APRIL, 1816.]

Collection of the Revenue.

[H. of R.

place, and all that might hereafter take place. | England the banks have not stopped payment He hoped not to hear again that there was not in specie, and of course their paper has not been now time to act on this question. If other gen-depressed at all. But the notes of banks which tlemen considered the question as important as he did, they would not forbear to act upon it from any desire, however strong, to bring the session to an early close.

have ceased to pay specie, have, nevertheless, been, and still are, received for duties and taxes, in the places where such banks exist. The consequence of all this is, that the people of the United States pay their duties and taxes in currencies of different values in different places. In other words, taxes and duties are higher in some places than they are in others, by as much as the value of gold and silver is greater than the value of the several descriptions of bank paper which are received by Government. This difference, in relation to the paper of the District in which we now are, is twenty-five per cent.; taxes and duties, therefore, collected in Massachusetts, are one quarter higher than the taxes and duties which are collected, by virtue of the same laws, in the District of Columbia.

The situation of the country, said Mr. W., in regard to the collection of its revenues, is most deplorable. With a perfectly sound legal currency, the national revenues are not collected in this currency, but in paper of various sorts, and various degrees of value. The origin and progress of this evil are distinctly known, but it is not easy to see its duration or its future extent, if an adequate remedy be not soon found. Before the war, the business of the country was conducted principally by means of the paper of the different State banks. As these were in good credit, and paid their notes in gold and silver on demand, no great evil was experienced from the By the constitution of the Government, it is circulation of their paper. Not being, however, certain that all duties, taxes, and excises, ought a part of the legal money of the country, it could to be uniform throughout the United States; not, by law, be received in the payment of and that no preference should be given, by any duties, taxes, or other debts to Government. regulation of commerce or revenue, to the ports But being payable, and hitherto regularly paid, of one State over those of another. This conon demand, the collectors and agents of Govern-stitutional provision, it is obvious, is flagrantment had generally received it as cash; it had been deposited as cash in the banks which received the deposits of Government, and from them it had been drawn as cash, and paid out to creditors of the public.

ly violated. Duties and taxes are not uniform. They are higher in some places than in others. A citizen of New England pays his tax in gold and silver, or their equivalent. From his hand the collector will not receive, and is instructed by Government not to receive, the notes of the banks which do not pay their notes on demand, and which notes he could obtain twenty or twenty-five per cent. cheaper than that which is demanded of him. Yet a citizen of the Middle States pays his taxes in these notes at par. Can a greater injustice than this be conceived? Can constitutional provisions be disregarded in a more essential point? Commercial preferences also are given, which, if they could be continued, would be sufficient to annihilate the commerce of some cities and some States, while they would extremely promote the others. The importing merchant at Boston pays the duties upon his goods, either in specie or cash notes, which are at least twenty per cent., or in Treasury notes, which are ten per cent. more valuable than the notes which are paid for duties, at par, by the importing merchant at Baltimore. Surely this is not to be endured. Such monstrous inequality and injustice are not to be tolerated. Since the commencement of this course of things, it can be shown, that the people of the Northern States have paid a million of dollars more than their just proportion of the public burdens. A similar inequality, though somewhat less in degree, has fallen upon the States south of the Potomac, in which the paper in circulation, although not equivalent to specie, is yet of higher value than the bank notes of this District, Maryland, and the Middle States.

During the war, this state of things changed. Many of the banks had been induced to make loans to a very great amount to Government. These loans were made by an issue of their own bills. This proceeding threw into circulation an immense quantity of bank paper, in no degree corresponding with the mercantile business of the country, and resting on nothing for its payment and redemption but the Government stocks, which were holden by the banks. The consequence immediately followed, which it would be imputing a great degree of blindness both to the Government and to the banks to suggest that they had not foreseen. The excess of paper which was found everywhere, created alarm. Demands began to be made on the banks, and they all stopped payment. No contrivance to get money, without inconvenience to the people, ever had a shorter course of experiment, or a more unequivocal termination. The depreciation of bank notes was a necessary consequence of a neglect or refusal on the part of those who issued them to pay them. It took place immediately, and has continued, with occasional fluctuation in the degree of depression, to the present moment. What still further increases the evil is, that this bank paper being the issue of very many different institutions, situated in different parts of the country, and possessing different degrees of credit, the depreciation has not been, and is not now, uniform throughout the United States. It is not the same at Baltimore as at Philadelphia; nor the But it is not merely the inequality and injussame at Philadelphia as at New York. In New | tice of this system, if system it may be called

H. OF R.]

Adjournment.

[APRIL, 1816,

Ordered, That the title be" A resolution relative to the more effectual collection of the public revenue."

TUESDAY, April 30.

if not rather the want of all system-which call | engrossed and read a third time, was decided in for reform. It throws the whole revenue into the affirmative-yeas 79, nays 35. derangement, and endless confusion. It prevents the possibility of order, method, or certainty in the public receipts or disbursements. This mass of depressed paper, thrown out at first in loans to accommodate Government, has done litle less than to embarrass and distress Government. It can hardly be said to circulate, but it lies in the channel of circulation, and chokes it up by its bulk and its sluggishness. In a great portion of the country, the dues to Government are not paid, or are paid badly; and in an equal portion of the country the public creditors are not paid, or are paid badly. It is quite clear, that, by the statute, all duties and taxes are required to be paid in the legal money of the United States, or in Treasury notes, agreeably to recent provisions. It is just as clear, that the law has been disregarded, and that the notes of banks of a hundred different descriptions, and almost as many different values, have been received, and still are received, where the statute requires legal money or Treasury notes to be paid.

In these circumstances, I cannot persuade myself that Congress will adjourn without attempting something by way of remedy. In my opinion, no greater evil has threatened us. Nothing can more endanger, either the existence and preservation of the public revenue, or the security of private property, than the consequences which are to be apprehended from the present course of things, if they be not arrested by a timely and an effectual interference. Let gentlemen consider what will probably happen, if Congress should rise without the adoption of any measure on the subject.

The question on ordering the resolution to be

Traffic in Slaves in the District of Columbia. Mr. RANDOLPH, from the committee appointed legal traffic in slaves, carried on through the on the first of March last, to inquire into an ilmedium of this District, by persons in different States, reported various testimony collected by the committee, in the course of their investiga tion of the subject; but without other report of facts or opinions. The documents containing the testimony were ordered to lie on the table. Adjournment.

The House took up the resolution from the Senate, "for the appointment of a joint committee to wait on the President of the United States, and inform him of the intended recess of Congress;" which being read, was concurred in by the House, and Messrs. CRAWFORD and REED were appointed a committee conformably there to on the part of this House.

A message from the Senate notified the House that the Senate, having completed the legislative business before them, are about to adjourn.

Mr. CRAWFORD, from the joint committee ap pointed to wait on the President, reported that they had performed that duty, and that the President had informed them he had no further communication to make.

The SPEAKER then rose and addressed the House with some brief but cordial valedictory expressions; after which he adjourned the House sine die.

Proceedings.

FOURTEENTH CONGRESS.-SECOND SESSION.

BEGUN AT THE CITY OF WASHINGTON, DECEMBER 2, 1816.

PROCEEDINGS IN THE SENATE.

JOHN CONDIT and JAMES J. WILSON, from members of the Senate and House of Representatives, New Jersey.

Whereupon, on motion by Mr. MORROW, Resolved, That a committee be appointed to Mr. BARBOUR reported from the joint cominquire whether any, and if any, what legisla-mittee, that they had waited on the President tive measures may be necessary for admitting of the United States, and that the President had the State of Indiana into the Union, or for informed the committee that he would make a extending to that State the laws of the United communication to the two Houses this day at States. 12 o'clock.

The following Message was received from the vailing regulations the United States may oppose PRESIDENT OF THE UNITED STATES:

The importance which I have attached to the establishment of a University within this District, on s scale, and for objects worthy of the American nation, induces me to renew my recommendation of it to the favorable consideration of Congress. And I particularly invite, again, their attention to the expediency of exercising their existing powers, and, where necessary, of resorting to the prescribed mode of enThe reasonableness of the rule of reciprocity ap-larging them, in order to effectuate a comprehensive plied to one branch of the commercial intercourse, system of roads and canals, such as will have the has been pressed on our part as equally applicable effect of drawing more closely together every part of to both branches; but it is ascertained that the our country, by promoting intercourse and improveBritish Cabinet declines all negotiation on the sub-ments, and by increasing the share of every part in ject, with a disavowal, however, of any disposition the common stock of national prosperity.

Occurrences having taken place which show that the statutory provisions for the dispensation of criminal justice are deficient, in relation both to places and to persons, under the exclusive cognizance of the national authority, an amendment of the law, embracing such cases, will merit the earliest attention of the Legislature. It will be a seasonable occasion, also, for inquiring how far legislative interposition may be further requisite in providing penalties for offences designated in the constitution or in the statutes, and to which either no penalties are annexed, or none with sufficient certainty. And I submit to the wisdom of Congress, whether a more enlarged revisal of the criminal code be not expedient, for the purpose of mitigating, in certain cases, penalties which were adopted into it, antecedent to experiment and examples which justify and recommend a more lenient policy.

[SENATE.

residence at the seat of Government, official connections with it, and management of the public business before the judiciary, preclude an extensive participation in professional emoluments, be made more adequate to his services and his relinquishments; and that, with a view to his reasonable accommodation, and to a proper depository of his official opinions and proceedings, there be included in the provision the usual appurtenances to a public office.

In directing the Legislative attention to the state of the finances, it is a subject of great gratification to find, that, even within the short period which has elapsed since the return of peace, the revenue has far exceeded all the current demands upon the Treasury, and that, under any probable diminution of its future annual products, which the vicissitudes of commerce may occasion, it will afford an ample fund for the effectual and early extinguishment of the public debt. The United States, having been the first to abolish, It has been estimated, that, during the year 1816, within the extent of their authority, the transporta- the actual receipts of revenue at the Treasury, intion of the natives of Africa into slavery, by prohib- cluding the balance at the commencement of the iting the introduction of slaves, and by punishing their year, and excluding the proceeds of loans and Treascitizens participating in the traffic, cannot but be ury notes, will amount to about the sum of fortygratified at the progress, made by concurrent efforts seven millions of dollars; that during the same year, of other nations, towards a general suppression of so the actual payments at the Treasury, including the great an evil. They must feel, at the same time, payment of the arrearages of the War Department, the greater solicitude to give the fullest efficacy to as well as the payment of a considerable excess, betheir own regulations. With that view, the inter-yond the annual appropriations, will amount to about position of Congress appears to be required by the violations and evasions which, it is suggested, are chargeable on unworthy citizens, who mingle in the slave trade under foreign flags, and with foreign ports; and by collusive importations of slaves into The operations of the Treasury continue to be obthe United States, through adjoining ports and ter-structed by difficulties arising from the condition of ritories. I present the subject to Congress, with a the national currency; but they have, nevertheless, full assurance of their disposition to apply all the rem- been effectual, to a beneficial extent, in the reducedy which can be afforded by an amendment of the tion of the public debt, and the establishment of the law. The regulations which were intended to guard public credit. The floating debt, of Treasury notes against abuses of a kindred character, in the trade and temporary loans, will soon be entirely discharged. between the several States, ought also to be rendered The aggregate of the funded debt, composed of debts more effectual for their humane object. incurred during the wars of 1776 and 1812, has been To these recommendations I add, for the consid-estimated, with reference to the first of January eration of Congress, the expediency of a remodification of the judiciary establishment, and of an additional department in the Executive branch of the Government.

The first is called for by the accruing business which necessarily swells the duties of the Federal Courts; and by the great and widening space, within which justice is to be dispensed by them. The time seems to have arrived which claims for members of the Supreme Court a relief from itinerary fatigues, incompatible as well with the age which a portion of them will always have attained, as with the researches and preparations which are due to their stations, and to the judicial reputation of their country. And considerations equally cogent require a more convenient organization of the subordinate tribunals, which may be accomplished without an objectionable increase of the number or expense of the judges.

the sum of thirty-eight millions of dollars; and that, consequently, at the close of the year, there will be a surplus in the Treasury of about the sum of nine millions of dollars.

next, at a sum not exceeding one hundred and ten millions of dollars. The ordinary annual expenses of the Government, for the maintenance of all its institutions, civil, military, and naval, have been estimated at a sum less than twenty millions of dollars. And the permanent revenue, to be derived from all the existing sources, has been estimated at a sum of about twenty-five millions of dollars.

Upon this general view of the subject, it is obvious that there is only wanting to the fiscal prosperity of the Government, the restoration of a uniform medium of exchange. The resources and the faith of the nation, displayed in the system which Congress has established, insure respect and confidence both at home and abroad. The local accumulations of the revenue have already enabled the Treasury to meet the public engagements in the local currency of most of the States; and it is expected that the same cause will produce the same effect throughout the Union. The extent and variety of Executive business, also But, for the interests of the community at large, as accumulating with the progress of our country and well as for the purposes of the Treasury, it is essenits growing population, call for an additional depart-tial that the nation should possess a currency of equal ment, to be charged with duties now overburdening other departments, and with such as have not been annexed to any department.

The course of experience recommends, as another improvement in the Executive establishment, that the provision for the station of Attorney-General, whose

value, credit, and use, wherever it may circulate. The constitution has intrusted Congress, exclusively, with the power of creating and regulating a currency of that description; and the measures which were taken during the last session, in execution of the power, give every promise of success. The Bank of the