on the inattention of the several States, are just and unanswerable;
but in what country of the world shall we find a nation willing to tax
themselves. The language of panegyric has held forth the English as
such a nation, but certainly if our Legislatures were subject to like
influence with theirs, we might preserve the form, but we should
already have lost the substance of freedom. Time, reason, argument,
and above all, that kind of conviction, which arises from feeling, are
necessary to the establishment of our revenues, and the consolidation
of our union. Both of these appear to me essential to our public
happiness; but our ideas, as you well know, are frequently the result
rather of habit than reflection, so that numbers who might think
justly upon these subjects, have been early estranged from the modes
and means of considering them properly.
I am in the hourly wish and expectation of hearing from you, and
sincerely hope it may be soon. Believe me, I pray, with esteem and
respect, yours, &c.
ROBERT MORRIS.
* * * * *
TO B. FRANKLIN.
Office of Finance, May 26th, 1783.
Sir,
By the enclosed Acts of the 28th of April and 2d of May, with the copy
of my letter to Congress of the 3d of May, you will perceive that I am
to continue somewhat longer in the Superintendence of our Finances.
Be assured, Sir, that nothing but a clear view of our distresses could
have induced my consent. I must at the same time acknowledge, that the
distresses we experience, arise from our own misconduct. If the
resources of this country were drawn forth, they would be amply
sufficient, but this is not the case. Congress have not authority
equal to the object, and their influence is greatly lessened by their
evident incapacity to do justice.
This is but a melancholy introduction to the request contained in the
Act of the 2d instant. But I shall not be guilty of falsehood, nor
will I intentionally deceive you, or put you in the necessity of
deceiving others. My official situation compels me to do things, which
I would certainly avoid under any other circumstances. Nothing should
induce me in my private character to make such applications for money
as I am obliged to in my public character. I know and feel that you
must be in a disagreeable situation on this subject. I can anticipate
the answers to all your requests; and I know you may be asked for
payment when you ask for loans. Yet, Sir, I must desire you to repeat
your applications. My only hope arises from the belief, that as the
King's expenses are much lessened, he may be able to comply with his
gracious intentions towards America.
And the only inducement I can offer is the assurance that the taxes
already called for, shall be appropriated as fast as other
indispensable services will admit, to the replacing of what the Court
may advance.
Our situation is shortly this. The army expect a payment, which will
amount to about seven hundred thousand dollars. I am already above
half a million dollars in advance of our resources, by paper
anticipation. I must increase this anticipation immediately to pay
moneys due on contracts for feeding our army; and I must make them the
expected payment by notes to be discharged at a distant day. Now, Sir,
if these notes are not satisfied when they become due, the little
credit which remains to this country must fall, and the little
authority dependent on it must fall too. Under such circumstances it
is, that you are to ask aid for the United States. If it can be
obtained, I shall consider the obligation as being in some degree
personal to myself, and I shall certainly exert myself for the
repayment. You will be so kind, Sir, as to ship on board the
Washington eighteen hundred thousand livres, but if the loan be not
obtained, I must entreat you will give me the earliest possible
information of the refusal.
I shall communicate this letter to the Minister of his Most Christian
Majesty, and request him to write to the Count de Vergennes, on the
subject of it. Believe me; I pray, with sincere and respectful esteem,
&c.
ROBERT MORRIS.
* * * * *
TO M. DE LA LUZERNE.
Office of Finance, May 27th, 1783.
Sir,
I do myself the honor to enclose for your Excellency's perusal, the
copy of a letter to Dr Franklin, which will go by the Washington
packet, on Sunday next. I am to request, that your Excellency will
write on the subject of it to the Count de Vergennes. You will
observe, Sir, that I have made no mention whatever of the reasons,
which might induce France to grant the aid requested. Every argument,
which can apply to the interests of your Court, will come more
properly, as well as more forcibly from your pen than from mine. I
shall only ask, that you will give your own sentiments and views of
our circumstances and situation. These will, I doubt not, be the most
powerful reasons in support of the present application.
I am, Sir, with perfect respect, &c.
ROBERT MORRIS.
* * * * *
TO GEORGE WASHINGTON.
Office of Finance, May 29th, 1783.
Dear Sir,
I am now to acknowledge the receipt of your Excellency's letter of the
8th instant. I have not answered it sooner, because until now it has
not been in my power to answer it satisfactorily.
By some designing men my resignation of office (grounded on a clear
conviction, that unless something was done to support public credit,
very pernicious consequences would follow) was misconstrued. It was
represented as a factious desire to raise civil commotions. It was
said that the army were to be employed as the instruments to promote
flagitious interested views. These found admittance to minds, which
should forever have been shut against them. We now rest on the event,
to determine whether a sincere regard to public justice and public
interest, or a sinister respect to my own private emolument were the
influential motives of my conduct. I am a very mistaken man, if time
and experience shall not demonstrate, that the interests of the army
and of the public creditors are given up. But I mention these things
only to you in confidence, for it shall not again be supposed that I
am the leader of sedition.
Having done what was in my power to establish those plans, which
appeared necessary for doing justice to all, and affording relief to
our army in particular, I have acquitted what was the first and
greatest duty. When it appeared that other modes were to be pursued, I
would gladly have departed in peace, but it has been thought that my
further agency was necessary, to procure for the army that species of
relief, which they seemed to desire. The factious designing man, who
was to have lighted up the flames of mutiny and sedition, has
undertaken, a most arduous and perilous business to save this country
from those convulsions, which her negligence had hazarded. This became
a duty when the first duty to justice was performed, and this shall be
performed also. It is now above a month since the committee conferred
with me on that subject, and I then told them that no payment could be
made to the army but by means of a paper anticipation, and unless our
expenditures were immediately and considerably reduced, even that
could not be done. Our expenditures have nevertheless been continued,
and our revenue lessens, the States growing more and more remiss in
their collections. The consequence is, that I cannot make payment in
the manner first intended. The notes issued for this purpose would
have been payable at two, four, and six months from the date, but at
present they will all be at six months, and even that will soon become
impracticable, unless our expenses be immediately curtailed.
I shall cause such notes to be issued for three months' pay to the
army, and I must entreat, Sir, that every influence be used with the
States to absorb them, together with my other engagements, by
taxation. The present collections are most shameful, and afford but a
sad prospect to all those who are dependent upon them.
I hope, my Dear Sir, that the state of public affairs will soon permit
you to lay down the cares of your painful office. I should in two days
have been liberated from mine, if a desire to free you from your
embarrassments, and procure some little relief to your army, had not
induced a continuance of them. But it must always be remembered, that
this continuance is distinct from any idea, which may be connected
with the plans for funding our public debts. As I do not approve of,
so I cannot be responsible for them. Neither will I involve myself in
endless details, which must terminate in disappointment.
With great respect, I am, &c.
ROBERT MORRIS.
* * * * *
CIRCULAR TO THE GOVERNORS OF THE STATES.
Office of Finance, June 5th, 1783.
Sir,
Congress having directed a very considerable part of the army to be
sent home on furlough, I am pressed exceedingly to make a payment of
three months' wages, and I am very desirous to accomplish it, but the
want of money compels me to an anticipation on the taxes by making
this payment in notes. To render this mode tolerably just or useful,
the notes must be punctually discharged when they fall due, and my
dependence must be on the money to be received of the several States,
on the requisitions for the last and present year. I hope the urgency
of the case will produce the desired exertions, and fully enable me
to preserve the credit and honor of the federal government.
I have the honor to be, &c.
ROBERT MORRIS.
* * * * *
CIRCULAR TO THE GOVERNORS OF THE STATES.
Office of Finance, July 11th, 1783.
Sir,
I do myself the honor to enclose to your Excellency, a state of the
public accounts, balanced on the last day of June, 1783. A view of
these accounts will render it unnecessary to make many observations.
On the States I am to rely for payment of the anticipations amounting,
as you will see, to more than a million. And you will observe, that
this great anticipation has been made for that service, which all
affect to have so much at heart. A payment to the American army. If
they had received no pay during the year 1783, I might perhaps have
been spared the necessity of this application, because it is probable
that the taxes even as they are now collected might have absorbed such
anticipations as I should then have been obliged to make.
Much pains have been taken to inculcate the idea that we have funds in
Europe. Those funds which we had there are exhausted, and the general
apprehension that no proper funds here will be provided has cut off
all hopes from that quarter.
The question has frequently and industriously been asked, what becomes
of the moneys which are paid in taxes. I have furnished the means of
judging, as to those which reach the public treasury, to every man
employed in the administration of government in the several States,
for my accounts have been regularly transmitted. And I would not have
mentioned the insinuation had it not been for the purpose of
observing, that it is incumbent on all those who are desirous of
forwarding a collection of taxes to show a fair appropriation, and not
suffer groundless clamors to disturb the public mind.
It has been said that there is no necessity of urging the collection
of taxes now, because the notes given to the army are not payable in
less than six months. This again is an assertion whose mischievous
operation is levelled at the very vitals of our credit. One month of
that time is already expired with respect to all those notes which
have been already issued. They are not the only notes in circulation.
Notes are not the only modes of anticipation which have been adopted.
And it is a serious fact, that unless more vigorous measures take
place, the credit of all notes and of everything else must be
destroyed. But this is not all. Supposing for a moment, that the notes
given to our army were the only object whose credit was to be attended
to. Can any reasonable man imagine, that they could be of any use if
the payment were to depend on taxes which are not to be collected
until the notes are due.
I have not been wanting on my part in pointing out from time to time,
the mischiefs which must ensue from neglect. The applications have met
with inattention, which personally I have disregarded, but which I
could not but feel, from the consequences involved in it. Again, in
compliance with the duty I owe to the United States, I call for that
aid which they are entitled to. And on this occasion I take leave to
observe, that the moment is very fast approaching which is to
determine whether America is entitled to the appellation of just, or
whether those who have constantly aspersed her character are to be
believed.
With perfect respect, I have the honor to be, &c.
ROBERT MORRIS.
* * * * *
REPORT TO CONGRESS RELATIVE TO THE PAY OF THE ARMY.
Office of Finance, July 15th, 1783.
The Superintendent of Finance, to whom was referred, on the 11th
instant, the extract of a report, with order to report thereon, and
also to report what measures he has taken relative to the pay of the
army, begs leave to report,
That the receivers in the several States have long since been
instructed, to take all notes signed by the Superintendent of Finance
in payment of the taxes, and also, take up all such notes whenever
tendered, if they have public money in their hands.
That when it was in contemplation to make a payment to the army, the
committee who conferred with the Superintendent on that subject were
informed, that it could only be done in notes, and that in order to
support the credit of such notes, it would not be sufficient that they
should only be receivable in taxes in some particular State, but that
the receivers throughout the States must receive and exchange them, in
like manner with other notes issued from the Office of Finance.
That the instruction to the receivers is generally known to all those
who are concerned in the business they relate to, and in consequence
thereof the receivers are in the constant practice of receiving and
exchanging notes signed by the Superintendent of Finance, which they
duly remit to the treasury.
That whenever they shall find it difficult to obtain such notes for
the purpose of making their remittances (which is not likely to be the
case in any short period,) they will naturally advertise to obtain
them. Wherefore, any general notification, such as is contained in the
extract committed, will be unnecessary.
That if such publication as is recommended were confined (as seems to
have been the idea,) to those notes which have been issued for payment
of the army, it would destroy what little credit is at present reposed
in the public servants, and by bringing home immediately all other
notes which have been issued, render it impracticable to discharge
them; in which case the notes issued to the army could be of no use,
because nobody would take them. The importance of preserving credit in
this respect, will appear from the preamble to an Act of Congress of
the 2d of May last.
That if (as is most probable) the publication were intended to relate
alike to all notes, it is a thing which is already well known, and
therefore the expense of printing may be spared.
With respect to the measures taken relative to paying the army, he
begs leave to report, that upon an estimate from the War Office, he
signed warrants for four months' pay of the present year, whereof one
month's pay has been made to the noncommissioned officers and privates
in specie, and to the officers in notes, and three months' pay to both
officers and soldiers in notes. That the Paymaster has not yet
received all the notes necessary for the purpose, but has in his hands
as many as he wants for the present.
All which is humbly submitted.
ROBERT MORRIS.
* * * * *
TO THE PRESIDENT OF CONGRESS.
Office of Finance, July 18th, 1783.
Sir,
I would sooner have replied to the Act of Congress of the 11th
instant, if I had not been prevented by other business, which required
immediate attention. The Act recites a representation to Congress,
that certain parts of the army retired on furlough have not received
the pay, &c. I will not contest the truth of this representation. But
when I come to state such facts as are within my knowledge, I shall
appeal to the candor of Congress how far that representation will
warrant a censure against me.
I am directed to complete without delay the same payment to the
officers and soldiers of the Massachusetts line which were ordered to
be paid to the army at large. Congress will be pleased to observe,
that they have passed no particular order to which the above
resolution can refer. The general Acts which relate to paying our army
from the _authority_ on which the payment alluded to was made.
Supposing, however, that by the resolution is meant three months' pay,
in notes payable at six months from the date; I must take liberty to
remind Congress, that completing the payment to any part of the army
is not the business of my department, but of the Paymaster General.
All which can depend on me, is to put those notes into his hands when
called for, and this has been done as fast as was possible.
I am directed to report the reasons why the troops lately furloughed
did not receive a part of their pay previous thereto. Not being able,
Sir, to make so full report on this subject as I could wish, I have
written a letter to the Paymaster General, of which the enclosure,
number one, is a copy. The answer to this letter shall be transmitted
as soon as received. The facts relating to that matter which are
within my knowledge are the following.
On the 9th day of April last, a committee of Congress did me the honor
to call, for the purpose of consulting on certain propositions
contained in a letter from the Commander in Chief to an honorable
member from Virginia. One of these propositions was to make the army
three months' pay previous to their disbandment. My reply was, an
acknowledgement that the claim was very reasonable, a declaration that
I doubted of the practicability, and a prayer to be indulged with time
for consideration. On the 14th of April I wrote a letter to that
committee, in which I had the honor to inform them, that three months'
pay amounted, according to the estimates, to seven hundred and fifty
thousand dollars. That to supply so large a sum was utterly
impracticable, or indeed to obtain any considerable part. That the
most which could be done was to risk a large paper anticipation. That
to render the arrangements for that purpose effectual in an official
point of view would be a work of time. That the period of my official
existence was nearly arrived; that disbanding the army in a manner
satisfactory to them and the country was doubtless desirable. That I
believed it to be practicable, although extremely difficult, and that
I should be ready at all times to give my advice and assistance to
those who might be charged with that delicate and perilous
undertaking.
On the 22d of April, Congress were pleased to appoint a committee to
confer with me relative to my continuance in office. I told that
honorable committee, that the late advices from Europe gave a new
complexion to our affairs, and prayed some further time for the
receipt of intelligence. On the 24th of April, I had the honor to
inform the committee, that if Congress thought my assistance essential
toward completing such payment to the army as might be agreed on, &c.
I would consent to a further continuance in office for that purpose;
but prayed to be excused from that service if Congress could otherwise
accomplish their views.
On the 28th of April, Congress were pleased to resolve, that the
public service _required my continuance in office_ till arrangements
for the reduction of the army could be made, and the engagements taken
in consequence, as well as those already taken, should be completed.
On the 2d day of May Congress were pleased to pass some further
resolutions on the same subject, which I shall shortly have occasion
to mention. On the 3d of May I had the honor to entreat of your
Excellency, that you would inform Congress that I entertained a proper
sense of their assurance of firm support, and _in reliance on them_
should continue my zealous exertions for the service of the United
States.
On the 9th of May, having had a conference with the Minister of War,
on the resolutions of the 7th and 28th of April and 2d of May, we took
the liberty to request, that a committee might be appointed to confer
with us on the subject of those resolutions. On the 15th of May, two
gentlemen of that committee did us the honor of the conference
requested. In which it was stated, _as impracticable to make any
payment to the army, unless our expenditures were immediately and
considerably reduced_. The committee, however, being desirous to have
the situation of things stated to them in writing, I wrote them a
letter on the same day, showing, that on the last day of April we
were in advance of our resources, to the amount of six hundred
thousand dollars; that our foreign resources were exhausted; that our
domestic resources as far as they consisted in sales of public
property, were considerably reduced; that as far as they consisted in
the produce of taxes they were extremely slender and precarious; that
the monthly consumption of the army was at least double the monthly
produce of the taxes; that if they were kept longer in the field, they
would consume every resource by which the payment could possibly be
made or hazarded. And, therefore, that _unless the far greater part of
our expenses was immediately curtailed, the object Congress had in
view by their resolutions of the 2d of May could not possibly be
accomplished_. This letter was accompanied with the necessary
documents to establish the positions contained in it.
On the 26th of May it was resolved, that the Commander in Chief should
be instructed to grant furloughs, &c. And this resolution was
communicated to me on the 27th. Thus, Sir, from the 9th day of April,
when this matter was first proposed, until the 27th day of May, when
the final determinations of Congress were made known, my conduct was
of necessity suspended.
On the 29th of May I informed the Commander in Chief of my
determination to issue notes payable in six months from the date, for
three months pay, and explained to him the reasons why I could not
make the payment in any other mode. In reply to this, I received on
the 5th of June a letter from the General, dated the 3d, which was
brought by express and urged the transmission of a part of those
notes. I immediately wrote an answer, in which I informed him that on
Saturday evening, the 31st of May, the paper arrived from the maker;
that on Monday, the 2d of June, it was delivered to the printer; that
he had agreed to send the first parcel of notes to me on Friday, the
6th of June; and that as soon as I could sign them they should be
delivered to the Paymaster, to be sent forward. On the 7th of June the
Paymaster received fifty thousand dollars, on the 9th fifty thousand
dollars, and on the 13th one hundred thousand; so that in six days I
signed six thousand notes, besides the other business of my office.
That paper made on purpose for this business was necessary no man can
doubt, or if it could have been doubted the recent attempt to
counterfeit these notes is a sufficient proof. That the printing was
to take place before the signing must be admitted. The only delay
therefore with which I can be chargeable must be in the signing of
them, and upon that subject I shall say nothing. If by any means a
delay happened after the notes were delivered into the pay office, I
presume that the Paymaster General will be able to account for it. I
shall only add, that he has received half a million of these notes, as
will appear by the enclosed note of the payments number two.
I am also directed, Sir, to report the manner in which I expect to
redeem the notes in question. Congress will be pleased to recollect,
that the issuing of those notes arose from a proposition made by the
General and warmly adopted by them. That although I was very desirous
of gratifying the wishes of the army, I had great apprehensions as to
the ability of doing it. And that from a view of the scantiness of our
resources I felt extreme reluctance in giving my consent. As to the
means of redeeming the notes, permit me to refer Congress to the
letters which I had the honor of writing to your Excellency on the
17th of March and 1st of May; to my correspondence with the honorable
committee of Congress on the 14th and 16th of April, copies whereof
are enclosed in the paper number three; and to a circular letter to
the States of the 12th of May, of which a copy is enclosed in the
paper number four.