It was a result of the cooperation between the public and the private sector. The private sector owners built things like railroads and public roads so they wanted to get money back through tolls and turnpikes. In return, they would pay taxes for money obtained this way and the states enjoyed this money and wasn't bothered by what was happening.
The federal government will not grant funds without a balanced budget...I think
In 1849 Californians sought statehood and after heated debate in the U.S Cogness arising out of slavery issue, California entered the union as a free, non slavery state by the compromise of 1850. California became the 31st state on September 9, 1850.
