THE WESTERN PACIFIC
BY THE 9TH SECTION of the Act of 1862, the Central Pacific Railroad Company was authorized to construct its railroad from the Pacific Coast, at or near San Francisco, or the navigable waters of the Sacramento River, to the eastern boundary of California, upon the terms and conditions and with all the advantages contained in the Act.
On December 4, 1862, the Central Pacific Railroad Company assigned to Timothy Dane and others the right to construct all that portion of the railroad and telegraph lying between the city of Sacramento and the city of San Francisco, which the said Central Pacific Railroad Company was authorized to construct by the Act of 1862, together with all the Central Pacific Company's rights, grants, donations, etc.1
This action of the Central Pacific Railroad Company is further explained by Collis P. Huntington in his testimony before the U. S. Pacific Railway Commission, volume 1, page 12:
When we [he and Judah] were in Washington, trying to get through the bill to give us aid, a certain party said that we must cut off our part at Sacramento and they must have the part between Sacramento and San Francisco, or else we must begin at San Francisco. . . . We consented. We commenced at Sacramento, and assigned that part of the road, as agreed to, to Charles McLaughlin,