The daily Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1841-1845, 1842-02-23


sum and which amount, with that which would be
issued on private depostes, and in connexion with
the selling and collecting Of exchange would be fully
adequate, with sound local circulation, TO furnish
uniform currency throughout the country.
There would be no difficulty in keeping sufficient
amount in circulation to all the purposes for
which they intended. Although two-thirds or three
hfths Of the revenue from customs is collected in the
city of New York, still there is but comparatively
small portion of it disbursed there The large dis
bursements of the Government are made in the west
for Indian treaties Indian anDuites for the army for
military roads, Notifications and forts, for the i'm
provement Of lakes harboIs and the channels of ri
yers, for the great variety of expenses for public
buildings, internal Improvements, and the civil ad-
mnstration of the Territories, with thousands of
other disbursements which cannot be enumerated.
All these would undoubtedly be paid in the specie
notes of the Exchequer. And although they re-
ceHabe Tor public dues, and the natural tendency
would be to follow the of trade to the Allan
tic cities still there would be couneracting to
retain them there.
large amount would be retained for and-ofice
money and the smaller denominations, having enter
ed into circulation amongst the people, would be
tanned in circulation by reason of its convenience
and undoubted credit and even the amount which
should find its way to the Atlantic cities in payment
of public dues, would at once be thrown back upon
the West in payment of the public creditors. The
West would also receive very large amount OF this
circulation from the emigrants of New England
New York, Virginia, and other Atlantic States, as
well as from the vast influx of foreigners from the
continent of Europe. All would deposite their spe
Gle in the Atlantic agencies and take, in lieu of it,
the specie notes of the Exchequer On their arrival
in the West, they would pay them into the land Off
ces, instead of being subjected to the expense and
risk OF carrying specie, or any local currency on
which they might be compelled to pay large dis
count to procure specie. They would also use these
specie notes in all their disbursements for the pur-
chase OF stock and for the improvement of their
farms. Again, the Eastern merchants would send
these specie notes to pay their purchases of the pro-
ducts OF the West. 1t seems to the committee that
the West would have abundant share of this Co
yernment currency, and in connection with the bene-
fits which it would derive from exchanges, that its
interests would be peculiarly promoted by the estab
llshment of this system.
This paper circulation based upon specie dollar
Tor dollar, viii not add to the circulating med um OF
the country The committee have heretofore shown
that 1t ought not to add to it. But il has many adj
yantages over specie amongst those advantages are
the following r
i. II will be the means of drawing forth from its
hiding places specie that has been boarded to the
timated amount of several millions, and which, in
IT'S present condition. of no use to its possessor nor
to the country The lack Of confidence in indivdu-
ais and banks safe repositories, which caused this
retirement of specie, will yield at once to the un-
bounded confidence inspired by the Exchequer,
where specie notes issued deposte of specie,
and the safe custody of the deposte is guaranteed by
the Government for the redemption of its notes
2 In the ratio Of the increased velocity and econ
omy which paper affords over specie, and to which
may be added the high credit this paper 1t will i'm
part great activity and consequently effectiveness to
the circulating medium.
g. The local banks may be induced to great eX-
tent, to substitute this paper for their own.
4 It will prevent the depreciation of specie, by
abrasion, whilst in circulation
s. Ii will prevent its total loss to the country and
n he nv yrerk nd oth her.
6 1t will afford the most convenient, safe, and val
liable currency for travel
T. 1t will be the best and safest remittance by mail,
from end of the Union the other for the payment
of newspapers and periodicals, and other things re-
quirng small sums without the possibility of loss by
depreciation to those who receive it, 54
g. 1t will tend TO regulate the banks, and by a fire.
quen settling of balances, to bring them up to sound
circulation
g. 1t will do much towards regulating exchanges,
by means of lis favorable action on the local cur
rency.
In the view which the committee have thus far
taken Of the plan of Fiscal Agent submitted by the
Secretary of the Treasury they have suggested
tain important notifications and in order to give
the Senate more concise and connected view of the
system, they propose to modify it, they submit the
following
PLAN
1 A board to be established in the Treasury Depart
mcnt at the Seat Of Government to be called the
be composed of three commissioners to be APP
pointed by the President, with the advice aud
consent of the Senate, and to be removed from
office only with the like concurrence of the Sc
nate and for physical inability, ncompeency,
neglect, violation of duty. The President to
communicate to the Senate the particular reasons
of the proposed removal. For like causes the
President may suspend commissioner and APP
point a temporary substitute and within the first
week Of the ensuing session Of the Senate lay be-
fnra hat h,Jy tha safe ch
and, if the Senate concur, the commissioner to be
removed if not, to be restored.
H. The Board of Exchequer TO establish agencies
it may deem necessary and sxpedicnt for the pub
lie service, limiting the number to as few as the
exigencies of the service will admit, and in no
case to exceed two in any State or Territory.
III. The Secretary of the Treasury to appoint the
inferior officers of the board and also the Ulcers
of the agencies, on the recommendation of the
board and to remove them for physical inability,
incompetency, neglect, or violation of duty,
like recommendation,
W. The EXchequer and its officers to be the general
agents of the Government, for receiving safe
keeping Notwithstanding the publ c moneys The
public moneys from all sources received to be paid
lnothe Exchequer and its agencies
V. The Exchequcr and agencies to receive on depo
site gold or silver coin, OF bullion and to issue
specie notes for the same to be redeemed at the
agency where issued Said notes to be prepared
by the Secretary Of the Treasury, signed ny the
Treasurer, and countersigned Ivy the President
OF the Board Of Exchequer and made payable to
the order the principal agent, and endorsed by
him when issued at such agency.
W. The Exchequer and agencies, on the deposite Of
gold or silver coin, lullion to draw and accept
bills of exch .nge and to receive premium not
exceeding two per centum. A'so, TO collect drafts
or bills, but to make no advance or payment till
advised Of the collection and to charge reasona-
BILE commission for collection and exchange
VII. All specie notes issued, either in payment OF the
public creditor, or on the depostcs of individuals,
never to exceed the actual amount of specie on
hand for their redemption dollar. far dollar.
VIII. Dues to the United States to be paid in gold or
silver coin, in specie notes, or in the notes of
banks Immediately convertible into specie at the
place where received The Exchcquer and agen-
cics to settle weekly or flener, the balances with
the banks
TX. The Exchequer and agen les to keep separate and
distinct sets of books; to enter and cord in
set all transact ions resnectnp the collection