Burlington free press. [volume] (Burlington, Vt.) 1827-1865, 1841-08-06
THE FISCAL BANK BILL.
MIR. CLAY'S SPEECH, ON THE AMEND
MENT OF MIR. RIVES.
IN SENATE, July l. 1Sil.

IN SENATE, July 1. lc4l'
Mr.. Clay, of Kentucky, addressed the Senate
as follows
regret extremely that the senator from Nr-
ginia, (Mr. Rives,) has felt himself constrained
BY a sense of duty to submit this amendment.
No, good nothing fear, but unmxed mischief,
can come out of it, although | am quite sure
this is far from the intention OF the senator.
The people want at our hands a bank---a real,
old fashioned bank---sucha one as they and their
fathers have tried and experienced the benefits
of. Now the institution, the proper organization
of which we are considering is to be national
bank or a local bank If it is to be national
bank, we have the power to make it, or we have
not. If we have the power, if the states have
already consented, in the constitution, to the es-
Enlistment of a national bank, no further or
other consent from them is necessary Indeed,
if they have not already given their assent IN the
constitution, they cannot give 1t in any mode
other than that which the instrument itself pre-
scribes, according to which there must be the
concurrence of three -iourths of the states.
This, think, is too clear for argument. II we
have nopower to make an undisgused national
bank, we ought not to attempt it, We ought not
TO seek to accomplish indirectly what we are not
authorized or forbidden to do directly THIS
District of ten miles square was placed under
the jurisdiction the General Government, that
the Federal authorities might govern it, not that
by means of the local jurisdiction, the whole
Union should be governed or controlled. We
ought not to apply apowcr granted for one pur-
pose to the attainment OF another purpose, ior
which it is not granted. | do not think, then,
that we can establish local bank, and impart
10 it national faculties or functions. But the
Bank whchthe senator frcm Virginia proposes
is, mantestly, mere local Bank of the District
of Columbia. The Senator might have spared
himself some time in proving the power of Con-
gress to establish such bank. There can be
40 doubt o! the existence OF such a power. 1t
has been again and again exercised, in the
chartering oithe Bank of Washington, the Bank
fthc Metropolis, the Patriotic and other banks.
Any one ofthose banks might have asked the
permission of state to establish branch with
in its borders. The bank under consideration
if amendcd as proposed, would not essentially
differ from them, except in the magnitude of
its capital and the interest which the Govern
men. takes in it,
Assuming the existence OF the power as a
settled and legitimate power, it ought to be eX-
crcised for the benefit of the whole Union, and
it ought to be 50 exercised, without soliciting
any further consent from the States. If it be a
Federal power.--i it be granted in the Const-
tuition, uponwhat possible ground or principle
can we place our justification for not exercising
the power, without the previous consent of the
s ates, to be expressed hereafter in separate
acts And five established the rule that, pr-
or to the exercise of the constitutional power to
establish bank, we must obtain the consent of
the States, what are the limitations if any, to
the rule Must we not ask the previous con-
sent OF the States in every instance Of the eXer-
else, the power granted in the Constitution to
the Federal Government! If we propose to
..tnt.l ,.t liz.
State, or to lay and collect taxes, or to perform
any other Federal duty appertaining to this Gov
crnn.ent, must we not solicit the previous con-
cent of the States
The Senator from Virginia argues that, in
making such bank as he wished, we only for
bear to exercise the power il we have it, to es.
tabsh National bank !; and that forbearance
to exercise is no abandonment the power and
that IT has bank does not work well we can here
after resume the power and make another bank.
1t is very true that, in consentnr to make such
bank as he proposes, we do lorbear to exercise
the power to establish a National Bank ; for
there Is quite as much difference between his
bank and National, as there is between any
other local bank, any State Bank and National
Bank. Just as much difference as here is be.
tween Bank ofthe District Of Colum5ia and a
Bank OF the United STATES. AS general promo.
sition, it may be true that lorbearance to cxer.
else power is not tantamount to the surrender
OF the power. But there may be, on the other
hand, case of such marked and peculiar char
acter, that the voluntary forbearance TO eXer
Aclse given power amounts to virtual surren.
der of that power. And think the bank ques
tion is such case. 1t has been contested for
fifty years. and variously decided. During the
last eight or ten years the contest has been con
Quoted with the greatest zeal and earnestness
not to say bitterness. The defeated party, no
much short OF moie'y of the nation, stoutly de
MES, as party, the power. Now, if the trium
plant party, at the close OF the contest, refuse
to exercise the power, will it not be hercalte
constructed as virtual or implied relnqush
ment of the power! Ii that party, moreover
declining to exercise the power, puts forth il
lieu, but in the name of a National Bank,
rickety imbecile, incompetent local Bank, whic
think, cannot fail to disappoint the hopes ant
expectations OF the People, how could you a
forwards resume the relinquisled power J.
why, the People would become so dsguste
with the very name of Bank of the Unite
States, that they would not allow you to re
sumo the power.
The Senator tells us that if his expermer
iall, we may then make bank after the o
model.--Why, sir, what have we been strus
Cling against for the last eight years Exper
ihOHt ai'Sl experiment., uEll our country na
been brough. to the very brink of ruin. An
and at the very moment when we have n
merely seen land, but got, as all had hoped, il
to a sale port; when storms, and tcmpests, al
experiments were at an end and the bright 81
OF hope and prosperity was bursting on OF
JOYFUL vision, the Senator from Virginia com,
forward and asks us once more to put to 81
with HIM on distant and perilous cruise, al
to try another experiment
The proposition which requires the conse
OF State within whose limits branch is place
proceeds upon the erroneous assumption tn
the branch is introduced for the sole benefit
the particular State. But that is not the car
1t is put there for the benefit OF the Union,
GLIDING the particular State. If the FEEDER
power to put it there exists, it ought to be @
ercised, for the common benefit of the Unio
it there be no such power. then the bran
ought not to be clandestnely, introduced il
the State. But do, Mr. President, see how
vantage is taken of the cousentng State
the Senator's proposed amendment. 1t is
part of that amendment that, when an office