Resolved, That the goods imported in the said ship Amazon, and contained in the returns laid betere Congress by the assistant secretary at war, are fully covered and protected by the said passport, and ought to be sent with all expedition, and without any let or hinderance, to the prisoners for whose use they were designed.

[The evening of this day was spent at Mr. Fitzsimmons's by Mr. Gorham, Mr. Hamilton, Mr. Peters, Mr. Carroll, and Mr. Madison. The conversation turned on the subject of revenue, under the consideration of Congress, and on the situation of the army. The conversation on the first subject ended in a general concurrence (Mr. Hamilton excepted) in the impossibility of adding to the impost on trade any taxes that would operate equally throughout the United States, or be adopted by them. On the second subject, Mr. Hamilton and Mr. Peters, who had the best knowledge of the temper, transactions, and views of the army, informed the company, that it was certain that the army had secretly determined not to lay down their arms until due provision and a satisfactory prospect should be afforded on the subject of their pay; that there was reason to expect that a public declaration to this effect would soon be made; that plans had been agitated, if not formed, for subsisting themselves after such declaration; that, as a proof of their earnestness on this subject, the commander was already become extremely unpopular, among almost all ranks, from his known dislike to every unlawful proceeding; that this unpopularity was daily increasing and industriously promoted by many leading characters: that his choice of unfit and indiscreet persons into his family was the pretext, and with some the real motive; but the substantial one, a desire to displace him from the respect and confidence of the army, in order to substitute General ******* as the conductor of their efforts to obtain justice. Mr. Hamilton said, that he knew General Washington intimately and perfectly; that his extreme reserve, mixed sometimes with a degree of asperity of temper, (both of which were said to have increased of late,) had contributed to the decline of his popularity; but that his virtue, his patriotism and firmness, would, it might be depended upon, never yield to any dishonorable or disloyal plans into which he might be called; that he would sooner suffer himself to be cut to pieces; that he, (Mr. Hamilton,) knowing this to be his true character, wished him to be the conductor of the army in their plans for redress, in order that they might be moderated and directed to proper objects, and exclude some other leader who might foment and misguide their councils; that with this view he had taken the liberty to write to the general on this subject, and to recommend such a policy to him.]

FRIDAY, February 21.

Mr. MERCER made some remarks tending to a reconsideration of the act declaring general funds to be necessary, which revived the discussion of that subject. Mr. MADISON said, that he had observed, throughout the proceedings of Congress relative to the establishment of such funds, that the power delegated to Congress by the Confederation had been very differently construed by different members, and that this difference of construction had materially affected their reasonings and opinions on the several propositions which had been made; that, in particular, it had been represented by sundry members that Congress was merely an executive body; and, therefore, that it was inconsistent with the principles of liberty and the spirit of the constitution, to submit to them a permanent revenue, which would be placing the purse and the sword in the same hands; that he wished the true doctrine of the Confederation to be ascertained, as it might, perhaps, remove some embarrassments; and towards that end would offer his ideas on the subject.

He said, that he did not conceive, in the first place, that the opinion was sound, that the power of Congress, in cases of revenue, was in no respect legislative, but merely executive; and, in the second place, that, admitting the power to be executive, a permanent revenue collected and dispensed by them in the discharge of the debts to which it should be appropriated would be inconsistent with the nature of an executive body, or dangerous to the liberties of the republic.

As to the first opinion, he observed that, by the Articles of Confederation, Congress had clearly and expressly the right to fix the quantum of revenue necessary for the public exigencies, and to require the same from the states respectively, in proportion to the value of the land; that the requisitions thus made were a law to the states, as much as the acts of the latter for complying with them were a law to their individual members; that the Federal Constitution was as sacred and obligatory as the internal constitutions of the several states; and that nothing could justify the

states in disobeying acts warranted by it, but some previous abuse and infraction on the part of Congress; that as a proof that the power of fixing the quantum, and making requisitions of money, was considered as a legislative power over the purse, he would appeal to the proposition, made by the British minister, of giving this power to the British Parliament, and leaving to the American assemblies the privilege of complying in their own mode, and to the reasonings of Congress and the several states on that proposition. He observed, further, that by the Articles of Confederation was delegated to Congress a right to borrow money indefinitely, and emit bills of credit, which was a species of borrowing, for repayment and redemption of which the faith of the states was pledged, and their legislatures constitutionally bound. He asked whether these powers were reconcilable with the idea that Congress was a body merely executive. He asked what would be thought in Great Britain, from whose constitution our political reasonings were so much drawn, of an attempt to prove that a power of making requisitions of money on the Parliament, and of borrowing money, for discharge of which the Parliament should be bound, might be annexed to the crown without changing its quality of an executive branch, and that the leaving to the Parliament the mode only of complying with the requisitions of the crown would be leaving to it its supreme and exclusive power of legislation.

As to the second point, he referred again to the British constitution, and the mode in which provision was made for the public debts; observing that, although the executive had no authority to contract a debt, yet, that when a debt had been authorized or admitted by the Parliament, a permanent and irrevocable revenue was granted by the legislature, to be collected and dispensed by the executive; and that this practice had never been deemed a subversion of the constitution, or a dangerous association of a power over the purse with the power of the sword.

*

If these observations were just, as he conceived them to be, the establishment of a permanent revenue-not by any assumed authority of Congress, but by the authority of the states at the recommendation of Congress, to be collected and applied by the latter to the discharge of the public debts-could not be deemed inconsistent with the spirit of the Federal Constitution, or subversive of the principles of liberty; and that all objections drawn from such a supposition ought to be withdrawn. Whether other objections of sufficient weight might not lie against such an establishment, was another question. For his part, although for various reasons he had wished for such a plan as most eligible, he had never been sanguine that it was practicable; and the discussions which had taken place had finally satisfied him, that it would be necessary to limit the call for a general revenue to duties on commerce, and to call for the deficiency in the most permanent way that could be reconciled with a revenue established within each state, separately, and appropriated to the common treasury. He said, the rule which he had laid down to himself, in this business, was to concur in every arrangement that should appear necessary for an honorable and just fulfilment of the public engagements, and in no measure tending to augment the power of Congress, which should appear to be unnecessary; and particularly disclaimed the idea of perpetuating a public debt.

Mr. LEE, in answer to Mr. Madison, said the doctrine maintained by him was pregnant with dangerous consequences to the liberties of the confederated states; that, notwithstanding the specious arguments that had been employed, it was an

Among other reasons, privately weighing with him, he had observed that many of the most respectable people of America supposed the preservation of the Confederacy essential to secure the blessings of the revolution, and permanent funds for discharging debts essential to the preservation of union. A disappointment to this class would certainly abate their ardor, and, in a critical emergency, might incline them to prefer some political connection with Great Britain, as a necessary cure for our internal instability. Again, without permanent and general funds, he did not conceive that the danger of convulsions from the army could be effectually obviated. Lastly, he did not think that any thing would be so likely to prevent disputes among the states, with the calamities consequent on them. The states were jealous of each other, each supposing itself to be, on the whole, a creditor to the others. The Eastern States, in particular, thought themselves so with regard to the Southern States. (See Mr. Gorham, in the debates of this day.) If general funds were not introduced, it was not likely the balances would ever be discharged, even if they should be liquidated. The consequence would be a rupture of the confederacy. The Eastern States would, at sea, be powerful and rapacious; the Southern, opulent and weak. This would be a temptation; the demands on the Southern States would be an occasion; reprisals would be instituted; foreign aid would be called in by, first, the weaker, then the stronger side; and, finally, both be made subservient to the wars and politics of Europe.

established truth that the purse ought not to be put into the same hands with the sword; that like arguments had been used in favor of ship-money in the reign of Charles the First, it being then represented as essential to the support of the govern.nent; that the executive should be assured of the means of fulfilling its engagements for the public service. He said, it had been urged by several in behalf of such an establishment for public credit, that without it Congress was nothing more than a rope of sand. On this head he would be explicit; he had rather see Congress a rope of sand than a rod of iron. He urged, finally, as a reason why some states would not, and ought not, to concur in granting to Congress a permanent revenue, that some states (as Virginia) would receive back a small part by payment from the United States to its citizens; whilst others (as Pennsylvania) would receive a vast surplus, and, consequently, be draining the former of its wealth.

Mr. MERCER said, if he conceived the federal compact to be such as it had been represented, he would immediately withdraw from Congress, and do every thing in his power to destroy its existence; that if Congress had a right to borrow money as they pleased, and to make requisitions on the states that would be binding on them, the liberties of the states were ideal; that requisitions ought to be consonant to the spirit of liberty; that they should go frequently, and accompanied with full information; that the states must be left to judge of the nature of them, of their abilities to comply with them, and to regulate their compliance accordingly; he laid great stress on the omission of Congress to transmit half-yearly to the states an account of the moneys borrowed by them, &c., and even insinuated that this omission had absolved the states, in some degree, from the engagements. He repeated his remarks on the injustice of the rule by which loan-office certificates had been settled, and his opinion that some defalcations would be necessary.

Mr. HOLTON was opposed to all permanent funds, and to every arrangement not within the limits of the Confederation.

Mr. HAMILTON enlarged on the general utility of permanent funds to the federal interests of this country, and pointed out the difference between the nature of the constitution of the British executive and that of the United States, in answer to Mr. Lee's reasoning from the case of ship-money.

Mr. GORHAM adverted, with some warmth, to the doctrines advanced by Mr. Lee and Mr. Mercer, concerning the loan-office creditors. He said the union could never be maintained on any other ground than that of justice; that some states had suffered greatly from the deficiencies of others already; that, if justice was not to be obtained through the federal system, and this system was to fail, as would necessarily follow, it was time this should be known, that some of the states might be forming other confederacies adequate to the purposes of their safety.

This debate was succeeded by a discharge of the committee from the business of devising the means requisite for restoring public credit, &c. &c., and the business referred to a committee, consisting of Mr. Gorham, Mr. Hamilton, Mr. Madison, Mr. Fitzsimmons, and Mr. Rutledge.

No Congress till

TUESDAY, February 25.

In favor of the motion of Mr. GILMAN, (see the Journal of this date,) to refer the officers of the army for their half-pay to their respective states, it was urged that this plan alone would secure to the officers any advantage from that engagement; since Congress had no independent fund out of which it could be fulfilled, and the states of Connecticut and Rhode Island, in particular, would not comply with any recommendation of Congress, nor even requisition, for that purpose. It was also said that it would be satisfactory to the officers; and that it would apportion on the states that part of the public burden with sufficient equality. Mr. DYER said, that the original promise of Congress on that subject was considered, by some of the states, as a fetch upon them, and not within the spirit of the authority delegated to Congress. Mr. WOLCOTT said, the states would give Congress nothing whatever, unless they were gratified in this particular. Mr. COLLINS said, Rhode Island had expressly instructed her delegates to oppose every measure tending to an execution of the promise out of moneys under the disposition of Congress.

On the other side, it was urged that the half-pay was a debt as solemnly contracted as any other debt, and was, consequently, as binding, under the 12th article of the Confederation, on the states, and that they could not refuse a requisition made for that purpose;

that it would be improper to countenance a spirit of that sort by yielding to it; that such concessions on the part of Congress would produce compliances on the part of the states, in other instances, clogged with favorite conditions; that a reference of the officers to the particular states to whose lines they belong would not be satisfactory to the officers of those states who objected to half-pay, and would increase the present irritation of the army; that to do it without their unanimous consent would be a breach of the contract by which the United States, collectively, were bound to them; and, above all, that the proposed plan, which discharged any particular state which should settle with its officers on this subject, although other states might reject the plan, from its proportion of that part of the public burden, was a direct and palpable departure from the law of the Confederation. According to this instrument, the whole public burden of debt must be apportioned according to a valuation of land; nor could any thing but a unanimous concurrence of the states dispense with this law. According to the plan proposed, so much of the public burden as the half-pay should amount to was to be apportioned according to the number of officers belonging to each line; the plan to take effect, as to all those states which should adopt it, without waiting for the unanimous adoption of the states; and that, if Congress had authority to make the number of officers the rule of apportioning one part of the public debt on the states, they might extend the rule to any other arbitrary rule which they should think fit. The motion of Mr. GILMAN was negatived. See the ayes and noes on the Journal.

WEDNESDAY, February 26.

Mr. LEE observed to Congress, that it appeared, from the newspapers of the day, that sundry enormities had been committed by the refugees within the state of Delaware, as it was known that like enormities had been committed on the shores of the Chesapeake, notwithstanding the pacific professions of the enemy; that it was probable, however, that if complaint were to be made to the British commander at New York, the practice would be restrained. He accordingly moved that a committee might be appointed to take into consideration the means of restraining such practices. The motion was seconded by Mr. PETERS. By Mr. FITZSIMMONS the motion was viewed as tending to a request of favors from Sir Guy Carleton. It was apprehended by others that, as General Washington and the commanders of separate armies, had been explicitly informed of the sense of Congress on this point, any fresh measures thereon might appear to be a censure on them; and that Congress could not ground any measure on the case in question, having no official information relative to it. The motion of Mr. LEE was negatived; but it appearing, from the vote, to be the desire of many members that some step might be taken by Congress, the motion of Mr. MADISON and Mr. MERCER, as it stands on the Journal, was proposed and agreed to, as free from all objections.

A motion was made by Mr. HAMILTON to give a brevet commission to Major Burnet, aid to General Greene, and messenger of the evacuation of Charleston, of lieutenant-colonel; there being six ayes only, the motion was lost; New Hampshire, no; Mr. Lee and Mr. Mercer, no.

The committee, consisting of Mr. Lee, &c., to whom had been referred the motion of Mr. HAMILTON, recommending to the states to authorize Congress to make abatements in the retrospective apportionment, by a valuation of land in favor of states whose ability, from year to year, had been most impaired by the war, reported that it was inexpedient to agree to such motion, because one state (Virginia) having disagreed to such a measure on a former recommendation to Congress, it was not probable that another recommendation would produce any effect; and because the difficulties of making such abatements were greater than the advantages expected

from the.n.

Mr. LEE argued in favor of the report, and the reasons on which it was grounded. The eastern delegations were for leaving the matter open for future determination, when an apportionment should be in question.

Mr. MADISON said, he thought that the principle of the motion was conformable to justice, and within the spirit of the Confederation; according to which, apportionments ought to have been made from time to time, throughout the war, according to the existing wealth of each state; but that it would be improper to take up this case separately from other claims of equity, which would be put in by other states; that the most likely mode of obtaining the concurrence of the states in any plan,

would be to comprehend in it the equitable interests of all of them; a comprehensive plan of that sort would be the only one that would cut off all sources of future controversy among the states; that as soon as the plan of revenue should be prepared for recommendation to the states, it would be proper for Congress to take into consideration, and combine with it, every object which might facilitate its * progress, and for a complete provision for the tranquillity of the United States. The question on Mr. Hamilton's motion was postponed.

The letter from Mr. Morris, requesting that the injunction of secrecy might be withdrawn from his preceding letter, signifying to Congress his purpose of resigning, was committed.

THURSDAY, February 27.

On the report of the committee on Mr. Morris's letter, the injunction of secrecy was taken off without dissent or observation.

The attention of Congress was recalled to the subject of half-pay by Messrs. DYER and WOLCOTT, in order to introduce a reconsideration of the mode of referring it separately to the states to provide for their own lines.

Mr. MERCER favored the reconsideration, representing the commutation proposed as tending, in common with the funding of other debts, to establish and

* He had in view the following objects: First, the abatements proposed by Mr. HAMILTON. Second, a transfer, into the common mass of expenses, of all the separate expenses incurred by the states in their particular defence. Third, an acquisition to the United States of the vacant territory. The plan, thus extended, would affect the interest of the states as follows, viz.: New Hampshire would approve the establishment of a general revenue, as tending to support the Confederacy, to remove causes of future contention, and to secure her trade against separate taxation from the states through which it is carried on. She would also approve of a share in the vacant territory. Having never been much invaded by the enemy, her interest would be opposed to the abatements and throwing all the separate expenditures into the common mass. The discharge of the public debts from the common treasury would not be required by her interest, the loans of her citizens being under her proportion. See the statement of them. Massachusetts is deeply interested in the discharge of the public debts. The expedition to Penobscot alone interests her, she supposes, in making a common mass of expenses; her interest is opposed to abatements; the other would not peculiarly affect her.

Rhode Island, as a weak state, is interested in a general revenue, as tending to support the Confederacy, and prevent future contentions; but against it, as tending to deprive her of the advantage, afforded by her situation, of taxing the commerce of the contiguous states. As tending to discharge, with certainty, the public debts, her proportion of loans interest her rather against it. Having been the seat of war for a considerable time, she might not, perhaps, be opposed to abatements on that account. The exertions for her defence having been previously sanctioned, it is presumed in most instances she would be opposed to making a common mass of expenses. In the acquisition of vacant territory, she is deeply and anxiously interested.

Connecticut is interested in a general revenue, as tending to protect her commerce from separate taxation from New York and Rhode Island, and somewhat as providing for loan-office creditors. Her interest is opposed to abatements, and to a common mass of expenses. Since the condemnation of her title to her western claims, she may, perhaps, consider herself as interested in the acquisition of the vacant lands. In other respects, she would not be peculiarly affected.

New York is exceedingly attached to a general revenue, as tending to support the Confed eracy, and prevent future contests among the states. Although her citizens are not lenders beyond the proportion of the state, yet individuals of great weight are deeply interested in provision for public debts. In abatements New York is also deeply interested; in making a common mass, also, interested; and since the acceptance of her cession, interested in those of other states.

New Jersey is interested, as a smaller state, in a general revenue, as tending to support the Confederacy, and to prevent future contests, and to guard her commerce against the separate taxation of Pennsylvania and New York. The loans of her citizens are not materially dispro portionate. Although this state has been much the theatre of the war, she would not, perhaps, be interested in abatements. Having had a previous sanction for particular expenditures, her interest would be opposed to a common mass. In the vacant territory, she is deeply and anxiously interested."

Pennsylvania is deeply interested in a general revenue, the loans of her citizens amounting to more than one third of that branch of the public debt. As far as a general impost on trade would restrain her from taxing the trade of New Jersey, it would be against her interest. She is interested against abatements, and against a common mass, her expenditures having been always previously sanctioned. In the vacant territory she is also interested.

Delaware is interested, by her weakness, in a general revenue, as tending to support the Confederacy and future tranquillity of the states; but, materially, by the credits of her citizens. Her interest is opposed to abatements, and to a common mass. To the vacant territory she is firmly attached.

Maryland having never been the seat of war, and her citizens being creditors below her pro