June 30, 1931.

A review of the correspondence submitted by Mr. White.
1. Eight miles of the Yosemite Valley railroad was constructed before the Company realized the necessity for a wagon road between the railroad terminus and the west end of the Yosemite Valley road system at the Coulterville Road junction.
2. N. C. Ray, Chief Engineer of the Yosemite Valley Railroad, on August 28, 1905, entered into an agreement with the Interior Department whereby the Yosemite Valley Railroad would "construct this wagon road at its own cost."
3. Mr. Hitchcock (then Interior Department Secretary) "did not commit himself" on any reimbursement by the Government for the wagon road construction.
4. Although Major Benson saw some possible merit in the claim of the Yosemite Valley Railroad (not to exceed a reimbursement of $50,000) Secretary Garfield in 1908, after the receipt of Major Benson's letter, refused to recommend any payment.
5. Interior Department Secretary Fisher wrote: "The proposition submitted by the railroad company explicitly provided the wagon road was to be constructed by the company at its oun cost and expense -- and the road upon completion to be a free public highway subject to the control of the Government of the United States.
6. Secretary Walter L. Fisher in a letter written January 29, 1913 says, "I find myself in the same situation ss Secretary Garfield and unable to recommend the passage of the pending bill.". (H. R. bill to reimburse Yosemite Valley Railroad for wagon road construction)
7. Secretary Fishers: "--- in working out the larger transportation problems" (consideration might be given the Yosemite Valley Railroad expenditures for the wagon road construction) --- "along very different lines than laid down in this bill" (reimbursing the Yosemite Valley Railroad) --- An adjustment of these matters should include the future improvement and maintenance of the entire road from El Portal and the effective control by the Government of its use either by private parties or by persons operating vehicles over it for hire."

Summary:

         The Chittenden Commission appointed by the Government in 1904, recommended the construction of the wagon road by the United States.

         Major H. C. Benson saw some merit in a partial repayment of $50,000 for the road construction.

         Three Secretaries of the Interior Department since 1905 have refused to recommend payment for the road construction by the Government.

         The only reasons for the Yosemite Valley Railroad presenting the case to the Secretary at this time appear to be:

1. The financial loss resulting from the increasing private automobile traffic principally over a road constructed by the company to haul only its own passengers.
2.The direct competition of the park operators' stage line to the Yosemite Valley Railroad, involving the wagon road built originally at a cost of $80,158.75 by the railroad.
3. The general sympathy for the railroads now prevailing.
J. V. LLOYD