The year 1870 marked the beginning of a new and effective movement for the development of the National Capital. Washington was then a city of 109,199.

Great efforts to relocate the National Capital in some other city, preferably farther to the west, were made by some who were familiar with conditions in Washington. St. Louis offered to spend several millions of dollars for the erection of public buildings. Congress settled this agitation by appropriating $500,000 as an initial sum for the construction of the State, War, and Navy Building.

By an act of Congress approved February 21, 1871, a Territorial form of government, consisting of a governor, a board of public works, and a legislative assembly, was created. Alexander R. Shepherd, better known as “Boss” Shepherd, a native of Washington, was appointed a member of the board of public works and, later, governor of the new Territory.

Great projects were placed under way for the development of the city. One hundred and eighty of the 300 miles of half-made streets and avenues were improved, and nearly all the thickly settled streets of the city were paved with wood, concrete, or macadam; 128 miles of sidewalks were built and 3,000 gas lamps were installed. A general and costly system of sewers was begun. Old Tiber Creek was filled in, and the greatest nuisance of Washington thereby put out of sight. Scores of new parks were graded, fenced, and planted with trees and beautified by fountains. A special park commission was appointed for this work. It planted 60,000 trees, and a movement was thus begun which has given to Washington one of its most characteristic features. To-day there are 114,000 trees along street curbs because of the custom that has prevailed to plant trees along curbs when new streets are opened for traffic. Many of the small triangles for which Washington is noted were transformed from rubbish heaps into beautiful reservations and planted with trees. There were soon more paved streets here than in any other city of the country, and President Grant, in his message to Congress, said, “Washington is rapidly becoming a city worthy of the Nation’s Capital.”

However, the public took issue with Governor Shepherd, whose drastic measures paved the way for modern Washington. Bonds were issued to meet the expenses incurred by these improvements, taxes piled up to the point of confiscation, and Shepherd was banished from the city. Yet without the support of President Grant it would have been impossible for Governor Shepherd to have brought about those civic improvements for which he is remembered.

The Territorial form of government lasted three years, or until June 20, 1874, when Congress provided that a new form of municipal government with three commissioners appointed by the President, with the consent of the Senate, should be established in the District of Columbia. This, known as the temporary form of government, lasted until July 1, 1878, when the present form was established.