The Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1837-1845, 1837-09-06

by successive laws, from the time Of the hrst Congress
under the Constitution, down 70 the last Such prece
dents never objected 10, and proceeding from such
sources afford decisive answer 10 tho inputation OF
inequality or injustice.
But in fact the measure is OF restriction, not OF
favor To forbid the public agent to receive in pay
ment any other than certain kind OF money Is TO re-
fuse him discretion possessed by every citizen II
NAV be left TO those who have the management Of their
own transactions TO make their terms but no such
discretion should be given to him who acts merely as
an agent OF the people who is TO collect what the law
requires and TO pay the appropriations II makes when
bank notes are redeemed demand, their is then no
in reality for the individual who receives
them nav at his option, substitute the specie for them
he takes them from convenience or choice. When
they are not so redeemed will scarcely be commended
that their receipt and payment by public officer should
be permitted though deny that right to an ind-
vdual il it were, the effect would be most injurious 10
the public since their officer could make Of those
arrangements 10 guard against the depreciation
which an individual liberty 10 da, Nor incon-
yepience to the community he aedged an objection
TO such regulation It's object and motive are their
convenience and welfare
II at moment OF simultaneous and unexpected sus-
pension by the banks it adds something to the many
embarsssments Of that proceeding, yet these are far
ovebaanced by the direct tendency produce wider
circulation Of gold and silver to increase the safety Of
bank paper improve the general currency, and thus
prevent altogether those occurrences, and the other
and far greater evils that attend them.
It may, indeed. be questioned, whether it is not for
the interest of the banks themselves that the govern
ment should not receive their paper. They would be
conducted with caution, and sounder principles
BY using specie only in its transactions the Government
would demand for it, which would, to great
extent, prevent its expectation, and. by keeping u IN
circulation maintain broader and safer basis for the
paper currency That the banks would thus be render
ed more sound, and the community more safe, cannot
admit of q doubt.
The foregoing views il seems to me, do hut fairly
carry the provisions Of the Federal Constitution IN
relation the currency, far relates to the public
revenue At the time that instrument was framed, there
were but three or four banks in the United States and
had the extension Of the banking system, and the evils
growing out Of it, been oreseen, they would probably
have been specially guarded against The same policy
which led to the prohibition Of bills OF credit by the
States, would doubtless in that event, have also IN
tericted their issue currency IN any other iorm
The constitution, however contains such prohibition
and since the States have exercised, for nearly hall
a century, the power 70 regulate the business oil
banking is not 10 be expected that will DC abandon
ed. The whole matter is now under discussion before
the proper tribunalthe people Of the States Never
before has the public mind been thoroughly awaken
ed to proper Of its Importance never has the
subject all its bearings, been submitted to so search
ing inquiry II would be distressing the intelligence
and virtue Of the people to doubt the speedy and ETH
Gent adoption Of such Of reform the public
gOOu demands. All tnut CdH IBnty pc uone W tuc
Federal Government to promote tho accomplishment
Of that important object, will without doubt, be per-
formed
In the mean time it is duty to provide all the
medes against deprecated paper currency which the
constitution enables to afford The Treasury De-
partment several former OCCASIONS has suggested
the propriety and Importance Of uniform law concern
ing bankruptcies Of corporations and other bankers
Through the instrumentsty Of such law, sautary
check may doubtless be imposed the issues Of paper
money and eectual remedy given to the citizen in
way at equal in all parts Of the Union, and fully
authorised by the constitution.
The indulgence granted by executive authority, in
the payment Of bonds for duties, has been already men,
toned Seeing that the immediate enforcement Of these
obligations would subject large and highly respectable
portion Of citizens to great sacrifices, and believing
that temporary postponement could be made without
detrment to other interests and with increased certain
ty OF ultimate payment did not hesitate to comply
with the request that was made mo- The terms allow
ed are the full extent, liberal any that to DO
found in the practice Of the Executive Department 1t
remains for Congress to decide whether further post
ponement may not, with propriety, be allowed and If
SO, their legislation on the subject is respectfully my-
ted. o." .,.". n /.
The report of the Secretary Of the Treasury will
hib the condition Of these debts the extent and eff
feet Of the present indulgence the probable result OF It's
further extension the state o. the Treasury and
every other fact necessary full consideration Of the
subject Similar information is communicated in re-
gard such repositories of the public moneys are
indebted to the Government in order that Congress may
also adopt the proper measures in regard 10 them
The receipts and expenditures for the first half OF the
year. and estimate Of those for the residue, will be
laid before you by the Secretary Of the Treasury In
his report of December last estimated that the
current receipts would fall short Of the expenditures by
about three millions of dollars 1t will be that the
difference will be much greater This to be attributed
not only to the Of greater pecunay embar
~ he thanth nea
which were then predicted and consequently, greater
dmnuton in the revenue but also to the fact that the
appropriations exceeded, by nearly six millions, the
which asked for in the estimates then sub
mtted The necessary for the service OF the year
beyond the probable receipts and the amount which it
intended should be reserved in the Treasury at the
commencement OF the year, will be about six millions.
If the whole Of the reserved balance be not at once a
piled to the current expenditures but four millions be
still kept in the Treasury most expedent for
the uses of the Mint, and to meet contingencies the
needed will be ten millions.
In making this estimate the receipts calculated on
the supposon of further extension OF the indu
gence granted in the payment of bonds for duties which
will affect the amount of the revenue for the present
year to the extent Of two and half millions.
1t is proposed to procure the required amount by
loans or increased taxation. There now in the
Treasury nine millions three hundred and sxty.seven
thousand hundred and fourteen dollars, directed by
the act Of the 23d Of June 1885, to be deposited with
the States in October next This sum, If so deposited,
will be subject, under the law to be recalled If needed
to defray existing appropriations and, as is now evil
dent that the whole principal part of it, Will be
wanted for that purpose it appears most proper that the
depos,e should be withheld Until the amount can be
collected from the banks Treasury notes may be tempo
rary issued TO be gradually redeemed as it is recciv-
ed.
am that this course may be productive Of in
convenience to many Of the States. Relying upon the
OF Congress which held them the strong pro-
liability, If not the certainty, Of receiving this install
ment, they have in instances adopted measures
with which its retention may seriously interfere That
such condition Of things should have occurred much
TO be regretted It is not the least among the uniotu
results Of the disasters of the times and it is for
Congress to devise fit remedy, if there be one. The