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A Century of Lawmaking for a New Nation: U.S. Congressional Documents and Debates, 1774-1875
Journals of the Continental Congress --MONDAY, FEBRUARY 19, 1781
A letter, from Lieutenant Colonel U. Forrest, was read:
Ordered, That it be referred to a committee of three.
The members, Mr. [Daniel] Carroll, Mr. [John] Sullivan, Mr. [John] Mathews.
A letter, of 3, from J. Cochran, was read, signifying his acceptance of the office of director general of the hospital.1
[Note 1: 1 This letter is in thePapers of the Continental Congress, No. 78, VI, folio 11.]
A letter, from Major General A. St. Clair;2and
[Note 2: 2 This letter, dated February 19, 1781, is in thePapers of the Continental Congress, No. 161, folio 521.]
A letter, from Colonel S. Elbert, were read:
Ordered, That they be referred to the Board of War.
A petition from Thomas Chase was read:
Ordered, That it be referred to the Board of Treasury.
A memorial of John Bartlet was read:3
[Note 3: 3 Chase's Petition, dated January 31, 1781, is in thePapers of the Continental Congress, No. 42, II, folio 94; Bartlett's memorial is in No. 19, I, folio 241.]
Ordered, That it be referred to the Medical Committee.
A letter, of 13, from General Washington, was read, with sundry papers enclosed:4
[Note 4: 4 This letter is in thePapers of the Continental Congress, No. 152, IX, folio 549.]
Ordered, That so much thereof as relates to the treatment of prisoners be referred to the Board of Admiralty.
A letter, of 15, from the president of Delaware, was read.5
[Note 5: 5 This letter is in thePapers of the Continental Congress, No. 70, folio 765.]
The committee appointed to confer with Colonel B. Harrison; and
The committee appointed to estimate the debts of the United States;
delivered in their respective reports:
The Committee appointed to Estimate the amount of the debts due from the United States and who were instructed to devise ways and means for defraying the Expences of the current year, beg leave to submit the following Report and Estimates.
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That upon examining the Papers presented to Congress by the late Committee for Estimates and Ways and Weans they conceived it necessary, in order to discharge the business referred to them with any degree of satisfaction, to obtain information which did not fall within the view of that Committee.
That your Committee accordingly applied for returns from several of the public officers: particularly from the Commissary General and Assistant Quarter Master General; directing that each of their estimates of debts due from their Departments should distinguish the amounts of Certificates issued for supplies for the Army.
That it will appear from the answer of the agent forEstimate No. 24. the Commissary General herewith presented, his principal being at the Head Quarters of the Commander in Chief, that the prospect of an estimate from that Department is remote.
That Mr Pettit assistant Quarter Master General furnishedEstimate No. 10. your Committee on Saturday last with an Estimate of the debts due from his Department which with his Letter and the other Estimates hereafter noted, numbered from No. 1 to No. 25; are submitted and referred to, as explanatory of this Report.
That the unsettled condition of the publick accounts admits only of an imperfect Estimate of the debts due from the United States. No precision can be expected till there shall be a liquidation of the accounts between the United States and each particular State. Your Ministers at Foreign Courts; Commercial Committee and Agents; the Admiralty and Navy boards; the War office and Commissary of Military Stores; Commissaries and Quarter Masters; and Individuals who have claims against the publick.
Your Committee therefore, are only able, from the information they possess, and the materials which they have collected, to lay before Congress a general view of the publick debt, and in some instances founded on mere probability.
The Debts due on Loan Office Certificates asEstimate No. 10. far as returns are made to the Board of Treasury to the 16th.
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Instant, amount to sixty millions five hundred and fifty-eight thousand four hundred and forty four Dollars; equal according to the Table of Depreciation and computed on the 15th. day of every month, to eleven million three hundred and ninety one thousand five hundred and forty-four specie dollars.
Estimate No. 10. Of this sum Interest is drawn by Bills of Exchange on France for seven millions three hundred and thirty-one thousand three hundred and six dollars; that Interest439878 36/1001 annually amounting to four hundred and thirty-eight thousand seven hundred and ninety three dollars and three seventyeths.1
[Note 11: 1 The figures in the margin were written by Thomson, in correction, apparently, of the amounts given in the report.]
The Interest of the remaining four millions seventy eight thousand two hundred and seventy eight dollars is unfunded and unprovided for, and that Interest amounts244696 69/100 annually to two hundred and forty four thousand six hundred and eighty three dollars.
The Debt contracted in Europe can only and but very imperfectly be estimated from the Bills of Exchange drawn on our Ministers, at foreign Courts.
Your Committee have it not in their power to state with any certainty the advances which have been made to your Ministers at the Court of France. They are indebted to the Honorable Mr. Lovell who is possessed
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of the foreign papers for extracts from Dr. Franklin's Letters from which they collect the following:
Estimate of aids in money acknowledged by our Minister to be received from the Court of France.
and it would only exceed the amount of the bills drawn on France by one hundred and thirty three thousand one hundred and eighty seven specie dollars. It is known however from Messrs. De Nieuville and Sons correspondence,--That Dr. Franklin eventually paid the first bills drawn by Congress on Mr. Laurens which those gentlemen took up for the honor of the United States. It is also known that he has purchased clothing and arms and supplied the other Commissioners and Ministers with money independant of his own support. He must therefore have received further aids than are to be discovered from extracts of the Letters to which we have referred.
From the Report of the Committee on Dr. Lee's account, it appears that he received from the Court of Spain thro'See the report. Mr. James Cardoqui 75.000 Livres, equal to 15000 Specie Dollars; but on what condition is not stated either by Dr. Lee's memorandum or that Committees Report.
There is no account of the supplies of Arms, Ammunition and Cloathing procured in Europe on the credit of the United States.
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There may be materials for such an estimate among the commercial papers but they are represented to be in such disorder that your Committee thought it needless to make the attempt.
Act of Congress 18th March 1780. The next article of publick debt arises from the Emissions of paper money. We can at present only State it upon the principles held out by the act of the 18th of March, and supposing that it will take effect.
By the operation of this system the old emissions of bills of credit amounting to two hundred Millions of Dollars will be reduced to Ten Millions of Dollars equal to Specie bearing an Interest ofsix five per cent, the principle and interest to be sunk by Taxes within Six years one sixth part of the whole annually.
See Mr. Pierce's letter and estimate. The pay and subsistance in arrear to the Army up to the last day of December 1780 according to the Pay-Master's Return is estimated at one Million of specie dollars.
The Loan officers have not made Returns of their severalInterest accounts; but there is little doubt that a year's interest is due to the holders of those Certificates, deducting four hundred and thirty eight thousand seven hundred and ninety eight dollars Interest payable in France, there will remain unfunded, and to be paid by the United States, two hundred and forty four thousand six hundred and eighty three dollars.
The Quarter Master and Commissary's Departments open a large field for claims against the United States, as well as for embarrasments in collecting the taxes. The Committee have already noticed the estimate of Mr. Pettit Assistant Quarter Master General. His materials as appears from his explanation and letter are far from being perfect.
Estimate No. 22 He sums up the debts due from that department. as follows:
to be due in money of the old emissions.
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It has already been observed that there is no Estimate from the Commissary General; but experience has shewn that latterly his and the Quarter Master's departments have expended annually nearly an equal sum. For the satisfaction of Congress on this point, your Committee refer to an account from the Treasury which shewsAccount No. 23. that from April 1778 to October 1779 the difference in the expenditures of these Departments was inconsiderable.
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exclusive of the articles which for the reasons before mentioned cannot be at present estimated.
Your Committee beg leave to observe that of the articles which compose the public debt immediate provision ought in their opinion to be made for the following, vizt.--
Besides this, funds are to be provided to pay the Interest incurred on the Loans already effected; and which will become necessary to support the War.
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Your Committee take it for granted that the Interest of the ten millions of dollars in bills of Credit circulated upon the plan of the 18th of March is to be considered as funded by the respective states according to their Quotas.
Whether Doctor Franklin has obtained an aid from the Court of France to enable him to pay such part of the Interest of Loan Office Certificates as is drawn for upon him during the war or for any particular period; or whether he depends on the success of his solicitations as it becomes due, has not, as we find, been explained.
Under these circumstances it would be for the credit and honor of the United States if a permanent and productive fund could be provided and appropriated for the payment of the Interest of all the Loan office debt: as well as the Interest accruing from the Bills of Exchange drawn upon our Ministers in Europe.
That a fund must be assigned as a security for the Interest of the money hereafter to be borrowed to support the war and is not to be doubted: what sum will be necessary cannot be pointed out on any precise estimate: because your Committee are not possessed of any means by which the wealth or resources of the respective states, and their ability to contribute to the public expenditures by annual taxes, can be ascertained. But if we may judge from the difficulties and disappointments hitherto experienced in raising the supplies a further Loan of ten millions of Specie Dollars in addition to the five millions lately requested from the Court of France for the service of the ensuing campaign, will be necessary to reestablish public credit; and to prosecute the war with success.
In this view the funds to be provided and appropriated to discharge an Interest of six per cent, on the several loans before mentioned, ought to produce as follows:
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Duty at 5 p. Cent, 135,000 Sterlg:
In Penna. Currcy. 200,000, equal as above to 533,3331/3 Specie Dollars.
But if it should appear to Congress as indeed it does to their Committee, that the states under our present embarrassed circumstances, will not be able to assign efficient and permanent funds for so large a sum as1,200,000 Specie Dollars annually in addition to the impost upon Trade,
Then your Committee submit the following proposition--
To leave the Interest accruing on that part of theLoan office debt for which the creditors are entitled to bills of Exchange, for the presentunfunded, trusting that the Court of France will continue to make provision for it as heretofore on the general credit of the United States.
On the same ground to leave unfunded for the present the Intereston all the Loans borrowed and negotiating at
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the Court of France and in Spain; but to make provision for the Interest of the Bills drawn on Holland, for this at least appears to be necessary.
In this view the following estimate is submitted:
As new arrangements are taking place in the four great executive Civil Departments it Seems not to be essential to state the expence of the Civil List. Your CommitteeEstimate No. 26. however Submit an estimate for the year 1780 marked No. 26, amounting to sixty nine thousand nine hundred Specie dollars.
Your Committee having thus stated the public debt of the United States and the funds necessary to secure the Interest of the Loans proceed upon the materials and information of which they are possessed to estimate the probableexpenditures and the ways and means for the current year from the first day of January.
Estimate No. 9. Estimate of the Expences of the War for the year 1781:
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It ought to be observed that the price of provisions is regulated by the act of Congress in February far beyond what they might be purchased for specie. This mode of calculation also capitally affects the article stated for the expence of the Quarter Master's Department.
In this estimate arms, ammunition, ordnance, military stores and cloathing are not included; as we depend on importing the chief of these articles from France: And your Committee have no materials to justify even a conjecture of the expence of the military preparations which may be made under the direction of the Board of War or at the several Laboratories &c: Nor for the reason last assigned are they able to state the expence of the Marine Department's maintenance of prisoners &c: &c:
They proceed therefore to exhibit the Ways and Mean for the year 1781.
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Hence it is manifest that further ways and means are to be devised for the Service of the Current year.
Your Committee for the information of Congress lay before them,
Estimate No. 32.An estimate containing an account of the monies which the States have been called upon to levy and pay into the public Treasury for the Support of the War from the 22d. November 1777; and your Committee are of opinion that the Board of Treasury ought to be directed to procure official returns from the States specifying how far the said several requisitions have been complied with that Congress may be enabled to form a judgment what additional aids may be required from them with a prospect of their being produced.
Your Committee beg leave to subjoin--
No. 27. 28. and 31 A general estimate of the expenditures of the United States for the years 1776, 1777, 1778 and 1779.
And a State of the Armies of the United States including the Militia from New Hampshire to North Carolina, employed in those years; taken from the returns at the season of each year when the armies and militia consisted of the greatest numbers.
An account of the 4/10th. of the new emissions lodged in the different loan offices, and lastly--
An estimate shewing the effect of exchanging the money of theold for thenew which is to be emitted on the act of the 18th of March at 75 instead of 40 for one as lately directed by a law of the State of Pennsylvania.
Jas. Duane,Chn.1
[Note 1: 1 This report, in the writing of James Duane, is in thePapers of the Continental Congress, No. 34, folio 19. The papers accompanying it follow in the same volume.]
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Ordered, That the report of the latter be referred to the Committee of the Whole.
A report from the Board of Treasury was read; Whereupon,
Treasury OfficeFeby. 15th 1781
The Board of Treasury have considered the letter of E. Cornell Esq. read in Congress and referred to them the 12 instant. Whereupon the Board beg leave to report,
That warrants are already drawn upon Mr Smith Commissioner of the Continental Loan Office for the State of Pensylvania to a greater amount, both in the old and new emissions than he has money to discharge.
The Board further report,
That on the application of James Wilkinson Esq. Clothier Genl of the 8th. inst approved by the Board of War, a warrant issue in his favor on Thomas Smith Esq Commr. of the Continental Loan Office for the State of Pennsylvania for four thousand dollars of the new emissions, to enable him to discharge in part the arrearages due the Officers in the Clothing Department: and for which sum the aforesaid James Wilkinson Clothier General is to be accountable.
The Board further report,
Reconsidered.That they have considered the memorial of John-Ross, read in Congress the 14th instantand referered to them whereupon they beg leave to observed, that they do not know any way of making payment to Mr. Ress, except by bills of exchange on Europe, the propriety of which is again submitted to Congress.1
[Note 1: 1 This report is in thePapers of Continental Congress, No. 136, V, folio 111.]
Ordered, That a warrant issue on Thomas Smith, commissioner of the continental loan office for the State of Pensylvania, in favor of Ezekiel Cornell, for five hundred and fifty-seven dollars, and twenty-seven ninetieths of a dollar, in bills emitted pursuant to the act of 18 March, in lieu of the warrant drawn in his favor for the like sum on the treasurer, 27 December, which is to be cancelled.
On motion of the delegates of Virginia;
Ordered, That the quartermaster general be and hereby is directed to transport to Fort Pitt four tons of powder, to be delivered to the order of the State of Virginia, and for which
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the said State is to be accountable; that the expence of such transportation be charged to the said State, and that a warrant be issued by the Board of Treasury, in favour of the said quartermaster general, on the treasury of Virginia, for twelve hundred dollars, in bills emitted pursuant to the resolution of 18 March last, for which the said State is to be credited.1
[Note 1: 1 This order was also entered in the manuscript Secret (Domestic) Journal.]
Sundry letters from the honble. B. Franklin were read, under the following dates: March 4, May 31, June 1, August 9, December 2 and 3d., with sundry papers enclosed:2
[Note 2: 2 The letter of March 4, 1780, is printed in theDiplomatic Correspondence of the American Revolution (Wharton), III, 534; that of May 31, page 742; June 1, page 751; August 9, IV, 21; December 2, page 177; December 3, page 179.]
Ordered, That so much thereof as relates to the difference between Captain J.P. Jones and Captain Landais, and also to the detention of the cloathing, be referred to the Board of Admiralty.
That the letters of December 2 and 3d be referred to a committee of three.
The members, Mr. [Joseph] Jones, Mr. [Samuel] Adams, Mr. [Thomas] Burke.3
[Note 3: 3 In Joseph Jones's writing, undated, are some notes for the report of this committee as follows, the fragment being in thePapers of the Continental Congress, No. 31, folio 325:
The Committee to whom were referred the letters of the Honorable Benjn. Franklin of the 2d and 3d of December last--
Report--
That the Committee concurring in opinion that Dr. Franklin's contract with the Minister of the Finances in France, on the part of these United States for furnishing to the King's Land and Naval forces in America provisions to the amount of 400,000 dollars value, at 5 livres tournois per dollar, to be furnished at the current prices for which they might be bought in silver specie ought fully and speedily to be complied with, thought it necessary toconsult inform the Honble Mr. Holker Consul General of France of the Contract and to consult him with respect to the kind of provisions wanting for the King's forces in America, the time when and place where they would be most convenient, to which application of your Committee Mr. Holker returned the following answer.]
A number of letters from the honble J. Adams were recd., under the following dates: March 3, April 6, 7, 8, 10, 11, 14,
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15, 17, 18, 19, 23, 24, 25, 26, 28, 29, May 2, 3, June 1, July 6, 7, 14, 15, 19, 22 and 23.1
[Note 1: 1 These letters are printed in theDiplomatic Correspondence of the American Revolution (Wharton) as follows: March 3: Vol. III, page 528; April 7, III, 599; April 8, III, 602; April 10, III, 604 and 606; April 11, III, 610; April 14, II, 612; April 15, III, 615; April 17, III, 618; April 18, III, 620; April 24, III, 626; April 25, III, 629; April 26, III, 632; April 28, III, 635; April 29, III, 640; May 2, III, 644; May 3, III, 648; June 1, III, 747; July 6, III, 834; July 7, III, 837; July 14, III, 857; July 15, III, 859; July 19, III, 869; July 22, III, 873; July 23, III, 877.]
A letter, of 9, from the governor of Virginia, was read.
A motion was made by Mr. [Thomas] Bee, seconded by Mr. [James Mitchell] Varnum,
That Captain John P. Jones, lately arrived from France, be directed to attend Congress on Monday next, to lay before them every information in his power, relative to the detention of the cloathing and arms belonging to these United States, in France: and that the doors of Congress be open during such examination:
After debate, a motion was made by Mr. [Samuel] Adams, seconded by Mr. [William] Sharpe,
That the farther consideration thereof be postponed, on which, the yeas and nays being required by Mr. [Thomas] Bee:
{table}
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So it passed in the affirmative.
Adjourned to 10 o'Clock to Morrow.
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