CH. I.] NATIONAL BANK ESTABLISHED. the scheme of the secretary, as contained in an elaborate letter to the committee, was reported by its chairman without change, to the House. The federalists, singularly enough as it seems, opposed the bank scheme, and such men as Pickering and Webster were among its sturdiest opponents. Henry Clay, who, some years before, (see p. 128,) had distinguished himself as an opponent of the bank, now became an advocate for its establishment; and he and John C. Calhoun exerted themselves, with great energy, towards obtaining the approbation of Congress for this important measure. 301 1816. bank were as follows. Its charter was Our limits do not admit of details in respect to the earnest and able debates on this litigated topic; we must refer the reader to Mr. Benton's carefully prepared volumes, containing an abridged by the government, the rest electment of the debates in Congress. The various and weighty reasons urged on either and both sides of this question, are well worthy of study, especially in view of what has occurred at a later date in connection with the financial condition and arrangements of the government of our country. ed yearly by the stockholders, some being changed at each election, on the principle of rotation. The directors were to choose one of their number as president, annually; but resident citizens alone were eligible as directors. Its notes were made receivable in all payments to the United States; and it was to hold the public money, and in return, to transmit and pay the public money without any kind of charge. Specie payments were not to be suspended, unless by the authority of Congress, or of the president of the United States; and $1,500,000 were to be paid in instalments at the end of two, three, and four years, as a bonus for the char On the 14th of March, the bill passed the House of Representatives, by a vote of eighty to seventy-one and on the 3d of April, was approved by the Senate, by a vote of twenty-two to twelve. The president, notwithstanding his course on a previous occasion, (see p. 261,) gave his approval to the bill, on the 10th of April; and the Bank of the United States thenceforward en-ter of the bank. tered upon its career, whether for good or evil remains to be seen. The principal features of the new A bill, altering the mode of paying the members of Congress, was passed near the close of the session, and excited not only unusual interest, but a considerable amount of popular clamor. Instead of the six dollars per day, which they had been receiving, they now voted themselves a salary of $1,500 per annum, whether the session was long or short. We may mention here, that so much dissatisfaction was manifested in the community on account of this proceeding, that at the next session, the law was repealed by a large majority, and eight dollars per day was substituted, as, on the whole, most equitable, and likely to be productive of the best result. In addition to what we have stated above, respecting the action of Congress during the present session, there were also large appropriations voted for the increase and efficiency of the army and navy, and for coast and harbor defences; for the purchase of custom houses at some of the great ports; for the repair of the Capitol 1816. and public buildings at Washington; for the reward of the crews of some vessels which had fought well in the late war; for the pensioning of invalid soldiers, and the families of those who had fallen in battle, etc. The question of ratifying the commercial convention with England came up, early in the session, and the old dispute was revived, of which we have spoken in giving an account of Mr. Jay's treaty. (See vol. ii., p. 372.) Considerable difference of opinion prevailed between the Senate and the House as to the proper method of giving effect to the reciprocity clause of the convention; the debate was conducted with great ability on both sides; and the matter was finally compromised by passing an act, simply declaring that the discrimi nating duties were repealed. At the end of December, 1815, the president sent in the long and important correspondence between the Spanish minister and Mr. Monroe, the secretary of state; a month later, papers were com municated respecting the Dartmoor massacre (p. 295); in March, Mr. Randolph obtained the passage of a resolution intended to free the District of Columbia from the disgrace of being a depot for the slave trade of the neighboring states; and on the 30th of April, Congress adjourned. Before the adjournment of Congress, a caucus of the republican members was held, for the purpose of agreeing upon a candidate for president, it being understood, that Mr. Madison purposed following the example of his predecessor, and retiring to private life. The predominance of Virginia was still evident, and there was no serious opposition to James Monroe being put in nomination for the highest office in the people's gift.* A portion of the democracy, it is true, was desirous of elevating a New York man, Daniel D. Tompkins, to the presidential chair, but, wisely for his interests, withdrew his name, when it was offered to make him the candidate for vice-president. Others of the party, who disliked the rule of the Old Dominion, named Wil * Aaron Burr, writing to his son-in law, Allston, in November, 1815, urged him to anticipate the dictation of Virginia, and to free the states from her tyranny, by securing a nomination for Andrew Jackson, a scheme which Burr regarded as certain of success. CH. I.J JAMES MONROE ELECTED PRESIDENT. liam H. Crawford, of Georgia, and Simon Snyder, of Pennsylvania, as candidates, in place of Monroe and Tompkins, and the caucus balloted on their respective claims, in spite of a motion to declare such nomination of members of Congress inexpedient. Sixty-five voted for Monroe, and for Crawford only fifty-four; Tompkins received eighty-five votes, Snyder only thirty; Monroe and Tompkins were, therefore, the accredited candidates of the party. The federalists, although there was no hope of their being able to elect their candidate, named Rufus King again, for president, and left the electors to fix upon whom they pleased for vice-president. 303 which, it will be remembered, all south The election was held in the autumn, and resulted as follows:-for Monroe and Tompkins, New Hampshire, Vermont, Rhode Island, New York, New Jersey, Pennsylvania, Maryland, Virginia, the Carolinas, Georgia, Louisiana, Tennessee, Kentucky, Ohio, and Indiana, voted entire; and each received a hundred and eighty-three votes. Rufus King received all the votes of Massachusetts, Connecticut, and Delaware -thirty-four. Massachusetts bestowed its twenty-two votes on John E. How-sound circulating medium, and a safe ard for the vice-presidency; Connecticut, five of its votes on James Ross, and four on John Marshall; and Delaware, its three upon R. G. Harper. And there were three vacancies in the electoral college of Maryland, and one in that of Delaware. One of the principal objects of those who favored the establishment of a national bank was, to compel the state banks to resume specie payments, place of deposit for the national treasure. The books of subscription to the capital stock had been opened early in the spring, and it was found, by the returns received in August, that shares amounting to more than $3,000,000 had not been taken. Stephen Girard, of Philadelphia, immediately filled up the deficient subscription, and it was determined to commence operations, if pos sible, on the 1st of January, 1817. For immediate use, an agent was sent to England to obtain $5,000,000 in specie, on account of the bank. The second session of the fourteenth Congress was commenced on the 2d of December, and the next day the president sent in his eighth and last annual message. It is a long and interesting document, and abounds in evidences of the earnest patriotism of the man who, for eight years past, had been called upon to administer the government of our beloved country. He adverts, in the opening of his message, to some unfavorable circumstances, as the partial failure of the crops, the depression of the manufactures of the country, the languishing of navigation, etc. Foreign affairs were generally in a 1816. quiet condition, and the Indian tribes were gradually improving in progress towards civilization. The organization of the militia, the establishment of a uniform system of weights and measures, the erection of a national university, an amendment of the law in relation to criminal trials, the prevention of the African slave trade, and a proposal to remodify the federal judiciary, and to add another department to the executive branch of government, were all touched upon in succession. In respect to the finances, the president expressed his gratification to find, that even within the short period which had elapsed since the return of peace, the revenue had far exceeded all the current demands upon the treasury; so that an ample fund for the extinction of the debt was afforded, even though, through the vicissitudes of commerce, any diminution should occur in its fu ture annual product. Exclusive of loans and treasury notes, it was calcu lated that the actual receipts, including the balance in hand at the commencement of the year, amounted to about $47,000,000. The total of actual payments was about $38,000,000; so that there was a surplus of some $9,000,000. The condition of the national currency was pointed out as the main source of the difficulties which obstructed the operations of the treasury. Yet there was hope in that quarter; for the Bank of the United States had been organized under most favorable auspices, and could scarcely fail to be a most important auxiliary. The floating debt, it was expected, would soon be entire ly discharged. The funded debt had been estimated at a sum not exceed ing $110,000,000. The ordinary annual expenses were reckoned at under $20,000,000; and the permanent revenue, from all sources, at about $25,000,000. For other favorable cir cumstances connected with the financial position of affairs, reference was made to the statement of the secretary of the treasury. Conscious that his term of office was now nearly closed, the president alludes, in grateful language, to the confidence reposed in him by his country; eulogizes the Constitution by which our liberties are secured; and, reading in the character of the American people 1816. their devotion to true liberty, and their determination to support “a government whose conduct, within and without, shall bespeak the most noble of all ambitions that of promoting peace on earth and good will to man. ย CH. I.] CALHOUN ON INTERNAL IMPROVEMENTS. he concludes his message by saying; "these contemplations, sweetening the remnant of my days, will animate my prayers for the happiness of my beloved country, and a perpetuity of the institutions under which it is enjoyed." Congress, sincerely anxious to discharge the weighty duties imposed upon them, seconded the views of the president, and entered zealously upon their work. One act of great moment was passed, as it provided for the paying off of the national debt by annual instalments of $10,000,000. For the debt, in fact, exceeded $120,000,000, and neither could Mr. Madison, nor could any one who had borne a part in the management of affairs when it was contracted, properly leave office without making some provision for its ultimate extinction. But it appears to have been chiefly by the exertions of William Lowndes, chairman of the committee of ways and means, that this act was carried successfully through Congress. The subject of internal improvements again gave rise to animated debates in Congress. On motion of John C. Calhoun, in December, 1816, a resolution was proposed, directing the appointment of a committee to inquire into the desirableness of setting apart the bonus and net annual profits in the form of dividends, of the national bank, as a permanent fund for internal improvements. This being adopted by the House, there resulted, on the 23d, a bill constructed for the purpose of securing that end. It was fully considered in a committee of the whole, early in February, 1817, and slightly amend VOL. III.-39 305 ed, mainly by the influence of Mr. Pickering. In the Senate, after it had passed the House, it was further amended, and the amendment was accepted by the House. It passed finally on the 8th of February. Mr. Calhoun's view of the question was large and clear, and expressed in his most masterly manner. The value of a well-arranged system of internal communications by road and water; the magnitude of some of the most desirable works of both kinds; the facility with which private and state enterprise could harmonize with, and supplement the undertakings of Congress; the addition to the sum of national wealth made by increasing the accessibility of the ports and markets for the producers; the additional tax-paying power of the country in consequence; the tendency to promote the stability of the Union;-were all urged as preliminary considerations to the discussion of the constitutionality of the proposal. And its entire accordance with the charter of our Union, interpreted by "plain good sense," he stoutly and intelligently maintained; urging the purchase of Louisiana, and the construction of the Cumberland road, as precedents for the views he advocated.* Henry Clay's speech in favor of the bill repeated Calhoun's arguments, and urged others which produced their effect upon the House. The president, however, on the last day of his official career, returned the *For Calhoun's speech on this topic, see "American Eloquence," by Frank Moore, vol. ii., pp. 479-82. |