not presume to add one word of remark on the Chevalier's letter, if I
were not convinced, that as it was written for the Court, so it will
be necessary to oppose it in some degree by a knowledge of facts,
which may not be in your immediate view. He takes it for granted, that
the people will make extraordinary efforts, in consequence of their
successes, and I will readily admit that they have the ability and
ought to have the inclination; but they must differ much from former
experience, if they do exert themselves. I will admit that their
rulers ought to urge them into activity, but it must be remembered,
that those rulers are themselves of the people, that their ideas and
views are limited, and that they act like the people rather from
feeling than reflection. I speak here of the several Legislatures, for
I must repeat again and again, that our general system has not grown
into that form and vigor, which can communicate the impulses of a
sovereign mind to the remotest members of subjected power. I will
admit that a Monarch, would on so brilliant a success, call into
action, all which his kingdom possessed of strength and resources; but
America is not under monarchical government. I will admit further,
that if the object of the war was conquest, instead of security, every
victory would give new animation to all the members of our republican
confederacy; but this war is not carried on for conquest. While it
rages in any quarter it makes food for itself. The inroads of the
enemy create opposition. An application is then made immediately to
the feelings of the people; but when the inroad ceases, when the enemy
retires, the storm subsides, each man returns to his domestic pursuits
and employments, and thinks no more of the scenes, which had just
passed before him. It is true that this is only changing the field of
battle. But America is so extensive, that a shock given at one
extremity is lost before it reaches the other.
This true picture of our country, while it demonstrates the
impracticability of subjecting it, explains the reasons why our
exertions have always disappointed both our friends and our enemies.
If then, as the fact is, the mere change of position at the option of
the foe can so lull our people to rest, how much more are we to
expect it will follow from the capture of a considerable part of his
force. To reason rightly on the late events, we must admit the ability
to make greater exertions, and then seek the means of calling them
forth. This, Sir, can only be accomplished by pecuniary aid. The
Chevalier observes that the King's obligations to us have been
exceeded. This is but a narrow idea. If the King is engaged to support
the war until our Independence is established, his simple object of
inquiry will be, how that can be speedily and cheaply accomplished? It
is certain that America ought to do everything in her power, and you
may assure the Court, that Congress and the servants of Congress are
sensible of this duty and determined to comply with it. But it is in
vain to think of breaking the bounds of possibility, and equally vain
to think of changing the nature of man.
Let me add, that there is little propriety in reproaching Americans
with faults inseparable from humanity. Besides this, the exertions of
our country have really been very great, and as soon as more
consistency shall have been put in the administration, they will again
be great; but this is the period of weakness between the convulsive
labors of enthusiasm and the sound and regular operations of order and
government.
There is in the end of the Chevalier's letter a hint in relation to
our commerce, which although it does not immediately apply to the
present purpose, must not pass unnoticed. That an indirect commerce
has taken place with England is true, and that France has in a great
measure been the cause of it is equally true. Men will naturally buy
where they can obtain things most cheaply. The prime cost of goods,
though a great object in time of peace is not equally so in time of
war. The freight and the insurance are then so high that a small
difference of danger or convenience will counterbalance a great
difference of price. When France, by subscribing to the principles of
the armed neutrality, gave her enemy the means of bringing her
manufactures in safety to our neighborhood, she tempted our merchants
to buy those manufactures. She added the motives of interest to the
force of habit, and ought not, therefore, to be surprised that such
cogent principles have had effect. One mode remained, that of
convoying the trade between France and America, and that mode has been
neglected. I am happy, however, to observe, that this British commerce
is dwindling very fast. The war with Holland has given it one deadly
blow, and if our privateers are once more freed from the shackles too
hastily imposed upon them, I cannot doubt, but that the trade of this
country will flow directly to France, as indeed it ought to do.
And now, Sir, before I close this letter, let me make one further
observation with respect to the future supplies from his Majesty. To
solicit them is considered as asking for assistance in a war, whose
object is of the last importance to us. This is the point of view in
which I have placed it, and in which I am desirous it should stand.
But there is another method of looking at it, and, although delicacy
will forbid us so to present it, yet you may depend upon it, that
there are many, who have taught themselves to reason about it in a
different way from what you or I would wish. Whether Britain will
acknowledge our independence is a question, which is to be answered
only with some modifications. If, in consequence of such an
acknowledgement, we would forego our connexion with France, there is
no manner of doubt, but she would make it immediately. This would on
our part be wrong, and therefore it ought not to be done; but, Sir,
when this great object shall be presented on the one side, and the
weight of new and great taxes be felt on the other, with all their
ancient prejudices and predilections in aid, will not there be some
men who, for the shades of ease, will quit the paths of virtue?
I have the honor to be, &c.
ROBERT MORRIS.
* * * * *
TO THE PRESIDENT OF CONGRESS.
Office of Finance, November 29th, 1781.
Sir,
Having just now received a short letter from Mr Jay, of the 1st of
September, from St Ildefonso, I find it my duty to communicate the
contents immediately to the United States in Congress assembled. Mr
Jay informs me, that he expects soon to be under the necessity of
protesting the bills drawn on him; that Dr Franklin had hitherto saved
that necessity, but that he cannot advance much more, unless by the
express order of Congress. He says, further, that he has but little
hopes of loans or subsidies from Spain; that the ship America is
neither sold nor engaged, and that the Spanish Court seems determined
to do nothing until the campaign ends.
I have the honor to be, &c.
ROBERT MORRIS.
* * * * *
TO MR GRAND.
Office of Finance, December 3d, 1781.
Sir,
When I was called to the superintendence of the American finances, it
became necessary to appoint a banker, with whom to deposit the moneys,
which were to be granted by the Court for payment of my bills. Your
house naturally presented itself to my consideration, but as I knew
you to have large accounts open, and as I wished that my transactions
should be kept in a separate, clear, and distinct manner, I named for
this purpose the house of Messrs Le Couteulx & Co. At the same time, I
wrote to his Excellency, Benjamin Franklin, the Minister
Plenipotentiary of the United States, upon that subject, and was
honored with his answer two days ago. He has mentioned your services
to my country in those warm terms of gratitude, which are due to
early, vigorous, and disinterested exertions. My deep respect for the
opinions of that worthy Minister, my desire, on all occasions, to
evince the gratitude of my country, added to those favorable
impressions, which your conduct has made upon my mind, have induced me
to employ you as a banker in the affairs of the United States.
You will be pleased, Sir, to close your former accounts, and, in due
season, to transmit them. For subsequent transactions, you will open
new accounts, and, from time to time, keep me informed of the state of
our affairs. The allowance formerly made of one half will be
continued.
The intelligence lately received, gives strong hopes that the loan of
five millions of guilders, opened in Holland, will have been
completed before this reaches you. One million of these is
appropriated to purchasing certain articles for our army; and I now
direct one million to be deposited with you, and one million with the
house of your brother in Amsterdam, subject to my drafts. The
remaining two millions are to be shipped for this country.
As I am not positively instructed that this loan has succeeded, I do
not venture to draw bills on you; but in case you shall be in cash for
the United States, which I expect will happen, you will pay to Messrs
---- & Co., for account of John Ross, the sum of two hundred thousand
livres; to Messrs Le Couteulx & Co., for account of William Bingham,
one hundred thousand livres, and to John Holker, for account of John
Holker fils, the sum of one hundred thousand. From each of these
persons you will take quadruplicate receipts, in the form following;
"Received of ----, banker, by order of the Superintendent of the
Finances of the United States of North America, on behalf of---- the
sum of ---- being so much paid by the said States to him, the said
---- for which I have signed four receipts, all of this tenor and
date. Done in Paris this ---- day of ---- 178--." You will be
pleased, Sir, to forward to me three of the copies by different
opportunities.
I am, Sir, &c.
ROBERT MORRIS.
* * * * *
TO M. JOLY DE FLEURY.
Philadelphia, December 3d, 1781.
M. de Fleury will have the goodness to pardon an entire stranger for
intruding one moment on that attention, which is engaged in so many
important objects. I have been called, Sir, almost at the same time
with you, though in a different country, to the same office. The
intimate alliance and connexion between our Sovereigns is such, that
we are engaged in the same cause. My first steps have encountered
difficulties, and you have afforded the first means of surmounting
them. Thus, I flatter myself, from your clear view of the interests of
France, that you are disposed to give pecuniary aid to America. I will
not pretend to delineate the advantages resulting from it to the
penetrating mind, which has already conceived them. I will only add my
wish, that your name may be enrolled among those true friends of
France, who, by espousing warmly the cause of this country, have shown
themselves to be equally the friends of all human nature. To defend,
to assert, and to vindicate the insulted rights of man shall be the
solid monument of glory, which his Minister will industriously raise
for your royal master. With every fervent prayer for their most
perfect success, and with the sincerest esteem and attachment, I pray
you to believe me to be, Sir, &c.
ROBERT MORRIS.
* * * * *
TO B. FRANKLIN.
Office of Finance, December 5th, 1781.
Sir,
I was yesterday morning favored with yours of the 12th of September,
enclosing third copies of your two letters of the 26th of July, also a
copy of Count de Vergennes' letter to you of the 23d of August. I find
by these letters, that the idea I had entertained as to the advances
made by the Court was not so favorable as the truth, and that the ten
millions of livres, or five millions of florins to be borrowed in
Holland, will be over and above those advances. How much pleasure I
receive from that circumstance, you will easily conceive. It is an
additional pleasure, that the labor of adjusting the matters mentioned
in mine of the 27th of November, will be saved to you.
I am much surprised to find so large purchases made on account of the
United States in Holland. If everything else were equal, the generous
conduct of France towards us has been such, that I cannot but think
that every possible preference ought to be given to the manufactures
of that nation. But there is, in my opinion, very essential
preferences of a different kind. The position of Amsterdam is
unfavorable in a war with England to a commerce with this country.
France also can, and I suppose will give convoy, to the articles
procured there. But I will dwell no longer on the subject, for, I
trust, that nothing of the kind will happen hereafter.
Should the loan be obtained, you will be so kind, Sir, as to deposit
one million of florins with Mr Grand, to whom I will pray you to
deliver the enclosed letter. I shall, in consequence, not draw upon
you for a million of livres in favor of Messrs Le Couteulx &. Co. as
I intended; and, in like manner, I beg leave to revoke what I have
said on the subject of paying all balances into their hands, in my
letter of the ---- last. One million of florins you will also be
pleased to deposit with the house of Grand at Amsterdam, sending me
the precise address of both, so that I can direct my bills properly to
them. Nearly one million will be necessary to pay the invoice sent in
my letter of the ---- last. The remaining two millions, I wish may be
shipped from France in gold by proper vessels of war, which, I dare
say, will readily be provided by M. de Castries.
I perceive you have not written to Congress on the subjects mentioned
in the letter of the Count de Vergennes of the 23d of August, which I
am glad of. The more that an opinion prevails here that we must succor
ourselves, the more we shall do it; and, therefore, I shall not
communicate what you have said for the present; but, as the best
acknowledgement, I shall endeavor to further the operations against
the common enemy, and draw forth all our resources for an early and
vigorous campaign. The splendid and important success, which has
crowned the combined arms in Virginia, is, I hope, only an earnest of
what is to be done next year. These are the returns which we shall
make to the King, for the aid he so generously affords. And I have a
very particular satisfaction in assuring you, that throughout this
country, a strong attachment to the French nation is daily taking
place of that blind partiality, once felt for everything, which had
the name of English. Let me add, for your use, a piece of mercantile
information lately communicated to me from unquestionable authority.
The demand for French goods in this country has raised the prices in
France from twenty to thirty per cent. The importations have reduced
the prices here nearly twenty per cent, and the exchange, you already
know, has been raised considerably.
I shall say nothing to you in this letter on the subject of future
supplies, further than what is contained in mine of the ---- last,
because I feel a conviction, that you will obtain such as may be
necessary. I will only repeat what I have often said, let them be
early. I enclose a letter to M. de Fleury, which you will either
deliver or not, as may best answer your purposes.
I hope often to have the pleasure of hearing from you, and I pray you
to believe me to be, with very great truth,
Dear Sir, &c.
ROBERT MORRIS.
* * * * *
TO THE GOVERNOR OF NEW YORK.
Office of Finance, December 11th, 1781.
Sir,
I have been honored with your favor of the 24th of last month,
covering resolutions of the Senate and Assembly of the 21st and 22d.
You will easily conceive by what passes in your own bosom, how much I
feel at a representation of distresses, while the necessity of revenue
admits not of alleviation. The Legislature are undoubtedly best able
to discover and to describe the evils, which afflict their
constituents, and I should almost in any case, bend before so high an
authority. But the situation, in which I am placed, compels me to make
some observations, which if they are not admitted to have weight, will
not I hope, be considered as foreign to the purpose.
It is contended by the State agent, that the supplies, which he has
delivered, and those which he holds ready to furnish, amount fully to
the demand for specific supplies. And it is lamented, that the army
have subsisted from the neighborhood of West Point in former times,
leaving thereby a great mass of certificates, which being useless to
the inhabitants, the supplies obtained have to all intents and
purposes, operated a tax. To this I will add, that the resolutions of
your Legislature state an extra expense, which has produced a tax to
the amount of one hundred and eighty thousand dollars. If these
exertions joined to the ravages of the enemy, and the usurpations
complained of, have occasioned distress, they at least demonstrate the
abilities of the State in former periods. You will perceive, that I am
now about to supply the troops by contract, wherefore a ready market
for their produce must immediately be opened to the inhabitants of
your State. This will enable them to obtain hard money, and that will
enable them to pay taxes. The great object, therefore, of the
Legislature will be to adopt a vigorous and just system of taxation,
and to take off all those restraints upon the people, which injure,
afflict, and impoverish them, without producing any advantage to the
public. The army must be supplied by law or by force. The latter mode
is detestable, and as to the former, certainly the best way, in which
it can operate, is to raise taxes and purchase supplies; because by
this means much less of the produce of the country is expended, and in
the event, the payment of the people is by the produce of the country,
that being the only source of national wealth.
As the Legislature seem to have great apprehensions on the score of
former demands, I take the liberty of enclosing an estimate, which is
formed on the supposition, that all the specific supplies shall have
been delivered, which as I have already had the honor to observe, is
contended for by the agent, though the truth of it cannot be admitted
before the final adjustment of the amount. The burden of these demands
would in such case be very moderate. It is my intention to destroy the
paper money as soon as it can be called in. Wherefore a slight
exertion for that purpose will relieve your State from the burden of
it.
As to the extra expense, which has accrued to the State by calling new
levies into the field, it is the business of the United States in
Congress to determine upon it. It is, however, my duty to remark, that
exclusive of the great expense of additional officers, the sum there
stated as a bounty is fully equal to the pay and rations of so many
men for six months. I am sure that I need not observe to your
Excellency the impracticability of carrying on a war where it costs as
much to enlist a man as it does to feed and pay him for six months. A
few such extra corps raised in each State, and the bounties charged to
the United States, in payment of the quota would immediately compel
Congress to disband the whole army for the want of the means of
subsistence, or to permit the troops to plunder the inhabitants.
In the midst of those complaints of your situation I receive a
particular pleasure from the assurance that the Legislature will
contribute to the general service of the Union their proportion of
well established funds. I hope the recommendation for that purpose
will soon come under the consideration of the United States and be
duly expedited.
I have the pleasure to add, Sir, that a report from this office for
the full and final settlement of accounts is now before the Congress.
Whenever a determination shall have been made it will be transmitted.
With perfect respect and esteem I am, &c.
ROBERT MORRIS.
* * * * *
TO THE GOVERNORS OF NORTH CAROLINA, SOUTH CAROLINA, AND GEORGIA.
Office of Finance, December 19th, 1781.
Sir,
In my circular letter on that subject, I have already had the honor to
transmit the requisitions of Congress, contained in their Acts of the
30th of October and 2d of November last, by which the quota of your
State for the year 1782 is ---- dollars, payable in quarterly
payments, commencing the 1st day of April next.
The distresses which your State has lately suffered, will not, I fear,
permit the collection of this quota in hard money, although the
subsistence of the army will naturally call for an expenditure to a
great amount in such articles as the State can furnish. The mode
hitherto pursued of granting receipts and certificates by every one
empowered or employed to impress or purchase, cannot but be attended
with much confusion and difficulty, if not with oppression and fraud.
It is the duty of those who are intrusted with the management of the
public affairs, to prevent as much as possible these evils, and as
much as possible to equalize and diminish those burdens, which the
people must bear. It would give me great pleasure to be put in such a
situation, as that I might at once contract for the supplies of the
southern army; but I have not specie for the purpose; nor do I find
that taxes are yet laid in the Southern States to procure it.
Wherefore, I must wait yet some time, until the public treasury is
replenished, until the hard money now in America gets somewhat more
diffused, and until I have a prospect of receiving back from those
States in hard money their quota of the public taxes.
In this situation of things, I have devised and proposed to the
Delegates of the three Southern States, the following plan. To appoint
a Receiver of the taxes in each State, agreeably to the Act of
Congress, and to empower such Receiver to issue notes on the warrants
of the General, payable in those taxes, or from the amount of them
when collected. By which means those articles necessary for the
consumption of the army may be purchased, and the quota of the State
be thereby paid.
The Delegates of North and South Carolina thought the plan eligible,
but one of the Delegates of Georgia was disinclined to that part of
it, which requires the previous passing of a law to raise the quota of
taxes called for by the United States. I am this morning informed,
that upon a reconsideration of the matter, a majority of the Delegates
of South Carolina are also of opinion, that it would be better not to
make the enacting such a law an indispensable part of the system. I am
very sorry for this circumstance, because, as all the Delegates from
the three States mentioned, approve of the plan in other respects, I
did expect their warm recommendation of it to their respective
Legislatures; for your Excellency will perceive at a single glance,
that it originated in the sincere desire of relieving those States,
and has that relief for its object, as far as the public service of
the United States will possibly permit.
Those gentlemen who object to making a tax bill the preliminary to any
issues of the notes, have proposed as an expedient, a law, promising
the payment of the notes when taxation shall become practicable,
compelling the receipt of them in payment as specie, and limiting the
prices of those articles, which the army may want. This is done to
obviate two objections, which are supposed to be against taxation,
that the state of the country will not admit of the collection, and
that those who have no property left but lands, cannot pay the taxes
without extreme distress.
Before I go into any detailed observations on these subjects, I beg
leave to state one general reason why I must insist on the tax law,
even if in other respects I should have no material objections to the
expedient proposed. As Superintendent of the Finances of the United
States, it is my duty to urge a compliance with the requisitions of
Congress, and, therefore, to facilitate that compliance; but I should
betray the trust reposed in me, if by any expedient whatever, I
assisted in eluding those requisitions. With me, therefore, the
propriety of passing the tax bill can admit of no question; and in
consequence, my orders are precise, to prevent the issue of a single
note, until such bills shall have been enacted, and effectual
provision made for the collection.