| PREVIOUS | NEXT | NEW SEARCH |
A Century of Lawmaking for a New Nation: U.S. Congressional Documents and Debates, 1774-1875
Journals of the Continental Congress --WEDNESDAY, MAY 21, 1788.
Congress assembled present as yesterday.
On a report2 of the board of treasry . to whom was referred a motion3 of the delegates of Maryland
[Note 2: 2 See May 20, 1788.]
[Note 3: 3 See May 16, 1788.]
Resolved That the board of treasury take Order for the payment of a bill drawn by William Carmichael Esqr on Mr John Brown of Maryland and accepted by him for the sum of two thousand dollars.
Page 166 | Page image
[Report of committee on public accounts1]
[Note 1: 1 Papers of the Continental Congress, No. 26, pp. 669--670, in the writing of Mr. Nathan Dane. Read May 21, and passed May 22, 1788. The text of the report, with verbal changes to make it an adopted resolve, is entered verbatim in the Journal on this latter date. See May 19, 1788.]
[Report of Board of Treasury on copper coins2]
[Note 2: 2 Papers of the Continental Congress, No. 139, pp. 673--682, read May 21, 1788. The covering letter of the Board, also read, is in Papers of the Continental Congress No. 140, I, p. 507. See June 6 and July 16, 1788.]
The Commissioners of the Board of Treasury beg leave to Report to Congress
That the Contractor for Copper Coinage having lately made a delivery on Account of his Contract of a parcel of Copper Coin; the Board have turned their attention to the customs at this time prevailing in the circulation of Copper in the several States; and find; that there are but two States in the Union, where Copper passes at so high a rate as the British standard, that is Forty eight Coppers weighing one pound averdupois, for two shillings Sterling.
There are several important reasons for reducing the Nominal Value of the Copper Coin, struck under the authority of the United States which the Board with great deference beg leave to submit to Congress.
That the present nominal value of the Copper Coin exceeds in a prodigious degree its real value, will appear from the following statement Vizt .
Page 167 | Page image
This is upwards of 55 perCent beyond the Cost and Charges of importing it; but if this was done by the Manufacturer (who in all probability would not gain less than 20 PerCent) this added to the difference betwixt the real and Nominal Value, would operate as a premium of 75 PerCent in favor of those who should Import or Counterfeit the present Coinage; to guard against the effects of such a temptation, no Laws of the State Governments, or that of the Union, would in the opinion of this Board, be found adequate. Previous to the conclusion of the Contract with Mr . Jarvis, the Board was informed by the Contractor, that he had suggested to the Committee the propriety of adding to the weight of the copper the Premium of Fifteen perCent, which was to be allowed to the United States; but that this proposition was not at that time judged eligible.
The reasons above induced, and the remarks we may have occasion to make in the course of this Report will, we presume, induce the United States in Congress to consider it in a different point of view; and under this impression, we beg leave to suggest,
That the Foederal Dollar should contain Three Pounds Averdupois of Copper, instead of Two Pounds and One Quarter as was first intended.
And a new Coin struck for the Cents weighing as above proposed.
Page 168 | Page image
It may at first view be supposed that the United States will actually sustain a loss by this alteration of the Standard; This is founded on a supposition, that the present Coin would be Circulated at the Value annexed to it, by the present Ordinance. But we have no doubt experience would prove, That if the Standard is not altered, the customs prevalling in the several States in the receipt of Foreign Copper Coin would determine the current Value in the market of the present coinage; in which case the proceeds of the Contract of Mr Jarvis would be as follows Vizt .
To impress upon Congress more strongly the necessity altering the present Standard of the Copper Coin, the Board beg leave to lay before them, a copper piece struck on the principles of a Promissory Note of hand, and issued by the Anglesey Copper company, for labour, and Articles supplied to their works, as a penny Sterling. This piece will be found to weigh Eighteen penny w(t). and sixteen grains Troy weight, which is at least 33 1/3 per cent more than two of the British Tower halfpence.
This device has rendered the Laws of Great Britain for promoting the circulation of the Copper Coin at the present Standard altogether neugatory, and in all probability has evinced the necessity of raising the standard, as before suggested.
Should the reasons offered in this Report shew the propriety of adopting the Standard recommended by the Board for the Copper Coin to be struck under the Contract of Mr . James Jarvis, they beg leave to submit to the consideration of Congress, the following Ordinance, for carrying into effect the Intentions of that Honorable Body on the Premises,
Be it Ordained by the United States in Congress assembled,
That no Copper Coin struck under the Authority of the United States, or that of a particular State, shall pass at a greater value
Page 169 | Page image
than one Foederal Dollar for Three pounds Avoirdupois Weight of such Copper Coin;
And be it further Ordained. That the Cents composing the Foederal Dollar, shall be represented by a Copper Coin, containing Two hundred and Nine grains and 98/100 of a grain Troy weight of pure Copper; that the Copper Coin struck in pursuance of the Act of Congress of the 8th . of August 1786, shall pass for three quarters of a Cent, and that a smaller Coin be struck to represent one moiety of a Cent.
And be it further Ordained that such parts of the Acts1 of Congress of the 8th . August and 16th . October 1786, as relate to the Standard of Copper Coin, be and the same are hereby repealed, and made void.
[Note 1: 1 Journals, vol. XXXI, pp. 503--504, 876--878.]
All which is humbly Submitted.
Samuel Osgood
Walter Livingston
Arthur Lee2
[Note 2: 2 May 21, 1788. According to the Committee Book, Papers of the Continental Congress, No. 190, p. 191, the following was referred;
The report of the Secretary for Foreign Affairs, March 25, 1788, on letters of David Howell, and Clark and Nightingale, respecting the sloop America. See March 25, 1788. Referred to the Secretary for Foreign Affairs to take order. The committee on the matter, appointed March 27, 1788, was discharged.
According to indorsement the following were read:
Petition of Elizabeth Wallace, daughter of Robert Patton, May 21, 1788, for the payment of $400 due her father. Papers of the Continental Congress, No. 42, VIII, p. 428, with a copy of the certificate of indebtedness on p. 432. See May 22, June 13 and 24, 1788.
Letter of William Turnbull to Silas [Cyrus] Griffin, President of Congress, May 20, 1788, requesting a copy of a report to Congress. Papers of the Continental Congress, No. 78, XXII, pp. 371--372.]
May 21st . 1788.
PREVIOUS SECTION .. NEXT SECTION .. NAVIGATOR
| PREVIOUS | NEXT | NEW SEARCH |