it was faster than carts pulled by draft animals and cut transport costs by about 95%. the canal gave new york city's port a large advantage over all other u.s. port cities and ushered in the state's 19th century political and cultural ascendancy. the canal fostered a population surge in western new york and opened regions farther west to settlement. though the erie canal and associated feeders were highly successful for several years after opening, overbuilding and the panic of 1837 marked the end of highly profitable years. increased competition from railroads and other canals further contributed to decline in profits. in 1851, contracts under the $9 million act were divided among democratic and whig contractors. in 1854, a board of three commissioners was established to award contracts for the maintenance and repair of the canal.