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NEWS & PLANTERS’ OAZEI
D. Cl. DOTTING, Editor.
No. 26.—NEW SERIES.]
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CONGRESSIONAL.
SPEECH OF
MR. NISBET, OF GEORGIA,
ON THE TREASURY NOTE BILL,
Delivered in the House of Representatives,
January 22, 1841.
Mr. Chairman : I voted during the last
session of Congress for the issue of treasury
notes. I was then satisfied of the power of
the Legislature to contract a loan upon
this plan. lam still convinced of the pow
er. 1 can now see no constitutional objec
tion to it. Having then presented my views
upon this subject, to that argument I have
nothing to add, and from it nothing to sub
tract. I was willing then to exercise the
power, avowing that, because of the se
ductive, easy, and deceptive character of
this mode of raising money, it should bo re
sorted to with great care, and only iu cases
of extreme necessity. Such a case, I be
lieved, was then presented. The Govern
ment was, as was conceded on every hand,
upon the verge of bankruptcy. She could
not wait for any less rapid measure of ex
trication than the one proposed. I was con
strained to come to the rescue of the Treas
ury, and relieve it from monitory and po
litical dishonor. The obligations of patri
otism, irrespective of all party views, re
quired it. In a like case of emergency,
my conduct will be of like character.—
Whether, therefore, 1 shall vote for the
bill now before the committee, depends up
on the necessity which may be shown now
to exist to raise five millions of dollars at
once. It is not questioned that the Govern
ment will need this sum in addition to the
j revenues which will accrue from all ordi
nary sources during the year 1841. The
Chairman of the Ways and Means (Mr.
Jones) admits that there will be a deficien
cy, hut calls it temporary, and assures us
that it will be reimbursed in the last quar
ter’s income. The Secretary of the Trea
sury takes similar grounds. Indeed the i
very proposition of the officers of finance,
to borrow money, assumes both the want
and the inability of the usual resources to
supply it. To justify my support, howev
er, I shall require the gentlemen to show
that the exigences of the Treasury are so
imperious that they cannot await the pro
cess of a permanent and wise system of rev
enue. This they will scarcely be able to
show ; for however deeply the Government
may have been involved by the absurd and
temporizing experiments of Mr. Van Burcn
and his friends, I believe it may be relieved
without resort to a measure of always
doubtful expediency.
Mr. Chairman, Ido not propose to dis
cuss the financial administration of the par
ty now expiring. Ido not intend to show
up its errors of theory, and its infidelity in
practice—to demonstrate the existence of a
national debt—the amount, or the mode of
its origin and augumentation. Ido not pro
pose to analyze the mystic and oracular re
port of the Secretary, whose external as
pect is so fair, and whose secret meanings
are so various and pregnant. Other gen
tlemen have done all this. That the Gov
ernment is in debt is a postulate—the on
ly mooted points are the amount, and the
mode of payment. The amount has been
variously estimated from 8 to 16 million of
dollars. It is to the manner in which the
money should be raised to discharge this
debt, and also for the usual purposes ofthe
Government, that I propose addressing my
self. This inquiry is important, because it
involves the permanent financial system of
the coming administration ; and to South
ern statesmen, the vital question, how far
and in what form the revenue is to be raised
by duties on imports. The tariff, the com
promise act, the rights and feelings of the
South, arc therefore brought into the discus
sion. Upon the question of a revision of
the tariff, not as to the origin, effect, and
maintenance ofthe act of 2d March, 1833,
known as the compromise, would I have
said one word, but for the course of argu
ment and remark indulged in by my friend
from South Carolina, (Mr. Rhett.) To
him I hope to be able to reply successfully.
Sir, as a member of the Harrison party,
I would discard shifts and financial subter
fuges. lam for adopting, in the very out
set of the new administration, a system
which will pay the debt entailed upon the
State, and keep her out of debt ; a system
that shall be equal to a supply in a uniform
way of all the wants of an economical ad
ministration. The reliance of this Govern
ment for revenue is upon, Ist. The pub
lic domain; 2d. direct taxation ; and,
3d. imposts. Should the usage of the Gov
ernment for past years, in relation to the
WASHINGTON (WILKES COUNTY, GA.,) FERIMJAItV 23, 1811.
public lands, continue to be its policy for
years to come, and they should bo brought
into market on the most favorable terms,
reasoning from the past to the future, three
million dollars must be the extent ofincome
from that quarter. The expenditures of
the Government cannot fall below twenty
millions annually. Avery small part,there
fore, of the annual wants of the State can
he realized from the public domain. Rut,
sir, how long shall wo receive this small
revenue from lands ? Who shall tell us
the destiny of the vast territory of the Un
ion ? Who so seer-like as to predict its
disposition ? A few years may witness the
total loss of this magnificent mine of wealth;
scattered to the winds, dissipated to feed
the aspirations of unhallowed ambition ; a
bone o’er which the mad zealots of party
fight ; an interest which wc may live to
see sold to buy the bauble, the Presidency,
to amuse for a moment some spoiled child
of power. The new Slates claim it even
now as their own, and threaten to seize it
with the strong arm of their outnumbering
representation, under the next census. —
And leaders of party, one at least, would
conciliate this Warwick power of setting
up and pulling down Presidents, by sub
stantially giving what it asks, and transfer
ring the title to these lands to the new
i States in which they lie, allcdging, as a re
son, that if we do not give them the lands,
they will soon have the powerto take them;
thus violating a trust, to avoid a robbery.—
Or this rich legacy ofthe old States, either
given in their munificence, or bought with
their blood and treasure, may be squander
ed by a spendthrift trustee, in pre-emption
privileges to foreign immigrants ; invited
by democratic cupidity for power, to conic
and rule over us, and paid out of a fund,
not its own, to stamp upon our system eith
er the impulsiveness of revolutionary mobs,
| or the despotism of European dynasties.—
Or. it may be, the States, distrusting the
fidelity ofthe Government, m the manage
ment of this trust fund, ail charges upon it
having been paid, will divide its proceeds,
as they have a right to do, equitably among
themselves.
I will not now, Mr. Chairman, pause to
discuss, as others have done, the distribu
tion bill of Mr. Clay. Sufficient to the
day will be the duties it may bring with it.
I advert to these measures, in relation to
(he public lands, for the sole purpose of sho
wing that from them we have no certainty
ofderiving revenue to any amount what
ever.*
The gentleman from South Carolina is
the only statesman ofthe age who has ap
proved direct taxation, in time of peace, as
a mode of raising the public moneys. He
stands alone in this regard. He, with his
usual independence of thought and action,
has ventured to recommend direct taxes, in
stead of indirect taxation by duties on im
ports. But, sir, his system is revolting to
the feelings of our free people. They have,
and, will ever utterly repudiate it. They
abhor it, with all its odious machinery, and
throng of gatherers ; its Executive patron
age, its expensive execution, and its cruel
exactions. It is true, that it may be plau
sibly said of it, that it is the only plan of
apportioning taxes with mathematical e
quality among the people ; that it adjusts,
rightly, the proportions ol property and
taxation. But, sir, however fair may ap
pear the reasoning of its friends, when
drawn out with all the aid of figures, it is
still true, that, in a political sense, the
scheme has the effect of vastly augmenting
the taxes of A and B against their consent
and of diminishing those of C and D, which
under a different system,they pay willingly,
Taxation by imposts, is a voluntary system
to a great extent; by direct imposition, one
of constraint. The former levies its con
tributions upon consumption, which is great
or small according to the means of the citi
zen, his whim or caprice, his luxurious ex
*The public lands were either ceded by the
States, within whose limits they lay, to the Gen
eral Government, or purchased (as Florida and
Louisiana) with the common funds. Inmost of
the compacts of cession, it is stipulated that the
lands are applied to the payment of the national
debt ; and when that is discharged, shall be held
by the Government for the use of the United States.
In the treaty of cession between Georgia and the
Government, of 1802, by which she relinquished
the vast Territory which constitutes the greater
part of Alabama and Mississippi, it is provided,
that the lands shall be charged with the payment
of $1,250,000, and the costs of a few grants, and
shall then be held for the use of the United States,
herself included. So that, according to these com
pacts, particularly that of Georgia, the charges
ou the land being satisfied, it is clearly the right
of the Government, if thought advisable, to dis
tribute its proceeds among the States. All con
troversy, however, as to the power of Congress
over the territory of the United States is, to my
mind, settled by tho constitution; which, iu
words, clothes Congress with the power to dis
pose of the territory of the United States.
PUBLISHED EVERY THURSDAY MORNING
cesses, or his necessary wants. All the
tax w hich the citizen pays over and above
his necessary consumption, is paid volunta
tarily ; whereas the tax which the law di
rectly levies, must be paid with or without
consumption. If, indeed, direct taxation,
in time of peace, were right in principle, it
would he in vain to attempt its adoption.—
Y'ou might as well expect to stamp leprosy
upon the body physical, as direct taxes up
on the body politic of this nation.
\V henever, therefore, Mr. Chairman, wc
need more money to defray the necessary
expenses of the Government, we must re
sort to imposts. This is the ancient, well
approved means, adopted by the wise fath
ers ofthe commonwealth, and persevered in
by every administration from Washington
to Van Buren. Gentlemen decry increas
ed duties as at war with State rights tenets.
They cry tariff! tariff! and vainly, as I
believe, strive to stir up the South upon this
ancient alarm note. Sir, this unreasoning,
illiberal panic device, has lost its power at
the South. Its day has gone by ;we have
been accustomed to the “ extraordinary cri
ses” of certain political leaders, that they
are held pretty much as periodical matters
of course. For myself, I have thrown off
the shell of my political immaturity, and
haply feel able to run or fly on my own ac
count. Nor, is my State, sir, in the lead
ing-strings of any self-constituted director.
She is free in her opinions as the winds of
her own mountains, and steadfast as their
granite foundations.
I shall show, sir, I trust, that I advocate
no tariff for protection ; on the contrary,
that the course I recommend is the best
guaranty against it.
The people who sent me here arc, as they
ever have been, utterly opposed to a :
tariff for protection. That opposition is
stern, unflinching, and universal, and in
times to come will know no abatement.
No one from the South has advocated a
tariff for protection. My able friend from
South Carolina (Gen. Thompson) has yiel
ded no anti-tariff principle, and I am at a
loss to perceive why all this talk about a
new tariff. If it be to arouse in advance
| public indignation against duties on luxu
ries for revenue, and thus forestall the pub
lic judgment, I am sure that gentlemen w ill
wholly fail of their object. My constitu
ents, at least, have the power to discrimi
nate between low duties for revenue, and
| high duties for protection.
I am, sir, a strict Constructionist —a very
|. strict constructionist ; —a Pharisee of the
■ Pharisees. The State right principles I
j profess have been brought into disrepute,
by the fierce extravagance of ultra leaders.
I As by some expounded, they become whol
ly impracticable, and, if at all available,
make our system of Government too feeble.
It is the habit of one distinguished name, to
bring almost every proposed power of the
Federal Government within the range of a
constitutional doubt, and thus nullify its
indispensable action. No one sustains
himself with more dialectic ability ; he
decks his sophistries in the beautiful robes
of genius, and gives to them emphasis and
impressiveness by the fiery zeal of his advo
cacy. He is still an unsafe leader, be
cause the past has proven that, with the
same masterly ability, he has sustained the
most antagonist policy. He is a change
ling, and has the infirmity of being uncon
scious of it, or the hardihood to deny it in
the face of the most demonstrative proof.
His course is still a blazing track in the
firmament of politics; like the meteor ha
ving no established orbit, but wheeling mad
ly athwart the firmament.
My idea of State rights is to deny to the
Government all powers not expressly gran
ted ; and to exercise fearlessly and freely
those that are. Nor am I willing, with
metaphysical subtleties, to refine upon the
conceded potvers until their utility is
reasoned away. Then, sir, the power to
lay imposts is expressly granted. lam
now ready, under the restrictions I propose
to suggest, to use it.
Before entering upon this branch of my
argument, allow me to digress but for a
moment, for the purpose of saying that the
wasteful expenditures of this administra
tion are to be attributed, in part, to a care
less, or merely partisan, selection of dis
bursing agents ; and that this is fully pro
ven in the vast sums expended in the con
duct of the Seminole war. The proximity
of my own State to the Florida line, and the
part her citizens have borne in the suffer
ings of that disastrous and doomed conflict,
constrain me to know and condemn its
management. My own State has not been
exempt from savage incursion; her villages
have been in some instances burnt, and her !
households butchered. To us the parent
Government has extended no protection.
Our own chivalry has repelled the foe.
As to Florida, after years of suffering,
she is still the victim of Indian craft and
cruelty ; of federal incompetency or care
lessness. Her lands are untilled, and her
tropical fields yield no fruits. The war.
whoop wakes the slumber of infancy unto
death ; manhood and fcmality are alike
defenceless. The cottage of the woods
man and the palace ol’ the rich planter
crumble before the torch of the incendi
ary. The blood of the bravest and best
has mingled with her yet uuconquered soil.
And still the Y’emassee warrior lingers in
his lair. The Seminole hordes still roam
o’reher plains, or skulk in her everglades.
The war still rages, and the people suffer.
These sufferings are so common that they
seem, of late, to altract no attention, and
command no sympathy. The complaints
of Florida roach not the ear of power ; her
agonies touch not the heart of her rulers.
Money enough has been expended in con
quering these marauding savages, to clothe
the Territory in the bloom and beauty of
art, science, and religion ; a richer bloom,
by far, than that which a genial climate
begets upon her woods and fields. 1 make
these remarks, sir, not alone to record my
condemnation of the past, but, if possible,
also to enlist sympathy for the future.
Assuming that there is a debt of the
Government to be paid, and that the income j
is not equal to the wantsofthe Government, |
it is my conviction that resort must be had
to an increase of duties upon luxuries which
by the compromise act, are free, or bear a
less rate of duty than 20 per cent. Such
an increase will not be in violation of the
| act, but in compliance with one of its ex- j
press stipulations. Ido not make void, but j
establish the compromise. And the great j
reason why I would thus early commence j
the imposition of duties is, that the act of!
1“33, not. me rely until its own limitations j
shall repeal it, but through generations to
come, in all its conservative stipulations,
may become the permanent policy of the
. country.
Before proceeding to show that an in
crease of duties is provided for in the act of
1833, I beg leave to say, that I consider
that act in the light of a compact, and that
Southern interests, more if possible than
Northern, require it to be so held, A; as such
religiously maintained. It is an agreement
founded in concession. It provides guaran
tees in behalf of the free-trade principles
ofthe South. It originated in an imperi
j ous political necessity ; it was devised in
: wise and patriotic counsels : and its result
. was the arrest of civil strife in its incipi- j
! ency. I need not recite its history, depict j
the evils it prevented, or aggravate the
dangers to our Union which is avoided, i
°
The passions of that day have cooled down; !
and we may look hack upon it with reason’s
unclouded eye. The then dense cloud of
war, and the fogs and winds and lightnings
which it engendered have passed away ;
and we now see, not darkly, but truly, the
political heavens gnd earth. That was,
in fact, a crisis. All men felt it to be so.
And in its moment of utmost and most fear
ful interest, the master spirit of that day
came to us, the bird of reconciliation,
with the olive bough in his beak. The j
fiery and proud spirits of the South accep- i
ted the overture of harmony ; and this act i
was the result. It is an agreement, sir,
not to subsist for its term of legislative being
only, but settling principles of perpetual
obligation. The gentleman who has just I
taken his seat, (Mr. Rhett,) denies that it
is obligatory upon us. He says, aud says
truly, that the Congress of 1833 could not
bind that of 1841 ; and that the act is now
subject to repeal. Sir, I know one Con
gress, by a mere act of legislation, cannot
bind another. The gentleman is right
technically. But, sir, the act of’33 is
binding in a higher view ofthe subject. It
is obligatory according to all the require
ments of good faith, honor, and honesty.
In what light did the men of that day view
it? Did not the Nullifiers of South Caro
lina accept it as satisfactory ? Did they
not haul down their palmetto banner, re
scind their ordinances, and disband their
forces? Yes, sir, they did. And it was
upon sufficient consideration; or otherwise
they are open to tho imputation ofabandon
ing rcoreantly the lofty ground they had
taken.
[Mr. Rhett here remarked that Mr
Calhoun avowed, at the time of its passage',
that he did not hold the ac* 0 f ’33 so far ob
ligatory as not to be subject to repeal or
modification.]
It matters not, sir; lie. accepted it, and so
did Ins friends ; and they acquiesced in its
TI. J. KA Pi
o i-son for that da) to thi.-
cept nty friend, (Mr. Rjif.tt.) He, ] WHS
never did ace°pt it. He, (to use a pn^p|
peculiar to a man a! the other end of
Capitol,) “solitary and alone, resisted, in®
the midst of his friends, the rescinding the
celebrated Carolina ordinances. lie is,
therefore, now consistent.
Viewing it, then, as a compact, one of
its stipulations is in the following words, to
wit: ‘-Provided, That nothing herein con
tained shall be so construed as to prevent
the passage of any act prior to the 30th day’
of June, 1842, in the contingency cither of
excess or deficiency of revenue, altering
the rates of duties on articles which, by the
aforesaid act of 14th July, 1832, are sub
ject to a less rate of duty than 20 per cent,
ad valorem, in such manner as not to ex
ceed that rate, and so as to adjust the rev
enue to either of said contingencies.”—See
sec. 6, act 1833. The 30th June, 1842, is
the time at which the compromise act ex
pires. Before that time, you preceive, sir,
that provision is made for altering the rate
of duties, in the contingency of excess or
deficiency of revenue ; that is, if, before the
30th June, 1842, the wants of the Govern
ment should require more money than
would be raised under the act, provision is
made for supplying that want by the impo
sition of additional duties. Not only so ;
but the act itself prescribes the articles
upon which the duties shall bo imposed,
j and limits the height of them. Such is the
j contract. The contingency anticipated lias,
in fact, occurred : there is a deficiency ol
revenue ; the debts ofthe Government can
not be paid. Indeed, independent of any
debt, the ordinary wants of an economical
administration cannot bo supplied by the
i revenue which is forthcoming under the
j act. The income of the Government is
| still to be reduced by the necessary opera
’ tion of that act ; because it cuts down all
! duties, by 30th June, 1842, to 20 per cent.
| Each following year, the deficiency will.
, increase necessarily until ‘42. And, ma
king all allowance for increased importa
tions, I have no idea but that the deficiency
I in both ’4l and ’42, will be very great.
: Now sir, it is to supply this deficiency, and
pay the national debt, that I would la} - now
duties. Are we not permitted, nay, sir, is
j it not one of the imperative obligations of
| the compact, to do so ? What becomes,
j then, ofthe idea of gentlemen, that we inter
j sere with the compromise ? These demon -
! strations, I apprehend, are designed only
j to excite an uninformed opposition to what
! I trust will be the policy of tiie Harrison
party in relation to revenue. That policy,
j [ believe, ought, and will he, to raise the
j money necessary, by imposts upon luxu
| ries that are unprotected, in addition to the
j amount that may come in, according to the
; minimum rates, uudertho act of 1833. It
would seem, sir, that the manufacturers
themselves, if any body, ought to complain
of a disregard ofthe compromise ; yet they
complain not. The complaint comes from
the alarmists of the South. That South
which, I am prepared to show, holds a deep
er stake in the solemn guarantees of the
compromise than any other section of the
Union.
Jly the section ofthe act of’33, which I
; have read, you will perceive that the arti
cles made dutiable by new legislation, are
such as, by the act of ’32, bear a less rale,
of duty than 20 per cent, ad valorem.
Upon no other articles can you lay duties ;
and it is only upon them, or rather princi
pally upon such articles as bear no duty.
that a duty is proposed to be laid. Os
course, no free article is protected, nor are.
such as bear a duty of less than twenty per
cent. ; for it is admitted that even twenty
per cent, affords no protection. If, there
fore, you this day readjust the duties on this
class of articles, you pass no tariff act for
protection ; and such rate of duty as I am
willing to lay, such as would laise ample
revenue, would not at all affect even the
importation.
Those articles upon which it is proposed
to lay duties, are silks and wines and some
others, being luxuries. The importation
of silks from France is very great. The
average imports from France and her West
India dependencies, annually amount to
about $11,000,000. This enormous trade
pays no tax. It would seem but reasona
ble from this source to realize revenue.—
But it is said by the gentleman from South
Carolina, (Mr. Rhett;,) that a duty upon
goods imported from a foreign State affects
our o\yn exports to that State, by reducing
them.. Franco is a market for the cotton
of the South, which she pays for by setuL
ing us her silks and wines ; if we tax her
silks and wines it will opera to as a tax err
[VOL?
