ties and private individuals which aggregate an amount equal to more than one-eighth of the total area of the entire State. The total amount of money actually invested in Iowa railroads by stockholders and bondholders probably does not exceed an average of $15,000 per mile and $13,000,000 of net earnings which are annually distributed among them would be a fair profit upon twice the amount which they have actually invested … Railroads have in the course of time usurped powers dangerous to the public welfare and have practiced extortions perhaps less cruel, but in the aggregate more gigantic than those of the British landlord. It has been found necessary to limit the power of public officers to levy taxes for the maintenance of our schools and the support of the State, county and municipal government, notwithstanding the fact that those taxes are used for the benefit of the people. Yet a few railroad managers are free to meet in Chicago and levy an extra tax of one, two or even five million dollars upon the people of Iowa without giving them anything in return. … It is impossible to compute or even approximate the loss sustained by the people of Iowa in consequence of railroad discriminations. … By granting special rates, rebates, drawbacks and other favors here and there to men of influence in their respective localities, they have secured the favor of many who, after having divided with them their spoils are ready to defend their wrongs and to advocate a policy of neutrality on part of the State. By retaining the ablest attorneys, by influencing the press and by flattering and favoring politicians they have for many years managed to prevent an open outburst of popular indignation; and their long continued success greatly added to their boldness in usurping unlawful powers and invading public rights. When it is considered that the railroad companies doing business in Iowa, have an annual cash income of over $100,000,000, their past influence can readily be appreciated. It is not an extravagant statement that the power exerted by them has in many instances proved greater than that of the State to which they owe their corporate existence. … Setting at naught the power of the State they nullify with impunity the principles of equity which for centuries have been enunciated by the courts. Such combinations as are maintained by them would, in other branches of business, be considered conspiracies against the public welfare and would subject their originators to indictment.”
This inaugural address was the most courageous arraignment of the railroad corporations and the most fearless exposition of the extortions and wrongs inflicted by them upon the people of the State, ever made by a public official in Iowa. Governor Larrabee had long been a prominent member of the State Senate and was thoroughly
