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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 --1TUESDAY, SEPTEMBER 30, 1788.

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Journals of the Continental Congress, 1774-1789
1TUESDAY, SEPTEMBER 30, 1788.

Link to date-related documents.

[Note 1: 1 Charles Thomson resumes the entry.]

Congress assembled present Massachusetts Connecticut New York New Jersey Pensylvania Virginia North Carolina and South Carolina and from New hampshire Mr [Nicholas] Gilman from Rhode island Mr [Peleg] Arnold and from Delaware Mr [Dyne] Kearny.

The2 committee consisting of Mr [Abraham] Clark, Mr [Nathan] Dane, Mr [Edward] Carrington, Mr [William] Bingham and Mr [Hugh] Williamson, appointed3 to enquire fully into the department of finance, beg leave to observe,4 that the objects of that department are so various and extensive in their nature, that the time allowed to your Committee from their necessary business in Congress would not permit them to prosecute their enquiries in such a manner as to give a minute detail of all the transactions of the Treasury Board, and those acting under their direction. They have however proceeded as far as their tune and other circumstances would admit, and thereupon Report,

[Note 2: 2 Benjamin Bankson takes up the entry.]

[Note 3: 3 See July 7, 1788.]

[Note 4: 4 Papers of the Continental Congress, No. 26, pp. 701--708, in the writing of a clerk. Read September 30, 1788. At the end of the original report Mr. Hugh Williamson made the following notation, "Octr 17th 1788. Observing a capital Error in the third Page of this Report which had obviously been occasioned by the accidental omission of the civil List, in order that the Report might correspond with Truth and the obvious Intent of the Committee I conceived it my Duty, no other member of the Committee being present, to correct it accordingly by the alterations No 1, 2 and 3.
Hu Williamson"
The modifications are noted in special footnotes below.]

That they have particularly examined the Receipts and Expenditures of the Federal Treasury from Nov. 1, 1784, the day on which the late Superintendant of Finance closed

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his accounts, to the 21 of April 1785, the day on which the Board of Treasury commenced their administration, and from that day to I April 1788, comprehending in the whole three years and five Months. In making a statement, the Committee have arranged under different heads the foreign and domestic Receipts and Expenditures; Indents and Specie payments; the first and second period of time above mentioned.

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This difference arose from the circumstance that payments were made from the Treasury before, but not entered in the Registry till after the 21 April 1785.

Foreign Receipts and Expenditures

Nov. 1. 1784, the late Superintendant of Finance stated, that the Anticipations on the funds in Europe were 88,306 83/90 dollars, that there was a balance due to Messieurs Willink, Staphorst and co of 7,665 74/90 dollars, but by a stated account received from Holland since that period it appears there was a balance due from the said Messieurs Willink, Staphorst and co on the 1 of Novr . 1784 of 463,894.40 dollars, received by them in the months of August, September and October preceding, this sum, as well as some expenditures in Europe prior to Novemr . 1. 1784, not being included in the accounts of the Superintendant, are placed among the Receipts and Expenditures, from Nov. 1. 1784, to April 21. 1785, which stand as follows,

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Foreign Expenditures in 1784 and to 21 April 1785

Domestic Receipts and Expenditures, from April 21. 1785, to April 1. 1788.

Indents Received by the Loan Officers and Receivers to April 1. 1788, as follows,

Of the above sum about 1,100,000, dollars, have been actually received into the federal Treasury, and the residue of it remains in the hands of the Loan Officers.

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So that the Anticipations on that day did not much exceed the monies so subject to the orders of the Board.

The Committee find that Specie demands arising against the Treasury are, in general satisfied with considerable punctuality except those arising on account of interest which has become due on the French and Spanish Loans. Interest on these loans is much in arrears.

The Committee have herewith submitted to Congress, general accounts of Monies that have been advanced in the department of the Commissary, Quarter-master, Clothing, Marine and Hospital, marked from No . 1 to 6 inclusive, many of which accounts are settled and others of them are in a fair way to be settled by the Officers of the Treasury and the Commissioners of the five departments.

Your Committee turning their attention to an Act of Congress of the 22d . May last, directing the Board of Treasury to call upon all such persons as had been entrusted with public money and had neglected to account for the same and such other persons as may have made partial or vague settlements

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without producing proper vouchers, were desirous to obtain a particular statement of the accounts which are in the above predicament, but they are sorry to find that such a detail is too lengthy to be here inserted. Some of those accounts are stated in the file of papers marked papers respecting unsettled accounts, which is herewith submitted. From the general aspect of those accounts your Committee are constrained to observe, that there are many strong marks of the want of Responsibility or attention in the former transactions respecting the public treasures. No less a sum than 2,102,600 dollars has been advanced to the Secret Committee of Congress before 2nd . August 1777, and a considerable part of this money remains to be accounted for otherwise than by Contracts made with Individuals of their own body, while those Individuals neglect to account.

Your Committee find that other considerable sums have been paid out of the Treasury of which no appropriation is to be found on the public Journal of Congress. Severals of them remain to be accounted for.

Of the accounts which have been partially settled, or settled without authority or without proper vouchers, two or three by reason of their magnitude have claimed the particular attention of your Committee. Their amount is little short of half a million of dollars Specie, and though by Acts1 of June 14 and 20, 1781 and April 10. 1783, those accounts appear to have claimed the attention of Congress, Your Committee find that it remains very doubtful to this day whether many of the charges against the United States, which are stated in those accounts have any solid foundation.

[Note 1: 1 Journals, vol. XX pp. 645 and 681, and vol. XXIV, pp. 234--238, respectively.]

Your Committee were desirous to discover in what manner the large sums of Money received in France, have been

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accounted for, but the subject of this enquiry seems to be involved in darkness.

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The documents for the expenditure of this balance have never been produced at the Treasury. They must be in France if there are any such papers. A full enquiry into the premises now claims the attention of the Board of Treasury. Some time must be expended in making the necessary investigation, but the result may be of important service to the United States.

Your Committee further report, that the Board of Treasury pursuant to an Act of Congress have sold at public vendue of the first four ranges of Townships the quantity of 150,896 acres, in sections and fractional parts of sections, upon condition that one third of the purchase should be paid down, and the remaining two thirds in three months after the sale; and in case of failure in the last payment, the first to be forfeited. The purchasers were also to pay for the expence of surveying at the rate of one dollar for every 640 acres, the whole of those sales amounted to 176,090. 6 dollars; of which there has been paid into the Treasury the whole amount of the purchases with the expense for surveying, except one large purchase amounting to 88,764.39 dollars, on which only the first payment being one third was paid; by

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which the whole Receipts in the Treasury on those sales (including in some instances a small overplus where Certificates would not produce the exact sum) amounts as per account marked No . 7, to 117,104.46 dollars.

The said Board have also by order of Congress made a contract with Sargeant and Cutler for a tract of land supposed to contain between four and five millions of acres exclusive of donations for public uses, and lands reserved for the United States, in which Contract Army Rights for bounties in lands, to the amount of one seventh part of the purchase are to be admitted in part of payment; the other parts thereof were stipulated to be paid as follows.

On which Contract there was paid into the Treasury on the 27 of October last, the first payment of 500,000 dollars.

The said Board has also agreed to grant to John Cleves Symmes Esq. one million of acres on terms nearly similar to the Contract with Sargeant and Cutler; the sum to be paid on this purchase after deducting the donations and land reserved, will, exclusive of the Army Rights to be admitted, amount to 571,437.60 dollars, of which the first payment, or a sum nearly equal thereto is already deposited in the Treasury, wherefore your Committee presume the contract will certainly be executed.

The amount of sales of land in the western territory to be paid in public securities will then stand as follows.

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The Board of Treasury are also authorised to sell to Messrs . Flint and Parker, one million of acres for the same price and on the same terms as the sale to Mr Symames, excepting that the first payment is not to be made till the Indian title to the premises shall be extinguished; but as this contract has not in any degree been carried into effect no account is made of it.

From the account of Receipts in payment for land, as beforementioned, there appears to be now in the Treasury in public Securities,

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There are also two contracts made by the Board of Treasury with James Jarvis, the one for coining three hundred tons of copper of the federal standard, to be loaned to the United States, together with an additional quantity of forty five tons which he was to pay as a premium to the United States for the priviledge of coining; no part of this contract hath been fulfilled. A particular statement of this business so far as relates to the three hundred tons, has lately been reported to Congress. It does not appear to your Committee, that the Board were authorised to contract for the privilege of coining 45 Tons, as a premium exclusive of the 300 mentioned in the Act of Congress.

The other Contract with said Jarvis is for the sale of a quantity of Copper amounting as per account to 71,174 pounds; this the said Jarvis has received at the stipulated price of Eleven pence farthing sterling per pound, which he contracted to pay in copper coin of the federal standard on or before the last day of August 1788, now past; of which, but a small part has been received. The remainder it is presumed, the Board of Treasury will take effectual measures to recover as soon as possible.

The enquiry of your Committee has not been confined to the transactions of the Board of Treasury only, but to others in a subordinate station, among which are the Loan Officers, and commissioners for settling accounts in the several States; Upon which enquiry they find that all the present Loan Officers, except those of South Carolina and Georgia, have accounted for their Receipts of Monies and Indents from their respective States up to the 31 of March last, but have not made Returns of their issues of Indents for Interest.

The accounts of the former Loan Officers appointed under the first establishment of the office, in respect to settlements, stand in the several States as follows:

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With respect to the Commissioners appointed for settling accounts in the several States, no Return of Books and papers have been made by them except from the States of New York, New Jersey, Pensylvania Maryland and Georgia.1 The Certificates liquidated and taken up included in those Returns, were lodged in the Comptroller's Office; but they were not cancelled or otherwise defaced; in this situation they lay neglected, until a number of those taken up in the State of New York, which were negociable, were feloniously taken away by one of the Clerks in the Register's Office; to which

[Note 1: 1 At this point the following clauses were struck out from the original report "and from Pennsylvania by one of the Commissioners. The other Commissioner for that state not having delivered up his Books and papers."]

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Office those papers had been removed upon the dissolution of the Comptroller's Office; Of those Certificates thus stolen, the greater part have since been recovered, but a deficiency of 2,087 dollars and 47 ninetieths of a dollar yet remains. What, or whether any, other Certificates have been taken away in like manner, is not yet discovered; The above Robbery however in the opinion of your Committee, clearly evinces the impropriety of suffering public securities taken up by the Commissioners, or paid into the Treasury, to remain as they now are, uncancelled.

[Report of committee on claim of J. Spencer1]

[Note 1: 1 Papers of the Continental Congress, No. 19, V, p. 377, in the writing of Mr Jeremiah Wadsworth. Read September 30, 1788. See August 5, 14 and 20, 1788.]

Mr [Jeremiah] Wadsworth Mr [Alexander] Hamilton and Mr [Abraham] Clarke to whom was refered the Petition of Major Gen Joseph Spencer report that if ye facts are truly stated in his Petition the prayer thereof ought to be granted, and Submit the following resolution

Resolved that the Treasury Board examine into the facts Stated in the Petition of Joseph Spencer and if they are found true, direct a settlement of his accounts to be made agreably to the prayer of his Petition on equitable principles.

[Report of committee on case of Beaumarehais2]

[Note 2: 2 According to Reports of Committees, Papers of the Continental Congress, No. 189, p. 39, this report was received (read) September 30, 1788. It does not appear among the Papers of the Continental Congress. Acted on October 1, 1788. See September 25, 1788.]

[Report of Board of Treasury on case of W. Perry3]

[Note 3: 3 Papers of the Continental Congress, No. 138, II, pp. 247--251, read September 30, 1788. See September 9 and October 2, 1788.]

The Board of Treasury, to whom was referred the Motion of the Honble. Mr . [Dyre] Kearney, for paying to William Perry the stipend claimed by him as a Commissioner for attending Treaties with the Southern Indians in the year 1785.

Beg leave to Report

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That the Accounts of the Commissioners appointed to hold the said Treaty have been stated at the Treasury, by which it appears that they charge the United States with sundry disbursements to the amount of 15.030 51/90ths Dollars.

That by the Act1 of Congress of the 15th . of March 1785, the said Commissioners were authorised to draw on the States of Virginia, North Carolina, South Carolina and Georgia for the sum of 13.000 Dollars; of which they only appear to have drawn the following sums; that is to say,

[Note 1: 1 Journals, vol. XXVIII, pp. 160--162,]

Hence it results, that, supposing the above Statement to be just (which from the want of Returns of all the States abovementioned except Virginia cannot be ascertained) there remains to be drawn for out of the above appropriation, the sum of Twelve hundred Dollars.

With respect to the difference, betwixt the Expenditures charged by the Commissioners and the sum appropriated, the Board observe, that the Merchandize etc. acknowledged by them to have remained after the Treaty, and for which they have produced no receipt from the person in whose care the same is said to be, will be sufficient to discharge the same; and that the said Commissioners, to whom the balance abovementioned is stated to be due must be deemed responsible for the same, 'till they produce sufficient documents to exonerate themselves from this charge.

The only question which arises in the case of Mr . Perry, is whether, as he did not attend the Treaty to the actual completion of it, or assigned any cause for his non attendance, he should be allowed for his time going to and returning from Charleston; the other Commissioners, have charged for their attendance, at two periods, the first, from the 27th . of April to the 1st . July 1785, the second, from the 22d . August to the 16th . December 1785. From some documents in this office there is reason to believe that the Indians did not attend during the first period; which might probably have occasioned Mr Perry's return to his place of residence.

Should Congress be of opinion, under the above circumstances, that Mr . Perry is entitled to his pay during the time he actually attended,

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the Board submit to their consideration the following Resolve. vizt .

That there be paid to William Perry, one of the Commissioners for holding Treaties with the Southern Indians in the year 1785, the sum of Two hundred and ninety nine Dollars; being for forty six days attendance on the Business of his Commission at Charleston, and that the above sum be discharged out of the appropriations made for this Object by the Resolve of Congress of the 15th . of March 1785. All which is humbly submitted.

Samuel Osgood

Arthur Lee1

September 25th . 1788.

[Note 1: 1 September 30, 1788. According to indorsement and the Committee Book Papers of the Continental Congress, No. 190, p. 208, the following committees were appointed:
Mr. Thomas Tudor Tucker, Mr. John Parker and Mr. Abraham Clark on the letter of James Duane, Mayor of New York, to the Delegates of New York, dated September 29 and read September 30, 1788, respecting repairs on the City Hall. Papers of the Continental Congress, No. 78, VIII, pp. 237--238. Report rendered October I and acted on October 2, 1788.
Mr. Nicholas Gilman, Mr. James R. Reid and Mr. Edward Carrington on the petition of General James Reed, dated September 20 and read September 30, 1788, requesting that, he be put on the invalid list. Papers of the Continental Congress, No. 42, VI, pp. 534--536. A copy of the petition is on pp. 538--541. Report rendered October 1 and acted on October 2, 1788.
According to indorsement the committee on the Post Office Department had leave to take back its report of August 27, 1788. See July 7, 9, and October 9, 1788.
Also according to indorsement the Committee of July 7, 1788 on the War Department had leave to take back its report of July 21, 1788. See October 2, 1788,]

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