ject of Commerce and of Finance received their early and prompt attention. To regulate these for the credit and benefit of the country, was indeed the great object of their meeting, and the leading design in the formation of the general government. The acts for these purposes, and some others, passed at the first session of Congress, gave an entirely new aspect to the financial and commercial character of the United States. A system was adopted for raising a revenue from duties on imported articles, for the purpose of paying the public debt, gradually; and the interest annually in future. The securities holden by the creditors of the United States, rapidly rose in value; and confidence both in the ability and intention of Congress to do justice, was fully restored. The public debt was, indeed, very great; but it was also perceived, that, with wisdom and decision in the grand council of the nation, its resources were amply sufficient for the payment in a few years, besides the necessary expenditures for the support of government. All the members of Congress were in favor of this measure for raising a revenue; but, as to the details of the bill and the difference in the duties on different articles, there were various opinions. The principles which governed in the final adjustment of the duties on imported goods, were to impose the highest per centum on articles not considered necessary, and which were deemed to be luxuries; and to fix the amount less on goods and products of ordinary consumption among all classes of people:* a regard was also had to such articles as were then or might be, manufactured in the United States; and thus a higher duty was ordered, with a view to encourage the enterprize and industry of American citizens. This principle was early recognized, and General Washington particularly recommended it to Congress in his second public speech,-January, 1790. But the discrimination was not so great, between these goods or articles imported, and others which did not conflict with the growth of our own manufactures, as was adopted thirty-five years later, when this policy of encouragement and protection was pushed so far as to meet with warm opposition from some parts of the United States, on account of its effects-which were more favorable to certain sections than to others-according to their respeсtive interests in manufactories; and at one time even to threaten the integrity of the Union.* Hampshire, Langdon and Wingate-Massachusetts, Strong and Dalton-Connecticut, Ellsworth and Johnson-New York, Schuyler and King-New Jersey, Elmer and Patterson-Pennsylvania, Morris and Maclay-Delaware, Read and Bassett-Maryland, Carrol and M'Henry-Virginia, Grayson and LeeSouth Carolina, Izard and Butler-Georgia, Few and Gunn. At the second Session, January, 1790, Williamson and Hawkins of North Carolina, attended. * The duty first proposed on molasses was six cents per gallon; but in the bill as passed, it was only two and a half.-On Bohea tea, the duty was six cents, and on Hyson, twenty; on loaf sugar, three cents, and on brown sugar, one cent. On wines: Maderia, eighteen cents-other kinds, ten cents. On distilled spirits, Jamaica, proof, ten cents; on other spirits, eight cents. And when imported in foreign vessels-Hyson tea, twenty-six cents; and Bohea, eight cents. The continental debt, at the close of the war, was fortytwo million dollars; but, in 1789, as the interest had been accumulating for six years, and the demands of the several States on Congress, the general government, were estimated at twenty-five millions. The whole public debt, to be provided for by the federal government, amounted to about ninety-four millions. The receipts into the public treasury arising from the duties on imported articles, and on tonnage, according to the system adopted at this first session of Congress, were estimated at one million and a half of dollars; but it was soon found that they would far exceed that sum.† An estimate of expenditures for the year was also made by the House of Representatives at this time, as the secretary of the treasury had not then entered on the duties of his office; and the sum for the civil list was $208,000; and for the war department, $137,000.‡ An act for collecting the duties on imported goods was also passed at this session of Congress; the act was of great length, and employed much time in its preparation, and in its discussion, before it was adopted. And the bill laying a tonnage duty, occupied the attention of Congress during several days; and a discrimination was made between vessels built in the United States, and in foreign countries, as well as those owned and navigated by Americans, and citizens or subjects of foreign governments. These acts of the federal government went into operation the first of August; and in one month the impost duties in Philadelphia amounted to 55,000 dollars; and in New York to 40,000. And, in these two ports, probably, accrued nearly half the amount received in all parts of the United States, at that period. The Customs in Boston, Charleston, and Baltimore, yielded the next highest amount.* * At this early period, a difference of opinion was fully manifested in Congress, as to the measure of encouragement to manufactures, when the impost bill was under discussion-while little or no favor was shown for agricultural products. The latter was suggested and urged by members from the Southern States, but the members from the Eastern States contended for the former policy. † Others estimated the income from imports at 2,500,000, and the expenses; for the whole civil list at 350,000. + This included Indian supplies, &c. The States of North Carolina and Rhode Island had not then accepted the Constitution, and were therefore liable to the increased duties required of foreign nations; but, on application from those States, the discrimination was suspended, in the belief, probably, that they would soon adopt the federal compact, and become members of the Union, on an equal footing with the other States.† The law of Congress, regulating the federal Judiciary, was first proposed and discussed in the Senate, and was not passed till after the most mature deliberation. The great questions on this subject were, of how many jus-、 tices the highest court should consist; into how many districts the United States should be divided; and what were their proper duties and powers under the federal Constitution. That instrument had but briefly stated the powers of the federal Judiciary, and in very general terms. And it was a difficult and intricate subject to define and point out the authority of that high tribunal, so as not to interfere with the jurisdiction of the State courts, on the one hand, and not to decline or forbear judicial decisions, which by implication of the Constitution belonged to it, for the welfare of the Union, on the other. The law provided for a Supreme Court, to consist of a Chief Justice, and five Associate Justices; and for a District Court, of inferior jurisdiction, in each; and one for Maine and Kentucky; the former being then a part of Massachusetts, and the latter of Virginia. The tenure of office, for the Judges of the Supreme and other federal courts, was settled by the Constitution, and was during good behavior; and therefore * Most of the Collectors of the Customs, first appointed, were those who had distinguished themselves in the war of the Revolution. † North Carolina adopted the Constitution, November, 1789, and Rhode Island, in 1790. John Jay, of New York, was appointed Chief Justice; and John Rutledge, of South Carolina, James Wilson, of Pennsylvania, William Cushing, of Massachusetts, Robert H. Harrison, of Maryland, and John Blair, of Virginia, Associate Justices. § Caleb Strong, of Massachusetts, was Chairman of the Committee of the Senate on this subject; and was extremely anxious to prepare a bill as perfect as possible. A letter of his, relating to this bill, at the time, is before me. the legislature expressed no opinion, as to that point in law, respecting the Judiciary. But in the law providing for the appointment of officers to be at the head of each executive department of the government, under the President, a very grave question arose, relating to the tenure of their office. There was a long discussion on the subject, which called forth the abilities of the most eminent statesmen and speakers in the House of Representatives. It was contended, by those who apprehended too much power in the President, that these, and all other officers of the government, in whose appointment the consent of the Senate was necessary, should not be removed without the approbation of that body. The Constitution was silent on this point; and it was argued, that, as that instrument should be construed rigidly, it would be improper to give the President such a power, or to acquiesce in his exercise of it. And it was also urged, that it might be liable to great abuse, and serve to render the Chief Magistrate arbitrary, and, in some measure, absolute. On the other hand, it was observed and insisted, that this condition, of requiring the consent of the Senate, in removals of executive officers immediately under him, and for whose conduct he was, in a great measure, responsible, would be an improper restraint on the Chief Magistrate, would be an encroachment on his just and necessary authority, and would often operate to the injury of the public. The nature of the case, it was argued, required that the President should have power to remove an unfaithful or incompetent or inefficient officer, without consulting the Senate who would often be absent from the Seat of Government for half the year, and who could not possibly be acquainted with the ability of the incumbent, or the circumstances of the case, to form an accurate and just opinion. Very plausible and ingenious speeches were made in opposition to granting, or recognizing in the President, such great authority; but it was fully shown, at the same time, that the President would be paralized in his desire to exercise power for the public welfare, if rendered necessary to remove unfaithful and negligent officers, who were appointed merely to execute his will and his orders. And the bill was finally passed by the House of Representatives, without denying the power of the President, by a vote of thirtythree to twenty. This decision had particular reference to the Secretary of State, or for foreign affairs-the question arose, when the bill for the appointment of such an officer, to assist the President, was under consideration. The arguments which prevailed in that case, however, would apply with equal force, as some contended, to the heads of all the executive departments, to collectors of the customs, and to marshals, &c. But even in such cases, it would appear proper the President should have the power of removal without the assent of the Senate. That he should possess the power, as to the high confidential officers about him, and concerned in administering the government, there cannot be a reasonable doubt. And here, the reason is apparent in favor of such a power, when only political subjects and measures of moment are concerned; for executive officers under the chief magistrate are but his agents, and entirely under his direction and control. But when this power is exercised, in the removal of subordinate executive officers, merely for party politics, it is extremely doubtful whether it be agreeable to the spirit of the Constitution, or for the welfare of the people, or the preservation of liberty. And whenever such power is displayed, in wantonness or caprice, or for party purposes, the chief magistrate and his advisers may expect to be visited with an expression of the honest indignation of a virtuous people. At the first session of Congress, a proposition was offered, for fixing on a place, as a permanent seat of the federal government, and for the future meetings of the legislature of the Union. Several places were proposed, as Trenton in New Jersey, Philadelphia, Germantown, the east bank of the Susquehanna river, also the west side in Maryland, Wilmington in the State of Delaware, and the eastern bank of the Potomac. The subject excited much interest, and was discussed several days, though other business of far greater immediate importance was before Congress. The plan included a territory of ten miles square, to be under the jurisdiction of Congress, whenever it might be decided to erect buildings for the convenience of Congress and the officers of the general government. But no decision was had on the subject at the first session: the Senate voted to postpone it. Some time was also occupied in preparing and discussing the bill for compensation to the President and Vice President, members of the Senate and House of Representatives, the heads of departments, collectors, controllers, auditors and other officers under the Secretary of the Treasury, &c. The members, generally, from the eastern States, were opposed to high salaries, or large compensation. In these States public officers received moderate salaries, the people 1 |