The Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1837-1845, 1838-04-05
COMMUNICATIONS.
" ...... FOR THE MADIsoNIAN.
PUBLIUS-NO. XXVI.

The chief and only substantial purpose of the
friends of the Sub-treasury scheme, has, IRON It's
first suggestion by the President ofhe o. States been
to exclude State bank notes, entirely but by degrees
and in short time, in collecting the national re-
venues and to dispense with all State bank agen-
cy in conducting the operations OF the Federal fea-
sury Such was the principal provision of the bill
lately introduced into the Senate by the Committee
on Finance, and on which luminous discussion,
unsurpassed for ability, eloquence and research, by
any previous one, in the legislative annals OF this
country has been heightened out for four or five
weeks in the Senate and in all probability, is des
tined to be protracted for months in the House of
Representatives and again in the Senate. On the
motion of Mr. Cuthbert, of Georgia, the section OF
the bill which provided for that exclusion of bank
notes and bank agency, was struck out by vote of
81 to 81 and yet the bill has passed the Senate by
majority of two; Mr.. Calhoun being the only unin-
structed one of the friends of the hard money fea-
ture of the bill, who voted against the bill, after
MIR. Cuthbert's motion prevailed. 1t cannot, pro-
badly be truly said that Mr.. Calhoun is the only
member of the Senate friendly to the bill, while 1t
contained the hard money feature, who understands
the measure but it may with truth be said that he
is the only friend of the measure who gave sensi-
Bile vote and in good faith, consistently with the pur-
pose for which the bill was introduced, and in view
of which it has been so strenuously defended. 1t is
idle for the friends of the BILL it now is, to say it
WILL if adopted, revive the policy OF the resolution
of 1876 That policy has not been impaired or re-
pressed, except by the illegal specie circular re-
specting land sales which emanated from the Trea-
sury Department in 1886, under the direction of the
old Hero" who doubtless deemed it salutafy pro-
ceeding. The policy OF that resolution was, and is,
that the notes of specie paying banks should and shall
be received by the federal government, in all colec
tlonS OF its revenues. When the banks suspended
cash payments, in May last and the government sus-
pended The receipt of their notes il did not infringe
the policy OF that resolution, but only conformed to
IT, Whhout The Snb-treaSury bill, as it now is, and
Wilhout any additional legislation, the government
would be bound in conformity TO the resolution of
1876 to receive the notes of specie paying banks:
and likewise, in conformity TO that wise resolution
the government is now bound to deny the notes Of
the banks, while they deny specie for their notes.
What then is the scope and what the effect of the
Sub-treasury bill, in the shape it has passed the
Senate This, and nothing more, TO wit 1t en-
braces the receivabty of State bank notes in col
lecting the federal revenues, and excludes the
State banks, as repositories! 1t substitutes exc
cuive agents, as the keepers of the revenues
collected in State Bank notes, when the banks
shall have resumed cash payments and makes
the same proposed agents the keepers of the
revenue collected in gold and silver during the in.
'erya before the resumption OF cash payments by the
banks! 1t in substance says to the State Banks:
The government of the United States will trust YOU
SO lar as to receive your notes and TO this extent
keepup the intimate relation which has so long sub
S'Sea and pursuant to the resolution of 1916; but it