The method of taxation of railroad property adopted by the state is a very wise and just one. It imposes a tax of three per cent upon the gross earnings of the roads, which, in 1896, yielded the comfortable sum of $1,037,194.40, the gross earnings of all amounting to $36,918,741.71. This plan of taxation gives the state a direct interest in the prosperity of the roads, as its taxes are increased when business is good and the roads are relieved from oppressive taxation in time of business depression. The grading which was done and for which the bonds of the state were issued was, as a general thing, utilized in the final construction of the roads. THE SPIRIT LAKE MASSACRE. In 1842 the country north of Iowa and west of the Mississippi as far north as the Little Rapids, on the Minnesota river, was occupied by the M'day-wa-kon-ton and Wak-pe-ku-ta bands of Sioux. The Wak-pe-ku-ta band was at war with the Sacs and Foxes, and was under the leadership of two principal chiefs, named Wam-di-sapa (the "Black Eagle") and Ta-sa-gi. Wam-di-sapa and his band were a lawless, predatory set, whose depredations prolonged the war with the Sacs and Foxes, and finally separated him and his band from the Wak-pe-ku-tas. They moved west towards the Missouri, and occupied the valley of the Vermillion river, and so thorough was the separation that the band was not regarded as part of the Wak-pe-ku-ta when the latter, together with the M'day-wa-kon-tons, made their treaty with the government at Mendota in 1851. By 1857 all that remained of Wam-di-sapa's straggling band was about ten or fifteen lodges under the chieftainship of Ink-pa-du-ta, or the "Scarlet Point," or the "Red End." They had planted near Spirit lake, which lies partly in Dickinson county, Iowa, and partly in Jackson county, Minnesota, prior to 1857, and ranged the country from there to the Missouri, and were considered a bad lot of vagabonds. Between 1855 and 1857 a small settlement had sprung up about forty miles south of Spirit lake, on the In-yan-yan-ke or Rock river. In the spring of 1856 Hon. William Freeborn of Red Wing (after whom the county of Freeborn in this state is called) had projected a settlement at Spirit lake, which, by the next spring, contained six or seven houses, with as many families. About the same time another settlement was started some ten or fifteen miles north of Spirit lake, on the head waters of the Des Moines, and a town laid out which was called Springfield. In the spring of 1857 there were two stores and several families at this place.