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Mr. BUCKLAND. I move to insert the following:

For improvement of harbor at Port Clinton, Ohio, $10,000.

Mr. WASHBURNE, of Illinois. I know that is right.

Mr. ELIOT. I do not recognize the particular right of the gentleman from Illinois to say that this should go in.

Mr. WASHBURNE, of Illinois. Why not? Mr. ELIOT. Because he has not charge of the bill.

Mr. BUCKLAND. I wish simply to say that this is a port where there was a survey made last year, but no appropriation was recommended by the committee. I offer it because 1 suppose my constituents expect me to do so. It is one of the lake ports between Sandusky and Toledo.

Mr. SPALDING. It is needed, also. Mr. BUCKLAND. Yes, sir; and I think it is right and proper. I do not desire to make a speech on the subject.

Mr. EGGLESTON. The amendment that has just passed is for that improvement, and therefore I think it is unnecessary to add this $10,000.

Mr. BUCKLAND. My colleague is mistaken. The Sandusky river does not go to Port Clinton at all. It is at the mouth of the Portage river.

Mr. EGGLESTON. I withdraw the objection.

Mr. ELIOT. I object to any amendment of this sort. The committee have endeavored in the appropriations of this bill to keep down the expenditures so far as practicable consistent with the interests that have been represented to them by petition through the House in the ordinary way, or by application at the committee-room by gentlemen interested in the subject of the bill. It will be manifest that the bill as it came from the committee would be loaded down so as to be too heavy to be borne if gentlemen upon the floor make amendments because of the interest they severally represent, and they are agreed to by the House. I cannot say what the merits or demerits of the appropriation asked for are, but I can say that so far as the committee's work has been done it has been their endeavor to study carefully all the improvements which have been reported and to recommend none unless they came supported by arguments from the War Department, by recommendation of the bureau of engineers, and by considerations which seemed to the committee proper to be taken into account in reporting the bill to the House. I cannot, therefore, consent without any examination of the matter in hand that the amendment should be made, and must ask the House to vote against it, because otherwise it is perfectly obvious that gentlemen all around would be desirous of inserting amendments for the interest of their special localities without having them acted upon in the committee.

The question was taken on Mr. BUCKLAND'S amendment, and it was disagreed to.

Mr. ASHLEY, of Ohio. I desire to ask the gentleman who has charge of this bill why the harbor of Toledo has been omitted in the appropriations made this year?

Mr. ELIOT. Certainly, the gentleman has a right to an answer on the floor of the House; he has had an answer in private.

Mr. WASHBURNE, of Illinois.

question is before the House?

What

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stroyed, and it is a part of his parliamentary tactics to endeavor to make the measure as odious as possible before the final vote is taken. Very good tactics, but when it is known as thoroughly as it is in the case of my friend the tactics are very apt to be harmless.

this much in the general distribution of the public funds.

Mr. WELKER. I desire to say in further recommendation of this place that it is a growing town, and I would be glad to afford labor to persons there by the expenditure of public money to be appropriated by this bill. I would be exceedingly glad if Congress would make this appropriation, in order that my constituents, and the constituents of all the other members who have appropriations in this bill, may be employed during this summer. It not

I will say to my friend from Ohio [Mr. AshLEY] who has earnestly, assiduously, in season and out of season, pressed upon the committee the desirableness of inserting an appropriation for Toledo in this bill-who has, in fact, beset the committee behind and before, and laid his hands upon it in order to get that appropria-only would be a relief to them, but I have no tion made that this is the simple and plain doubt it would be of great advantage to me reason why the committee have not done it. personally, if I could get this appropriation The appropriation which was made last year made. [Laughter.] I hope, therefore, no has not yet been expended. The appropria- objection will be made to it. tion is sufficient for the purpose for which it was then designed. Upon examining the harbor of Toledo report was made to us by the chief engineer that the importance of that harbor is so decided, and the interests of commerce that are connected with it are so great, that it is important before another appropriation shall be made that a more careful survey should be had and a more careful plan of improvement adopted, in order that when the work is done it shall be in accordance with the wants of the locality. That has not been done. As soon as it is done, there will be such a report made as will enable the committee to insert in a river and harbor bill a proper appropriation. Not having the proper information now, the committee could not do what my friend has desired.

Mr. ASHLEY, of Ohio. Has there not been a report submitted to the committee by the War Department on the survey made last fall?

Mr. ELIOT. Well, sir, if the gentleman will examine the last report he will find that in the report itself are found the facts which I have stated, that it is important, in view of the importance of the harbor itself, that a further examination and further plans should be made of the improvements before they can be properly entered on.

[Here the hammer fell.]

Mr. ASHLEY, of Ohio. I withdraw my amendment.

Mr. WELKER. I offer the following amend

ment:

For improvement of Black river harbor on Lake | Erie, $20,000,

I feel, Mr. Speaker, that I would be neglecting the interests of my constituents, representing, as I do, one of the districts bordering on the southern shore of Lake Erie, if I did not offer this amendment. I have in my district perhaps one of the best harbors on Lake Erie, that at the mouth of the Black river, and my colleague from Cleveland [Mr. SPALDING] will bear me out in saying that it is the only competing point for the navy-yard which we expect to get on the southern shore of Lake Erie. I am astonished that the Committee on Commerce have not seen the importance of this harbor and recommended an appropriation for its improvement. I do not know personally whether my constituents residing there want this appropriation or not, but I feel that, representing that district, as I do, I should ask at the hands of Congress, in this division or distribution of the public funds, an appropriation of $20,000.

Mr. UPSON. If this is such an excellent harbor why do you want money to improve it? Mr. WELKER. To make it better. While all these harbors are being improved, I think my constituents have been very much slighted in not having an appropriation recommended for their benefit.

Mr. FARNSWORTH. I understand the gentleman to say that he does not know whether his constituents want this appropriation or not.

Mr. WELKER. This is the only harbor I have in my district. Almost every other member has his appropriation in this bill, and I think my district should be also represented in this bill.

Mr. FARNSWORTH. The gentleman seems to think that his district is entitled to at least

Mr. ELIOT. I desire to say that I am glad, on account of the gentleman from Black river, [Mr. WELKER,] that his constituents have not a Representative upon this floor whose duty it has been to get up a river and harbor appropriation bill for presentation to this House. There have been more cases than I can remember, like unto this which the gentleman has spoken of, which have been brought before the Committee of Commerce for the purpose of seeing whether special localities might not for special reasons be accommodated with appropriations. I can only say to my friend that the uniform rule of the committee has been to exclude every application that has not rested upon survey, estimate, and recommendation from the War Department, and the object of which did not of itself possess intrinsic importance.

Sir, it will not do for us to expend the public money where only purely local matters are involved. And I take this occasion to say to the House that, in my judgment, there is not one single appropriation asked for in this bill where the interests of commerce as well as the interests of localities are not subserved.

Mr. WELKER. Do I understand the gentleman from Massachusetts [Mr. ELIOT] to say that there has been no survey of Black river harbor? If he did say so, he certainly is mistaken. There was an appropriation made last year, as there was several years before; and it is about as notorious as any harbor on that lake.

Mr. ELIOT. Then the gentleman will find, if he will look a little further, that there is enough of the money already appropriated now on hand for all purposes that will be wanted during this year, and that at this time no appropriation is wanted for the point he has designated.

I could not tell, without having the books before me, what were the reasons why the committee did not insert an appropriation for this or that purpose, except the general reason that there is money enough on hand to carry the work reasonably forward until next year.

Some time ago a resolution was sent to the War Department directing it to revise and reduce the estimates for the works in preparation. In consequence of that resolution circulars were sent to the engineers throughout the country having charge of those works, and upon the reports received from them the estimates were revised and reduced, and appropriations in accordance with those estimates have been embraced in the bill now before the House. In some cases there have been appropriations omitted. And it may be, and probably is, that the loca'ity referred to by the gentleman from Ohio [Mr. WELKER] is among those for which no appropriations are now wanted. I will state what he probably knows, that there are about ten thousand dollars of the appropri ation for his locality still unexpended. I hope, therefore, he will withdraw his amendment.

Mr. WELKER. I cannot withdraw it. The question was then taken upon the amendment of Mr. WELKER, and it was not agreed to; there being upon a division-ayes 45, noes 51.

Mr. SPALDING. In order to perfect this bill as much as I can I move to amend it by inserting the following:

For increasing the capacity of the ship-canal at Sault Ste. Maric, $50,000.

I offer this amendment in obedience to instructions from my constituents, a large number of whom have petitioned for an appropriation to increase the capacity of that canal.

Mr. SCOFIELD. I believe that canal is owned by a company, which was very richly endowed by the United States before the canal was built. The United States gave them a very large quantity of land, out of which, I believe, they have made large fortunes. And I believe they charge fees for transportation over this canal.

Mr. UPSON. I desire to correct the gentle

man.

This canal is not owned by a company, and no fees are charged, except what are necessary to keep it in repair. The lauds donated by the Government were all given to secure the building of the canal.

Mr. PRUYN. I desire to say to the gentleman from Pennsylvania [Mr. SCOFIELD] that I was one of the unfortunate persons who was engaged in building this canal, and I can assure him that no money was made out of it. I desire to say, however, that it was the best operation of a public character that the United States ever entered into. The gentleman from Michigan [Mr. DRIGGS] has heretofore given to this House the facts in regard to that matter. The canal is now owned by the State of Michigan. No company has anything to do with it. It is the property of the State, and they levy toll enough to keep the canal in repair. That is the present condition of things. I hope the gentleman from Pennsylvania will be ready at the proper time with the appropriate legislation to afford that canal the relief to which it is entitled in consequence of the expenses of this public work over the receipts.

Mr. SCOFIELD. I judge from the character of the gentleman and his associates that they would not embark in a bad speculation. Mr. PRUYN. The gentleman has been misinformed this time.

Mr. BLAIR. Mr. Speaker, I am familiar with the facts in relation to this work. There was granted a large quantity of public land to the State of Michigan for the building of this canal. The State under the authority of the act of Congress created a company. The State itself has no interest in the work itself. It is the trustee for the Government of the United States. It has no right to levy any toll or to acquire any money whatever, any revenue from this work, except for the purpose of keeping it in repair and paying expenses of keeping it up. It was limited to that.

I will say further that the State of Michigan has borrowed itself the sum of $100,000, which had to be laid out on this canal in addition to the appropriations made by the General Government to keep up this work. That is all the interest the State has in it.

I will add that the State of Michigan has no greater interest in this work than at least five or six other States which do business through it. It is a great national highway and needs improvement whether this is appropriated or not. The State of Michigan is simply the trustee for the Government. The company which made this work used up all the lands for that purpose.

Mr. DRIGGS. I move to make it $45,000. I hold in my hand a proposition for surveys and estimates preparatory to a report on this subject at the next session of Congress. I have had sent to me fifteen or twenty petitions covering nearly all the shipping interests of the lakes, of the ports in my own State and of other States interested in keeping up this work, and these petition's I have referred to the Committee on Commerce. That committee has reported the appropriations in this bill. propose to offer an amendment to them.

I

The SPEAKER. It is not relevant. Mr. RANDALL. As it is manifest we can. not finish this bill this afternoon, I move that we adjourn.

stitute for the bill which will test the sense of the House on this question.

Mr. RANDALL. I withdraw the motion to adjourn.

Mr. DRIGGS. The amendment I wish to propose is as follows:

Provided, That in addition to the foregoing surveys and estimates, the Secretary of War be, and hereby is, directed to cause surveys and estimates to be made for deepening and increasing the capacity of Sault Ste. Mario's ship-canal, in the State of Michigan.

Mr. DELANO. I now propose a substitute for the bill.

The SPEAKER. That must be reserved until the bill has been gone through.

Mr. DRIGGS. I will withdraw my amendment for the present.

Mr. DELANO. I move to recommit the bill to the Committee on Commerce, with instructions to report the substitute which I send to the Chair.

The SPEAKER. That motion is in order. Mr. ELIOT. I hope the House will allow me to be heard upon it.

The SPEAKER. The gentleman will be entitled to five minutes in opposition to the motion.

The substitute of Mr. DELANO was read, as follows:

Strike out all after the enacting clause and insert: That the following sums of money are hereby appropriated, to be paid out of any money in the Treasury not otherwise appropriated, under the direction of the Secretary of War, for the repair and preservation of certain harbors and works already commenced, and for the improvement of certain rivers; that is to say:

For the improvement of harbors on our northern lakes and for the St. Clair flats, $500,000.

For the improvement of coast harbors, $150,000. For the improvement of rivers, including Des Moines, Rock Island rapids, and Hell Gate, on East river, Wisconsin and Patapsco rivers, at the discretion of the Secretary of War, $1,300,000.

For the purpose of completing reports, maps, and diagrams on bridges on the Mississippi river, $3,000, and for purchase and repair of instruments, $1,000, and for the purpose of a survey for deepening the ship-canal at Sault Se Marie, $1,000.

And be it further enacted. That all work done under the authority of this act shall be performed under contracts made by the Secretary of War, who shall prescribe suitable rules for the issuing of proposals for materials or labor, having regard to the most effective use of moneys appropriated: Provided, That separate proposals and contracts shall be required in all cases when the same can be, in the judgment of the Secretary, judiciously and properly made.

Mr. JENCKES. Does the Chair decide that this motion is in order before the bill is perfected?

the war when they felt it was necessary that something should be done to preserve improvements in progress, and that all could not be done that might be necessary to satisfy the wishes of all parts of the country. The policy of making limited appropriations for the preservation of works in progress was adopted because the finances of the country demanded it and the condition of things required it. I propose to continue that policy now instead of entering upon this new policy proposed by the Committee on Commerce, and I do it for the reasons I have already suggested to the House. This nation is like a strong man who has been engaged in a conflict demanding all his resources, has passed through it and needs rest and repose; not inactivity, not total inaction, but recuperation. While we are drawing our breath to recover we propose to preserve such works as are in progress and make an appropriation of $2,000,000 for that purpose.

But I have not time to press the considerations in favor of this substitute. I desire the House to consider whether it is not better to take this policy now, and continue it till the nation has recovered its financial vitality and energy, so as to justify the entering upon a theory or practice of general improvements of our rivers and harbors. Now, sir, more I could say; but it is only the leading ideas that I wished to present to the House, and therefore I will say no more.

Mr. ELIOT. This is a most remarkable proposition. The Committee on Commerce, under the instructions of the House, have been engaged pretty earnestly and conscientiously for some months in preparing this bill. The gentleman from Illinois, [Mr. WASHBURNE,] the chairman of the committee, when the report was made, submitted an amendment in the nature of a substitute, which has been printed. We have it before us. To-day the House has been discussing the various provisions reported by the committee, and now the gentleman from Ohio

Mr. SCHENCK. I rise to a point of order. I desire to know whether the gentleman has a right to adopt the speech which I made yesterday about months of hard labor and conscientious application to duty as reasons why his bill should prevail. [Laughter.]

The SPEAKER. He certainly has. Any gentleman has a right to adopt the remarks of another.

Mr. SCHENCK. Very well, sir.

Mr. ELIOT. If I remember aright, I had heard that same speech from the gentleman before yesterday and on occasions when the House did pretty much the same thing as they did yesterday. [Laughter.]

The SPEAKER. The Chair so rules. This is a motion to recommit with instructions. The bill is being acted upon in the House as in Committee of the Whole, with the Speaker in the chair. It is being considered section by section under the rule allowing five minutes Now, Mr. Speaker, the House understands to debate pro and con. on amendments. If that this matter pretty well. I have these two great limitation had not been adopted, the gentle-objections to make to this unprinted amendman from Massachusetts [Mr. ELIOT] might have demanded the previous question on the bill without considering it by clauses, allowing only one amendment and an amendment to the amendment. But as the rule in regard to amendments and debate in Committee of the Whole has been adopted by order of the House it is in order to move to recommit at any stage as it would also be to lay the bill on the table.

Mr. NICHOLSON. Will the gentleman yield to allow me to offer an amenment to the instructions?

Mr. DELANO. I cannot yield. I desire to state that the substitute which I offer appropriates $2,000,000. It may vary a little from that amount. It appropriates for improvements of harbors on our northern lakes, at the discretion of the Secretary of War, without identifying or naming the places, $500,000, and for the improvement of rivers and harbors, especially naming the Des Moines rapids as among them, to be taken into consideration by the Secretary of War, $1,300,000. But I desire it to be understood that all these appropriations are left subject to the discretion of the

Mr. WASHBURNE, of Illinois. I suggest to the gentleman from Pennsylvania to with- || Department. draw the motion to adjourn until the gentleman from Ohio [Mr. DELANO] can move his sub

In submitting this proposition we do just what Congress did during the prosecution of

ment, which is sprung upon the House with the concurrence of my friend from Illinois, [Mr. WASHBURNE,] who had his substitute printed for the purpose of taking, it may be, strength from the bill reported by the committee. I have this to say concerning the unprinted bill. It appropriates $2,000,000 and turns that sum over very kindly to whoever may be Secretary of War to dispose of about as he shall think advisable; whether regularly in office or ad interim is of no consequence; he is to have the whole control of the disposition of this money, expending it here or expending it there, in this amount and in that amount, as his judgment shall dictate. The gentleman from Ohio distinctly, by his bill, gives the power to the Secretary of War. If he chooses to take the advice of the chief engineer he may do so. If he chooses to apply the money according to his own discretion, he may do so.

Then, too, there is a provision in this unprinted bill that all the work shall be done by contract, which, as it stands in the bill, is not only a vicious provision, but one that has been found to be hurtful to the public interests ever since it was first reported in a river and harbor bill two years ago. The difficulties of the sys tem have been insuperable, and in the bill

which the committee have this year reported to the House it has been very materially changed. I say that it would be hurtful to the country and not helpful to it.

If the House is prepared to instruct the Committee on Commerce to bring in such a bill as that we shall bow gracefully to their judgment. Personally it is a matter that does not concern me. I am rather working for the West than for the East, for all parts of the country, and I believe that the interests of the commerce of the country and of the revenues of the country demand that the bill as we have reported it should pass.

Mr. DELANO. I move to close all debate on the pending motion.

Mr. PILE. Will the gentleman yield to me to offer an amendment to the instructions?

Mr. DELANO. No, sir; we may as well take the vote on my motion.

Mr. ROBINSON. I move that the House do now adjourn.

The motion was agreed to; and the House (at four o'clock and fifty minutes p. m.) adjourned.

PETITIONS, ETC.

The following petitions, &c., were presented under the rule, and referred to the appropriate committees:

By Mr. BOYER: The petition of J. Wood & Brother, iron manufacturers, and of 46 ironworkers of Conshohockon, Pennsylvania, complaining of the depression of manufacturing industry, which affects disastrously every form of production and business, and praying for such increase of protective duties as will revive manufactures and restore prosperity to the country.

By Mr. COVODE: The petition of sundry citizens of Westmoreland and Alleghany counties, Pennsylvania, for reduction of whisky

tax.

By Mr. CHANLER: The petition of John T. Conover, president of the Traders' and Mechanics' Association, Abraham J. Felter, and others, citizens of New York city, for an appropriation for the removal of rocks and other obstructions which impede the navigation of the East river entrance to New York | harbor at Hell Gate, and for the removal of rocks in the harbor, known as Battery, Diamond, and Coenties reefs.

Also, the petition of Horatio Allen and others, for the same purpose.

Also, the petition of William Searls, president New York Stock Exchange, and other members thereof, for same purpose.

Also, the petition of A. W. Greenleaf and others, citizens of New York, for the same purpose.

By Mr. DODGE: The petition of citizens of Wayne county, Iowa, asking grant of lands to aid in constructing the Iowa and Missouri State Line railroad.

By Mr. McCARTHY: The petition from the cigar-makers of the State of New York, under the seal and signature of the president of the Cigar-makers' National Union, against alterations of the revenue laws as proposed in the bill now before Congress on the manufacture of cigars.

By Mr. MERCUR: The memorial of Grove Brothers and 84 others, manufacturers of iron, and workingmen at Danville, Pennsylvania, complaining of want of efficient protection against the cheaper labor and capital of foreign countries, and praying for reconsideration of the tariff bill which failed in the ThirtyNinth Congress, and that it may be enacted into a law at the earliest practicable moment.

By Mr. NICHOLSON: A memorial of W. Jones & Co. and others, morocco manufacturers of Wilmington, Delaware, complaining of the inadequacy of customs duties to protect the productive interests of the country against the cheaper labor and capital of foreign countries, and praying for the reconsideration and passage of the general tariff bill which failed in the Thirty-Ninth Congress.

tration of the laws of Congress upon the subject of the reconstruction of the States lately in rebellion, to so change the provisions of said laws as to transfer from the commander of the fifth military district to this convention the power and authority to appoint and to remove registrars for ascertaining and recording the qualified voters of the State of Texas.

"Resolved, Second, That this convention respectfully but earnestly urge upon the Congress of the United States the change indicated in the preceding resolution, at the earliest practicable moment. "Resolved, Third, That the president of this convention transmit to the President of the Senate and gress of the United States copies of these resolutions."

By Mr. O'NEILL: The petition of Edward W. Miller, Edward Gaskill & Co., and 93 others, bookbinders in Philadelphia, Pennsylvania, representing that the customs duties which were sufficient to invite the investment of capital and labor in manufactures have become inadequate, and, in prospect of a continued decline in gold, must shortly prove ruinous; that much of the distress now prevalent and increasing daily, would be relieved by the legislation suggested in the report of Special Speaker of the House of Representatives of the ConCommissioner Wells, and perfected in the tariff bill (as passed by the Senate) which failed in the House of Representatives March, 1867, for want of time, and praying that Congress will resume consideration of that measure and enact it into a law at the earliest practicable moment.

Also, the petition of Charles Guenther and 42 others, lithographers, of Philadelphia, Pennsylvania, representing that the depression of the manufacturing industry of the country affects disastrously every form of production and business, and must reduce the revenues and endanger the credit of the Government; and praying for such increase of protective

duties as will revive manufactures and restore prosperity to the country.

Also, a memorial of Wolfe & Co., Hampshire Paper Company, W. A. Wanhopp, Thomas C. Percival, William Shealds, George C. Ewing, Charles Spencer, and 97 other manufacturing companies and firms of Philadelphia, Pennsylvania, complaining of the depression of industry caused by want of efficient protection to the labor of the country; and praying that Congress will resume consideration of the general tariff bill which failed in the Thirty-Ninth Congress for want of time, and enact it into a law at the earliest practicable moment.

By Mr. PRICE: The petition of 266 citizens of the State of Iowa, asking for a grant of land to aid in the construction of the Iowa and Missouri State Line railroad.

By Mr. SPALDING: The petition of H. B. Tuttle and others, citizens of Cleveland, Ohio, for an appropriation by Congress for the improvement of the river and canal at the Sault Ste. Marie.

Also, a memorial of sundry citizens of Cleveland, Ohio, in regard to the tax on cigars.

IN SENATE.

WEDNESDAY, June 17, 1868.

Prayer by Rev. A. D. GILLETTE, D. D. On motion of Mr. WILSON, and by unanimous consent, the reading of the Journal of yesterday was dispensed with.

EXECUTIVE COMMUNICATIONS.

The PRESIDENT pro tempore laid before the Senate a letter from the Secretary of War, communicating a draft of a proposed law relative to the judge advocates of the Army; which was referred to the Committee on Military Affairs and the Militia.

He also laid before the Senate a letter of the Secretary of War, transmitting a commu. nication from General Sheridan, commanding the department of Missouri, urging that the Central Pacific Railroad Company be required to extend their road from Atchison to Fort Leavenworth; which was referred to the Committee on the Pacific Railroad.

RECONSTRUCTION LAWS.

The PRESIDENT pro tempore laid before the Senate resolutions of the constitutional convention of Texas, in favor of the transfer from the military commander of the fifth military district to that convention the power and authority to appoint and remove registrars for ascertaining and recording the qualified voters of that State.

Mr. DRAKE. I ask for the reading of the resolutions.

The PRESIDENT pro tempore. The resolutions will be read.

mittee on the Judiciary, and ordered to be printed.

The resolutions were referred to the Com

Mr. CAMERON. I present the petition of King & Baird, William A. Hand, Thomas Sinclair, and four hundred others, printers and book-binders of Philadelphia, Pennsyl vania, representing that the productive interests of the country are suffering and its industry paralyzed for the want of efficient protection against the cheaper labor and capital of foreign countries. They say that the customs duties, which, under a different condition of affairs, were sufficient to invite the investment of capital and labor in various branches of manufac ture, and which subsequently, under a high gold premium, continued to foster them, have become at present inadequate, and, in prospect of a continued decline in gold, must shortly prove utterly insufficient. The manufacturing population cannot continue to pay prices for provisions, even approaching those now realized by agriculturists, while exposed to competition with the Old World under a tariff framed to meet exigencies of a totally different character. Nor will the removal of internal taxation, though vitally important, afford in itself the relief necessary. They declare, further, that much of the distress now prevalent, and daily increasing, would be relieved by the legislation suggested in Special Commissioner Wells's report of last year, and perfected in the tariff bill (as passed by the Senate) which failed in the House of Representatives in March, 1867, for the want of time. They therefore pray Congress to resume the consideration of that measure, and, with such modifications as its wisdom may suggest, to enact it into a law at the earliest practicable moment. I move that this petition be referred to the Committee on Finance. The motion was agreed to.

Mr. CAMERON presented a memorial of workingmen and firms of the State of Pennsylvania, and a memorial of Horace S. Soulé and others, manufacturing companies, firms, and business men of Philadelphia, Pennsylva nia, complaining of the insufliciency of the customs duties to protect domestic industry against the cheaper labor and capital of foreign countries, and praying for the reconsideration failed for want of time in the Thirty-Ninth and passage of the general tariff bill which Congress; which were referred to the Committee on Finance.

Abram Suydam, and others, zinc and steel He also presented a petition of F. B. Brown, makers of Pennsylvania, complaining of the depression of industry, and praying for such increase of protective duties as will revive manufactures and restore prosperity to the country; which was referred to the Committee on Finance.

He also presented a petition of workers in iron and coal and manufacturers of Pennsyl vania, praying for such additional protective duties as will relieve their distress, secure a home market for the products of their industry, and aid them in the unequal contest with the underpaid labor of Europe; which was referred to the Committee on Finance.

Mr. SUMNER. I present a petition of merchants and shipowners of Boston, in which they represent that the action of the Executive and of Congress in 1823, in recognizing the independence of the South American republics, after they had established it as a fact, vention it is necessary in this State, to a fair adminis- although never conceded by Spain, affords a

The Chief Clerk read as follows: "Resolved, First, That in the opinion of this con

just precedent for similar action on the part of our Government with reference to the war commenced by Spain in 1864 on the republics of Peru, Chili, and Ecuador, and which was prosecuted with more or less activity until May, 1866, but which these petitioners represent has now for upward of two years past entirely ceased, with no prospect of resumption. Therefore these petitioners submit that they have the right as citizens of the United States to deal with either of those Powers heretofore belligerent, or with their citizens or subjects, upon the same footing and to the same extent as if a formal treaty of peace had been ratified and exchanged; and they now address Congress and ask some action on their part to protect them in that asserted right of commerce. I move the reference of this petition to the Committee on Foreign Relations.

The motion was agreed to.

Mr. VICKERS. I present a memorial of citizens of Baltimore, remonstrating against any reduction of the duty on coal. I move that this remonstrance be referred to the Committee on Finance; and as it contains many valuable facts in a brief space I move that it be printed. The motion was agreed to.

Mr. CATTELL presented a petition of citizens of Philadelphia and Cincinnati, praying an extension of the law allowing the free entry of steam-plowing machinery into the United States; which was referred to the Committee on Finance.

Mr. DAVIS. I ask leave to present a petition. As it is short I will ask to have it read, that the Senate may be put in possession of its contents, and then it can be referred to the Committee on the Judiciary to make inquiry into the subject.

The PRESIDENT pro tempore. Is there any objection to the reading of the petition? No objection being made it will be read. The Chief Clerk read as follows:

To the honorable Senate and

House of Representatives of the United States: Your petitioner, William S. Chipley, respectfully states that he is a citizen of the United States, and a resident of the city of Lexington, in the State of Kentucky. That he is the father of William Dudley Chipley, a citizen of Columbus, Georgia, who has been arrested and imprisoned by order of the military authorities of the United States without cause and in disregard of the provision of the Constitution of the United States, and carried out of the district in which any offense charged against him was committed to Atlanta, Georgia, some two hundred miles distant from his home, and is now confined there in a cell which is wholly unfit for the confinement, even as punishment, of a condemned criminal. He is denied the privilege of seeing or consulting with either his family, his friends, or his counsel, and deprived of all information as to the nature of the charge against him, without power to summon or procure the attendance of witnesses in his defense. In short, he is utterly at the mercy of his persecutors, and denied every right which the Constitution and laws secure to the citizen. He is not, and has not been, either in the naval nor military service of the United States. He is a commission merchant in Columbus, a married man, and a good citizen, as all who know him will testify. Your petitioner does not know certainly what the charges against his son are, and can only surmise, from the statements of discharged negro witnesses who were arrested, confined, and examined touching his connection therewith, that he is imprisoned for complicity in the murder of one G. W. Ashburn, who was killed in a house of ill-fame

Mr. HOWE. That communication seems to me a very lengthy one, and it is from a private citizen I understand. If it calls for any action at all I suppose the Judiciary Committee can tell us what action it calls for. Itherefore move its reference to the Committee on the Judiciary.

Mr. DAVIS. I have no objection to that course. I desired it to be read merely that it should attract the attention of the Senate, so as to draw the consideration of the Senate to it. I move that the petition, with the accompanying papers, be referred to the Committee on the Judiciary.

The motion was agreed to.

REPORTS OF COMMITTEES.

Mr. EDMUNDS. I am instructed by the Committee on the Judiciary, to whom were referred the bill (H. R. No. 970) to provide for a temporary and provisional government

for Alabama; the bill (S. No. 348) declaring the State of Alabama restored to the right of representation in Congress; the bill (S. No. 463) to provide for a temporary and provisional government for Alabama, and the joint resolution (S. R. No. 112) to restore Alabama to representation in Congress, to report the same back adversely, because the subject has already been acted upon; and I move to take them off the Calendar that they be indefinitely postponed.

The motion was agreed to.

Mr. EDMUNDS, from the Committee on the Judiciary, to whom were referred resolutions adopted at a meeting of Republicans held in Dennopolis, Alabama, in favor of the passage of an act declaring the constitution of that State ratified; a memorial of citizens of Jones, Fayette, and Warren counties, Alabama, pray. ing Congress to pass a law setting aside and declaring null and void the ordinance of the late convention of that State; and a petition of Rufus Andrews, of New York, inclosing petition relative to the clause in the Alabama constitution concerning wharfage, asked to be discharged from their further consideration; which was agreed to.

Mr. WILLEY, from the Committee on the District of Columbia, who were, by a resoluinquire into the facts connected with the forcible tion of the Senate of February 12, instructed to ejection from the cars of the Alexandria and Washington railroad of one of the employés of the Senate on account of race, on Saturday, February 8, 1868, and to inquire what legislation, if any, is necessary to protect the rights of passengers on that road, submitted a report; which was ordered to be printed.

Mr. YATES, from the Committee on Territories, submitted an additional report to accompany the bill (S. No. 11) to admit the State of Colorado into the Union; which was ordered to be printed.

amendment of an act entitled "An act to establish a uniform system of bankruptcy throughout the United States," approved March 2, 1867; the bill (S. No. 401) to amend an act entitled "An act to establish a uniform system of bankruptcy throughout the United States," and a joint resolution (S. R. No. 142) to refer the claim of George Chorpenning and former act of Congress for his relief to the Court of Claims, reported adversely thereon, and recommended their indefinite postpone

ment.

SALE OF HAY IN THE DISTRICT.

Mr. PATTERSON, of New Hampshire. The Committee on the District of Columbia, to whom was referred the bill (S. No. 540) to regulate the sale of hay in the District of Columbia, have had it under consideration, and have directed me to report the bill favor. ably and to ask action upon it at this time. It will take but a moment.

Committee of the Whole, proceeded to conBy unanimous consent, the Senate, as in sider the bill. It provides that all hay and straw which may be sold by weight in the District of Columbia shall be sold by the net hundred, and every two thousand pounds net weight shall be a ton.

The bill was reported to the Senate without amendment, ordered to be engrossed for a third reading, read the third time, and passed.

Mr. PATTERSON, of New Hampshire. I am also directed by the same committee to report back two other bills on the same subject, and to move that they be indefinitely postponed.

The motion was agreed to; and the bill (S. No. 271) to regulate the sale of hay and straw in the District of Columbia, and the bill (S. No. 461) to regulate the sale of hay in the District of Columbia, were postponed indefinitely.

BILLS INTRoduced.

Mr. WILSON asked, and by unanimous consent obtained, leave to introduce a joint reso lution (S. R. No. 148) to authorize the Secre

Mr. HARLAN, from the Committee on the District of Columbia, to whom was referred the bill (S. No. 526) to amend an act incorporating the Washington and Georgetown Rail.tary of the Treasury to remit the duties on road Company, reported adversely thereon, and moved its indefinite postponement; which was agreed to.

He also, from the same committee, to whom was referred the bill (H. R. No. 480) in relation to the pay of grand and petit jurors in the District of Columbia, asked to be discharged from its further consideration, and that it be referred to the Committee on the Judiciary; which was agreed to.

Mr. WILLIAMS, from the Committee on Finance, to whom was referred the joint resolution (H. R. No. 96) for the relief of John Sedgwick, collector of internal revenue third district California, reported it without amend

ment.

Mr. TRUMBULL, from the Committee on the Judiciary, to whom was referred the bill (H. R. No. 347) to amend an act to divide the State of Illinois into two judicial districts, approved February 13, 1855, reported it with amendments.

He also, from the same committee, to whom was referred a petition of Miss G. C. Smith, asking an amendment of the bankrupt law so that her mother will not be deprived of the amount of property allowed an insolvent; three petitions of citizens of Illinois, praying the establishment of two annual terms of the Uni

ted States circuit and district courts at Quincy, Illinois; the resolutions of the constitutional convention of Virginia, in favor of extending the period during which the first clause of the bankrupt act shall operate; a memorial of citizens of New York city, remonstrating against any extension of the time limited in the law for commencing proceedings in bankruptcy; a memorial of citizens of Boston, in relation to bankruptcy; and two memorials of citizens of New York, in relation to bankruptcy, asked to be discharged from their further consideration; which was agreed to.

He also, from the same committee, to whom was referred the bill (H. R. No. 1021) in

certain religious books donated to the people of the United States; which was read twice by its title, and referred to the Committee on Finance.

He also asked, and by unanimous consent obtained, leave to introduce a joint resolution (S. R. No. 149) authorizing the sale of dam-' aged or unserviceable arms, ordnance, or ordnance stores; which was read twice by its title, and referred to the Committee on Military Affairs and the Militia.

RETURN OF A BILL.

Mr. FERRY. I offer the following resolu tion, and ask for its present consideration:

Resolved, That the Secretary of the Senate be directed to request the House of Representatives to return to the Senate the bill to amend the act of March 3, 1865, providing for the construction of certain wagon-roads in Dakota Territory, being House bill No. 650.

There being no objection, the Senate proceeded to consider the resolution.

Mr. FERRY. Mr. President, the bill referred to by the resolution came from the House of Representatives, and was amended in the Senate owing to a mistake made by the Secretary of the Interior in a communication forwarded to the Committee on Territories, from which the bill was reported. That mistake having been corrected, it is desirable to get

back the bill in order to correct the bill itself. The resolution was adopted.

JONATHAN JESSUP.

Mr. RAMSEY. I move that the Senate proceed to the consideration of House bill No. 867.

Mr. EDMUNDS. What is the title of it? Mr. RAMSEY. "A bill for the relief of Jonathan Jessup, postmaster at York, Pennsylvania."

The motion was agreed to; and the bill was considered as in Committee of the Whole. It proposes to authorize the Auditor of the Treas

ury for the Post Office Department to allow Jonathan Jessup, of York, Pennsylvania, the sum of $1,307 36, in the auditing of his accounts for the fiscal year of 1867.

The bill was reported to the Senate without amendment, ordered to a third reading, read the third time, and passed.

ANDREW S. CORE.

Mr. VAN WINKLE. Imove that the Senate take up for consideration Senate bill No. 522, reported from the Committee on Finance. It is a bill of only five lines, and will not lead to any discussion.

Mr. EDMUNDS. What is the title of it? Mr. VAN WINKLE. "A bill to authorize the Commissioner of the Revenue to settle the

accounts of Andrew S. Core." The circum

stances are such that a settlement cannot be made without this authority.

The motion was agreed to; and the bill was considered as in Committee of the Whole. It

directs the Commissioner of the Revenue to settle and close the accounts of Andrew S. Core, late collector of internal revenue for the second district of Virginia, (now West Vir ginia,) upon principles of justice and equity.

The bill was reported to the Senate without amendment, and ordered to be engrossed for a third reading. It was read the third time, and passed.

NATIONAL BANKS.

Mr. SHERMAN. I move that the Senate resume the consideration of the unfinished business of yesterday.

The motion was agreed to; and the Senate, as in Committee of the Whole, resumed the consideration of the bill (S. No. 440) supplementary to an act entitled "An act to provide a national currency secured by a pledge of United States bonds, and to provide for the circulation and redemption thereof," approved June 3, 1864.

The pending question was stated to be on the motion of Mr. CAMERON, to amend the bill by striking out the first section, in the following words:

That it shall be unlawful for national banks located in the cities of Boston, New York, Philadelphia, or any of the cities named in section thirty-one of an act entitled "An act to provide a national currency secured by a pledge of United States bonds, and to provide for the circulation and redemption thereof," approved June 3, 1864, to pay interest on the deposits or balances of any other national banking association, or to offer any inducement, other than the prompt and correct transaction of business, in order to secure such deposits; and it is hereby made the duty of the Comptroller of the Currency to see that this act is observed; and upon a violation thereof by any national banking association, he is hereby authorized and required to proceed, as in other cases of default, to appoint a receiver to wind up the affairs of such association according to the provisions of section fifty of said act.

Every crisis which has broken up the banks
of the country has begun with the city banks
on account of their speculations in stocks, the
facilities they have for loaning their money by
the day or by the hour, as they often do, at a
large rate of interest. The country banks
have no such temptation. A large portion of
the year they need all their funds at home, and
their customers and their stockholders would
compel them to use them there if they were
otherwise inclined. It is only when their cap-
ital is of necessity in the possession of the
city banks that it is proposed that the city
banks should pay them for the use of it.

men from following the regular pursuits of industry.

As I said, I do not desire to trouble the Senate, and I will not. I should have preferred to postpone this subject until the next session, because then I think the country will be in a condition when we may legislate wisely and well in regard to currency and finance; but if it be the pleasure of the Senate to act on the bill I think the first section should be stricken

out.

Mr. SHERMAN. I call for the yeas and nays on the motion to strike out the first section.

The yeas and nays were ordered.

Mr. CHANDLER. I hope this first section will be stricken out. The Senator from New Jersey [Mr. CATTELL] alluded yesterday to the large amount of money which the country banks were obliged to hold in their vaults or upon deposit in the eastern cities; in other words, a reserve which he said they were not permitted to work up. But, sir, the Senator from New Jersey has himself introduced a bill authorizing the issue of three per cent. certificates intended to be held as that very reserve, and to bring that reserve into an interest-bearshape.

is so much talked about that we generally lose
This whole subject of banking is one which
sight of the main matter of a bill when any
thing comes up connected with it. The old
banking system was a good one in its day. The
early banking system of this country, which
important schemes ever invented for a new
has been so much abused, was one of the most
country like ours. We had a rich soil; we had
a vigorous people; we had an extended coun-
try; but we had no capital. The original
country banks got their life from an act of
incorporation which generally included within
its machinery the best men of the community.ing
These men together staked their character and
their property, and they issued their notes
which passed as money. That did very well
until the country became rich, and then the
system, as a matter of course, fell down from
its own weight.

I remember very well when I had charge of
a little bank with $100,000 capital, and we had
an average circulation of $700,000, and we
never failed to meet our notes, and nobody
ever doubted that we could meet them. So
long as we did so they were just as good as
money. The old system broke down, as I
say, because the country became rich and the
banks accumulated and men became specula-
tors outside of the banks and broke them down.
The New York system of banking, which was
the next one, was better than the old system
of banking, and much better than the system
we have now. That system made circulation
perfectly secure, because the stocks of New
York and the stocks of the General Govern-
ment were the basis of it, and under that sys-
tem everybody that desired to bank might bank.
We shall some day come to that and have a
general free-banking system based on our Gov-
ernment loans, and then every man who desires
to bank will do so, and when he finds it
unprofitable he will quit it. That is the system
you will ultimately come to, and such discus-
sions as we had yesterday and the day before
will bring us to it sooner, because there is now
a desire and a competition all over the country
to get banks, as if having banks in a particular
quarter made money plenty there. It is not

so.

You might just as well say that you should have a mint to coin your gold in every county or in every State of the Union. Money is an element of trade, which flows where it is wanted; and after it has been used and done its duty in a particular quarter it goes back to the centers of trade. It is just like the water flowing to the ocean and again reaching the clouds and coming down to us. We do not reflect upon the working of this machinery, but we all seem to have a special knowledge of banking.

Mr. CAMERON. Mr. President, I do not think it necessary to occupy the time of the Senate in discussion this morning, because the simple question now pending is between the country banks and the city banks. The Senator from New Jersey [Mr. CATTELL] spent half an hour or an hour yesterday on the principles of banking. The general principles which he laid down were pretty correct; but the principal matter, the marrow of this case, he did not touch at all. I have said from the beginning that this is a bill gotten up for the purpose of using the funds of the country banks without paying them for them. It is very natural, perhaps, that gentlemen situated as he is, repre- The Senator from New Jersey [Mr. CATTELL] senting banking corporations in the cities, read yesterday from the Comptroller of the read yesterday from the Comptroller of the should desire to get all the funds of the country Currency a very learned report, which he copied possible without paying for them. The coun- from some reports published in England and try banks do not send their deposits to the France; but they were all statements of gencities for the purpose of speculating, but they eral principles that had nothing to do with the are compelled to send them there. In the first question before us. It is, I repeat, simply place, they are compelled by the banking law to whether you shall allow these banks to manage keep a reserve fund there, and then in the their business in their own way as shall seem course of trade their funds go there as a matter to them best, relying on their integrity and of course. They now get a small interest while their intelligence to preserve their own credit, they are there, and they suffer them to remain and thus preserve the interests of the public, there only when they cannot be used at home. or whether you will compel them to throw It is fair that they should be allowed to receive their money into the city banks, where specucompensation for that use. On the other hand, lators may use it in inflating stocks and prothe city banks are the great speculators.ducing a system of gambling which prevents

The Senator says that the country banks are compelled to hold fifteen per cent. of the whole amount of their capital and deposits on hand in lawful money, and the depository banks twenty-five per cent.

Mr. CATTELL. The Senator from Michigan misunderstood me. I said fifteen per cent. of their circulation and deposits, not of their capital and deposits.

Mr. CHANDLER. That is true. The depository banks are compelled to hold twentyfive per cent. of their circulation and deposits on hand at all times, and the western banks are permitted to have a portion of their reserve of fifteen per cent. on deposit in the large cities. Now, the Senator says that it will be much safer if these reserves are not upon interest. Will the Senator explain to me how and why it is safer that the self same bank should hold these deposits and pay no interest on them than that it should hold them and pay an interest of four per cent.?

Mr. CATTELL. Does the Senator want an answer?

Mr. CHANDLER. Yes, sir; I should like to hear the auswer.

Mr. CATTELL. I can give it in a single word. There is an inducement to pile up money in the city of New York, by the payment of interest, which ought to be kept at home.

Mr. CHANDLER. I shall come to that directly, and the answer to that will be a part of my argument. The Senator alluded to that point yesterday. The law compels these western banks to deposit in the national banks in the cities which are Government depositories. Hence the deposit must remain in the selfsame hands, whether interest be paid or be not paid under the law. Now, the Senator says that if no interest be paid these funds will be retained and held at home, instead of being deposited in the national depositories in the great cities. Sir, the Senator has been too long a banker to make that statement intending it. I tried to explain yesterday, and I will try to explain again to day, so that he may comprehend it, that the western banks, and the eastern banks outside the large cities, make nearly all their redemptions by draft upon those large cities. In the cities of the West, even in specie-paying times, more than nine tenths of all their redemptions were made by draft on New York; and to-day a bank that cannot draw upon New York might as well shut up shop. The effect would be the same upon its credit that a refusal to pay specie would be upon a bank in specie-paying times. They must draw upon New York when the demand is made.

My statement yesterday was, or was intended to be, that a bank of $100,000 circulation almost anywhere would have $100,000 in deposits, and the average in the report before

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