more VGN AFE's

NW Mailing List nw-mailing-list at nwhs.org
Thu Apr 3 13:56:00 EDT 2008


AFE's are common on all US railroad and are a result of the ICC's ruling in 1915 that freight rates were to be based on the value of the railroads property (Thus is common to call much of this stuff Valuation records.) Those of us who have worked with this material refer to the ICC ruling as the "Accountants and Attorneys Full Employment Act of 1915)

The RR's were required to document the value (cost) of their property. The higher the value - the higher the rate they were allowed to charge. Naturally the RR's wanted to maximize their rates so they tried to maximize the value of their property (buildings, rolling stock, locomotives, ballast etc.) The gov'ies naturally assumed that big business would puff or inflate or cook their books to achieve their higher desired number. Therefore the gov'ies (in the opinion of RR management) low balled the numbers provided to them.

The result was tons of documentation and a centuries worth of hearings and litigation between each RR and the ICC. Great for accountants, lawyers and railroad researchers of the 21st century.

The records left behind begin in 1916 and one of the most valuable are the Valuation studies conducted by independent teams of engineers and accountants. EVERY structure (including outhouses) was measured and general plans and often side elevations were made. Inventory of everything, yes everything, were also included. Usually a photograph was included of every major structure and bridge etc. In the Archives at Roanoke we possess the entire collection of N&W studies, including photographs from 1916. The VGN records have most of the studies but NO photos from these surveys.

In order to keep an accurate and up to date accounting of the value of the road, the AFE process was institued and a Valuation Dept was established to keep track of every improvement and retirement of equipment. The manager of this department was an important figure.

The AFE process could begin with field personnel submitting requests for new or better equipment or services. This paperwork flowed up through the approval process and was either rejected or approved. The project was tracked and upon completion the Valuation department updated the NUMBER. Often in the VGN's case, the researcher noticed that the project completion date was often months before the AFE approval date. Apparently field personnel were yet to be convinced of the important of proper paperwork. Often there are small location drawings included and rarely more detailed drawings. One in awhile manufacturers documents are in the file.

Serendipity often ruled. One AFE was to spend $50 for office equipment while another was for millions to construct the Guyandotte River Branch. Of the 5000 in NWHS possession their sources vary. It appears that we received them in 1000 (or so) lots. Some from MOW offices, some from the engineers office, some from the valuation dept. and other odd lots and ends. Some are chock full of stuff and some are single sheets of paper with the AFE title and some signatures and dates.

For the VGN enthusiast their value was immense because it is only recently that other material and drawings have come to light. Not too many years ago this AFE collection was literally all that was in the public record. As the NWHS Archives grew, both in collection size and stature (thanks Jim G. and all others) it became the magnet for all large VGN collections. Today Roanoke houses all the early Deepwater, Tidewater and VGN accounting books, all VGN property records (all property sales agreements including AJ Mullins), many locomotive maintinance records as well as a document labled "RFP".

These RFP's are some of the most valuable items in the VGN collection because they begin in 1905 and are the Request for Proposal letters on every major construction project. Roadbed, bridges, stations and most have the original drawings included. (Some archive volunteers call this material Contract Acceptance files). Many have the losers bid included and there are many many manufactures drawings, specifications and promo literature attached. There are few documents relating to progress, performance nor monies spent after the contract date in these files).

Tracking the AFE's and RFP's allows the researcher to follow along on the railroads issues and progress without even seeing the material. The Archives sells the VGN Reference CD - http://www.nwhs.org/commissary/cd.html
which includes all 9000 AFE's in a searchable spreadsheet, along with all 800 or so RFP's in the collection (the RFP list was recently updated and the CD will soon follow with that update). Another tool is the Society's searchable database available on line.

Even better, come to the Archive work sessions and get yourself really musty and dusty. You will learn a lot.

Tom Salmon




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