Central Pacific Railroad
| Company type | Private |
|---|---|
| Industry | Railroad |
| Founded | 1861 |
| Founder | Charles Marsh, Theodore Judah, Daniel Strong, Leland Stanford, Collis P. Huntington, Mark Hopkins Jr., Charles Crocker |
| Defunct | 1959 |
| Fate | Leased to Southern Pacific Railroad Company in 1885; merged into Southern Pacific in 1959 |
| Successor | Southern Pacific Railroad |
| Headquarters | Sacramento , United States |
Area served | Western United States |
Key people | Leland Stanford (president), Collis P. Huntington, Mark Hopkins Jr., Charles Crocker, James Harvey Strobridge (construction supervisor) |
| Products | Rail transport services |
Number of employees | Approximately 12,000 Chinese laborers in 1868 (part of workforce) (1868) |
| Parent | Southern Pacific Railroad (from 1885) |
Overview
The Central Pacific Railroad (CPRR) was established by an act of the U.S. Congress in 1862 to construct the western segment of the First transcontinental railroad, extending eastward from Sacramento, California. Founded in 1861, the CPRR functioned as an independent entity until 1885, when it was leased to the Southern Pacific Railroad Company. Its assets were ultimately consolidated into Southern Pacific by 1959.
Prior to this, earlier transcontinental railroad proposals were hindered by political conflicts over slavery following the 1855 Pacific Railroad Surveys. After the Southern states seceded in 1861, Congress, under Republican control, enacted the Pacific Railroad Acts of 1862, which authorized construction of a central rail line. This legislation facilitated funding through government bonds and land grants, which were later repaid with interest. This collaboration between public and private sectors increased land values, benefiting both government coffers and railroad investors. Additionally, the railroad provided a reliable means for transporting mail, military personnel, and supplies, underscoring its strategic significance.
Authorization and construction
In late 1860, surveyor and civil engineer Charles Marsh met with Theodore Judah, who had experience with the Sacramento Valley Railroad and was extending it toward Marysville. Marsh, having previously surveyed a route between Sacramento and Nevada City, joined forces with Judah to examine the Sierra Nevada Mountains and evaluate the feasibility of a transcontinental railroad. Both agreed that the project was achievable.
By early 1861, Marsh, Judah, and Daniel Strong began discussing plans for the Central Pacific Railroad of California. James Bailey informed Leland Stanford about Judah’s proposed route, prompting Stanford’s involvement. Shortly thereafter, Marsh, Judah, Strong, Huntington, Stanford, Hopkins Jr., and Crocker established the company’s inaugural board of directors on April 30, 1861.
The Pacific Railway Act of 1862 authorized government bonds and land grants to finance construction. Stanford served as president while simultaneously holding office as governor of California; Huntington oversaw fundraising and procurement; Hopkins was treasurer; Crocker managed construction efforts. Collectively known as "The Big Four," they commenced rail laying in Sacramento in 1863.
Construction pace increased in 1865 under James Harvey Strobridge’s supervision, who hired Cantonese immigrant laborers at Crocker’s recommendation. By 1868, Chinese workers comprised approximately eighty percent of the workforce—about 12,000 individuals—playing a crucial role in overcoming Donner Pass. The "Golden Spike" event at Promontory Summit in May 1869 signified completion of the railroad, enabling coast-to-coast travel within eight days.
In 1885, Southern Pacific Company leased Central Pacific as a subsidiary line; it remained a separate corporate entity until fully merging in 1959 following reorganization in 1899. Presently, Union Pacific controls the original right-of-way after acquiring Southern Pacific in 1996.
The employment of Chinese laborers provided a competitive edge by supplying skilled workers at reduced wages despite harsh working conditions. Initial Cantonese workers were engaged on a trial basis in early 1865; their pay was lower than that of white laborers who also received lodging and meals.
The Sierra Nevada posed significant obstacles—especially extensive tunneling—that surpassed challenges faced by Union Pacific through the Rocky Mountains. Contrary to popular misconceptions, Chinese workers were not suspended by wicker baskets over cliffs at Cape Horn; excavation was performed from above and horizontally.
Although surveyors used safety ropes during route staking, construction crews did not employ them during excavation. The majority of Chinese laborers were hired after initial work at Cape Horn, which may have been completed by Irish workers.
Charles Marsh’s expertise in civil engineering from previous Sierra projects and water infrastructure development greatly contributed to planning efforts and overcoming construction difficulties.
Financing
The construction was mainly funded through 30-year U.S. government bonds carrying a 6% interest rate, as authorized by Section 5 of the Pacific Railroad Act of 1862. These bonds were issued at a rate of $16,000 per mile of track completed east of the Sierra Nevada base near Roseville, California (equivalent to approximately $265,000 in 2017). Section 11 raised the bond amount to $48,000 per mile for up to 300 miles across mountainous terrain, and $32,000 per mile for sections between mountain ranges. These bonds were secured by a lien on the railroad and its associated assets and were fully repaid with interest.
An amendment in 1864 (Section 10) permitted the railroad company to issue its own "First Mortgage Bonds" up to the value of government bonds already issued. These corporate bonds held precedence over the government-issued ones. Financing was also supported by local and state governments, although early construction faced delays due to San Francisco’s hesitance. The original 1862 Act granted land—initially 10 square miles per mile of rail laid, which was doubled to 20 square miles by the 1864 Act—to aid funding efforts.
San Francisco's resistance was particularly evident between 1863 and 1865. Under Governor Stanford's administration, legislation allowed the city to subscribe $1 million in CPRR and Western Pacific stock, approved through a contentious bond election in 1863. However, issuance of these bonds was postponed for two years because Mayor Henry P. Coon and County Clerk Wilhelm Loewy declined to countersign them, necessitating court orders in 1864 and 1865 to enforce compliance.
This financing dispute gave rise to allegations termed the "Dutch Flat Swindle," which claimed that CPRR’s Big Four intended only to construct the railroad as far as Dutch Flat, aiming to monopolize mining traffic along the Dutch Flat-Donner Pass Wagon Road instead of completing the expensive trans-Sierra route. CPRR’s chief engineer Theodore Judah opposed this scheme and sought investors to buy out the Big Four and continue building across the Sierra Nevada but passed away in 1863 before this plan could be realized.
Museums and archives
A faithful replica of the Central Pacific Railroad passenger station from Sacramento, California is displayed within the California State Railroad Museum located at Old Sacramento State Historic Park. Old Sacramento also preserves several historic structures related to Central Pacific, including a reconstructed hardware store originally owned by founders Collis P. Huntington and Mark Hopkins.
The majority of Collis P. Huntington’s correspondence is archived at Syracuse University as part of the Collis Huntington Papers collection, accessible on microfilm and through other academic libraries. Additional documents are held by Stanford University and the Mariners' Museum in Newport News, Virginia. Photographer Alfred A. Hart extensively captured images documenting CPRR’s construction.
Locomotives
Central Pacific initially operated primarily with 4-4-0 locomotives manufactured by northeastern U.S. firms such as Cooke, Schenectady, Mason, Rogers, Danforth, Norris, Booth, and McKay & Aldus. Due to Civil War constraints and logistical hurdles, these engines were transported in disassembled form via a four-month sea journey around Cape Horn to Sacramento for assembly.
The company maintained a notable refusal to purchase locomotives from Baldwin Locomotive Works except for three units acquired through its absorption of Western Pacific Railroad in 1870; this dispute continued until after Southern Pacific acquired Central Pacific.
In the 1870s, Central Pacific established locomotive workshops in Sacramento where engines like Central Pacific 173 were rebuilt and unique models developed. While early locomotives carried both names and numbers, the practice of naming was discontinued during that decade; nevertheless, one engine from the 1880s retained its name: El Gobernador.
Preserved locomotives
Several locomotives from the Central Pacific (CP) fleet have been conserved and remain notable today:
- Gov. Stanford (Central Pacific 1)
- CP 233, a 2-6-2T type constructed by the railroad itself, currently housed at the California State Railroad Museum.
- C. P. Huntington (Central Pacific 3), which was subsequently acquired by the Southern Pacific Transportation Company.
- The former Western Pacific Mariposa, originally Central Pacific’s second engine numbered 31, built in 1864; it played a role in the initial transcontinental railroad construction; later sold to Stockton Terminal and Eastern in 1914 and renumbered 1; presently displayed at Travel Town Museum.
- Virginia and Truckee 18 Dayton, crafted by CP Sacramento workshops based on the design of CP 173, representing the sole surviving locomotive of that model.
- Although the original Central Pacific engines Jupiter (60) and Leviathan (63) were dismantled, full-scale operational replicas have been produced. The Jupiter replica was built for the National Park Service to operate at Golden Spike National Historical Park. The Leviathan replica, completed in 2009, was privately run on various railroads before being sold in 2018 to Stone Gable Estates in Pennsylvania, where it functions as Pennsylvania Railroad No. 331 on a private estate railway.
Timeline
1861
- June 28: Established as "Central Pacific Rail Road of California"; later renamed "Central Pacific Railroad of California" on October 8, 1864, following amendments to the Pacific Railway Acts.
1862
- July 1: President Abraham Lincoln enacts the Pacific Railway Act, granting authority to Central Pacific and Union Pacific to construct a transcontinental railroad.
1863
- January 8: Commencement of construction in Sacramento, California.
- October 26: Initial rail segment installed in Sacramento.
1864
- April 26: Line extended to Roseville, linking with the California Central Railroad.
- June 3: First revenue-generating train operates between Sacramento and Newcastle.
- October 8: Official company name changed to "Central Pacific Railroad of California" due to legislative revision.
1865
- February: Recruited first group of Cantonese laborers.
- May 13: Rail service expanded to Auburn.
- September 1: Service further extended to Colfax.
1866
- December 3: Track reached Cisco.
1867
- June 25: Around 5,000 Chinese workers staged a strike concerning wages and working hours.
- August 28: After nearly five years of labor primarily by Chinese workers, Tunnel No. 6 at Donner Pass completed the Sierra Nevada crossing.
- December 1: Rail line arrived at the Sierra Nevada summit.
1868
- June 18: First passenger train traversed the Sierra Nevada to Lake's Crossing (present-day Reno).
1869
- April 28: Track crews set a record by laying ten miles of track within a single day.
- May 10: The meeting point of Central Pacific and Union Pacific tracks at Promontory, Utah marked completion of the transcontinental connection between Omaha and Sacramento.
- May 15: Initial transcontinental trains began service to Sacramento.
- September 6: First transcontinental train arrived at San Francisco Bay’s Alameda Terminal.
- November 8: Final segment linking Omaha to Oakland via subsidiaries Western Pacific Railroad and San Francisco and Oakland Railroad was completed.
1870
- June-August: Mergers consolidated Western Pacific Railroad (1862–1870), San Francisco and Alameda Railroad, San Francisco and Oakland Railroad, California & Oregon, and San Joaquin Valley Railroad into the newly formed "Central Pacific Railroad Co."
1876–1885
- Operated the California Pacific Railroad route between South Vallejo and Sacramento until April 1885.
1877
- July: The Great Railroad Strike erupted; federal troops were deployed under President Rutherford B. Hayes to restore order.
1883
- November: Adoption of standardized time zones for railroads across America improved scheduling efficiency.
1885–1888
- April 1, 1885: Leased operations transferred to Southern Pacific Railroad.
- June 30, 1888: Recognized as a non-operating subsidiary of Southern Pacific by the Interstate Commerce Commission.
1899–1959
- July 29, 1899: Reorganized under the name "Central Pacific Railway."
- June 30, 1959: Fully merged into Southern Pacific Railroad.
This timeline encapsulates pivotal developments illustrating Central Pacific’s expansion, strategic mergers, labor challenges, and operational milestones that shaped its prominence within the railroad sector.
Acquisitions
- San Joaquin Valley Railroad (1868–1870)
- Stockton and Copperopolis Railroad
- Stockton and Visalia Railroad
- Western Pacific Railroad (1862–1870)
See also
- Rail transport in California
- Donner Pass (Sierra Nevada)
Further reading
- Highlights the Chinese labor force instrumental in building the Central Pacific over Donner Pass, emphasizing shifts in corporate perspectives.
- Evans, Cerinda W. Collis Potter Huntington (2 vol 1954) [vol 1 online]; also see [vol 2 online]
- Investigates financial yields and government support, demonstrating compelling private investment motivations.
- Explores management of Chinese workers and evolving corporate policies.
- Assesses how land grants influenced investment outcomes and societal advantages.
- Finds land grants yielded limited private but notable public benefits.
- Applies economic frameworks to analyze wage differences among labor groups.
- Studies strategic leadership in market control through mergers and anti-competitive tactics.
- Offers perspectives on corporate governance and market power.
External links
- Central Pacific Railroad legal cases and investigation records, 1876–1887 at California State Library
- Guide to the Central Pacific Railroad Company archives, 1861–1899 at California State Library
- Central Pacific Railroad Photographic History Museum
- Railroads in California, handwritten report by L. M. Clement, Special Collections and Archives, UC Irvine Libraries
- Articles with short description
- First transcontinental railroad
- Railway lines in the United States
- Historic American Engineering Record in California
- History of rail transportation in the United States
- History of the American West
- History of California
- History of the Sierra Nevada (United States)
- Defunct California railroads
- Defunct Nevada railroads
- Defunct Utah railroads
- Predecessors of the Southern Pacific Transportation Company
- Rail lines receiving land grants
- Railway companies established in 1861
- Railway companies disestablished in 1899
- 1860s in California
- American frontier
- American companies established in 1899
- 1861 establishments in the United States
- Union Pacific Railroad
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- Companies of the United States by year of establishment