James J. Hill was born in 1838 in the small town of Eramosa Township in what-is-now Ontario. Due to a accident in his youth with an arrow, he was blinded in the right eye. While he had only nine years of formal schooling, he attended Rockwood Academy with much success. However, following the death of his father in 1852, he left school to begin working as a bookkeeper in Kentucky. After moving to St. Paul, Minnesota, Hill obtained work as a bookkeeper for a wholesale grocer. Eventually, he struck out on his own, providing wood to fuel Fort Snelling.
Hill's Early Business Success
In 1870, James J. Hill entered the steamboat business, with a strong emphasis on coal supply. By 1874, he had expanded his company at least five times, becoming a major political and financial force within the the fledgling St. Paul community. Hill specialized in buying bankrupt businesses, which he would rebuild and sell for large profits. The early success of the mogul was due mostly to his work ethic and competitiveness. One famous quote from Hill was, “Work, work hard, intelligent work and then more work.”
When the Panic of 1873 hit, Hill capitalized by purchasing the St. Paul and Pacific Railroad. He researched the industry and eventually expanded it with track rights with the Northern Pacific Railway. This was followed by a buyout of the Manitoba Railway Company in 1879. After consolidating these railways, he imported grans from Russia which he sold to farmers who homesteaded along his rails. By 1885, it was estimated that the net worth of the conglomerate was $25,000,000.
The Empire Builder
Despite run-ins with the federal government, James J. Hill continued to expand his empire. He continued developing railroads across Minnesota, Wisconsin, North Dakota and Montana. Hill then fought for rights to develop his company in territory owned by Native Americans. Despite an initial presidential veto, President Grover Cleveland eventually agreed to let him lay his track. The ultimate goal was the Great Northern Railway, a line of track leading from his home in St. Paul, Minnesota through the Rocky Mountains and ending in Seattle, Washington. This initiative became the first transcontinental railway built with no public assistance or land grants.
The End of an Era
Despite his financial and public success, James J. Hill suffered the same fate as many of his generation. With the coming of the 20th century, the Sherman Antitrust Act was put into place, dissolving much of the monopolies of the era, particularly the railroad industry.
Hill died at home on May 29, 1916, succeeded by his wife, who followed in 1922. His legacy includes the Great Northern Railway, heavy donations to a number of colleges and churches in St. Paul, the famous James J. Hill House and an impressive art collection.
Sources
Martin, Albro. James J. Hill and the Opening of the Northwest. New York: Oxford University Press, 1976. ISBN 0-19-502070-7
Malone, Michael P., James J. Hill: Empire Builder of the Northwest Norman, OK.: University of Oklahoma Press, 1996. ISBN 0-8061-2793-7
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