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THE STATE OF IOWA,

The County of Lee, sct.:

I, C. L. Williams, on oath say I am, in the capacity of administrator of the estate of George Williams, deceased, the claimant in the above-entitled case. I make part hereof my former affidavit, made before the said board of engineers, and here solemnly reaffirm the truth of each and all of the allegations therein set forth.

I especially recall the attention of this hon. board of engineers to that portion of the affidavit (Subdivision IV) formerly made by me touching upon the economy and reasonableness of the "actual expenditures" made by the said Williams, and, since his death, by me as his legal representative, for and on account of the section work and lock work involved in this controversy.

I understand that the board are now only to consider whether "the actual expenditures" heretofore found by the board as having been made by the said Williams, and since his death by me as his legal representative, are in their amounts reasonable and just. The finding of the board that they were reasonable in their nature is not questioned. The board has found that the expenditures were actually made.

As to the items mentioned in the former report of the board, and about which doubts are expressed as to their reasonableness in their amounts, which items are as follows, namely:

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I make the following statement:

1,478 90

First, as to "traveling expenses." I have heretofore submitted to the board, and they have examined, the vouchers for the items aggregating the amount charged as traveling expenses.

All of these items, as set forth in Exhibit B with my former affidavit, are true and just, and were actually expended for traveling expenses in connection with said work, and the amounts so expended were reasonable and just.

Under the head of "traveling expenses," in said Exhibit B, are included not only the traveling expenses of A. Whitney, C. S. Whitney, George Williams, and myself, but also the transportation of men who were taken to the works from various points and employed by us on the works. It was absolutely necessary for some one of the above-named parties, that is, A. Whitney, C. S. Whitney, George Williams, or myself, to pay for the transportation of these men, who were thus taken to the works, because we could not trust them with the money, for if they had received the money they would probably have gone to some other works. It was absolutely necessary for us to get a large portion of our laborers in this way, and at that time we could have procured the necessary number of laborers in no other way. I personally know that in many instances the transportation of laborers was paid in this way.

We took from Keokuk, Iowa, a large number of experienced laborers, who had been engaged on the canal at Keokuk, and whom we knew to be capable of doing the kind of work required at "The Muscle Shoals," and paid their transportation, which is included in the items of traveling expenses.

Second, as to "telegrams." The items paid for telegraphing were reasonable and just. The mails to and from the shoals were very irregular, and there was an absolute necessity for many communications by telegrams with the works. In telegraphing we used a cipher that greatly abbreviated the messages and lowered the cost. By means of prompt communications to and from the works by telegrams the work was greatly facilitated, and there is no doubt but a great saving was thus made to the works. Instead of the amount paid for telegraphing being large, it was quite low, as we used the cipher and made spécial rates with the telegraph company on exceedingly favorable terms.

Third, as to "interest and exchange." All of the interest and exchange charged in said Exhibit B, and paid by us, was paid on account of "The Tennessee River Works," and for no other purpose. The rate of interest paid was ten per cent. per annum, and this was the ruling rate of interest paid by business men at Keokuk, Iowa, and vicinity, during the years 1876, 1877, and 1878. It was impossible for the said George Williams to borrow money at lower rates of interest. To my personal knowledge he repeatedly attempted to do so, but could not. The exchange paid was generally lower than the ruling rates of exchange, and never higher. It was not safe to keep the money on the works, and was cheaper to send money by exchange than by express, and hence the necessity and economy of using exchange in the transaction of the

business.

Fourth and fifth, as to the items, "boats, skiffs, &c.," and "feed for stock," I state they are reasonable and just, and I refer to the affidavit of C. S. Whitney, hereto at

tached, and say that I personally know that the facts and explanations given by him in said affidavit, in relation to said items, are true.

In relation to the items of labor and board of laborers, concerning which a doubt has been expressed in the report heretofore made by this hon. board of engineers, I state that all of the charges made in Exhibit B to my former statement are true and just and reasonable.

The prices paid for common laborers on this work ranged from $1.00 to $1.50 per day, which were the very lowest prices at which we could obtain this labor.

We made every effort, on every occasion, to get laborers at the lowest possible prices, and the prices paid by us for laborers, owing to our repeated efforts in that direction, were as low as the laborers could afford to take in justice to themselves, and lower than was generally paid by other contractors on the work.

In reference to the board paid by laborers, we had nothing whatever to do with the price, as that was fixed by agreeinents and understandings between the boardinghouse keepers and the laborers.

By arrangements between the boarding-house keepers and the laborers, we were authorized to deduct the price of board from the wages of the laborers and pay same directly to the boarding-house keepers, which we did, but this was only done with those laborers who boarded at the regular boarding-houses along the line of the works. Only about one-fourth, certainly not more than one-third, of the laborers employed by us on the works were boarded at these boarding-houses, and it was only those boarded at the boarding-houses from whose pay we deducted the board as above stated. When we went upon this work the price of board paid by laborers was $4.00 per week, and at those rates we had great trouble in getting boarding-house keepers to beard the laborers. $4.00 per week was the price paid by the laborers for their board during the entire progress of our work. That was the usual and customary price paid all along the canal by other contractors, and that price was reasonable and just. We tried to have the boarding-house keepers reduce the price of board, but they would not do it, claiming that they could not in justice to themselves, and after a careful examination we became satisfied that the price was reasonable and just. We could not force the boarding-house keepers to reduce the price of board, for if we had attempted to force the reduction they would have left the work, and we could not have supplied their places, and it would have been impossible to have kept the class of laborers that boarded in the boarding-houses, if the boarding-house keepers had left. I make part hereof the affidavits of John W. Hobbs, Timothy Ford, C. S. Whitney, H. S. Dale, and C. P. Comegys, and state that I believe the facts stated by them to be

true.

Further affiant saith not.

C. L. WILLIAMS.

Subscribed and sworn to by C. L. Williams this 10th day of June, A. D. 1879.
[SEAL.]
H. T. CROSBY,
Notary Public, District of Columbia.

No. 33.

I, H. S. Dale, of Chicago, Ills., make the following statement in answer to communication received from C. L. Williams, Keokuk, Iowa, in reference to boarding men on public works:

In reply I will state that in the years of 1869, 1870, and 1871, I was engaged under a contract with the United States Government in building Fort Totten, D. T. Under the most economical management the board of my men upon this work cost me 75c. per day each. The long distance of transportation did not enter into the expense largely, as the climate was so favorable that I could purchase large quantities of supplies without danger of deterioration, and by doing so secured much lower rates. În 172 I was engaged in building the north one hundred (100) miles of the St. Vincent branch of the St. Paul and Pacific R. R.

On this work the board of my men cost me 65c. per day each, but I had free transportation for supplies. In 1874, 1875, and 1876, I was engaged in building the harbor of refuge at Sand Beach, Mich., on Lake Huron. On this work I employed from 150 to 250 men, and at the beginning of the work I made substantial preparation for boarding them, and carried out my plan with as much economy as possible. My books how that it cost 50c. per day to the man, not counting anything for loss by wear and tear of appliances necessary to boarding the men. This work was located, as I have dated, on Lake Huron, and in a climate where supplies would keep, and there was no ds in that direction.

In April, 1877, I made with my engineer, Mr. John E. Thomas, a careful survey of The Muscle Shoals for the purpose of making a bid for the work. The item of board

for men was one that was estimated very closely, as it would be a large item in making an estimate for the work, and my estimate was 50c. per day to the man. During this and the following year I worked out from appropriations in Michigan, under Major Harwood and Mansfield, of the Engineer Corps, and was compelled to pay from $4.00 to $4.50 per week for board of men. My experience is that no contractor can board men without loss for less than 50c. per day, and give them enough to enable them to perform a good day's work.

H. S. DALE.

Sworn and subscribed to before me this 8th day of May, A. D. 1879.
[SEAL.]
ISRAEL KIMBALL, JR.,

No. 34.

Notary Public.

THE STATE OF IOWA,

The County of Lee:

I, John W. Hobbs, on oath, state that I reside in the city of Keokuk, Lee County, Iowa, and have resided there for the last ten years. I am thirty-five years of age. From 1869 to 1871 I was the book-keeper of Bowar, Barclay and Co., bankers, at Keokuk, Iowa, and from November, 1871, the time of the organization of "The Commercial Bank" at Keokuk, I was the cashier of said bank until February, 1876. During 1876 I was engaged in contracting. I was a member of the firm of T. Ford and Co., contractors, Mr. Timothy Ford being the other member of that firm. Since 1876 I have been and am now engaged in a general brokerage business (bond and note brokerage) in Keokuk, Iowa. My partner in the business of contracting during the year 1876, Mr. Timothy Ford, was a contractor of large experience extending through a series of years before and since 1876.

In December, 1875, the said firm of T. Ford and Co. contracted with the Government of the United States to do the section work consisting of excavation (earth and rock), building of tow-path, clearing and grubbing, on section 1 of "The Muscle Shoals Canal," in the Tennessee River, in the State of Alabama, the said section 1 being about one mile and half of the upper end of the canal between first and second creek.

Pursuant to that contract Ford and Co. began their work on said section about January, 1876, and completed the same in December, 1876.

As a partner of the firm, I went upon this work in April, 1876, and remained there until the work was completed, and took general charge of the books, accounts, payrolls, and had the management of the finances. I received and paid out all monies on the work. I personally know what prices were paid for labor, and what prices the laborers paid through us for board.

The general price of labor was $1.50 per day, which price was generally paid by us. During all the time we paid $1.50 per day for common laborers, to white laborers, and generally the same price to colored laborers.

During a portion of the time we paid to some of the colored laborers of inferior capacity as laborers the price of $1.25 per day.

During all of the time we paid to common laborers (white and colored) a $1.50 per day for all the rock work.

We tried several times to reduce the price of common laborers engaged in the earth work to $1.25 per day, but were not successful for the reason that $1.50 per day was the usual and customary price paid on the Muscle Shoals Canal and owing to the scarcity of laborers.

Laborers were so scarce that we employed agents to send us laborers from other points, and we were absolutely compelled to do this in order to get laborers, and we were also obliged to advance the cost of their transportation to our work.

The prices paid by us for laborers were the usual and customary prices during that time upon "The Muscle Shoals" work.

As to the prices paid for board by us on said work, I make the following statement: By an understanding between ourselves, the laborers, and the boarding-house keepers, "the board" of the laborers was paid by us to the boarding-house keepers and charged to the laborers and deducted from the amounts due them. The price charged the common laborers for board was in no instance less than $4.00 per week.

The price charged for the board of the foremen, skilled laborers, and ourselves, at a separate boarding-house from that where the common laborers boarded, was $4.50 per week.

We had trouble in getting boarding-house keepers to board the men at the prices above given. These prices were the usual and customary prices paid on "The Muscle Shoals" work for board during the time we were on the work.

I can say without hesitation and positively that, considering the situation of the Muscle Shoals work, the surrounding country, and the difficulties in getting to and

from the work, that, in my judgment, the prices which I have named above as given for labor and board were reasonable and just, and that it would have been unjust and unreasonable and a great hardship upon the laborers and boarding-house keepers to have paid less even if it had been possible (which it was not) to have procured the labor and board for less prices.

JOHN W. HOBBS.

Subscribed and sworn to, by John W. Hobbs, before me this 16th day of May, 1879.
[SEAL.]
GEO. F. HILTON,
Notary Public.

No. 35.

THE STATE OF IOWA,

The County of Lee:

I. C. S. Whitney, on oath, say I was agent and paymaster on the work of George Williams, on "The Muscle Shoals Canal," in the Tennessee River, in the State of Ala

bama.

I went upon the canal at the beginning of the work by George Williams in April, 1876, and remained there until the 27th day of August, 1878, when the work of Williams was finally completed. I know what the prices were that were paid by the said George Williams, and after his death by his administrator, to laborers and for board. When I went upon the work to commence the work for Williams, the following contractors were at work along the canal, namely: T. Ford & Co., on section 1; Foster and Wehl, on section 2; and Matthew G. Kennedy, on sections 3, 4, 5, and 6; and Rice and Reed on section 7. At this time all of these contractors were paying for common laborers $1.50 per day, and the laborers were paying for board, through the contractors, $4.00 per week for the board of the common laborers.

When we began the work for Mr. Williams we cut down the pay of the common laborers to $1.25 per day. Laborers first began on Williams' work about the 1st of May, 1876, and on the first pay-day after that, in June, the laborers struck for higher wages, claiming $1.50 per day, that being the price paid by other contractors, but under instructions from Mr. Williams we kept the price down to $1.25 per day for common laborers until October, 1876, when, in order to get white laborers off of the southern road to perform such work as the colored laborers were not skilled in, we raised the wages to white laborers to $1.50 per day, and in February, 1877, we again cut the price of white laborers to $1.25 per day, and colored labor to $1.00 per day.

From this time to July, 1877, we paid $1.00 per day to the common colored laborers, and $1.25 per day to the common white laborers. From July, 1877, to December, 1877, we paid to skilled laborers (white and black), suchas quarry-men, mason-tenders, handdrillers, and slope-wall men, 25c. per day extra. From December, 1877, to May, 1878, we paid white labor $1.25 per day, and colored labor $1.00. From May, 1878, to the final completion of the work, we raised the price of all laborers to $1.50 per day, in order to keep the men on the works and to increase the force, as we were obliged to finish the work in July, and the men were all leaving for other works on account of higher wages being paid, and on account of the hot season coming on.

As to the price paid for board by laborers, I make the following statement: By an understanding between us and a portion of the laborers and the boardinghouse keepers, we deducted from the wages of the laborers the price of their board, and paid the same directly to the boarding-house keepers.

The prices thus paid by the laborers through us, in all instances, were for common laborers $4.00 per week, which was the price set and agreed upon by the boardinghouse keepers and the laborers.

We did not set the price of board, nor could we have made any arrangement to have had the men boarded for less. We had great difficulty in getting men to keep the boarding-houses at this price. Some of the laborers boarded in the country with the farmers, and they always paid not less than between $4.00 and $4.50 per week. Of all the laborers on the work of Mr. Williams, not to exceed one-third, as I beLeve, only about one-fourth were boarded at the boarding-houses and paid for by us, retaining the board out of their wages, as above stated. The other two-thirds or three-fourths of the laborers boarded themselves, and we had nothing whatever to do with paying for their board. None of the colored laborers boarded at the boarding-houses, and only a portion of the white laborers, say about two-thirds of the white laborers, boarded at the boarding-houses. It was only those laborers who boarded at the boarding-houses that we retained their board out of their wages.

I further state that I have had experience in the business of contracting for a number of years before the said work of the said Williams and since, and I know the asual and customary prices which have been paid for laborers and board on similar works, and I have no hesitation in saying that the prices paid for laborers and by the

H. Ex. 566

laborers for board as above stated, upon Mr. Williams' work on "The Muscle Shoals" were reasonable and just. Taking into consideration the situation of the work, and the surrounding country, and difficulties in getting to and from the work, I am certain the boarding-house keepers could not have furnished the board for a less price than $4.00 per week.

I further state in reference to the charges in the account of the administrator of George Williams of "actual expenditures" relating to "boats, skiffs, &c.," amounting, as set forth in the former report of the Board of Engineers in the matter of the claim of C. L. Williams, administrator of said estate, to the sum of $1,169.61, that the following are the facts, as known to me, concerning said items :

In bringing materials and supplies, such as coal, timber, cement, &c., for the work from any points above the "Muscle Shoals," we were obliged to buy a boat for each load, and there being no steamboats on the "shoals," it was impossible to return them. Hence we could not charter them, but were compelled to buy. After getting the boats to the work they were of no further use as boats, and it was not possible to sell or dispose of them as boats, and therefore, instead of allowing them to waste and decay, we used them on the work.

For instance, the side timbers of these boats were used for bridging, foundations for buildings, gangways, &c., and the bottoms of the boats for buildings, such as blacksmith shops, &c. In shipping down the Tennessee River from points above to points along or below the shoals, it was and is customary to buy the boats as we did.

I further state that it was much cheaper to buy the boats and bring the material and supplies above referred to, down on these boats, as we did, than to have brought them to the shoals by the railroads, or any other mode of transportation.

I further state, in relation to the item of "feed for stock," referred to in the said report of said board of engineers, as amounting to $1,478.90, that the same is a reasonable and just charge, as we had about seven head of horses and one yoke of oxen engaged on said work. The price of feed during the period of the progress of the said work was high; for instance, hay was from $16.00 to $22.00 per ton; corn, 60 c. to 75 c. per bushel, and fodder 2 c. a bundle, the bundles being very small, consisting only of the blades, and each bundle weighing only 2 pounds. I bought the feed at the lowest prices, and it was used economically, without any waste, and all the feed charged for in Williams' account was used in the prosecution of said work.

I further state that I have no interest whatever, directly or indirectly, in the claim of C. L. Williams, administrator of George Williams, deceased, against the United States of America, in relation to which this affidavit is given. And I also state that I am now engaged in business for myself, and am not, and have not been, in the employ of C. L. Williams, administrator, or C. L. Williams individually, since August,

1878.

1879.

C. S. WHITNEY.

Subscribed and sworn to by C. S. Whitney, before me this 17th day of May, A. D.
[SEAL.]
GEO. F. HILTON,
Notary Public,

No. 36.

THE STATE OF IOWA,

The County of Lee:

I, C. P. Comegys, on oath say I am a resident of Keokuk, Iowa, and have resided there since 1871.

During all the time I have resided in Keokuk I have been and am now chief clerk on "The Des Moines Rapids Improvement," and have had general charge, under the directions of the officers in charge of the work, of the books and accounts, and have usually paid the men employed upon the work.

Col. J. N. Macomb, Corps of Engineers, U. S. Army, was in charge of said improvement until November 16th, 1877, since which time Captain Amos Stickney, Corps of Engineers, U. S. Army, has been in charge of said work. I know the prices paid upon this work during the years 1876, 1877, 1878, and 1879 for laborers. During 1876 and 1877 the prices paid on that work for common laborers were $1.50 per day, and since that time the prices have been $1.30 per day for such laborers. $1.30 per day was paid during a portion of the latter part of 1877.

I know the prices charged upon this work for the board of laborers engaged upon the work during the years 1876, 1877, & 1878. From the summer of 1875 to and including February, 1876, in paying the laborers, I deducted, at their own request, from their wages the amounts due the boarding-house keepers for board, and paid such amounts so deducted to the boarding-house keepers, and during this period the prices uniformly charged and paid for board were $4.00 per week. During the remaining

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