The daily union. [volume] (Washington [D.C.]) 1845-1857, 1850-07-10

ING principle. by passing this amendment ~ which oter
States Dscsuss hey happen \ 70 have monsyn their
and that other States thai lend money 70 the government
should receive interest because they have borrowed hs
money for the purpose Of lending 1 am sure zee Nc
ever he government of he United States has bcrowet
money Of State government, It y bound topay the in
tsTes and i y perfectly imnaisrsl - % The manner
which the Stale has got the money which she hal
Mr. BADGER desire 10 say. in answer 10 my irend
BY S,sis 10 he United States. loan Implies 4 drec is
agreement; and when such . loan is negotiated, o
course the question Of interest il settled Il the time
These are cases advances made % the States for certain
purposes without previous authority or request by the
United Saies without any loan contract, direct Of
direct but which, by the nature Of the service for which
s.s ss TSss ss Ssss q s y s
has been 70 reimburse the State the money she
expended and i were matter Of doubt for 25 yeas
|inthe case Of Virginia, Maryland Delaware New York
South Carolina. and Alabama acts have been passed
each and every Of which has precise and paftcuar
provision that no interest s TO be paid, except whe the
State has paid interest or lost interest upon the money
Therefore. there be reason now Tor doing il The
q another State what has never been done pre-
NH. PRATT. AsI understand Il. the class "a case.
similar 10 the now before the Senate occurred du-
rims the war OF 1912. where the State governments be-
cause Of the inability Or neglect the part Of the Uni
led States government 10 defend the State were obliged
to expend these funds in doing whatit the duty Of
the United States 10 DO and the State governmental In
conpequence Of such expenditure of money have subse
IQuenty applied to the United States government 10 have
them refunded Well, ,n0w, sir. askany senator to ex
plain to the difference the case where State gov
eminent has performed these obligations, which twas
duty OF the United States government to discharge
that OF defending itself against enemywhether the
money expended ID that service taken from ts own
coolers. q borrowed or ahat purpose Iask whsther i
legations Of the United States TO refund the interest az
vel! as the principal ~, ,s ~ 's.s
Mr. PRATT. Well, must confess 1 cannotsee IL
The argument OF the learned senator that because here
!ofore this has not been done il it is just that il should
be done, is easily remedied by paying TO Maryland
and other States the interest which justice requires should
Mr. M DICKINSON think see s difference, rem j. and /
wish to keep it up that s the reason why have offered
the amendment It is sufficient for my present purpose
That the government has not gone beyond where
money was borrowed There is this difference between
The two cases: State has money in its treasury and
|pays il in advance. While the money would have re.
NAMED there without any loss to the State there il no
very good reason i seems 70 me, Why should receive
interest has had actually TO lose il by sacrifice Of
s property as in case il has 10 pay il to some other in
dvdua or government its treasury should be replenshed
BY this government But the State loses nothing i has
advanced money out of it's treasury upon which, from
1.-THE fact OF its lying there idle woald have drawn no in
ieres and in the latter case contend that il should not
turn broker Whe,s, then. State bas borrowed be
money for the particular purpose, let il be paid interest,"
but prefer not 70 80 beyond that case do not wish to
borrowed and advanced " that will meet this case and
when another case comes up, we will discuss that
Mr. HALE l hope the amendment of the senator
This restrictive than the cases that have
been passed understand that in the case of Alabama
the Senate adopted and allowed this principle that the
lent these stocks for the purpose Of raising money and
thereby lost the interest," them in that case the govern
ment n, was SsfSqSs6 sSqSa e pay S ,ns interest
committee that reported it But let the principle appear
Mr.. HALE. Well. sir. as we are travelling by prece-
dent do not want the path more restricted than il has
been heretofore do not want the case made more mar
row do not want II restricted to the case where the
State has borrowed specific sum- Let me state case
applicable to the point The State Of New Hampshire
was actually borrowing and paying interest larger
sum than what they actually advanced to the United
States but they did not specifically borrow and appro
pie OF this amendment be adopted il will cut of Of
that sort Therefore, think we had better adhere To-
precedent and adopt the amendment Of the senator from
Georgia leaving out that OF the senator from New York
MIR. BERR!EN. concur in the view taken by the
senator from Maryland, that there is really in equity no
distinction; and IN case between individuals he would
be bold man who would attempt 10 enforce such pn-
cple IN court OF equity But refer 10 precedents, be-
cause il is which be brought within prece-
dents In order that this bill may not be embarrassed 10
its passage BY multiplying amendments, have submit
ted that poyiso 10 the Terms Of former bill. which
cures the United States against liability for payments,
except where the State has borrowed the money and
either paid lost H. Now, sir trust that the amend
ment OF the senator from New York will not prevail !;
for as has been very well stated by the senator from
New Hampshire, II will restrict this application OF the
State OF Georgia BY amore rule than has been
applied 10 other States under similar circumstances,
while by the provso the very terms applied 10 the State
|oI Alabama and other States. applied 10 this hope,
therefore, the amendment OF the senator from New York
will not receive the sanction OF the Senate. ~
Mr. DICKINSON. Do understand the senator from
Georgia TO say that the State OF Georgia actually borrow
ed the money non, i. in that casei
York BY SIMPLE sla:smep, Of the facts Georgia was
engaged in works OF internal improvement For the funds
necessary TO thar Improvement she had certain amount
in her treasury Beyond that amount. IL necessary
10 contract loan 10 considerable During this
lime she advanced this money 10 the United States ~
she had not advanced this money 10 the United States
tho necessity OF making the loan she did would have
been diminished precisely TO the extent OF the che
advanced to the United States.
Mr.. DICKINSON. Well, then. will withdraw this
amendment for the purpose OF letting this bill pass CIV
ing notice that shall put up this distinction wherever
there IS room for making IT, The facts in this OBJ
vate The necessity oi such an pdment but where any
shall hereafter be presented that requires the dis
inction TO be made, shall press my amendment
The bill was then reported TO the Senate the amend.
ment concured in and the bill ordered to be
crossed for thd reading. was resd third time, and
passed sFtets
cALIroRNrA-TERRrToRnL OBSERVATION-DISCLOSURES
The Senate resumed the consideration OF the bill for The
admission of California into the Union, the establishment
of territorial governments for Utah and New Mexico, and
making proposals 10 Texas Tor the settlement OF her
northern and western boundaries f~
Mr.. BU Tier, having the floor, proceeded to address
the Senate, but had not concluded when. at IS minutes
past o'clock he gave way, at the request OF Mr. WEE
srER. %
ILLNESS or THE PRESIDENT or rHs UNITED STATES
-.