The Gainesville Midland and Her Sister Short Lines

The Gainesville Midland and Her
Sister Short Lines

Chapter 1
The Gainesville Midland and Her Sister Short
Lines

The Gainesville Midland Railroad is but a remnant of the former
Gainesville, Jefferson, & Southern Railroad which was advertised as "The Jug
Tavern Route" in 1885 (1). In 1897, the line went into receivership that lasted for
17 years (2) and was sold twice at receivership sales. It is presently owned and
operated by CSXT as its Gainesville Branch. Prior to SCL's merger with CSX, the
GM was allowed to operate independent of the mother road.

INSERT 1928map.jpg HERE

Excerpt from a 1928 Rand McNalley Handy Railroad Atlas.

The line was built during the era when thousands of railroads were to
follow an example set by the Denver & Rio Grande Railway in Colorado. The
D&RG tried to cut costs by building track to three-foot gauge. The narrow gauge
theory was there would be savings in the smaller equipment used by narrow
gauge. The theory also claimed that the grading would be easier and cheaper
than wider gauges. Narrow gauge can turn sharper radii and has a narrower
roadbed and. Dozens of narrow gauge lines were built following the D&RG's
example in the 1870's and 1880's. This was a period when the country was
gripped by "narrow gauge fever" which reached, in some cases, economic
insanity(3). Many lines went bankrupt and were scrapped. Some did not even get
off the ground. Examples of lines like these were the Gainesville & North Western
and the Gainesville & Dahlonega railroads.
To understand these railroads, a quick mention of the history of railroad
gauges is needed. Today's North American railroad network comprises many
different companies with the same gauge track (gauge is the distance between
the rails). Today's standard for gauge is 56.5 inches (4 foot 8« inches). A
difference of an additional one half inch does not matter so some railroads widen
their curves a half inch for better tracking of equipment.
However, in the early days of railroad development in the 1830's gauges
were whatever one wanted to build. The narrowest gauge for common carrier
operation is the 15 inch gauge Romney, Hythe & Dymchurch Railway in England
(currently in operation). The widest common carrier gauge was also in England.
The Great Western was 84.25 inches or 7 feet and ¬ inch. The myths of relating
railroad gauges to the Roman chariot ruts or to horse widths have no foundation
in truth.
If two railroads came together and one was of 36 inch gauge and the other
was 60 inch gauge (like the Erie Railroad in the US), the goods and passengers
had to unload from the trains of one railroad and reload onto the trains of another
railroad, interchange of railroad equipment was not physically possible.

INSERT 1878 og index.jpg HERE

An excerpt of the 1878 Official Guide of the Railways showing different gauges of
track for different railroads. In this care, they range from 36" to 72".

In 1803 in England, Samuel Homfray, the owner of the Penydarren
Ironworks, hired Richard Trevithick to produce a locomotive to be used to
transport iron from Penydarren to the nearest canal. The locomotive only made
three journeys. Each trip, the seven-ton steam engine broke the cast iron rails. It
was decided that Trevithick's invention was unlikely to reduce his transport
costs and the locomotive project was abandoned.
In as far as the design specs of having the steam engine to haul a load of
10 tons along the tramway, the locomotive was a complete success on all three
trips, the locomotive was a technical success but an economical failure.
Based on a copy of an original drawing of the locomotive and the fact that
the flywheel was 8 feet in diameter, I calculated the tramway gauge to be about 39
inches. The "rails" were actually inverted channels so regular wagon type wheels
could be used. There were no flanges on the wheels. The channel walls guided
the wheels. If the rails had been more conventional (as we now know them), the
locomotive would have been economically successful.

INSERT 1906 og index.jpg HERE

An excerpt of the 1906 Official Guide of the Railways showing different gauges of
track for different railroads. In this care, they range from 24" to 57".

The first economically successful steam locomotive was built by George
Stephenson in England in 1814 for the Stockton and Darlington Railway Line.
The S&D was built to a gauge of 4 foot 8 inch (56 inch). Stephenson found out
later that by widening the gauge « inch, the locomotive stayed on the track
better. So came into existence the first steam locomotive in what is now called
Standard Gauge. However, locomotives could be built to any gauge desired.
As an aside, currently, there is a hobby throughout the world called Live
Steam. These trains run on anywhere from 3.5 inch gauge to 15 inch gauge track
(most common is 7.5" gauge) with actual functioning but small steam boilers and
engines. These live steamers can haul itself plus the engineer riding on the
tender and several adults on the riding cars. Dozens of new steam powered
privately owned small steam locomotives are built every year.
In the 1860's and 1870's, there was no standard gauge and arguments and
debates flew over gauge. Until the mid 1880's, northern U.S. railroads were 56.5
inch while southern railroads were 60 inch. In 1886, southern U.S. railroads
changed their gauge to be the 56.5 inch standard gauge.
The first American narrow gauges were the Cherokee Railroad (a Georgia
railroad which was operating by November, 1871) and the Tuskegee Railroad (an
Alabama railroad reported in operation on Nov 21, 1871 by Atlanta Daily
Constitution). Both of which went into service before the D&RG (generally
accepted as the father of American narrow gauge railroads) started regular
operations on January 1, 1872 (American Narrow Gauge Railroads, George W.
Hilton, 1990).
The earliest predecessors to the Gainesville Midland were chartered
within days of each other. The first was the Gainesville Jefferson and Southern
(August 23, 1872) and the second was the Walton Railroad (August 27, 1872).
The GJ&S was 36 inch gauge and the Walton Railroad was 5 foot (60 inch)
gauge.
Our historical journey starts with the Gainesville Jefferson and Southern.


The following three maps were created by the author starting from
USGS quadrangle maps.

INSERT usgs1.jpg HERE

INSERT usgs2.jpg HERE

INSERT usgs3.jpg HERE

Chapter 2
The Gainesville, Jefferson & Southern (1872-
1904)

INSERT Savannah and Memphis 1872 bw.jpg HERE

Excerpt from a Savannah & Memphis map 1872. Library of
Congress, Geography and Map Division.

In 1872, north eastern Georgia had only one incursion by any railroad,
the Georgia Air Line (GAL) from Atlanta. The construction of the GAL was
proceeding northeasterly along the Appalachians towards South Carolina. The
Georgia Railroad (Ga RR) between Atlanta and Augusta had a long branch line to
Athens.
Ripe for the picking were the counties south from Gainesville towards
the Georgia Railroad and the counties north and west of Gainesville near
Dahlonega and Cleveland. The business and city leaders in Gainesville saw this
opportunity and on August 23, 1872, the Gainesville, Jefferson, & Southern was
incorporated(4). The idea was to by-pass to the City of Atlanta on the east. This
idea came from the congestion seen a few years earlier when the railroad hub of
Atlanta was choked with the Civil War traffic volumes. The founders of the GJ&S
decided that since a railroad was expensive to build, they would build a railroad
through those towns that would help finance the railroad. In addition to raising
funds using communities that would help pay, they chose narrow gauge to save
costs.
As such, the GJ&S connected to Jefferson for its first traffic source and
then started southward from Belmont (Fowler Junction). The 1881 map of the
Richmond and Danville Air Line (R&DAL) shows the development of rail lines in
northeastern Georgia. The Georgia Air Line has become the Atlanta and Charlotte
Air Line (A&CAL) which is now a subsidiary of the R&DAL. The Elberton Air
Line (EAL) going southeast from Taccoa is in place as a three foot gauge feeder.
The Hartwell Railroad ia a narrow gauge feeder to the EAL. (The term "Air Line"
in those days actually meant the same as our more modern term of "as the crow
flies")
The Northeast Railroad of Georgia now connects Athens (and the
Georgia Railroad) with Lula. The NEofG was planning on an extension to Clayton
to join with the Blue Ridge Railroad. Closer to Atlanta, the narrow gauge
railroads of the Marietta & North Georgia (serving Canton), Roswell Railroad,
and Lawrenceville Railroad were established.
Extending north and west from Gainesville to Dahlonega is a railroad
that was more than most pipe dream railroads. It started out as the Gainesville &
Dahlonega Railroad (G&D) and was to be standard gauge. The G&D was at one
time considered as a possible way to get access to the Chestatee Pyrites Mines.
Eventually an agreement was reached between the Chestatee Pyrites Mines and
the Gainesville & Northwestern and Gainesville Midland and the construction of
the Chestatee Railroad.
Competing for funding with the G&D was the GJ&S. This map also
shows the proposed route south from Gainesville to Social Circle and the branch
to Jefferson.
The GJ&S became more than a dream when it was reported in the
October 1st, 1872 issue of "Railroad Gazette" that grading contracts for the line
between the namesakes were awarded to Sampson Mooney and C M C
Blackstone, both of Gainesville. The July 18, 1879 issue of "Railroad Gazette"
reported that "almost enough money on hand to purchase grade. Negotiation
under way with Georgia Railroad for aid". Since many of the dates that I could
find were the dates of "Railroad Gazette" issues, unless otherwise stated all
subsequent dates mentioned are issue dates and not an exact date.
Grading contracts were issued by October 1, 1881 and by March 31,
1882, the first 18 miles of track were laid south from Gainesville. It was planned
that track would be to Jug Tavern, a distance of 25 miles from Gainesville, by
June. As with all promoters, the June 1882 date for track to Jug Tavern was
overly optimistic. However, by July 14, the grade itself was completed to Jug
Tavern. At the same time, an extension as far as Monroe was considered.
In actuality, several sources show that the goal was always to head
south towards Macon (as the Atlanta by-pass) but to gain funding, the railroad
said several times, we will extend to your town but we will need money for it. It
was successful for Jefferson, Jug Tavern and Monroe. As we will see, it did not
always work.
By December 1882, the grade to Jefferson was completed. The line to
Monroe was located for 12 miles, leaving 5 miles to finish. If the Monroe line was
built, the line would interchange with the Walton Railroad. In February, 1883, the
capital for the Athens branch had been raised. By mid-April, three routes from
Jug Tavern to Athens had been surveyed.

INSERT Richmond and Danville 1881bw a.jpg HERE

Richmond and Danville Air Line 1881 - Library of Congress,
Geography and Map Division

By the April 27, 1883 issue of Railway Age, "The first 17 miles of line
from Gainesville to Hochston were put into operation. The Jefferson branch was
operating as far as the South Oconee River and was largely complete to
Jefferson, 10 miles from Florence Junction. Progress was being made on the
Monroe branch and negotiations were pending for the extension to Athens."
Florence Junction later became Belmont.
By May of 1883, the last of the $240,000 7% bonds were sold and the
money was raised to extend the line from Hochston to Jug Tavern. The Monroe
branch was located and would be built if local help was received. As of April 30,
the line had spent $106,909 on construction costs.
Later in May, The Georgia Road (a nickname of the Georgia Railroad)
said that they would buy the GJ&S if the line was completed in one year. It was
reported in the June 29, 1883 issue of Railway Age that contracts for
construction of the Monroe Branch were awarded to Blackstone, Lewis, & H D
Jackson. The grade was to be completed by November 1 and track laid by
December 1 next.
The Georgia Road's deadline of one year seemed achievable. In
September, the line's southern terminal was moved from Hochston 10 miles to Jug
Tavern. (27 miles from Gainesville). The GJ&S was consolidated with the Walton
Railroad by November according to a Railway Age report. As we will see, this
may have been a little premature.
By February of 1884, track was started from the Walton Railroad in
Monroe north towards the GJ&S at the Apalachee River. The GJ&S was stalled
there awaiting completion of the bridge. This is the same problem the G&D ran
into in spanning the Chattahoochee River.
On Mar. 11(5), 1885, official consolidation between the Walton and GJ&S
Railroads. In the March 14, 1885 issue of Railway Age, it was reported that the
Georgia Railroad took control of the GJ&S. And in the March 21st issue, the line
from the Apalachee River to Monroe was completed. This made Gainesville 43
miles from Monroe. Apparently the delay in completing the Monroe line was not
held against the GJ&S by The Georgia Road.
The GJ&S opened its entire 55 miles of line for service on March 8, 1884.
An excerpt from the 1885 annual report to stock holders (State of
Georgia Archives) had the following report about the condition of the railroad.

DEPOTS AND PLATFORMS.
The Depot Buildings at Bethlehem, Mulberry, Florence, Candler and
Pendergrass have been moved back from the Main Line a sufficient distance to
allow side tracks to be put in. The building at Gainesville has been lengthened
thirty-three feet, and a platform 35x40 feet has been added. A passenger
platform l50 feet long has been built between the tracks. The street at the rear
and south end of the building has been graded to allow wagons to load and
unload with ease, and the street macadamized with rock. Originally the floor of
this building was about level with the ground, and it was very difficult to load
or unload heavy freight. The depot building at Jefferson was located in a
ravine, and difficult of access. It has been moved to a much more convenient
locality.

WOOD AND WATER STATIONS.
At Social Circle the water station has been completed, a wooden building
erected over pump engine, and a house for keeping car and engine supplies.
These building, are covered with tin roofs. At Bethlehem, a well 10x20 feet has
been dug and walled up with three inch plank a wood shed and engine house
erected, also a saw and fixtures for sawing wood and the necessary pumping
apparatus for raising water. A new wooden tank has been built. The machinery
is run by a twelve horse power engine.

At Hoschton, a wood and water station has been built, the same as at
Bethlehem, excepting that three small and old tanks are used. At Gainesville a
well was dug of same dimensions as at Bethlehem, a new tank erected, and a
house sufficiently large to cover the engine was put, up. A large Buckeye pump
run by a ten horse power engine supplies the water. On the Jefferson Branch
the tank is self-supplying, the water being conveyed from a branch through
1025 feet of iron pipe. This pipe was originally laid above ground, with no
protection from frost. It was so badly split from freezing that it was necessary to
substitute new and larger pipe, which is enclosed in a box twelve inches
square, thoroughly packed with cinders. It stood last winter's cold without any
damage.

SIDE TRACKS.
New Sidings have been put at Camps, Bethlehem, Mulberry, Florence, Candler,
Pendergrass, and for brick yard at Gainesville, and the old sidings extended at
Jug Tavern, Hoschton and Gainesville, in all amounting to 3,985 feet of new
track.

TRACK.
The surface and condition of the track are good. On the sharpest curves steel
rails have been substituted for iron, and the iron used in side track extensions.
From Social Circle to Monroe, the track is laid with iron rail forty pounds per
yard, from Monroe to twenty-four Mile Post with thirty pound steel rail. From
there to Gainesville and also the Jefferson Branch, is laid with thirty pound
iron rail, except on some of the heavy curves about Walnut River, where, as
above stated, steel rail has been substituted for iron. From Social Circle to Jug
Tavern, the cuts are reasonably wide, and the banks tolerably full, but from Jug
Tavern to Gainesville and Jefferson the cuts are taken out, with sides vertical
and barely room for a car to pass through, while the banks are scant and as a
general rule below grade. These cuts should be widened as rapidly as possible,
and to this end a car with a plow
arranged on it has been constructed in the shops of the Georgia Railroad,
which, I am confident, will greatly expedite and lessen the cost of work. The
item of cross-ties for track has been heavy, but a huge portion of the road was
laid with small and inferior red oak ties, and even these were in many instances
put very far apart.

BRIDGES AND TRESTLES.
The bridges and trestles have an been thoroughly overhauled and repaired.
The Howe truss bridges at Mulberry and at Walnut River have been covered
and tin roofs put on.

The trestles at Appalachee River, Scott's Creek, and Camp's Branch have been
put on pile foundations. At Cedar Creek pile foundations have been put under
the trestle, and a forty foot beam truss span put in over the run of the Creek. The
trestle over Oconee River on the Jefferson branch has also been put on piling.
At all of these places we had trouble from washes during the high water last
spring, and piling was the only resort. The trestles on this road are many, and
in a few years they will require extensive repairs, or embankments must be
substituted.

Respectfully,
H HAMILTON WILKINS, Road Master.

As can be seen, there is a lot of improvements being made even though
the mainline is in place. I believe that the Bethlehem engine house is to cover the
stationary engine used to pump water and not to house locomotives.
The track was laid with 30 and 40 pound rail and "small and inferior" ties
which is typical of the cheap construction used for narrow gauge railroads. The
railroad learned some things as the line was being build since it is stated that the
cuts between between Social Circle and Jug Tavern (Winder) are reasonably
wide. The car built with a plow on the end to widen cuts is an early version of a
spreader car (spreads ballast and cleans out ditches).
It is interesting to see that there were two bridges covered over. There is
no record I have seen to show if these were standard through covered bridges or
the deck covered bridged like the Eastern Tennessee and Western North Carolina
used.

An excerpt from the 1886 annual report to stock holders (State of
Georgia Archives) had the following report about the condition of the railroad.

DEPOTS AND PLATFORMS.
The depots and platforms are all in good repair. The only work done on them
except slight repairs, was partitioning off a portion of the waiting room at
Monroe, for a ladies' room, and ceiling the Agent's room at Bethlehem.

An engine house, with pit walled with rock, has been erected at Social Circle.
The turntable pit was also walled with rock and a rock retaining wall built to
prevent earth caving on the track of the Georgia Railroad.

WOOD AND WATER STATIONS.
In spite of the precautions taken last year, the pipe leading from the spring to
the tank on the Jefferson Branch froze and burst in a number of places.
Temporary repairs have been made. The remaining Wood and Water Stations
are in good order.

SIDE TRACKS.
No new Sidings have been put in.

TRACKS.
The surface and condition of the track has been steadily improved. The cuts on
the main line, except those near Gainesville, have been widened and the banks
filled out. The sides of these cuts were taken out with our plow, thus saving
much labor and expense. The unusually severe winter caused the sides of the
cuts to freeze and fall in. It will be necessary to clean them as early as possible.
The cuts on the Jefferson Branch are yet to be widened.

BRIDGES AND TRESTLES.
The Bridges and trestles have been overhauled and are in good repair. Several
near Gainesville are showing signs of decay, and will require renewal or filling
with earth during the coming year. A new wagon bridge has been built under
the public road crossing near Candler.

Respectfully submitted,
HAMILTON WILKINS, Road Master.

A couple of interesting notes come up here. One is that at Monroe the
waiting room was divided so that the ladies had a separate waiting area from the
men.
Another interesting point is that there is a turntable and engine house in Social
Circle. I do not know quite were this could be but the fact that it appears that a
rock retaining wall needed to separate it from the Georgia Railroad leaves only a
small area for its location.

An excerpt from the 1889 annual report to stock holders (State of Georgia
Archives) had the following report about the condition of the railroad.

DEPOTS AND PLATFORMS.
These are needing slight repairs.

WOOD AND WATER STATIONS.
The Wood and Water Stations are in good order, except a Tank needed near
Jefferson.

SIDE TRACKS.
A new siding was put in at Gresham's, 550 feet long.

BRIDGES AND TRESTLES.
The Bridges are in good order. The Trestles will need heavy repairs this fall.
At Marberry Creek the two old forty feet spans were taken out, and two spans of
beam truss substituted.

TRACK.
The Track is in good condition, except that many of the rails are badly worn.

HAMILTON WILKINS, Road Master.

This report shows that a scant seven years after the rail was laid, it was
wearing out. Most likely the 30 pound iron rail showed the most wear.

In the September 1890 annual report to stock holders (State of Georgia
Archives), the following items were reported (not direct quotes).

Even at this early a date (some 20 years before the successor Gainesville
Midland to the step), it was noted that the Jefferson Branch was a money looser
and needed to be extended to Athens.

Board of Directors
Allen D. Chandler (President) J. W. Green
H. W. Bell A. D. Candler
H. B. Smith C. C. Sanders
W. C. Howard Wm. Hosch
J. R. Barnes D. R. Lyle (deceased)
L. L. Boon (deceased) N. J. Kelley
F. L. Pendergrass D. H. Walker

Revenue
From Passenger $12,597.19
From Ft, mail, express 27,728.30
total 40,325.49

For Conducting Trains $ 7,512.62
Motive Power 9,293.84
Maintenance of Way 18,451.60
Maintenance of Cars 928.09
Taxes, Legal exp, incidentals 37,569.97

net earnings $ 2,755.52

In examining the loads by station, it was found that 2/3rds total loads were in
general inbound to the stations. When sorted by loadings, the stations (or
destination/origins) ranked as:

1 Atlanta West
2 Gainesville
3 Monroe
4 Social Circle
5 Augusta East
6 Jug Tavern
7 Jefferson
8 Hoschton
9 Pendergrass
10 GRR stations
11 Bethlehem
12 Campton
13 Bellmont
14 Mulberry

The largest items of shipment were guano and cotton.

Statement of Cotton and Guano
guano inbound cotton outbound
Gainesville 875 1932
Belmont 104 16
Pendergrass 430 16
Jefferson 812 -
Hoschton 812 389
Mulberry 39 -
Jug Tavern 890 468
Bethlehem 307 148
Campton 362 378
Monroe 1768 5339
Social Circle 177 -

All locomotives were wood burners

"The Wood and Water stations are in good order except tanks at Hoschton and
Jefferson"

Side Tracks
"Two new sidings have been put in at Monroe aggregating 670 feet in length"

The problems with worn rail were still plaguing the railroad in 1891. The
annual report (State of Georgia Archives) once again complained about the worn
rails.

DEPOTS AND PLATFORMS.
The depots and platforms are in good condition.

WOOD AND WATER STATIONS.
The wood and water stations are in good order, except tanks at Hoschton and
Jefferson.

BRIDGES AND TRESTLES.
The bridges and trestles are in good order, but will require some repairs during
the ensuing year.

TRACK.
The track is in good condition, except that some of the iron rails are becoming
much worn.

STEEL RAILS.
During the year we have laid fifty tons of new steel rails, 30 lbs. section,
replacing 1 6/100 miles of iron rails.

Very respectfully,
W. M. ROBINSON, Road Master.

INSERT tag 1892 bw.jpg HERE

Excerpt from a Tennessee Alabama & Georgia Railroad map -
1892. Library of Congress, Geography and Map Division

The GJ&S never built the the Athens branch from either Jug Tavern or
Jefferson.
As this 1892 excerpt from a map for a proposed Tennessee, Alabama,
and Georgia Railroad shows, the future Seaboard Air Line had been completed
between Jug Tavern and Athens. Since the Georgia Road already had a line to
Athens, the need for a second line into Athens by the GJ&S was probably
deemed redundant by the controlling Georgia Railroad and scrapped plans for
the GJ&S branch. Also on this map there is an extension south from Social Circle
to Newborn. This extension was never built by the GJ&S.
The southward extension had not yet died. This 1893 map (also an
excerpt from a map for the Tennessee, Alabama, and Georgia Railroad) shows the
southward extension connecting to Monticello on the Covington and Macon
Railroad. This would have provided the Atlanta by-pass the GJ&S founders
wanted, but by this time a by-pass existed using the C&M and the Northeast
Railroad of Georgia. Since both the C&M and the NEofG were standard gauge,
the "by-pass" of Atlanta using narrow gauge was no longer considered
reasonable and the GJ&S settled down to a subsistence living off of local traffic.

INSERT tag c1893 bw.jpg HERE

Excerpt from a Tennessee Alabama & Georgia Railroad map -
1893. Library of Congress, Geography and Map Division

The 1894 annual report (State of Georgia Archives) mentions an
accident near Marberry Creek which was evidently very costly. The destruction
of one box car and one flat car and the disposal of one locomotive (maybe due to
the accident) were not of inconsequential magnitude. The 48 pound rail coming
from the Macon Branch was probably from the Georgia Railroad. The Macon
Branch Railroad was a wholly owned subsidiary of the Georgia Railroad.

Maintenance of Equipment
over $9000 to replace passenger and freight destroyed in Marberry Creek
accident of March 1893

Track
"One and a half miles of iron, 48 pound section (taken up on Macon Branch), has
been furnished this year for patching purposes."

By 1895 (annual report State of Georgia Archives), the President of the
Gainesville Jefferson and Southern wrote "No narrow gauge road can compete
successfully with standard gauge roads which penetrate its territory.
Especially is this true of short lines of road flanked on every side, as yours is, by
long lines of standard gauge roads." Only 11 years after completion, the narrow
gauge showed its inherent short comings.
The GJ&S had "operating expenses exceeded gross income by $1400"
and "A part of the road is in bad physical condition and the rolling stock and
the motive power are much deteriorated". All locomotives were still used wood
for fuel.
The most important station for car loadings was Monroe instead of Gainesville.
Also, Gainesville had become a place of originating loads instead of a destination
for loads.

loadings by station
1 Monroe (destination)
2 Atlanta West
3 Gainesville (origin)
4 Social Circle
5 Augusta East
6 Jefferson
7 Jug Tavern
8 GRR stations
9 Hoschton
10 Pendergrass
11 Bethlehem
12 Campton
13 Bellmont
14 Mulberry
15 New RR interchange at Jug Tavern

As can be seen from this President's Report from the 1896 annual report
(State of Georgia Archives) the GJ&S was having troubles maintaining its
physical plant. Much of the railroad needed new rail. The selling of all rolling
stock to the Georgia RR was an accounting move to get cash to the GJ&S.

PRESIDENT'S REPORT.

OFFICE OF THE PRESIDENT, GAINESVILLE, JEFFERSON & SOUTHERN R.
R. CO.,
GAINESVILLE, GA., July 1, 1896.

To the Stockholders:

I herewith submit the reports of the officers charged with the operation of your
road for the year ended with the 30th day of June, 1896.

From the Road Master's report it will be seen that the roadway and track and
the depots, platforms, wood and water stations, trestles and bridges, are with
some exceptions in fairly good condition.

That portion of the track which was laid with thirty-pounds iron rails is much
worn and must be soon replaced with new rails if the road is to be kept in safe
condition. In accordance with instructions given me at your last annual
meeting, I sold and delivered to the Lessees of the Georgia Railroad all the
locomotives and cars of every description on your road. The prices at which
they were sold were those at which they were assessed for taxation several
years ago when the Comptroller General declined to receive the return made
by me, and had the road, together with all of its appurtenances, assessed by
expert railroad men.

These prices aggregated $21,380.00, which appears as a credit on the amount
herein shown to be due the Lessees of the Georgia Railroad for advances made
by them.

The General Manager's report shows that the actual operating expenses of the
road since it was opened for business in 1884, have exceeded its gross earnings
by $1,027.99. This deficit has been met by the Lessees of the Georgia Railroad,
as has also the entire amount of interest paid on our company's bonds,
'$321,684.96, less $8,569.17, paid by our company prior to its alliance with
the Georgia Railroad, that is to say $313,115.79. To this $313,115.79 add loss
in operation $1,027.99, and expenses for finishing road $36,621.08, and we
have $350,764.86, which represents the total amount advanced by the Lessees
of the Georgia Railroad while operating your road as shown in table No. 8.

All the coupons of our second mortgage bonds have been paid by the Lessees of
the Georgia Railroad.

On the first of January, 1896, they paid the coupons of all Walton Railroad
bonds, the payment of which was assumed by your company when it absorbed
the Walton Railroad, and all the coupons of your first mortgage bonds except
$83,500.00 unendorsed bonds, which were allowed to default. On these last
named bonds, the $83,500.00, there is now due and unpaid twelve months'
interest.

The bonds designated above as unendorsed bonds, (the $83,500.00), were sold
by me to sundry persons prior to our alliance with the Lessees of the Georgia
Railroad.

The remainder of the issue of the first mortgage bonds, $161,500.00, as also all
of those secured by a second mortgage, $75,000.00, were sold to the Lessees of
the Georgia, Railroad, and the proceeds of the sale applied toward the
completion and equipment of your road. Subsequently, as I am informed, some
sort of endorsement was put on them and they were sold by the Lessees.

On these endorsed bonds there has been no default.

For the payment of the interest on the unendorsed bonds there was no sort of
obligation, either legal or moral, resting on the Lessees of the Georgia
Railroad, these bonds never having passed through their hands; still they have
paid all coupons of the unendorsed as well as of the endorsed bonds up to the
first of January, 1890, when, as stated above, the coupons of the unendorsed
bonds were not paid.

That the practical results of the operation of your road during the twelve years
since it was opened for business have been so unsatisfactory is a source of much
disappointment and regret to its projectors; but these results can not, I think,
be attributed to any bad faith on the part of our allies, the Lessees of the
Georgia Railroad, nor to the want of proper effort on the part of the officers in
direct charge of its operation; but to the failure of the country through which
you built to afford that patronage which you had reasonable grounds to
expect, and to the unprecedented "hard times" of the last four years which have
wrecked most of the railroads in the country and involved in ruin corporations
and individuals alike.

Respectfully submitted,
ALLEN D. CANDLER, President.


DEPOTS AND PLATFORMS.
The Depots and Platforms generally are in poor condition. Several new ones
should be built during the year.

WOOD AND WATER STATIONS.
These are in good condition, and the water supply is abundant.

BRIDGES AND TRESTLES,
The Bridges and Trestles have been kept in safe condition, but will require
during the year, considerably more than the average repairs, it being necessary
to entirely rebuild several of them within the next six months.

TRACK.
A good part of the rail with which the road is laid is iron, 30 lbs. section, and
now very much worn.

Yours truly,
W. M. ROBINSON, Road Master.

The profit and loss for the GJ&S from 1885 to 1896 based on the annual reports
were as follows.

March 1885 (11 month) -365.34
March 1886 +1281.48
March 1887 -3966.49
March 1888 +5105.20
June 1889 (15 months) -997.07
June 1890 +2755.52
June 1891 +10454.44
June 1892 +83.55
June 1893 -1927.17
June 1894 -14721.07
June 1895 -1392.10
June 1896 +2661.06

The railroad never was very profitable during this time period.
On March 4, 1897, the line fell into the first of many receiverships (6).
According to the PSC reports, the receiver was Samuel Dunlap of
Gainesville, Georgia.
In 1902, the Southern Express Company and the GJ&S had a
contract stating that the GJ&S would receive 45% of the Southern
Express Company revenues in exchange for the Southern Express
Company's exclusive use of GJ&S lines. The GJ&S would receive
revenues on all items, including coins and bullion and excepting paper
currency and would have its cash transferred by the Southern Express
Company, free of charge. The map below is from a Southern Express
map showing its routes in 1884. It is interesting to note that the GJ&S is
shown but that Jefferson is not shown on a branch.

INSERT Southern Express c1884 bw.jpg HERE

Excerpt from a Southern Express map - 1884. Library of Congress,
Geography and Map Division

In 1899, an accident was reported in the annual PSC report. "On October
30, 1898, Train No. 85 ran off track one mile north of Hoschton, Ga. and
slightly bruised train hand and dislocated conductor's wrist. Both recovered in
due course and without any serious permanent injuries." The PSC report also
stated that 74 people were employed by the GJ&S.
In the 1900 annual report (July 1, 1899-June30,1900), "On April 30,
1900, Train No. 81 pushed (hard to decipher word in report) and ran back about
3 miles downgrade and was derailed at curve at south end of trestle near
Walnut River, slightly bruising one train hand, jarring conductor, mail agent,
express agent, and six passengers.
All recovered in due course and without any serious permanent
injuries."
Also one locomotive was reported sold in the 1900 PSC report for $900.
On June 17(7), 1903, Judge John Kimsey ruled in favor of Gainesville,
which owned $506 in GJ&S bonds, and against the GJ&S and The Georgia Road.
He ruled that the GJ&S bonds, that were received by The Georgia Railroad in
1883, were "usurious" and that the $145,350 of the $161,500 7% first mortgage
bonds held by the Georgia Road were invalid. He stated that the $145,350 and the
20 years interests amounting to $225,000, were uncollectable.
The foreclosure sale was first set for September 15 and then rescheduled
for December 15. The GJ&S Public Service Commission (PSC) report for 1904
reported that The Georgia Railroad claimed that it owned the majority of the
GJ&S stock. However, the 1904 GJ&S's report also says that there is no record of
this.
The PSC report also identified one accident victim. The items checked
off in the report included jumping on or off trains, locomotives or cars (in motion
was not recorded) and that one person was killed and that he was tresspassing
on GJ&S property.
By the June 3rd issue of Railway Age Gazette (name of the magazine
having changed), the GJ&S's price tag was set at $195,000 for all property. This is
an average of $3,000 per mile of line. If there was no buyer, the GJ&S would be
divided into two lots. One was to be the old Walton Railroad and no equipment.
The other was the old GJ&S with all rolling stock. They would be sold at $30,000
and $165,000 respectively.
As can be seen, 1883 was about the most important year in the life of the
road with the beginning of preparations and the building of the majority of the
line. It appeared that the line was to have a north-south emphasis on operation
when one notices that the line was pushed just as vigorously towards Jug
Tavern (later to become Winder(8)), if not more so, as towards Jefferson.
Routes were projected for continuation south past Social Circle but
local funding was not forthcoming. As of 1883, the capital for the branch to
Athens was raised. However, the branch was not built until 1906. As mentioned
above, The Georgia Road apparently decided that a GJ&S branch to Athens was
not necessary. It is interesting to speculate what would have happened if the
Athens branch had been built then because the Athens line is the only line of
the GM at present, and it brings in the money.
It appears that the line would not sell at the first foreclosure sale. Either
the only part that the Georgia Railroad wanted to keep was the line from Monroe
to Social Circle, or there were strong interest in the Walton to Social Circle
section from the local citizenry.
Although the GM did not own the track between Social Circle and
Monroe, it did have trackage rights over that section. Trackage rights can be be
negotiated between several railroads in many ways but it probably means that
the GM could run trains all the way to Social Circle over the Monroe Railroad.
Whether the GM would be allowed to service any industries or not is unknown.
Under trackage rights, the GM would have had to get permission to run their
trains over the Walton from the Monroe and Social Circle station agents since a
Monroe train had priority use of the tracks.
As can be noted, there are two dates for the consolidation with the
Walton. I would say that November 16, 1883 was the date that proceedings to
consolidate were started or announced because the March 11, 1884 was the date
from an Annual Report to the Georgia Public Service Commission.

Gainesville Jefferson & Southern
A. D. Candler, President, Gainesville, Georgia
----------------------------------------------------------------------------------------------------
88 84 82 M Nov 3, 1895 83 81 85
----------------------------------------------------------------------------------------------------
P.M. A.M. A.M. LEAVE] [ARRIVE P.M. P.M. A.M.
7:50 10:00 6:30 0 ..Gainesville.. 4:30 9:15 7:58
Connections with Southern RR and Gainesville & Dahlonega RR
8:30 10:35 7:18 10 ....Belmont.... 3:50 8:30 7:18
----------------------------------------------------------------------------------------------------
9:15 11:20 23 ar.Jefferson.lv 12:01 6:31
----------------------------------------------------------------------------------------------------
P.M. 1:25 7:53 18 ...Hoschton.... 3:15 7:50 A.M.
1:45 8:15 23 ...Mulberry.... 2:53 7:30
2:05 8:32 27 ....Winder..... 2:35 7:10
3:00 9:34 42 ....Monroe..... 12:20 6:10
3:50 10:15 52 .Social Circle. 11:45 5:40
Connections with Georgia RR
P.M. A.M. ARRIVE] [LEAVE A.M. P.M.
----------------------------------------------------------------------------------------------------

GJ&S timetable - information from The Official Guide of the Railways.

INSERT 1899tt og.jpg HERE

INSERT tt definition.jpg HERE

INSERT 1903tt og.jpg HERE