Rails to Penn State: The Story of the Bellefonte Central

THE STORY OF

THE BELLEFONTE CENTRAL

Michael Bezilla and Jack Rudnicki

STACKPOLE

BOOKS

Copyright ©2007 by Stackpole Books

Published by

STACKPOLE BOOKS

5067 Ritter Road

Mechanicsburg, PA 17055

www.stackpolebooks.com

All rights reserved, including the right to reproduce this book or portions thereof in any form or by any means, electronic or mechanical, including photocopying, recording, or by any information storage and retrieval system, without permission in writing from the publisher. All inquiries should be addressed to Stackpole Books.

Printed in the United States of America

10 9 8 7 6 5 4 3 2 1

FIRST EDITION

Library of Congress Cataloging-in-Publication Data

Bezilla, Michael.

    Rails to Penn State: the story of the Bellefonte Central/Michael Bezilla and Jack Rudnicki.

        p. cm.

    Includes bibliographical references and index.

    ISBN-13: 978-0-8117-0231-7 (hardcover)

    ISBN-10: 0-8117-0231-6 (hardcover)

    1. Bellefonte Central Railroad–History. 2. Railroads, Local and light–Pennsylvania– History. I. Rudnicki, Jack. II. Bellefonte Central Railroad. III. Title.

TF25.B43B49 2007

385.065'74853–dc22

2006018570

eISBN: 9780811752466

CONTENTS

LIST OF MAPS

LIST OF TABLES AND PASSENGER TRAIN SCHEDULES

PREFACE

In this book, we view the Bellefonte Central Railroad primarily as a business enterprise and try to avoid coloring its story with the nostalgia often found in short-line histories. As the reader will discover, the BFC itself rarely indulged in sentimentality. Yet we have a genuine admiration for the railroad and its people, and we hope the reader will come to share that feeling as the narrative unfolds. Although the Bellefonte Central’s relationship to the growth and development of the Pennsylvania State University is unique, in many other ways the railroad was typical of hundreds of short lines all across America. Our aim is to broaden understanding of how and why these small railroads rose and declined. We put the BFC’s history in the context of larger economic issues, such as the emergence of big business, integration of local producers into maturing state and national economies, an increasingly restrictive regulatory environment, and the ongoing David and Goliath battle between the Bellefonte Central and the Pennsylvania Railroad. The BFC and PRR were in an almost continual state of contention over freight rates and divisions, car supply, interchange locations, service quality, and competitive access. In singling out the short-line–trunk-line relationship for special attention, we have intended to shed light on an important but largely unremarked facet of the Pennsylvania Railroad’s history.

ACKNOWLEDGMENTS

Many individuals have enabled us to tell the Bellefonte Central’s story. Our debt to the men and women named here should in no way slight the assistance we have received from innumerable others.

We thank the following former BFC employees for generously sharing their time and memories with us: Harold Ammerman, William Bailey, Thurman Davis, Ralph Hillard, Gilbert King, Ken King, James Miller, Hassel Meyer, and Boyd Thomas. Sadly, many of these veteran railroaders passed away before this book’s publication. We are especially grateful to Mr. Meyer for tirelessly responding to our numerous phone calls and serving as our tour guide at the former National Gypsum plant, and to Mr. Miller, the BFC’s last general manager, for recognizing the historic value of preserving the company’s records.

For additional interviews, we are indebted to Andrew Andrichuck, Les Confer, Charles Jodon, Ron King, Lloyd Niemann, Ray Reinhardt, John Sheesely, Leonard Shilling, Robert Struble, and Jim Wierbowksi. Hubie Haugh and Jim McKivison gave extremely enlightening tours of Scotia, and Ernie Harpster did the same at Red Bank.

We are grateful to James P. Quigel, head of Historical Collections and Labor Archives in the Pennsylvania State University Special Collections Library, who played a pivotal role in having the library acquire the Bellefonte Central Railroad corporate records and subsequently making them available to us. We also appreciate the assistance of Public Services and Outreach Librarian Lee Stout; University Archivist Jackie Esposito; Tracy Maleef, April Kent, and Jane Charles, who brought organization and accessibility to the BFC records; and numerous other staff members in the Special Collections Library. We thank Joyce Adgate and Harriet Sattler of the Centre County Library and Historical Museum; Mark Frazier Lloyd and other staff at the University of Pennsylvania archives; Chris Baer and assistants at the Hagley Museum and Library; Kurt Bell of the Railroad Museum of Pennsylvania; and staff at the Pennsylvania State Archives, the University of Michigan Engineering Library, and the National Archives at College Park, Maryland.

Our research and writing was more enjoyable and productive thanks to information and other assistance from a host of people, including Richard Adams, Rick Bates, Lee Buchholz, Lynn Burshtin, Dan Cupper, A. F. DuBois, John Duink, Bob Ginter, Geoffrey Kline, Hugh Manchester, Charity McClellan Micco, Dick Robey, George Romer, John Smith, Thomas T. Taber III, Frank Tatnall, and David Williamson.

Our book has benefited from the mapmaking skills of Gary Kleinedler and Ryan Rudnicki and the darkroom talents of Hughes Photographics of State College and M. Scott Johnson. We appreciate the kindness of the individuals and institutions that allowed us to reproduce photographs from their collections; they are credited by name elsewhere. Deborah Bezilla transcribed the audiotapes of our interviews with BFC employees. Doug Stanfield, owner of Bellefonte.com, has supported our BFC website, http://bellefonte.com/heritage/BCR/BFCRR.html, for several years. Laura Stocker Waldhier assisted in preparing some of the photos and proofread the entire manuscript. Sharon Rudnicki never wavered in her support during two decades of research, travel, and writing. Kyle Weaver of Stackpole Books was enthusiastic in his commitment to our project and skillfully guided it to a successful conclusion.

We owe a special debt to the following individuals, who read all or parts of the manuscript and made valuable suggestions for the improvement of its content: Robert Donaldson, Jeffrey Feldmeier, Luther Gette, Robert G. Lewis, and John Spychalski. Professor Spychalski graciously spent many hours with us discussing ratemaking, accounting, and other arcane aspects of the railroad industry.

Any errors of fact or interpretation are ours.

CHAPTER ONE

The Buffalo Run, Bellefonte and Bald Eagle Railroad

"The Bellefonte Central is a fine thing to see,

a gentle and heartening railroad to know."

LUCIUS BEEBE

In his book Highball: A Pageant of Trains, journalist Lucius Beebe wrote fondly of his visit in the 1940s to central Pennsylvania and the Bellefonte Central Railroad. A world traveler and connoisseur of railroads large and small, Beebe was awed by the rural panorama he witnessed during a leisurely 19-mile trip over the BFC between its end points of Bellefonte and State College. Its track, often unfenced, runs through the meadows and pastures with brooks that attract the Brown Hackles and Silver Doctors of fly fishermen, he wrote. Willow trees arch theatrically across the right of way, geese parade down the ballast, and traffic is almost daily impeded by placid cows. Invoking the eighteenth-century French landscape painter Jean Watteau, Beebe declared that had Watteau painted in its time, the Bellefonte Central would have been Watteau’s railroad.

Beebe was not alone in being smitten by the bucolic ways of the meandering Bellefonte Central. Even the railroad’s employees took pride in it. One locomotive engineer liked to tell of returning to Bellefonte after making the daily run to State College and the campus of the Pennsylvania State University. About midway along his route, he espied a fisherman walking alongside the track in the same direction with his creel full of trout from the adjacent Buffalo Run. The engineer halted his train and called out an invitation to ride back to town. No, thanks, the angler shouted back. I’m in a hurry today—I’ll walk!

But the Bellefonte Central’s rural quaintness should not be allowed to obscure other aspects of its character that reflected its importance as an economic lifeline. It was the railroad that served Penn State, and its role as a freight and passenger hauler facilitated the transformation of that obscure agricultural college into one of the nation’s elite public universities. The Bellefonte Central also possessed an industrial side to its character that was as gritty as the lime plants and iron ore pits it served. Initially a carrier of ore and coal, the BFC soon made lime and limestone its traffic staples. In its ninety-year history, it carried nearly 15 million tons of the stuff, more than any other short line in the nation. No matter the charms of Brown Hackles and parading geese; the BFC’s destiny was ultimately forged amid the smoke and flame of steel mills and glass works in Pittsburgh, Youngstown, Buffalo, and other industrial centers. Few small railroads offered such diverse facets to their existence. Whether its story is set against the tranquil groves of the Penn State campus, the creaking ore tipples of Scotia, or the massive rotary kilns of the National Gypsum Company, the Bellefonte Central was a railroad worth knowing.

o o o

The Bellefonte Central Railroad took its name from the seat of Centre County, Pennsylvania. The county was formed in 1800 and straddles the border between the state’s fertile Ridge-and-Valley Province and the Allegheny Plateau, less suited to farming but rich in bituminous coal and timber. Belle-fonte is located in the Nittany Valley, which neatly bisects the county from northeast to southwest. The valley is flanked on the south by Nittany and Tussey Mountains and on the north by Bald Eagle Ridge. Laid out by settlers John Dunlop and James Harris in 1795, Bellefonte had grown into a borough of about 3,000 inhabitants by 1880, on the eve of a railroad-building boom. The community owed part of its growth to the activities of local government—the cream-pillared courthouse on the diamond formed by the intersection of Allegheny and High Streets had been a fixture since 1805. Bellefonters held public service in high regard. From their ranks had come a U.S. senator and three governors for Pennsylvania by 1880 and one governor each for California and Kansas. Two more Bellefonte residents would reach the governor’s mansion in Harrisburg before the century ended. Bellefonte had also gained a reputation for the manufacture of high-quality iron, an enterprise rooted in the abundance of nearby raw materials: iron ore and limestone in the Nittany Valley, and the surrounding hardwood forests that yielded charcoal. The town’s location, in fact, was fixed by the pioneer ironworks begun by Dunlop and Harris. Its name came from a description that the visiting French aristocrat Charles Talleyrand supposedly had given to its Big Spring—La Belle Fontaine—from which poured 11 million gallons of water daily. By the 1820s, the town’s newspapers were claiming that Centre County, with its nine furnaces, six forges, and two rolling mills, was making more iron than any other county in the United States: 10,000 tons of pig iron and 3,000 tons of rolled iron each year. This iron was highly prized by fabricators; Centre County’s iron companies had agents in all the big eastern cities and as far west as Pittsburgh and Louisville. The county helped establish Pennsylvania as America’s leading producer of iron and the ore from which it came.

But transportation was a problem for the local iron industry. Horse-drawn wagons carried ore, limestone, and charcoal to the furnaces. There, these ingredients were fed in alternate layers into the top of a stone furnace stack and roasted until molten iron flowed from the bottom into a series of sand troughs or molds in the floor that resembled suckling pigs, hence the name pig iron. These pigs were sometimes formed into bars in local rolling mills, but whether as pigs or in a semifinished condition, the iron was usually shipped out by pack mule over roads that were little more than paths. A few privately owned turnpikes were built through various parts of Centre County in the 1820s, but their engineering was crude and brought little improvement for the iron trade. When creeks ran deep in the springtime, pigs and bars were loaded aboard wooden arks and floated to the West Branch of the Susquehanna River at Lock Haven, 22 miles from Bellefonte, bound for destinations farther east. In 1848, largely as a result of the lobbying efforts of Bellefonte-area ironmasters, the Bald Eagle and Spring Creek Navigation Company completed a canal, thirteen years in the making, between Bellefonte and Lock Haven. The latter community was the northern terminus of a branch of the state-owned Pennsylvania Canal system. From Lock Haven, the navigation company’s canal followed its two namesake waterways: Bald Eagle Creek west to Milesburg at the mouth of Spring Creek, then the latter stream through a gap in Bald Eagle Ridge to Bellefonte. The canal proved to be a boon for shippers of lumber, grain, and other agricultural products, as well as for travelers.

Bituminous coal, not iron, led to Centre County’s first railroad. Demand was soaring for coal as a fuel to power America’s burgeoning industrial revolution. The Allegheny Plateau in northern Centre County contained widespread coal deposits that could be easily worked by underground mines. A group of investors led by Bellefonte business and political leaders owned thousands of coal-rich acres there but had no practical means of transporting the coal down the steep face of the Allegheny Front, the plateau’s eastern edge. Once in the Bald Eagle Valley, the coal could be shipped by canal to eastern markets. To open up their coal lands, the investors in 1858 began construction of a 21-mile railroad from the valley floor to the prospective mining community of Snow Shoe. The climb included a 2.84 percent ruling grade and four switchbacks that allowed the road to rise 860 feet in 4 miles. Another 4-mile segment took the railroad to the county seat. The Bellefonte and Snow Shoe Railroad was isolated, however, and its first locomotive was delivered in May 1859 in pieces aboard canal boats. The occasion of the arrival of the locomotive was one of great rejoicing, reported Bellefonte’s Central Press a week after the event. Bon-fires were kindled on the canal wharf and throats were strained with the huzzas of welcome to the iron horse. His whistle will soon awaken the echoes of these old hills. By the fall of 1859, the B&SS was open for service over its entire route, and the Valentine and Thomas ironworks began extending the track more than a mile beyond the Bellefonte station to its furnace in order to receive and dispatch shipments of charcoal and pig iron.

The Bellefonte and Snow Shoe Railroad initially hauled coal from mountaintop mines only as far as the port of Milesburg, where the cargo was transloaded into canal boats, a pioneer instance of this form of intermodal transportation. Canals were a short-term solution to the area’s shipping problems. They could not be navigated in winter or during dry spells, their boats traveled at the pace of a mule’s walk, and increasing capacity was difficult. The Bald Eagle and Spring Creek Navigation Company’s fate was sealed with the incorporation of the Tyrone and Lock Haven Railroad, which began construction of a railroad intended to run the entire 54-mile length of the Bald Eagle Valley, connecting with the main line of the Pennsylvania Railroad at Tyrone and the PRR’s affiliated Philadelphia and Erie Railroad at Lock Haven. A spur was to be built through the gap in the ridge at Milesburg to reach Bellefonte. When the Bellefonte and Snow Shoe Railroad was nearing completion, grading of the western half of the T&LH was almost finished as well, so the B&SS arranged to use nearly 4 miles of its right-of-way from a point on the valley floor designated as Snow Shoe Intersection east to Milesburg and on to Belle-fonte. The Tyrone and Lock Haven Railroad then stumbled financially and was succeeded in 1861 by the newly incorporated Bald Eagle Valley Railroad. The BEV was owned by many of the same local investors as its predecessor, but they also had a new partner: the Philadelphia-based Pennsylvania Railroad. Backed by PRR money, the Bald Eagle Valley Railroad opened the line between Bellefonte and Tyrone early in 1863 and on through to Lock Haven on May 1, 1865. That same year, severe flooding destroyed much of the navigation company’s canal. It mattered not to the Bellefonte and Snow Shoe. With a direct rail link to distant markets, the railroad’s annual coal shipments grew from less than 10,000 tons to more than 50,000 tons within four years. To ensure its grip on this traffic, the Pennsylvania in 1863 signed a lease on the BEV for 999 years. It bought the B&SS outright in 1881 and purchased the BEV in 1908.

By the time of the Civil War (1861–65), the Pennsylvania Railroad had become America’s largest business corporation; within the Commonwealth of Pennsylvania, its economic and political influence would be unmatched for the remainder of the nineteenth century. In fact, the company’s critics liked to depict its lobbyist at the state capitol in Harrisburg as the fifty-seat senate’s fifty-first senator. The enterprise was also a sound investment. Its managers, composed largely of up-from-the-ranks civil and mechanical engineers, eschewed highly speculative ventures, stock watering, and other kinds of financial sleight of hand that characterized numerous other railroads of that era. They steered a more conservative course, preferring to plow surplus revenues back into the property for long-term betterment rather than skim off short-term profits. Towns served by the Pennsylvania Railroad stood to gain a certain prestige by association with such a highly respected corporation. Bellefonte residents congratulated themselves on having the PRR give them vastly improved access to the outside world.

Another PRR affiliate that would soon influence the development of Belle-fonte was the Lewisburg and Tyrone Railroad. The L&T began life as the Lewisburg, Centre and Spruce Creek Railroad. In 1868, it started building a line from Montandon, on the PRR’s Philadelphia and Erie main line, westward toward Centre County. It aimed to tap iron ore deposits, forests, and farmland along the way to a junction with the PRR main line at Spruce Creek. Although many of the LC&SC’s promoters were local, they were inexperienced managers. As soon as they completed each segment of their new road, they leased it to the PRR for operation. Capital was scarce—the nationwide Panic of 1873 scared away many potential investors—and construction proceeded in fits and starts. The railroad did not reach Spring Mills, just inside Centre County and 43 miles from Montandon, until 1877. Two years later, the LC&SC defaulted on its bonds, held primarily by the Pennsylvania, which reorganized the company as the Lewisburg and Tyrone Railroad and retained a lease over it.

The new name reflected a change in the road’s western terminus. The industrial town of Tyrone potentially offered more traffic than Spruce Creek and brought the line closer to iron ore deposits along the boundary between Centre and Huntingdon Counties in an area locally known as the Barrens. It was a tract of land several miles square that rose like a tabletop around the surrounding farmland. The Barrens contained mostly sand and clay soil, in which grew almost impenetrable clumps of scrub oak, pines, and aspen, separated by blueberry bushes and grass-filled gullies. Ore deposits in this inhospitable environment had been exploited by local iron furnaces as early as 1810. Most later came under the control of Moses Thompson, reputedly Centre County’s largest landholder. But one by one, most of the furnaces closed, done in by high transportation costs and obsolete production methods. Thompson’s own Centre Furnace, located near the base of Mount Nittany, ceased operations in 1858. Twenty years later, steel magnate Andrew Carnegie was searching for ore reserves to supply his mammoth Edgar Thomson Works near Pittsburgh. He learned about Thompson’s holdings and heard even more firsthand during a visit to Pennsylvania Furnace, a pioneer ironmaking site and the home of his friend George W. Lyon. The ore was brown hematite, ranging in purity from 44 to 52 percent—not ideal, Carnegie’s engineers said, but better than any they had found thus far in a search that took them from western Pennsylvania as far south as Virginia. Thompson’s ore would do until something better came along. Carnegie then leased about 500 acres from Thompson and others and prevailed upon the PRR to build the L&T east from Tyrone.

Unlike the eastern half of the L&T, the west end was built with all deliberate speed, taking advantage of some preliminary grading done by the LC&SC. The line headed up the Nittany Valley 20 miles through the villages of Warriors Mark and Pennsylvania Furnace and reached the hamlet of Fair-brook in November 1880. A more lightly graded line 5.3 miles long was pushed north from Fairbrook into the Thompson ore lands. The new mining town that came to life in the summer of 1881 around the ore preparation and loading facilities was named Scotia, Latin for Carnegie’s homeland of Scotland, although the post office took the Scottish name of Benore, or iron hill. Scotia soon boasted a permanent population of approximately 500, a school, two churches, and two general stores. The ore operations employed about 300 men during peak seasons and were the first in Centre County to use steam shovels. Heretofore, mining methods relied mostly on picks and shovels, along with horse-drawn scrapers and carts. Each of the two steam-powered Boston Excavators did the work of forty men. The excavators worked in separate cuts, which were linked by a mile or so of narrow-gauge steam railway to Scotia proper, where the ore was crushed, washed, and loaded into PRR cars for the trip down the Scotia branch and L&T line. Soon the Scotia mines were producing about 4,000 tons of ore monthly, or about fifteen to eighteen railroad cars each workday. A passenger train made a round-trip daily from Tyrone and also handled shipments for the Adams Express Company, which established an agency at Scotia. The freight-only Juniata branch, a 2-mile spur from the Scotia branch, served the pits of the Juniata Mining Company, another Carnegie affiliate.

Having reached Fairbrook and Scotia, the PRR ceased further construction on the L&T’s west end, leaving a 25-mile gap between the railroad’s two halves. In this gap was situated the Pennsylvania State College, founded as an agricultural school in 1855. But the agricultural sciences had attracted few students, and in spite of the addition of general arts and sciences to the curriculum, the college was in danger of foundering. It enrolled only about fifty undergraduates in 1880, had gone through seven presidents in the previous fourteen years, and was the target of a state investigation to determine whether it should be closed. The surrounding community consisted mainly of a couple of dirt thoroughfares, often occupied by stray pigs and chickens, bordered by a few wood-frame houses for faculty and merchants. All things considered, the PRR saw no reason to be in a hurry to extend rails to State College, and the L&T remained divided.

Some Bellefonte-area commercial interests were eager to see further construction, even if it did not exactly mean joining the two halves of the L&T. Late in 1881, a group of local business leaders proposed to Pennsylvania Railroad president George B. Roberts that his railroad build a connecting line between Bellefonte and Scotia. Heading the group was fifty-six-year-old attorney and entrepreneur Edmund Blanchard, who was on friendly terms with PRR executives. Bellefonte born and Dartmouth educated, he was senior partner with his brother Evan in Blanchard and Blanchard, whose specialty was corporate law. The firm counted among its clients the Bald Eagle Valley Railroad and Bellefonte and Snow Shoe Railroad. Blanchard was also among the early investors in the B&SS and served as an officer of both the Tyrone and Lock Haven Railroad and its successor BEV. He was a principal in the Belle-fonte Glass Works; Bellefonte Car Works, builder of wood-bodied rail freight cars; and the Moshannon Land and Lumber Company, whose extensive holdings in Centre and Clearfield Counties were served by the PRR. Blanchard also had useful political connections, having been a Centre County district attorney and a law partner of former Pennsylvania governor and then-congressman Andrew Curtin of Bellefonte.

Joining Blanchard in submitting a formal prospectus to President Roberts were James A. Beaver, attorney and president of the Centre County Banking Company; Beaver’s banking associate and former county treasurer, John Dunlop Shugert; wool merchant John G. Irvin; landowner Moses Thompson, another major investor in the Bald Eagle Valley Railroad; Cyrus T. Alexander, an attorney who represented Centre County in the state senate; Frank McCoy, manager of the family ironworks, McCoy and Linn; and Daniel G. Bush, proprietor of the Bush House, one of Bellefonte’s most elegant hotels and meeting places, and founding partner with Blanchard in the town’s glass and car works.

In their efforts to win over Roberts, Blanchard and his cohorts engaged Samuel Brugger, one of central Pennsylvania’s most renowned surveyors, to lay out a route for their proposed railroad. Brugger had to choose his line with great care. The floor of the Nittany Valley is riddled with numerous streams, ravines, and rolling hills, and Bellefonte is spread over seven hills overlooking Spring Creek. Brugger started at a point on the PRR just north of Bellefonte, where Buffalo Run empties into Spring Creek. He then recommended a route that ran parallel to Buffalo Run about 10 miles to the farm of P. Benner Waddle. Over thousands of years, this meandering little stream had carved a valley within a valley, a kind of gutter, flanked on the south by the higher ground in the Nittany Valley and on the north by Bald Eagle Ridge. Following Buffalo Run almost to its source afforded a gentle ascent to Scotia on the highest ground in that part of the valley. From the Waddle farm, Brugger also surveyed a route to the Pennsylvania State College on the assumption that the PRR someday would want to reach that place.

The Blanchard group proposed that the PRR build the new Buffalo Run line as an extension of its Bald Eagle Valley Railroad subsidiary and emphasized that the route passed through or near some of the county’s most valuable iron ore deposits, including 1,200 acres still owned by Thompson and several hundred more controlled by McCoy. Most of the ore mines, or banks, had been dormant since the demise of the charcoal furnaces. Inexpensive transportation could bring them back to life, just as the Scotia lands were being revived. The BEV could easily transport the ore to any of Centre County’s four remaining furnaces. The largest of these, the Bellefonte Iron Works, was located along Logan Branch south of Bellefonte. Operated under various names by the Valentine and Thomas families since 1815, the furnace was turning out 3,000 tons of pig iron and 2,000 of rolled-iron products each year. The capacity of the McCoy and Linn works in the gap between Bellefonte and Milesburg was only slightly smaller. The two remaining furnaces were in the Bald Eagle Valley: the Curtin family’s Eagle Iron Works, with a 2,000-ton yearly capacity, and farther east, the Howard Iron Works. In addition, the proposal pointed out that ore trains leaving Scotia had to descend a severe 1.6 percent grade on the L&T west of Warriors Mark; it might make better sense to route them down the more gently graded Buffalo Run track, then west over the BEV via Milesburg. Blanchard and his colleagues estimated that including Scotia traffic, the new rail line would carry between 3,000 and 5,000 tons of ore each workday, a more than sufficient amount of tonnage to make the railroad self-paying. In addition, the Buffalo Run railroad would offer the PRR farm products, timber, and perhaps even sand and clay for outbound shipment.

Roberts and the rest of the PRR hierarchy surely noted the optimism undergirding these estimates. Scotia, the largest and richest of the ore deposits, was shipping only 200 tons daily using state-of-the-art mining methods. Could the other banks combined really produce twenty times that amount? Would market conditions ever warrant their reopening? Furthermore, the Pennsylvania was undecided about connecting the L&T, so an extension of the Buffalo Run railroad to State College was equally risky. In the end, the PRR declined to act on the prospectus.

o o o

In defeat, Blanchard and his associates saw opportunity. If the mighty Pennsylvania would not build the railroad, they would do it themselves. On Saturday, September 16, 1882, prospective investors gathered at the Bush House to form the Bellefonte and Buffalo Run Railroad Company. They filed articles of association with the Commonwealth of Pennsylvania on September 21, legally incorporating their enterprise for the purpose of constructing, operating, and maintaining a railroad for public use in the conveyance of passengers and property . . . from Bellefonte to a point at or near the state agricultural college.

The railroad’s overarching goal was to tap the ore deposits in the area between the college and Scotia. Pennsylvania still led the nation in the production of both iron ore and pig iron. In 1880 it accounted for 1.95 million tons of ore, about 26 percent of America’s total output, and 1.9 million tons of pig iron, 51 percent of the national total. But the amount of ore mined within the state had peaked in 1870 at 2.3 million tons and had been declining ever since. Michigan, where vast deposits of high-quality ore had been discovered on the Upper Peninsula, ranked second to Pennsylvania in 1880 by a mere 3,000 tons. It was the search for additional deposits within the Keystone State that had prompted Blanchard and his cohorts to propose a railroad along Buffalo Run. They knew that furnace owners preferred to procure ore within the state rather than pay higher transportation costs for Michigan ore. They also recognized that the market for iron was expanding, and that pig iron in particular was in demand for making steel. America was heading full tilt into an age dominated by railroads, civil construction, mining, manufacturing, and other industries that consumed immense quantities of both iron and steel.

Capital stock in the Bellefonte and Buffalo Run Railroad initially totaled $200,000, issued in 4,000 shares of $50 par value each, most held by the directors. These included John Dunlop Shugert and Frank McCoy, along with two more Bellefonte residents, John L. Kurtz and William H. Blair. Kurtz, like Shugert, was an officer in the Centre County Banking Company. Blair was a real estate lawyer and former Civil War officer and state legislator whose family owned ore lands along the upper reaches of Buffalo Run. Kurtz, Shugert, and McCoy each took 200 shares. Blair subscribed to 500. Rounding out the board were C. A. Mayer (1,000 shares) and William H. Rankin (500 shares), both Lock Haven attorneys. Mayer was perhaps better known as president judge of Pennsylvania’s 25th Judicial District.

Two other shareholders did not sit on the board. Subscribing to 200 shares was Constance Curtin, whose family ran the Eagle Iron Works. James A. Beaver held the remaining 400 shares. With the possible exception of Constance’s brother, former governor Andrew Curtin, Beaver was Bellefonte’s most well-known and highly respected citizen. A genuine war hero, he had commanded the 148th Pennsylvania Volunteer Infantry, composed mostly of Centre County men. He suffered a wound at the Battle of Reams Station in Virginia that cost him a leg but helped win him promotion to brevet brigadier general. After the conflict, he practiced law with his father-in-law, Hugh McAllister, one of the founders of the Pennsylvania State College. Through McAllister, Beaver became involved in the college’s affairs and served from 1874 to 1882 as president of its board of trustees. Besides practicing law, Beaver was a financier and founding chairman of the Centre County Banking Company in 1868. Politically ambitious, he was widely considered a rising star in Pennsylvania’s Republican party. In the fall of 1882, he ran for governor and lost by a narrow margin.

The nine shareholders paid little or nothing for their stock. The company itself had virtually no assets and no real worth. It could have significant value after it was built, but building the railroad required a considerable outlay of funds, which the shareholders either did not have or did not want to risk. Railroad building in that era was a chancy proposition—the state’s annals are chock-full of companies that died in the birthing process. To ensure construction of their railroad, Blanchard and his associates turned to a method similar to the infamous Credit Mobilier apparatus that had financed the construction of the Union Pacific’s portion of the first transcontinental railroad in the 1860s. They would find another group of investors who would accept B&BR stock as payment for building the railroad. These new investors nominally would serve as the construction company but in reality would stand between the railroad and the contractor who actually built it.

Their search ended with a single investor: Frank McLaughlin, publisher of the Philadelphia Times. Exactly how the B&BR’s owners came to interest him in their railroad is lost in the historical mists. McLaughlin did have a number of business interests beyond the newspaper. He agreed to accept an additional B&BR stock issue having a par value of $300,000, thus bringing the railroad’s total capitalization to $500,000. McLaughlin would retain the stock, confident that the railroad would be built and become profitable, in which case the real value of his shares, for which he paid nothing, had a good chance of rising to match or exceed their par value. Retaining the stock also meant that he would have to pay out of his own pocket to have a subcontractor build the road. He really had little alternative to fronting the construction costs; until the railroad was in operation, its stock was unlikely to have any significant value on the open market. There was nothing inherently sinister about this arrangement; numerous railroads used it. Arguably, it provided many of them with the only practical means of attracting sufficient funds to support risky ventures. Nor was McLaughlin necessarily out to make a quick and easy dollar. He was an extremely cautious man, fellow newspaperman A. K. McClure later recalled, not given to undertake anything without carefully weighing all sides of an issue. He also enjoyed the respect of the Philadelphia business community. By holding on to the B&BR’s stock, he obviously thought the road had reasonably good prospects of success.

The first step toward making the new railroad a reality was to resurvey the right-of-way. Brugger’s earlier reconnoitering was a good start, but it lacked the specifics needed to calculate an accurate cost and did not enumerate the owners of the various parcels of land along the railroad’s route. A more detailed survey of Brugger’s alignment began in December 1881 and was finished within two months. It began at the proposed connection with the Pennsylvania Railroad near the confluence of Buffalo Run and Spring Creek, at an elevation of 720 feet above sea level. The line then ran on a southwesterly course past the village of Coleville in Spring Township, following Buffalo Run Valley as far as Waddle and averaging a 0.7 percent climb. This segment of the right-of-way bisected numerous unfenced meadows and farm fields; there were no extraordinary cuts or fills. At the village of Waddle, the railroad left Buffalo Run to follow a small tributary, Waddle Run, for another half mile to a junction. A branch line was projected to continue 2 miles farther up Waddle Run to Desert Bank, an iron ore pit on the Mattern family farm, while the main track made a large horseshoe curve and turned southeast. Although the Nittany Valley is 6 miles wide at this point, it contains a ridge above Waddle that the BFC surmounted with 2 miles of 1.2 percent grade, topping out at Alto, 1,250 feet above sea level and the highest point on the railroad. Most of the land around Alto was owned by Moses Thompson, who had acquired it as a resource for Centre Furnace. The line then descended a 1.4 percent grade until it reached Big Hollow, where it made a sweeping right-hand curve to follow the path of an ancient streambed to the settlement of Krumrine and then on to the 195-acre farm of Conrad and Sarah Struble, about 18 route-miles from its point of origin. The Struble family had started mining ore there in 1880, but the lack of an efficient way to transport it limited the operation’s success.

The Strubles were typical of many families in the Nittany Valley who had purchased their farms from the old-time ironmasters, owners of much of the valley’s rural acreage. Although their furnaces were in decline, the ironmasters shrewdly retained the mineral rights to their lands. Thus when Conrad Struble bought his farmland from the heirs of James Irvin, a partner in Centre Furnace, he could not legally mine the ore until he purchased these rights, which he did in 1879. In addition, the name of the landowner did not necessarily indicate the proprietor of the mine. For example, Desert Bank was operated by the Celtic Ore Company, a Carnegie affiliate, on land owned by the Matterns.

As the surveyors neared the completion of their work, Blanchard’s group set about obtaining the property. They had originally stated that if landowners would grant the company easements or outright gifts of property, there would be no need for a local subscription of funds for this purpose. Unfortunately for the B&BR, as the Bellefonte Republican noted, Some persons owning land along the route of the proposed railroad manifested a strange obstinacy to granting the right-of-way. They set a far higher price on their land than the railroad considered fair and equitable and stubbornly refused to negotiate. On the other hand, state law gave railroads the right of eminent domain. The Belle-fonte and Buffalo Run had the power to enter upon, take possession of, and use land necessary for its purposes, without prior consent of the owners, subject to an eventual payment that a court might find reasonable. Edmund Blanchard, highly skilled in this aspect of the law, estimated that $10,000 would cover these payments. But the B&BR still had no ready cash. Consequently, the directors approached the newly formed Bellefonte Board of Trade, an early type of chamber of commerce, and asked for support in raising $10,000 from the local citizenry. The board gave its enthusiastic blessing, and a canvass began of merchants, industrialists, and well-to-do property owners. Blanchard then turned to the Centre County Court of Common Pleas, which established a panel of road viewers to visit the properties of recalcitrant owners and determine damages—that is, the price to be paid by the railroad.

Meanwhile, Frank McLaughlin hired the Philadelphia-based firm of P & T Collins to build the railroad. It was a decision that was to have a profound impact on the railroad’s development. Philip and Thomas Collins were among the paramount railroad builders of their day. Sons of Peter Collins, an Irish immigrant who had settled near Ebensburg, Pennsylvania, in 1818, Phil and Tom were born there (in 1821 and 1824, respectively) along with four other brothers and three sisters. The elder Collins farmed and worked part-time as a civil engineer, engaged mostly in building turnpikes and canals in Pennsylvania and Ohio. Phil and Tom learned their profession from him. The first recorded contract for the brothers’ firm, styled P & T Collins, dates from 1849, for a segment of the state-owned New Portage Railroad across the Allegheny Mountains. During the following twenty years, Phil and Tom, with some help from Peter Jr. and possibly other brothers, undertook a number of important projects for the Pennsylvania Railroad, such as the Gallitzin Tunnel on the main line at the summit of the Alleghenies, parts of the Philadelphia and Erie line, and an extension of the coal-rich Clearfield branch from Philipsburg to Clearfield.

One of their greatest engineering achievements occurred in 1871, when they completed the Baltimore and Ohio Railroad’s Sand Patch Tunnel in Somerset County, a troublesome job that had stymied previous contractors. Other work included large earthmoving projects for the Lehigh Valley, Philadelphia and Reading, Central of New Jersey, and Buffalo, Rochester, and Pittsburgh Railroads. Phil Collins handled the company’s financial affairs, while Tom specialized in overseeing construction. P & T Collins were well and favorably known to every railroad man throughout Pennsylvania, recalled their grandnephew,