The Wallkill Valley was born in the post-Civil War
railroad boom, conceived in 1866 by local interests in its namesake
valley, generally southwest of Kingston, NY, as an outlet for agricultural
goods. Construction was largely financed by local capital, including
substantial bond issues by towns along the route. With no West Shore
railroad yet in existence along the Hudson, the natural outlet was to
the south, via the Erie Railroad at Montgomery.
The WV was initially constructed to Erie's 6-foot gauge,
and was operated by the Erie for much of the next 10 years. By 1870,
it had also expanded north as far as New Paltz, and by 1872 had constructed
the predecessor of the astonishing high trestle over Rondout Creek (and
the D&H Canal). Also by 1872, the able and grasping Thomas Cornell of
Kingston, Hudson River steam boat operator and promoter of the Ulster
& Delaware, the Rhinebeck & Connecticut, and various non-transportation
ventures, had become president, over the opposition of local interests
who rightly feared he would manipulate it for his own gain. In a pattern
which pervaded many of his other enterprises, Cornell pushed the railroad
to completion at Kingston, then seemingly withdrew from active participation.
As occurred with other Cornell enterprises, the replacement management
came under attack by the local press for financial shenanigans, and
was forced to withdraw; the Wallkill Valley fell into bankruptcy; and
a syndicate headed by Cornell purchased it at foreclosure in 1877 for
a tiny fraction of the cost of construction -- wiping out the investment
of the locals in the course of the bankruptcy.
Within a few years, the wily Cornell (abetted, by now,
by his equally able, wily and grasping son-in-law, Samuel Coykendall)
had learned of the impending construction of the West Shore up the Hudson,
and seemingly stealing a march on the sophisticated downstaters behind
the West Shore, he managed to have the weak and failing Wallkill Valley
begin purchasing land for a Kingston-Albany "extension" of its own,
right in the path of the West Shore's survey. (If there could be any
doubt that there was funny business behind this transaction, an examination
of the WV's corporate minutes dispels it: in page after page of beautiful,
virtually letter-perfect, copper-plate calligraphy, the entry purporting
to reflect the directors' authorization of this land acquisition is
the only entry anywhere which is squeezed into the margin as an afterthought,
obviously inserted after the minutes for that meeting - and the following
ones - had been completed). This brilliant bit of blackmail worked,
and by 1881, the West Shore found it advisable to buy out the Cornell-Coykendall
clique for nearly a million dollars, more than six times the price they
had paid just a few years before -- none of it, of course, shared with
the locals whose investment had been wiped out in the bankruptcy.
The Wallkill Valley thereafter settled down to existence
as a rural branch of the West Shore, with occasional interruptions as
various unsuccessful schemes were hatched for through routes to the
Pennsylvania coal fields or similar financial hijinks. It went into
the New York Central fold with the West Shore, and followed the gradual
decline of most such rural branches, losing passenger service in 1937,
running its last regular freight in 1977, and abandoned almost entirely
by Conrail, with the tracks coming up in 1983-84. Along the way, it
inherited a number of Ulster & Delaware 4-6-0's after NYC took over
the U&D in 1932, and enjoyed a moment of fame in 1952, when U&DRRHS
member the late Clark Bonesteel - then a NYC engineer - spotted a fire
in a nearby resort hotel in the early morning hours. Stopping his train
and leaning relent lessly on his air horns, Bonesteel succeeded in awakening
the sleeping hotel, and saving dozens of lives.
|