Henderson’s streetcar system ran off the rails a century ago
From a perspective of 100 years, it’s easy to see the gradual demise of Henderson’s system of streetcars, which died at 2 p.m. July 17, 1923. But to the city’s residents of 1923, it was almost like the streetcars were there one day – and then they weren’t.
I suspect they were in denial. After all, citizens had practically revolted in mid-1918 when the city shut the system down for three weeks because the company had not paid its oiling tax. Despite all the 1923 news coverage concerning a possible shut-down, I imagine many people just shrugged their shoulders, thinking the folks at City Hall would work it out.
But the average working person was very much dependent on streetcars – especially since only one out of every 12 residents had an automobile, according to Mayor Clay Hall. There was even some talk of the city taking over the business and running it as a public service.
But let me back up a bit to put it all in context. The death of the streetcars can be attributed to a combination of inflation, the automobile, and the advent of paved streets.
The traction company had issued bonds to buy the system in 1918 and by 1923 the system’s bondholders were upset because no interest had been paid since the purchase. The original idea was that revenues would be enough to both pay off the bonds and make needed improvements. But the steep inflation that accompanied and followed World War I meant it was all the company could to barely remain above water.
On April 15 the bondholders gave the company 90 days – or it would file suit to place the system in receivership. The deadline was July 15.
On another front, the Henderson City Commission had been wanting to pave city streets for a while, but the “traction company,” as it was then called, couldn’t even pay its past-due $4,500 street oiling tax, much less pay for paving between the tracks and one foot to either side.
A so-called friendly lawsuit was filed to resolve that matter. The traction company won at the local level but the Court of Appeals (which was then Kentucky’s highest court) not only ruled in the city’s favor, it made it clear that the ruling applied to all third-class cities in Kentucky, according to The Gleaner of June 23. A few days later the Henderson City Commission began moving forward on its paving program.
The Gleaner of June 27 reported on a powwow between the city and the traction company. During that meeting the company was told its share of paving costs would be $1,200 a block for nine blocks of street. The company attorney suggested that the tracks on Second Street be abandoned, but that the Elm Street line remain in place; it generated more money because it fed into the interurban line that ran to Evansville.
The following day’s Gleaner carried strong statements from both the mayor and Commissioner Frank Haag advocating continuation of the system.
“The people of Henderson are entitled to streetcar transportation,” said Hall. “I have been informed that only one out of every 12 Henderson people own automobiles. The other 11 have no means of transportation.”
Haag agreed, saying shutdown would pose a hardship for “working people.” He then went a step further. “I am in favor of municipal ownership,” he said. “Other cities own and operate car lines. Henderson can do the same. We own our electric plant and current to operate the cars would not cost much.”
The Evansville Press of July 13 carried a story about imminent shutdown that the superintendent of the traction company dismissed as “wild rumor.” That story said the streetcars would stop running July 16 – the following Monday, according to The Gleaner of July 14.
It was almost right. The shutdown took place July 17, throwing 30 men out of work.
The Ohio Valley Banking & Trust Co. – the trustee for the bondholders – had filed a lawsuit alleging default on interest payments and asked for the appointment of a receiver to take over. Henry P. Barret was quickly appointed trustee.
General Manager C.R. Millican conceded the lawsuit’s main point. “No interest has been paid on the bonds for five years and all the money we have taken in has been put back in the line,” he said in the July 18 Gleaner.Millican and the traction company’s attorney met in a closed-door meeting with the Henderson City Commission a few hours after the lawsuit was filed – and Gleaner publisher Leigh Harris was pretty hot about that meeting, judging from the July 18 editorial.
“Secrecy in public affairs is not a good policy and the public should be a full partner in matters and discussions that concern them,” the editorial reads. “The public to a very large extent gets its information about public affairs through the medium of the press” but The Gleaner’s two reporters had been barred from the meeting.
The July 19 Gleaner noted the interurban’s cars were using the Elm Street line, but no other streetcar movement was taking place.
The July 20 edition, however, reported the city commission had sent the receiver a letter telling him to remove the tracks on Green and Second streets. “The death knell to streetcar service in Henderson was sounded at 5 o’clock” the previous day, is how the story began. “The commissioners want the tracks out of the way as soon as possible.”
Barret, however, noted in the July 21 Gleaner that he had been appointed “to keep and preserve the property” and he had no legal authority to do otherwise unless the judge amended his order. The July 22 Gleaner said that had taken place, and that track removal would begin that week.
“Streetcar service in Henderson is a thing of the past…. It was the hope of many citizens that some arrangements would be made to operate the streetcars this week for (county) fair patrons, but this was dispelled when the petition was filed and order taken to remove the tracks.”
The Gleaner of July 24 said track removal on Green Street had begun. And the July 25 Gleaner noted Andrews Asphalt Construction Co. of Hamilton, Ohio, had been given a contract to pave 33 blocks of Henderson.
The streetcars had started operating in 1889, and for the first five years they were powered by mules. In 1894 the system switched to electric power, which upped the top speed to 12 mph.
The day after the streetcars stopped running, Henderson’s new bus company bought a large advertisement detailing its routes. The bus company also quickly added a new route that ran the length of Green Street.
The bus company wasn't the only one to take advantage of the traction company's ill fortune. Pardon's Bicycle Store on Elm Street ran a large ad urging citizens to invest in a bicycle.
75 YEARS AGO
The Gleaner of July 18, 1948, said thousands of people and several hundred airplanes were expected for the formal dedication of the new Sturgis Airport, which was to feature a “most spectacular air show.”
The airport, which had three 5,000-foot concrete runways, was built by the federal government during World War II – in conjunction with Camp Breckinridge – and title was transferred to the county July 12.
“The Army will feature P-51s, A-26s, P-28s, AT-6s, and C-47s, which may be inspected by the public.”
50 YEARS AGO
A masked gunman dressed in coveralls made off with an estimated $17,000 in cash and $10,000 in travelers checks from the Poole Deposit Bank, according to The Gleaner of July 21, 1973.
Three customers and several bank employees were present at the time.
The robbery, which took place just before the usual 3 p.m. closing time, apparently was a one-man job. Roadblocks were set up in the vicinity but were unsuccessful in nabbing him. No further mention of the robbery was made in The Gleaner through the end of 1973.
25 YEARS AGO
Judge-executive Sandy Watkins announced in his state of the county address that the county was in the process of buying 18 acres on Airline Road in front of the county Road Garage, according to The Gleaner of July 18, 1998.
“We now have a home for the Henderson County Fair,” Watkins told the Chamber of Commerce during a luncheon at Ellis Park.
Options to buy the land from Frances Fox of Elkton for $110,000 had already been signed, Watkins said.
“I think it (the purchase) is going to be a well-received thing across the county – because it’s the right thing to do.”
He thanked members of the Henderson County Fair Board, as well as Magistrate Hugh McCormick, who he said played a pivotal role in the acquisition.
The Gleaner’s editorial of July 21 praised the move.
“Although it will need some time (and some money) to develop the new site, the board – and the public – can begin dreaming of an expanded fair program like the ones that that once drew much larger crowds to such arenas as the former Audubon Raceway.”
Readers of The Gleaner can reach Frank Boyett at YesNews42@yahoo.com or on Twitter at @BoyettFrank or on Threads at @frankalanks.
This article originally appeared on Henderson Gleaner: Henderson’s streetcar system ran off the rails a century ago
