e which had escaped capture as blockade runners had been
subsequently destroyed or were worn out.. Postal facilities, which had
been poor enough during the last year of the Confederacy, were entirely
lacking for several months after the surrender.

The railways were in a state of physical dilapidation little removed
from destruction, save for those that had been captured and kept in
partial repair by the Federal troops. The rolling stock had been lost
by capture, by destruction to prevent capture, in wrecks, which were
frequent, or had been worn out. The railroad companies possessed large
sums in Confederate currency and in securities which were now valueless.
About two-thirds of all the lines were hopelessly bankrupt. Fortunately,
the United States War Department took over the control of the railway
lines and in some cases effected a temporary reorganization which could
not have been accomplished by the bankrupt companies. During the summer
and fall of 1865, "loyal" boards of directors were appointed for most
of the railroads, and the army withdrew its control. But repairs
and reconstruction were accomplished with difficulty because of the
demoralization of labor and the lack of funds or credit. Freight was
scarce and, had it not been for government shipments, some of the
railroads would have been abandoned. Not many people were able to
travel. It is recorded that on one trip from Montgomery to Mobile
and return, a distance of 360 miles, the railroad which is now the
Louisville and Nashville collected only thirteen dollars in fares.

Had there been unrestricted commercial freedom in the South in 1865-66,
the distress of the people would have been somewhat lessened, for here
and there were to be found public and private stores of cotton, tobacco,
rice, and other farm products, all of which were bringing high prices
in the market. But for several months the operation of wartime laws
and regulations hindered the distribution of even these scanty stores.
Property upon which the Confederate Government had a claim was, of
course, subject to Confiscation, and private property offered for sale,
even that of Unionists, was subject to a 25 percent tax on sales, a
shipping tax, and a revenue tax. The revenue tax on cotton, ranging from
two to three cents a pound during the three years after the war, brought
in over $68,000,000. This tax, with other Federal revenues, yielded much
more than the entire expenses of reconstruction fro