the Bitterroot Mountains.
June 1989.
|
The Lands
Council
|
Marianne
Gordon
|
Checkerboards. Washington,
near Snoqualmie Pass in the Cascade Range. October
1986.
|
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Legacy
of the 1864 Northern Pacific Land Grant
Checkerboards - an aerial
view. Trail Creek, near the Cabinet Wilderness in
northwestern Montana, August 1992. The
checkerboards in this aerial photograph correspond
to the clearcut pictured below.
|
USDA
|
IEPLC
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Checkerboards - as seen
from the ground. Champion International and
Burlington Northern/Plum Creek severely overcut the
forests in northwestern Montana. Throughout
American history, overcutting has forced
forest-dependent communities into a difficult
transition.
|
Checkerboards. Eastern
Washington, Colville National
Forest.
|
Gayle
McKellar
|
Gerry
Snyder
|
Potlatch. Floodwood forest
region of the Clearwater River watershed in
Idaho, 1992. In Idaho during the early 1900s the
Weyerhaeuser syndicate's agents used "Mt. Rainier
scrip" to gain control of valuable public forests.
|
|
Log Exports
and Congress'
Substitution Loophole
Exporting
Northern Pacific Land-Grant Timber
Worsens Log Supply Crisis
Although the exportation of
raw logs from federal and state forests in the
Pacific Northwest is illegal, it is legal to export
raw logs from lands held by individuals and
corporations. This is true even for the formerly
public forests whose current title derives from the
1864 and 1870 Northern Pacific railroad land
grants.
Corporations sidestep log
export prohibitions through a variety of
substitution schemes. Regulations and laws banning
raw log exports from federal lands do not prevent
companies such as Plum Creek (a tax-free limited
partnership) from exporting logs from railroad
grant lands and using resulting profits to gain
access to public timber much of which is sold at a
loss to the taxpayer.
Thus, the public's forests,
which Congress gave to build and maintain a
railroad, are converted via log exports to profits
that are used to buy more public timber.
|
© Elizabeth
Feryl
Log export
docks in Longview, Washington, located along the
Columbia River near Portland, Oregon.
|
Marianne
Gordon
|
Checkerboard above Lake
Kachess in the Cascade Range near Snoqualmie Pass,
Washington state, August 1989.
|
Logs awaiting export.
Ownership of many of the logs being exported
overseas is based on Congress's Northern Pacific
contracts contracts that were repeatedly violated.
Exported logs further exacerbate the forest crisis
in the Pacific Northwest.
|
Ron
Reichel
|
|
Reforming the
1864 Land Grant:
Congress
Retains Oversight Authority of the
Northern Pacific Contracts.
Dictionary of
American Portraits
|
President
Calvin Coolidge
(1872-1933)
Coolidge asked Congress
for an investigation in 1924 after Northern Pacific
threatened the National Forests.
|
President
Teddy Roosevelt
(1858-1919)
Roosevelt greatly expanded
the National Forest System to keep the public
forests out of the hands of timber syndicates.
Despite this, timber corporations (many based on
Congress's Northern Pacific contracts) have largely
controlled National Forest policies and cut public
trees, often at taxpayer expense.
|
Dictionary of
American Portraits
|
|
IEPLC
". . .
Congress may, at any time,
having due regard for the rights of said
Northern Pacific Railroad Company,
add to, alter, amend, or repeal this
act."
--Section
20,
1864 Northern Pacific Railroad Land Grant
|
Yin and
Yang
and
The Northern Pacific
Northern Pacific's trademark
was the opposing forces of light (yang) and
darkness (yin). Deriving from ancient Chinese
philosophy, yin and yang represent opposing halves
that comprise the whole. Northern Pacific used the
symbol from 1893 until 1970, when Northern Pacific
became Burlington Northern. (Yenne, 1991, p.
45.)
|
|
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The
Lands Council
The Lands Council (the "Council") is
dedicated to the transition of the greater Columbia River
ecosystem from resource extraction to long-term community
and biological sustainability. The Council will achieve its
goal by increasing public awareness through education and
promoting public participation in decision-making
processes.
Begun in 1983 as the Spokane Resident
Physicians Action League by the physician "house staff" at
Sacred Heart and Deaconess Medical Centers in Spokane,
Washington, the group changed its name in 1985 to The Lands
Council.
The Council publishes
Transitions, a journal which chronicles the historic
change underway in America's Pacific Northwest.
The Council's Forest Watch Program,
started in 1990, has organized and trained 20 grassroots
groups on 29 ranger districts in nine National Forests in
the four states of the Pacific Northwest. The purpose of
Forest Watch is to provide citizen oversight of the federal
government's decisions about forests.
With the assistance of the Sierra Club
Legal Defense Fund, the Council established the Public Lands
Legal Program in 1994. The program provides local citizen
groups with legal advice and litigation support.
The Council's public outreach program
has helped hundreds of volunteers take the message of forest
destruction door-to-door in the neighborhoods of eastern
Washington and north Idaho, and alerted the public through
billboards, busboards, radio, and newspapers.
After nearly a decade of research and
documentation of forest destruction, the Council is
restoring Congress's 1864 Northern Pacific land grant --
neglected for nearly half a century -- to the attention of
the American people, where the issue belongs.
|
Lands
Council
Railroads
and Clearcuts
Publications and Publication
Ordering
RAILROADS AND
CLEARCUTS (book) 15.00,
Members Special Rate 13.00
Railroads and
Clearcuts -- A Photographic Essay
A photographic summary of the land grant and the forest
crisis is available for $5.
Transitions
Dating from the 1860s until the
present, original newspaper stories, photographs, and
analysis help tell the powerful and moving story of
Congress's Northern Pacific railroad land grant. These
documents are presented in the Council's journal,
Transitions, in the Railroads
& Clearcuts multi-part series.
These may be ordered individually for
$3 each or $2 each when ordering 10 or more.
Bibliographies
Two bibliographies are available, each
containing over 100 pages of references:
- 1. Bibliography on Railroad
Land Grants, the Northern Pacific Railroad and its
Burlington Northern Spin-offs.
- 2. Bibliography on Plum Creek,
Weyerhaeuser, Boise Cascade, Potlatch and Associated
Timber Companies.
These are available for $20
each.
Railroads and
Clearcuts Compendium
The full set of publications is
available for $70. The compendium includes the multi-part
series in Transitions, the two bibliographies, and
the book, Railroads and Clearcuts.
To Order
Send request to: The Lands Council, S.
517 Division, Spokane, WA 99202-1365
(509) 838-4912 · Fax: (509) 838-5155 · Internet:
tlc@landscouncil.org
Please include the following
information:
- Purchaser:
- Ship To:
- Name (please print) Name (please
print)
- Address
- City
- State
- Zip
- Phone
-
- SHIPPING TABLE
- Item Amount Shipping &
Handling
- 0 - 15.00 add $2.00
- 15.01 - 30.00 3.00
- 30.01 - 50.00 4.00
- 50.01 - 100.00 5.00
- If your order exceeds $100, then
please contact us by phone or fax.
-
- ITEM AMOUNT
- SHIPPING AND HANDLING
- SUB TOTAL
- Washington state
residents
- add 8.1% sales tax
TOTAL
|
- © 2001 The Lands Council ,
This web version with updates.
© 1995 The Lands Council,
the original Photo Essay Publication
- 517 South Division
- Spokane, WA 99202-1365
- Phone: (509) 838-4912
- Fax: (509) 838-5155
- www.landscouncil.org
- Email:
tlc@landscouncil.org
-
Production: Easy
- Graphics: Chuck Carter and Donald
Walls
- Layout: Kate Wilhite
Printed on recycled paper with
ecology-conscious soy ink.
All rights reserved. No part of this
book may be reproduced in any form or by any electronic or
mechanical means including information storage and retrieval
systems without permission in writing from The Lands
Council.
- Library of Congress
Cataloging-in-Publication Data
- The Lands Council.
- Railroads and clearcuts, legacy
of Congress's 1864 Northern Pacific railroad land grant
-- a photographic essay / John Osborn,
M.D.
- ISBN 1-879628-09-0
- 1. Forest Conservation. 2.
Railroad Land Grants-History.
- 3. Forest Products Industry. 4.
Public Domain-History.
- I. Osborn, John II. Title. III.
The Lands Council
- Cover Photo: Mt. Rainier
National Park and clearcuts. © Trygve Steen
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