Organization of railroads in the Minnesota Territory The Transit Railroad Company was chartered March 3, 1855, by the Minnesota Territorial Assembly and was required to complete the railroad by March 3, 1867. The
34th United States Congress passed a land grant act to the Territory of Minnesota for the purpose of constructing railroads on March 3, 1857. The other three railroads were: • The Minnesota and Pacific (a predecessor of the
Great Northern railroad, eventually to be the St. Paul and Pacific) • Root River and Southern Minnesota (the predecessor of the
Chicago, Milwaukee and St. Paul Railway Southern Minnesota line), as well as the Minnesota Valley line (predecessor of the
Omaha Road ) • Minnesota and Cedar Valley (later the
Minnesota Central Railway, the predecessor of the CStP&M line from Saint Paul to Austin) The four railroads received land sections designated by odd numbers in width on the side of the roads and their branches. The Transit Railroad received $500,000 in bonds (). It was unable to complete the venture of selling stock to start work. The financial
Panic of 1857 saw railroad stock values peak and credit dry up. The Transit company forfeited its property to the newly formed State of Minnesota in 1860. The Transit Railroad Company was sold on June 23, 1860, and reorganized as the Winona and St. Peter Railroad Company. Little construction was accomplished until after end of the
American Civil War.
Operating by 1862 The St. Paul and Pacific line, which had received the old Minnesota and Pacific charter, completed its line from Saint Paul to St. Anthony in 1862.
Chicago and Northwestern investment In 1867 the Chicago and Northwestern Railway Company purchased the controlling shares in the Winona and St Peter. The La Crosse, Trempealeau & Prescott, another enterprise of the C&NW, chartered to build from a point across the river from Winona to connect with the Chicago, Milwaukee and St. Paul railroad at
Winona Junction in Wisconsin near La Crosse. This connection allowed through railroad traffic from Chicago into Southern Minnesota, without having to ferry cars. The swing span for the bridge was opened in May 1871.
Completion of planned route The Winona and St. Peter also continued to lay tracks across southern
Minnesota and into
Dakota Territory. The completion of the
Baraboo Air Line Railroad between Madison and Winona Junction meant that the C&NW had a through route from Chicago to South Dakota on home rails. ==Legacy==