depredations, had taken every proper opportunity to impress upon the Indians a pacific disposition; and that, on his first hearing of the outrages lately committed, he had sent a messenger to endeavour to prevent them. Major Beckwith further intimated, that the perpetrators of the late murders were banditti, composed chiefly of Creeks and Cherokees, in the Spanish interest, over whom the governor of Canada possessed no influ ence. These communications were laid before the President, and appeared to him to afford an explanation of the delays experienced by Mr. Morris. He was persuaded that a disposition existed in the cabinet of London to retain things in their actual situation, until the intentions of the American government should be ascertained with respect to the war supposed to be approaching. If the United States would enter into an alliance with Great Britain, and would make a common cause with her against Spain, the way would be smoothed to the attainment of all their objects: but if America should be disinclined to such a connexion, and especially, if she should manifest any partiality towards Spain, no progress would be made in the attempt to adjust the points of difference between the two nations. Taking this view of the subject, he directed that the further communications of Mr. Beckwith should be heard civilly, and that their want of official authenticity should be hinted delicately, without using any expressions which might, in the most remote degree, impair the freedom of the United States, to pursue, without reproach, in the expected war, such a line of conduct as their interests or honour might dictate. In the opinion that it would not only be useless but dishonourable further to press a commercial treaty, or the exchange of ministers, and that the subject of the western posts ought not again to be moved on the part of the United States, until they should be in a condition to speak a decisive language, the powers given to Mr. Morris were withdrawn. Should the interest of Britain produce a disposition favourable to an amicable arrangement of differences, and to a liberal commercial intercourse secured by compact, it was believed that she would make the requisite advances; until then, or until some other change of circumstances should require a change of conduct, things were to remain in their actual situation. About the time of adopting this resolution, the dispute between Britain and Spain was adjusted. Finding France unwilling to engage in his quarrel, his catholic majesty, too weak to encounter alone the force of the British empire, yielded every point in controversy; and thus were terminated for the present, both the fear of inconveniences, and the hope of advantages which might result to America from hostilities between the two powers, whose dominions were in her neighbourhood, and with each of whom she was already engaged in controversies not easily to be accommodated. Incessant application to public business, and the consequent change of active for sedentary habits, had greatly impaired the constitution of the President; and, during the last session of congress, he had, for the second time since entering on the duties of his present station, been attacked by a severe disease which reduced him to the brink of the grave. Exercise and a temporary relief from the cares of office being essential to the restoration of his health, he determined, for the short interval afforded by the recess of the legislature, to retire to the tranquil shades of Mount Vernon. After returning from a visit to Rhode Island,* which state not having then adopted the American constitution, had not been included in his late tour through New England, he took leave of New York; and hastened to that peaceful retreat, and those rural employments, his taste for which neither military glory, nor political power, could ever diminish. After a short indulgence in these favourite scenes, it became necessary to repair to Philadelphia, in order to meet the national legislature. In the speech delivered to congress at the commencement of their third session, the President expressed much satisfaction at the favourable prospect of public affairs; and particularly noticed the progress of public credit, and the productiveness of the revenue. Adverting to foreign nations,† he said, "the disturbed situation of Europe, and particularly the critical posture of the great maritime powers, whilst it ought to make us more thankful for the general peace and security enjoyed by the United States, reminds us at the same time of the circumspection with which it becomes us to preserve these blessings. It requires also, that we should not overlook the tendency of a war, and even of preparations for war among the nations most concerned in active commerce with this country, to abridge the means, and thereby at least to enhance the price, of transporting its valuable productions to their proper market." To the serious reflection of congress was recommended the prevention of embarrassments from these contingencies, by such encouragement to American navigation as would render the commerce and agriculture of the United States less dependent on foreign bottoms. * Rhode Island had adopted the constitution in the preceding May, and had thus completed the union. + In a more confidential message to the senate, all the objects of the negotiation in which Mr. Morris had been employed were detailed, and the letters of that gentleman, with the full opinion of the President were communicated. After expressing to the house of representatives his confidence arising from the sufficiency of the revenues already established, for the objects to which they were appropriated, he added, "allow me moreover to hope that it will be a favourite policy with you not merely to secure a payment of the interest of the debt funded, but as far, and as fast as the growing resources of the country will permit, to exonerate it of the principal itself." Many subjects relative to the interior government were succinctly and briefly mentioned; and the speech concluded with the following impressive and admonitory sentiment. "In pursuing the various and weighty business of the present session, I indulge the fullest persuasion that your consultations will be marked with wisdom, and animated by the love of country. In whatever belongs to my duty, you shall have all the co-operation which an undiminished zeal for its welfare can inspire. It will be happy for us both, and our best reward, if by a successful administration of our respective trusts, we can make the established government more and more instrumental in promoting the good of our fellow citizens, and more and more the object of their attachment and confidence." The addresses of the two houses, in answer to the speech, proved that the harmony between the executive and legislative departments, with which the government had gone into operation, had sustained no essential interruption. But in the short debate which took place on the occasion, in the house of representatives, a direct disapprobation of one of the measures of the executive government was, for the first time, openly expressed. In the treaty lately concluded with the Creeks, an extensive territory claimed by Georgia, under treaties, the validity of which was contested by the Indian chiefs, had been entirely, or in great part, relinquished. This relinquishment excited serious discontents in that state; and was censured by General Jackson with considerable warmth, as an unjustifiable abandonment of the rights and interests of Georgia. No specific motion, however, was made, and the subject was permitted to pass away for the present. Scarcely were the debates on the address concluded, when several interesting reports were received from the secretary of the treasury, suggesting such further measures as were deemed necessary for the establishment of public credit. It will be recollected that in his original report on this subject, the secretary had recommended the assumption of the state debts; and had proposed to enable the treasury to meet the increased demand upon it, which this measure would occasion, by an augmentation of the duties on imported wines, spirits, tea, and coffee, and by imposing duties on spirits distilled within the country. The assumption not having been adopted until late in the session, the discussion on the revenue which would be required for this portion of the public debt did not commence, until the house had become impatient for an adjournment. As much contrariety of opinion was disclosed, and the subject did not press,* it was deferred to the ensuing session; and an order was made, requiring the secretary, of the treasury to prepare and report such further provision as might, in his opinion, be necessary for establishing the public credit. In obedience to this order, several reports had been prepared, the first of which repeated the recommendation of an additional impost on foreign distilled spirits, and of a duty on spirits distilled within the United States. The estimated revenue from these sources was eight hundred and seventy-seven thousand five hundred dollars, affording a small excess over the sum which would be required to pay the interest on the assumed debt. The policy of the measure was discussed in a well digested and able argument, detailing many motives, in addition to those assigned in his original report, for preferring the system now recommended, to accumulated burdens on commerce, or to a direct tax on lands. A new tax is the certain rallying point for all those who are unfriendly to the administration, or to the minister by whom it is proposed. But that recommended by the secretary, contained intrinsic causes of objection which would necessarily add to the number of its enemies. All that powerful party in the United States, which attached itself to the local, rather than to the general government, would inevitably contemplate any system of internal revenue with jealous disapprobation. They considered the imposition of a tax by congress on any domestic manufacture, as the intrusion of a foreign power into their particular concerns, which excited serious apprehensions for state importance, and for liberty. In the real or supposed interests of many individuals was also found a distinct motive for hostility to the measure. A large portion of the American population, especially that which had spread itself over the extensive regions of the west, consuming imported articles to a very inconsiderable amount, was not much affected by the impost on foreign merchandize. But the duty on spirits distilled within the United States reached them, and consequently rendered them hostile to the tax. A bill, which was introduced in pursuance of the report, was opposed 1791. with great vehemence by a majority of the southern and western members. By some of them it was insisted that no sufficient testimony had yet been exhibited, that the taxes already imposed would not be equal * The interest on the assumed debt was to commence with the year 1792. to the exigencies of the public. But, admitting the propriety of additional burdens on the people, it was contended that other sources of revenue, less exceptionable and less odious than this, might be explored. The duty was branded with the hateful epithet of an excise, a species of tax ation, it was said, so peculiarly oppressive as to be abhorred even in England; and which was totally incompatible with the spirit of liberty. The facility with which it might be extended to other objects, was urged against its admission into the American system; and declarations made against it by the congress of 1775, were quoted in confirmation of the justice with which inherent vices were ascribed to this mode of collecting taxes. So great was the hostility manifested against it in some of the states, that the revenue officers might be endangered from the fury of the people; and, in all, it would increase a ferment which had been already extensively manifested. Resolutions of Maryland, Virginia, and North Carolina, reprobating the assumption, were referred to as unequivocal evidences of growing dissatisfaction; and the last mentioned state had even expressed its decided hostility to any law of excise. The legislature of North Carolina had rejected with scorn, a proposal for taking an oath to support the constitution of the United States; had refused to admit persons sentenced to imprisonment under the laws of the United States into their jails; and another circumstance was alluded to, but not explained, which was said to exhibit a temper still more hostile to the general government than either of those which had been stated. When required to produce a system in lieu of that which they so much execrated, the opponents of the bill alternately mentioned an increased duty on imported articles generally, a particular duty on molasses, a direct tax, a tax on salaries, pensions, and lawyers; a duty on newspapers, and a stamp act. The friends of the bill contended, that the reasons for believing the existing revenue would be insufficient to meet the engagements of the United States, were as satisfactory as the nature of the case would admit, or as ought to be required. The estimates were founded on the best data which were attainable, and the funds already provided, had been calculated by the proper officer to pay the interest on that part of the debt only for which they were pledged. Those estimates were referred to as documents, from which it would be unsafe to depart. They were also in possession of official statements, showing the productiveness of the taxes from the time the revenue bill had been in operation; and arguments were drawn from these, demonstrating the danger to which the infant credit of the United States would be exposed, by relying on the existing funds for the interest on the assumed debt. It was not pro |