The Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1837-1845, 1838-12-18

Bpi, said Mr. w. we propose 10 delay me payment
at our own pleasure, and the terms o. The amend
ment were 10 DELAY Il al the LIST OF January, 1870
Now, was there any one present who believed that
there would be money In the Treasury 10 pay
this inslalment by that timel Not only was there
no money 10 pay this instalment now, but every one
believed that there would not be any by The Isl OF
January, 1870. This was the true state OF the case,
and on IL he was conienled TO rest the question.
Mr.. RIVES said he would ask the indulgence Of the
Senate while he assigned briefly the reasons for the vote
which he should give on the bill u had been urged
that the principles on which il rested were essentially
different from that original policy which the act Of
1896 was founded. Mr. X. could not see the subject
in thar light, but he considered the principles involved
IN this precisely the same as when the act
Of 1896 passed. The Senators from New York and
Missouri and at that time, held perfectly consistent
positions. The Senator from New York had now de-
clared that hereafter, under no circumstances, would
he vote to transfer the fourth nstsment TO the State
asurles, and for the consistent reason that ho was
ever opposed TO the act Of deposite. But while Mr.. X
believed he did IN the high policy aud wisdom Of that
act he could consent any way TO Its condem-
nation. And IN what respect this proposition DIFF
erent from that Of the act Of 1886 Was there any
thing in which i was different from that ! That and
this contemplate in precisely the same manner that
when there shall be surplus in the Treasury then tins
instslment should be deposited with the States. But
gentlemen tell that are not TO legisate on
any hypothesis of that Sort Yet the Secretary Of the
there great uncertainty TO the state Of the reve-
nue. year hence And to what had he referred for
the purpose Of proving To the experience OF few
years past, example Of which tho revenue in 1884
was 2l 100000 and in two years, to wit in 1886, Il
rose to S4s .0000 900 Although such a revenue Us
this highly improbable by 1910. yet all knew that
there was great uncertainty on the subject Foreign
commerce had been greatly depressed and embarrassed
and, when it should burst these bonds, who could tell
,hst would not, together with the land sales produce
superintendent revenue The Secretary OF the Trea-
suy had already proposed alarming system Of finance
founded on such anticipated result He had offered
proposition to give the Treasury Department per-
manent authority TO invest the expected surplus, from
time to time, should occur in the purchase Of State
stocks Aid now should not Congress anticipate this
alarming proposition, il a surplus likely to occur,
and carry out the mode adopted by themselves Of dis
posing Of that surplus Should they not forestal the
dangerous project Of The Secretary Of the Treasury
Mr. r. would appeal on this point to gentlemen who
voted for the act Of 1896 Was it not better to con-
summate the provisions Of that act rather than allow to
go into effect the alarming proposition OF the Secretary
OF the Treasury TO clothe his Department with the dis
creonary authority Of investing the surplus IN State
stocks thus giving the means OF substituting the States,
influencing sovereign communities as well as ndlvdu-
ais, and bringing them TO the footstoo Of Executive
power
Gentlemen had their different schemes Of dsbursing
the surplus. The Senator from Missouri had a vast
IL
lead TO the most exorbtant expenditures The Senator
from South Carolina Mr. Preston said that had not
realized the expected benefits of the act Of 1886 in
cubng the expenditures. But Mr.. r. would appeal to
him to say, the expenditures had been such under the
inducements TO restrain them supplied by the depose
act, what would they have been if instead Of restraint
the extraordinary smuous to extravagance administer
ed by large surplus at the disposal Of Congress had
been allowed to act without control Suppose the
scheme Of the Senator from Missouri (Mr Benon) had
been carried into effect, that other project Of the Sc
naor from Tennessee (Mr Grundy) to invest the sur
plus in purchasing, aiding TO construct the railroads
the country facilities the transportation OF the
mail, what would have been the result, il we had gone
into either of these projects According to the French
adage, Is the first step that COSTS and there would
have been no end to this abyss Of Congressional prod
gay. There had never been, under the peculiar cir
cumstances OF the case, wiser more beneficial act
to the People OF the United States than the Of 1896;
and Mr. r. would allow himself to nothing which
could IN any manner be construed into post facto
condemnation Of that act. There was pledge what
ever involved in the amendment Of the Senator from
Kentucky or If there any thing OF that kind, there
was as much OF it, if not more in the act Of the extra
session posponing this nstament AT the extra session
passed postponing to the LIST Of January,
1879, and there surplus anticipated at that time,
but the contrary, was expected nat the reasufy
would show an alarming deficiency, SO that Congress
were that absolutely necessary to issue Trea-
sury notes There much reason now to ex-
pect surplus than at that time, since further issue Of
Treasury notes is now recommended.
Mr. X. would give pledge in this that they
would transfer this nsalment to the States without
gard to the condition Of the United States Treasury
The idea which he acted last year, and which he
still prepared to act is, that this instamen, should
be transferred only the Of such state of
things producing surplus) made the act Of 1886
appear wise and necessary measure
Mr. r. considered the disposition nade Of the surplus
by the act Of 1896 as strictly deposiic. The power
and the right remained in Congress to recall the money
whenever it pleased, and this without any violation Of
the public faith. The Senator from South Carolina,
Mr. Cahoun) had suggested that in Of a foreign
war might be recalled and Mr. r, had doubt that
in great emergency OF that kind the power to recall It,
if retained, would DO exercised. II might be emnenty
proper recall in such case, and yet not proper to
have done so when the idea thrown at the extra
session by the other honorable Senator from South
Carolina (Mr Preston) that we should these our
resources instead Of resorting Treasury notes.
There obvious why should not then be
done, when the States well as this Government
borne down by distress and disaster Congress
ought to have destroyed the remaining energies Of
the country by pushing their claims TO the extreme of
legal demand But Mr.. r. was still for retaining the
power to call for these instruments that might be
done when necessary, without the imputation Of breach
of the public faith
There was another and high consideration, said Mr..
r. which made him prefer holding up this fourth install
ment Of the depostes to be hereafter transferred to
the States undor the Of 1886, if there should be at
any time surplus in the Treasury. 1t was now, land
he mourned the destines of his country when he
said it, unless could be found Of arresting
fatal and downward a tendency )-it is now matter
Of much more importance what were the views and
policy Of the Executive Department than those OF the
Leg satise, or even Of the people themselves. The
effect Of holding up this fourth nsament to be here
after deposited with the States whenever there shall be
surplus, will be to give the Executive Department. in
whosoever hands it may be- common interest with the
Legislature and the people, keeping down the revenue
the legitimate and economical wants OF the Govern.
nent Il can have no interest in creating surplas,