The Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1837-1845, 1841-09-11

the local Legislature Of the District Every United
Bank heretofore created has had power TO dea
IN bills OF exchange, well IN local discounts Both
were trading privileges conferred and both were er
erclsed by virtue Of the aforesaid power of Congress
over the whole Union. The question Of power re-
mains unchanged, without reference TO the extent OF
privilege granted If this proposed Corporation is TO
be regarded local Bank ofthe District of Coum-
ba invested BY Congress with general powers to ope-
rate over the Union, it is obnoxious to still stronger
objections Il assumes that Congress may invest a
local institution with general national powers
WIN the same Propriey that it may do this in regard
10 Bank of the District Of Columbia, il may as 10
state pank Yet who can indulge the idea that this
Government can rightfully, by making State bank
us nscai agent, invest il with the absolute and I'M
qualified powers conferred by this bill When come
10 look at the details Of the BILL they do not recon-
mend II strongly to my adoption. A brief notice of
some OF It's provisions will suffice.
ist. Il may justify substantially a system of dis
counts OF the most Objectionable character IL il TO
deal IN Bills of Exchange drawn in one State and
payable IN another, without any restraint The bill
OF exchange may have an unlimited time to run.
ana It's renewabty is no where guarded against. IL
may, in fact, assume the most Objectionable form of
accommodation paper. 1t is not required TO rest ON
any actual, real or substantial exchange basis A
drawer, IN one place. becomes the acceptor in an
', @"a 90 a" sarn tAe aesep."r may be como the
drawer upon mutual understanding. Ii NAV nj
.he same time indulge in local discounts under
'he name OF bills of exchange. A bill drawn at
Philadelphia, on Camden New Jersey; at New York
on border town in New Jersey; at Cincinnati. OF.
newport In kentucky not to multiply other exam
Ples might for any thing in the bill to restrain it, be-
come mere matter Of local accommodation Cities
mus relatively situated, would possess advantages
over cities otherwise situated of decided character
as most justly to excite dissatisfaction.
ID There is no limit prescribed to the premium
IN the purchase Of bills of exchange, thereby cor
recting none Of the evils under which the community
now labors and operating most injuriousy upon the
agricultural Sates in which irregularities in the rates
OF exchange aie most severely felt Nor are these
the only consequences. A resumption of specie pay
ments by the banks of those States would be liable
10 INDEFINITE Postponement for the operation of the
agencies OF the interior would chiefly consist in sell
ling bills of exchange, and the purchases could only
be made in SPECIE the bills Of banks paying specie
the State Banks would either have to continue with
their doors closed or exist at the mercy of this M
tiona monopoly of brokerage Nor can il be passed
over without remark that whilst the District of Co
lumbia is made the seat of the principal Bank. its
citizens are excluded from all participation in any
benefit it might Afford by positive prohibition on the
Bank from all discountng within the District.
These are some ofthe objections which prominently
exist against the details of the bill Others might
De urged OF much force, but it would be unproft-
able to dwell upon them Suffice it TO add, that this
charter IS designed to continue for twenty wear,
without competitors that the defects to which have
alluded, being founded the fundamental law of
the corporation are irrevocabe; and that if the OBJ
)ections be well founded would be over. hazardous
to pass the bill into law.
In conclusion take leave most respectfully to saw
that have felt the most an xous soIci,ude 10 meet
the wishes of Congress- in the adoption Of Fiscal
Aren't which aundinG all cans ji,nf.an.i ah.A.,e..
of Cancellation the opinions fo,hers And it Is with
great pain that now feel compelled to differ from Con-
gress second time in the session. At the
ofthis session. inclined from choice to defer
to the Legislative will, submitted 10 Congress the
proprety Of adopting Fiscal agent which, with
out violating the Constitution, would separate the
public money from the Executive control and perform
the operations of the Treasury without being burden
some
to the Government. 1t is deeply to be regretted that
this Department of the Government cannot upon
constitutional and other grounds, concur with the
Legislative Department in this last proposed
to attain these desirable objects. Owing to the brief
space between the period of the death of my lamented
predecessor and my own installation into Office, |
was in fact, not left time to prepare and submit, de-
fnitive recommendation of my own in my regular mes
sage and since my mind has been wholly occupied in
a most anxious attempt to conform my action to the
Legislative will. In this communication, am con
fined by the Constitution to my objections simply to
this bill; but the period of the regular session will
soon arrive when it will be my duty, under another
clause of the Constitution, +" to give TO Congress in
formation of the state of the Union" and recon-
mend to their consideration such measures as |
shall Judge necessary and expedient." And most
respectfully submit, in spirit of harmony whether
the present differences of opinion should be pressed
further at this time-whether the peculiarly of my
situation does not entitle me to postponmen of this
subject TO auspcious period for elaboration.
The two Houses of Congress have distinguished
themselves at this extraordinary session by the per
Torrance of immense of labor, at very
unfavorabe both to health and action and have pass
ed many laws Wnlcn, uust VIII prove nisny pener
fetal to the interests of the country and fully answer
just expectations 1t has been my good fortune and
pleasure to concur with them in all measures, except
this and why should difference on this alone be
pushed to extremes. II is my anxious desire that IT
should not be, l. too have been burdened with ex-
traordnary labors of late and sincerely desire time
for deep and deliberate reflection this, the greatest
difficulty of my administration. May we not now pause
until more favorable time, when, with the most
ious hope that the Executive and Congress may cor
daily unite, some measure of finance may be deibe-
rnteu ndnnted nrnmniiye of the GOOD of our common