The Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1837-1845, 1841-06-03

language Of the deed seems 10 contemplate separate
use and ENJOY Of the fund by the States indiou
ally, rather than preservation OF II iof 'om"on
pendure The fund itself ID TO be common iune
o the use and benefit Of such Of the United States a.
have become or shall become members OF the Conied
grafton or federal alliance, Virginia inclusive ne
grant is not for the benefit Of the Confederation ou
for that the several States which compose the Con
federation. The fund Is TO be under the management
Of the Confederation collectively, and 10 30 TAR com
mon fund but il is 10 be managed for The use and
benefit Of the States individually, and is 90 far sepa
rate fund under joint management W hist mere
was heavy debt existing, created by the war OF me
Rev oluiion and by subsequent war, there fit
in applying the proceeds OF common fund TO the
discharge OF common debt, which reconced all but
that debt being discharged and the General Gov
eminent longer standing IN need Of the fund there
is evident proprety ia division OF II among those for
whose use and benefit it was originally designed, and
whose wants require it. And the committee cannot
conceive how this appropriation Of IT, upon principles
Of equality and justice among the several States, can
lie regarded contrary either the letter spirit of
the deed"
Passing over great deal of intervening matter in
this speech we quote the following
The powers Of taxation possessed by the General
Government are unlimited. The most fruitful and the
leas, burdensoine modes Of alton conhded TO this
Government exclusive of the States. The power Of
laying duties on foreign imports is entirely monopoi-
zed by the Federal Government. The States have
only the powerof direct internal tar alton. They
have 10 impose duties on imports, not even iuxu-
rles; we have. And what is their condition at this
moment Some Of them are greatly in debt, at loss
even 10 raise means to pay the interest upon their
bonds. These debts were contracted under the joint
encouragement Of the recommendation Of this Govern
ment and prosperous times, in the prosecution OF the
audable object of internal mprov enents. They may
have pushed in some instances their scheme too far
but II was in good cause, and il easy 10 make re-
proaches when things turn out I'LL
IND here lei me say that looking to the patriotic
object of these State debts and the circumstances
der which they contracted, saw with astonshed
and indignant feelings resolution submitted TO the
Senate at the last session. declaring that the General
Government would not assume the payment OF them.
A more wicked, malignant, Danton-like proposition
never offered TO the consideration OF any delbe-
raiive assembly II Negative proposition, not
negative of any affirmative resolution presented TO the
Senate; for such affirmative resolution was offered
ty any one, nor do believe was ever thought or
dreamed by any one. When, where by whom, was
the extravagant idea entertained of assumption
of the State debts by the General Government? There
not solitary voice raised in favor Of such mea-
in this Senate. Would it not have been time
enough to have denounced assumption when 1t was
seriously proposedl Yet, at a moment when the
States were greatly embarrassed when their credit
was sinking, at this critical moment, was measure
brought forward, unnecessarily, wantonly, and gra-
tuitously made the subject of elaborate report and
exciting protrac,ed debate the inevitable effect of all
ability and good faith Of the debtor States Can II
be doubted that serious injury inflicted upon
them by this Unprecedented proceeding Nothing
Is delicate than credit character. Their ere
dit cannot fail TO have suffered in the only place where
capital could be obtained and where at that very time
some of the agents of the States were negotiating
with foreign bankers. About that period of the
Senators Of this body had in person gone abroad for
the purpose of obtaining advances of money on Illinois
stock
The Senator from New York said that the Euro
pean capitalists had fixed the value of the State bonds
of this country al fifty per cent; and therefore 1t was
matter of consequence what might be said about
the credit of the States here But the Senator Is mis-
taken, or have been entirely msinformed. under
stand that bankers have limited their advances
upon the amount Of State bonds prior to their actual
SALE TO fifty per cent, in like manner commission
merchants will advance the goods consigned to
them, prior to their sale. But in such operation it
is manesty for the interest Of the States, well
the bankers, that the bonds should command in the
market much possible above the fifty per cent;
and any proceedings which impairs the value of the
bonds must be injurious to both. In any event. the
loss would fall upon the States and that this loss
was aggravated by what occurred here the resolu
ton TO which have referred one at all acquainted
with the senstveness of credit and of capitalists
hesitate to believe. My friends and made the most
strenuous opposition to the resolution, but it was all
unayailing and majority Of the Senate adopted the
report of The committee TO which the resolution had
Of the proceeding; that no man in his senses would
ever propose the assumption of the State debts; that
no such proposal had, in fact, been made; that the
debts of the States were unequal in amount, con
racted by States Of unequal population, and that
States were not in debt at all How then was it pos
sibe to think of general assumption Of State debts
w ho could conceive OF such proposal! But there
is vast difference between our paying their debts
for them, and paying our ocn debts TO Them IN con-
formity with the trusts arising out of the public do
main, which the General Government is bound to ex-
ecute.
Language has been held in this Chamber which
would lead any who heard il to believe that some
gentleman would take delight in seeing States dlsho-
noled and unable to pay their bonds. II such
feeling does really exist, trust it will find no sympa-
thy with the people ofthis country it have
in the breast of any honest man. When the honor
able Senator from Massachusetts MIR. Webster) the
other day uttered, in such thrilling language the
timent that honor and proby bound the States the
faithful payment of all their debts, and that they
would do felt my bosom swell with patriotic pride
pride, account of the just and manly sentiment it.
self; and pride, on account of the beautiful and eo
quent language in which that noble sentiment was
clothed. Dshonor American credit Dishonor the
American name Dishonor the whole country WHY,
sir what national character, national crea, national
honor national glory but the aggregate of the charac
ter the credit the honor the glory of the parts of the
nation Can the part be dishonored, and the whole
remain unsulied? Or the whole be blemisbed
and the parts stand pure and untainted Can young
sister be disgaccd without bringing bushes and shame
upon the whole family Can young sister lii
nos q mention her only for illustration, but with all
feelings and sentiments Of raternal regard) she
degrade her character State without bringing re-
proacn and obloquy upon all OF us What has made
England-our country's glorious parent-( although
she has taught the duty Of eternal watchfulness TO
repeIaggresson, and maintain rights against
her)-what has made England the wonder of the
world What has raised her to such pre-eminence
in wealth. power, empire and greatness at once the
awe and the admiration of natlonsl Undoubtedly
among the prominent causes have been the preserva
ton of her credit, the maintenance Of her honor and
the scrupuous fidelity with which she has fulfilled her
pecuniary engagements foreign well as domestic.