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Journal of William Maclay/Second Session of the First Congress/The Funding Bill

16
June 16th. — I early called this morning at Colonel Hartley's lodgings in order to give him a sketch of what I thought might be well enough for us to sign. He was gone, but I fell in with him at the Hall and delivered it to him.

I sauntered about till Congress formed, and now we got at the Funding bill. Here we had all the stuff over again of public credit, etc. The great question was whether the report of the committee for four per cent should be adopted. I soon committed myself in such sort that I must expect all the public creditors to be my enemies. The great ground that I took was, that I did not believe we could impose any direct taxes on our constituents for a purpose which they knew as well as I did; that the holders of certificates in Pennsylvania had them funded when they were but 2s. 6d. on the pound; that £100 purchased £800; that they had drawn interest on the nominal amount for four years, equal to £192. Justice and law allowed them but £124; hence they had £68 clear already, and the certificates into the bargain, etc.

I was up a long time. Mr. Morris rose against the report. His collar fairly choked him. He apologized to the House that his agitation had deprived him of his recollection on the subject, and he sat down. He rose again some little time before the Senate adjourned, mentioned his late confusion, but declared it did not arise from the personal interest he had in public securities; that, although he was possessed of some, he was no speculator, etc. I wish he had not made this last apology, for I fear it fixed the matter deeper on him.

We spent until past three o'clock, but took no question; and, indeed, it seemed almost agreed that we would not proceed without the other bill.

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June 17th. — Spent this morning, before the meeting of the Senate, in calling on Mr. Coxe for the papers in the case of McCord, and at the office of the Secretary of State on Mr. Bailey's affair.

The Senate met, and until near two o'clock we were engaged on the subject of consuls and vice-consuls. The grand question was, whether foreigners were eligible to those offices. It was admitted that they were, and a number accordingly appointed. When I came home to dinner, the Speaker told me that a bill was proposed in the House of Representatives for giving them salaries. Thus it is that we are led on, little by little, to increase the civil list; to increase the mass of public debt, and, of course, the taxes of the public. This, however, is all of a piece with former management from the offices.

The Funding bill was now called for. Butler repeated the same things he had said yesterday. But now up rose Patterson with a load of notes before him. To follow him would be to write a pamphlet, for he was up near an hour. Near the beginning he put a question: "What principle shall we adopt to settle this business? If we follow Justice, she says three per cent or even two is as much as the holders of certificates can demand. But what says law? — six per cent," and he was a summum jus man to the end of the chapter. It was near three when he had done.

I felt an impatience to attack him, and up I got. At first exploded a doctrine which he had stated of Congress being a party and the claimants another. I stated the people at large as being the debtors and the holders the creditors, and Congress the umpire — the Legislature between them. I then stated his two principles of justice and law; declared myself an adherent of the former. Law was the rule for courts and magistrates in the execution of their offices, but justice was our guide, and had been the guide of all just legislation from the Jewish jubilee to the present day; that even in law it was a maxim that rigid law was rigid injustice. Hence the necessity of courts of chancery expressly for mitigating the severity of unjust contracts. I repeated his own words of "three per cent — perhaps two per cent" being the voice of Justice. If, then, the point of justice stands at three per cent, or if at two per cent, all beyond that point is injustice to whom? To the very people whose interests it is our bounden duty to support and protect. I reprobated his position even with acrimony as the Shylock doctrine of "my bond, my bond."

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June 18th. — We went early to the Hall, as I was on two committees this morning — the one the case of one Twining, the other McCord's. We spent a considerable space of time on Twining's affair, which to me did not seem a just subject of legislation. I then joined the committee on McCord's case.

This was truly one in which Compassion mingled herself with Justice. The generals, Thomson, Irvine, and others, had received effects from him in Canada in the year 1776. They gave him a bill which was never paid. The Auditor and Comptroller settled the sum due on this bill, $809.71. He had suffered greatly in Canada: had his house burned; took our Continental money to a considerable amount as specie, which he produced to us to the amount of $1,200 or $1,300; advanced money and goods to many people who now refuse to pay him, and many of them he can not find. All these things are indubitable. I had no difficulty in allowing him the $809.71 in ready money, in lieu of a certificate, but anything more I seemed to feel a difficulty in. Lands had been set apart by the old Congress to make compensation for Canadian sufferers. We reported the $809.71, and left a blank for the value of his lands. The Senate filled the blank with $500. My heart would not let me rise against the motion. Though it is a trifle to his sufferings, yet how many hundreds of our own people suffer equal distress!

Up now came the Funding bill. Butler railed at Elsworth. Elsworth talked back. There really was no entertainment. No man ever rambled or talked more at random than Butler. He is ever quoting authors on trade, finance, etc., ever repeating what he has seen in Europe. This day he asserted that the circulating coin of Great Britain was three hundred millions. Authors (if I remember right) place it at about sixteen. There really was nothing new. Some were pressing for the question, but it was postponed generally.

I received a letter from Dr. Rush and a newspaper containing a mutilated publication of the piece which I had sent to him on the subject of Federal residence. He has left out many of what I consider as the best arguments, and very improperly reduced the arguments drawn from the mileage one half by his miscalculations. But I really never was served otherwise.

This evening Mr. Morris and Mr. Fitzsimons called on us. Hamilton had been with them again. Never had a man a greater propensity for bargaining than Mr. Morris. Hamilton knows this, and is laboring to make a tool of him. He affects to tell Mr. Morris that the New England men will bargain to fix the permanent seat at the Potomac or at Baltimore. Mr. Fitzsimons counted all the members who it was likely would vote for such a measure, and the conclusion was that no such measure could be carried by them.

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June 19th. — Attended at ten o'clock at the Hall on Mr. Twining's bill. The committee heard all the witnesses produced.

We then walked to view the demolitions of Fort George; the leaden coffins and remains of Lady and Lord Bellamont, now exposed to the sun after an interment of about ninety years. They and many more had been deposited in vaults in a chapel which once stood in the fort. The chapel was burned down about fifty years ago and never rebuilt. The leveling of the fort and digging away the foundations have uncovered the vaults.

The talk of the day is the death of one Tilfair, from Georgia, who this morning cut his throat with a razor. A negro boy who waited on him has manifested marks of astonishing attachment. 'Tis said he was separated from the dead body by force, and restrained with difficulty from committing violence on himself.

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June 20th, Sunday. — I spent the most of this day at home, finishing some letters; read occasionally. In the evening I went to see Mrs. Bell. She proposed to walk, and offered to come and see Mrs. Muhlenberg. I set out with her, but she knew almost everybody we met. A Mrs. Somebody joined us and made us gad over almost the whole town to visit somebody body else. We, however, parted with our adventitious comrade and performed our first tour. This does not deserve notice only for what Mrs. Bell mentioned, as the subject of the removal of Congress from this place was her constant theme. She took occasion to tell me that Mr. Morris was not sincerely attached to the Pennsylvania interest on that subject; that his commercial arrangements were calculated for this place [New York]; that the Yorkers depended on him, but were lately staggered by an oath which it was said he had sworn that he would have Congress away. I endeavored to persuade myself that Mr. Morris was now in earnest, and the Yorkers would find him so, etc. Yet I had my own thoughts on the subject. Mrs. Bell replied that he may have good reasons now to wish for popularity in Pennsylvania.

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June 21st. — Attended at the Hall early on the bill for remitting certain penalties to one N. Twining. The Senate met. I observed a strangeness of disposition in the House the moment, or rather a few moments, after the minutes were read. Patterson moved to adjourn. Schuyler seconded. This was lost. It was now moved to take up the vote of the House of Representatives for fixing the time of adjournment. This was agreed to, and King, Bassett, and Walker appointed on our part to confer. Izard now rose; said there was something to put on the minutes, and renewed the motion for adjournment. Seconded by Patterson. This was lost.

And now the Funding bill was taken up. We had a great deal of the old ground gone over again. King received a note; rose and moved that the Funding bill should be postponed, as the House of Representatives had negatived the bill for the ways and means. He was seconded by Schuyler. We had now a long, desultory kind of debate whether the bill should be postponed. It was not postponed. Now the debates on the merits of the bill. The question was whether all the alternatives should be struck out and a fund of four per cent adopted. Adopted; thirteen for, ten against. Now the question on the striking out of the indents. Elsworth and the New England men knew that Pennsylvania tins a number of indents, and the invention of all of them is at work to turn it to her disadvantage. The vote was, however, carried to keep the indents, since the other back interest was to be funded. I bore my testimony in the strongest terms against funding any interest, and proposed to open a land-office as a sinking fund for the whole of the back interest, including the indents, but I found no second. The interest of the whole was placed on one footing, almost without a division. How a long debate ensued about the Jersey payments and a proviso which had been inserted to favor them. No other question was, however, taken, and the House adjourned a quarter after three.

This was mess or club day I went and stayed till file fumigation began, alias smoking of cigars, a thing I never could bear. Elsworth made a long speech, amounting to this: that since a general system of funding could not be obtained, gentlemen would be against all funding whatever. I placed his speech in as strong colors as I could; that since a party in Congress could not build as they pleased, they would turn and pull all down. There was a majority against the assumption of the State debts and file minority, indignant at being controlled, since they could not rule, would join the discontented part of Congress and stop all business.

Adams affects to treat me with all the neglect he can while I am speaking, by turning his head a different way, looking sidewise, etc. But I care not. I will endeavor to bear it.

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June 22d. — I called this morning on General Irwin, who is one of the commissioners for settling accounts between the United States and rite individual States, for the amount of the Jersey claims for interest paid by that State on the Continental certificates. Found it to be about half a million. Now attended the committee on Twining's case. Mr. Morris called me aside. (I had yesterday expressed my indignation of the New England land attempt upon Pennsylvania, in excluding, or trying to exclude, those indents, which would pass into her hands in consequence of the late funding law, from being funded; had endeavored to possess him of the facts to obtain his assistance, and indeed expressed unguarded solicitude on that subject.)

He told me this is an important affair respecting the indents to Pennsylvania. "I would have you think well of it. The New England men are determined to carry it against us. The assumption is the only way we can rid ourselves of this thing. I would have you think of it — think of it."

I had to say I will think of it. I felt a little disturbed: not if I knew my own mind with regard to the part I should act, but to think that everything should be set to sale, and that even just measures could not be pursued but by contract, and that men should be hunted into measures. I have often thought myself deficient in readiness of judgment or quickness of determination. Perhaps any man can think more and better too at twice than at once. I, however, in a few minutes took my seat beside Mr. Morris; told him that I considered the assumption so politically wrong and productive of so much injustice, that no offer could be made which would induce me to change my mind. I had, however, means of another nature. I could depend nothing on the promises of the New England men; but, further, had calculated that the State of New York was circumstanced nearly in the same way as Pennsylvania with respect to the indents; and I consider this as the sure pledge that we should not be pushed to extremities on that ground. The result showed that I was right; for, after a great deal of debate in the House, affairs settled as I would have them.

There is a lesson in the matter, and I must be on my guard with respect to my colleague. Hamilton unhappily has him in his power with respect to these old accounts, which are still before the Treasury. The bill for establishing the post-office was read the first time. We adjourned early.

Mr. Fitzsimons called this afternoon. We had much loose conversation on the subject of adjournment. I expressed a wish, the sooner the better. Fitzsimons said it never would do to go away without funding the debt. Pennsylvania was too deeply interested. She would draw three millions of dollars annually from the funds. I stared, as well I might, for at four per cent she must possess more than the whole of the Continental debt to do it, viz., seventy-five millions. He corrected himself, and said above fifteen millions would belong to her and her citizens. I said this might be. He now got on the subject of Pennsylvania paying her civil list, etc., with Continental revenue. In fact, this man has no rule of conduct but convenience, and he shifts opinions and sentiments to answer occasions.

The Speaker walked away with Mr. Fitzsimons. When he returned, I asked him to repeat what Mr. Fitzsimons had said. He [the Speaker] said Mr. Fitzsimons had explained himself in their walk, that the State of Pennsylvania possessed three millions on which she would draw interest, and that the citizens of the State possessed fifteen millions on which they would draw interest. There are more turners than dish-makers; but in fact none of these things deserve noting down.


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Journal of William Maclay/Second Session of the First Congress/On The Residence of Congress

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June 23d, Wednesday. — This day could not be considered as very important in the Senate. The Funding bill was called for and postponed.

The Intercourse bill, or that for appointing ambassadors, had been referred to a committee of conference so long ago that I had forgotten it, but the thing was neither dead nor sleeping. It was only dressing and friends-making. The report increased the salaries and added ten thousand dollars to the appropriations. I concluded they had secured friends enough to support it before they committed it to the House. This turned out to be the case. The whole appropriation was forty thousand dollars, and they were voted with an air of perfect indifference by the affirmants, although I consider the money as worse than thrown away, for I know not a single thing that we have for a minister to do at a single court in Europe. Indeed, the less we have to do with them the better. Our business is to pay them what we owe, and the less political connection the better with any European power. It was well spoken against. I voted against every part of it.

We received also a bill for the East Indian trade. Read for the first time. Mr. Morris was often called out., He at last came in and whispered me: "The business is settled at last. Hamilton gives up the temporary residence." I wrote on a slip of paper (as we could not converse freely), "If Hamilton, has his hand in the residence now, he will have his foot in it before the end of the session." I afterward told Mr. Morris that this seeming willingness of Hamilton proceeded from his knowledge that the North Carolina Senators and Colonel Gunn could not be restrained from voting for Baltimore, and that the present proposal and bill (for a bill was shown to me by Mr. Morris) were meant to divert the Southern members from Baltimore, and they would finally destroy the bill.

I got Henry, of Maryland, into the audience-room and gave him a detail of what was going on, and made the same reflections on it to him. I saw he believed the North Carolina men would vote for Baltimore. I find there is a ferment among them, and good may come of it.

Paid my lodgings.

There are jockeying and bargaining going on respecting which I am not consulted and which I hear of only by-the-by: the temporary residence in Philadelphia for fifteen years and the permanent residence on the Potomac. A solemn engagement has been entered into by eleven Senators to push the temporary residence only. On this ground we of Pennsylvania are perfectly safe, and our interest is to keep this contract alive. If we go from this the temporary residence may remain in New York and the permanent residence to the Potomac. It is a species of robbery to deprive Pennsylvania of the residence. How can a delegate reconcile himself to such a vote unless he confide in future contingency to repair his errors, which is neither safe nor honorable?

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June 24th. — This was a day of small business in the Senate. The report on a bill for remitting fines to one Twining was rejected and the bill confirmed; contrary, in my opinion, to every idea of justice, for this man had got already from the public upward of two thousand dollars without consideration.

Though little business was done in the Senate, yet; I ought never to forget this day. In the Senate chamber, Mr. Walker told me that the Pennsylvania delegation had, in a general meeting, agreed to place the permanent residence on the Potomac and the temporary residence to remain ten years in Philadelphia. I answered, I know nothing of any such agreement. No truth was ever better founded. He said Scott had come from the meeting to him. He seemed willing I should take a lead in the business. I heard nothing further on the business. Dr. Elmer and I called on Mr. Morris, mid here for the first time I heard him declare he was satisfied with ten years. He did not say much to me, but the moment I came home the Speaker attacked me: "Here you have been doing fine things; you have broken the bargain," etc.

I denied that I had broken any bargain; that I never knew of any bargain for ten years being made. Did not General Muhlenberg speak to you? Yes, on Monday last he bid me tell Mr. Morris that he thought Matthews could not make them agree to more than ten years. I forgot to mention it to him then, but mentioned it to him afterward. He said if we agreed to ten they would propose seven, etc., and declared himself against listening to any such proposals, We, however, met in the evening. Bassett and Read, of the Delaware State, came in with Mr. Morris. Dr. Elmer came some time after. I now did the most foolish firing I ever did in my life. I declared that I considered the permanent residence as a matter that ought to belong to Pennsylvania, in whatever point of view it was considered, geographically or politically; that to deprive her of it was, in my opinion, a species of robbery; but, since we came there to consult the public good, I was willing to be governed by republican ideas, and would stand by the vote of the majority, as a house divided against itself could not stand.

Mr. Morris now said my arguments were too late. I should have made these objections when the contract was made for fifteen years' residence at Philadelphia. I very freely declared I never entered into any such contract. Morris, Fitzsimons, and the Speaker declared that I did, and the Speaker reminded me that a committee was appointed. I agreed that a committee was appointed, but it was to draw up our reasons for rejecting Hamilton's proposals; and that I understood them so would be evident from my sentiments, which I had committed to paper at the time, and which were now in the hands of Colonel Hartley. They all three persisted in the charge. Hartley, however, had spirit enough to say there was no such contract. This seemed to cool them a little. But after some time Scott came in. The matter was repeated to him. He declared there was no number of years mentioned at all as any bargain, and, of course, no contract. This made them look a little blue.

I must note that I read the sketch which I gave to Hartley to the Speaker, and he approved of it; and I expressly mentioned both to him and Colonel Hartley that all that we did respected only what was past. But now the Speaker put the question, "Shall we vote for a bill giving the temporary residence, ten years, to Philadelphia and the permanent residence to the Potomac?" They all said yes but myself. I said no, but, unluckily, am bound by my foolish declaration. Good God, deliver me this once! Fate, familiar as her garter, ended the difficulty. But the tale is long, and I had better begin the business of the day on the next page.

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June 25th, Friday. — A day of excessive rain. I went to the Hall in the Speaker's carriage at an early hour to attend the committee on the post-office business. I found Mr. Carol there. We had much loose talk. He told me his plan, which was to take Butler's bill, amended so that the residence should be ten years in Philadelphia, at the end of which the permanent residence should be on the Potomac.

The first business was the report on what was called Stephen Moore's bill. This man is the owner of the land on which the old fort of West Point stands. He is got in debt in town to the amount of two thousand or some such sum. He has nothing but the rocks of West Point. The Secretaries of War and Treasury and other influential characters have interested themselves in getting this bill passed to buy the land from him, to pay his debts, under the notion that the ground is necessary for a fortress. Barefaced as this business is, it was carried in the Senate by a great majority. Am I mistaken, or is it the spirit of prodigality broke loose since Rhode Island came in? Yesterday Twining's base business; this day Moore's case, and a bill for a claim for one Gould came up. The yeas and nays are on the journals, and, strange to tell, Mr. Morris for once was with me.

Mr. Carrol now rose and was seconded by Lee. Izard, Few, King, on one side, Carrol and Lee on the other. Butler bounced between both, but declared for the bill and he would be for it. The motion was made to take up the bill. The Vice-President said: "There has been a motion for postponement. I do not know whether it has been seconded." No such thing had happened, but the hint was soon after taken.

And now all was consternation and commotion. Out ran King, Schuyler, Izard, and sundry of the Eastern gentry, and in were ushered the Senators from Rhode Island. And now the hinted-for postponement was called for of the bill, which, in fact, had not been taken up. But the new members, just sworn and seated, did not get up. Signs and motions were ineffectual; they kept their seats, and the bill, of course, was taken up, or, in parliamentary style, not postponed.

Izard begged leave to explain, or, in other words, to tell the new-come gentlemen, that they ought to have voted for the postponement. Mr. Adams without any ceremony put the same question over again. King got on one side and Elsworth on the other of the new members and got up with them. Butler, too, after all his declarations, voted for the postponement. It was thirteen and thirteen, and Bonny Johnny voted for the postponement; and thus the business of the day was got over without much difficulty so far, or at least the knotty parts of it, and thus my neck got out of the noose.

Adjourned until Monday.

I must note here that a number of our own people were duped in pushing the Rhode Island bill. They are now paid for it. I told them at the time what was intended. They must take what follows.

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June 26th, Saturday. — Attended this day on the Committee on the Post-Office bill. The bill came up from the Representatives with every post-road described, both main and cross roads. Carrol and Strong were for blotting out every word of description, and leaving all to the Postmaster-General and the President of the United States. I proposed a different plan: that one great post-road should be described by law from Portland, in New Hampshire, to Augusta, in Georgia, passing through the seats of the different governments, and that two cross-roads only should be described from New York to Canada, and from Philadelphia or some other proper place to Fort Pitt, for the accommodation of the Western country. The other or block system prevailed, but we are to meet again on Monday, at ten o'clock.

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June 27th, Sunday. — Called on Scott this morning. Went to walk, but the heat was insupportable. Returned to my lodgings. Spent the residue of the day in writing letters, reading, etc.

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June 28th, Monday. — Met at ten on the Post-Office Committee, but such running and caballing of the Senators nothing could be done. Stephen Moore's bill the first business. Izard made a long speech, telling how injurious it would be for this man if the bill did not pass, etc., and would now let the question be put until the Senate was full. It was carried.

Now the Baltimore vote was read. Carrol and Lee moved to postpone it. It was postponed. Carrol now moved to read some representations from Baltimore and Georgetown. This was complied with. Carrol surprised me by taking me out and requesting me to move the insertion of Baltimore for the permanent residence. Said he wished it to be put and negatived. This had a crooked aspect. I declined it. Izard, however, moved this very thing, and Walker told me it was expected that he would do it. I called for the amendment proposed on Friday, but Carrol got up and wished the vote on Baltimore. It was negatived.

Carrol now got up with the amendments. He surprised us with his slowness. We wrangled on till nearly three o'clock, calling yeas and nays on almost every question — but for these vide the minutes. When we came to the blank for the place of temporary residence — and by the by there was no blank in the amendment which Cartel read on Friday, but he was now suffered by Adams to proceed on the original bill. He evidently waited and paused until Izard moved to fill the blank with New York. Now we had the warmest debates of the day. Mr. Morris took no part whatever. Langdon and myself were the warmest. The question was put at three o'clock and carried for New York — thirteen to twelve. Colonel Gunn has been absent all day — designedly, it is supposed.

This day the [Pennsylvania] delegation had invited the Vice-President and the other officers of the General Government to dinner. The Chief-Justice and the Vice-President did not attend. The three Secretaries were with us. The discourse before dinner turned on the manner of doing business in the Senate. It was remarked that, as every question of moment was carried only by one majority, or for the most part by the casting vote of the Vice-President, it might be as well to vest the whole senatorial power in the President of the Senate. The fact really is as it was stated. But they did not mention the fact that Hamilton and his New York junto do business on the principles of economy, and do not put themselves to the expense of hiring more than just the number necessary to carry their point. This is a deplorable truth with respect to our Senate, and certainly is a foul evil at the root of our legislation.

I could not help making some remarks on our three Secretaries. Hamilton has a very boyish, giddy manner, and Scotch-Irish people could well call him a "skite." Jefferson transgresses on the extreme of stiff gentility or lofty gravity. Knox is the easiest man, and has the most dignity of presence. They retired at a decent time, one after another. Knox stayed the longest, as indeed suited his aspect best, being more of a Bacchanalian figure.

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June 29th. — The Tonnage bill was taken up and committed. This bill uses the same rates of tonnage as the old bill, and why it was brought forward is more than I can say, unless it was solely to employ time. A bill to make compensation to one Gould was also committed.

And now the Residence bill was taken up. The joy of the Yorkers made them cry out for an adjournment when they had filled one of the blanks. Now the other was to be filled with the time of the temporary residence. It was carried for ten years, and Carrol voted for it: thirteen to twelve. But now the question was taken on the clause, and the whole was rejected: sixteen to nine. Now Izard and the adherents of New York showed visible perturbation and bounced at a strange rate. I looked at Cartel, and got him to rise with his clause, ten years for Philadelphia. Why he kept it back so long explains itself.

Schuyler and King offered to amend it by dividing the time, five years to each place. Long debates here. The question was lost: thirteen to thirteen, the Vice-President against. They now moved Baltimore. Lost it: ten to sixteen. Butler now moved to stay two years in New York: thirteen to thirteen, the Vice-President against. The question was put on the clause: thirteen to thirteen, Vice-President against. So the clause was lost. The question was now put, "Shall the bill pass to a third reading?" The noes certainly had it, but the House did not divide, and an adjournment obtained before anything more was finished.

In the course of King's speech, I noted down the following words, "convulse the Union," etc. This, as he stated it, would be the effect of removing from New York. In my reply I mentioned the words. He denied that he had used such words. Mr. Morris was the first to cry out that he did not use any such words. From the drift of chaff and feathers it is seen how the wind blows. Mr. Morris did not rise this day nor yesterday; I might speak or let it alone — he has never said one word except giving me the above contradiction. Mr. Wyngate and sundry other members declared he [King] did use them, but, as he chose to retract, I passed it by as words that had never been spoken.

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June 30th. — I called early at the Hall. Langdon only there. Went and paid off my bill for Monday, twenty-eight shillings, the price of a two days' headache. When I came to the Hall, Dr. Elmer told me that Carrol & Co. were using every endeavor to pass the bill to a third reading without anything of the temporary residence. Here we certainly had every right to leave them, yet Walker said they would drop Philadelphia if we would not go with them. I am fully satisfied that they have had an under plot on band all this time with the Yorkers. Carrol, finding the bill could not be carried to a third reading, moved a reconsideration of the Philadelphia clause. But he was out of order, not having been of the majority. I passed the word to get Butler to move, as he had been of that side. He did so, after talking almost half an hour. It was reconsidered and adopted, fourteen to twelve, Butler changing his ground. Before we could get a question on the paragraph, they moved the question of five years in New York and five in Philadelphia. Lost: twelve to fourteen. Then to stay two years in New York. This Butler joined them in, and the House stood thirteen and thirteen. The Vice-President gave us a long speech on the orderly conduct, decent behavior of the citizens of New York, especially in the gallery of the other House; said no people in the world could behave better. I really thought he meant this lavish praise as an indirect censure on the city of Philadelphia, for the papers have teemed with censorious charges of their rudeness to the members of public bodies. Be that, however, as it may, he declared he would go to Philadelphia without staying a single hour, and gave us his vote. I think it was well he did not know all, for, had he given this vote the other way, the whole would have been lost. The question on the passage to the third reading was carried: fourteen to twelve.

Mr. Langdon now moved a reconsideration to strike out the loan of the one hundred thousand dollars. A long debate ensued. It was evident his vote would turn it. This I mentioned to Walker. We told them, however, that we were with them. But they did what good policy directed. They gave the matter up, and the appropriation was struck out. The question on the bill passing to a third reading was now taken. Carried: fourteen to twelve.

I am fully convinced Pennsylvania could do no better. The matter could not be longer delayed. It is, in fact, the interest of the President of the United States that pushes the Potomac. He [Washington], by means of Jefferson, Madison, Carrol, and others, urged the business, and, if we had not closed with these terms, a bargain would have been made for the temporary residence in New York. They have offered to support the Potomac for three years' temporary residence (in New York, I presume), and I am very apprehensive they would have succeeded if it had not been for the Pennsylvania threats that were thrown out of stopping all business if an attempt was made to rob them of both temporary and permanent residence.

1
July 1st. — Knowing nothing of immediate consequence, I attended the Hall early. Took a seat in the committee-room. Began an examination of the journals of the old Congress touching some matters before us in committee. Had thus an opportunity at the members as they came in, but such rushing and caballing of the New England men and Yorkers!

When the minutes were read, King observed that the yeas and nays were not inserted on the motion for staying two years in New York. The Vice-President and Secretary of the Senate both denied that they were taken, but I believed they erred. This, however, I did not consider as much for them. We read the Rhode Island Enumeration [Census] bill. Committed the Settlement bill and one for the regulation of seamen.

And now came the residence. Elsworth moved that the extent of the Potomac should be thirty miles above and thirty below Hancocktown. Lost. Second motion, "To insert the first Monday in May, instead of first Monday in December, for removal." The yeas and nays equal. And now John Adams gave us one of his pretty speeches. He mentioned many of the arguments for removal, and concluded that justice, policy, and even necessity, called for it.

Now King took up his lamentations. He sobbed, wiped his eyes, and scolded and railed and accused, first everybody and then nobody, of bargaining, contracting arrangements and engagements that would dissolve the Union. He was called on sharply: He begged pardon, and, blackguard-like, railed again. Butler replied in a long, unmeaning talk; repeated that he was sure the honorable gentleman did not mean him; and yet, if there really was any person to whom King's mysterious hints would apply, Butler's strange conduct marked him as the most proper object for them. Talk followed talk. It was evident they meant to spend the day. Dr. Johnson cried, "Adjourn!" "Question! question!" re-echoed from different quarters of the House. Few begged leave to move an amendment. It was to restore the appropriation clause. It was lost, and at last we got the question on transmitting the bill to the Representatives — yeas, fourteen; nays, twelve.

As I came from the chamber [Senate], King gave me a look. I replied, "King's Lamentations." "That won't do," said he. When we were down-stairs he turned on me, and said, "Let us now go and receive the congratulations of the city for what we have done." I had heard so much and so many allusions to the hospitality, etc., I thought it no bad time to give both him and them a wipe. "King, for a session of near six months I have passed the threshold of no citizen of New York; I have no wish to commence acquaintance now." He muttered some ejaculation and went off. In truth, I never was in so inhospitable a place. The above declaration I thought it not amiss to make, that they may know that I am not insensible of their rudeness; and, further, that I am quite clear of any obligations to them.

2
July 2d. — Attended the committee on the affair of Gould's bill. There did not appear much animation in the House. That keenness of look and eagerness which marked all our former looks had departed with the residence. Elsworth moved a commitment of the resolution with regard to the State debts. I saw we were taken unawares on this subject. They carried the commitment and the committee both against us. Carrol joined them.

We got now at the Indian bill. It was committed, and now we have joined the Post-Office bill and debated on it to the adjournment.

Wyngate told me this day of a violent breach having happened between King and the Massachusetts men. They would not vote for the Potomac, as King wished them to do. Had they joined the Connecticut and York votes, we would have obtained the temporary residence on much worse terms. This is still further proof of what I knew before — that there was an under-plot and a negotiation still open between the Potomac and New York. The Speaker told me this day that the assumption [of State debts] would pass. I heard him with grief, and trust I may yet disbelieve him. He dined with the President yesterday.

3
July 3d. — General Irwin called early on me this morning. It was to tell me that King and Lawrence had been asserting with great confidence that we had bargained to give the assumption of State debts for the residence, etc.; that I was to go away, and Carrol to vote direct for it, etc.; that a very great hubbub was raised among the Southern gentlemen, etc. I could only tell him that it was false, and much, indeed, as I wished to see my family, that now home I would not go; that I would stay, and he was at liberty to say so. I called on Williamson as I went to the Hall, and on Hawkins, and told them so.

These Yorkers are the vilest of people. Their vices have not the palliation of being manly. They resemble bad schoolboys who are unfortunate at play: they revenge themselves by telling notorious thumpers. Even the New England men say that King's character is detestable — a perfect canvas for the devil to paint on; a groundwork void of every virtue.

Senate sat until three on the Post-Office bill, but the debates were unimportant.

When I came in, the Speaker told me that the York malevolence was showing itself in curious caricatures, in ridicule of the Pennsylvanians, etc.

4
July 4th. — Being Sunday, was celebrated only by the firing of cannon about noon. I walked to Scott's lodgings. He came home with me. He showed a disposition to go all over the arguments which I had used in the Senate on that subject. I did so with much cheerfulness, Spent the rest of the day in writing letters to my family and others. I called this morning on Mr. Lee, and showed him plainly, as I thought, how we could, by a side-wind in the bill for the settlement of accounts, give the assumption a decided stroke. I promised I would see him to-morrow.

5
July 5th. — I was detained long before I could get to see Mr. Lee. He had consulted Madison, as he said, and had altered the amendment in point of form. But it certainly was much more obscure. Said he would second the motion if I made it.

The Post Office bill was taken up, and a long debate [followed] whether the Postmaster should appoint the post-roads or the Congress declare them so by law. It was carried in favor of the Postmaster doing it.

A motion was made that Congress should adjourn to wait on the President, with the compliments of the day. Negatived.

A second motion to adjourn one hour, for the above purpose, lost. Some business was done, and a second motion for adjournment was called. All the town was in arms; grenadiers, light infantry, and artillery passed the Hall, and the firing of cannon and small-arms, with beating of drums, kept all in uproar. This motion was carried, and now all of us repaired to the President's. We got some wine, punch, and cakes. From hence we went to St. Paul's, and heard the anniversary of independence pronounced by a Mr. B. Livingston. The church was crowded. I could not hear him well. Some said it was fine. I could not contradict them. I was in the pew next to General Washington. Part of his family and Senators filled the seats with us. Was warm, and sweated a good deal.

Some say that the Yorkers will make a desperate resistance to-morrow. Others say they will die soft. Jackson gave me this day the President's compliments and an invitation to dinner on Thursday.

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text:
Journal of William Maclay/Second Session of the First Congress/The Settlement and Assumption Bills

6
July 6th. — Was called on early this morning by Mr. Hanna, of Harrisburg. A letter from Mr. Harris says my family are well. Attended at the Hall after having paid some visits. The Post-Office bill was passed after some debate. Gould's bill was rejected. I had occasion to be up on both these bills. Now came the Settlement bill. Mr. Lee had spoiled my amendment, or at least had greatly obscured it; but, if I stirred at all, I must use his motion, and, great man as he is, there really was misspelling in it. The ground I took was that the fifth section of the bill laid down a ratio in consequence of which there must, in the nature of things, be creditor and debtor States. The sixth section told us how the creditor States were to be paid, but not one word was said as to the debtor States. Paying one was as necessary as the other. Justice demanded it. Vide my amendment: "And those States against whom balances shall be found shall have a portion of their State debt, which shall have accrued as aforesaid, left charged upon them equal to such deficient balance; and if it should so happen that the whole State debt of any particular State shall fall short of such balance, such deficiency shall remain charged against such State on the books of the Treasury."

I attacked the Secretary's [Hamilton's] system of supposititious balances as not only unjust, and a total departure from acts and requisitions of Congress, but as going to lay great taxes and increase the volume of our debt.

Elsworth and Strong answered. King admitted every principle which I had laid down, but wavered. Lee seconded, and forsook me. The child was none of his. I really thought I had the best of the arguments, which grew bulky and by degrees spread over all our fields of finance; but on the question I had a small division in favor of the motion.

The true history of the bill is that it has been fabricated by the Secretary's people, particularly Fitzsimons, and is meant as a mere delusion or to amuse the public, for they seriously never wish the accounts to be settled. But a show must be kept up of giving satisfaction on this point. As to myself, I may draw a lesson from Lee's conduct, to bring forward my own motions only. I spoiled the amendment to obtain his support, and he saw it perish with the indifference of a stranger.

7
July 7th. — Attended at the Hall. Every face bore the marks of anxious expectation. Schuyler came to me and owned the bill for the settlements of accounts was to the full as I had stated it yesterday, and showed me a long amendment; said the bill should be committed. Wished me to second him. I readily agreed to it, and now we went on the subject of debate. I was not alone, as yesterday. I supported my old system of ascertaining the expenses of the war; agreeing to the ratios and fixing the quotas; giving certificates to the creditor States and leaving the State debts on the debtors, respectively, so far as to equalize the accounts. Elsworth certainly confused himself. He wished to equalize the accounts by credits only, taking the lowest exertion as the basis and setting off to each State in proportion to it and funding all over it, as the exertions of some of the States stood nearly at 0. This, in fact, would be funding nearly the whole expenses of the war.

Butler had a third system, viz., take no notice of anything bygone, but divide the existing debt among the States. I thought it strange to hear my colleague declare for the last opinion. After some very long debate, the bill was committed.

The Secretary's [Hamilton's] people got the advantage of us again. A bill which had disappeared a long while, of the most futile nature, with regard to relieving certain officers from what they considered as a grievance, was reported on favorably, but rejected. This same bill, or at least one verbatim the same, had been rejected by us formerly. Some other trifling business was done, and we adjourned.

Sundry questions were taken in the House of Representatives on the Residence bill. The decisions hitherto have been favorable, but the question on the bill has not yet been taken.

8
July 8th. — This day was slack in the Senate until the report came in on the bill for the settlement of the accounts. As might be expected, their amendments followed the Secretary's report, or nearly so. It amounted to this: That the net advances of the States should be made an aggregate, and this aggregate divided by the ratio of population which would fix the quotas. Then the quotas, compared with their respective advances, would determine the balances or credit, or turn out just equal. And here it was agreed to leave the matter for the present, as the bill respected the ascertaining the balances only, and left the payment to the creditor States and the payment from the debtor States to the future operation of the Legislature. All this was far short of what I wanted, and indeed the bill will turn out, as I fear, a mere delusion. But under its present form the State debts must be embraced in the accounts, if the commissioners do their duty; and if so, this will operate as a reason why they should not be assumed.

I was called out by Mr. Hanna, who was just setting off home. I wrote a hasty line by him to Charles Biddle that the votes stood this day twenty-eight to thirty-three on the residence.

Stayed at the Hall until four o'clock, and went to dine with the President. It was a great dinner, in the usual style, without any remarkable occurrences. Mrs. Washington was the only woman present.

I walked from the President's with Mr. Fitzsimons part of the way to his lodgings. He really seemed good-humored and as if he wished to be on good terms with me. Clymer called at our lodgings in the evening, and seemed condescending and good-humored in a remarkable degree, but all in the dumps again about the residence; only thirty real friends to the bill in the House of Representatives, etc.

It is time, indeed, that this business should be settled, for all our affairs are poisoned by it.

Nothing can be plainer than the simple mode of debtor and creditor for the settlement of the public accounts of the Union. But the State of South Carolina is most miserably in arrears, and wishes to avoid all settlement, or to have such a partial one as will screen her defects. She has been devoted to New York on the subject of the residence. Therefore New York (or I should rather write, Hamilton) labors incessantly to confuse, embarrass, and confound all settlement. The thing can not be openly denied, but they will involve it in so many difficulties as will either prevent it altogether, or render it useless if it should take place.

9
July 9th. — Attended at the Hall at the usual time. There was much whispering of the members — Elsworth, Strong, and Izard. We had a bill for regulating the intercourse with the Indians, which has passed — a vile thing which may be made the basis of much expense. Superintendents are to be appointed, although the superintendence of the Indians in the government northwest of the Ohio is already vested in the Governor, and so south of the Ohio. By and by we shall have a call for their salaries. It really seems as if we were to go on making offices until all the Cincinnati are provided for.

The Settlement bill engaged us warmly for the most of the day. The object was to find the balances due to the creditor States and how. Ingenuity itself is tortured to find ways and means of increasing the public demands and passing by and rendering the State governments insignificant. I declared what I thought plainly on the subject — that the bill was one for the settlement but not the payment of the respective balances; that the old Confederation dearly contemplated the payment of the balances from the delinquent States to the creditor States; that every act of the old Government carried this on the face of it; that, although we could not lay unequal taxes, yet the adoption of the new Constitution did not go to the discharge of just debts due from the States which might be hereafter found debtors, and that Congress certainly had the power of liquidating the balances and making the demands from the debtor States.

The bill, after a long debate, passed on the principle of a Settlement bill only.

I find, by letters which I have received, that the public creditors are to be the body who are to rise in judgment against me and try to expel me from the Senate. This is only what I expected. Nor are they the only ones. The adoption of the new Constitution raised a singular ferment in the minds of men. Every one ill at ease in his finances; every one out at elbows in his circumstances; every ambitious man, every one desirous of a short cut to wealth and honors, cast their eyes on the new Constitution as the machine which could be wrought to their purposes, either in the funds of speculation it would afford, the offices it would create, or the jobs to be obtained under it. Not one of these has found a patron in me. In fact, I have generally set my face against such pretensions. As such men are generally wanting in virtue, their displeasure — nay, their resentment — may be expected. "Why, you want nothing neither for yourself nor friends!" said a Senator one day to me in some surprise. It was somewhat selfish, but I could not help uttering a wish that he could say so with truth of every one.

10
July 10th. — Being Saturday, the Senate did not meet, but I went to the Hall by a kind of instinct Created by custom, somewhat like a stage-coach which always performs its tour whether full or empty.

I met King and Langdon here. We spent an hour or two in very familiar chat. Nothing worth noting unless it was the declaration of King that a bargain was certainly made on the subject of the residence to obtain at least one vote in the room of Ms [King's], as it was most likely he would vote against the assumption if the residence went to Philadelphia. I was astonished at King's owning this, which, in fact, amounted to this: that he had engaged his vote for the assumption if the residence stayed in New York.

11
July 11th, Sunday. — This was with me a very dull day. I read at home; wrote the usual letters to my family and other correspondents. After dinner, walked alone out on the commons beyond the Bowery wherever I could find any green grass or get out of the dust, which was very troublesome on the roads.

12
July 12th, Monday. — Attended at the Hall at the usual time. We received two messages from the Representatives, one of them containing the Residence bill. We had considerable debate on the Post-Office bill. Insisted on our amendments and appointed a committee to confer. Insisted on our amendment to the Indian Intercourse bill, and passed the tonnage. This bill deserves a remark.

This bill is in every respect the same as the old one, bating the remission of some unintentional severities which had fallen on some fishermen and coasters, which were remitted. The taking all the time and passing all the forms of a new bill, would perhaps bear an interpretation as if we feared running out of work.

A motion was made for taking up the Funding bill, but withdrawn. No other serious business was gone on. The House adjourned.

A number of us gathered in a knot and got on the subject of the assumption, the report of which had just been handed in by Mr. Carrol. It was in favor of it. And now from every appearance Hamilton has got his number made up. He wanted but one vote long ago. The flexible Read was bent for this purpose some time ago and Carpel having joined to make up the defection of King. The mine is ready to be sprung. Since I am obliged to give up Carrol's political character, I am ready to say, "Who is the just man that doeth right and sinneth not?"

The sum they have reported to be assumed is twenty-one million dollars. This is most indubitably to cover the speculations that have been made in the State debts. The assumption will immediately raise the value of State securities and enable those people who have plunged themselves over head and ears in those speculations to emerge from impending ruin and secure them the wages of speculation. The report is ordered to be printed. After dismissing this subject, we got on the prospect of an approaching war between Spain and England. Here was a large field for conjecture, and we indulged our fancies on the subject until near three o'clock.

Here I will note down an observation which I wonder never made an impression on the Pennsylvanians. Every State is charged with having local views, designs, etc. Could any motive of this kind be justly chargeable on our State in adopting the Constitution? By our imposts we laid many of the neighboring States under contribution — part of Jersey, Delaware, part of Virginia, and almost the whole of the Western country. It appears one fourth of the whole impost is received at Philadelphia. This was a great sacrifice. Query: Did our politicians ever think of this advantage?

13
July 13th. — I attended this day at the Hall at the usual time, or rather sooner. General Schuyler only was before me. Our Vice-President came next. They sat opposite me, and had a long chat on various subjects, but nothing very interesting. Mr. Morris came at last.

The resolution for the assumption of twenty-one millions of the State debt was taken up. This was perhaps the most disorderly day we ever had in the Senate. Butler was irregular beyond all bearing. Mr. Morris said openly before the Senate was formed, "I am for a six-percent fund on the whole, and, if gentlemen will not vote for that, I will vote against the assumption." I thought him only in sport. But he three times in Senate openly avowed the same thing, declaring he was in judgment for the assumption, but, if gentlemen would not vote for six per cent, he would vote against the assumption and the whole Funding bill. His adding the Funding bill along with it in the last instance operated as some kind of palliation. But I really was struck with astonishment to hear him offer his vote for sale in so unreserved a manner. Izard got up and attacked him with asperity. Mr. Morris rose in opposition. Then Izard declared he did not mean Mr. Morris, so much did he fear the loss of his vote. But his invective was inapplicable to anybody else. I was twice up and bore my most pointed testimony against the assumption. It was insuring a certain debt on uncertain principles. The certain effect was the incurring and increasing our debt by twenty-one millions by mere conjecture.

This debt was already funded by the States, and was in train of payment. Wily not settle and let us see how the account stands before the States are discharged of their State debts? I alleged the funds on which these debts were charged by the States were those which these States could pay with the greatest facility, as every State had facilities of this kind. The transferring the debt to any general fund would lose these local advantages. It was dealing in the dark; we had no authentic evidence of these debts. If it was meant as an experiment how far people would bear taxation, it was a dangerous one. I had no notion of drilling the people to a service of this kind, etc. But I can not pretend to write all I said.

Mr. Morris has twice this day told me what great disturbances there would be in Pennsylvania if six per cent was not carried. I considered these things as threats thrown out against my reappointment [to the Senate]. But, be it so; so help me God, I mean not to alter one tittle! I am firmly determined to act without any regard to consequences of this kind. Every legislator ought to regard himself as immortal.

14
July 14th. — This day the resolutions on the assumption were taken up. I am so sick and so vexed with this angry subject that I hate to commit anything to writing respecting it. I will, however, seal one of the copies of it in this book as a monument of political absurdity.*

[* The Assumption Bill — Copy.]

It has friends enough — fourteen to twelve — so far, but I am not without hopes of destroying it to-morrow. I am now convinced that there must have been something in the way of the bargain, as King alleged on Saturday. It must have been managed with Butler. Elsworth at one time this day used the following words: "No man contemplated a final liquidation of the accounts between the United States and the individual States as practicable or probable." I took them down and showed them to Mr. Morris and Mr. Walker. He observed me, and after some time got up and, in the course of speaking, said, "A settlement was practicable, and we must have it."

He will absolutely say anything, nor can I believe that he has a particle of principle in his composition.

Mr. Morris, Langdon, and others, moved to strike out the third section. We of the opposition joined Elsworth and kept it in. The State of Pennsylvania has not but about one million of existing State debt. This clause, if the vile bill must pass, may be considered as in her favor, more especially if they prevail and prevent a settlement of the accounts.

I saw Mr. Pettit yesterday at the levee, and, as I was advised by letter that he was appointed agent for the settlement of the Pennsylvania accounts with the Union, I waited on him with great joy, hoping for much information on the subject. But what disappointment! He could tell me nothing about them, but came here to gain information and return back again; seemed to speak rather unfriendly of the Comptroller as to what he had done about the accounts. This surprised me. He quitted the subject with impatience, and attacked me rather with rudeness on the subject of the public debts. I have heard him spoken of as smooth, artful, and insinuating.

He certainly displayed none of these qualities, and, as to the public accounts, he seems rather as an agent for the public creditors, and talked of the settlement as a very distant object. He teased me to tell him who were the principal holders of certificates in Boston, Newport, New York, etc., declaring that he wished to correspond with them, and unite with them in the common cause. I can not help regarding him as the curse of Pennsylvania.

For some time after the war certificates were sold as low as ninepence on the pound. John Ray, my old servant, told me that he sold one of eighty pounds for three pounds, and could get no more. But it appears, by a. remonstrance of the Executive Council of the Legislature of Pennsylvania, entered on their minutes, that the market price was two shillings sixpence on the pound at the time of passing the funding law. Yet, by the instrumentality of this man on a weak (and in some cases interested)Legislature, six per cent was given on the certificates, or forty-eight per cent on the real specie value. This Pennsylvania paid for four years. As the certificates were generally below two shillings sixpence, it is no exaggeration to say every speculator doubled his money in four years, and still has the certificates on which he expects fortyeight per cent with respect to the original cost. Thus one hundred pounds specie bought eight hundred pounds in certificates (perhaps much more). These certificates brought fortyeight pounds per annum for four years, equaling one hundred and ninety-two pounds, and the holders of certificates remain as clamorous as ever.

15
July 15th. — The business of the Senate was soon done this day. The Vice-President took up the Funding bill without any call for it. Mr. Morris appeared in high good humor; asked me if anybody had taken me aside to communicate anything to me. I told him no. But it was easy to observe that something was going on. He said there was, but did not tell me what it was, nor did he affect to know. I saw Carrol writing a ticket with a number of names on it, sand, and put it by. In the mean time up rose Elsworth and moved that both the Funding bill and the resolutions for the assumption should be referred to a committee. He was seconded soon. Lee rose; said we knew no good could come from a commitment. Mr. Morris rose; said he was for the commitment; that they might be made in one law, and the rate of interest fixed at six per cent. I rose; said I knew of but two ends generally proposed by commitment — the one was to gain information, the other to arrange principles agreed on. The first was out of the question; the second only could be the object; but what was the material to be arranged? A bill originated in the other House, and resolves on the assumption which had originated in this. I knew the opinion of many of the Representatives was opposed to our power of originating anything relating to the subject of the public debts. Taking two so dissimilar objects together, more especially if our powers were called in question, was the way to lose both. Gentlemen hoped much good from this measure. I wish they might not be disappointed; but I was not certain of anything but delay, which, in our present circumstances, I considered as an evil, etc.

The Vice-President, who was to appearance in the secret, seemed impatient until I had done, and putting the question it was carried. The R — were all the six-percent men and all the assumption men. They carried the committee, all of their own number. This done, the Senate adjourned.

Henry came and sat beside me a good while. He told me that Carrol wrote his ticket with the seven names (that being the number of the committee) before any business whatever was done. This I had observed in part myself. We did not need this demonstration to prove that the whole business was prearranged, nor can any person be now at a loss to discover that all three subjects — residence, assumption, and the funds equivalent to six per cent — were all bargained and contracted for on the principle of mutual accommodation for private interest.

The President of the United States has (in my opinion) had a great influence in this business. The game was played by him and his adherents of Virginia and Maryland, between New York and Philadelphia, to give one of those places the temporary residence, but the permanent residence on the Potomac. I found a demonstration that this was the case, and that [New] York would have accepted of file temporary residence if we did not. But I did not then see so clearly that the abominations of the funding system and the assumption were so intimately connected with it. Alas, that the affection — nay, almost adoration — of the people should meet so unworthy a return! Here are their best interests sacrificed to the vain whim of fixing Congress and a great commercial town (so opposite to the genius of the Southern planter) on the Potomac, and the President has become, in file hands of Hamilton, the dishclout of every dirty speculation, as his name goes to wipe away blame and silence all murmuring.

16
July 16th. — Senate had not been formed but a few minutes when a message from the President of the United States was announced. It was Lear, and the signature of the President to the Residence bill was the communication.

The Pension bill came up from the House of Representatives. The committee on the Indian bill reported that twenty thousand dollars, in addition to seven thousand in the hands of the Secretary of War and six thousand in Georgia, in goods, should be granted for the holding treaties with the Indians; and all this when there does not appear a shadow of reason for holding a treaty at all with any Indians whatever. Opposition was in vain. It was carried.

Now Mr. Morris came, raging angry; said and swore he would vote against everything. The committee had agreed to the Secretary's third alternative for the principal and three per cent on the interest due, and he had left them. The report came in after some time and it was proceeded on. I whispered to Mr. Morris, now he had got the residence, it was our province to guard the Union and promote the strength of the Union by every means in our power, otherwise our prize would be a blank. I told him I would move a postponement of the business and I would wish a meeting of the delegation this evening. He assented.

A vast deal was said on the subject of the contract and breach of obligation. Then I rose and stated that I had no difficulty on that head; that we stood here as legislators. Judges and executive officers were bound to observe laws and contracts; but justice was the great rule which we should govern our conduct by. The holder of the certificate called, "Do me justice." But the original performer of the service, who sold it for one eighth part of the nominal value, and on whom the tax to make it good is about to fall, cries, "Do me justice also."

Both sides of this picture ought to be viewed and their relative numbers to each other. No guess can be made in this matter, but by comparing the number of speculators with the number of those who had sold, and perhaps the ratio would not be one to one hundred. it was also true there was a class of men, the original holders, who were not embraced in the above description; but if we east our eye over the calamities of the late war they would appear to be the fortunate characters. All the others who touched Continental money were taxed by it, and it finally sunk in their hands. The original holders have, if not the whole value, at least something to show, etc. I hoped for the progress of the public business, and that a short postponement would perhaps bring us nearer together and moved for to-morrow; but it was not carried.

The report was pushed with violence and all carried, twenty members rising for it, four only sat, two going out. The Vice-President said twenty for, four against. When they came to the part for ingrafting the assumption resolves on the bill, Mr. Lee, with what assistance I gave him, retarded the business a little. When I spoke I endeavored to narrow the ground a little, and spoke solely to the question of combining the assumption with the Funding bill. The Funding bill was to provide for the domestic debt which floated at large, and was at this time in no train of payment.

The propriety of paying the foreign and domestic debt was admitted by every person. It was really the business which brought us together. But here we must not pass it, unless we tack it to another, which we considered as a political absurdity. This was contradicting the spirit of free legislation. Every subject ought to hang on its own merits. It was offering violence to our understandings. I said a good deal on the subject, and could not restrain myself from going into the merits of the assumption. But I might as well have poured out speech on senseless stocks or stones. It was carried against us, fifteen to eleven. A committee was immediately appointed to make the arrangements. We adjourned.

I came down-stairs, and all the speculators, both of the Representatives and city, were about the iron rails. Ames and Sedgwick were conspicuous among them. The Secretary [Hamilton] and his group of speculators are at last, in a degree, triumphant. His gladiators, with the influence that has arisen from six dollars per day, have wasted us months in this place. But I can not see that I can do any further good here, and I think I had better go home. Everything, even to the naming of a committee, is prearranged by Hamilton and his group of speculators. I can not even find a single member to condole in sincerity with me over the political calamities of my country. Let me deliver myself from the society of such men, for I verily believe the sun never shone on a more abandoned composition of political characters.

17
July 17th. — Having some leisure this morning, I called on Dr. Williamson and told him my intention of going home. He got into a long tale of his settling his children in Philadelphia and taking a more Northern position for his family than North Carolina, etc. By the way, I would only remark he has one child only born, but he has begotten another, as he says. But no gray-headed man ever was fuller of future arrangements for a numerous progeny.

He went into the Hall and everybody soon had it that I was going home, etc. I went from here and called on Fitzsimons and Clymer; told them I wished to go home, but had no objection to take the sense of the delegation on the measure. Fitzsimons said nothing, but looked Go to the devil, as I thought. Clymer spoke most pointedly against my going; said we would lose nine votes south of Virginia on a postponement bill which was going to be brought forward. By the by, we never had but seven from that quarter. I told him the delegation were to dine together to-morrow; if it was their opinion that I should stay, I would do so.

Attended at the Hall. Little was done, and we sat waiting an hour for the committee to report the bill with amendments. It was done. An attempt was made to pass it immediately by a third reading down to the House of Representatives. It was moved that it should be printed. This was opposed. The Vice-President gave the history of both the bill and the resolutions. With respect to order, he made this out to be the third reading; and of course the question would be, the sending of it to the Representatives.

It was now proposed, as an expedient, that the Secretary [of the Senate] should read the bill from the desk for information of the members. This obtained, and now behold, to a great many innovations and amendments a whole new clause was added! There was something of unfairness in this. It was, however, ordered to be printed for Monday.

When I came down-stairs, Mr. Clymer came to where I stood with General Irwin. We talked over the general belief that the assumption was forced on us to favor the views of speculation. Mr. Clymer mentioned one contract on which about eight shillings in the pound had been cleared on eighty thousand pounds. General Irwin seemed to scruple eight shillings in the pound! Mr. Clymer said he was not so sure of the rate cleared, but the sum speculated on was eighty thousand pounds. Much of this business was done in the 'Change alleyway. Constable, however, is known in the beginning of the session to have cleared thirty-five thousand dollars on a contract for seventy thousand dollars. The whole town almost has been busy at it; and, of course, all engaged in influencing the measures of Congress. Nor have the members [of Congress] themselves kept their hands clean from this dirty work; from Wadsworth, with his boat-load of money, down to the daily six dollars, have they generally been at it. The unexampled success has obliterated every mark of reproach, and from henceforth we may consider speculation as a congressional employment. Nay, all the abominations of the South Sea bubble are outdone in this vile business. In wrath, I wish the same fate may attend the projectors of both!

18
July 18th, Sunday. — This day the [Pennsylvanian] delegation dined at Brandon's. Mr. Morris stated to the Representatives the train of business was in the Senate. Mentioned the importance of completing the Funding law, particularly to us who now had the residence of Congress before us; that the rising of Congress without funding might go to shake and injure the Government itself, etc. We had much talk, but nothing was concluded or any agreement entered into. Mr. Fitzsimons averred, in the most unequivocal manner, the grand object of the assumption to be the collecting all the resources of the United States into one treasury. Speaking of the State of Pennsylvania, he avowed she would be a debtor State to a large amount on the settlement of the accounts, and the next moment said she would draw interest on three million dollars annually. It is not easy to reconcile his assertions on this subject. A great deal of loose talk passed among us. As I had the delegation together, I mentioned my intention of going home, and desired to know if any of them had any objection. The discourse soon took a ludicrous turn; but no objection was made, and I believe I will set off to-morrow afternoon.

19
July 19th. — Have made up my mind on the subject of going home. I can not serve my country anything by my staying here longer. I will certainly feel ashamed to meet the face of any Pennsylvanian who shall put to me the question, "What have you done for the public good?" I can answer with truth, "I have tried the best in my power."

Settled with the Speaker. He would have me pay nothing for any liquors, but said his boy had cost him fifty dollars, which he desired me to pay one half of. I agreed. He had about forty dollars of my money in his hands. I owe him four shillings and sixpence, Pennsylvania. I well recollect the service of the boy was mentioned, or at least all the services which I wanted in that way when I settled for my boarding at four dollars per week. I have drunk, occasionally, some of his wine — he said, not amounting to more than a bottle or two. I am convinced it would not amount to gallons. But I most cheerfully agreed to pay what he proposed.

I attended the Hall at the usual time. And now the material business of the day, the Consolidated Funding bill and assumption, were taken up. Mr. Morris showed a vindictive and ireful disposition from the very start, and declared he would have the yeas and nays on every question. This, in fact, is declaring war against me only, as it is me only whom they can effect in Pennsylvania. I know they mean to slay me with the sword of the public creditors. He was as good as his word, and moved every point to increase the demand against the public, and uniformly called the yeas and nays. All the motions were made for augmentations by him, Schuyler, and King, vide the minutes for the yeas and nays.

When he moved that six per cent should be paid on the back interest, as there were but four of them for it, and enough did not rise for the yeas and nays, I told him I was sorry to see him in distress, and jumped up. If I can turn these yeas and nays against him, the act will be a righteous one.

In the language and calculations of the Treasury, the third alternative is actually six per cent, without taking in the advantage of the quarterly over annual payments, grounded on the irredeemable quality of the debt. But I really question if we shall ever see that Change-Alley doctrine established here, which makes debt valuable in proportion to that qualification. It never can happen without a gradual fall of interest, which, in this country, may be rather considered as improbable.

Before Congress met I walked awhile across the [Senate] chamber with Mr. Lee. He lamented equally with me the baneful effects of the funding disease. [No nation ever has adopted it without having either actually suffered shipwreck or being on a voyage that must inevitably end in it. The separation from Great Britain seemed to assign us to a long run of political existence; but the management of the Secretary [Hamilton] will soon overwhelm us with political rule. Schuyler assigned a new kind of reason this day for taxation. Three millions and a half of dollars annually would be only one dollar per head on the average. It was nothing, etc. It is true it is not a heavy tax, but it ought not to be imposed without necessity.

This wretch is emaciated in person, slovenly in dress, and rather awkward in address. No Jew ever had a more cent-per-cent aspect. He seems the prototype of covetousness. Nor is it possible to assign to his appearance any passion, property, or affection but the love of money and the concomitant character of a miser.

I can not help noting something which may be void of design. Yesterday two letters were shown at dinner: one by Mr. Morris to the Governor and Council [of Pennsylvania], another by Clymer to the mayor and corporation [of Philadelphia]. It was agreed that the Senators should sign the one to the Governor and Council, and the Speaker, in behalf of the delegation, should sign the one to the corporation. I was much pleased with this arrangement, for there was a clause in Clymer's letter of advice to erect a new building for Congress, for the giving the State-House to Congress would furnish a reason for removing the scat of Government elsewhere. This day in Senate, Mr. Morris produced this last letter to me, desiring me to sign it. I declined it, telling him the Speaker was to sign that letter. I could not help concluding there was design in this business.

There was a dinner this day which I had no notice of, and never thought of such a thing. In the evening Mr. Rees, clerk to Mr. Morris, called on me with the letter to the Government. This I readily signed; but here comes the Speaker with the other letter for me to sign. All this does not look like candor. I told the Speaker my objections. There is a subject in that letter which I never have touched. I will not touch it now. I have already written fully to the mayor on the subject.

20
July 20th. — We went this day at the funding system and pursued it with nearly the same temper that we did yesterday. Mr. Morris had often declared himself that he would be for an assumption equal to the representation, and had calculated a schedule for the purpose; but, all I could say to him, he would not gratify me in moving it. I knew there was no chance of carrying it. But he leveled his whole force against the nineteenth section, which, in fact, is the only favorable one to our State, for our existing State debt can not be much more than one million. I will refer to the minutes for the proceedings of the day. Mr. Morris having often threatened that he would vote against the bill, at last made this remarkable speech: "Half a loaf is better than no bread. I will consent to the bill on behalf of the public creditors, for whom I am interested" (I looked up at him, and he added), "as well as for the rest of the Union." This last shed some palliation over his expressions.

I contended that the speculators generally had dealt on the face of the certificates; or, if they had dealt on the amount, it was always at an abated rate — clear proof they never expected the back interest to be funded. By the bill, every hundred of principal draws four annually, and as the back interest is about on the average equal to half the principal (at least it is so by the Secretary's [Hamilton's] report), this, at three per cent, adds one and a half more — equal to five and one half per cent per annum for ten years; and then the other third (or what is equal to it in 'Change-Alley calculation) comes at six per cent, which, added, gives about seven and a half per cent on the face of the original certificate.

I have turned the leaf to note that I may consider myself as now having passed the Rubicon with the Philadelphians. I saw Clymer through the window of the Senate chamber. Morris was sent for and went out. He came in with the same letter which I had refused to sign yesterday, and asked me to sign it. I refused, and told him plainly it touched a subject which I never had touched, nor would now. He said no more.

Mr. Morris told me this day I must allow myself to get the lands of which he had spoken to me. I told him all on my part was ready; only put the warrants into my hands. I, however, added, we have ruined our land-office by the assumption. The State certificates were the materials to buy the lands with. The offices will now be shut, for neither State money nor specie can be got or spared for it. He was silent, and I really thought he looked as if he feared that his conduct would be turned against him in the public eye.

After dinner this day I read a letter to the Speaker from John Montgomery, of Carlisle, not much in favor of Mr. Morris. He then gave me the following intelligence: That Fitzsimons and Mr. Morris' adherents, fearful that he could not be carried by a popular election, were determined to change the mode to electors. But all the difficulty was to know how Wilson could save his credit in convention and carry his party over with him after what had already happened, this being one of the pillars on which his late popularity was supported. It is easy to see the reason of all this. The mode of electors admits of more cabal, intrigue, etc.

21
July 21st. — King's motion of yesterday for postponement and sundry other matters which I had observed made me fearful that some storm was gathering. I called on Mr. Morris and expressed my apprehension and proposed to him that if any unexpected manoeuvre should display itself we should, with the utmost coolness, call for a concurrence of the resolution for the adjournment on the 27th.

Attended at the Hall on the affair of Donald Campbell; the most impudent and ill-founded set of claims ever I was witness to. The first business in the Senate was the new bill of ways and means. Committed.

A message, with a bill, respecting consuls and vice-consuls.

The bill for the military grants of lauds to the Virginia officers. Committed.

The Senate was now full, and the Funding bill was taken up for the last time. I made a despairing effort. Having almost uniformly opposed the measures of Congress during the present session, some general declaration of my principles or motives may be necessary to prevent any suspicion of a disposition inimical to the Government itself.

First, then, I am totally opposed to the practice of funding, upon republican as well as economical principles. I deny the power as well as the justice of the present generation charging debts, more especially irredeemable ones, upon posterity; and I am convinced that they will one day negative the legacy. I will suppose (suppositions are common in this House) that not one member of Congress has been influenced by any personal motive whatever in arranging the American funding system, which now spins on the doubtful point of pass or not pass; and, as it falls, may turn up happiness or misery for centuries to come. No; I will take gentlemen at their word, and believe that it is the glare of British grandeur, supposed to follow from her funds, that has influenced their conduct, and that their intentions are pure, wishing to render America great and happy by a similar system. Tiffs will lead to an inquiry into the actual state of Britain; and here, I trust, we shall find all is not gold that glitters.

It is, if I mistake not, about a century since the commencement of the English funds, or, in other words, since that nation began to mortgage the industry of posterity to gratify the ambition and avarice of the then Government. Since that period wars have been almost continual. The pretexts have been ridiculous — balances of power, balance of trade, honor of the flag, sovereignty at sea, etc., but the real object was to fill the Treasury, to furnish opportunity for royal peculation, jobs and contracts for needy courtiers, to increase the power of the crown by the multiplication of revenue and military appointments and the servility of the funds, for every stockholder is, of course, a courtier. The effect of these wars has been the commotion of almost the whole world; the loss of millions of lives; and the English nation stands at this day charged with a debt of about two hundred and fifty millions sterling, the annual interest of which and charges of collecting in that country is above eleven millions annually, and would be above fifteen in this.

It has been said that this is nothing in a national point of view, as the nation owes it to individuals among themselves. This is true only in part, as foreigners draw great sums. Yet it is believed that near half a million of the inhabitants of Great Britain, including army, navy, revenue, and stockholders, are supported from the Treasury. The whole of them, be the number what it may, must be considered as unproductive drones, who are ever ready to support the administration, be it ever so oppressive to their fellow-citizens.

There is another calculation said to be more exact, viz., that near a million of paupers, reduced by exorbitant taxes below the power of housekeeping, are dependent on national charity and poor-rates. Great cry has been made about Mr. Pitt as the political savior of his country — that he has paid part, and will finally discharge the whole, of the national debt. This is a vile deception. By some management between him and the stock-jobbers, as he buys they raise the price of the remaining stock, the aggregate value of which is now greater, at the market price, than when he began to purchase, so that the nation, instead of gaining, is a loser to the amount of the new duties. It is not likely that the trading of Government in stock or certificates ever will have a different effect.

There is another part of his conduct for which I am ready to give him proper credit. He seems by his sham armaments, to have hit on an expedient to plunder the nation without bloodshed. Let him enjoy this praise in common with other English robbers, who, unlike those of other nations, seldom accompany their depredations with murder. It is in vain to expect the payment of the British debt in any other way than by a national bankruptcy and revolution. Is this the precipice to which we would reduce the rising nation of North America? It may be said none of us will live to see it. Let us at least guard our memories from the approach of such misconduct.

It may be here asked, What, then, is to be done? Just what the public expectation called for. The Western lands have been considered from the beginning of the late contest as the fund for discharging the expenses of the war. The old Congress made laudable advances in this way. The present session has not passed without applications on that subject as well from companies among ourselves as persons from Europe. We have now a revenue far exceeding the limit, five per cent, which the desideratum of the old Congress and the want of which occasioned the formation of our present Constitution, and fully sufficient to discharge a reasonable interest, proportionate price of the public debt until the whole is extinguished by the Western sales. Thus no one will sustain loss. Substantial justice will be done, and the public expectation will be fully satisfied. But to bind down the public by an irredeemable debt with such sources of payment in our power, is equally absurd as shackling the hands and feet with fetters rather than walking at liberty.

The friends of the bill paid no attention whatever to me, and were but too successful in engaging the attention of others by nods, whispers, engaging in conversation, etc. Morris, Dalton, and some others went out and stayed for an hour. They carried the bill against us — fourteen to twelve. It is in vain to dissemble the chagrin which I have felt on this occasion.

We had a resolution relating to Howell's committee. I am of the committee. Report of joint committee on Settlement bill read for information, but could not be acted on, as the bill is in the power of the Lower House. I find I need be under no uneasiness about the Residence bill.

22
July 22d. — Attended at the Hall this day, as much to take the wrinkles out of my face, which my yesterday's disappointment had placed on it, as for anything else. It is in vain to think of changing a vote anyway; a majority are sold, and Hamilton has bought them. I can be of no further use, and will absolutely leave them. It is certainly a defect in my political character that I can not help embarking my passions and considering the interest of the public as my own. It was so while I was at the bar, in respect of my clients, when I thought their cause just. Well, be it so. It has its inconvenience, and hurts my health, but I declare I never will endeavor to amend it.

Attended all the committees on which I was, and gave my opinion as to the reports, etc. In Senate the Collection bill was reported. Almost an entire new system, or the old one so renovated as to make a volume of new work for Congress. I listened an hour to the reading of it. Rose, bade a silent and lasting farewell to the Hall, and went to my lodgings for the purpose of packing.

And now, at last, we have taken leave of New York. It is natural to look at the prospect before me. The citizens of Philadelphia (such is the strange infatuation of self-love) believe that ten years is eternity to them with respect to the residence, and that Congress will in that time be so enamored of them as never to leave them; and all this with the recent example of New York before their eyes, whose allurements are more than ten to two compared with Philadelphia. To tell the truth, I know no such unsocial city as Philadelphia. The gloomy severity of the Quakers has proscribed all fashionable dress and amusement. Denying themselves these enjoyments, they, as much as in them lies, endeavor to deprive others of them also; while at the same time there are not in the world more scornful or insolent characters than the wealthy among them. Witness the Wartons, Pembertons, etc. No, these feeble expectations will fail. Go they [Congress] must.

Nay, taking another point of view. Political necessity urges them and a disruption of the Union would be the consequence of a refusal. There is, however, a further and more latent danger which attends their going. Fixed, as Congress will be, among men of other minds on the Potomac, a new influence will, in all probability, take place, and the men of New England, who have hitherto been held in check by the patronage and loaves and fishes of the President, combined with a firm expectation that his resignation (which is expected) will throw all the power into their hands, may become refractory and endeavor to unhinge the Government. For my knowledge of the Eastern character warrants me in drawing this conclusion, that they will cabal against and endeavor to subvert any government which they have not the management of.

The effect must be sensibly felt in Philadelphia, should a great commercial town arise on the Potomac. She now supplies all the over-hill country, and even the frontiers of Virginia and other Southern States with importations. This must cease; nor need she expect a single article of country produce in return from the west side of Susquehanna.

It is true that the genius of Virginia and Maryland is rather averse to exclusive commerce. The Southern planter is situated on his extensive domain, surrounded with his slaves and dependents, feels diminution and loses his consequence by being jumbled among brokers and factors. And yet we have seen what Baltimore has become in a few years from the small beginnings of a few Pennsylvanians at first, and afterward by the accession of other strangers, for wherever the carcass of commerce is thither will the eagles of traffic be gathered. For my own part, I would rather wish that the residence of Congress should not be subject to commercial influence.

Too much has that influence, conducted by the interest of New England, whose naval connections throw them into that scale, governed — nay, tyrannized — in the councils of the Union. My consolation for going to the Potomac is, that it may give a preponderance to the agricultural interest. Dire, indeed, will be the contest, but I hope it will prevail. I can not, however, help concluding that all these things would have been better on the Susquehanna. But, query, is not this selfish, too? Ay, but it may, nevertheless, be just.


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126 which to be hard up for grub—I haven't seen so much as a flying squirrel for the last two days"

"Never say die," said Slinger encouragingly.

"Of course not," said Dodge, "I ain't saying die, am I? Excuse me, if I'm hasty; but there's two things I must have, my baccy and my grub, and I'm nearly out of both; so are you: my opinion is, we shall find nothing good in this quarter, and that the sooner we leave it the better." So it was at once agreed they should retrace their steps, and Dodge thereupon recovered his wonted good humour. Nothing seemed to escape his notice, and every hollow tree engaged his especial attention.

Whether it was that the effects of hunger lent an additional keenness to his faculties, we will not take upon us to say, but discovering the track of some animal upon the ground he followed it carefully, and finding it terminated at the base of a towering gum tree, upon the bark of which some scratches were visible, he was induced to look higher, and soon espied, perched on one of the topmost branches, an animal, which at the great height, looked scarcely larger than a rat. As he was seeking the most favorable spot from whence to bring down his game, he issued the following verbal invitation, "Mr. Dodge hopes shortly to have the pleasure of Messrs. Slinger and Raymond's company to dinner, and begs to intimate the convenience they will experience in bringing their own knives, forks, and plates. No answer required." As he uttered the last words, the crack of his rifle was heard, and before its echo had ceased, the luckless carbora fell crashing through the branches and lay dead upon the ground. A quarter of an hour found it cooking before a fire large enough to have roasted a sheep instead of an animal not half the size. When served up (which it was on a piece of dried bark) they

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