Alfred Holland Smith
Encyclopedia
Alfred Holland Smith was the President of New York Central Railroad
New York Central Railroad
The New York Central Railroad , known simply as the New York Central in its publicity, was a railroad operating in the Northeastern United States...

 from January 1914 to May 1918 and from June 1919 until his death. The entirety of Smith's forty-five year career was dedicated to the railroads. He started his career as a messenger boy at the age of fourteen, earning 4 dollars a week, and became the highest-paid railroad manager in the U.S., receiving an annual salary of more than $100,000 according to one survey.

After the American entry into World War I
American entry into World War I
American entry into World War I came in April 1917, after 2½ years of efforts by President Woodrow Wilson to keep the United States neutral. Americans had no idea that a war was approaching in 1914...

, Smith joined the federal service as the Eastern Director of the United States Railroad Administration
United States Railroad Administration
The United States Railroad Administration was the name of the nationalized railroad system of the United States between 1917 and 1920. It was possibly the largest American experiment with nationalization, and was undertaken against a background of war emergency.- Background :On April 6, 1917, the...

 and temporarily assumed control over the largest pool of railroads in U.S. history, carrying one half of the nation's freight. He successfully alleviated traffic congestion and the buildup of Europe-bound cargoes in the docks.

Smith spoke and acted in favor of government-sponsored consolidation of American, Canadian and Cuban railroads into larger corporations but opposed direct nationalization
Nationalization
Nationalisation, also spelled nationalization, is the process of taking an industry or assets into government ownership by a national government or state. Nationalization usually refers to private assets, but may also mean assets owned by lower levels of government, such as municipalities, being...

 of railroads. Smith's last full year with the New York Central Railroad, 1923, was the company's most successful year. On March 8, 1924, before the record profit numbers were published, Smith was killed in a horse riding accident in Central Park
Central Park
Central Park is a public park in the center of Manhattan in New York City, United States. The park initially opened in 1857, on of city-owned land. In 1858, Frederick Law Olmsted and Calvert Vaux won a design competition to improve and expand the park with a plan they entitled the Greensward Plan...

.

Lake Shore and Michigan Southern

Smith was a fifth child in a family. Alfred was fourteen years old when his father died; instead of completing high school and going to college, he had to drop out of school and take care of himself. His first job, that of a messenger boy for the Lake Shore and Michigan Southern Railway
Lake Shore and Michigan Southern Railway
The Lake Shore and Michigan Southern Railway, sometimes referred to as the Lake Shore, was a major part of the New York Central Railroad's Water Level Route from Buffalo, NY to Chicago, primarily along the south shore of Lake Erie and across northern Indiana...

 offices in Cleveland, paid four dollars a week. Promotions within the office did not encourage him enough, and five years later Smith transferred to a railroad construction crew in Toledo, Ohio
Toledo, Ohio
Toledo is the fourth most populous city in the U.S. state of Ohio and is the county seat of Lucas County. Toledo is in northwest Ohio, on the western end of Lake Erie, and borders the State of Michigan...

 area, paid $1.50 a day. The change from an office job to physical work was not easy for Smith, but he eventually developed "a physique which was the marvel of railroad men who learned their job only in the office." Later in life his associates noted that Smith "did not know the meaning of the word fatigue."

Smith's proficiency in both physical labor and clerical work led to his promotion to a foreman
Construction foreman
A construction foreman is the worker or tradesman who is in charge of a construction crew. While traditionally this role has been assumed by a senior male worker, the title in the modern sense is gender non-specific in intent...

. In 1890, after eleven years with Lake Shore and Michigan, he became a superintendent for Kalamazoo, Michigan
Kalamazoo, Michigan
The area on which the modern city stands was once home to Native Americans of the Hopewell culture, who migrated into the area sometime before the first millennium. Evidence of their early residency remains in the form of a small mound in downtown's Bronson Park. The Hopewell civilization began to...

 division. He spent the 1890s supervision different construction teams of Lake Shore and Michigan, and in 1901 became the principal construction superintendent for the railroad, based in Cleveland.

Career in New York Central

In 1902 Smith transferred to New York Central & Hudson River Railroad (a division of New York Central Railroad
New York Central Railroad
The New York Central Railroad , known simply as the New York Central in its publicity, was a railroad operating in the Northeastern United States...

) as General Superintendent. In the next year he became General Manager for this division. In 1912, after nine years of service and a few career moves Smith was appointed VP for New York Central Lines east and west of Buffalo
Buffalo, New York
Buffalo is the second most populous city in the state of New York, after New York City. Located in Western New York on the eastern shores of Lake Erie and at the head of the Niagara River across from Fort Erie, Ontario, Buffalo is the seat of Erie County and the principal city of the...

. On January 1, 1914 Smith succeeded William C. Brown as the President of the company. His first reign as the President was marked by the reconstruction of the subordinate lines of New York Central and bringing these troubled lines to profitability.

Advisor to Canada

On July 13, 1916, Smith, Henry Lumley Drayton
Henry Lumley Drayton
Sir Henry Lumley Drayton, PC was a Canadian lawyer and politician.Born in Kingston, Ontario, the son of Philip Henry Drayton, who came to Canada with the 16th Rifles of England, and Margaret S. Covernton, Drayton was educated in the schools of England and Canada. He was called to the Ontario Bar...

 and William Mitchell Acworth were appointed to the Royal Commission formed by the Governor General of Canada
Governor General of Canada
The Governor General of Canada is the federal viceregal representative of the Canadian monarch, Queen Elizabeth II...

 to examine Canada
Canada
Canada is a North American country consisting of ten provinces and three territories. Located in the northern part of the continent, it extends from the Atlantic Ocean in the east to the Pacific Ocean in the west, and northward into the Arctic Ocean...

's railway system. The three commissioners agreed on their assessment of preexisting conditions, that of excessive government aid and over-development of railway lines that undermined their performance, but split on the future role of the government in reforming the system. Drayton and Acworth called for the nationalization
Nationalization
Nationalisation, also spelled nationalization, is the process of taking an industry or assets into government ownership by a national government or state. Nationalization usually refers to private assets, but may also mean assets owned by lower levels of government, such as municipalities, being...

 of three principal Canadian railroads (Grand Trunk Railway
Grand Trunk Railway
The Grand Trunk Railway was a railway system which operated in the Canadian provinces of Quebec and Ontario, as well as the American states of Connecticut, Maine, Michigan, Massachusetts, New Hampshire, and Vermont. The railway was operated from headquarters in Montreal, Quebec; however, corporate...

, Grand Trunk Pacific Railway
Grand Trunk Pacific Railway
The Grand Trunk Pacific Railway was a historical Canadian railway.A wholly owned subsidiary of the Grand Trunk Railway , the GTPR was constructed by GTR using loans provided by the Government of Canada. The company was formed in 1903 with a mandate to build west from Winnipeg, Manitoba to the...

 and Canadian Northern Railway
Canadian Northern Railway
The Canadian Northern Railway is a historic Canadian transcontinental railway. At its demise in 1923, when it was merged into the Canadian National Railway , the CNoR owned a main line between Quebec City and Vancouver via Ottawa, Winnipeg, and Edmonton.-Manitoba beginnings:CNoR had its start in...

) and argued that the expense of tax dollars was in the best interest of the Canadian nation. They insisted on separation of business from politics through an elaborate corporate government scheme.

Smith opposed nationalization. His 1917 minority report noted that no legal safeguard can prevent the parliament from changing its mind and taking direct control of the nationalized assets. Smith analyzed each railroad and found that each one had a healthy, profitable component. He advised stripping the railroads of redundant, loss-making lines through exchange or closure: "The scrap heap is frequently the most economical disposition available for inefficient plant and machinery." The role of the government, wrote Smith, must be limited to that of a regulator and a clearing house
Clearing house (finance)
A clearing house is a financial institution that provides clearing and settlement services for financial and commodities derivatives and securities transactions...

. Smith's plan, "in all probability, would have saved the country a great many millions of dollars" but the government of Canada settled for nationalization along the lines of Drayton-Acworth report.

Federal service

In the very end of 1917 William Gibbs McAdoo
William Gibbs McAdoo
William Gibbs McAdoo, Jr. was an American lawyer and political leader who served as a U.S. Senator, United States Secretary of the Treasury and director of the United States Railroad Administration...

, head of the United States Railroad Administration
United States Railroad Administration
The United States Railroad Administration was the name of the nationalized railroad system of the United States between 1917 and 1920. It was possibly the largest American experiment with nationalization, and was undertaken against a background of war emergency.- Background :On April 6, 1917, the...

, appointed Smith as Assistant Director for the north-eastern quadrant of the United States (east of Chicago
Chicago
Chicago is the largest city in the US state of Illinois. With nearly 2.7 million residents, it is the most populous city in the Midwestern United States and the third most populous in the US, after New York City and Los Angeles...

 and north of the Ohio
Ohio River
The Ohio River is the largest tributary, by volume, of the Mississippi River. At the confluence, the Ohio is even bigger than the Mississippi and, thus, is hydrologically the main stream of the whole river system, including the Allegheny River further upstream...

 and the Potomac
Potomac River
The Potomac River flows into the Chesapeake Bay, located along the mid-Atlantic coast of the United States. The river is approximately long, with a drainage area of about 14,700 square miles...

 rivers); in January 1918 Smith became Director of Eastern District of the Federal Railroad Administration
Federal Railroad Administration
The Federal Railroad Administration is an agency in the United States Department of Transportation. The agency was created by the Department of Transportation Act of 1966...

. He did not formally resign as President of the New York Central until requested by McAdoo in May 1918. According to The New York Times
The New York Times
The New York Times is an American daily newspaper founded and continuously published in New York City since 1851. The New York Times has won 106 Pulitzer Prizes, the most of any news organization...

, Smith had consolidated the largest pool of railroads in the United States history to this date, which carried over half of national freight tonnage over 80,000 miles of main lines
Main line (railway)
The Mainline or Main line of a railway is a track that is used for through trains or is the principal artery of the system from which branch lines, yards, sidings and spurs are connected....

.

In 1917 the railroad system faced a severe freight congestion, aggravated by shortage of coal and a streak of bad weather. Smith, as a federal administrator, had to untie the congestion that threatened to halt shipping in the Eastern states and resupply of the American Expeditionary Forces. Smith imposed a temporary embargo
Embargo
An embargo is the partial or complete prohibition of commerce and trade with a particular country, in order to isolate it. Embargoes are considered strong diplomatic measures imposed in an effort, by the imposing country, to elicit a given national-interest result from the country on which it is...

 on new shipments, which reduced the pressure on the system. On the receiving end he imposed heavy demurrage
Demurrage
The term demurrage originated in vessel chartering and refers to the period when the charterer remains in possession of the vessel after the period normally allowed to load and unload cargo . By extension demurrage refers to the charges that the charterer pays to the shipowner for its extra use of...

 penalties against idle cargoes that clogged rolling stock and marshalling yards
Classification yard
A classification yard or marshalling yard is a railroad yard found at some freight train stations, used to separate railroad cars on to one of several tracks. First the cars are taken to a track, sometimes called a lead or a drill...

. As a practical railroad man he persuaded the Federal Government to abolish its priority order system which, in his opinion, was the major contributor to congestion.

Another problem, that of Europe-bound ships waiting too long at the piers for their cargoes, was solved by a mandatory policy of forming unit train
Unit train
A unit train, also called a block train, is a railway train in which all the cars making it up are shipped from the same origin to the same destination, without being split up or stored en route...

s and a takeover of private piers by federal authority. When the ice in New York Harbor
New York Harbor
New York Harbor refers to the waterways of the estuary near the mouth of the Hudson River that empty into New York Bay. It is one of the largest natural harbors in the world. Although the U.S. Board of Geographic Names does not use the term, New York Harbor has important historical, governmental,...

 put the system on the verge of collapse, Smith successfully persuaded the United States Navy to break all regulations and send its ships to clear the harbour. He dispatched harbor tugs to clear the Kill Van Kull
Kill Van Kull
The Kill Van Kull is a tidal strait between Staten Island, New York and Bayonne, New Jersey in the United States. Approximately long and wide, it connects Newark Bay with Upper New York Bay. The Robbins Reef Light marks the eastern end of the Kill, Bergen Point its western end...

, personally hired icebreaking steamer SS Florizel
SS Florizel
SS Florizel, a passenger liner, was the flagship of the Bowring Brothers' Red Cross Line of steamships and one of the first ships in the world specifically designed to navigate icy waters. During its last voyage, from St...

 and guaranteed its insurance risks out of his own pocket.

Return to New York Central

On June 1, 1919 Smith was reelected President of the New York Central. His first job was to supervise transfer of assets from the federal government back to private ownership. During and after the Great Railroad Strike of 1922
Great Railroad Strike of 1922
The Great Railroad Strike of 1922 was a nationwide railroad shop workers strike in the United States. The action began on July 1 and was the largest railroad work stoppage since 1894.-History:...

 he negotiated labor dispute directly with the unions, "virtually ignoring" the Railroad Labor Board, the intermediary whose actions provoked the strike.

Smith approved the improvements brough by the Transportation Act of 1920, but spoke against any further restriction by the government. He, however, welcomed the new plans to consolidate smaller railroads under control of New York Central and in the end of 1923 actually consolidated operations of the Lehigh Valley Railroad
Lehigh Valley Railroad
The Lehigh Valley Railroad was one of a number of railroads built in the northeastern United States primarily to haul anthracite coal.It was authorized April 21, 1846 in the U.S. state of Pennsylvania and incorporated September 20, 1847 as the Delaware, Lehigh, Schuylkill and Susquehanna Railroad...

, the Erie Railroad
Erie Railroad
The Erie Railroad was a railroad that operated in New York State, New Jersey, Pennsylvania, Ohio, Indiana, and Illinois, originally connecting New York City with Lake Erie...

 and the New York, Ontario and Western Railway
New York, Ontario and Western Railway
The New York, Ontario and Western Railway, more commonly known as the O&W or NYO&W, was a regional railroad with origins in 1868, lasting until March 29, 1957 when it was ordered liquidated by a US bankruptcy judge. The O&W holds the distinction of being the first major U.S...

 over the Belt Line 13 in New Jersey
New Jersey
New Jersey is a state in the Northeastern and Middle Atlantic regions of the United States. , its population was 8,791,894. It is bordered on the north and east by the state of New York, on the southeast and south by the Atlantic Ocean, on the west by Pennsylvania and on the southwest by Delaware...

. A critical observer from The New Republic
The New Republic
The magazine has also published two articles concerning income inequality, largely criticizing conservative economists for their attempts to deny the existence or negative effect increasing income inequality is having on the United States...

wrote about Smith's take on the federal effort to optimize the system: "Mr. Smith's ideas, boiled down, show a maximum of thought about New York Central and a minimum, and a very small one at that, about the consolidation scheme – whether it is sound or unsound, right or wrong." Smith the competitor was noted for his fierce rivalry with the Pennsylvania Railroad
Pennsylvania Railroad
The Pennsylvania Railroad was an American Class I railroad, founded in 1846. Commonly referred to as the "Pennsy", the PRR was headquartered in Philadelphia, Pennsylvania....

 and for his business alliance with the Cleveland-based Van Sweringen brothers
Van Sweringen brothers
Oris Paxton Van Sweringen and Mantis James Van Sweringen were brothers who became railroad barons in order to develop Shaker Heights, Ohio. They are better known as O.P. Van Sweringen and M.J. Van Sweringen, or by their collective nickname, the Vans...

.

In the beginning of 1924 Smith spent several weeks in Cuba
Cuba
The Republic of Cuba is an island nation in the Caribbean. The nation of Cuba consists of the main island of Cuba, the Isla de la Juventud, and several archipelagos. Havana is the largest city in Cuba and the country's capital. Santiago de Cuba is the second largest city...

 inspecting the Cuban railroads
Ferrocarriles de Cuba
Ferrocarriles de Cuba or Ferrocarriles Nacionales de Cuba , the only railway operating in the Caribbean islands, provides passenger and freight services for Cuba.-Route Network:...

 that were being consolidated into a single corporation under the Tarafa Bill. Smith was to be appointed Chairman of the Board of the new Cuban company. His own railroad showed strong performance, and the 1923 turned out its best year ever. According to the annual report authored by Smith and released after his death, net income in 1923 increased by 120% compared to 1922. The gain was attributed to an increase in sales, mostly for freight transportation. Smith also elaborated on three investment projects: the proposed acquisition of the Central Railroad of New Jersey
Central Railroad of New Jersey
The Central Railroad of New Jersey , commonly known as the Jersey Central Lines or CNJ, was a Class I railroad with origins in the 1830s, lasting until 1976 when it was absorbed into Conrail with the other bankrupt railroads of the Northeastern United States...

, the already one-half completed Castleton cut-off
Castleton-on-Hudson, New York
Castleton-on-Hudson is a village located in the southwestern part of the town of Schodack in Rensselaer County, New York. The population was 1,619 at the 2000 census. The village is southeast of Albany, New York.- History :...

, and the future redevelopment of Manhattan
Manhattan
Manhattan is the oldest and the most densely populated of the five boroughs of New York City. Located primarily on the island of Manhattan at the mouth of the Hudson River, the boundaries of the borough are identical to those of New York County, an original county of the state of New York...

's West Side Line
West Side Line (NYCRR)
The West Side Line, also called the West Side Freight Line, is a railroad line on the west side of the New York City borough of Manhattan. North of Penn Station, from 34th Street, the line is used by Amtrak passenger service heading north via Albany to Toronto, Montreal and Chicago...

 in line with the 1923 Kaufman Act
Kaufman Act
The Kaufman Electrification Act of 1923, enacted by the New York State Assembly, mandated electrification of all railroads in New York City by January 1, 1926. The bill was sponsored by recently elected Republican Assemblyman Victor R. Kaufman and signed by Governor Al Smith on June 2, 1923...

.

Smith's full-length portrait was painted by the Swiss-born American artist Adolfo Muller-Ury
Adolfo Müller-Ury
Adolfo Muller-Ury was a Swiss-born American portrait painter and impressionistic painter of roses and still life.-Heritage and early life in Switzerland:...

 (1862–1947) together with that of his grand-daughter Charlotte, a horse and dog, at the end of 1921 and early 1922, and was intended for an overmantel at his mansion at Chappaqua.

Death

According to the New York Times obituary, "horseback riding was Mr. Smiths's hobby and practically his only form of outdoor exercise ... He liked golf, tennis and baseball but did not have enough time" for these sports.

In the afternoon of March 8, 1924, Smith and his freight manager Edward Hoopes mounted their horses for a regular ride through the Central Park
Central Park
Central Park is a public park in the center of Manhattan in New York City, United States. The park initially opened in 1857, on of city-owned land. In 1858, Frederick Law Olmsted and Calvert Vaux won a design competition to improve and expand the park with a plan they entitled the Greensward Plan...

. Both were expert riders and regular companions. They started from Smith's residence at the Plaza Hotel
Plaza Hotel
The Plaza Hotel in New York City is a landmark 20-story luxury hotel with a height of and length of that occupies the west side of Grand Army Plaza, from which it derives its name, and extends along Central Park South in Manhattan. Fifth Avenue extends along the east side of Grand Army Plaza...

 and rode together for more than two hours; Smith had already changed his mount. The two were riding near the 67th Street intersection when a woman on a horse crossed into their path. According to Hooper's testimony Smith pulled sharply on the reins, lost his balance, grabbed the horses's neck and fell on the ground head-on. The woman left the scene, her name remained unknown. Hoopes, unaware that the neck injury
Cervical fracture
A cervical fracture is commonly called a broken neck. There are seven cervical vertebrae in the human neck, and the fracture of any can be catastrophic. The most common causes are traffic accidents or diving into shallow water...

 was fatal, rushed to Smith and screamed for help. Another woman volunteered to drive Smith to the Fifth Avenue Hospital. He was pronounced dead on arrival
Dead on arrival
Dead on arrival or D.O.A. is a term used to indicate that a patient was found to be already clinically dead upon the arrival of professional medical assistance, often in the form of first responders such as emergency medical technicians, paramedics, or police...

; the doctors believed that the death was instant or practically instant. Smith was survived by his widow and son Emory, who had a ten-year-old daughter.

Memorial services for Smith were held at his estate in Chappaqua
Chappaqua, New York
Chappaqua is a hamlet and census-designated place in northern Westchester County, New York. As of the 2010 census, following a major revision to the delineation of its boundaries by the Census Bureau, the population was 1,436...

 and at the Saint Thomas Church on the 53rd Street
53rd Street (Manhattan)
53rd Street is a midtown cross street in the New York City borough of Manhattan, that contains buildings such as the Citicorp Building. It is 1.83 miles long. The street runs westbound from Sutton Place across most of the island's width, ending at DeWitt Clinton Park at Eleventh Avenue...

. Police commissioner Enright, Smith's long-time friend, provided motorcycle escorts to the funeral motorcade. Smith was buried at the Kensico Cemetery
Kensico Cemetery
Kensico Cemetery, located in Valhalla, Westchester County, New York, was founded in 1889, when many New York City cemeteries were becoming full, and rural cemeteries were being created near the railroads which served the city...

 in Valhalla, New York
Valhalla, New York
Valhalla is an unincorporated hamlet and census-designated place that is located within the town of Mount Pleasant, New York, in Westchester County. Its population was 3,162 at the 2010 U.S. Census...

.
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