ON May 6, 1878, Judge
Hallett of the United States Court granted an injunction to the Rio Grande road against
the Santa Fe railroad, which permitted the one granted by the State Court to stand, but he
ruled that both the contending factors who were striving for the right-of-way through the
Canyon of the Arkansas, should withdraw from active construction and remain passive until
his further orders. In obedience to this order the forces of both railroads were withdrawn
and discharged, thus ending the first chapter in the famed case.
The Santa Fe had conducted all their operations in this fight for the right-of-way through
the gorge in the name of the Canon City and San Juan Railway Company, a local organization
whose franchise had been previously purchased by them, and on June 1st of that year,
Judges Dillon and Hallett of the Federal Court issued orders permitting this company to
resume grading in the canyon, but continued the injunction restraining them from laying
rails on the grade, allowing the injunction prohibiting the Rio Grande from further
activities of any kind to stand unchanged. These orders were, however, temporary, and to
stand only as long as it would be required for the court to further examine the case at
the regular term of the United States Circuit Court in July.
On July 9th, this court convened and the railroad trial was renewed with an array of the
best legal talent in the United States. In this trial it was brought out that the Canon
City and San Juan Railway was the real aggressor, the Santa Fe, having no corporate
existence in the State, could have no rights, and that if the entire capital stock of this
company, which was $100,000, was all paid in, it could not build more than three miles of
railroad. In view of this the Rio Grande attorneys contended that it was only a cloak for
the Santa Fe by which they intended to gain a right-of-way through the Canyon, shutting
the Rio Grande out of the coveted Leadville mining districts.
But in spite of this, on August 23rd, Judge Hallett rendered a decision in favor of the
Canon City and San Juan, granting it the right to build through the canyon over the route
surveyed, basing his decision on priority of right-of-way. The Rio Grande was restrained
from interfering with the San Juan's activities, but was advised that it might construct
another line, or might be permitted to use the tracks of the other company through the
narrow passageway where it would not permit two lines.This was a distinct blow to the
Rio Grande, and General Palmer appealed to the Supreme Court in a last effort to save that
to which he felt rightfully entitled-the right-of-way through the canyon. But in the
meantime, pending the decision of this appeal, he started building his line above the 20
miles of disputed right-ofway, in the hope that the Supreme Court would change the
decision of the lower courts in favor of the Rio Grande. But due to financial difficulties
this plan was finally abandoned, and on December 13th, 1878, he was forced to lease his
narrow-gauge lines to the A. T. & S. F. railroad in an effort to forestall bankruptcy
and complete loss of all he had gained. This lease, which retained all franchises and
extension rights, reconciled all disagreements between the two companies so far as
rights-of-way and traffic arrangements were concerned. General Manager Dodge and
Superintendent Borst of the Rio Grande lines were retained by the Santa Fe under
provisions in the lease for the protection of Rio Grande interests, and conditions seemed
well on the way to an amicable final settlement.
However, from the very beginning of this lease, reliable historians claim, the Santa Fe's
activities were in absolute disregard of the tenets of the lease. They apparently did
everything possible to prevent the Rio Grande from holding its position in the region, and
to prevent extension of its lines into Leadville and the San Juan country, which General
Palmer was financially prepared to do by March, 1879. During the time that the Santa Fe
operated the Denver & Rio Grande, it operated it entirely in the interest of its long
Eastern haul to the detriment of the narrow-gauge line and all Colorado interests. In
addition to this, the physical condition of the road was allowed to run down, and these
breaches of contract were brought before Judge Bowen, of the State District Court at Del
Norte, which had jurisdiction over the territory operated, and application was made by
General Palmer for a receiver in the interests of the bondholders. The appeal was granted,
and Hanson A. Risley was appointed receiver, on the grounds that the Santa Fe was not
operating the road fairly and in the interests of the bondholders. The Santa Fe claimed
that the State Court had no jurisdiction and refused to turn the road over, appealing to
Judge Hallett of the United States District Court.
The Santa Fe's actions had by now become such that the Rio Grande forces were again
aroused to the fighting point, and in April, 1879, General Palmer began to move armed
forces into the gorge in preparation for a renewed struggle. It was expected that the
decision of the Supreme Court on the right-of-way case, which was looked for at any hour,
would give the Rio Grande precedence over the San Juan road, and Palmer knew that it would
mean a bloody fight to regain the coveted right-of-way.
THESE open hostilities on the part of
the Rio Grande forces incited rumors that Palmer contemplated to regain the Rio Grande
property by force, and much excitement prevailed. Borst, of the Santa Fe interests, was so
excited over these rumors that he issued his famed circular to the employes, instructing
them to stand by their
posts and to disregard any instructions other than those from himself
or other recognized Santa Fe authorities. This circular brought about
an aggravated condition between the sympathizers on both sides which resulted in some
bloodshed and a general uneasiness all along the line. The local authorities all along the
line were hard pressed to keep down trouble.
President Strong of the Santa Fe arrived in Denver on April 10th, to prepare for battle in
the courts as well as in the canyon, to say nothing of the impending danger of losing his
lease of the narrow-gauge lines. Palmer had openly accused him of mismanagement and a
pernicious policy toward the Rio Grande's interests, and had made it known that he
intended to defend his rights at all costs.
On April 21, 1879, the expected ruling of the Supreme Court gave the Rio Grande prior
right-of-way through the gorge, dissolved all injunctions against it by the lower Courts,
allowing General Palmer to proceed with his construction activities.
With this decision in his favor General Palmer marshaled his followers to take possession
of the Rio Grande property by force. On June 11th, trainloads of armed forces were started
out of Denver on the north, El Moro and Alamosa on the south, who replaced Santa Fe
employes with Rio Grande men all along the line as they progressed. Fighting was in
evidence wherever resistance was offered, and a reign of terror prevailed.
The Santa Fe had marshaled their largest fighting forces at Pueblo and along the disputed
right-of-way in the Royal Gorge. At these points forts were hastily thrown up, buildings
barricaded, and general arrangements made for a battle royal with the Rio Grande's
advancing armies of frontier fighters and workers. Famous gunmen of the early days were
enlisted on both sides, and it was not until June 18th that the road was surrendered by
the Santa Fe to the Rio Grande, and turned over to Risley.
During this period the country was terrorized by the bloodiness of the battle at Pueblo
and in the Royal Gorge. United States troops were moved in, but the Rio Grande forces had
won before they arrived.
Then on June 23rd the Federal Court ordered the line restored to the Santa Fe, Judge
Hallett ruling that the State Court had no jurisdiction. The Rio Grande was instituted to
apply for proceedings to cancel the lease, and federal troops were on hand to back up this
decision. The railroad was restored to the Santa Fe on July 16th, and was operated by them
until August 14th, when the United States Court appointed its own receiver, Mr. L. C.
Ellsworth, who took charge until April 5th, 1880, when it was restored to its original
owners under the United States Supreme Court decision of March 27th of that year.
This meant absolute victory for the Rio Grande, and the Santa Fe now manifested a
willingness to settle. After more or less dickering they proposed to call it quits, if the
Rio Grande would pay for actual
cost of construction west of Canon City and their expenses in the fight. To this General
Palmer agreed, and in a few days the bargain was closed on that basis and peace reigned.
It was further agreed at that time by the two roads as follows:
The A. T. & S. F. Railway Company agreed not to build through any portion of
Colorado west of the north and south line of the D. & R. G. Railway (except a coal
road to their coal mines near Canon City), or in that portion of New Mexico north of the
36th parallel, and west of the summit of the Spanish range, for a period of ten years;
while the D. & R. G. Railway agreed for the same time not to build in Colorado east of
the same north and south line, or to Trinidad, or in that part of New Mexico east of the
Spanish range or south of the 36th parallel, except in the western part of New Mexico.
Following this settlement General Palmer immediately began the extension of his various
lines with great activity. The road was built from Canon City to Leadville by July 20th,
1880; to Robinson mine, near Kokomo by December 27th, 1880; across the Tennessee pass to
Red Cliff by November 27th, 1880; the branch to Manitou was finished August 1st; and the
New Mexico division was extended from Antonito to Espanola by December 31st.
The line from Salida, via Marshall pass to Gunnison, started in May, 1880, was completed
to Gunnison by August, 1881, and from Gunnison to Crested Butte during the same month.
In June, 1880, the branch was completed from Alamosa to Del Norte, and extended to South
Fork.
In April, 1881, the branch up Grape Creek to Silver Cliff was completed; the Villa Grove
branch from Mears Junction on the Gunnison line south to the upper end of the San Luis
Valley was completed in September, 1881, with a branch to the iron mines at Orient.
THE extension from Leadville, through
Tennessee pass to Rock Creek, was finished in February, 1882, and from Leadville north by
way of Tremont's pass to Dillon on the Blue river, in November, 1882, and the Gunnison
extension through Montrose, Delta and Mesa counties, reached Grand Junction in November,
and the Colorado Utah line on December 19, 1882.
About this time the Pleasant Valley railroad of Utah, extending from Provo to Clear Creek,
Utah, was purchased by the Rio Grande Western Railroad and extended east by way of Spanish
Fork and Price River canyons to a connection with the Gunnison extension at the Utah -Colorado
State line.
This made a through narrow-gauge line from Denver to Salt Lake City, and one year later
was completed to Ogden, making connection with the Central Pacific Railway at that point
May 18th, 1883.
This line was operated as one road from Denver to Ogden until the latter part of the year
1884, when the Rio Grande Western Company commenced the operation of its own line from the
Utah State line to Ogden under President Lovejoy.
The prosperity of the years of 1880 and 1881 was not destined to last. It was followed by
dull times, aggravated by strikes and depression of silver. Palmer had expended money so
rapidly on extensions that earnings did not fully meet the expectations of the New York
capitalists. They complained of his management, and he was succeeded by Frederick Lovejoy
in 1883.
Following Palmer there were one receiver and three different presidents of the road up to
the time of Edward T. Jeffery, who was chief executive of the road longer than any other
before or since. Space will not permit our going into detail regarding the different
receivers and presidents that have had charge of the road. They must remain for another
story.
Construction activities were carried on with vigor after General Palmer resigned, despite
the hard times between 1883 and 1889. Branches were built off from the main line to reach
newly opened mines in the mountains. The main lines were extended with all possible speed,
reaching Trinidad in August, 1887; Santa Fe, New Mexico, late in 1886; Creede, November,
1891; Aspen via Glenwood in October, 1887; the Ft. Logan branch was completed in the
spring of 1888; the Rio Grande Southern completed in February, 1892.
In addition to these extensions the line was standard gauged from Denver to Pueblo in
1881, being completed on December 23d, in order to better enable the line to compete for
business from the Missouri River. Then, in cooperation with the Rio Grande Western (which
had been in possesion of the lines west of Grand Junction, Colorado, since December,
1889), standard gauging of the line from Pueblo up the Arkansas through Tennessee Pass to
Rifle. From Rifle the Denver & Rio Grande, in conjunction with the Colorado Midland,
extended the standard gauge to Grand Junction, forming a joint line known as the Rio
Grande Junction Railway. The Rio Grande Western then pushed the standard gauging on to
Ogden. The work was completed in the autumn of 1890. During the time the road had also
been standard gauged to Trinidad, and as the traffic moving from Alamosa over La Veta Pass
would necessarily have to be transferred at a point where it reached this line, the
company standard gauged the Villa Grove extension to Alamosa, completing the work in
November, 1899. The Provo to Heber City branch was added to the Rio Grande Western in the
same year. In 1900 the Creede branch was thirdrailed as far as Monte Vista, the Pagosa
Springs branch was constructed narrow gauge from Pagosa Junction to Pagosa Springs, the
Park City branch in Utah was standard gauged, and other construction work accomplished on
all parts of the road, which included many sidings, spurs, etc., notably the Copper Belt
in the Bingham district and the Potter's Quarry spur near Kyune.
To serve the Wet Mountain Valley, in lieu of the old narrow gauge Westcliffe branch so
seriously damaged by flood in 1889, a new standard gauge line was constructed in 1901 from
Texas Creek to Westcliffe; the line from Alamosa to Antonito was standard gauged; the
Crestone branch built from Moffat, a station on the Villa Grove-Alamosa, line, through
Crestone to Cottonwood; and the control of the Rio .Grande Western passed to the Denver
& Rio Grande through stock acquisition during the year.
DURING 1902 the North Fork branch from
Delta to Somerset
was constructed; standard gauging, was completed on the Creede branch, and marked the
passing of the original narrow gauge rail between Denver, Manitou and Pueblo, for it was
at this time necessary that the middle rail be lifted from the track, between these
terminals except for a short distance in the Denver yards where it was necessary to
accommodate Colorado & Southern interchanges.
In 1903 a branch was constructed from Salina, on the Marysvale line, through Salina Canon
to Nioche, a point near the summit of the Wasatch range, 20 miles distant from Salina. The
motive for this undertaking was to make at least a start on a short line from southwestern
Utah, a district rich in natural resources. Early the same year a narrow gauge line was
built from Lumberton, New Mexico, to El Vado, a point on the Rio Chama. The Howard to
Calcite branch was also constructed in 1903 to reach the limestone quarries, the product
of which was used in large quantities by the steel works at Pueblo.
There was not much accomplished in the way of extensions during 1904. The Loma branch in
the Walsenburg district was extended to Strong, and the Copper Belt Railroad in the
Bingham district was acquired by purchase the same year.
During 1905 the standard gauge branch between Durango and Farmington was constructed, and
many improvements and additions made in the Bingham-Garfield district of Utah to cope with
the rapid development of mining in that area.
In 1906 the narrow gauge lines, Grand Junction to Montrose, and Delta to Sommerset, were
standard gauged. This was accomplished in three days during July. Double tracking and
additional improvements were made in Utah to keep pace with the healthy growth of traffic.
The San Pete Valley Railway, extending from Nephi to Manti and Morrison, was purchased by
the Rio Grande in 1906. In 1911 the entire line between Minnequa and Walsenburg was double
tracked, the old line having reached its ultimate capacity between these points under the
combined traffic of the Colorado & Southern and the Denver & Rio Grande.
In 1912 the Ojo branch was constructed to serve the mines of the Alliance Coal Company.
During 1913 the new two per cent line to cut out the four per cent grade between Soldier
Summit and Tucker was completed. This work was completed during the latter part of the
year and necessitated changing the entire terminal from Helper to Soldier Summit, which
was done in 1919, where the top of a mountain had to be cut down for yards and buildings.
During the process of this construction the last link of the second main track between
Helper and Thistle was completed, giving a continuous double track line over the Wasatch
Mountains from Helper to Thistle.
In 1914 the Utah coal fields continued to hold the center of interest and construction
work on the Utah Railway between Provo and Castle Gate and thence to Mohrland was well
advanced. An agreement was entered into between this company and the Denver & Rio
Grande to the effect that the latter company would build for it a track between Thistle
and Provo, generally parallel with the Denver & Rio Grande main line, departing
therefrom in the vicinity of Springville where it was necessary to make a detour in the
interest of low gradient, for a certain fixed sum, providing they would be allowed to use
this track jointly for double track operation with the Utah Railway in connection with the
Denver & Rio Grande first main track, as was the latter's double track main line from
Thistle over the mountain eastward to a point near Castle Gate. Another provision of the
agreement required the Utah Railway to comeplte a line from Castle Gate to Mohrland, which
would be operated by the Denver & Rio Grande for three years; beyond that time
continued operation would be optional with the Utah Railway. The second main track between
Thistle and Provo was completed for the Utah Railway in 1914, contemporaneously with the
completion of the Castle Gate-Mohrland line. The Kenilworth and Helper Railroad, from
Helper to the Kenilworth coal mine, was also completed in 1914, and afterwards taken over
by the Denver & Rio Grande under lease.
There was no additional construction to speak of in 1915 and 1916. In 1917 several
extensions were made in the Southern Colorado coal fields, standard gauging done near
Leadville, and several short extensions in Utah.
The following year, the second main track was extended from Eden north a distance of 2.84
miles in conformity with arrangements perfected during Federal control for the joint
operation as a double track railroad of the Santa Fe and Denver & Rio Grande lines
between Denver and Pueblo.
THUS ends the chronological growth of
the Denver & Rio Grande Western, which has been necessarily recorded with the least
possible detail. Little mention has been made of the accumulation of other physical
property during these last chapters, but we must accept the statement that development
along these lines has kept pace with the demands that have been made on the road for
traffic facilities. The motive power has grown from the smallest known locomotives in the
world to the largest known locomotives in the world; the stations have been enlarged and
improved; the machine and car shops as well as engine houses, etc., have been improved
from frame leantos to the most modern steel and glass structures that house the latest and
most efficient machinery and appurtenances that money can buy, and so on, through all the
departments have improvements been made until now the Rio Grande stands out as one of the
best railroads in the west, a deciding factor in the future progress and prosperity of the
territory it serves, a territory that it has developed from a barren wilderness.
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Grand Junction 1890
Grand Junction 1925

Florence c1880

Florence 1926
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