  IN governments, as in households, he who holds the purse holds the power. The Treasury is the natural point of control to be occupied by any statesman who aims at organization or reform, and conversely no organization or reform is likely to succeed that does not begin with and is not guided by the Treasury. The highest type of practical statesmanship must always take this direction. Washington and Jefferson doubtless stand pre-eminent as the representatives of what is best in our national character or its aspirations, but Washington depended mainly upon Hamilton, and without Gallatin Mr. Jefferson would have been helpless. The mere financial duties of the Treasury, serious as they are, were the least of the burdens these men had to carry; their keenest anxieties were not connected most nearly with their own department, but resulted from that effort to control the whole machinery and policy of government which is necessarily forced upon the holder of the purse. Possibly it may be said with truth that a majority of financial ministers have not so understood their duties, but, on the other hand, the ministers who composed this majority have hardly left great reputations behind them. Perhaps, too, the very magnitude and overshadowing influence of the Treasury have tended to rouse a certain jealousy in the minds of successive Presidents, and have worked to dwarf an authority legitimate in itself, but certainly dangerous to the Executive head. Be this as it may, there are, to the present time, in all American history only two examples of practical statesmanship which can serve as perfect models, not perhaps in all respects for imitation, but for study, to persons who wish to understand what practical statesmanship has been under an American system. Public men in considerable numbers The vigor and capacity of Hamilton’s mind are seen at their best not in his organization of the Treasury Department, which was a task within the powers of a moderate intellect, nor yet in the essays which, under the name of reports, instilled much sound knowledge, besides some that was not so sound, into the minds of legislature and people; still less are they shown in the arts of political management,—a field into which his admirers can follow him only with regret and some sense of shame. The true ground of Hamilton’s great reputation is to be found in the mass and variety of legislation and organization which characterized the first Administration of Washington, and which were permeated and controlled by Hamilton’s spirit. That this work was not wholly his own is of small consequence. Whoever did it was acting under his leadership, was guided consciously or unconsciously by his influence, was inspired by the activity which centred in his department, and sooner or later the work was subject to his approval. The results—legislative and administrative—were stupendous and can never be repeated. A government is organized once for all, and until that of the United States fairly goes to pieces no man can do more than alter or improve the work accomplished by Hamilton and his party. What Hamilton was to Washington, Gallatin was to Jefferson, with only such difference as circumstances required. It is true that the powerful influence of Mr. Madison entered largely into the plan of Jefferson’s Administration, uniting and modifying its other elements, and that this was an influence the want of In so far as Mr. Jefferson’s Administration was a mere protest against the conduct of his predecessor, the object desired was attained by the election itself. In so far as it represented a change of system, its positive characteristics were financial. The philanthropic or humanitarian doctrines which had been the theme of Mr. Jefferson’s philosophy, and which, in a somewhat more tangible form, had been put into shape by Mr. Gallatin in his great speech on foreign intercourse and in his other writings, when reduced to their simplest elements amount merely to this: that America, standing outside the political movement of Europe, could afford to follow a political development of her own; that she might safely disregard remote dangers; that her armaments might be reduced to a point little above mere police necessities; that she might rely on natural self-interest for her foreign commerce; that she might depend on average common sense for her internal prosperity and order; and that her capital was safest in the hands of her own citizens. To establish these doctrines beyond the chance of overthrow was to make democratic government a success, while to defer the establishment of these doctrines was to incur the risk, if not the certainty, of following the career of England in “debt, corruption, and rottenness.” In this political scheme, whatever its merits or its originality, everything was made to depend upon financial management, and, “If we cannot, with the probable amount of impost and sale of lands, pay the debt at the rate proposed and support the establishments on the proposed plans, one of three things must be done; either to continue the internal taxes, or to reduce the expenditure still more, or to discharge the debt with less rapidity. The last recourse to me is the most objectionable, not only because I am firmly of opinion that if the present Administration and Congress do not take the most effective measures for that object, the debt will be entailed on us and the ensuing generations, together with all the systems which support it and which it supports, but also, any sinking fund operating in an increased ratio as it progresses, a very small deduction from an appropriation for that object would make a considerable difference in the ultimate term of redemption which, provided we can in some shape manage the three per cents, without redeeming them at their nominal value, I think may be paid at fourteen or fifteen years. “On the other hand, if this Administration shall not reduce taxes, they never will be permanently reduced. To strike at the root of the evil and avert the danger of increasing taxes, encroaching government, temptations to offensive wars, &c., nothing can be more effectual than a repeal of all internal taxes; but let them all go and not one remain on which sister taxes may be hereafter engrafted. I agree most fully with you that pretended tax-preparations, treasure-preparations, and army-preparations To these purposes, in the words of Mr. Jefferson, all other objects were made subordinate, and to carry these purposes into effect was the peculiar task of Mr. Gallatin. No one else appears even to have been thought of; no one else possessed any of the requisites for the place in such a degree as made him even a possible rival. The whole political situation dictated the selection of Mr. Gallatin for the Treasury as distinctly as it did that of Mr. Jefferson for the Presidency. But the condition on which alone the principles of the Republicans could be carried out was that of peace. To use again Mr. Gallatin’s own words, written in 1835: “No nation can, any more than any individual, pay its debts unless its annual receipts exceed its expenditures, and the two necessary ingredients for that purpose, which are common to all nations, are frugality and peace. The United States have enjoyed the last blessing in a far greater degree than any of the great European powers. And they have had another peculiar advantage, that of an unexampled increase of population and corresponding wealth. We are indebted almost exclusively for both to our geographical and internal situation, the only share which any Administration or individual can claim being its efforts to preserve peace and to check expenses either improper in themselves or of subordinate importance to the payment of the public debt. In that respect I may be entitled to some public credit, as nearly the whole of my public life, from 1795, when I took my seat in Congress, till 1812, when the war took place, was almost exclusively devoted with entire singleness of purpose to those objects.” To preserve peace, therefore, in order that the beneficent influence The moment when Mr. Jefferson assumed power was peculiarly favorable for the trial of his experiment. Whatever the original faults and vices of his party might have been, ten years of incessant schooling and education had corrected many of its failings and supplied most of its deficiencies. It was thoroughly trained, obedient, and settled in its party doctrines. And while the new administration thus profited by the experience of its adversity, it was still more happy in the inheritance it received from its predecessor. Whatever faults the Federalists may have committed, and no one now disputes that their faults and blunders were many, they had at least the merit of success; their processes may have been clumsy, their tempers were under decidedly too little control, and their philosophy of government was both defective and inconsistent; but it is an indisputable fact, for which they have a right to receive full credit, that when they surrendered the government to Mr. Jefferson in March, 1801, they surrendered it in excellent condition. The ground was clear for Mr. Jefferson to build upon. Friendly relations had been restored with France without offending England; for the first time since the government existed there was not a serious difficulty in all our foreign relations, the chronic question of impressment alone excepted; the army and navy were already reduced to the lowest possible point; the civil service had never been increased beyond very humble proportions; the debt, it is true, had been somewhat increased, but in nothing like proportion On the other hand, the difficulties with which Mr. Jefferson had to deal were no greater than always must exist under any condition of party politics. From the Federalists he had nothing to fear; they were divided and helpless. The prejudices and discords of his own followers were his only real danger, and principally the pressure for office which threatened to blind the party to the higher importance of its principles. In proportion as he could maintain some efficient barrier against this and similar excesses and fix the attention of his followers on points of high policy, his Administration could rise to the level of purity which was undoubtedly his ideal. What influence was exerted by Mr. Gallatin in this respect will be shown in the course of the narrative. The assertion that Jefferson, Madison, and Gallatin were a triumvirate which governed the country during eight years takes no account of the other members of Mr. Jefferson’s Cabinet, but in point of fact the other members added little to its strength. The War Department was given to General Dearborn, while Levi Lincoln became Attorney-General; both were from Massachusetts, men of good character and fair though not pre-eminent abilities. Mr. Gallatin described them very correctly in a letter written at the time: GALLATIN TO MARIA NICHOLSON. City of Washington, 12th March, 1801. My dear Sister,—I think I am going to reform; for I feel a kind of shame at having left your friendly letters so long ... As to our new Administration, the appearances are favorable, but storms must be expected. The party out of power had it so long, loved it so well, struggled so hard to the very last to preserve it, that it cannot be expected that the leaders will rest contented after their defeat. They mean to rally and to improve every opportunity which our errors, our faults, or events not under our control may afford them. As to ourselves, Mr. Jefferson’s and Mr. Madison’s characters are well known to you. The Navy Department in a manner went begging. General Smith was strongly pressed to take it, and did in fact perform its duties for several weeks. Had he consented to accept the post he would have added to the weight of the government, for General Smith was a man of force and ability; but he persisted in refusing, and ultimately his brother, Robert Smith, was appointed, an amiable and respectable person, but not one of much weight except through his connections by blood or marriage. The first act of the new Cabinet was to reach a general understanding in regard to the objects of the Administration. These appear to have been two only in number: reduction of debt and reduction of taxes, and the relation to be preserved between them. On the 14th March, Mr. Gallatin wrote a letter to Mr. Jefferson, discussing the subject at some length; Among Mr. Gallatin’s papers is a sort of pamphlet in manuscript, stitched together, and headed in ornamental letters: “Citizen W. DUANE.” It is endorsed in Mr. Gallatin’s hand: “1801. Clerks in offices; given by W. Duane.” It contains a list of all the Department clerks, after the following style:
Some of Duane’s remarks are still more pointed:
The pressure for sweeping removals was very great. From the first, Mr. Gallatin set his face against them, and although apparently yielding adhesion to Mr. Jefferson’s famous New Haven letter of July 12, in which it was attempted to justify the principle and regulate the proportion of removals, he urged Mr. Jefferson to authorize the issue of a circular to collectors which would have practically made the New Haven letter a nullity. On the 25th July he sent to the President a draft of this circular: CIRCULAR TO COLLECTORS. The law having given to the collectors the appointment of a number of inferior officers subject to my approbation, there is on that subject on which we must act in concert, but one sentiment that I wish to communicate; it is that the door of office be no longer shut against any man merely on account of his political opinions, but that whether he shall differ or not from those avowed either by you or by myself, integrity and capacity suitable to the station be the only qualifications that shall direct our choice. Permit me, since I have touched this topic, to add that whilst freedom of opinion and freedom of suffrage at public elections are considered by the President as imprescriptible rights which, possessing as citizens, you cannot have lost by becoming public officers, he will regard any exercise of official influence to restrain In his letter to Mr. Jefferson of the same date he said, “It is supposed that there is no danger in avowing the sentiment that even at present, so far as respects subordinate officers, talent and integrity are to be the only qualifications for office. In the second paragraph, the idea intended to be conveyed is that an electioneering collector is commonly a bad officer as it relates to his official duties (which I do sincerely believe to be true), and that the principle of a corrupting official influence is rejected by the present Administration in its own support and will not be forgiven when exercised against itself.” Mr. Jefferson and Mr. Madison thought this declaration premature, and the circular was not issued. The time never came when they thought it had reached maturity; nevertheless Mr. Jefferson wrote back: “I approve so entirely of the two paragraphs on the participation of office and electioneering activity that on the latter subject I proposed very early to issue a proclamation, but was restrained by some particular considerations; with respect to the former, we both thought it better to be kept back till the New Haven remonstrance and answer have got into possession of the public, and then that it should go further and require an equilibrium to be first produced by exchanging one-half of their subordinates, after which talents and worth alone to be inquired into in the case of new vacancies.” Mr. Gallatin, however, soon returned to his remonstrances: GALLATIN TO JEFFERSON. 10th August, 1801. ... The answer to New Haven seems to have had a greater effect than had been calculated upon. The Republicans hope for a greater number of removals; the Federals also expect it. I have already received several letters from Philadelphia applying for the offices of customs, upon the ground that it is generally understood that the officers there are to be removed. There is no doubt that the Federal leaders are making a powerful effort to rally their party on the same ground. Although some mistakes may have been made as to the proper objects both of removal and appointment, it does not appear that less than what has been done could have been done without injustice to the Republicans. But ought much more to be done? It is so important for the permanent establishment of those republican principles of limitation of power and public economy for which we have so successfully contended, that they should rest on the broad basis of the people, and not on a fluctuating party majority, that it would be better to displease many of our political friends than to give an opportunity to the irreconcilable enemies of a free government of inducing the mass of the Federal citizens to make a common cause with them. The sooner we can stop the ferment the better, and, at all events, it is not desirable that it should affect the eastern and southern parts of the Union. I fear less from the importunity of obtaining offices than from the arts of those men whose political existence depends on that of party. Office-hunters cannot have much influence; but the other class may easily persuade the warmest of our friends that more ought to be done for them. Upon the whole, although a few more changes may be necessary, I hope there will be but a few. The number of removals is not great, but in importance they are beyond their number. The supervisors of all the violent party States embrace all the collectors. Add to that the intended change in the post-office, and you have in fact every man in office out of the seaports.... JEFFERSON TO GALLATIN. Monticello, August 14, 1801. ... The answer to New Haven does not work harder than I expected; it gives mortal offence to the Monarchical Federalists who were mortally offended before. I do not believe it is thought unreasonable by the Republican Federalists. In one point the effect is not exactly what I expected. It has given more expectation to the sweeping Republicans than I think its terms justify; GALLATIN TO JEFFERSON. 17th August, 1801. ... You will find by the other letter that the Republicans expect a change in Philadelphia; this expectation is owing partly to the removal of the collector of New York and partly to the answer to New Haven, which, as I mentioned before, has had a greater if not a better effect than was expected.... Upon the whole ... it is much better to wait the meeting of Congress. Dallas, who was here, agrees with me. Yet it must be allowed that the warm Republicans will be displeased; it is the same in New York in regard to Rogers, who though the most capable was the most obnoxious to the zealous Republicans. Duane has been here, and I have taken an opportunity of showing the impropriety of numerous removals. He may think the reasons good, but his feelings will be at war with any argument on the subject.... With regard to Duane, he was quite right. The course of Mr. Gallatin and Mr. Dallas in resisting the sweeping removals urged by the Aurora forfeited Duane’s confidence. Perhaps Mr. Gallatin, who had yet to learn something about the depths of human nature, expected that at least Duane would give him the credit of honest intention; perhaps he thought the Aurora itself might be disregarded if the public were satisfied; possibly he foresaw all the consequences of making Duane an enemy, and accepted them; certain it is that the party schisms in Pennsylvania began here, and that in the long list of enmities which Years, however, were to pass before the full effects of this difference showed themselves; meanwhile the removals were checked, and Duane pacified at least in some degree, but it is a curious fact that the cause which interposed the first obstacle to these wholesale removals was another party schism, of which New York was the field and Aaron Burr the victim; and in this case it appears that Mr. Gallatin favored removal rather than otherwise, while it was Mr. Jefferson who, out of distrust to Burr, maintained the Federal incumbent in office. The story is curious and interesting. The naval officer in New York was one Rogers, said to have been a Tory of the Revolution. The candidate for his place was Matthew L. Davis, Burr’s right-hand man, and supported by Burr with all his energy. The great mass of New York Republicans, outside of the Livingston and Clinton interests, were attached to Burr and pressed Davis for office. Commodore Nicholson was hot about it. “It is rumored,” he wrote to Gallatin on the 10th August, “that Mr. Harrison in the State government and Mr. Rogers in the general one are to be continued. Should that be the determination, a petition should go on to both governments pointing out the consequences. I can with truth declare I have no doubt it will bring the Republican interest in this city (if not the State) in the minority; and as it applies to the President himself, I am of opinion that he ought to be made acquainted with it. There is no truth more confirmed in my mind of the badness of the policy than keeping their political enemies in office to trample upon us; after which, if he perseveres, I am bold to say if I live to see another election I shall think it my duty to use my interest against his re-election.” The commodore was a great admirer of Burr, but a month later the commodore himself, much against Mr. Gallatin’s wishes, applied for and obtained the post of loan-officer in New York, under a recommendation of De Witt Clinton, and his mouth was henceforth closed. The share which Mr. Gallatin took in the New York contest is shown in the following letters: BURR TO GALLATIN. New York, June 8, 1801. Dear Sir,—I have seen with pain a paragraph in the Citizen of Friday respecting removals from office. Pray tell the President, notwithstanding any ebullitions of this kind, he may be confidently assured that the great mass of Republicans in this State are determined that he shall do things at his own time and in his own manner, and that they will justify his measures without inquiring into his reasons. I think you will not see any more paragraphs in the style of that referred to.... BURR TO GALLATIN. New York, June 23, 1801. Dear Sir,—...Strange reports are here in circulation respecting secret machinations against Davis. The arrangement having been made public by E. L., the character of Mr. D. is, in some measure, at stake on the event. He has already waived a very lucrative employment in expectation of this appointment. I am more and more confirmed in the opinion that his talents for that office are superior to those of any other person who can be thought of, and that his appointment will be the most popular. The opposition to him, if any is made, must proceed from improper motives, as no man dare openly avow an opinion hostile to the measure. This thing has, in my opinion, gone too far to be now defeated. Two men from the country, both very inferior to Mr. Davis in talents and pretensions, are spoken of as candidates,—I hope not seriously thought of. Any man from the country would be offensive,—either of these would be absurd, and Davis is too important to be trifled with. You say nothing of the sinking fund. Affectionately yours. If you will show to the President what of the above relates to the naval office, you will save me the trouble of writing and him that of reading a longer letter to him on the subject. BURR TO GALLATIN. New York, September 8, 1801. Dear Sir,—Mr. Davis is on his way to Monticello on the business too often talked of and too long left in suspense. I was surprised to learn from Mr. Jefferson that nothing had been said to him on this subject since a meeting had with his ministers early in May. About that period I wrote you a letter which I desired you to show him. Such requests are, however, always an appeal to discretion. The matter is now arrived at a crisis which calls for your opinion. This, I presume, you will give in unqualified terms. In the letter you may write by Davis I beg you also to inform Mr. J. of the characters of the gentlemen whose letters will be shown you, and I do entreat that there may now be a determination of some kind, for it has become a matter of too much speculation here why R. is kept in and why D. is not appointed. Bradley will resign in the course of this month; you will have due notice. The next time you send a verbal message on business, I will thank you to commit it to writing. God bless you! Mr. D. has been goaded into this journey by the instances of an hundred friends, of whom I am not one. Yet I have not opposed it, and am rather gratified that he undertakes it. GALLATIN TO JEFFERSON. Washington, September 12, 1801. Dear Sir,—This will be handed by M. L. Davis, of New York, the candidate for the naval office. I used my endeavors to prevent his proceeding to Monticello, but he has left New York with that intention, and is not easily diverted from his purpose. The reason he gives for his anxiety is that, immediately after the adjournment of Congress, E. Livingston and others mentioned to him that a positive arrangement was made by the Administration by which he was to be appointed to that office; that he was so perfectly confident, till some time in June, He presses me much, on the ground of my personal knowledge both of him and of the local politics of New York, to give you my opinion in a decided manner on that subject, which to him I declined, both because in one respect it was not made up, and because my own opinion, even if decided, neither ought nor would decide yours. The propriety of removing Rogers remains with me the doubtful point; after Fish’s removal and that of others, they in New York seem to suppose that the removal of Rogers is, on account of ante-revolutionary adherence to enemies, unavoidable; the answer to New Haven appears to have left no doubt on their minds on that subject, and I apprehend that the numerous removals already made by you there, and the almost general sweep by their State government, have only increased the anxiety and expectations of a total change. In relation to Rogers himself, though he is a good officer, I would feel but little regret at his being dismissed, because he has no claim detached from having fulfilled his official duties, has made an independent fortune by that office, and, having no personal popularity, cannot lose us one friend nor make us one enemy. But I feel a great reluctance in yielding to that general spirit of persecution, which, in that State particularly, disgraces our cause and sinks us on a level with our predecessors. Whether policy must yield to principle by going further into those removals than justice to our political friends and the public welfare seem to require, is a question on which I do not feel myself at present capable of deciding. I have used the word “persecution,” and I think with propriety, for the council of appointments have extended their removals to almost every auctioneer, and that not being a political office the two parties ought certainly to have an equal chance in such appointments. As to the other point, if Rogers shall be removed, I have no hesitation in saying that I do not know a man whom I would prefer to Mr. Davis for that office. This may, however, be owing to my knowing him better than GALLATIN TO JEFFERSON. Washington, 14th September, 1801. ... This is, however, only a trifling family controversy, and will not be attended with any other effect abroad except giving some temporary offence to Duane, Beckley, Israel, and some other very hot-headed but, I believe, honest Republicans. This leads me to a more important subject. Pennsylvania is, I think, fixed. Although we have there amongst our friends several office-hunters, Republicanism rests there on principle pretty generally, and it rests on the people at large, there not being in the whole State a single individual whose influence could command even now one county, or whose defection could lose us one hundred voters at an election. It is ardently to be wished that the situation of New York was as favorable; but so much seems to depend in that State on certain individuals, the influence of a few is so great, and the majority in the city of New York, on which, unfortunately, the majority in the State actually depends (that city making one-eighth of the whole), is so artificial, that I much fear that we will eventually lose that State before next election of President. The most favorable event would certainly be the division of every State into districts for the election of electors; with that single point and only common sense in the Administration, Republicanism would be established for one generation at least beyond controversy; but if not attainable as a general constitutional There are also two points connected with this, on which I wish the Republicans throughout the Union would make up their mind. Do they eventually mean not to support Burr as your successor, when you shall think fit to retire? Do they mean not to support him at next election for Vice-President? These are serious questions, for although with Pennsylvania and Maryland we can fear nothing so long as you will remain the object of contention with the Federalists, yet the danger would be great should any unfortunate event deprive the people of your services. Where is the man we could support with any reasonable prospect of success? Mr. Madison is the only one, and his being a Virginian would be a considerable objection. But if, without thinking of events more distant or merely contingent, we confine ourselves to the next election, which is near enough, the embarrassment is not less, for even Mr. Madison cannot on that occasion be supported with you, and it seems to me that there are but two ways: either to support Burr once more or to give only one vote for President, scattering our other votes for the other person to be voted for. If we do the first, we run, on the one hand, the risk of the Federal party making Burr President, and we seem, on the other, to give him an additional pledge of being eventually supported hereafter by the Republicans for that office. If we embrace the last party, we not only lose the Vice-President, but pave the way for the Federal successful candidate to that office to become President. All this would be remedied by the amendment of distinguishing the votes for the two offices, and by that of dividing the States into districts; but, as it is extremely uncertain whether such amendments will succeed, we must act on the ground of elections going on as heretofore. And here I see the danger, but cannot discover the remedy. It is indeed but with reluctance that I can ever think of the policy necessary to counteract intrigues and personal views, and wiser men than myself must devise the means. Yet had I felt the same diffidence, I mean total want of confidence, which To all this Mr. Jefferson merely replied in a letter of 18th September, written from Monticello: “Mr. Davis is now with me. He has not opened himself. When he does, I shall inform him that nothing is decided, nor can be till we get together at Washington.” The appointment was not made. Rogers was retained in office until May 10, 1803, when he was removed and Samuel Osgood appointed in his place. Burr’s last appeal is dated March 25, 1802, after the matter had been a year in debate. It is actually pathetic: BURR TO GALLATIN. March 25. Dear Sir,—...As to Davis, it is a small, very small favor to ask a determination. That “nothing is determined” is so commonplace that I should prefer any other answer to this only request which I have ever made. I shall be abroad this evening, which I mention lest you might meditate a visit. Yours. These letters need no comment. Be the merits of the ultimate rupture between Jefferson and Burr what they may, the position of Mr. Gallatin is clear enough. He did not want that rupture. He had no affection for the great New York families which were the alternative to Burr; he regretted that deep-set distrust of the Vice-President which had always existed among the Virginians; his own relations with Burr and his friends were never otherwise than agreeable, and he could have no motive for expelling them from the party and driving them to desperation. On the other hand, Burr never included Mr. Gallatin in that exasperated vindictiveness of feeling which he entertained towards Mr. Jefferson himself and the southern Republicans; long afterwards, in conversation with Etienne Dumont in London, he expressed the opinion that Gallatin was the best head in the United States. Under the influence of these jealousies, Burr was rapidly forced into opposition, and New York politics became more than ever chaotic. Whether the Administration ultimately derived any advantage from pulling down Burr in order to set up George Clinton and General Armstrong is a matter in regard to which the opinion of Mr. Madison in 1812 would be worth knowing. The slight personal hold which Mr. Gallatin might have retained upon New York through the agency of his old friend Edward Livingston, who had received the appointment of district attorney, was destroyed in 1803 by Livingston’s defalcation and removal to New Orleans. As these events occurred, and as they were rapidly followed by the Pennsylvania schism, in which Mr. Jefferson carefully balanced between the two parties, Mr. Gallatin, more and more disgusted at the revelations of moral depravity which forced themselves under his eyes, drew away from local and personal politics as far as he could, and became to a considerable degree isolated in regard to the two great States which he represented in the Cabinet. Disregarding, perhaps, too much the controversies which, however contemptible, necessarily involved his political influence, he devoted his attention to the loftier interests of national policy. The summer and autumn of 1801 were consumed in mastering the details of Treasury business, in filling appointments to office, and in settling the scale of future expenditure in the different Departments. But when the time came for the preparation What Mr. Gallatin would have done with the navy, had he been left to deal with it in his own way, nowhere appears. He had opposed its construction, and would not have considered it a misfortune if Congress had swept it away; but he seems never to have interfered with it, after coming into office, further than to insist that the amount required for its support should be fixed at the lowest sum deemed proper by the head of that Department. In fact, Mr. Jefferson’s Administration disappointed both friends and enemies in its management of the navy. The furious outcry which the Federalists raised against it on that account was quite unjust. Considering the persistent opposition which the Republican party had offered to the construction of the frigates, there can be no better example of the real conservatism of this Administration than the care which it took of the service, and even Mr. Gallatin, who honestly believed that the money would be better employed in reducing debt, grumbled not so much at the amount of the appropriations as at the want of good management in its expenditure. He thought that more should have been got for the money; but so far as the force was concerned, the last Administration had itself fixed the amount of reduction, and the new one only acted under that law, using the discretion given by it. That this is not a mere partisan apology is proved by the effective condition of our little navy in 1812; but the facts in regard to the subject are well known and fully stated in the histories of that branch of the service,—works in which there was no motive for political misrepresentation. Mr. Jefferson was in the habit of communicating the draft of his annual message to each head of department and requesting them to furnish him with their comments in writing. On these occasions Mr. Gallatin’s notes were always elaborate and interesting. In his remarks in November, 1801, on the first annual message he gave a rough sketch of the financial situation, and at this time it appears that he hoped to cut down the army and navy estimates to $930,000 and $670,000 respectively. His financial scheme then stood as follows:
He calculated that the annual application of $7,200,000 to the payment of interest and principal would pay off about thirty-eight millions of the debt in eight years, and, fixing this as his standard, he proposed to make the other departments content themselves with whatever they could get as the difference between $7,200,000 and the revenue estimated at $9,800,000. On these terms alone he would consent to part with the internal revenue, which produced about $650,000. This, however, seems to have been beyond his power. Few finance ministers have ever pressed their economies with more perseverance or authority than Mr. Gallatin, but he never succeeded in carrying on the government with so much frugality as this, and the sketch seems to indicate what the Administration would have liked to do, rather than what it did. The report of the Secretary of the Treasury a month later shows that he had been obliged to modify his plan. As officially announced, it was as follows:
The problem of repealing the internal taxes was therefore not yet settled, and it is not very clear on the face of the estimates how it would be possible to effect this object. Mr. Gallatin expected to do it by economies in the military and naval establishments by which he should save the necessary $650,000. It is worth while to look forward over his administration and to see how far this expectation was justified, in order to understand precisely what his methods were. His first step, as already noticed, was to fix the rate at which the debt should be discharged. This rate was ultimately represented by an annual appropriation of $7,300,000, which at the end of eight years, according to his first report, would pay off $32,289,000, and leave $45,592,000 of the national debt, and within the year 1817 would extinguish that debt entirely. This sum of $7,300,000 was therefore to be set aside out of the revenue as the permanent provision for paying the principal and interest of the debt. Of the residue of income, which, without the internal taxes, was estimated at about $2,700,000, the civil expenditure was to require one million, the army and navy the remainder. But the tables of actual expenditure show a very different result:
From these figures it appears that Mr. Gallatin’s proposed economies were never realized, and that his results must have been attained by other means. The average expenditure on the navy during these ten years was $1,600,000 a year. Instead of establishments costing $2,700,000, the average annual expenditure Nevertheless, the internal duties were abolished as one of the The final adjustment of this difficulty, therefore, took a simple shape. Mr. Gallatin obtained his fund of $7,300,000 for discharging principal and interest of the debt. This was what he afterwards called his “fundamental substantial measure,” which was intended to affirm and fix upon the government the principle of paying its debt and of thus separating itself at The letter on the management of the sinking fund, mentioned in the above extract, will be found in the American State Papers Nevertheless, it would be very unjust to Mr. Gallatin to imagine that his interest in the government was limited to payment of debt or to details of financial management. He was no doubt a careful, economical, and laborious financier, and this must be understood as the special field of his duty, but he was also a man of large and active mind, and his Department was charged with interests that were by no means exclusively financial. One of these interests related to the public lands. As has been already seen, the public land system was organized under the previous Administrations, but it took shape and found its great development in Mr. Gallatin’s hands. When the Administration of Mr. Jefferson came into power there were sixteen States in the Union, all of them, except Kentucky and Tennessee, lying on or near the Atlantic seaboard; at that time the Mississippi River bounded our territory to the westward, and the 31st parallel, which is still the northern line of portions of the States of Florida and Louisiana, was our southern boundary until it met the Mississippi. The public lands lay therefore in two great masses, divided by the States of Kentucky and Tenneesee; At the same time he took in hand the affairs of the North-Western Territory. The more eastern portion of this vast domain had already a population sufficient to entitle it to admission as a State, and the subject came before Congress on the petition of its inhabitants. It was referred to a select committee, of which Mr. William B. Giles was chairman, and this committee in February, 1802, made a report based upon and accompanied by a letter from Mr. Gallatin. The details of organization of the land system belong more properly to the history of the new Territories and States than to a biography. These were the great points of public policy on which Mr. Gallatin’s mind was engaged during his first year of office, and it is evident that they were enough to absorb his entire attention. The mass of details to be studied and of operations to be learned or watched completely weighed him down, and caused him ever to look back upon this year as the most laborious of his life. The mere recollection of this labor afterwards made him shrink from the idea of returning to the Treasury when it was again pressed upon him in later years: “To fill that office in the manner I did, and as it ought to be filled, is a most laborious task and labor of the most tedious kind. To fit myself for it, to be able to understand thoroughly, to embrace and to control all its details, took from me, during the two first years I held it, every hour of the day and many of the night, and had nearly brought a pulmonary complaint.” It was at this period of his life that Gilbert Stuart painted the portrait, an engraving of which faces the title-page of this volume. Mrs. Gallatin always complained that her husband’s features were softened and enfeebled in this painting until their character was lost. Softened though they be, enough is left to show the shape and the poise of the head, the outlines of the features, and the expression of the eyes. Set side by side with the heads of Jefferson and Madison, this portrait suggests curious contrasts and analogies, but, looked at in whatever light one will, there is in it a sense of repose, an absence of nervous restlessness, mental or physical, unusual in American politicians; and, unless Stuart’s hand for once forgot its cunning, he saw in Mr. Gallatin’s face a capacity for abstraction and self-absorption often, if not always, associated with very high mental power; an habitual concentration within himself, which was liable to be interpreted as a sense of personal superiority, however carefully concealed or controlled, and a habit of judging men with judgments the more absolute because very rarely expressed. The faculty of reticence is stamped on the canvas, although the keen observation and the shrewd, habitual caution, so marked in the long, prominent nose, are lost in the feebleness of the mouth, which never existed in the original. Mr. Gallatin lived to have two excellent portraits taken by the daguerreotype process. Students of character will find amusement in comparing these with Stuart’s painting. Age had brought out in strong relief the shrewd and slightly humorous expression of the mouth; the most fluent and agreeable talker of his time was still the most laborious analyzer and silent observer; the consciousness of personal superiority was more strongly apparent than ever; In person he was rather tall than short, about five feet nine or ten inches high, with a compact figure, and a weight of about one hundred and fifty pounds. His complexion was dark; his hair black; but when Stuart painted him he was already decidedly bald. His eyes were hazel, and, if one may judge from the painting, they were the best feature in his face. Of his social life, his private impressions, and his intimate conversation with the persons most in his confidence at this time, not a trace can now be recovered. Rarely separated from his wife and children, except for short intervals in summer, he had no occasion to write domestic letters, and his correspondence, even with Mr. Jefferson, was for the most part engrossed by office-seeking and office-giving. After some intermediate experiment he at last took a house on Capitol Hill, where he remained through his whole term of office. When the British army entered Washington in 1814, a shot fired from this house at their general caused the troops to attack and destroy it, and even its site is now lost, owing to the extension of the Capitol grounds on that side. It stood north-east of the Capitol, on the Bladensburg Road, and its close neighborhood to the Houses of Congress brought Mr. Gallatin into intimate social relations with the members. The principal adherents of the Administration in Congress were always on terms of intimacy in Mr. Gallatin’s house, and much of the confidential communication between Mr. Jefferson and his party in the Legislature passed through this channel. Nathaniel Macon, the Speaker; John Randolph, the leader of the House; Joseph H. Nicholson, one of its most active members; Wilson Cary Nicholas, Senator from Virginia; Abraham Baldwin, Senator from Georgia, and numbers of less influential leaders, were constantly here, and Mr. Gallatin’s long service in Congress and his great influence there continued for some years to operate in his favor. But the communication was almost entirely oral, and hardly a trace of The adjournment of Congress on May 3, 1802, left the Administration at leisure to carry on the business of government without interruption. Mr. Gallatin immediately afterwards took his wife and family to New York, where, as now became their custom, they passed the summer with Commodore Nicholson, and where Mr. Gallatin himself was in the habit of joining them during the unhealthy season of the Washington climate, when the Administration usually broke up. “Grumble who will,” wrote Mr. Jefferson, “I will never pass those months on tidewater.” Leaving his wife in New York, Mr. Gallatin returned to his work at Washington. On these journeys he usually stopped at Baltimore to visit the Nicholsons, and at Philadelphia to see Mr. and Mrs. Dallas. The society of Washington was small and intimate, but seems to have had no very strong hold over him. He was much in the habit, when left alone there, of dining informally with Mr. Jefferson and Mr. Madison. General Dearborn’s family was in close relations with his, and the Laws, who were now at Mount Vernon, were leaders of fashionable society. But his residence at Washington was saddened in the month of April of this year, by the loss of an infant daughter, a misfortune followed in 1805 and 1808 by two others almost precisely similar, which tended to throw a dark shadow over the Washington life and to make society distasteful. His close attention to business seems at this time to have affected his health, and the absence of his family still more affected his spirits. He worked persistently to get the business of his office into a condition that would enable him to rejoin his wife for a time, and almost the only glimpse of society his letters furnish is contained in the following extract, which has a certain interest as characteristic of his political feelings: GALLATIN TO HIS WIFE. Washington, 7th July, 1802. ... Monday all the city, ladies and gentlemen, dined in a tent near the navy yard; we were about 150 in company. I suppose every one enjoyed it as’ his spirits permitted; to me it looked very sober and dull. Indeed, dinners of a political cast cannot, in the present state of parties, be very cheerful unless confined to one party. It is unfortunate, but it is true. I had another cause which damped my spirits. We were in an enclosure formed with sails stretched about six feet high, and some marines were placed as sentries to prevent intrusion; for the arrangements had been made by Burrows and Tingey. The very sight of a bayonet to preserve order amongst citizens rouses my indignation, and you may judge of my feelings when I tell you that one of the sentries actually stabbed a mechanic who abused him because he had been ordered away. The bayonet went six inches in his body and close to his heart. He is not dead, but still in great danger, and the marine in jail. Such are the effects of what is called discipline in times of peace. The distribution of our little army to distant garrisons where hardly any other inhabitant is to be found is the most eligible arrangement of that perhaps necessary evil that can be contrived. But I never want to see the face of one in our cities and intermixed with the people. The mammoth cheese was cut on Monday; it is said to be good; I found it detestable. At length he succeeded in getting away, but was obliged to return in August, and his letters became wails of despair, in which there was always a little mingling of humor. The following is a specimen: GALLATIN TO HIS WIFE. Washington, August 17, 1802. ... As to myself I cannot complain, but yet am as low-spirited as before; it will never do for me to keep house apart from you 24th August, 1802. ... Nothing but the hope of seeing you soon has kept in any degree my spirits from sinking. Whether in the plains or over the hills, whether in city or in retreat, I cannot live without you. It is trifling with that share of happiness which Providence permits us to enjoy to be forever again and again parted. I am now good for nothing but for you, and good for nothing without you; you will say that anyhow I am not good for much; that may be, but such as I am, you are mine, and you are my comfort, my joy, and the darling of my soul. Now do not go and show this to Maria; not that I am ashamed of it, for I glory in my love for you; but she will think my expressing myself that way very foolish, and I am afraid of her. Early in October, 1802, they were again in Washington, and Mr. Gallatin resumed work with more philosophy. The rest of the Cabinet gradually assembled. When the time came for the Secretary of the Treasury to make his annual report to Congress, he was able to say, as the result of his first year’s administration, that the revenue from import duties, instead of $9,500,000 as he In his notes on the draft of Mr. Jefferson’s annual message, Mr. Gallatin’s criticisms this year seem to express the satisfaction he doubtless felt at the success they had met. Mr. Jefferson’s weakest side was his want of a sense of humor and his consequent blind exposure to ridicule. Mr. Gallatin himself now and then ventured to indulge a little of his own sense of humor at the cost of his chief, as, for instance, when he criticised the first paragraph of this message as follows: “As to style, I am a bad judge; but I do not like in the first paragraph the idea of limiting the quantum of thankfulness due to the Supreme Being, and there is also, it seems, too much said of the Indians in the enumerations of our blessings in the next sentence.” But occasionally he flatly opposed Mr. Jefferson’s favorite schemes, and it is curious to notice the results in some of these cases. This year, in regard to Mr. Jefferson’s famous recommendation of dry-docks at Washington, Mr. Gallatin’s note said: “I am in toto against this recommendation, 1st, because, so long as the Mediterranean war lasts, we will not have any money to spare for the navy; and 2d, because, if dry-docks are necessary, so long as we have six navy-yards, it seems to me that a general recommendation would be sufficient, leaving the Legislature free either to designate the place or to trust the Executive with the selection.” This was certainly travelling out of his own department into the bounds of another, and Mr. Jefferson adhered to his dry-docks in spite of Mr. Gallatin, who told him that the scheme would not command thirty votes in Congress; and this turned out to be the case. 1801-1813. But the Mediterranean war was Mr. Gallatin’s great annoyance at present. His letters to Mr. Jefferson show how persistently he pressed his wish for peace. In one, dated August 16, 1802, he said: “I sincerely wish you could reconcile it to yourself to empower our negotiators to give, if necessary for peace [with Tunis, Tripoli, and Morocco], an annuity to Tripoli. I consider it no greater disgrace to pay them than Algiers. And, indeed, we share the dishonor of paying those barbarians with so many nations as powerful and interested as ourselves, that, in our present situation, I consider it a mere matter of calculation whether the purchase of peace is not cheaper than the expense of a war, which shall not even give us the free use of the Mediterranean trade.... Eight years hence we shall, I trust, be able to assume a different tone; but our exertions at present consume the seeds of our greatness and retard to an indefinite time the epoch of our strength.” But the Tripolitan war and the difficulties with Morocco were soon thrown into the shade by events of a much more serious kind, which threatened to break down Mr. Gallatin’s arrangements in a summary way. In the course of the summer of 1802 it had become known that France, by a secret treaty, had acquired Louisiana from Spain, and had determined to take possession of that province. While our minister in Paris was reporting the progress of the movements which were to place a French army across the stream of the lower Mississippi, our government received information in October that the Spanish intendant at New Orleans had interdicted the right of deposit for merchantdise which had hitherto been enjoyed there by our citizens. Kentucky and Tennessee were exasperated at this step, and there was some danger that they might begin a war on their own account. The Administration at once took measures to guard against these perils, so far as was possible. A confidential message was sent to the Senate on January 11, containing the nomination of Mr. Monroe to act with Mr. Livingston, then minister in Paris, as special commissioners for the purchase of the eastern bank of the Mississippi. Another confidential message had been previously sent to the House, which debated upon it in secret session. What passed there is briefly mentioned by Mr. Gallatin After a few months of anxiety and silent preparation, the Administration had the profound satisfaction to see this storm disappear as suddenly as it had risen. The renewal of war between England and France led the First Consul not to accept the American offer to purchase Louisiana from the Mississippi to Pensacola, but to propose the sale of all Louisiana, which then embraced the whole western bank of the Mississippi from its source to the Gulf of Mexico. This idea was naturally accepted with eagerness by the Administration, and even Mr. Gallatin seems to have felt for once no hesitation about increasing the national debt, a necessary consequence of the purchase. 1803. The session, however, did not pass away without producing an attack upon Mr. Gallatin’s management of the Treasury. This attack was not a very serious one, nor is it one that either then or now could be made interesting. The Federal party, which had created the United States Bank, viewed with jealousy the course pursued by the Administration towards that institution. Mr. Jefferson’s letters, in fact, show a deep and not very intelligent hostility to the bank. On the 7th October, 1802, he wrote to Mr. Gallatin that he should make a judicious distribution of his favors among all the banks, since the stock of the United States Bank was held largely by foreigners, and “were the Bank of the United States to swallow up the others and monopolize the whole banking business of the United States, which the demands we furnish them with tend shortly to favor, we might, on a misunderstanding with a foreign power, be immensely embarrassed by any disaffection in that bank.” On the 12th July, 1803, he renewed this proposition from another stand-point: “I am decidedly in favor of making all the banks republican by sharing deposits among them in proportion to the dispositions they show. If the law now forbids it, we should The Federalists did not yet fully understand this fact, and they were disturbed at learning that Mr. Gallatin had sold, on account of the sinking fund, a certain number of bank shares in order to pay the Dutch debt. The shares were purchased by Alexander Baring under very favorable conditions, and the Federalists showed that they expected little from their motion by making it only on the last day of the session. At the same time Mr. Griswold, in an elaborate speech made on March 2, attacked the accounts of the sinking fund. The adjournment of Congress closed the second year of Mr. Jefferson’s Administration. With the exception of that Louisiana anxiety, which another month was to clear away, these two years had been marked by complete success. Never before had the country enjoyed so much peace, contentment, and prosperity. Mr. Gallatin himself had in these two years succeeded in making himself master of the situation; he was more powerful and more indispensable than ever; his financial policy was firmly established; his hold, both in Cabinet and in Congress, was undisputed; every day brought his projects nearer to realization, and every day relieved him from the absorbing labor which had made his first two years of office so burdensome. Nevertheless there was cause enough for anxiety. The approaching storm in Europe, which was to shake Louisiana into the President’s lap, brought with it dangers in regard to which the experience of Washington and John Adams would have been valuable to Mr. Jefferson had he only been willing to profit by it; but, over-confident in the virtue of his theories, he, as his correspondence shows, was firmly convinced that he could balance himself between the two mighty powers which had dealt so rudely with his predecessors, and it was a cardinal principle with the Republican party that our foreign relations were endangered only by the faults of Federalism, and were safe only in Republican hands. “I do not believe,” wrote Mr. Jefferson on July 11, 1803, “we shall have as much to swallow from them as our predecessors had.” “We think,” he wrote on the next day, “that peaceable means may be devised of keeping nations in the path of justice towards us, by making justice their interest, and injuries to react on themselves.” This was the very point to be proved, and on the result of this theoretical doctrine was to depend the fate of Mr. Jefferson’s Administration and of Mr. Gallatin’s financial hopes. Besides this grave danger, which was destined steadily to take more and more serious proportions, there were smaller political Mr. Jefferson seems to have followed this advice and to have suppressed the proposed letter. THOMAS McKEAN TO ALEXANDER J. DALLAS. Lancaster, 16th October, 1803. Dear Sir,—Your friendly letter of the 14th has been read with pleasure. I am much obliged to the kind sentiments of my friends in thinking me a suitable character to be proposed as a candidate for the dignified station of Vice-President of the United States, but must absolutely decline that honor. The office of Governor of Pennsylvania satisfies my ambition, and it has been conferred in such a manner, at two elections, that the people are endeared to me; indeed, it appears to me that I am engaged to continue in this distinguished character the constitutional term, if it shall be the desire of my fellow-citizens. I am now descending in the vale of years, and am satisfied with my share of honors; that of President of the United States in Congress Be so good as to pay my most respectful compliments to the President, to Messrs. Madison, Gallatin, Dearborn, Granger, etc., and compliments to all mine and your friends. Farewell and prosper. Adieu. Mr. Jefferson’s party required very delicate handling. Embracing, as it did, materials of the most discordant kind, schism was its normal condition. Between the purity of Madison and Gallatin and the selfishness and prejudice of the local politicians, Mr. Jefferson was obliged to make what compromise he could; but while with quiet determination he drove Burr out of the party, he tolerated Duane and Leib with extraordinary patience. There were very strong reasons which justified or excused his treatment of Burr; particularly the position of heir-apparent, which the Vice-President occupied, made it necessary either to recognize or reject his claims, and Mr. Jefferson did not hesitate to reject them. Whether his treatment of Duane was to be So long as Virginia remained steady the Administration had little to fear, and as yet there was no sign of schism in the Virginia ranks. Of all the Virginia members John Randolph was the most prominent, and his support was firm. Mr. Gallatin and he were on the most intimate terms, and since Gallatin’s letters to him are lost, some of his letters to Gallatin may be worth inserting, to show their relations together: JOHN RANDOLPH TO GALLATIN. Bizarre, 9th April (27th year), 1803. Dear Sir,—When your letter arrived I was from home, and, ours being a weekly post, my reply is necessarily delayed longer than I could wish. Mr. Griswold’s first objections to the report of the commissioners of the sinking fund are (if in existence, which I very much doubt) among other loose papers which I left in Georgetown. The paragraph which you enclose differs from most which have appeared of late in a certain description of prints, in this, that it contains some truth. But, as it is resorted to only to serve as the vehicle of much falsehood, it is proper that a correct statement should go forth to the public of this singular transaction. If I mistake not, the printing of the report of the sinking fund was considerably delayed. Be that as it may, when Mr. Griswold moved to commit it to the Ways and Means he specified no objection; he barely said that there were some parts which required explanation; but, as all documents of that sort are of course committed to that committee, there was no occasion for any reasoning to induce the House to agree to such a motion. The resolution which he afterwards drafted, and which he showed to me, was, I believe, couched in the very terms of that which was passed by the House, the words “in fact” excepted, which at my suggestion he expunged, since he declared that he had no intention to criminate the Treasury and doubted not that everything could and would be satisfactorily explained. I then proposed to him to reduce his objections to writing. They consisted And now, dismissing this miserable race of cavillers and My health is fluctuating; the weather is raw and the spring a month behindhand. Moreover, we have had but one rain, and that moderate, since the last snow on the 8th March. Of course I am vaporish and gouty. Adieu. Yours truly. P.S.—Smith should make a statement “by authority” in his paper conformably with the within. At an election at Charlotte C. H. on Monday last, J. Randolph had 717 votes, C. Carrington 2. JOHN RANDOLPH TO GALLATIN. Bizarre, 4th June, 27th year [1803]. Dear Sir,—Having sustained an injury in my hand, I have been for some time debarred the use of my pen. The first exercise of my recovered right shall be to thank you for your last very friendly and acceptable letter. Nothing can be more clear and satisfactory than Bayard’s answer to himself, according to your statement of it. But I cannot help suspecting a difference between the printed speech and the original, not at all to the advantage of the latter. I am unwilling to believe that he was guilty of so gross an absurdity (in debate), because I am unwilling to believe that we were guilty of yet grosser stupidity, even after making every allowance for being worried down with fatigue. Such a thing might have escaped me, and perhaps Nicholson; but that General Smith should fail to detect it appears incredible. So far, however, from overdosing me with the bank stock, as you seem to apprehend, it is evident you have not given me quantum suff. You have seen the result of our elections. Federal exultation has, however, received a severe check in those of New York. Indeed, I do not conceive the event here to be indicative of any change in the public sentiment. The elections, with a single exception, have been conducted on personal rather than on party motives. Brent completely defeated himself, and, although I love the man, I cannot very heartily lament his ill success. By the way, I think you wise men at the seat of government have much to answer for in respect to the temper prevailing around you. By their fruit shall ye know them. Is there something more of system yet introduced among you? or are you still in chaos, without form and void? Should you have leisure, give me a hint of the first news from Mr. Monroe. After all the vaporing, I have no expectation of a serious war. Tant pis pour nous. You ask if I have seen Rennell’s new map of North Africa? forgetting that I live out of the light of anything but the sun; and he has not condescended to shine, but at short intervals, for a fortnight. I suppose it is the map which he compiled from Parke’s Travels. Do you recollect my suggesting to you, soon after the work came out, a suspicion that the Niger was the true Nile? and your determining that he should be swallowed up in the sands of the desert, which we carried into instant execution. Present me most sincerely, and permit me to add, affectionately, to Mrs. Gallatin, and believe me, dear sir, most truly yours. P.S.—I address this to Washington, where it will be put in train to reach you. I sincerely hope it will find you much recruited by the wise step which you have taken. 1803. The Louisiana treaty threw on Mr. Gallatin a new class of duties. He had to make all the arrangements not only for payment of the purchase-money to France, but for the modifications of his financial system which so large and so sudden an emergency required. Fortunately, Alexander Baring was the person with whom he had principally to deal in regard to payments, Congress was called together in October on account of the Louisiana business. It is curious to notice how, in his comments on this year’s message, Mr. Gallatin gently held the President back from every appearance of hostility to England and of overwarm demonstrations towards Bonaparte, and how he still talked of economies in the Navy Department to supply some of his financial deficiencies, though this resource was already mentioned only as a desirable possibility. In fact, Congress was about to abandon the attempt at further economy in that Department, and in order to relieve the Treasury the Mediterranean fund was now created for naval expenses. Mr. Gallatin had to look for his resources elsewhere. The financial problem was to provide for the new purchase and its consequent expenditure without imposing new taxes. The point was a delicate one, and was managed by Mr. Gallatin as follows: The purchase-money for Louisiana was $15,000,000. Of this sum, $11,250,000 was paid in new six per cent. stock. There was specie enough in the Treasury to pay $2,000,000 more; and Mr. Gallatin requested authority to borrow the remaining $1,750,000 at six per cent. The consequent increase of annual interest on the debt, including commissions and exchange, he estimated at $800,000. To provide this he counted on an increase of revenue from imposts and lands, as indicated by the returns for the past year, equal to $600,000, and an income of $200,000 from Louisiana. An annual appropriation of $700,000 was to be set aside for the interest on the $11,250,000 new stock, and added to the permanent appropriation of $7,300,000; so that in future $8,000,000 should be annually applied to payment of interest and principal of the debt, thus preserving the ratio of reduction already established. Perhaps as a matter of fact the success of Mr. Gallatin in avoiding new taxes was rather apparent than real. Had he been able to carry out his economies in the navy, he might indeed have avoided taxation, but this was fairly proved impossible, and the confession of a failure here was only evaded by the fiction of creating a temporary fund for extraordinary naval purposes, which allowed the supposed regular naval expenditure to be estimated at Mr. Gallatin’s figures. This was obviously in the nature of a compromise between the Treasury and the Navy, but it was not the less a real increase of taxation, and, as events proved, a permanent increase. The capture of the frigate Philadelphia by the Tripolitans was, it is true, the immediate occasion for this tax, but not its cause; this lay much deeper, and, as Mr. Gallatin’s letters clearly show, was the result of a failure in the attempt at economy in the navy. Even at the last hour, however, the Administration was alarmed by the fear that Louisiana might after all be lost; the protest of Spain against the sale gave reason to doubt whether she would consent to surrender the province. Here again Mr. Gallatin of his own accord urged increased expenditure, and actively pressed the collection and movement of troops to take possession by force if the Spanish government should resist. Fortunately, the alarm proved to be unnecessary: Louisiana was promptly handed over to the French official appointed for the purpose, and by him to General Wilkinson and Governor Claiborne; the troops were stopped on their march from Tennessee and ordered home, and all that remained to be done was to incorporate the new territory in the old, and to settle its boundaries with Spain. The process of incorporation, however, brought into prominence a very serious constitutional question, which had already been elaborately argued in the Cabinet. Had the Constitution given to the President and Congress the right to do an act of this transcendent importance, an act which could not but result in immense and incalculable changes in the relations between the States who were the original parties to the constitutional compact; an act which could only rest on a prodigious extension of the treaty-making power, such as would legalize the annexation of Mexico “To me it would appear, 1st. That the United States as a nation have an inherent right to acquire territory. “2d. That whenever that acquisition is by treaty, the same constituted authorities in whom the treaty-making power is vested have a constitutional right to sanction the acquisition. “3d. That whenever the territory has been acquired, Congress have the power either of admitting into the Union as a new State, or of annexing to a State with the consent of that State, or of making regulations for the government of such territory. “The only possible objection must be derived from the 12th amendment, which declares that powers not delegated to the United States nor prohibited by it to the States are reserved to the States or to the people. As the States are expressly prohibited from making treaties, it is evident that if the power of acquiring territory by treaty is not considered within the meaning of the amendment as delegated to the United States, it must be reserved to the people. If that be the true construction of the Constitution, it substantially amounts to this, that the United States are precluded from and renounce altogether the enlargement of territory; a provision sufficiently important and singular to have deserved to be expressly enacted. Is it not a more natural construction to say that the power of acquiring territory is delegated Mr. Jefferson, it is needless to say, was not convinced by this reasoning. He mildly replied: “I think it will be safer not to permit the enlargement of the Union but by amendment of the Constitution.” The same fate attended Mr. Jefferson’s vehement remonstrances against the establishment of a branch bank of the United States at New Orleans, an object which Mr. Gallatin considered as of the highest importance and one which he was actively engaged in carrying into effect. Mr. Jefferson, however, wrote to him on the 13th December, 1803, in the strongest language against this plan: “This institution is one of the most deadly hostility existing against the principles and form of our Constitution.... What an obstruction could not this bank of the United States, with all its branch banks, be in time of war? It might dictate to us the peace we should accept, or withdraw its aids. Ought we then to give further growth to an institution so powerful, so hostile?” And he went on to give his own views as to the proper course for government to follow, which was in fact very nearly the plan ultimately realized in the form of a sub-treasury. Mr. Gallatin, however, attached no great weight to these arguments; he wrote back on the same day: “I am extremely anxious to see a bank at New Orleans; considering the distance of that place, our own security and even that of the Mr. Jefferson again yielded, and Mr. Gallatin procured the passage of an Act of Congress authorizing the establishment of a branch bank at New Orleans. Meanwhile Governor Claiborne had undertaken to establish a bank there by his own authority. When the news of this proceeding reached Mr. Gallatin he was very angry, and wrote to Mr. Jefferson at once on April 12, 1804, sharply condemning Governor Claiborne for this unauthorized act, which, he added, “will probably defeat the establishment of a branch bank which we considered of great importance to the safety of the revenue and as a bond of union between the Atlantic and Mississippi interests.” Apparently, therefore, Mr. Gallatin believed that he had entirely converted his chief; in reality the conversion was only one more example of that capacity for yielding his own prejudices to the weight of his advisers, which made Mr. Jefferson so often disappoint his enemies and preserve the harmony of his party. On the whole, this third year of the Administration closed not less satisfactorily than its predecessors, and Congress adjourned without anxiety after carrying into effect all the measures which Mr. Gallatin had at heart. So far as he was concerned, hardly a lisp of discontent was heard, except, perhaps, among the followers of Duane and Leib. By them he was accused of wishing to build up a third party by the patronage of the Treasury, a charge which meant only that he had refused to put his patronage at their disposal. The summer again found Mr. Gallatin at Washington, alone, discontented, and occupied only with the details of Treasury GALLATIN TO HIS WIFE. Washington, 6th June, 1804. ... I have received an exquisite intellectual treat from Baron Humboldt, the Prussian traveller, who is on his return from Peru and Mexico, where he travelled five years, and from which he has brought a mass of natural, philosophical, and political information which will render the geography, productions, and statistics of that country better known than those of most European countries. We all consider him as a very extraordinary man, and his travels, which he intends publishing on his return to Europe, will, I think, rank above any other production of the kind. I am not apt to be easily pleased, and he was not particularly prepossessing to my taste, for he speaks more than Lucas, Finley, and myself put together, and twice as fast as anybody I know, German, French, Spanish, and English, all together. But I was really delighted, and swallowed more information of various kinds in less than two hours than I had for two years past in all I had read or heard. He does not seem much above thirty, gives you no trouble in talking yourself, for he catches with perfect precision the idea you mean to convey before you have uttered the third word of your sentence, and, exclusively of his travelled acquirements, the extent of his reading and scientific knowledge is astonishing. I must acknowledge, JOHN RANDOLPH TO GALLATIN. Bizarre, 14th October, 1804. 29th Ind. On my return from Fredericksburg after a racing campaign, I was very agreeably accosted by your truly welcome letter; to thank you for which, and not because I have anything (stable news excepted) to communicate, I now take up the pen. It is some satisfaction to me, who have been pestered with inquiries that I could not answer on the subject of public affairs, to find that the Chancellor of the Exchequer and First Lord of the Treasury is in as comfortable a state of ignorance as myself. Pope says of governments, that is best which is best administered. What idea, then, could he have of a government which was not administered at all? The longer I live, the more do I incline to somebody’s opinion, that there is in the affairs of this world a mechanism of which the very agents themselves are ignorant, and which, of course, they can neither calculate nor control. As much free will as you please in everything else, but in politics I must ever be a necessitarian. And this comfortable doctrine saves me a deal of trouble and many a twinge of conscience for my heedless indolence. I therefore leave Major Jackson and his Ex. of Casa Yrujo to give each other the lie in Anglo-American or Castilian fashions, just as it suits them, and when people resort to me for intelligence, instead of playing the owl and putting on a face of solemn nonsense, I very fairly tell them with perfect nonchalance that I know nothing of the matter,—from which, if they have any discernment, they may infer that I care as little about it,—and then change the subject as quickly as I can to horses, dogs, the plough, or some other upon which I feel myself competent to converse. In short, I like originality too well to be a second-hand politician when I can help it. It is enough to live upon the broken victuals and be tricked out in the cast-off finery of you first-rate statesmen all the winter. When I cross the Potomac, I leave On the subject of Louisiana you are also apprised that my sentiments coincide with your own; and it is principally because of that coincidence that I rely upon their correctness. But as we have the misfortune to differ from that great political luminary, Mr. Matthew Lyon, on this as well as on most other points, I doubt whether we shall not be overpowered. If Spain be “fallen from her old Castilian faith, candor, and dignity” it must be allowed that we have been judicious in our choice of a minister to negotiate with her; and Louisiana, it being presumable, partaking something of the character which distinguished her late sovereign when she acquired that territory, the selection of a pompous nothing for a governor will be admitted to have been happy. At least, if the appointment be not defensible upon this principle, I am at a loss to discover any other tenable point. In answer to your question I would advise the printing of ... thousand copies of Tom Paine’s answer to their remonstrance and transmitting them by as many thousand troops, who can speak a language perfectly intelligible to the people of Louisiana, whatever that of their governor may be. It is, to be sure, a Pray look to the “ways and means” of entertainment for man and horse against the assembling of our annual mob. Here we have no bilious fevers, and although I shall enjoy your geographical treat I shall require more substantial food. Because I had nothing to say, I have prattled through four pages; like a quondam fellow-laborer of ours, who seemed to speak not to express his ideas, but to gain time to acquire some. The general election of November, 1804, proved the strength of the Administration in a more emphatic manner than even its friends had counted upon. Mr. Jefferson received an almost unanimous electoral vote. In Pennsylvania, however, there was little satisfaction over the result; the schism there became more and more serious, and on the 16th October, 1804, Mr. Dallas could only write to Mr. Gallatin: “Thank Heaven, our election is over! The violence of Duane has produced a fatal division. He seems determined to destroy the Republican standing and usefulness of every man who does not bend to his will. He has attacked me as the author of an address which I never saw till it was in the press. He menaces the governor. You have already felt his lash. And I think there is reason for Mr. Jefferson himself to apprehend that the spirit of Callender survives.” 1805. Again Congress came together, and for the fourth time the President was able to draw a picture of the political situation The usual reaction which follows general elections followed that of 1804, and the Administration escaped attack in the following session of 1804-05, which was chiefly devoted to the trial of Judge Chase. Whether Mr. Gallatin had anything to do with influencing the result of this trial is unknown. A curious mystery has always hung and probably always will hang over the share which Mr. Jefferson’s Administration had in affecting the decision of the Senate by which Judge Chase was acquitted. Probably, however, the schism which was taking place in Pennsylvania on this same point of impeachments had an immediate effect on the party at Washington and cooled its eagerness for conviction. Perhaps Mr. Gallatin’s feelings may be partly reflected in a letter from his friend Mr. Dallas, who was now acting as counsel for the impeached Pennsylvania judges. This letter, it will be noticed, was written while the trial of Judge Chase was going on, and only a few days before Mr. Dallas was called to Washington to give his testimony before the Senate. A. J. DALLAS TO GALLATIN. Lancaster, 16th January, 1805. My dear Sir,—I thank you for your friendly letter, but I regret that it expresses a depression on public business which I have long felt. It is obvious to me that unless our Administration take decisive measures to discountenance the factious spirit that has appeared, unless some principle of political cohesion can be introduced into our public councils as well as at our elections, and unless men of character and talents can be drawn from professional and private pursuits into the legislative bodies of our governments, federal and State, the empire of Republicanism will moulder into anarchy, and the labor and hope of our lives ... The argument on our impeachment will close to-day, and the decision will probably be given to-morrow or Monday. The Aurora man has been here during the trial, with all his audacity, intrigue, and malevolence. I think, however, he will fail. A cause more deserving of success than that of the judges never was discussed, and I am confident that there will be an acquittal.... The letter in which Mr. Gallatin expressed his depression is lost, but there was more than one cause to justify it. However annoying the condition of Pennsylvania politics might be, the greatest actual danger to be feared from it was that it might spread into national politics and find leaders in Congress. The conduct of John Randolph already suggested an alliance between him and Duane that might paralyze the Administration and ruin the Republican party. This alliance was foreshadowed not only by the fact that Randolph led the impeachment of Judge Chase in the spirit of Duane, but also by another still more extravagant display of Randolph’s temper which touched Mr. Gallatin personally. When the public lands came under Mr. Gallatin’s direction in 1801, he had been obliged to disentangle the State of Georgia, as well as he could, from a complication which she had herself created. One element in this tangle consisted in the corrupt sale by Georgia of certain lands, and her subsequent annulling these sales on the ground of her own corruption. The purchasers pressed their claims, and Mr. Gallatin with his fellow-commissioners, Madison and Lincoln, recommended a compromise by which five million acres were to be reserved in order to make a reasonable compensation for all claims, these as Mr. Gallatin remained impassive and his relations with Randolph were undisturbed. Randolph himself either had no clear idea what he was doing, or was indifferent to its consequences. One of his letters to Mr. Gallatin, written in October, 1805, is so judicial in its tone and expresses such proper sentiments about divisions in the party as to appear quite out of keeping with its writer and to suggest dissimulation, which was not at all in his character. But on one point the two men had strong sympathies: their concurrence of opinion on the management of the navy was a bond of union. The summer of 1805 brought matters to a crisis. Duane and his friends set up an opposition candidate to Governor McKean in the person of Simon Snyder, Speaker of the House, and carried the bulk of the party with them. Mr. Dallas and the conservative A. J. DALLAS TO GALLATIN. 4th April, 1805. ... The political part of your letter corresponds precisely with the ideas I entertain and have uniformly inculcated on the subject. The Aurora perverts everything, however, that can be said or done. The Legislature adjourns to-day. You have read the report; but I fear it will be followed by some wild, irregular step after the adjournment, aimed against the Governor as well as the Constitution. The evil of the day has obviously proceeded from the neglect of Dr. Leib’s official pretensions; and Duane’s assertions that he possesses the confidence and acts at the instance of the President will buoy him up on the surface for some time longer. While he has influence, the State, the United States, will never enjoy quiet. I hope therefore, and there is every reason to expect, that his present machinations will be exposed and defeated as a prelude to his fall.... JOHN RANDOLPH TO GALLATIN. Bizarre, June 28, 1805. ... I do not understand your manoeuvres at headquarters, nor should I be surprised to see the Navy Department abolished, or, in more appropriate phrase, swept by the board, at the next session of Congress. The nation has had the most conclusive proof that a head is no necessary appendage to the establishment.... GALLATIN TO BADOLLET. Washington, 25th October, 1805. ... Whilst the Republicans opposed the Federalists the necessity of union induced a general sacrifice of private views JOHN RANDOLPH TO GALLATIN. Bizarre, October 25, 1805. Dear Sir,—Your very acceptable letter reached me this morning, and I hasten to return you my thanks for it and to answer your very friendly inquiries after my health. It is much better than it has been for some months; so much so that I propose It is a great comfort to me to find that we entirely agree as to the causes of disunion in Pennsylvania. I have no interest in their local squabbles, except so far as they may affect the Union at large. In that point of view I have regretted the divisions of the Republican party in that great and leading State, well knowing that whichever side prevailed, Federalism must thereby acquire a formidable accession of strength. It now remains to be seen whether there is temper and good sense enough left among them to heal their animosities, or whether, as to Pennsylvania at present and speedily throughout the Union, we must acknowledge the humiliating position of our adversaries, “that the Republicans do not possess virtue and understanding enough to administer the government.” Perhaps the reconciliation which I speak of is more to be desired than hoped. Wiser heads and those better acquainted with the particular circumstances of the case than mine must determine whether this is to be effected by an act of mutual amnesty and oblivion, or by expelling in the first instance the rogues on both sides. That such there are is self-evident; though who they are is a much more difficult question. Unconnected as I am in that quarter, yourself excepted, it appears from what I can gather that there has been no want of indiscretion, intemperance, and rashness on either side. If the vanquished party have exceeded in these, it has been amply counterbalanced by dereliction of principle in the victors. I speak of chieftains. As to the body of the people, their intentions are always good, since it can never be their interest to do wrong. Whilst you in Pennsylvania have been tearing each other to pieces about a governor, we in Virginia, who can hardly find any one to accept our throne of the Mahrattas, have been quietly taking the goods the gods have provided us; enjoying the sports of the turf and the field. Which has the better bargain, think you? ... I regret exceedingly Mr. Jefferson’s resolution to retire, and almost as much the premature annunciation of that determination. It almost precludes a revision of his purpose, to say nothing of the intrigues which it will set on foot. If I were sure that Monroe would succeed him, my regret would be very much diminished. Here, you see, the Virginian breaks out; but, like the Prussian cadet, “I must request you not to make this known to the Secretary of the Treasury.” A. J. DALLAS TO GALLATIN. 21st December, 1805. My dear Sir,—In perfect confidence I tell you that Governor McK. has pressed me to accept the office of chief justice. This I have peremptorily declined. But I believe he means to appoint the present Attorney-General to that office; and I am again pressed to say whether I will accept the commission of Attorney-General. It is an office more lucrative, less troublesome, and infinitely less responsible than the one I hold. There are considerations, however, that make me pause. I am disgusted with the fluctuation of our politics, with the emptiness of party friendships, and with the influence of desperate and violent men upon our popular and legislative movements in the State business. I had determined never to think of State dependence. At this time, too, when the thunders of the Aurora are daily rolling over my head; when it is publicly asserted that I have lost the personal and political confidence of the Administration; a resignation would be perverted into a dismissal, and my succession to the office of Attorney-General would increase the clamors against Governor McKean. In this dilemma I repose myself on your friendship for information and advice. I do not want either office, but I am shocked at the idea of incurring the least disgrace under the sanction of an Administration which has had all my attachment and all my services. Tell me, therefore, what I ought to do by the return of the post. I do not wish you to enter into any detail of the grounds of your opinion, but let the opinion be explicit, and, if you please, let it be the result of a consultation with our friend Meanwhile, the fate of the Administration became every day more visibly involved in the management of foreign affairs. Mr. Jefferson’s theory, that the belligerents would not make him swallow so much as they had forced down the throats of his predecessors, was rapidly becoming more than questionable. England blockaded our ports and impressed our seamen; Spain refused to carry out her pledges of indemnification for illegal seizures of our ships, insisted upon limiting our Louisiana purchase to a mere strip of territory on the west bank of the Mississippi, and was supported by France in doing so. Mr. Jefferson was at this time impressed with the idea that he could balance one belligerent against another and could force Spain to recede by throwing himself into the arms of England. Under these circumstances, on the 7th August, 1805, he called upon the members of his Cabinet for their written opinions on the course to be pursued towards Spain. Mr. Gallatin’s reply, dated September 12, “It is probable that the greater part of that surplus will be applied to the formation of a navy; and if Congress shall decide in favor of that measure, I would suggest that the mode best calculated, in my opinion, to effect it, and so impress other This seems to have been sound Federalist doctrine so far as it went. Time and the growth of natural resources were gradually bringing Mr. Gallatin to a point not much behind the last Administration; had the Navy been in the hands of a stronger man it is not unlikely that the appropriation offered by Mr. Gallatin might now have been carried through Congress, but even in making the proposition Mr. Gallatin showed his sense of Mr. Robert Smith’s capacity by insisting that the money should be placed in the hands of commissioners. To judge from John Randolph’s expressions, he was at this time of the same opinion with Mr. Gallatin, both in regard to the navy and its Secretary. But Mr. Jefferson’s views, never heartily turned towards strong measures, soon changed. On the 23d October, 1805, he wrote to Mr. Gallatin that there was no longer any occasion for a hasty If there was anything in this rapid change of front on the part of Mr. Jefferson that argued vacillation of mind, it still amounted to the adoption of Mr. Gallatin’s views, and he seems to have so regarded it. Unfortunately, when Mr. Jefferson undertook to carry out his new policy he attempted the difficult task of concealing it under the cover of the old one; he wished, in other words, to combine the advantages of a war policy with those of a peace policy, and to escape the consequences of both, so far as risks were concerned. The success of the Louisiana purchase, two years before, now led him to repeat the experiment; the scheme in his mind was intended to be a close imitation of the course which had resulted in obtaining Louisiana; Spain was partly to be frightened, partly to be bribed, into the sale of Florida. Mr. Gallatin’s notes on the message of this year seem to indicate that it showed in the original draft more inconsistency than in its ultimate form. Mr. Jefferson spoke of war as probable, and recommended preparation for it,—organization of the militia, gun-boats, and land-batteries; he even gave a strong hint that he was ready to build ships of the line; yet at the same time he recommended the abandonment of the Mediterranean Fund which, as Mr. Gallatin pointed out, was necessary to provide for the purchase of Florida on their own scheme, or to impose upon Spain a sense of their being in earnest about war. This, however, was only the beginning. The plan of operations was intended to be an exact repetition of that which had been followed in the Louisiana case,—a public message to be The President’s first draft There was, however, a more serious difficulty, on which Mr. Gallatin did not dwell; the Administration was not in earnest. He had himself already pointed out what should be done if war were really contemplated. Half a dozen ships of the line, a few more frigates, and some regiments for the regular army were the only measures which Spain would respect. It is true that this policy would have been merely a repetition of that pursued by the last Administration towards France, but that policy had at least not been feeble. Mr. Jefferson should not have taken a “war posture” unless he was ready to do so with vigor. The confidential message was sent in on the 6th December, 1805, three days after the annual message. Its object as understood by Mr. Gallatin was “to inform Congress that France being disposed to favor an arrangement, the present moment should not be lost, but that the means must be supplied by Congress. It is also intended to say that in the mean while, and in The President had now carried out his part of the project. Both the public and secret messages were before the House; it remained for the House to echo back the wishes of the Administration, and on this score Mr. Jefferson seems to have felt no alarm, for he supposed himself to be asking merely an exact repetition of action taken only two years before in the Louisiana case. John Randolph had done then precisely what he was expected to do now. Mr. Gallatin, on the 7th December, wrote a note to Mr. Nicholson, and put the matter of the President’s resolutions in his hands. John Randolph called on the President the same day and made an appointment with him for a conversation the next morning. He has himself given an account of this interview. Full explanations were made to him, and Mr. Jefferson seems to have told him with perfect frankness all the views of the Administration. There was in fact, so far as Congress was concerned, nothing to conceal. “He then learned,” according to his account published under the signature of Decius, in the Richmond Enquirer, the following August, “not without some surprise, that an appropriation of two millions was wanted to purchase Florida. He told the President without reserve that he would never agree to such a measure, because the money had not been asked for in the message; that he could not consent to shift upon his own shoulders or those of the House the proper responsibility of the Executive; but that even if the money had been explicitly demanded he should have been averse to granting it, because, after the total failure of every attempt at negotiation, such a step would disgrace us forever. 1806. This opposition of Mr. Randolph endangered the whole scheme. Mr. Nicholson, who was second on the committee, was a close friend of Randolph, and more or less influenced by him, while the other members friendly to the Administration wanted the weight necessary to overbalance the chairman. Nevertheless it was impossible to recede. After waiting till the 21st December for Randolph to act, Mr. Nicholson seems to have interposed and in a manner obliged him to meet the committee. “As they were about to assemble,” says Decius, “the chairman (Randolph) was called aside by the Secretary of the Treasury, with whom he retired, and who put into his hands a paper headed ‘Provision for the purchase of Florida.’ As soon as he had cast his eyes on the title the chairman declared that he would not vote a shilling. The Secretary interrupted him by observing, with his characteristic caution, that he did not mean to be understood as recommending the measure, but, if the committee should deem it advisable, he had devised a plan for raising the necessary supplies, as he had been requested or directed in that case to do. The chairman expressed himself disgusted with the whole of the proceeding, which he could not but consider as highly disingenuous.” Not until January 3, 1806, did the committee report, and then its report provided only for a “war posture,” and not for purchase. The House now proceeded in secret session to debate the message, and then at last Mr. Randolph flung his bomb into the midst of his friends and followers. Seizing with considerable dexterity, but with extravagant violence, the really weak point in Mr. Jefferson’s message, he assailed the Administration, or at least its foreign policy, with the fury of a madman. The whole Administration phalanx was thrown into disorder and embittered to exasperation; the whole effect proposed from the negotiation was destroyed in advance; but the government was obliged to go on, and at last its propositions, in spite of Randolph, were carried through Congress. Although the actual struggle took place in secret session, Randolph lost no time in making his attack public, and it very soon became evident that the true object of his hostility was Mr. Madison. On the 5th March, in debating the non-importation The movement was an insidious one, calculated to sow distrust between Mr. Gallatin and Mr. Madison; but to judge from the tone of Mr. Randolph’s letters, even as far back as June, 1803, it was an understood fact with him and with Mr. Gallatin that the Administration wanted cohesion and co-operation, and it appears clearly enough that at least so far as the Navy Department was concerned, Mr. Gallatin made this a subject of repeated remonstrance to the President himself, although he never made complaint against Mr. Madison, and, as his correspondence shows, he was fully in harmony with the foreign policy pursued. Mr. Gallatin did what he could to correct the impression thus At the moment this was said, Mr. Gallatin was on the floor of the House, and Mr. Jackson, of Virginia, at once asked him whether it was true that such an application was made. He replied that it was not, and explained how the mistake arose. Mr. Jackson immediately took the floor and repeated his words, characterizing the charge that Mr. Madison had attempted to draw money out of the Treasury without the authority of law, as “destitute of truth and foundation,—mark the expression; I say it is destitute of truth,” evidently courting a quarrel. He took care, however, to relieve Mr. Gallatin of responsibility for these words, while, in order to establish the fact of denial, he caused a resolution of inquiry to be adopted by the House, which produced a categorical reply from Mr. Gallatin, “that no ‘application has been made to draw money from the Treasury before an appropriation made by law for that purpose.’ The circumstances which may have produced an impression that such an application had been made, being unconnected with any matter pertaining to the duties of the office of Secretary of the Treasury, are not presumed to come within the scope of the information required from this Department by the House. Meanwhile Mr. Gallatin had already taken measures to correct at its source the error to which Mr. Randolph was giving currency. This official denial and private correction of the story, afterwards made public in the shape of a letter from the New York member to his constituents, seem to be sufficient for the satisfaction of all parties. Still, the innuendo of Randolph was compromising to Mr. Gallatin, and was made the theme of long-continued attacks upon him. Five years afterwards, when Mr. Madison was President and Gallatin was in sore need of support, Mr. Jefferson wrote to William Wirt a letter warmly defending him in this matter as in others. He said, in taking up one by one the charges that Mr. Gallatin had been a party There are occasions when defence is worse than attack. If Mr. Jefferson thought that his Secretary of the Treasury wanted the moral courage to speak out at the risk of personal danger, there is no more to be said so far as concerns Mr. Jefferson; but in regard to Mr. Gallatin the suggestion seems to be completely set aside by two considerations: in the first place, the question put by Randolph was not founded, nor even alleged to be founded, on his own conversations with Mr. Gallatin, 1806 The truth is that Mr. Randolph at this time might have fought as many duels as there were days, had he wished to do so. Bitter as his tongue was, there were men enough who were not afraid either of it or of his pistols. Mr. Gallatin, on the other hand, was anxious that, if possible, Randolph should not be outlawed. Until March, 1807, at all events, he was chairman of the Ways and Means, and Mr. Gallatin’s relations with him must be maintained. More than this, there was absolutely no other member on the Administration side of the House who Nevertheless, this conduct of Mr. Randolph necessarily broke up the confidence existing between him and Mr. Gallatin, and although Randolph was never one of Mr. Gallatin’s declared enemies, but, on the contrary, always spoke of him as “that great man,—for great let me call him,” JEFFERSON TO GALLATIN. Washington, October 12, 1806. Dear Sir,—You witnessed in the earlier part of the Administration the malignant and long-continued efforts which the Federalists exerted in their newspapers to produce misunderstanding between Mr. Madison and myself. These failed completely. A like attempt was afterwards made through other Accept my affectionate salutations and assurances of my constant and unalterable respect and attachment. GALLATIN TO JEFFERSON. Washington, 13th October, 1806. Dear Sir,—In minds solely employed in honest efforts to promote the welfare of a free people there is but little room left for the operation of those passions which engender doubts and jealousies. That you entertained none against me I had the most perfect conviction before I received your note of yesterday. Of your candor and indulgence I have experienced repeated proofs; the freedom with which my opinions have been delivered has been always acceptable and approved, even when they may have happened not precisely to coincide with your own view of the subject and you have thought them erroneous. But I am not Much more, however, do I lament the injury which the Republican cause may receive from the divisions amongst its friends in so many different quarters. Sacrificing the public good and their avowed principles to personal views, to pride and resentment, they afford abundant matter of triumph to our opponents; they discredit at all events, and may ultimately ruin, the cause itself. But if we are unable to control the conflicting passions and jarring interests which surround us, they will not at least affect our conduct. The Administration has no path to pursue but to continue their unremitted attention to the high duties entrusted to their care, and to persevere in their efforts to preserve peace abroad, and at home to improve and invigorate our republican With sincere respect and grateful attachment. GALLATIN TO MARIA NICHOLSON. Washington. October 27, 1806. ... I had seen the piece in the “Enquirer” to which you allude before I left New York. To be abused and misunderstood by political friends of worth is not pleasant, but the great question in all those things is: Did you perform your duty, and did you, as far as you were able, promote the public good? For, worldly as you think me, rest assured that, however I may prize public opinion, it is not there that I seek for a reward. I suspect—but that is solely between ourselves—that some friends of John Randolph, mortified at his conduct and still more at its effect on his consequence, would wish to throw the blame of his excesses on me; and that, on the other hand, a weak friend of the President has felt hurt that my opinions had not in every particular coincided with the President’s. To those joint causes I ascribe the Virginia attack. Mr. Jefferson, thinking that I might be hurt by it, wrote me the enclosed letter.... It affords additional proof of the goodness of his heart, and shows that he is much above all those little squabbles.... In order to follow out to its conclusion this long story of John Randolph’s schism, it has been necessary to leave the larger questions of public interest far behind. Whatever misstatements of fact Randolph may have made, his opinion on one point was indubitably correct: Mr. Jefferson’s Spanish policy in 1805-6 was feeble, and it was a failure. It was feeble not because it proposed the purchase of Florida from France or from Spain, but because it threatened war without backing its Meanwhile, the affairs of Mr. Gallatin’s own Department had suffered no check or misfortune. His report of December, 1805, showed that the revenue had risen high above its highest previous mark, to $12,672,000, which, with the produce of the Mediterranean Fund and of the land sales, carried the receipts of the government nearly to $14,000,000. The surplus in the Treasury, after meeting all the regular expenditures and navy deficiencies, French claims, and the $1,750,000 of the Louisiana purchase, for which a loan had been authorized, would still exceed one million dollars on a reasonable estimate. The reduction of debt had already reached that point at which Mr. Gallatin was obliged to pause and impress upon Congress the idea that a new class of duties lay before them; four years more of the application of his system would pay off all the debt that was susceptible of immediate payment; the rest could be redeemed only by purchase, or by waiting until the law permitted its redemption. “Should circumstances render it eligible, a considerable portion of the revenue now appropriated for that purpose [payment of debt] may then, in conformity with existing provisions, be applied to other objects.” The following year, 1806, was still more prosperous. The regular revenue exceeded $13,000,000; the receipts altogether So far as the mere financial arrangements for this event were concerned, Mr. Gallatin took them himself in charge. He abandoned at once the salt tax, which produced about $500,000, and he proposed to continue the Mediterranean Fund only one year longer. At the same time he procured the passage of an Act authorizing him to convert the unredeemed amount of the old six per cent. deferred stock, representing a capital of about $32,000,000, and the three per cents. (about $19,000,000), into a six per cent. stock, redeemable at six months’ notice. The inducements offered to the holders are explained in Mr. Gallatin’s letter of 20th January, 1806, 1807. The greater measures of public policy which were to crown the edifice of republican government, and to realize all those ideal benefits to humanity which Mr. Jefferson and his friends aimed at, fell of necessity and properly to the President’s charge. Nowhere in all the long course of Mr. Jefferson’s great career did he appear to better advantage than when in his message of 1806 he held out to the country and the world that view of his ultimate hopes and aspirations for national development, which was, as he then trusted, to be his last bequest to mankind. Having now reached the moment when he must formally announce to Congress that the great end of relieving the nation from debt was at length within reach, and with it the duty of establishing true republican government was fulfilled, he paused to ask what use was to be made of the splendid future thus displayed before them. Should they do away with the taxes? Should they apply them to the building up of armies and navies? Both relief from taxation and the means of defence might be sufficiently obtained without exhausting their resources, and still In this path Mr. Jefferson and Mr. Gallatin went hand in hand. The former, indeed, thought an amendment of the Constitution necessary in order to bring these objects within the enumerated powers of the government, while Mr. Gallatin, here, as in regard to the bank and the Louisiana purchase, found no difficulty on that score; but Mr. Jefferson looked forward to the adoption of such an amendment before the three years’ interval had elapsed, and in the mean while Mr. Gallatin was actually putting his schemes into operation. The first report of the commissioners appointed to lay out the Cumberland Road, from the Potomac to the Ohio, was laid before Congress in January, 1807. A month later Congress passed the act under which the coast survey was authorized, and appropriated $50,000 to carry it into effect. A few weeks afterwards, Senator Worthington, of Ohio, one of Mr. Gallatin’s closest friends, caused a resolution to be adopted directing the Secretary of the Treasury to prepare and report to the Senate a general scheme of internal improvement. Few persons have now any conception of the magnitude of the scheme thus originated. The university was but a trifle, which Mr. Gallatin was ready to take upon his shoulders at once without waiting for other resources than he already had. He According to this sketch, the projected improvements were classified under the following heads: I. Those parallel with the sea-coast, viz., canals cutting Cape Cod, New Jersey, Delaware, and North Carolina, so as to make continuous inland navigation along the coast to Cape Fear, at an estimated cost of $3,000,000; and a great turnpike road from Maine to Georgia, at an estimated cost of $4,800,000. II. Those that were to run east and west, viz., improvement of the navigation of four Atlantic rivers, the Susquehanna, the Potomac, the James, and the Santee, and of four corresponding western rivers, the Alleghany, the Monongahela, the Kanawha, and the Tennessee, to the highest practicable points, at an estimated cost of $1,500,000; and the connection of these highest points of navigation by four roads across the Appalachian range, at an estimated cost of $2,800,000; and finally, a canal at the falls of the Ohio, $300,000, and improvement of roads to Detroit, St. Louis, and New Orleans, $200,000. III. Those that were to run north and northwest to the lakes, viz., to connect the Hudson River with Lake Champlain, $800,000; to connect the Hudson River with Lake Ontario at Oswego by canal, $2,200,000; a canal round Niagara Falls, $1,000,000. IV. Local improvements, $3,400,000. The entire estimated expense was $20,000,000; by an appropriation of $2,000,000 a year the whole might be accomplished in ten years; by a system of selling to private parties the stock thus created by the government for turnpikes and canals, the fund might be made itself a permanent resource for further improvements. Naturally the improvements thus contemplated were so laid out as to combine and satisfy local interests. The advantage which Mr. Gallatin proposed to gain was that of combining these interests in advance, so that they should co-operate in one great system instead of wasting the public resources in isolated efforts. He wished to fix the policy of government for at least ten years, and probably for an indefinite time, on the whole subject of internal improvements, as he had already succeeded in fixing it in regard to the payment of debt. By thus establishing a complete national system to be executed by degrees, the whole business of annual chaffering and log-rolling for local appropriations in Congress, and all its consequent corruptions and inconsistencies, were to be avoided. Nor did Mr. Gallatin in making these propositions overlook the pressing necessity of providing for the national defence. His anticipated surplus exceeded five millions of dollars, and he intended that while two millions were annually set aside for internal improvements, the other three millions should be applied simultaneously for arsenals, magazines, and fortifications, or, if desired, for building a navy, while even from a military point of view the proposed roads and canals were as essential as arms, forts, or ships to national defence. In one respect, however, Mr. Gallatin differed rather widely from Mr. Jefferson, and this difference of opinion concerned a cardinal point of the President’s policy. The famous gun-boat scheme, which seems to have been the creation of Mr. Jefferson and Mr. Robert Smith, took shape during the winter, of 1806-7, in a special message, dated February 10, which recommended the immediate building of two hundred gun-boats. When the draft of this message was sent to Mr. Gallatin for his criticisms, he wrote that he was “clearly of opinion” there was no necessity for building so many of these vessels, and he urged that the seventy-three already in course of construction were more than enough in a time of peace. “Of all the species of force which war may require,—armies, ships of war, fortifications, and gun-boats,—there is none which can be obtained in a shorter notice than gun-boats, and none therefore that it is less necessary to provide beforehand. I think that within sixty days, perhaps half the time, each of the seaports Mr. Jefferson’s reply to this argument will be found in his letter of February 9, 1807, to Mr. Gallatin. When he fairly mounted a hobby-horse he rode it over all opposition, and, of all hobby-horses, gun-boats happened at this time to be his favorite. He insisted that the whole two hundred must be built, for five reasons: 1. Because they could not be built in two, or even in six months. 2. Because, in case of war, the enemy would destroy them on the stocks in New York, Boston, Norfolk, or any seaport. 3. “The first operation of war by an enterprising enemy would be to sweep all our seaports of their vessels at least.” 4. The expense of their preservation would be nothing. 5. The expense of construction would be less than supposed. Mr. Jefferson was a great man, and like other great men he occasionally committed great follies, yet it may be doubted whether in the whole course of his life he ever wrote anything much more absurd than this letter. When war came, each of his three former reasons was shown to be an error, and long before the war arrived, his two concluding reasons were contradicted by facts. These letters were written in February, 1807. In June, 1809, barely two years later, the then Secretary of the Navy, Paul Hamilton, reported that 176 gun-boats had been built, of which 24 only were in actual service. The aggregate expense to that date had been $1,700,000, or about $725,000 a year; while the reader will remember that the whole navy expenditure for 1807 was $1,722,000, and in 1808 nearly $1,900,000, against the modest $650,000 which had been agreed upon at the beginning of Mr. Jefferson’s Administration. Any one who is curious to see how far Mr. Gallatin’s opinion as to Friends and enemies have long since agreed that Mr. Jefferson’s gun-boats were a grievous mistake. How decidedly Mr. Gallatin remonstrated against the development given to this policy, may be seen in the letter of which a portion has been quoted. He strongly urged that no more gun-boats should be built till they were wanted, and he begged Mr. Jefferson to let Congress decide whether they were wanted or not. Mr. Jefferson did not take the advice, and, as usual, Mr. Gallatin was the one to suffer for the mistakes of his chief; the gun-boats lasted long enough to give him great trouble and to be one of the principal means of bankrupting the Treasury even before the war; unfortunately, he had exhausted his strength in complaints of the Navy Department; he had spoken again and again in language which for him was without an example; in the present instance he had Mr. Jefferson himself for his strongest opponent, and there was nothing to be done but to submit. With this exception, one merely of detail and judgment, Mr. Gallatin seems to have cordially supported the comprehensive scheme which the Administration of Mr. Jefferson pointed out to Congress as the goal of its long pilgrimage. Six years of frugality and patience had, as it conceived, fixed beyond question the republicanism of national character, established a political system purely American, and sealed this result by reducing the national debt until its ultimate extinction was in full view. To fix the future course of the republican system thus established For a time he saw the prize within his grasps then almost in an instant it was dashed away, and the whole fabric he had so laboriously constructed fell in ruins before his eyes. That such a disaster should have overwhelmed him at last was neither his fault nor that of Mr. Jefferson; it was the result of forces which neither he nor any other man or combination of men, neither his policy nor any other policy or resource of human wisdom, could control. In the midst of the great crash with which the whole structure of Mr. Jefferson’s Administration toppled over and broke to pieces in its last days, there is ample room to criticise and condemn the theories on which he acted and the measures which he used, but few critics would now be bold enough to say that any policy or any measure could have prevented that disaster. The story is soon told. Mr. Monroe and Mr. William Pinkney, appointed as a special commission to negotiate with the government of Great Britain, began their labors in July, 1806. They were fortunate enough to find the British government in friendly hands, for they happened to fall upon the short administration of Mr. Fox. With much difficulty they negotiated a treaty which was signed on the last day of the year. This treaty was doubtless a bad treaty; not so bad as that of Mr. Jay, but still very unsatisfactory, and, what was worse, the British government, by a formal note appended to it, reserved the right to render it entirely nugatory if the United States did not satisfy Great Britain that she would resist the maritime decrees of France. Whether, under these circumstances, the treaty was worth accepting, is doubtful; whether Mr. Jefferson erred in insisting upon modifications of it, may be a question. Certain it is that the Administration concurred in sending it back to England for essential Never did a man deceive himself more miserably, for even while he wrote these lines the government of England was reverting to its policy of crushing the commercial growth of America. Mr. Fox was dead; a new Administration had come into power, strongly retrograde in policy, and with George Canning for its soul. Whatever the errors or faults of Mr. Canning may have been, timidity was not one of them, and the diplomatic ingenuity of Mr. Jefferson, with its feeble attempts to play off France against England and England against France, was the last policy he was likely to respect. Even the American who reads the history of the year 1807, seeing the brutal directness with which Mr. Canning kicked Mr. Jefferson’s diplomacy out of his path, cannot but feel a certain respect for the Englishman mingled with wrath at his insolent sarcasm. From the moment Mr. Canning and his party assumed power, the fate of Mr. Jefferson’s Administration was sealed; nothing he could do or could have done could avert it; England was determined to recover her commerce and to take back her seamen, and America could not retain either by any means whatever; she had no alternative but submission or war, and either submission or war was equally fatal to Mr. Jefferson’s Administration. Mr. Canning cared little which course she took, but he believed she would submit. The first intimation of the new state of affairs came in an unexpected and almost accidental shape. The winter of 1806-7 had passed, and, so far as Congress was concerned, it had passed without serious conflicts. Burr’s wild expedition had startled The story of this famous event, which more than any other single cause tended to exasperate national jealousies and to make England and America permanently hostile, is told in every American school history, and will probably be familiar to every school-boy in the United States for generations yet to come. Even time is slow in erasing the memory of these national humiliations, and the singular spectacle has been long presented of a great nation preserving the living memory of a wrong that the offending nation hardly noticed at the time and almost immediately forgot. The reason was that in this instance the wrong was a cruel and cynical commentary on all the mistakes of our national policy; it gave the sentence of death to the favorite dogmas and doctrines of the American Administration, and it was a practical demonstration of their absurdity, the more mortifying because of its incontestable completeness. Mr. Gallatin hastened to Washington, sickened by anxiety and responsibility; his state of mind and that of his political friends may be shown by a few extracts from his papers: GALLATIN TO HIS WIFE. Washington, 10th July, 1807. ... I am afraid that in common with many more your feelings prevent your taking a correct view of our political situation. To spurn at negotiation and to tremble for the fate of New York are not very consistent. But every person not blinded by passion and totally ignorant of the laws and usages of civilized nations knows that, whenever injuries are received from subordinate officers, satisfaction is demanded from the government itself before reprisals are made; and that time to receive our property from 14th July, 1807. ... Of our public affairs I have nothing new to say. It is probable that the attack on our frigate was not directly authorized by the British government; it is certain that the subsequent acts of the commodore in the vicinity of Norfolk were without any order even from his admiral. But from the character and former orders of the last-mentioned (Berkeley) it is probable that, considering the proclamation as hostile, he will order all merchant vessels on our coast to be taken and the Chesapeake to be blockaded. They will not venture on any hostilities on shore until they receive orders from Great Britain; for their naval arrogance induces them to make unfounded distinctions between what is legal on land or on water even within our jurisdiction, and they have not really sense or knowledge enough to feel that their present conduct within the Chesapeake is as much an actual invasion as if an army was actually landed. Upon the whole, you will, I am persuaded, have time to do whatever is practicable for the defence of New York. I have seen Mr. Erskine, whom I treated with more civility than cordiality; but I could not help it. I believe that he is much embarrassed between what is right and his fear of the naval officers and of his own government. NATHANIEL MACON TO GALLATIN. Buck Spring, 12th July, 1807. Sir,—The attack of the British on the Chesapeake and their subsequent conduct near Norfolk has much irritated every one here, and all are anxious to learn what the President intends to do. From the tenor of his proclamation I suppose he intends to have a representation made to the British government, and, in case that does not produce the desired effect, to order our ministers home, and in the mean time to have all the preparations for war he can ready. I also suppose from the proclamation that Congress will not be called until he hears from If war must be, we ought to prosecute it with the same zeal that we have endeavored to preserve peace, and by great exertions convince the enemy that it is not from fear or cowardice that we dread it. But peace, if we can have it, is always best for us, and if the Executive can get justice done and preserve it, that Executive will deserve the thanks of every democrat in the Union. JOSEPH H. NICHOLSON TO GALLATIN. Chesterfield, 14th July, 1807. Dear Sir,—...We are looking with great anxiety towards Washington for the measures to be adopted by the government. For myself I consider a war inevitable, and almost wish for it. An unqualified submission to Britain would not be more degrading than forbearance now. The Ministry may probably, and I think will, disavow the late act of their officer; but there are insults and injuries for which neither an individual nor a nation can accept an apology. I had hoped, therefore, that Mr. Erskine would have been ordered home and our own envoys recalled. Nothing is now left to negotiate on. No man ever saved his honor who opened a negotiation for it. It is no subject of barter. If Tarquin had begged pardon of Collatinus for ravishing his wife, I think it would not have been granted. At all events we cannot, or at least ought not, negotiate till our seamen are restored. In 1764, when France took possession of Turk’s Island, her minister at the Court of London proposed to negotiate for some claims that his master had upon it. George Grenville told him, “We will not hear you; we will listen to nothing while the island is in your possession. Restore it, and we will then hear what you have to say.” It was instantaneously given up. I wish Mr. Jefferson would read the history of that transaction, and also Lord Chatham’s celebrated speech on the business of Falkland Islands. Each furnishes an admirable lesson for the present moment. But one feeling pervades the nation. All distinctions of federalism and democracy are vanished. The people are ready to submit to any deprivation, and if we withdraw ourselves within our own shell, and turn GALLATIN TO JOSEPH H. NICHOLSON. Washington, 17th July, 1807. Dear Sir,—...With you I believe that war is inevitable, and there can be but one opinion on the question whether the claims of the parties prior to the attack on the Chesapeake should be a subject of discussion. There were but two courses to be taken: either to consider the attack as war and retaliate accordingly, or, on the supposition that that act might be that of an unauthorized officer, to ask simply, and without discussion, disavowal, satisfaction, and security against a recurrence of outrages. The result will in my opinion be the same, for Great Britain will not, I am confident, give either satisfaction or security; but the latter mode, which, as you may have perceived by the President’s proclamation and his answer to military corps, has been adopted, was recommended not only by the nature of our Constitution, which does not make the President arbiter of war, but also by the practice of civilized nations; and the cases of Turk’s Island, Falkland Islands, Nootka Sound, etc., are in point in that respect. Add to this that the dissatisfaction caused by that course operates only against the Administration, and that the other will produce an unanimity in support of the war which would not otherwise have existed. It will also make our cause completely popular with the Baltic powers, and may create new enemies to Britain in that quarter. Finally, four months were of importance to us, both by diminishing the losses of our merchants and for preparations of defence and attack. I will, however, acknowledge that on that particular point I have not bestowed much thought; for, having considered from the first moment war was a necessary result, and the preliminaries NATHANIEL MACON TO GALLATIN. Rock Spring, 2d August, 1807. ... Peace is everything to us, especially in this part of the Union. Here the three last crops have been uncommonly short, and the last the shortest of the three. These bad crops have compelled many, who were both careful and industrious, to go in debt for bread and to leave their merchant account unpaid. If the Executive shall put a satisfactory end to the fracas with Great Britain, it will add as much to his reputation as the purchase of Louisiana. But if this cannot be done, we must try which can do the other the most harm. I suppose while I am thinking what effect the war may have on my neighbors and countrymen, you are engaged in calculating its effects on the payment of the national debt. I still wish peace, but if this be denied to us I am for strong measures against the enemy. Until it was quite certain whether the attack on the Chesapeake was an authorized act, government could only prepare for war. Mr. Jefferson called upon his Cabinet for written opinions, and Mr. Gallatin prepared an elaborate paper containing a general view of the defensive and offensive measures which war would require. Congress was called for the 26th October, 1807, and the Administration came together a few weeks earlier to prepare for the meeting. When Mr. Jefferson sent as usual the draft of his message for revision, Mr. Gallatin found that it was drawn up “rather in the shape of a manifesto issued against Great Britain on the eve of a war, than such as the existing, undecided state of affairs seems to require.” He remonstrated in a letter, too long to quote, but of much historical interest. GALLATIN TO HIS WIFE. Washington, 30th October, 1807. ... Varnum has, much against my wishes, removed Randolph from the Ways and Means and appointed Campbell, of Tennessee. It was improper as related to the public business, and will give me additional labor. Vanzandt has missed the clerkship of the House, and lost his place, from Mr. Randolph’s declaration that he had listened to and reported secret debates. The punishment, considering its consequences on his future prospects, is rather hard. (The President’s speech was originally The British government, however, had no intention of making a war out of the Chesapeake affair. With much dexterity Mr. Canning used this accident for his own purposes. He applied the curb and spur at the same moment with marvellous audacity; disavowing the acts of the British naval officers, he evaded the demand of our government for satisfaction, and, while thus showing how sternly he meant to repress what he chose to consider our insolence, he sent Mr. Rose to Washington to amuse Mr. Jefferson with negotiations, while at the same time he himself carried out his fixed policy, with which the affair of the Chesapeake had no other than a general and accidental connection. Contemptuously refusing to renew negotiations over Mr. Monroe’s treaty, at the very moment of Mr. Rose’s departure to Washington he issued his famous orders in council of November 11, 1807, by which the chief part of the trade of America with the continent of Europe was, with one stroke of the pen, suppressed. As there was no pretence of law or principle under which this act could be justified, Mr. Canning put it upon the ground of retaliation for the equally outrageous decrees of France; but in fact he cared very little what ground it was placed upon. The act was in its nature one of war, and, as a war measure for the protection of British commercial shipping rapidly disappearing before French regulations and American competition, this act was no more violent than any other act of war. Its true foundation was a not unwarranted contempt for American national character. As Lord Sidmouth, who disapproved the orders in council, wrote in 1807: “It is in vain to speculate on the result when we have to bear with a country in which there is little authority in the rulers, and as little public spirit and virtue in the people. America is no longer a bugbear; there is no terror in her threats.” The certain news of the orders in council of November 11 reached Washington on December 18, together with threatening news from France. A Cabinet council was instantly held, and the confidential friends of the Administration consulted. The situation was clear. In the face of the orders in council our commerce must be kept at home, at least until further measures could be taken. Whether as a war or as a peace measure, an embargo was inevitable, and, unwilling as all parties were to be driven into it, there was no alternative. A much more difficult question was whether the embargo should be made a temporary measure; in other words, whether war, after a certain date, should be the policy of the government. Mr. Gallatin’s opinions on these points are fortunately preserved. He wrote to Mr. Jefferson, apparently after a Cabinet council, on the 18th December as follows: GALLATIN TO JEFFERSON. Treasury Department, 18th December, 1807. Dear Sir,—Reflecting on the proposed embargo and all its bearings, I think it essential that foreign vessels may be excepted so far at least as to be permitted to depart in ballast or with such cargoes as they may have on board at this moment. They are so few as to be no object to us, and we may thereby prevent a similar detention of our vessels abroad, or at least a pretence for it. Such a seizure of our property and seamen in foreign ports would be far greater than any possible loss at sea for six months to come. I wish to know the name of the member to whom Mr. Rodney sent the sketch of a resolution, in order to mention the subject to him, and also, if you approve, that you would suggest it to such as you may see. I also think that an embargo for a limited time will at this moment be preferable in itself, and less objectionable in Congress. In every point of view, privations, sufferings, revenue, effect on the enemy, politics at home, &c., I prefer war to a permanent embargo. Governmental prohibitions do always more mischief than had been calculated; and it is not without much hesitation that a statesman should hazard to regulate The measure being of a doubtful policy, and hastily adopted on the first view of our foreign intelligence, I think that we had better recommend it with modifications, and at first for such a limited time as will afford us all time for reconsideration, and, if we think proper, for an alteration in our course without appearing to retract. As to the hope that it may have an effect on the negotiation with Mr. Rose, or induce England to treat us better, I think it entirely groundless. Respectfully, your obedient servant. Mr. Jefferson wrote back approving the first suggestion, and it was inserted in the bill, but on the other point Mr. Gallatin was overruled. Mr. Jefferson and most of the Southern leaders of his party had a strong faith in the efficacy of commercial regulations; they believed that as the commerce of America was very valuable to England and France, therefore England and France might be forced to do our will by depriving them of that commerce; and perhaps they were in the right, within certain limits, for, other agencies being disregarded and the influences of commerce being left to act through periods of years, nations will ultimately be controlled by them; England herself was ultimately compelled by the policy of commercial restrictions to revoke her orders in council, but only after five years of experiment and too late to prevent war. Meanwhile, the effect of a permanent embargo was to carry out by the machinery of the United States government precisely the policy which Mr. Canning had adopted for his own. American shipping ceased to exist; American commerce was annihilated; American seamen were forced to seek employment under the British flag, and British ships and British commerce alone occupied the ocean. The strangest and saddest spectacle of all was to see Mr. Jefferson and Mr. Gallatin, after seven years of patient labor in constructing their political system, forced to turn their backs upon that future which only a few weeks before had been so brilliant, and, with infinitely more labor and trouble than they had used in building their edifice up, now toil to pull it down. Mr. Gallatin had no faith in the embargo as a measure of constraint upon the belligerent powers; he characterized as “utterly groundless” the idea that it would have any effect on negotiation or induce England to treat us better; but he accepted it as the policy fixed by his party and by Congress, for the adoption of which Congress was primarily responsible, and for the execution of which he had himself to answer; he accepted it also as the only apparent alternative to war, but not as a permanent alternative. Mr. Jefferson went much farther. Without at this time avowing a belief that the embargo would force England and France to recede, he was warm in the determination that its power should be tried. “I place immense value in the experiment being fully made how far an embargo may be an effectual weapon in future as on this occasion,” he wrote to Mr. Gallatin. 1808. On the embargo alone some degree of unanimity could be attained. The omnipotent influence with which Mr. Jefferson had begun his Administration, although steadily diminishing with the advent of a new generation and the apparent accomplishment of the great objects for which the party had been educated, was still capable of revival in its full strength to give effect to the old party dogma of commercial regulations. Every one was earnestly impressed with what Mr. Jefferson called “our extreme anxiety to give a full effect to the important experiment of the embargo at any expense within the bounds of reason.” The first embargo law of December 22, 1807, was a mere temporary measure of precaution; in order to carry out the policy with effect, a completer system had to be framed, and Mr. Gallatin was obliged himself to draft the bill which was to beggar the Treasury; but no ordinary grant of powers would answer a purpose which consisted in stopping the whole action and industry of all the great cities and much of the rural population; thus the astonishing spectacle was presented of Mr. Jefferson, Mr. Madison, and Mr. Gallatin, the apostles of strict construction, of narrow grants, the men who of all others were the incarnation of that theory which represented mankind as too much governed, and who, according to Mr. Jefferson, would have had government occupy itself exclusively with foreign affairs and leave the individual absolutely alone to manage his own concerns in his own way,—of these men demanding, obtaining, and using powers practically unlimited so far as private property was concerned; powers in comparison with which the alien and sedition laws were narrow and jealous in their grants; powers which placed the fortunes of at least half the community directly under their control; which made them no more nor less than despots which gave Mr. Jefferson the right to say: “we may fairly require positive proof that the individual of a town tainted with a general spirit of disobedience has never said or done anything Congress conferred on the President the enormous grants of power which he asked for, and Mr. Gallatin proceeded to execute the law; the result was what he had predicted when he said that government prohibitions do always more harm than was calculated. The law was first evaded, then resisted; then came the ominous demand for troops, gun-boats, and frigates to use against our own citizens, and to be used by Mr. Gallatin, who, of all men, held military force so applied in horror; then came the announcement of insurrection, in August, from the Governor of New York, an insurrection which became chronic along the northern frontier, from Passamaquoddy to Niagara. All along the coast the United States navy was spread out to destroy that commerce which it had been built to protect, and the officers of our ships of war, frantic to revenge upon the British cruisers their disgrace in the Chesapeake, were compelled to assist these very cruisers to plunder their own countrymen. 1808. The struggle between government and citizens was violent and prolonged. Mr. Gallatin’s letters at this time to Mr. Jefferson are curious reading. He set himself with his usual determination to the task of carrying out his duty; his agents and instruments broke down in every direction; his annoyances were innumerable and his efforts only partially successful. The powers he had demanded and received, immense as they were, proved insufficient, and he demanded more. Already in July, 1808, he had reached this point. On the 29th of that month he wrote to Mr. Jefferson from New York: “I am perfectly satisfied that if the embargo must be persisted in any longer, two principles must necessarily be adopted in order to make it sufficient: 1st. That not a single vessel shall be permitted to move without the special “That in the present situation of the world every effort should be attempted to preserve the peace of this nation cannot be doubted. But if the criminal party rage of Federalists and Tories shall have so far succeeded as to defeat our endeavors to obtain that object by the only measure that could possibly have effected it, we must submit and prepare for war. I am so much overwhelmed even here with business and interruptions that I have not time to write correctly or even with sufficient perspicuity; but you will guess at my meaning where it is not sufficiently clear. I mean generally to express an opinion founded on the experience of this summer, that Congress must either invest the Executive There can be no more painful task to a man of high principles than to do what Mr. Gallatin was now doing. Not only was he obliged to abandon the fruit of his long labors, and to see even those results that had seemed already gained suddenly cast in doubt, but he was obliged to do this himself by means which he abhorred, and which he did not hesitate to characterize, even to Mr. Jefferson, as “equally dangerous and odious,” “most arbitrary powers,” such as his whole life had offered one long protest against. On this score he had no defence against the ferocity of party assaults; he disdained to attempt a defence; all that could reasonably be said was true, and he felt the consequences more keenly than any one; he uttered no complaints, but accepted the responsibility and kept silence. Others were less discreet. A. J. DALLAS TO GALLATIN. 30th July, 1808. ... The Spanish affairs have an obvious effect upon our political and territorial position. I do not know the measures or the designs of the government, and of course I cannot say what ought to be done as to foreign nations. As to ourselves, I will candidly tell you that almost everything that is done seems to excite disgust. I lament the state of things, but I verily believe one year more of writing, speaking, and appointing would render Mr. Jefferson a more odious President, even to the Democrats, than John Adams. My only hope is that Mr. Madison’s election may not be affected, nor his administration perplexed, in consequence of the growing dissatisfaction among ROBERT SMITH TO GALLATIN. Baltimore, August 1, 1808. Dear Sir,—Your favor of the 29th, with the enclosures, I have received. The letters of General Dearborn and Lincoln I have forwarded to the President. The requisite orders will go without delay to the commanders of the Chesapeake, the Wasp, and the Argus. Most fervently ought we to pray to be relieved from the various embarrassments of this said embargo. Upon it there will in some of the States, in the course of the next two months, assuredly be engendered monsters. Would that we could be placed upon proper ground for calling in this mischief-making busybody. Even in his own family Mr. Gallatin maintained perfect silence on this point. The use of arbitrary, odious, and dangerous means having been decided upon by his party and by Congress, and he being the instrument to employ these means, he did employ them as conscientiously as he had formerly opposed them, not because they were his own choice, but because he could see no alternative. Not even war was clearly open to him, for it was impossible to say which of the two belligerents he ought to make responsible for the situation. How obnoxious the embargo was to him can only be seen in his allusions to its effects: “From present appearances,” he wrote to his wife on June 29, 1808, “the Federalists will turn us out by 4th March next;” and on the 8th July, “As to my Presidential fears, they arise from the pressure of the embargo and divisions of the Republicans. I think that Vermont is lost; New Hampshire is in a bad neighborhood, and Pennsylvania is extremely doubtful. But I would not even suggest such ideas so that they should go abroad.” But he suggested them to the President on the 6th August: “I deeply regret to see my incessant efforts in every direction to carry the law into effect defeated in so many These fears proved ungrounded; Mr. Madison was elected by a large majority, and only the New England States reverted to opposition; but New England was on the verge of adopting the ground taken by Mr. Jefferson and Mr. Madison ten years before, and declaring the embargo, as they had declared the sedition law, unconstitutional, null, and void. Mr. Canning treated the embargo with sarcastic and patronizing contempt as a foolish policy, which he regretted because it was very inconvenient to the Americans. As an “engine for national purposes” it had utterly failed, but no one was agreed what to do next. GALLATIN TO HIS WIFE. Washington, July, 1808. I enclose a National Intelligencer, one paragraph of which, together with the Bayonne decree, contains the substance of the intelligence. The last we have not officially. I think the aspect of affairs unfavorable. England seems to rely on our own divisions and on the aggressions of France as sufficient to force us into a change of measures, perhaps war with France, without any previous reparation or relaxation on her part. Of the real views of the French Emperor nothing more is known than what appears on the face of his decrees and in his acts; and these manifest, in my opinion, either a deep resentment because we GALLATIN TO JOSEPH H. NICHOLSON. Washington, 18th October, 1808. ... Your political questions are of no easy solution. We cannot yet conjecture whether the belligerent powers will alter their orders and decrees, and if they do not, what is to be done? I am as much at a loss what answer to make as yourself. The embargo, having been adopted, ought, if there was virtue enough in the Eastern people, to be continued. But without the support and the full support of the people, such a strong coercive measure cannot be fairly executed. If the embargo is taken off, I do not perceive yet any medium between absolute subjection or war. Perhaps, however, some substitute may be devised. A non-importation act is the only one which has been suggested; and that would not answer entirely the object which had been intended by the embargo, which was to avoid war without submitting to the decrees of either nation.... GALLATIN TO CHARLES PINCKNEY, Governor of South Carolina. 24th October, 1808. ... On the subject of the embargo, and particularly of what you should communicate to the Legislature, I must refer you to the President, who can alone judge of the propriety and extent of communications prior to the meeting of Congress. As an individual, but this is conjecture and not fact, I believe that the Mr. Gallatin, to judge from these last words, which he repeated in “Campbell’s Report,” seems to have considered the situation as infinitely more difficult than it had been in 1798 or in 1794. In one respect at least he was certainly right. Mr. Jefferson’s hope of having to swallow less foreign insolence than his predecessors was by this time thoroughly dispelled. There seems to have been no form of insult, simple or aggravated, which Mr. Jefferson and his Administration did not swallow; between the exquisitely exasperating satire of Mr. Canning and the peremptory brutality of Bonaparte, he was absolutely extinguished; he abandoned his hope of balancing one belligerent against another, and his expectation of guiding them by their interests; he abandoned even the embargo; he laid down the sceptre of party leadership; he had no longer a party; Virginia herself ceased to be guided by his opinion; his most intimate friend, Mr. Wilson Cary Nicholas, favored war; Mr. William B. Giles was of the same mode of thinking; Mr. Jefferson, overwhelmed by all these difficulties, longed for the moment of his retreat: “Never did a prisoner, released from his chains, feel such relief as I shall The duty of providing a policy fell of necessity upon Mr. Madison and Mr. Gallatin, although they could not act effectively without the President’s power. Under these circumstances, on the 7th November, 1808, Congress met. The President’s message, in conformity with his determination to decline any expression of opinion, GALLATIN TO JEFFERSON. Department of Treasury, 15th November, 1808. Dear Sir,—Both Mr. Madison and myself concur in opinion that, considering the temper of the Legislature, or rather of its members, it would be eligible to point out to them some precise and distinct course. As to what that should be we may not all perfectly agree, and perhaps the knowledge of the various feelings of the members and of the apparent public opinion may on consideration induce Mr. Jefferson, however, as appears from his letter to Dr. Logan of December 27, quoted above, persisted in declining responsibility. Mr. Madison and Mr. Gallatin were obliged to follow another course. Mr. Gallatin drafted a report for the Committee of Foreign Relations, which was, on the 22d November, 1808, presented to the House by Mr. G. W. Campbell for the committee, and which has been always known under the name of Campbell’s Report. This paper is probably the best statement ever made of the American argument against the British government and the orders in council; it certainly disposed of the pretence that those orders were justifiable either on the ground of retaliation upon France or on that of American acquiescence in French infractions of international law; but its chief object was to unite the Republican party on common ground and to serve as the foundation of a policy; for this purpose it concluded by recommending the adoption of three resolutions, the first of which pledged the nation not to submit to the edicts of Great Britain and France; the second pledged them to exclude the commerce and productions of those countries from our ports; and the third, to take immediate measures to put the United States in a better condition of defence. These resolutions were debated nearly a month, and finally adopted by large majorities. In the mean time Mr. Gallatin asked for the extension which he needed of powers to carry out the embargo law, and the force to back these powers. A bill to that effect was soon reported, and was rapidly passed, a bill famous in history as the Enforcement Act. It was a terrible measure, and in comparison with As a result of eight years’ conscientious and painful effort, the situation was calculated to sober and sadden the most sanguine Democrat. The idea was at last impressed with unmistakable emphasis upon every honest and reflecting mind in the Republican party that the failures of the past were not due to the faults of the past only, and that circumstances must by their nature be stronger and more permanent than men. Brought at last face to face with this new political fact which gave the lie to all his theories and hopes, even the sanguine and supple Jefferson felt the solid earth reel under him, Mr. Gallatin was made of different stuff. In his youth almost as sanguine as Mr. Jefferson, he knew better how to accept defeat and adapt himself to circumstances, how to abandon theory and to move with his generation; but it needed all and more than all the toughness of Mr. Gallatin’s character to support his courage in this emergency. He knew, quite as well as John Randolph or as any Federalist, how far he had drifted from his true course, and how arbitrary, odious, and dangerous was the course he had to pursue; but he at least now learned to recognize in the fullest extent the omnipotence of circumstance. He had no longer a principle to guide him. Except, somewhere far in the background, a general theory Mr. Gallatin saw the situation as clearly as most men of his time, and at this moment, when New England was struggling most wildly, he was obliged to say whether in his opinion the policy of government should be changed or not. How slowly and doubtfully he came to his decision has been seen in his letters, and was inevitable from his character. As he said on December 18, 1807, to Mr. Jefferson, he preferred war in every point of view to a permanent embargo; but the embargo had been adopted as a policy; it had been maintained at a fearful cost; the injury it could inflict was for the most part accomplished; the difficulties of enforcing it were overcome; its effect on England was only beginning to be felt; so far as New England was concerned, the danger was less imminent than it appeared to be, and the task of carrying that part of the country into armed rebellion was by no means an easy one; to abandon the embargo now was to exhibit the government in the light of a vacillating and feeble guide, to destroy all popular faith in its wisdom and courage, to shake the supports and undermine the authority of the new Administration, and to encourage every Another motive which probably decided Mr. Madison and Mr. Gallatin was one they could not use for an argument. Mr. Erskine, the British minister at Washington, was a young man of liberal politics and with an American wife; he was honestly anxious to restore friendly relations between the two governments, and he was stimulated by the idea of winning distinction. It appears from his letters that as early as the end of November, 1808, the moment the election was fairly decided and Mr. Jefferson had in effect surrendered the Presidency to Mr. Madison, the idea had begun to work in his mind that the time for attempting a reconciliation had come. What Mr. Canning had refused to concede to Mr. Jefferson, the friend of France, he might be willing to offer to Mr. Madison, whose sympathies were rather English than French. Mr. Erskine lost no time in sounding the members of the new Administration, and he found them one and all disposed to encourage him. He talked long and earnestly with Mr. Gallatin, “whose character,” he wrote to Mr. Canning on December 4, 1808, “must be well known to you to be held in the greatest respect in this country for his unrivalled talents as a financier and a statesman.” Mr. Gallatin flattered and encouraged him. “At the close of my interview with Mr. Gallatin, he said, in a familiar way, ‘You see, sir, we could settle a treaty in my private room in two hours which might perhaps be found to be as lasting as if it was bound up in all the formalities of a regular system.’” He hinted to Mr. Gallatin his theory that Mr. Jefferson had acted with partiality to France, at which Mr. Gallatin “seemed to check himself,” and turned the conversation immediately upon the character of Mr. Madison, saying “that he could not be accused of having such a bias towards France,” whereat the young diplomatist, instead of inferring that Mr. Gallatin saw through him and all his little motives and meant to let them work undisturbed, drew only the inference that Mr. Gallatin thought as he did about Mr. Jefferson, but dared not say so. Acting under these impressions, Mr. Erskine early in December, 1808, wrote a series of despatches to Mr. Canning, suggesting that this favorable moment should be used. While waiting for the necessary instructions, he continued his friendly relations with the Cabinet, and the Cabinet, not a little pleased at discovering at length one example of a friendly Englishman, cultivated these relations with cordiality. The policy adopted by Mr. Madison and Mr. Gallatin is to be found in scattered pieces of evidence. Mr. Gallatin’s letter of 15th November, 1808, to Mr. Jefferson seems to prove that he was still on that day not quite decided; but his annual report, dated December 10, which was clearly intended to supply to some extent the want of distinctness in the President’s message, shows that in the interval the course had been marked out which the new Administration meant to pursue. This report began, as usual, with a sketch of the financial situation. The receipts of the Treasury during the year ending September 30, 1808, had been $17,952,000, a sum greater than the receipts of any preceding year, but principally consisting of revenue accrued during 1807. On January 1, 1809, the Treasury would have a sum of $16,000,000 on hand, of which Mr. Gallatin estimated that the expenses of 1809 would consume $13,000,000, leaving a surplus of only $3,000,000 to be disposed of. Thus the government could look forward with confidence to the 1st January, 1810, and if extraordinary preparations for war were necessary, it could, by stopping the redemption of debt, provide some $5,000,000 additional for the year without recurring to loans. After thus describing the resources of the government, the Secretary proceeded to discuss its probable expenses under the four contingencies among which he supposed the choice of Congress to lie. Two of these were merely forms of submission to Great Britain and France, and, as in this case resistance would not be contemplated, no provision beyond an immediate reduction of expenses was required. The other two were forms of resistance; embargo, or war. The embargo considered as a temporary measure, which would ultimately be superseded by war, was, financially, to be considered as a war measure, and preparations made accordingly; while if the embargo were adopted as a permanent system, coterminous with the belligerent edicts, it was a peace measure, and needed no other provision than economy at least for the next two years. War must be carried on principally by loans, and the embargo had produced a situation most favorable for effecting loans. No internal taxes of any description need be imposed. All that the Treasury required, besides economy, was to double the import duties; to limit the system of drawbacks; either to repeal or to complete the partial non-intercourse law, and to reform the system of accountability in the Army and Navy Departments. The report was decidedly warlike; clearly, if war was to come, Mr. Gallatin wished it to be begun within another year. His policy, therefore, is evident; he would have had Congress take a strong tone; continue the embargo for a given time until the results of Mr. Erskine’s representations should be known; and let it be clearly understood that the embargo was to give place to war. He would have had Congress apply six or eight millions to the purchase of arms and stores, to the building of forts or of ships, and to the organization of the militia; and with a firm party behind him and such measures of preparation, he would have spoken to Mr. Canning and to Napoleon with as much authority as it was in his power to command. He would boldly have retaliated upon both. This was the plan adopted for the new Administration and earnestly pressed by the Secretary of the Treasury whom the President elect then looked upon as his future Secretary of State. Mr. Jefferson’s theory that his successor was responsible for the government after his election was decided, utterly untenable and mischievous as it was, compelled Mr. Madison to act through Mr. Gallatin. The whole future of his Administration turned on his success in holding the party together on this line of policy, and Mr. Gallatin labored night and day to effect this object. MACON TO JOSEPH H. NICHOLSON. Washington, December 4, 1808. ... The war men in the House of Representatives are, I conceive, gaining strength, and I should not be much surprised if we should be at war with both Great Britain and France before the 4th of March. Gallatin is most decidedly for war, and I think that the Vice-President and W. C. Nicholas are of the same opinion. It is said that the President gives no opinion as to the measures that ought to be adopted. It is not known whether he be for war or peace. It is reported that Mr. Madison is for the plan which I have submitted, with the addition of high protecting duties to encourage the manufacturers of the United States. I am as much against war as Gallatin is in favor of it. Thus I have continued in Congress till there is not one of my old fellow-laborers that agrees with me in opinion. I do not know what plan Randolph will pursue. He is against continuing the embargo. I wish he would lay some plan before the House. It grieves me to the heart to be compelled from a sense of right and duty to oppose him. I am not consulted, as you seem to suppose, about anything, nor do I consult any one. I am about as much out of fashion as our grand-mothers’ ruffle cuffs, and I do not believe that I shall be in fashion as soon as they will. GALLATIN TO JOSEPH H. NICHOLSON. Washington, 29th December, 1808. 1809. ... Never was I so overwhelmed with public business. That would be nothing if we went right. But a great confusion and perplexity reign in Congress. Mr. Madison is, as I always knew him, slow in taking his ground, but firm when the storm arises. What I had foreseen has taken place. A majority will not adhere to the embargo much longer, and if war be not speedily determined on, submission will soon ensue. This entirely between us. When will you be here? We expect you, and the sooner the better. Exclusively of the pleasure we always Mr. Jefferson’s private letters tell the story of Mr. Madison’s failure to control his party, and of the collapse of his war policy. On the 19th January, 1809, he wrote to Thomas Lomax: The votes of February 2 and February 4, 1809, carried a deeper significance to Mr. Gallatin than to any one else, for they did not stand alone. Congress had already shown that it meant to accept his control no longer, and this was no mere panic and no result of New England defection. He had at last to meet the experience of defeat where he had supposed himself strongest. As has been seen, the administration of naval affairs had always been repugnant to Mr. Gallatin’s wishes; the time when he had opposed a moderate navy had long passed, and, as Secretary of the Treasury, he had never wished to diminish the efficiency or lessen the force of the few frigates we had; but he conceived that the management of the Department under Mr. Robert Smith was wasteful and inefficient. Very large sums of money had been spent, for which there was little to show except one hundred and seventy gun-boats, which had cost on an average $9000 each to build and would cost $11,500 a year in actual service. At the beginning of the session it had been distinctly intimated by the Executive that no present increase of force was required; but suddenly, on the 4th January, 1809, the Senate adopted a bill which directed that all the frigates and other armed vessels of the United States, including the gun-boats, should be immediately fitted out, officered, THE NAVY COALITION OF 1809. By whom were sacrificed ———
The meaning of all this confusion was soon made clear to Gallatin. A web of curious intrigue spun itself over the chair which Mr. Madison now left empty in the Department of State; there was no agreement upon the person who was to fill it, and who would, perhaps, be made thereby the most prominent candidate for succession to the throne itself. Not until his inauguration approached did Mr. Madison distinctly give it to be understood that he intended to make Mr. Gallatin his Secretary of State. This intention roused vehement opposition among Senators. Leib and the Aurora influence were of course hostile to Gallatin, and Leib now found a formidable ally in William B. Giles, Senator from Virginia. Giles made no concealment of his opposition. “From the first,” wrote Mr. Wilson Cary Nicholas, “Mr. Giles declared his determination to vote against Gallatin. I repeatedly urged and entreated him not to do it; for several days it was a subject of discussion between us. There was no way which our long and intimate friendship would justify, consistent with my respect for him, in which I did not assail him. To all my arguments he replied that his duty to his country was to him paramount to every other consideration, and that he could not justify to himself But Leib and Giles, separate or combined, were not strong enough to effect this object; they needed more powerful allies, and they found such in the Navy influence, represented in the Senate chiefly by General Smith, Senator from Maryland, brother of the Secretary of the Navy, and brother-in-law of Wilson Cary Nicholas. General Smith joined the opposition to Gallatin. An effort appears to have been made to buy off the vote of General Smith; it is said that he was willing to compromise if his brother were transferred to Mr. Gallatin’s place in the Treasury, and that Mr. Madison acquiesced in this arrangement, but Gallatin dryly remarked that he could not undertake to carry on both Departments at once, and requested Mr. Madison to leave him where he was. Mr. Madison then yielded, and Robert Smith was appointed Secretary of State. Mr. J. Q. Adams, who at just this moment was rejected as minister to Russia by the same combination, has left an unpublished account of this affair: MADISON AND GALLATIN. 1809. “In the very last days of his [Jefferson’s] Administration there appeared in the Republican portion of the Senate a disposition to control him in the exercise of his power. This was the more remarkable, because until then nothing of that character had appeared in the proceedings of the Senate during his Administration. The experience of Mr. Burr and of John Randolph had given a warning which had quieted the aspirings of others, and, with the exception of an ineffectual effort to reject the nomination of John Armstrong as minister to France, there was scarcely an attempt made in the Senate for seven years to oppose anything that he desired. But in the summer of 1808, after the peace of Tilsit, the Emperor Alexander of Russia had caused it “He had wished and intended to appoint Mr. Gallatin, who had been Secretary of the Treasury during the whole of Mr. Jefferson’s Administration, to succeed himself in the Department of State, and Mr. Robert Smith, who had been Secretary of the Navy, he proposed to transfer to the Treasury Department. He was not permitted to make this arrangement. Mr. Robert Smith had a brother in the Senate. It was the wish of the individuals who had effected the rejection of Mr. Short that Mr. Robert Smith should be Secretary of State, and Mr. Madison was given explicitly to understand that if he should nominate Mr. Gallatin he would be rejected by the Senate. “Mr. Robert Smith was appointed. This dictation to Mr. Madison, effected by a very small knot of association in the Senate, operating by influence over that body chiefly when in secret session, bears a strong resemblance to that which was exercised over the same body in 1798 and 1799, with this difference, that the prime agents of the faction were not then members of the body, and now they were. “In both instances it was directly contrary to the spirit of the Constitution, and was followed by unfortunate consequences. In the first it terminated by the overthrow of the Administration and by a general exclusion from public life of nearly every Thus the Administration of Mr. Jefferson, whose advent had been hailed eight years before by a majority of the nation as the harbinger of a new era on earth; the Administration which, alone among all that had preceded or were to follow it, was freighted with hopes and aspirations and with a sincere popular faith that could never be revived, and a freshness, almost a simplicity of thought that must always give to its history a certain indefinable popular charm like old-fashioned music; this Administration, into which Mr. Gallatin had woven the very web of his life, now expired, and its old champion, John Randolph, was left to chant a palinode over its grave: “Never has there been any Administration which went out of office and left the nation in a state so deplorable and calamitous.” Under such conditions, with such followers and such advisers, Had Mr. Gallatin followed his own impulses, he would now have resigned his seat in the Cabinet and returned to his old place in Congress. That course, as the event proved, would have been the wisest for him, but his ultimate decision to remain in the Treasury was nevertheless correct. He had at least an even chance of regaining his ground and carrying out those ideas to which his life had been devoted; the belligerents might return to reason; the war in Europe could not last forever; the country might unite in support of a practicable policy; at all events there was no immediate danger that the government would go to pieces, and heroic remedies were not to be used but as a last resort. So far as Mr. Madison was concerned, the question was not whether he was to be deserted, but in what capacity Mr. Gallatin could render him the most efficient support. Suddenly the skies seemed to clear, and the new Administration for a brief moment flattered itself that its difficulties were at an end. Mr. Erskine received the reply of Mr. Canning to his letters of December 3 and 4, and this reply declared in substance that if the United States would of her own accord abandon the colonial trade and allow the British fleet to enforce that abandonment, England would withdraw her orders in council. This was, it is true, a matter of course. Mr. Canning’s object in imposing the orders in council, though nominally retaliatory upon France, had been really to counteract Napoleon On this slender basis, and without communicating his authority, Mr. Erskine, early in April, 1809, made a provisional arrangement with the Secretary of State by which the outrage on the Chesapeake was atoned for, and the orders in council withdrawn. The President instantly issued a proclamation bearing date the 19th April, 1809, declaring the trade with Great Britain renewed. Great was the joy throughout America; so great as for the moment almost to obliterate party distinctions. When Congress met on May 22, for that session which had been called to provide for war, all was peace and harmony; John Randolph was loudest in singing praises of the new President, and no The feelings of Mr. Canning on receiving the news were not of the same nature. The absurd and ridiculous side of things was commonly uppermost in his mind, and in the whole course of his stormy career there was probably no one event more utterly absurd than this. His policy in regard to the United States was simple even to crudeness; he meant that her neutral commerce, gained from England and France, should be taken away, and that, if possible, she should not be allowed to fight for it. In carrying out this policy he never wavered, and he was completely successful; even an American can now admire the clearness and energy of his course, though perhaps it has been a costly one in its legacy of hate. That one of his subordinates should undertake to break down his policy and give back to the United States her commerce, and that the United States should run wild with delight at this evidence of Mr. Canning’s defeat and the success of her own miserable embargo, was an event in which the ludicrous predominated over the tragic. Mr. Canning made very short work of poor Mr. Erskine; he instantly recalled that gentleman and disavowed his arrangement; but in order to prevent war he announced that a new minister would be immediately sent out. Even this civility, however, was conceded with very little pretence of a disposition to conciliate, and the minister chosen for the purpose was calculated rather to inspire terror than good-will. Mr. Rose had at least borne an exterior of civility, and had affected a decent though patronizing benevolence. Mr. Jackson made no such pretensions. His feelings and the object of his mission were odious enough at the time, and, now that his private correspondence has been published, The news of Mr. Canning’s disavowal reached America in July, and spread consternation and despair. Mr. Gallatin found himself involved in a sort of controversy with Mr. Erskine, resulting from the publication of Erskine’s despatches in England, and, although he extricated himself with skill, the result could at best be only an escape. The non-intercourse had to be renewed by proclamation, and the Administration could only look about and ask itself in blank dismay what it could do next. GALLATIN TO JOSEPH H. NICHOLSON. Washington, 20th April, 1809. Dear Sir,—I do not perceive, unless the President shall otherwise direct, anything that can now prevent my leaving this on Sunday for Baltimore. I fear that Mrs. Gallatin will not go; she is afraid to leave the children, who have all had slight indispositions. Yet she would, I think, be the better for a friendly visit to Mrs. Nicholson and croaking with you. As you belong to that tribe, I presume that, although you found fault yesterday with Mr. Madison because he did not make peace, you will now blame him for his anxiety to accommodate on any terms. Be that as it may, I hope that you will get 1 dollar and 60/100 for your wheat. And still you may say that you expected two dollars. Present my best respects to Mrs. Nicholson. Yours truly. Eustis may have his faults, but I will be disappointed if he is not honorable and disinterested. GALLATIN TO JOHN MONTGOMERY. Washington, 27th July, 1809. ... The late news from England has deranged our plans, public and private. I was obliged to give up my trip to Belair, have also postponed our Virginia journey, and have written to Mr. Madison that I thought it necessary that he should return here immediately. We have not yet received any letters from Mr. Pinckney nor any other official information on the subject. The next question for the Executive is how we shall treat Mr. Jackson; whether and how we will treat with him. That must, it is true, depend in part on what he may have to say. But I have no confidence in Canning & Co., and if we are too weak or too prudent to resist England in the direct and proper manner, I hope at least that we will not make a single voluntary concession inconsistent with our rights and interest. If Mr. Jackson has any compromise to offer which would not be burthened with such, I will be very agreeably disappointed. But, judging by what is said to have been the substance of Mr. Erskine’s instructions, One may reasonably doubt whether during the entire history of the United States government the difficulties of administration have ever been so great as during the years 1809-11. Peace usually allows great latitude of action and of opinion without endangering the national existence. War at least compels some kind of unity; the path of government is then clear. Even in 1814 and in 1861 the country responded to a call; but in 1809 and 1810 the situation was one of utter helplessness. The session of 1808-9 had proved two facts: one, that the nation would not stand the embargo; the other, that it could not be brought to the point of war. So far as Mr. Madison and his Administration are concerned, it is safe to say that they would at any time have accepted any policy, short of self-degradation, which would have united the country behind them. As for Mr. Gallatin, he had yielded to the embargo because it had the support of a great majority of Congress; he had done his utmost to support the only logical consequence of the embargo, which was war. Congress had rejected both embargo and war, and had in complete helplessness fallen back on a system of non-intercourse which had most of the evils of embargo, much of the expense of war, and all the practical disgrace of submission. He could do nothing else than make the best of this also. The country had lost its headway and was thoroughly at the mercy of events. When studied as a mere matter of political philosophy, it is clear enough that this painful period of paralysis was an inevitable stage in the national development. The party which had come into power in 1801 held theories inconsistent with thorough nationality, and, as a consequence, with a firm foreign policy. The terrible treatment which the government received, while in its hands, from the great military powers of Europe came upon the Republican party before it had outgrown its theories, and necessarily disorganized that party, leaving the old States-rights, That Mr. Gallatin consciously and decidedly followed either direction, it would be a mistake to suppose. He too, like his party, was torn by conflicting influences. A man already fifty years old, whose life has been earnestly and arduously devoted to certain well-defined objects that have always in his eyes stood for moral principles, cannot throw those objects away without feeling that his life goes with them. So long as a reasonable hope was left of attaining the results he had aimed at, or of preventing the dangers he dreaded, it was natural that Mr. Gallatin should cling to it and fight for it; but, on the other hand, he was a man of very sound understanding, and little, if at all, affected by mere local prejudices; his ideal government was one which should be free from corruption and violence; which should interfere little with the individual; which should have neither debt, nor army, nor navy, nor taxes, beyond what its simplest wants required; and which should wish “to become a happy, and not a powerful, nation, or at least no way powerful except for self-defence.” On this side he was in sympathy with all moderate and sensible men in both parties, and was more naturally impelled to act with them than with his old allies, who were chiefly jealous of national power because it diminished the sovereignty of Virginia or South Carolina. To one standing, therefore, as Mr. Gallatin was now standing, on the verge of several years’ inaction, out of which the nation could rescue itself only by a slow process of growth, the ends to be attained and the dangers to be feared would arrange themselves Candid criticism certainly tends to show that the only national policy which had a chance of success was also the only one which had not a chance of adoption. A sudden, concentrated, and determined attack upon Bonaparte would, in all human probability, have been successful; the Emperor would have given way, and in this case England must also have receded; but this would have been a mere repetition of the Federalist policy of 1798, and the Republican party had no fancy for Federalist precedents. The behavior of Canning had roused so bitter a feeling as to paralyze measures against Bonaparte, while the Republican party was as little competent to imitate the dash and stubborn intensity of the Federalists as the calm temperament of Mr. Madison to lash itself into the fiery impetuosity of John Adams. Nothing remained but to settle the nature and extent of the mild protest which was to be maintained against the armed violence of the two belligerents, and, now that the doors of the State Department were closed in Mr. Gallatin’s face, his only hope was to create a new financial system that would serve to meet the wants of the new political situation as Congress might ultimately give it shape. Throwing behind him, therefore, all his old hopes and ambitions, all schemes for discharging debt and creating canals, roads, and universities, he turned his energies to the single point of defending the Treasury and resisting follies. He regarded the habit of borrowing money with horror; this was a resource to be reserved for war, when national life depended upon it; until that time came he insisted that the expenditure should not exceed the revenue. The experience of only last winter had shown how readily Congress wasted its resources: although Mr. Gallatin had succeeded in To raise by taxation, so long as peace lasted, all the money to be spent by Congress, was the rule which Mr. Gallatin was now struggling to enforce. If Congress appropriated money, Congress must lay taxes. To maintain this ground required a firm, almost a rough hand, and unless both the Cabinet and the Senate were ready to support the Secretary of the Treasury in his effort, his position was untenable, and resignation must follow of course. The question whether the Cabinet and Senate would support Mr. Gallatin was, therefore, the necessary point to decide in advance. In the Cabinet, Mr. Robert Smith was the dangerous element. In the Senate, General Samuel Smith and his friend Mr. Giles were the chief disturbing forces, since without them the fulminations of Leib and the Aurora offered, after all, no very serious danger. Unfortunately, a circumstance had now occurred which seriously embittered the relations between Mr. Gallatin and the Smiths. The failure and disappearance of the navy agent at Leghorn disclosed a somewhat loose way of managing business in the Navy Department, which had bought exchange on Leghorn, largely in bills on Samuel Smith and his relations, in excess of its wants, while at the same time it had neglected to make its naval officers draw on Leghorn, so that they had drawn on London at considerable extra expense. Thus, at the close of the Tripoli war a large balance had remained in the hands of the navy agent at Leghorn, which was partly sent back in specie to America by a ship of war, and partly carried off by the navy agent to Paris, where he was arrested by the interposition of our minister, General Armstrong, and compelled to disgorge. In all this there was enough to irritate Mr. Gallatin, who had for eight years endured, with such patience as he could command, the loose GENERAL SAMUEL SMITH TO GALLATIN. Baltimore, 26th June, 1809. Sir,—I do myself the honor to enclose two papers for your perusal. The editors of the Federal Republican make use of your name to bolster them up in the nefarious charge they have made against me, in the following manner, to wit: “Mr. Gallatin, we understand, spoke of this transaction in terms of great indignation.” I will not believe that any of that indignation could have been directed at me. I believe it impossible that any man who has the least pretensions to character would commit an act so base as that charged on me, to wit: “to secure a debt which I considered bad by transferring the same to the Navy Department, and thus involving the United States in the loss.” Some time after my house drew the last bill (for I was at Washington), an evil report had been sent from Leghorn relative to Degen, Purviance & Co., in consequence whereof Mr. Oliver (who had a ship ready to sail to their address) sent an agent, who, finding the house in as good credit as any in that city, did put the cargo under their care. I thought the house superior to any in Leghorn. I am, sir, your obedient servant, GALLATIN TO GENERAL SMITH. Treasury Department, 29th June, 1809. Sir,—I received the day before yesterday your letter of 26th inst., enclosing two Baltimore papers. I have no other knowledge of the circumstances connected with the naval agency of Degen and Purviance than what is derived from their account as stated by the accountant of the Navy Department. The transaction, such as it appears there, is, under all its aspects, the most extraordinary that has fallen within my knowledge since I have been in this Department. It has certainly left very unfavorable impressions on my mind, and these have on one occasion been communicated verbally to a friend. Yet I hardly need say that I never supposed that the I am, sir, &c. Such a letter was not calculated to conciliate the Smiths, and appears to have received no reply. General Smith ultimately secured his re-election to the Senate. As the case stood, therefore, Mr. Gallatin could count with absolute certainty upon the determined personal hostility of General Smith, Mr. Giles, and Dr. Leib, backed by the vigorous tactics of Duane and the Aurora, and he had to decide the very serious question whether he should remain in the Cabinet in the face of so alarming a party defection, or whether he should give way to it and retire. On the 11th May, 1809, he wrote to Judge Nicholson that the ensuing session would decide this point. Judge Nicholson replied in his own impetuous style: “Your retiring from office is a subject upon which I do not like to reflect, because I believe that you will be a great public loss. It will be a loss that Mr. Madison will feel immediately, but the public will not perceive it in its full extent for some years. When the government gets entirely in the possession of those men who are resolved to seize it, and their selfish and mercenary motives and conduct are hereafter exposed, as they must be, the public will then perceive how important it would have been to retain a man who was at once capable and honest. But I think, were I in your situation, I This last paragraph is in reply to the concluding paragraph of Mr. Gallatin’s letter: “Mrs. Gallatin says that vice and intrigue are all-powerful here and there [in Baltimore]. I tell her that virtue is its own reward, and she insists that that language is mere affectation.” What Mr. Gallatin’s frame of mind now was may be seen from a letter to his old friend Badollet, whom he had sent out to the land-office at Vincennes, in the Indiana Territory, and who, discovering that vice and intrigue ruled even there, was carrying on a fierce and passionate struggle with General W. H. Harrison, the governor, to prevent the introduction of negro slavery. GALLATIN TO BADOLLET. Washington, 12th May, 1809. I have received your letter of 7th March, and am as desirous as yourself of a refreshing interview. The summer session has prevented my going to Fayette this spring, but I must go there either in August or September. I cannot yet determine the precise week or month, and will not be able to stay more than four or five days, unless I return at that time with my family for the purpose of permanently residing there, which is not impossible, though not yet decided on. The decision, not to induce you into As to your squabbles and disappointment, they are matters of course. At what time or in what country did you ever hear that men assumed the privilege of being more honest than the mass of the society in which they lived, without being hated and persecuted? unless they chose to remain in perfect obscurity and to let others and the world take their own course, and in that case they can never have been heard of. All we can do here is to fulfil our duty, without looking at the consequences so far as relates to ourselves. If the love and esteem of others or general popularity follow, so much the better. But it is with these as with all other temporal blessings, such as wealth, health, &c., not to be despised, to be honestly attempted, but never to be considered as under our control or as objects to which a single particle of integrity, a single feeling of conscience should be sacrificed. I need not add that I preach better than I practise. Give my best and affectionate love to your worthy wife, who has been your greatest comfort in this world, and on whose judgment you may rely with great safety in any plan you may form. Ever yours. Mr. Gallatin did not follow the advice of Judge Nicholson. After the summer session of this year was over, the sudden disavowal by the British government of Mr. Erskine’s arrangement threw pressing burdens upon his shoulders. In reply to his summons to Washington, Mr. Madison wrote from Montpelier that he did not think his presence there necessary. On the 9th August the President’s proclamation was issued, accompanied by a circular from the Treasury reviving the Non-Importation Act, and the country settled back to its old condition of chronic complaint and discomfort. Nothing more could be done till the arrival of the new British envoy, Mr. Jackson, and the meeting of Congress, nor could energetic action be expected even then. After the proclamation was issued, Mr. and Mrs. Gallatin went into Virginia to visit the Madisons, and the whole party, towards the end of August, arrived at Monticello. While there, Mr. Gallatin opened his mind fully to his friends, and the triumvirate deliberated solemnly upon the situation. What passed can only be inferred from the two following letters. No decisive action was taken or asked. Mr. Gallatin went no further than to explain his difficulties, leaving Mr. Madison to act as he pleased. JEFFERSON TO GALLATIN. Monticello, October 11, 1809. Dear Sir—...I have reflected much and painfully on the change of dispositions which has taken place among the members of the Cabinet since the new arrangement, as you stated to me in the moment of our separation. It would be indeed a great public calamity were it to fix you in the purpose which you seemed to think possible. I consider the fortunes of our Republic as depending in an eminent degree on the extinction of the public debt before we engage in any war; because that done we shall have revenue enough to improve our country in peace and defend it in war without recurring either to new taxes or loans. But if the debt should once more be swelled to a formidable size, its entire discharge will be despaired of, and we shall be committed to the English career of debt, corruption, and rottenness, closing with revolution. The discharge of the debt, therefore, is vital to the destinies of our government, and it hangs on Mr. Madison and yourself alone. We will never see another President and Secretary of the Treasury making all other objects subordinate to this. Were either of you to be lost to the public, that great hope is lost. I had always cherished the idea that you would fix on that object the measure of your fame and of the gratitude which our country will owe you. Nor can I yield up this prospect to the secondary considerations which assail your tranquillity. For sure I am, they never can produce any other serious effect. Your value is too justly estimated by our fellow-citizens at large, as well as their functionaries, to admit any remissness in their support of you. My opinion always was that none of us ever occupied stronger ground in the esteem of Congress than yourself, and I am satisfied there is no one who does not feel your aid to be still as important for the future as it has been for the past. You have nothing, therefore, to apprehend in the dispositions of Congress, and still less of the President, who above all men is the most interested and affectionately disposed to support you. I hope, then, you will abandon entirely the idea you expressed to me, and that you will consider the eight years to come as essential to your political career. I should certainly consider GALLATIN TO JEFFERSON. Washington, November 8, 1809. Dear Sir,—I perused your affectionate letter of the 11th ult. with lively sensations of pleasure, excited by that additional evidence of your continued kindness and partiality. To have acquired and preserved your friendship and confidence is more than sufficient to console me for some late personal mortifications, though I will not affect to conceal that these, coming from an unexpected quarter, and being as I thought unmerited, wounded my feelings more deeply than I had at first been aware of. [Had I listened only to those feelings, I would have resigned and probably taken this winter a seat in Congress, which as a personal object would have been much more pleasing than my present situation, and also better calculated to regain the ground which to my surprise I found I had lost at least in one of the branches of the Legislature. After mature consideration I relinquished the idea, at least for that time, in a great degree on account of my personal attachment to Mr. Madison, which is of old standing, I am sure reciprocal, and strengthened from greater intimacy; and also because I mistrusted my own judgment, and doubted whether I was not more useful where I was than I could be as a member of Congress. All this passed in my mind before the last session; and the communication which I made to you at Monticello arose from subsequent circumstances.] Yet I can assure you that I will not listen to those feelings in forming a final determination on the subject on which I conversed with you at Monticello. The gratitude and duty I owe to the country which has received me and honored me beyond my deserts, the deep interest I feel in its future welfare and prosperity, the confidence placed by Mr. Madison in me, my personal and sincere attachment for him, the desire of honorably acquiring some share of reputation, every public and private motive would induce me not to abandon my post, if I am permitted to retain it, and if my remaining in office can be of public utility. But in both respects I have strong apprehensions, to which I alluded in our conversation. It has seemed to me from various circumstances that those who thought they had injured were disposed to destroy, and that they were sufficiently skilful and formidable to effect their object. As I may not, however, perhaps see their actions with an unprejudiced eye, nothing but irresistible evidence both of the intention and success will make me yield to that consideration. But if that ground which you have so forcibly presented to my view is deserted; if those principles which we have uniformly asserted and which were successfully supported during your Administration are no longer adhered to, you must agree with me that to continue in the Treasury would be neither useful to the public or honorable to myself. The reduction of the public debt was certainly the principal object in bringing me into office, and our success in that respect has been due both to the joint and continued efforts of the several branches of government and to the prosperous situation of the country. I am sensible that the work cannot progress under adverse circumstances. If the United States shall be forced into a state of actual war, all the resources of the country must be called forth to make it efficient, and new loans will undoubtedly be wanted. But whilst peace is preserved the revenue will, at all events, be sufficient to pay the interest and to defray necessary expenses. I do not ask that in the present situation of our foreign relations the debt be reduced, but only that it shall not be increased so long as we are not at war. I do not pretend to step out of my own sphere and to control the internal management Mr. Jefferson’s letter was obviously written not merely to encourage Mr. Gallatin, but to be shown to members of Congress. From it one would suppose that Mr. Gallatin had in the moment of departure merely suggested the possibility of his retirement; from Mr. Gallatin’s reply, which has no such semi-official reticence, the real import of the conversation, and the fact that it was addressed to Mr. Madison, are made evident. “Those who thought they had injured were disposed to destroy, and were sufficiently skilful and formidable to effect their object.” Mr. Gallatin’s life for the next four years was little more than a commentary on this paragraph. There has, perhaps, never in our history been a personal contest more As Mr. Gallatin had predicted, the mission of Mr. Jackson proved to be merely one more insult, and our government very soon put an end to its relations with him and sent him away; but, in doing so, Mr. Madison expressly declared the undiminished desire of the United States to establish friendly relations with Great Britain, so that the only effect of this episode was to procure one year more of delay; precisely the object which Mr. Canning had in view. As the country now stood, Mr. Canning’s policy had been completely successful; he had taken away the neutral commerce of the United States, and the United States had submitted to his will; he had taken away her seamen, and she forced her seamen to go. Just at this moment Mr. Canning himself was thrown out of office; his dictatorial temper met more resistance from his colleagues than from America, and he found himself a private man, with a duel on his hands, at the instant when his administration of foreign affairs was most triumphant. His successor was the Marquess Wellesley, The dismissal of Mr. Jackson immediately preceded the meeting of Congress; the interval was hardly sufficient to supply time for elaborating a new policy. The President’s message, sent in on the 29th November, 1809, was very non-committal on the subject of further legislation, and only expressed two opinions as to its character; he was confident that it would be worthy of the nation, and that it would be stamped with unanimity. What ground Mr. Madison had for this confidence, nowhere appears; and if he was honest in expressing this as an opinion rather than as a hope, he was very little aware of the condition of Congress; even Mr. Jefferson never was more mistaken. As usual, the task of creating and carrying through Congress the Executive policy fell upon Mr. Gallatin, and as usual, bowing to the necessities of the situation, he set himself to invent some scheme that would have a chance of uniting a majority in its support and of giving government solid ground to stand upon. The task was more than difficult, it was impossible. Since the war-policy broke down and the embargo was abandoned, no solid ground was left; Mr. Gallatin, however, had this riddle to solve, and his solution was not wanting in ingenuity. His report, sent in on December 8, 1809, for the first time announced a deficit. “The expenses of government, exclusively of the payments on account of the principal of the debt, have exceeded the actual receipts into the Treasury by a sum of near $1,300,000.” This was a part of the price of the embargo. For the next year authority for a loan of $4,000,000 would be required in case the military and naval expenditure were as large as in 1809; if Congress should resolve on a permanent increase in the military and naval establishments, additional duties would be requisite; if not, a continuation of the Mediterranean Fund would be sufficient. But the essence of the report lay in its last paragraph. “Whatever 1810. This report, as already said, was sent to Congress on the 8th December, 1809. On the 19th December, Mr. Macon, from the Committee on Foreign Relations, reported a bill which was understood to come from the Treasury Department, and which explained the somewhat obscure suggestion in the last lines of the report. This bill, commonly known as Macon’s bill, No. 1, contained twelve sections. The 1st and 2d excluded English and French ships of war from our harbors; the 3d excluded English and French merchant vessels from our harbors; the 4th restricted all importations of English and French goods to vessels owned wholly by United States citizens; the 5th, 6th, 7th, and 8th restricted these importations to such as came directly from England and France; the 9th authorized the President to remove these restrictions whenever either England or France should remove theirs; the 11th repealed the old The bill was in short a Navigation Act of the most severe kind, and met the orders in council and the French edicts on their own ground. The Federalists at once pointed out that the measure was a violent one; that it would be immediately met by Great Britain with retaliatory measures, and that the result must amount to a new embargo or to war. To this the supporters of the bill replied that government contemplated such retaliation; that it was intended to throw the burden upon England and compel her to carry it; that Congress had tried an embargo, the principle of which was non-exportation; that it had tried non-intercourse, the principle of which was non-importation; and now, since both these had failed, it must try a navigation law that could only be countervailed by restrictive measures to be carried out by England herself. The fact soon appeared that this bill was a very difficult one for its opponents to deal with; it did in fact strike out the only policy, short of war, which was likely to bring England to terms, and which, according to Mr. Huskisson’s assertion some years later, After more than a month of debate, Macon’s bill passed the House by 73 to 52, and went up to the Senate, where it was consigned to the tender mercies of General Smith and Mr. Giles. On the motion of General Smith, February 21, 1810, all the clauses except the 1st, 2d, and 12th were struck out by a vote of 16 to 11. The Senate debates are not reported, but General Smith subsequently made a speech on the bill, which he printed, and in which he took the ground that the measure was feeble, and that it was so strong as to justify England in confiscating all our trade. This was the ground also taken by the Aurora. General Smith proposed to arm our merchant vessels and furnish them convoy, a measure over and over again rejected. By a vote of 17 to 15 the Senate ultimately adhered to its amendments and killed the bill, Gallatin’s personal enemies deciding the result. Throughout all this transaction the Secretary of State had acted a curious part. Silent or assenting in the Cabinet, where, notwithstanding rumors to the contrary, there was always apparent cordiality, Mr. Smith’s conversation out-of-doors, and especially with opponents of the Administration, was very free in condemnation of the whole policy which he officially represented. Thus the policy of a Navigation Act was defeated, and another year was lost. Only at the very close of the session, when it became apparent that something must be done, Mr. Macon got his bill No. 2 before the House. This was on April 7, and on the 10th he wrote to Nicholson: “I am at a loss to guess what we shall do on the subject of foreign relations. The bill in the enclosed paper, called Macon’s No. 2, is not really Macon’s, though he reports it as chairman. It is in truth Taylor’s. This I only mention to you because when it comes to be debated I shall not act the part of a father but of a step-father.” After a violent struggle between the two Houses, a bill was at length passed, on May 1, 1810, which has strong claims to be considered the most disgraceful act on the American statute-book. It surrendered all resistance to the British and French orders and edicts; it repealed the non-importation law; it left our shipping unprotected to the operation of foreign municipal laws; it offered not even a protest against violence and robbery such as few powerful nations had ever endured except at the edge of the sword; and its only proposition towards these two foreign nations, each of which had exhausted upon us every form of insult and robbery, was an offer that if either would repeal its edicts, the United States would prohibit trade with the other. The imagination can scarcely conceive of any act more undignified, more cowardly, or, as it proved, more mischievous; but in the utter paralysis into which these party quarrels had now brought Congress, this was all the legislation that could be got, although, in justice to Congress, it is but fair to add that even this was universally contemned. The Administration had nothing to do but to execute it, and to make what it could of the policy it established. In the contest upon Macon’s bill, Mr. Gallatin had the President’s full support and co-operation. But in another and to him a much more serious struggle he stood quite alone, and all he could obtain from the President was that the Executive influence should not be thrown against him. The charter of the United These subjects, and a hasty report on domestic manufactures, occupied the session almost exclusively, so far as Mr. Gallatin was concerned. When Congress rose, on the 1st May, 1810, every one was obliged to concede that a more futile session had never been held, and the Aurora fulminated against Mr. Gallatin as the cause of all its shortcomings. More and more the different elements of personal discontent made common cause against the Secretary of the Treasury, and before the end of the year 1810 the Aurora and its allies opened a determined assault upon him with the avowed intention of driving him from office. It was in reference to these attacks, which incessantly recurred to the old stories of 1806, that Mr. Jefferson wrote to Mr. Gallatin as follows: JEFFERSON TO GALLATIN. 16 August, 1810. I have seen with infinite grief the set which is made at you in the public papers, and with the more as my name has been so much used in it. I hope we both know one another too well to receive impression from circumstances of this kind. A twelve years’ intimate and friendly intercourse must be better evidence to each of the dispositions of the other than the letters of foreign ministers to their courts, or tortured inferences from facts true or false. I have too thorough a conviction of your cordial good-will towards me, and too strong a sense of the faithful and able assistance I received from you, to relinquish them on any evidence but of my own senses. With entire confidence in your assurance of these truths I shall add those only of my constant affection and high respect. “The letters of foreign ministers to their courts” were Mr. Erskine’s despatches of December, 1808, to Mr. Canning, which had been printed in England, and, on reaching America, compelled Mr. Gallatin very reluctantly to make a public denial of their accuracy. GALLATIN TO JEFFERSON. 10th September, 1810. I need not say how much shocked I was by Mr. Erskine’s despatch. However reluctant to a newspaper publication and to a denial on matters of fact, I could not permit my name to be ever hereafter quoted in support of the vile charges of foreign partialities ascribed to you, and I knew that in that respect my disavowal would be decisive, for, if my testimony was believed, they did not exist, and if disbelieved, no faith could be placed Meanwhile, the situation of affairs abroad was more and more becoming the measure of American politics, and the question of war or peace was more and more clearly defined as the turning-point of Mr. Gallatin’s life. The exhaustion of the Treasury was alone, for him, a sufficient argument against war. He began to believe, and he was right in believing, that the worst had now passed; that, as America could hardly suffer more humiliation than she had already borne, her objects could perhaps be attained by peaceful methods; and almost mechanically, as the government became impressed with this conviction, the opposition, so far as it was personal, tended to the opposite side, and advocated war. There was no other ground to stand upon, unless they went frankly over to the Federalists, which was rapidly becoming inevitable if they continued their old tactics. Curiously enough, the feeble and disgraceful law of May 1, 1810, known as Macon’s law, had a more immediate effect on the situation abroad than any of the stronger measures which When the Act of May 1, 1810, commonly known as Macon’s Act, reached Paris, General Armstrong communicated it inofficially to the minister of foreign affairs, Champagny, Duke de Cadore, who laid it before the Emperor. According to all ordinary theories, the Act of May 1, by which the non-intercourse was repealed, would work against France and against France alone; by it America abandoned even the pretence of resisting the absolute domination of England on the seas, and accepted whatever commercial law she chose to impose. The Emperor, moreover, had no means of counteracting or punishing it. He had already resorted to the strongest measure at his command, and seized all the American vessels he could lay his hands on. These were now waiting condemnation. The next step was war, which would, of course, operate only to the advantage of England. For once Bonaparte was obliged to retrace his steps, or at least affect to do so. On the 5th August, therefore, the Duke de Cadore wrote to General Armstrong a letter, in which, with the usual effrontery This letter was curious in many ways, but it is to be observed more particularly that while Macon’s law required either belligerent to “so revoke or modify her edicts as that they shall cease to violate the neutral commerce of the United States,” the Emperor as a matter of fact revoked only the Berlin and Milan decrees, and said nothing of others still more offensive, especially the Rambouillet decree, then only four months old, under which he now held and meant to continue holding possession of all the American property in France,—a decree unknown to Congress when the law of May 1 was passed. Then came the Emperor’s master-stroke, which was to punish the Americans for blundering into success. Long unknown to our government, it was only revealed by accident to Mr. Gallatin when minister to France in 1821, after Napoleon and his decrees had been forgotten by all but the unhappy merchants whom he had plundered. At that time the Duke de Bassano, Napoleon’s Minister of State, had been allowed by the government of Louis XVIII. to return to Paris. He had preserved a register of the various acts and decrees of Napoleon, and was more intimate with their nature and bearing than any one even in the government of that time. To him the claimants sometimes applied for copies of documents to support their memorials, and he furnished them. On one occasion they sought the text of an order by which the proceeds of certain cargoes sequestered at Antwerp were transferred to the Treasury. The Duke furnished what he supposed to be the paper, and it was brought to Mr. Gallatin. The following extract from his despatch of 15th September, 1821, to the Department of State explains what this paper was, and what his sensations were in regard to it. “The enclosed copy of a decree dated at Trianon on the 5th of August, 1810, which has never been published nor, to my knowledge, communicated to our ministers or government, was obtained through a private channel.... It bears date the same day on which it was officially communicated to our minister that the Berlin and Milan decrees would be revoked on the first day of the ensuing November, and no one can suppose that if it had been communicated or published at the same time, the United States would, with respect to the promised revocation of the Berlin and Milan decrees, have taken that ground which ultimately led to the war with Great Britain. It is indeed unnecessary to comment on such a glaring act of combined injustice, bad faith, and meanness, as the enactment and concealment of that decree exhibits.” The text of this decree which proved how “His Majesty loves the Americans. Their prosperity and their commerce are within the scope of his policy;” and which was written with the same pen on the same day as that celebrated declaration of Napoleonic affection,—the full text of this decree may be seen attached to Mr. Gallatin’s despatch. When Mr. Gallatin, at sixty years of age, used language so strong as that just quoted and characterized an act as one of combined injustice, bad faith, and meanness, the world may very reasonably conclude that he was unusually moved. On another occasion he called it “a mean and perfidious act.” There was What share Mr. Gallatin now had in deciding the action of the President is unknown. In the absence of evidence to the contrary it is to be presumed that he at least acquiesced in the decision of the Cabinet, yet not only is it clear that the letter of Champagny of August 5 was not a compliance with the terms of Macon’s Act; did not revoke or modify Napoleon’s edicts so as that “they shall cease to violate the neutral commerce of the United States,” and, therefore, that the President had no legal power to act as though it did; but it is clear, from Secretary Smith’s letter on the subject to General Armstrong, dated November 2, 1810, that the President was aware of the fact and escaped it only by strange subterfuge. Already on the 5th July Mr. Smith had instructed General Armstrong that “a satisfactory provision for restoring the property lately surprised and seized by the order or at the instance of the French government must be combined with a repeal of the French edicts, with a view to a non-intercourse with Great Britain, such a provision Union being an indispensable evidence of the just purpose of France toward the United States.” Yet, on the 2d November, writing to General Armstrong that the President had issued his proclamation against England on the strength of the French revocation of the Berlin and Milan decrees alone, Mr. Smith could only justify this evident abandonment of his former and correct ground by adding: “You will, however, let the French government understand that this has been done on the ground that the repeal of these decrees does involve an extinguishment of all the edicts of of France actually violating our neutral rights.... It is to be remarked, moreover, that in issuing the Proclamation it has been presumed that the requisition contained in that letter [of July 5], on the subject of the sequestered property, will have been satisfied;” and the writer goes on to show on what evidence this presumption rested. That is to say, President Madison did an act which he recognized as one of doubtful propriety, on the ground of two assumptions of fact, neither of which had the smallest foundation. If this were the case in November, Mr. Madison would have done better not to have said in July that a revocation of the Rambouillet decree was an indispensable evidence of the Emperor’s intentions, and also that he assumed, on the part of the French government, an extinguishment of all its edicts and a restoration of the sequestered property as the ground of his proclamation. Moreover, if this were the case, it is not quite plain why Mr. Gallatin should have declared in 1821 that a knowledge of the secret Trianon decree would have prevented Mr. Madison from issuing that proclamation. The Trianon decree was merely the authority for acts which were notorious. Although there is not a shadow of evidence to show what Mr. Gallatin’s opinions on this question were, yet the result of the decision was so important in its ultimate bearings upon his fortune that the subject could not be left unmentioned. In Mr. Madison’s private letters of this time there is a disposition clearly evident to subordinate all other considerations to the object of bringing England to terms, and this doubtless was the tendency of public feeling. Acting on this principle, the Administration decided that Champagny’s announcement of the intended revocation of the Berlin and Milan decrees was a sufficient fulfilment of the terms of Macon’s Act, and accordingly, on the 1st November, issued the proclamation to that effect. Simultaneously Mr. Gallatin issued a circular to the collectors announcing that after the 2d February, 1811, all intercourse with Great Britain and her dependencies would cease. In this there was nothing unfair to England. Napoleon had in appearance been compelled to give way, and the United States Though there is reason to regret that Mr. Madison should have made himself so eagerly the dupe of Napoleon, and though there seems to be something surprising in the irritation of Mr. Gallatin on discovering only one among the many instruments of the Emperor’s duplicity, the good faith of the American government cannot fairly be called in question. The situation of the United States as regarded England was intolerable, and Mr. Madison snatched at any fair expedient to escape it. England alleged that the Berlin and Milan decrees were the cause of her orders in council. The United States, by a lucky stroke of legislation, compelled Napoleon to promise revocation of those decrees on a certain day, and then turned that promise against England. England refused belief in it, which was reasonable enough, but in reality had those decrees been the only cause of the orders in council, the alleged revocation would have afforded ample excuse for England’s concession. On both sides the diplomatic veil was transparent. Napoleon, in fact, had not revoked his decrees, as he unblushingly avowed within the next year, while England cared nothing for those decrees, except so far as they were mere municipal regulations; so far as they violated international law on the ocean they were, indeed, quite ineffective. Such was the situation of affairs when Congress met on the 3d December, 1810. One more step had been taken, but no man could certainly say whether it was towards a solution. Meanwhile, Mr. Gallatin was burdened with an undertaking that plunged him deeper into the miserable complications of political warfare, disorganizing his followers and his friends, stimulating personal hostilities, and yet leaving him no choice of action. The question of the bank charter was to be decided this winter before the Congress expired on the 4th March, 1811. As a matter of public welfare, more especially in the situation the country now occupied, Mr. Gallatin was obliged to do his utmost to prevent the destruction of the bank. It was no mere matter of party or of personal feeling; the bank at that moment was essential to public safety; to lose it might be a question of national life. Every argument which Mr. Gallatin could use was put to the service of the bill. He was its open and earnest advocate both in his special reports and in his conversation, yet even the malignity of the Aurora and the less bitter but perhaps more dangerous hostility of the Richmond Enquirer failed to find in them a single expression that could be made to rouse personal irritation or popular feeling. He conducted his case with all his usual temper, tact, and persistence; it is due also to his opponents in Congress to say that they avoided personal attacks upon him, at least for the most part, and left vituperation to the press. Not the less, however, was it distinctly understood that the bank was the test of Mr. Gallatin’s power; that its overthrow was one and the most important step towards driving him from office; and that nothing less than the overshadowing growth of his influence could possibly make the continued existence of the bank even a subject of discussion in the Republican party. The debate in the House was long and able, but when a vote was reached on January 24, 1811, the numbers stood 65 to 64 in favor of indefinite postponements. Many of Mr. Gallatin’s best friends voted with the majority; the Federalists in a mass voted on his side; his personal enemies turned the scale. Whatever Mr. Macon was probably mistaken in thinking that the President had changed his position; the letter is curious as showing what confusion Mr. Madison’s course created, but the story itself was apparently a mere rumor set afloat by the enemies of the bank, those “invisibles,” as the Smith faction were significantly called by Mr. Macon and his friends, and whose alliance with the Aurora was now complete. A few days later, on the 9th February, Mr. Macon wrote: “It seems to me not very improbable that Mr. Madison’s Administration may end something like Mr. Adams’s. He may endeavor to go on with the government with men in whom he has not perfect confidence, until they break him down, and then, as John did, turn them out after he has suffered all that they can do to injure him. It is true, if he means ever Meanwhile the debate on the bank charter had begun in the Senate, and a curious debate it was. Mr. William H. Crawford, of Georgia, appeared as Mr. Gallatin’s champion, and supported the charter with such energy, courage, and ability as earned Mr. Gallatin’s lasting gratitude, and made Mr. Crawford the representative of the Administration in the Senate, and the favorite candidate of the Jeffersonian triumvirate for succession to the Presidency. Mr. Giles, on the other hand, spoke judicially. The Legislature of Virginia, like the Legislatures of Pennsylvania and Kentucky, had instructed their Senators to vote against the charter. Mr. Giles declared himself a representative of the people of the United States, not a mere agent of the Virginia Legislature, and his speech was an elaborate effort at candid investigation, unaffected, as he averred, by his personal sentiments towards the Secretary of the Treasury. But he, too, at last concluded that the bank was a British institution, which had not prevented the orders in council or the attack on the Chesapeake, and therefore should be suppressed. He admitted that the time was inauspicious for putting an end to the establishment, but the danger from British influence was greater than the danger from financial confusion. Henry Clay, the young Senator from Kentucky, followed and ridiculed the ponderous Mr. Giles, who had “certainly demonstrated to the satisfaction of all who heard him, both that it was constitutional and unconstitutional, highly proper and improper, to prolong the charter of the bank.” Mr. Clay was not disposed to enlist with Mr. Giles in factious opposition to the government, but he was still less disposed to join Mr. Crawford in its support; he hotly denied the constitutionality of the charter, and, like Mr. Giles, he declared that the bank was responsible for not preventing impressments and orders in council. Then General Smith, in a speech covering two days, proved that the whole theory of the usefulness of a national bank was a delusion; that State institutions were better depositaries of the public money; that the Secretary of the Treasury On the 20th February, 1811, the Senate reached a vote. It was 17 to 17, and the Vice-President, George Clinton, whose personal hostility to the President was notorious, decided the question in the negative. Among the votes which then settled the fate of the bank, and incidentally the fate of Mr. Gallatin, were those of Joseph Anderson, of Tennessee, Henry Clay, of Kentucky, William B. Giles, of Virginia, Michael Leib, of Pennsylvania, and Samuel Smith, of Maryland. Readers who are curious in matters of biography will naturally ask how the opinions of these men stood the test of time. Less than four years later, after Mr. Gallatin had been fairly driven from the Treasury, his most intimate friend, Alexander J. Dallas, was called to fill the place. Government was bankrupt, the currency in frightful disorder, and loans impracticable. Mr. Dallas, as his last resource, insisted upon a bank, and he got it. Michael Leib was then no longer in the Senate; his political career had come to an untimely end. Gideon Granger, Postmaster-General, and one of the factious number, had exhausted President Madison’s patience by appointing Leib postmaster at Philadelphia, and had lost his office in consequence; Leib was removed, and disappeared into political obscurity. Giles was consistent in opposing the bank, and in 1816, so soon as his senatorial term expired, he too subsided into obscurity, from which he only rescued himself by his success in using the same tactics against John Quincy Adams that he had used against Albert Gallatin. Anderson, Clay, and Smith have left their names recorded among the supporters of the new charter. Thus, in the face of difficulties and dangers such as might well have appalled the wisest head and the stoutest heart, the Legislature deprived the Executive of the only efficient financial agent it had ever had. What the financial consequences of destroying the bank actually were will be seen presently; it is enough to say that Congress acted in this instance with a degree John Randolph was one of those who saw most clearly through the intrigues that beset the government. Never strong in common sense, Randolph’s mind was yielding more and more to those aberrations which marked his later years. Though all intimacy of relation between the two men had long ceased, Randolph had yet preserved as much respect for Gallatin as his universal misanthropy permitted, while at the same time his contempt for “the invisibles” was unbounded. Whatever mistakes Randolph made, he at least never descended so low as to make the Aurora his ally. On the 14th February he wrote to Judge Nicholson: “Giles made this morning the most unintelligible speech on the subject of the Bank of the United States that I ever heard. He spoke upwards of two hours; seemed never to understand himself (except upon one commonplace topic of British influence), and consequently excited in his hearers no other sentiment but pity or disgust. But I shall not be surprised to see him puffed in all the newspapers of a certain faction. The Senate have rejected the nomination of Alex. Wolcott to the bench of the Supreme Court—24 to 9. The President is said to have felt great mortification at this result. The truth seems to be that he is President de jure only. Who exercises the office de facto I know not, but it seems agreed on all hands that ‘there is something behind the throne greater than the throne itself.’ I cannot help differing with you respecting [Gallatins]’s resignation. If his principal will not support him by his influence against the cabal in the ministry itself, as well as out of it, a sense of self-respect, it would seem to me, ought to impel him to retire from a situation where, with a A few hours later he added: “Since I wrote to you to-night, Stanford has shown me the last Aurora,—a paper that I never read, but I could not refrain, at his instance, from casting my eyes over some paragraphs relating to the Secretary of the Treasury. Surely, under such circumstances, Mr. G. can no longer hesitate how to act. It appears to me that only one course is left to him,—to go immediately to the P., and to demand either the dismissal of Mr. [Smith] or his own. No man can doubt by whom this machinery is put in motion. There is no longer room to feign ignorance or to temporize. It is unnecessary to say to you that I am not through you addressing myself to another. My knowledge of the interest which you take not merely in the welfare of Mr. G., but in that of the State, induces me to express myself to you on this subject. I wish you would come up here. There are more things in this world of intrigue than you wot of, and I should like to commune with you upon some of them.” Again, on February 17, Randolph wrote: “I am not convinced by your representations respecting [Gallatin], although they are not without weight. Surely it would not be difficult to point out to the President the impossibility of conducting the affairs of the government with such a counteraction in the very Cabinet itself, without assuming anything like a disposition to dictate. Things as they are cannot go on much longer. The Administration are now in fact aground at the pitch of high tide, and a spring tide too. Nothing, then, remains but to lighten the ship, which a dead calm has hitherto kept from going to pieces. If the cabal succeed in their present projects, and I see nothing but promptitude and decision that can prevent it, the nation is undone. The state of affairs for some time past has been highly favorable to their views, which at this Randolph did not know that even as early as the autumn of 1809 Mr. Gallatin had strained his influence to the utmost to offer “timely resistance to their schemes;” and even Randolph, on reflection, doubted “whether Madison will be able to meet the shock of the Aurora, Whig, Enquirer, Boston Patriot, &c., &c.; and it is highly probable that, beaten in detail by the superior activity and vigor of the Smiths, he may sink ultimately into their arms, and unquestionably will, in that case, receive the law from them.” In all this confusion one thing was clear,—Mr. Gallatin’s usefulness was exhausted. There are moments in politics when great results can be reached only by small men,—a maxim which, however paradoxical, may easily be verified. Especially in a democracy the people are apt to become impatient of rule, and will at times obstinately refuse to move at the call of a leader, when, if left to themselves, they will blunder through all obstacles, blindly enough, it is true, but effectually. Mr. Gallatin was now an impediment to government, even though it was conceded that the Treasury could not go on without him; that the party contained no man who could fill his place; that if he retired, confusion must ensue. To Mr. Madison the loss would of course be extremely embarrassing; for ten years Gallatin had taken from the President’s shoulders the main burden of internal administration and a large part of the responsibilities of foreign relations; his immense knowledge, his long practical experience, his tact, his fertility of resource, his patience, his courage, his unselfishness, his personal attachment, his retentive memory, even his reticence, were each and all impossible to replace. The material from which Mr. Madison would have to draw was, in comparison, ridiculously unequal to the draft. For ten years the triumvirate had looked about them to find allies and successors; John Randolph had failed them from sheer inability to All this was urged at the time, and was obvious enough to the great body of Republicans in Congress; and yet, granting all this, it was answered that Mr. Gallatin had better retire. Undoubtedly the business of the Treasury would break down; that is to say, the public interests would for a time be ignorantly, wastefully, and perhaps corruptly managed; undoubtedly Mr. Madison would be left in a most unpleasant situation, and would find his personal difficulties vastly increased; Congress and the press would precipitate themselves upon him instead of upon Mr. Gallatin, and he would inevitably be swept away by the torrent. This, however, would be only temporary; the evil would cure itself; faction would produce force to oppose it, and a generation of younger men would invent its own processes to solve its own problems. Mr. Gallatin saw the situation as clearly as any disinterested spectator could have done, and fully accepted it. At the close of the bank struggle he recognized that he was defeated and that his power for good was gone. It was at once rumored that he would resign. Judge Nicholson wrote on the 6th March, two days after the session ended: “Randolph is here, and told me that a friend mentioned to him that you would probably resign in September, as it would take you till that time to arrange the matters in the Treasury. He did not say in express terms, but I collected that he alluded to Crawford, and I fear that the joint remonstrances of his friends here have not had their due weight with Mr. M.” The following letter, printed from a first draft without date, GALLATIN TO MADISON. [March 4, 1811.?] Dear Sir,—I have long and seriously reflected on the present state of things and on my personal situation. This has for some time been sufficiently unpleasant, and nothing but a sense of public duty and attachment to yourself could have induced me to retain it to this day. But I am convinced that in neither respect can I be any longer useful under existing circumstances. In a government organized like that of the United States, a government not too strong for effecting its principal object, the protection of national rights against foreign aggressions, and particularly under circumstances as adverse and embarrassing as those under which the United States are now placed, it appears to me that not only capacity and talents in the Administration, but also a perfect, heartfelt cordiality amongst its members, are essentially necessary to command the public confidence and to produce the requisite union of views and action between the several branches of government. In at least one of those points your present Administration is defective, and the effects, already sensibly felt, become every day more extensive and fatal. New subdivisions and personal factions equally hostile to yourself and the general welfare daily acquire additional strength. Measures of vital importance have been and are defeated; every operation, even of the most simple and ordinary nature, is prevented or impeded; the embarrassments of government, great as from foreign causes they already are, are unnecessarily increased; public confidence in the public councils and in the Executive is impaired, and every day seems to increase every one of those evils. Such state of things cannot last; a radical and speedy remedy has become absolutely necessary. What that ought to be, what change would best promote the success of your Administration and the welfare of the United States, is not for me to say. I can only judge for myself, and I clearly perceive that my continuing a member of the present Administration is no longer of This letter, backed by the remonstrances of Crawford and others, produced a Cabinet crisis. Mr. Madison declined to accept it, and appears either to have returned it to Mr. Gallatin or to have burned it, for it is not to be found among his papers. He then took a step necessary in any event; he dismissed his Secretary of State, and authorized Mr. Gallatin to sound James Monroe, then Governor of Virginia, as to his willingness to enter the Cabinet. Mr. Gallatin applied to Richard Brent, a Senator from Virginia, who appears to have written to Mr. Monroe somewhere about the 7th March, but who did not receive a reply till the 22d. “You intimate,” said Mr. Monroe, “that the situation of the country is such as to leave me no alternative. I am aware that our public affairs are far from being in a tranquil and secure state. I may add that there is much reason to fear that a crisis is approaching of a very dangerous tendency; one which menaces the overthrow of the whole Republican party. Is the Administration impressed with this sentiment and prepared to act on it? Are things in such a state as to allow the Administration to take the whole subject into consideration and to provide for the safety of the country and of free government by such measures as circumstances may require and a comprehensive view of them suggest? Or are we pledged by what is already done to remain Mr. Monroe received the desired assurances, and assumed the new office on the 1st April, 1811. Mr. Robert Smith went out, and issued a manifesto against the government, in which, among numerous ill-digested and incongruous subjects of complaint, there were one or two which showed how serious a misfortune his incompetence had been. A newspaper war ensued, and curious readers may find in the National Intelligencer all the literature of the Smith controversy which they will need to satisfy their doubts. Mr. Smith had much the same fate as Colonel Pickering ten years before; he found that even his friends showed a certain unwillingness to fight his battles. Before the end of the summer it had become evident that Mr. Smith was reduced to insignificance, and it hardly needed the mild severity of Mr. Madison or the newspaper rhetoric of Joel Barlow to accomplish this; Mr. Smith’s own clerk was equal to the task. The change in the State Department was a great relief to the President, and perhaps he may have asked the question why he had ever allowed himself to be dragooned into the fatal appointment The charges of embezzlement and wholesale speculation in public lands, of immense wealth and limitless corruption, were probably harmless; they affected only the groundlings; but the insidious elevation of Mr. Gallatin, the displaying him as an irresistible magician whose touch was superhuman; the ascribing to him every power and every act that emanated from government, and the concentration upon him of the whole blaze of attack, destroyed his usefulness by indirection. No man can afford to stand in this attitude; it creates jealousies, estranges precisely the men of force and character who value their own independence, exposes to the attacks and obstructions of those who wish to be known by the greatness of their enmities, and in a manner stifles direct and warm co-operation. In such cases every newspaper, every Congressman, and every small politician thinks it necessary to protest that he is not under the alleged influence; that he is not afraid to oppose it; and that he holds a position of judicial “These repeated attacks are enough to beat down even you,” wrote Judge Nicholson. And Mr. Dallas, in a letter dated 21st April, 1811, added: “If Mr. Jefferson and his powerful friends at Washington, in the year 1805, had not given their countenance to the proscriptions of the Aurora, the evils of the present time would not have happened. I do not say this by way of reproach, but to point out the true cause why no man of real character and capacity in the Republican party of Pennsylvania has the power to render any political service to the Administration. It rests with Duane and Binns to knock down and set up whom they delight to destroy or to honor. In the present conflict, so far as you are personally concerned, I see with pride and pleasure that the influence of Duane is at an end.” Even Mr. Jefferson was now obliged to choose sides. It is, perhaps, useless to expect that a public or private man will deal harshly with followers and flatterers; Duane had served Jefferson well, and Jefferson clung to him as to a wayward child; but now that Mr. Gallatin had at last forced the issue, Mr. Jefferson came to the President’s support, and, stimulated by the blunt response of Wirt and the Richmond Republicans that Duane might go to the Smiths for money but would not get it from them, he wrote Duane a letter to say, with a degree of tenderness that seems to the cold critic not a little amusing, that the Aurora had gone too far and was to be read out of the party. This was well enough; but the curb, as Mr. Dallas very properly said, should have been applied five years before; the harm was done, and it made very little difference whether the Aurora were in opposition or not; perhaps, indeed, it was already more dangerous in friendship than in enmity. Mr. Gallatin himself was far from exulting over the fall of Robert Smith. There was something humiliating in the mere thought that he should have been pitted against so unsubstantial A. J. DALLAS TO GALLATIN. 24th June, 1811. Dear Sir,—I do not know the arrangements to fill the vacancy occasioned by the death of Judge Chase. I do not wish to suggest any name from personal feelings. But perhaps it may be useful that you should know that Mr. Ingersoll would accept the appointment, as far as I can infer from his conversations during the vacancy occasioned by Judge Cushing’s death. Do you not think Pennsylvania entitled to some notice? Everybody else A. J. DALLAS TO GALLATIN. Private and confidential: if such a thing can be. 24th July, 1811. Dear Sir,—I wrote to you respecting the vacancy on the bench of the Supreme Court. I have, perhaps, no right to expect an answer in these times. But reports are so strange upon the succession to Judge Chase that I beg you explicitly to understand the sense of the Pennsylvania profession, Federal, Republican, Quid, and Quadroon. We do not think that the successor named in the public prints is qualified in any respect for the station. I care not who is appointed, provided he is fit in talents, in experience, and in manners; but, for Heaven’s sake, do not make a man a judge merely to get rid of him as a statesman. Poor Pennsylvania! Except yourself, who has been distinguished by Federal favor? Local offices must have local occupants; but from the commencement of the Federal government, and particularly from the commencement of the Republican Administration, what citizen of Pennsylvania has been invited by the Executive to share in Federal honors? There are the exceptions of Judge Wilson and Mr. Bradford, appointed by President Washington; but they are merely exceptions to my remark. Look at the judiciary establishment! There are seven judges. Four reside on the south of the Potomac. Two reside in Virginia. The Attorney-General resides in Delaware. For the whole region beyond the Potomac, north-east, there are two judges. The report states that another judge is to be taken from Delaware, and an Attorney-General from Maryland! I am cordially attached to the whole Administration. Of you personally I only think and speak as of a brother. But really, knowing that no confidence has ever been placed in me upon political subjects, and not knowing where your confidence is now placed, I do not understand your measures, nor am I acquainted with your friends. It is not the puff of a toast nor the flattery of a newspaper squib that can maintain the Republican cause or vindicate the Administration from reproach. A free press is an This letter I have a strong inclination to address to Mrs. Gallatin; for as men have ceased to keep secrets, I hope it will cease to be a wonder that a lady should keep them. But I will content myself with requesting you to tell her that if there is a Had Mr. Gallatin controlled the action of the Executive, he would long since have thrown Duane into open opposition, where he would have been harmless. Duane was simply a blackguard, of a type better understood now than then. That he had good qualities is evident from the descendants he left behind him, but these qualities had not been trained to excellence. The only way to deal with him was the direct way, and the only argument he would listen to was the coarse argument of the truth. From the first, however, both Mr. Jefferson and Mr. Madison sacrificed their Secretary of the Treasury to this profligate adventurer, whom they conciliated, flattered, persuaded, argued with, and supported by public and private aid. On this subject Mr. Gallatin never opened his lips; the letter of Mr. Dallas, quoted above, shows that even to him, his oldest and most intimate political friend, he never mentioned it. He even submitted to bear, without reply, the sharp criticisms of Mr. Dallas on his own silence, and reflections manifestly unjust. That the manner of Mr. Jefferson and Mr. Madison towards Duane cut deeply into the susceptibilities of Mr. Gallatin is certain; but, with the exception of one single expression, he never by word or sign intimated his sense of the indignity he felt himself to be receiving at their hands. His loyalty to his chiefs was too entire to be shaken for so mean a cause. With this wound incessantly smarting at his heart; with all his great schemes and brilliant hopes of administrative success shattered into fragments; with a majority of bitter personal enemies in the Senate eager to obstruct every inch of his path; with a great part of his administrative machinery snatched out of his hands, and utter financial confusion around him; with a war against the richest and most powerful nation in the world staring him in the face, and almost certain domestic treason behind; with his own expedients invariably defeated, and with the most contemptible and shifting experiments in politics forced into his hands, Mr. Gallatin was now called upon to take up his burden again and march. He could not escape. Mr. Madison’s friendship, Of his whole public life, the next year, which should be the most important, is the most obscure. He wrote none but public letters. He never recurred to the time with pleasure, and he left no notes or memoranda to explain his course. Much, therefore, must be left to inference, something may be drawn from scattered hints, and most must depend on the well-known traits of his character and his habits of thought. The last Congress had, before adjournment, sanctioned the President’s course in reviving the non-intercourse with England on the strength of the supposed revocation of the Berlin and Milan decrees by Napoleon. The Administration party, in doing this, took the ground that the act was the necessary result of a contract with France already carried into effect by her. Thus the United States took one more step towards war with England by precluding herself from acting in any other direction than as the Emperor wished; even the most flagrant deception on his part could not shake the compact so far as America was concerned. For the wholesale robbery committed on American property in Europe by the Emperor’s order, the United States mildly asked compensation. At about the same time Russia, then on the friendliest terms with France, directed her minister at Paris to intercede in favor of a similar claim on the part of Denmark. To Count Romanzoff’s representation Bonaparte only replied: “Give them a very civil answer: that I will examine the claim, et cetera; mais on ne paye jamais ces choses-lÀ, n’est-ce pas?” The President and his Cabinet did not want war, but, if the people demanded it, they were not disposed to resist. Mr. Madison would not allow his Administration to fall behind the public feeling in its assertion and maintenance of national dignity; nevertheless, Mr. Madison seems at this moment to have had only a very vague conception of what he himself did want. Although he had a superfluity of only too good causes for war with Great Britain, he allowed himself to be hoodwinked by France into an untenable statement of his case against the British government. He then called Congress together on the 4th November, which was hardly a peace measure. Possibly he underestimated the temper of that body, for his message, sent in on the 5th November, 1811, though high in tone, did not recommend war; it recommended that “a system of more ample provisions for maintaining” national rights should be provided; it recommended Congress to put the country “into an armor and an attitude demanded by the crisis,” namely, the filling up the regular army, providing an auxiliary force, volunteer corps and militia detachments, and organizing the militia; but government had urged nearly all this for years past. Yet on the 15th November, only ten days later, Mr. Madison fully understood the situation, for he wrote to Europe that, as between submission and hostilities, Congress favored the latter, though it would probably defer action till the spring. Mr. Gallatin’s report, which was sent in on the 25th November, was equally cautious. For the past year the Treasury showed a surplus of over $5,000,000, owing to the large importations under the system of open trade previous to February, 1810; but for the next year the estimated expense of increased The public debt of the United States extinguished between the 1st April, 1801, and the 31st December, 1811, amounted to the sum of $46,022,810, and there remained on the 1st January, 1812, $45,154,189 of funded debt, bearing an annual interest of $2,222,481. This represents all that was directly accomplished by Mr. Gallatin towards his great object of the extinction of debt. This result had been accompanied by the abandonment of the internal taxes and the salt tax, but also by the imposition of the 2½ per cent. ad valorem duties known as the Mediterranean Fund. “It therefore proves decisively,” said the report, “the ability of the United States with their ordinary revenue to discharge in ten years of peace a debt of forty-two millions of dollars; a fact which considerably lessens the weight of the most formidable objection to which that revenue, depending almost solely on commerce, appears to be liable. In time of peace it is almost sufficient to defray the expenses of a war; in time of war it is hardly competent to support the expenses of a peace establishment. Sinking at once under adverse circumstances from fifteen to six or eight millions of dollars, it is only by a persevering application of the surplus which it affords in years of prosperity to the discharge of the debt, that a total change in the system of taxation, or a perpetual accumulation of debt, can be avoided.” The report went on to discuss the provision to be made for ensuing years. The present revenue, under existing circumstances, was estimated at $6,600,000; the expenditure at $9,200,000. To provide for the deficiency an addition of fifty per cent. to the existing duties on imports would be required, and was preferable to any internal tax. “The same amount of revenue would be necessary, and, with the aid of loans, would, it is believed, be sufficient in case of war.” By inadvertence, Mr. Gallatin made here an important omission. He was speaking only of “fixed revenue,” sufficient to defray the ordinary expenses of government; and, as he was afterwards obliged to explain, this expression was wrongly applied to the case of war. He He then came to the question of loans, and expressed the opinion that in case of war “the United States must rely solely on their own resources. These have their natural bounds, but are believed to be fully adequate to the support of all the national force that can be usefully and efficiently employed;” but it was to be understood that if the United States wished to borrow money it must pay for it: “It may be expected that legal interest will not be sufficient to obtain the sums required. In that case the most simple and direct is also the cheapest and safest mode. It appears much more eligible to pay at once the difference, either by a premium in lands or by allowing a higher rate of interest, than to increase the amount of stock created, or to attempt any operation which might injuriously affect the circulating medium of the country;” and he proceeded to show that “even” if forty millions were borrowed, the difference between paying eight and six per cent. would be only $800,000 a year until the principal was reimbursed. These were the chief points of the report, and taken with the tone of the message they indicate clearly enough that the Administration, now as heretofore, whatever the private feelings of its members might be, was prepared to accept any distinct policy which Congress might lay down. One of the main grounds of attack upon Mr. Gallatin was that he had habitually alarmed the public with the poverty of the Treasury, and by doing so had checked energetic measures of defence. The charge was so far true that Mr. Gallatin had never concealed or attempted to color the accounts of the Treasury. On this occasion he probably aimed, as was always his habit, at furnishing Congress with as favorable an estimate as the truth would permit, with a view to obtaining united and cordial co-operation between the Executive and Congress. His only mistake was in accepting the estimates of war expenditure then current. He himself could not wish for war, and still hoped to avoid it; he knew that the Treasury, The President and the Secretary of the Treasury were therefore in perfect accord; they did not recommend war, but they recommended immediate and energetic preparation. The President advised Congress to provide troops; the Secretary recommended increased taxes and a loan of $1,200,000, to pay these troops and support them. This was the extent of their recommendations, and it remained for Congress to act. Congress did indeed act; within a very short time it was clear that Mr. Madison had no control over its proceedings. To Mr. Gallatin the action of Congress was merely a sign that, as his influence in the Senate had long since vanished, his influence in the House had now followed it, and that for the future he could expect no friendly co-operation from the Legislature. At first, indeed, the proceedings of both bodies were in outward accord with the Executive recommendations; the reports of committees, and the House bill introduced in pursuance of them, were such as Mr. Madison had suggested; the only warlike measure proposed was that of permitting merchant vessels to arm. The Senate, however, very soon returned to its old tactics. Mr. Madison, as was well understood, asked only for an army of ten thousand men, and his recommendations were referred to a committee, of which Mr. Giles was the chairman, who immediately reported a bill for raising twenty-five thousand men, and in a speech on the 17th December fairly took the ground that his principal motive was to annoy the Secretary of the Treasury. Mr. Giles declared himself a friend of peace; no man more deprecated war; but “if war should now come, it would be in consequence of the fatal rejection of the proposed measures of preparation for war.” The only reason for rejecting them he averred to be “the decrepit state of the Treasury and the financial fame of the gentleman at the head of that Department.” He launched into a bitter attack upon Mr. Gallatin, thoroughly in the spirit of Duane and the Aurora. Considering that he was playing with such tremendous interests, Mr. Giles carried his bill through the Senate; Clay and Lowndes carried it through the House. The war spirit meanwhile was rapidly rising; resolutions poured in from the State Legislatures; Congress hurried into further measures. What Mr. Madison thought of these is shown in a letter of his to Mr. Jefferson, dated February 7, 1812: “The newspapers give you a sufficient insight into the measures of Congress. With a view to enable the Executive to step at once into Canada, they have provided, after two months’ delay, for a regular force, requiring twelve to raise it, on terms not likely to raise it at all for that object. The mixture of good and bad, avowed and disguised Although Mr. Gallatin had lost his old control in the House, he still preserved his influence with the Committee of Ways and Means and its chairman, Ezekiel Bacon, of Massachusetts. To this committee the annual report of the Secretary of the Treasury was referred, and when it became clear that war was really imminent, the committee, early in December, requested Mr. Gallatin to appear before them to discuss the question of war taxes. Mr. Gallatin at once complied, and gave his opinions explicitly and emphatically: “I do not,” said he, “feel myself particularly responsible for the nation being in the position in which it now finds itself; it might perhaps have been avoided by a somewhat different course of measures, or the ultimate issue longer deferred. But, placed as it is, I see not how we can now recede from our position with honor or safety. We must now go on and maintain that position with all the available means we can bring to bear on the enemy whom we have selected, and we should in my judgment resort immediately to a system of taxation commensurate with the objects stated in my annual report and by the President in his message at the opening of the session.” This was a remarkable—for Mr. Gallatin’s calm temper, almost a defiant—document, written, said Mr. Bacon, “to the great disobligement, as we had reason to know, of some of his strong political friends at that time,” and intended to force Congress into an honest performance of its financial duties. This intent was marked by a defence of his own course which could not but read as a severe criticism of the course pursued by Congress. “It was stated,” said Mr. Gallatin, “in the annual report of December 10, 1808, that ‘no internal taxes, either direct or indirect, “The balance in the Treasury amounted at that time to near fourteen millions of dollars; but aware that that surplus would in a short time be expended, and having stated that the revenue was daily decreasing, it was in the same report proposed ‘that all the existing duties should be doubled on importations subsequent to the 1st day of January, 1809.’... If the measure then submitted had been adopted, we should, after making a large deduction for any supposed diminution of consumption arising from the proposed increase, have had at this time about twenty millions of dollars on hand,—a sum greater than the net amount of the proposed internal taxes for four years. “In proportion as the ability to borrow is diminished, the necessity of resorting to taxation is increased. It is therefore also proper to observe that at that time the subject of the renewal of the charter of the Bank of the United States had been referred by the Senate to the Secretary of the Treasury, nor had any symptom appeared from which its absolute dissolution, without any substitute, could have then been anticipated. The renewal in some shape and on a more extensive scale was confidently relied on; and accordingly, in the report made during the same session to the Senate, the propriety of increasing the capital of the bank to thirty millions of dollars was submitted, with the condition that that institution should, if required, be obliged to lend one-half of its capital to the United States. The amount thus loaned might without any inconvenience have been increased to twenty millions. And with twenty millions of dollars in hand, and loans being secured for twenty millions more, without any increase of the stock of the public debt at market, internal taxation would have been unnecessary for at least four years of war, nor any other resource been wanted than an additional annual loan of five millions, a sum sufficiently moderate to be obtained from individuals and on favorable terms.” Leaving Congress to reflect at its leisure upon the criticisms Five millions a year, therefore, must be raised by internal taxes, and Mr. Gallatin proposed to obtain three millions by a direct tax and two millions by excise, stamps, licenses, and duties on refined sugar and carriages. A few remarks on loans and Treasury notes closed the letter. This communication startled the House, and even produced an excitement of no ordinary nature. Congress suddenly awoke to the fact that the Secretary was in earnest, and that, if war came, Congress must learn to take advice. The faction that followed Mr. Giles and General Smith were not quick in learning this lesson, and fairly raved against the Secretary. What so exasperated them may be gathered best from a speech by Mr. Wright, of Maryland, one of the most extreme of the Smith connection. On March 2, 1812, he spoke thus: “Sir, at the last session, when the question for rechartering the odious British bank was before us, we had to encounter the influence of the Secretary of the Treasury.... Now at this session he has told us that, if we had a national bank, we should have no occasion to resort to internal taxes; thereby calling the American people to review the conduct of their representatives in not continuing that bank, and thereby to fix the odium of these odious taxes on the National Legislature. Now a system of taxes is presented truly odious, in my opinion, to the people, to disgust them with their representatives and to chill the war spirit. Yet it is, under Treasury influence, to be impressed on the Committee of Ways and Means, and through them on the House. Sir, I, as a representative of the people, feel it my duty to resist it with all my energies.... Sir, is there anything of The “invisibles,” however, were not the only class of men upon whom the war-budget fell with startling effect. Mr. Gallatin’s old friends with whom he had acted in 1792, when at the unlucky Pittsburg meeting they had united in declaring “that internal taxes upon consumption, from their very nature, never can effectually be carried into operation without vesting the officers appointed to collect them with powers most dangerous to the civil rights of freemen, and must in the end destroy the liberties of every country in which they are introduced;” men like William Findley, his old colleague, were so deeply shocked at the reintroduction of the excise that they would not vote even for the printing of this letter. They looked upon Mr. Gallatin as guilty of flagrant inconsistency. They did not stop to reflect that, if inconsistency there were, it dated as far back as 1796, when, in his “Sketch of the Finances,” Mr. Gallatin had taken essentially the same view of the excise as now; It was assumed that the Secretary of the Treasury could discover unknown resources; the Aurora dreamed of endless wealth in the national lands; but in point of fact this letter of Mr. Gallatin’s erred only in calling for too little. He began by accepting the committee’s estimate that loans to the extent For once, however, Gallatin was master of the situation. He could not force his enemies to vote for the taxes, but he could force them to vote for or against, and either alternative was equally unpleasant to them. The honest supporters of war found little difficulty in following Mr. Gallatin’s lead, but the mere trimmers, and the men who supported a war policy because the Administration opposed it, were greatly disturbed. Mr. Bacon brought in a report with a long line of resolutions, and seriously proceeded to force them through the House. Nothing, one would think, could have given Mr. Gallatin keener entertainment than to see how his enemies acted under this first turn of the screw which they themselves had set in motion. It was a sign that government was again at work, and that the long period of chaos was coming to an end; but the struggle to escape was desperate, and it was partially successful. At first, indeed, Mr. Gallatin carried his point. On the 4th resolution, for a tax of twenty cents a bushel on salt, the House rebelled, and refused the rate by a vote of 60 to 57, but the next day the whip was freely applied, and Mr. Wright and his friends were overthrown by a vote of 66 to 54. This settled the matter for the time, and the House meekly swallowed the whole list of nauseous taxes, and ordered Mr. Bacon’s committee, on the 4th March, 1812, to prepare bills in conformity with the resolutions. This was done, but the bills could not be got before the House till June 26, when there remained but ten days of the session. As it was out of the question to get these taxes adopted by the House and Senate in that short time, Mr. Gallatin was obliged to consent to their going over till November. Congress, however, was quite ready to authorize loans, and promptly began with one of eleven millions, which, small as it was, Mr. Gallatin found difficulty in negotiating, even with the The attitude of the Administration towards the war during the winter of 1811-12 seems to have been one of passive acquiescence. Nothing has yet been brought to light, nor do the papers left by Mr. Gallatin contain the smallest evidence, tending to show that Mr. Madison or any of his Cabinet tried to place any obstacle in the way of the war party. That they did not wish for war is a matter of course. Their administrative difficulties even in peace were so great as to paralyze all their efforts, and from war they had nothing to expect but an infinite addition to them. The burden would fall chiefly upon Mr. Gallatin, who knew that the Treasury must break down, and upon the Secretary of War, Eustis, who was notoriously incompetent. Yet even Mr. Gallatin accepted war as inevitable, and wrote in that sense to Mr. Jefferson. GALLATIN TO JEFFERSON. Washington, 10th March, 1812. Dear Sir,—...You have seen from your retreat that our hopes and endeavors to preserve peace during the present European contest have at last been frustrated. I am satisfied that domestic faction has prevented that happy result. But I hope, nevertheless, that our internal enemies and the ambitious intriguers who still attempt to disunite will ultimately be equally disappointed. I rely with great confidence on the good sense of the mass of the people to support their own government in an unavoidable war, and to check the disordinate ambition of individuals. The discoveries made by Henry will have a salutary effect in annihilating the spirit of the Essex junto, and even on the new focus of opposition at Albany. Pennsylvania never was more firm or united. The South and the West cannot be shaken. With respect to the war, it is my wish, and it will be my endeavor, so far as I may have any agency, that the evils inseparable from it should, as far as practicable, be limited to its duration, and that at its end the United States may be burthened with the smallest possible quantity of debt, perpetual taxation, Accept the assurances of my sincere and unalterable attachment and respect. Nevertheless there has always been something mysterious about Mr. Madison’s share in causing the final declaration. This letter of Mr. Gallatin, dated March 10, shows that he already considered war to be unavoidable. On the 3d April, only three weeks later, Mr. Madison wrote to Mr. Jefferson that the action of the British government in refusing to repeal the orders in council left us nothing to do but to prepare for war, and that an embargo for sixty days had been recommended. The embargo was accordingly imposed, and on June 1 Mr. Madison finally sent in his message recommending a declaration of war against Great Britain, which took place on June 18. The Federalist party, however, always maintained that Mr. Madison was dragooned into the war by a committee of Congress. The assertion is that the President, though willing to accept and sign a bill declaring war, was very far from wishing to recommend it, and that to overcome his reluctance a committee headed by Clay waited upon him to announce that he must either recommend the declaration or lose the nomination for the Presidency which was then pending; that he yielded; received the nomination on May 18, and sent in his message on June 1. This story, openly told in Congress soon afterwards, and as openly and positively denied by Mr. Clay and his friends, has crept into all the principal histories, and in spite of contradiction has acquired much of the force of established fact. It has even been supported by an avowal of James Fisk, a prominent member from Vermont, that he was himself a member of the committee. The charge, such as it is, has been the principal stain on the political history of Mr. Madison, and also by consequence upon that of Mr. Gallatin, who, according to Mr. Hildreth, The papers of Mr. Gallatin, like those of Mr. Madison and Mr. Monroe, are quite silent upon this subject. On the other hand, the papers of Timothy Pickering supply at least the authority on which the charge was made. The two following letters tell their own story, and, although they affect Mr. Gallatin’s reputation only indirectly, they have a considerable negative value even for him. TIMOTHY PICKERING TO ABRAHAM SHEPHERD. City of Washington, February 12, 1814. Dear Sir,—At the last autumn session, Mr. Hanson, noticing the manner in which the war was produced, in addressing Clay, the Speaker, spoke to this effect: “You know, sir, that the President was coerced into the measure; that a committee called upon him and told him that if he did not recommend a declaration of war, he would lose his election. And then he sent his message recommending the declaration.” Now, my dear sir, I learn from Mr. Hanson that Colonel Thomas Worthington, Senator, on his way home to Ohio, gave you the above information, and mentioned the names of Henry Clay, Felix Grundy, and some other or others who composed the committee. This is a very important fact, and I pray you will do me the favor to recollect and state to me all the information you possess on the subject; at what time and from whom you received it. ABRAHAM SHEPHERD TO TIMOTHY PICKERING. Near Shepherdstown, February 20, 1814. Dear Sir,—I received your favor of the 12th instant, and observed the contents. Some time in the beginning of April, 1812, General Worthington came to my house from the city to see Mrs. Worthington and children set out for Ohio; he continued part of two days at my house, within which time we had I clearly understood that Clay and Grundy were two of the number that waited on the President. I did not ask him how he got his information. As I understood the business, a caucus was held and Mr. Clay and others appointed, and waited on the President in the absence of Worthington, which will ascertain when this business took place. Mr. Pickering seems to have thought that this explanation hardly supported the charge, and he discreetly allowed the subject Mr. Madison’s Administration wanted energy and force. No one who is at all familiar with the private history of this party can escape the confession that the President commanded personal love and esteem in a far higher degree than obedience. Whether Senator Worthington counted Mr. Madison and Mr. Gallatin among the active supporters of his proposed peace mission does not appear, nor is there any clue to the other friends of that policy; but there can be little doubt that this was merely one of many suggestions with which the remnant of the old Jeffersonian democracy struggled in a helpless way to stem the current of the times. Mr. Gallatin’s ears were wearied with the complaints and remonstrances of his friends, the Macons, the Worthingtons, the Dallases, the Nicholsons; and the strident tones of John Randolph echoed their complaints to the public. The President heard, but, both by temperament and conviction, followed This, however, Mr. Madison did not know, and, perhaps, even had he known it, the fate of John Adams might have seemed to his gentler spirit a warning not to thwart a party policy. His action was founded on the official utterances of the British government and the temper of our own people; it was perfectly consistent from beginning to end, and there was no disagreement in the Cabinet on the subject. It is true that until Congress met he was in doubt what course was best to pursue; his message did not directly recommend war; but from the moment Congress assembled and showed a disposition to support the national dignity, Mr. Madison and his Cabinet accepted the situation and needed no outside compulsion. To use his own words, as written down by a celebrated visitor in the year 1836, “he knew the unprepared state of the country, but he esteemed it necessary to throw forward the flag of the country, sure that the people would press onward and defend it.” The real trouble which weighed upon the mind of Mr. Gallatin was not the war; he accepted this as inevitable. His difficulty was that the government wanted the faculties necessary for carrying on a war with success, and that Mr. Madison was not the person to supply, by his own energy and will, the The weight of government now fell almost wholly upon Mr. Monroe and Mr. Gallatin; it is believed that even the Act for the organization of the army at the beginning of the war was drawn up by Mr. Gallatin. The Cabinet broke down first of all, and this helplessness of the War Secretaries, as they were called, has led to a strange mystification of history in regard to the first achievements of our navy in 1812. Long afterwards, in the year 1845, Mr. C. J. Ingersoll published a history of the war, in which he dealt his blows very freely upon Mr. Madison and Mr. Gallatin, and charged them, among other things, with having meant to dismantle our frigates and convert them into harbor defences. This attack drew a paper from Commodore Stewart, who gave another account of the affair. His statement was that he and Commodore Bainbridge arrived at Washington on the 20th June; that on the 21st they were shown by Mr. Goldsborough, chief clerk of the Navy Department, a paper containing the orders, which had just been drawn, for Commodore Rodgers not to leave the waters of New York with his naval force; that on the same day the Secretary of the Navy informed them that it had been decided by the President and the Cabinet, to lay up our vessels of war in the harbor of New York; that they had an interview with the President on the same day, in which the President confirmed this decision; This statement of Commodore Stewart drew from Mr. Gallatin a reply, which will be found in his printed Writings. His remarks upon the Secretary of the Navy, however, show the situation as it then existed: “Owing to circumstances irrelevant to any question now at issue, my intercourse with Mr. Hamilton was very limited. He may have been inefficient; he certainly was an amiable, kind-hearted, and honorable gentleman. From his official reports he appears to have been devoted to the cause of the navy, and I never heard him express opinions such as he is stated to have entertained on that subject. Yet his official instructions of 18th June and 3d July, 1812, to Commodore Hull, which I saw for the first time in Mr. Ingersoll’s work, evince an anxiety bordering on timidity, a fear to assume any responsibility, and a wish, if any misfortune should happen, to make the officer solely responsible for it.” Mr. Ingersoll and Commodore Stewart, though in different ways, both in effect charged upon Mr. Gallatin this scheme of laying up the navy; it was, according to them, his influence in the Cabinet which had almost deprived the nation of its maritime glories. This is one of those curious echoes of popular notions which so often bias historians, and was founded partly on his old hostility to the navy, partly on his known indisposition towards the war. There was, in fact, no truth in it. Mr. “For myself I have no reason to complain. Commodore Stewart, in mentioning my name, only repeats what he heard another say, and he ascribes to me none but honorable motives and opinions, which, as he believed, were generally those of the public at large. He says, indeed, that out of the navy he knew at Philadelphia but one man who thought otherwise. My associations were, however, more fortunate. From my numerous connections and friends in the navy, and particularly from conversations with Commodore Decatur, who had explained to me the various improvements introduced in our public ships, I had become satisfied that our navy would, on equal terms, prove equal to that of Great Britain, and I may aver that this was the opinion not only of Mr. Madison, but of the majority of those in and out of Congress with whom I conversed. The apprehension, as far as I knew, was not on that account, but that by reason of the prodigious numerical superiority of the British there would be little chance for engagements on equal terms, and that within a short time our public ships could afford no protection to our commerce. But this did not apply to the short period immediately subsequent to the declaration of war, when the British naval force in this quarter was hardly superior to that of the United States. The expectation was general, and nowhere more so than in New York, where the immediate capture of the Belvidere was anticipated, that our public ships would sail the moment that war was declared. In keeping them in port at that time the Administration would have acted in direct opposition to the intentions of Congress and to public opinion.” Commodore Stewart replied in rather indifferent temper to Mr. Gallatin’s very mild statement, GALLATIN TO MADISON. [No date. June 20 or 21, 1812.] Dear Sir,—I believe the weekly arrivals from foreign ports will for the coming four weeks average from one to one and a half million dollars a week. To protect these and our coasting vessels whilst the British have still an inferior force on our coasts, appears to me of primary importance. I think that orders to that effect ordering them to cruise accordingly ought to have been sent yesterday, and that at all events not one day longer ought to be lost. Respectfully. SECRETARY HAMILTON TO COMMODORE RODGERS. Navy Department, 22d June, 1812. ... For the present it has been judged expedient so to employ our public armed vessels as to afford to our returning commerce all possible protection. Nationally and individually the safe return of our commercial vessels is obviously of the highest importance, and, to accomplish this object as far as may be in your power, you will without doubt exert your utmost means and consult your best judgment.... Your general cruising ground for the present will be from the Capes of the Chesapeake eastwardly. Commodore Decatur, ... having the same object in view, will, for the present, cruise from New York southwardly.... You are now in possession of the present views of the government in relation to the employment of our vessels of war.... These two documents establish beyond question the curious fact that it was Mr. Gallatin who fixed the policy of the Administration in regard to the navy in 1812; that it was he who urged the President and the Navy Department up to their work; and that it was he who should have had the credit, whatever it may be, of sending Rodgers and Decatur to sea. These orders of June In the face of these incontrovertible pieces of evidence, one is left to wonder what can have been the foundation for the circumstantial story told by Stewart and Bainbridge that they read on June 21, 1812, in the chief clerk’s room at the Navy Department in Washington, orders which had just been drawn at the instance of Mr. Gallatin for Commodore Rodgers not to leave the waters of New York with his naval force; orders issued, as the Secretary of the Navy then and there explained, because it had been decided by the President and Cabinet, also at Mr. Gallatin’s suggestion, to dismantle the ships and use them as floating batteries to defend New York harbor; and that the cancelling of these orders and the reversal of this policy were due to the vehement remonstrances of these two gallant naval officers, who won a victory in the President’s mind over the blasting and fatal influence of Mr. Gallatin. It is a new illustration of the old jealousy between arms and gowns. GALLATIN TO JOSEPH H. NICHOLSON. Washington, 26th June, 1812. Dear Sir,—I am just informed that you are in Baltimore. If it be true that your Legislature has authorized the banks to lend a portion of their capital to the United States, can you ascertain what amount may be obtained from them all either by taking stock or by way of temporary loans reimbursable at the expiration of one or more years? We have not money enough to last till 1st January next, and General Smith is using every endeavor to run us aground by opposing everything, Treasury notes, double duties, &c. The Senate is so nearly divided and the divisions so increased by that on the war question that we can hardly rely on carrying anything.... War being now declared, Mr. Gallatin was condemned to do A thorough reorganization of the Executive Departments was necessary, and should have been undertaken by the President before the war was even declared, but energy in administration was not a characteristic of Mr. Madison. He hesitated, delayed, postponed, and at length, as in the case of Robert Smith, he was dragged at the heels of men and events. Hardly a month had passed since the declaration of war, and Congress had adjourned on July 6 to meet again on the 3d November; Mr. Gallatin had just started for New York to seek for money, and the President had set out for his farm at Montpelier, when an express arrived with the news that General Hull had surrendered Detroit. What Mr. Gallatin thought of this affair may be inferred from the following extract of a letter to his wife: GALLATIN TO HIS WIFE. Washington, 31st August, 1812. ... Hull has in unaccountable manner surrendered all his troops (about 1800) prisoners of war to an inferior force. We have no direct accounts from him, but the fear of Indians for himself and the inhabitants is the probable cause of his not having extricated himself by retiring and abandoning the country. Proper measures for repairing the loss will be The disaster at Detroit made a change in the War Department inevitable, but the change was not yet made. Mr. Gallatin pressed it as necessary from a financial point of view. When he found that the army and navy estimates would require a loan of $21,000,000 for the year 1813, he wrote to the President as follows: “I think a loan to that amount to be altogether unattainable. From banks we can expect little or nothing, as they have already lent nearly to the full extent of their faculties. All that I could obtain this year from individual subscriptions does not exceed $3,200,000. There are but two practicable ways of diminishing the expenditure: 1, by confining it to necessary objects; 2, by introducing perfect system and suppressing abuses in the necessary branches. 1. In the War Department, to reduce the calls for militia, and, above all, to keep the control over those calls and other contingent expenses; in the Navy, to diminish greatly the number of gun-boats, and to strike off all supernumerary midshipmen, pursers, sailing-masters, and other unnecessary officers. 2. System requires skill in forming and decision in executing. But the preparing and executing such plans must rest almost exclusively with the heads of the Departments. I have no doubt that knowledge and talents would save several millions, and the necessary business be better done.” This letter was written towards the end of October, 1812. Already on the 11th of that month, as appears from a brief note written by Mr. Gallatin to the President, GALLATIN TO JEFFERSON. Washington, 18th December, 1812. ... The series of misfortunes experienced this year in our military land operations exceeds all anticipations made even by those who had least confidence in our inexperienced officers and undisciplined men. I believe that General Dearborn has done all that was in his power. The conduct of Hull, Rensselaer, and Smyth cannot be accounted for on any rational principle. It is to be hoped that Mr. Eustis’s resignation will open brighter prospects. For, although those three disasters cannot with justice be ascribed to him, yet his incapacity and the total want of confidence in him were felt through every ramification of the public service. To find a successor qualified, popular, and willing to accept, is extremely difficult. It was just this moment that Mr. Josiah Quincy, hottest of all Federalists, chose for his once celebrated attack on the Administration: “It is a curious fact,” he said, in his speech of 5th January, 1813, “but no less true than curious, that for these twelve years past the whole affairs of this country have been managed, and its fortunes reversed, under the influence of a Cabinet little less than despotic, composed, to all efficient purposes, of two Virginians and a foreigner.... I might have said, perhaps with more strict propriety, that it was a Cabinet composed of three Virginians and a foreigner, because once in the course of the twelve years there has been a change in one of the characters.... I said that these three men constituted In this description there was truth as well as oratory; but Mr. Quincy did not add that this despotism had been tempered by faction to an extent which had left in it very little of the despotic. Even while Mr. Quincy was charging the mysterious three with the design of making Mr. Monroe “generalissimo” in order to perpetuate their power, the three were in a quandary, as much perplexed as any of their neighbors, and actually deciding to accept General Armstrong as the least of their evils. Not one of them had any confidence in General Armstrong; they knew him to be no friend of theirs; to belong to a family—the Clintons—which had for twenty years or thereabouts acted without reference to them; one of whose chiefs, George Clinton, had, as Vice-President, given infinite annoyance to the Administration, while another, De Witt Clinton, had, within three months, run a mad race to get himself elected President by the Federalists in opposition to Mr. Madison; they knew that Armstrong had been through life a master of intrigue, and that his ambition was only checked by his indolence; but they knew that he had ability and that he had loyally supported the government. General Armstrong, therefore, became Secretary of War, while the Navy Department was given to William Jones, of Philadelphia, an active merchant and politician, who, in other days, had served as lieutenant under Commodore Truxton. Meanwhile, Mr. Gallatin had in his own department cares enough to occupy all his energies. When Congress met in November, 1812, the House was still less disposed to support the Secretary than it had been in the spring. Langdon Cheves, of South Carolina, was now chairman of the Committee of Ways and Means. The Presidential election was over and Mr. Madison was secure in his seat, but the House had less appetite for taxation than before; it refused even to support the Secretary in other money measures. The first trial of strength, in which Mr. Gallatin was worsted, came in an embarrassing form. When the British government on June 23, 1812, revoked its orders in council, the declaration of war being then unknown in England, great quantities of British merchandise were at once shipped to America on the faith of the Act of Congress of March 2, 1811, which promised a renewal of intercourse whenever the British orders should be revoked. Even after the declaration of war became known, these shipments continued, protected by British licenses from British cruisers. All these vessels and cargoes were of course seized on arriving in American ports. The next step was to release such property as was owned in good faith by Americans, the Treasury taking bonds to the value of the cargoes, and, owing to the great rise in prices consequent on the war, the owners made very large profits, in some cases even to the whole amount of the bonds. Mr. Gallatin, unwilling to assume the responsibility of remitting or exacting the forfeitures, referred the subject to Congress, and in doing so expressed the opinion that in the peculiar circumstances of the case a reasonable compromise would authorize the remission of one-half the forfeitures, due to the collectors, and the exaction of the other half, or its equivalent, due to the government. The amount of property involved was about $40,000,000, including the importers’ profit. Mr. Gallatin’s proposition would have assumed a forfeiture to the amount of about $9,000,000. The regular duties, if the forfeitures were wholly remitted, would amount to about $5,000,000. On this question there arose a sharp battle in the House, and Mr. Cheves led the Federalists in a vigorous assault upon the Secretary. Perhaps this attack was more honest and less spiteful than the attacks of Mr. Giles, but it was hardly less mischievous: Jonathan Roberts, of Pennsylvania, a member of the Committee of Ways and Means, led the debate in defence of Mr. Gallatin, but in the end Mr. Cheves, aided by the Federalists and by Calhoun, Lowndes, Macon, and other very honest men, carried his point, and the forfeitures were entirely remitted, by a very close vote of 63 to 61. Mr. Gallatin’s hold even on the Committee of Ways and Means was now lost. At this point of the war, within four months of its declaration, the Treasury was threatened with a collapse more fatal than that which had overwhelmed the War Department. The circulating capital of the United States was concentrated in the large cities chiefly north of the Potomac, and more than one-fourth of this capital belonged to New England. Not only did New England lend no aid to the Treasury, but her whole influence was thrown to embarrass it. Of loans to the amount of $41,000,000 paid into the Treasury during the war, she contributed less than three millions. This was not all. A large importation of foreign goods into the Eastern States, and an extensive trade Had Congress been more tractable, something might perhaps have been done to alleviate the situation; but the Senate was utterly beyond control, and the House was becoming almost equally perverse. The expedient adopted by government fifty years later in the face of similar difficulties, even had it been now thought of, would have had little chance of general acceptance. Mr. Gallatin could get no action from Congress. His tax bills of the preceding session had been postponed on the understanding that they should be adopted before the 1st January, 1813; but, meanwhile, experience proved that these bills, violent as they had at first been thought, were quite unequal to the occasion, and that much stronger measures were needed. The five millions which had luckily fallen in, owing to the enormous British shipments after war was declared, helped to tide the Treasury over its immediate difficulties, but it helped also to encourage the inaction of Congress. Mr. Cheves did not contribute to smooth the path of the Treasury. He wished to force Congress to raise revenue by abandoning the non-importation system, which was still maintained as a coercive measure against Great Britain; this was also Mr. Gallatin’s wish, but Congress refused its consent. Meanwhile, the tax bills were untouched. Month after month passed, and still nothing was done until the session closed on March 3, 1813, when, since it was universally conceded that these bills must be taken up, an extra session in May for this express purpose became necessary. All Congress would do, meanwhile, was to authorize loans, the favorite resource of incompetent financiers. Many years later, Mr. Jonathan Roberts, who had been a member of this Congress, writing to Mr. Gallatin in the garrulity of age, recalled his recollections of the war. The letter is dated December 17, 1847, and seems to have been merely a spontaneous expression of old feelings. “When it was first my fortune to have met you,” he wrote, “I found you to be a ripe and experienced statesman, possessed of the affectionate confidence of the most eminent and wisest among your compeers. You were only about ten years my senior, but immeasurably advanced above me in capacity for usefulness for that small disparity in years. In a very early period of our intercourse you gave me proofs of your confidence, of which I felt myself not unworthy, but which I had not been taught to look for from one who had so long mixed in state affairs.... While I witnessed an admiration of your character among enlightened and liberal minds, abundant evidences were not wanting of envy, jealousy, and even hatred. My sympathies were enlisted in your favor, and my indignation was roused in witnessing ebullitions of these detestable passions. You stood the friend of peace in the crisis pending the last war,—an attitude that called for the exercise of higher moral nerve than the opposite position; while our friends Madison and Macon, feeling with you, each in your places, fulfilled every duty with the honest purpose to seek for peace as the object they most desired. “You can hardly fail to remember how Mr. Cheves acted towards you as chairman of Ways and Means, and how Colonel Johnson baffled every effort to report the tax bills. These men, too, gave their votes for an extravagant loan bill, which probably [no] man could have raised, even on the predicate of adequate taxes. At your suggestion I hastened to visit Governor Snyder, to give him your views of what would be the effect of the measure of the forty-one new banks on the prospects of raising loans. On meeting him I found he had negatived the bank bill, and it only remained for me to leave with him the views you had charged me with.” Mr. Gallatin’s annual report in November, 1812, had been reticent in tone, perhaps because he was unwilling to discourage, Such was the situation when Congress adjourned on the 4th March, 1813. Mr. Gallatin then opened his loan. The Treasury was nearly exhausted; so nearly that on the 1st April it was absolutely empty, and must have ceased to meet the requisitions of the War and Navy Departments; the Federalists were in high hope that the loan would fail and government fall to pieces, and they made the most active efforts to force this result. The crisis was serious, and it was in this emergency that Mr. John Jacob Astor rendered to Mr. Gallatin and to the country essential aid; by his assistance Mr. Gallatin was enabled to make his terms with Mr. Parish and Mr. Girard, and thus three foreigners by birth, Mr. Gallatin himself being of foreign birth, saved the United States government for the time from bankruptcy, and perhaps from evils far more fatal; so, at least, the Federalists thought, and they long vented their wrath against these foreigners, as they called them, for an act which was certainly a somewhat bitter satire upon American patriotism. Just at this moment the Russian minister, Daschkoff, communicated to the Secretary of State an offer of mediation on the part of the Emperor. His note bore date the 8th March, and in the situation of our government not only towards that of Russia, but towards the peace party at home, it had the gravest significance. There could be no hesitation in accepting the offered mediation, but there might be a question whether it were best to accept it before hearing from England. To show over-eagerness for peace would weaken our position abroad; but the position abroad was of less consequence than union at home, and sluggishness in meeting peace propositions would stimulate every domestic faction. The President decided not to wait, but to send commissioners at once. Mr. Gallatin had now, by the end of March, disposed of his loan; he could easily arrange the affairs of his Department so as to admit of his absence, and he requested the President to let him go to Russia. So many and so complicated are the influences which must have acted upon Mr. Gallatin’s mind to produce this decision, that they are hardly to be set forth with any certainty of measuring their precise relative weight; yet there can be little possibility of error in assuming, as the most powerful, the conviction which had long weighed upon his mind that his usefulness in his present position was exhausted, and that Congress would do better, at least for a time, without him. So accustomed had Congress become to throwing upon him the burden and the blame of every measure, that nothing short of his retirement would break the spell which bound them, and so ineradicable were the enmities which neutralized all his efforts, that only his self-effacement could extinguish them. This he had long known, but the President’s wishes had tied his hands. He could not desert the President or the country if his services were needed; but the situation had now become such as to create a serious doubt whether his services were not really more necessary abroad than at home. A year not yet quite elapsed had already brought the country into a position grave in the extreme; financial collapse and domestic treason were becoming mere questions of time; another campaign was inevitable, and it might fairly be reckoned that, if this were not successful, success was out of our power; diplomacy, therefore, had become the most important point of action next to service in the field, and in diplomacy Mr. Gallatin naturally felt that he had a brilliant future before him. Here he would escape from all his old difficulties and enmities; to Europe the Smiths, Duanes, Gileses, and Leibs would hardly care to follow him. The past was a failure; he might fling it away, and still rescue his country and himself by this change of career. Mr. Gallatin grew more and more silent with age and experience; he never complained, and never said what was calculated to wound; but he had now stood for five years in a position inconsistent with his principles and grating to his feelings. In deciding to go to St. Petersburg he was well aware that he would be charged with having deserted his post, and charged by the same men who for four years had made it impossible for him to perform the duties of that post, and who still presented an Of course it was fully in Mr. Madison’s power to retain Mr. Gallatin at his post. He too seems, however, to have been impressed with the advantages of sending him to Russia, and the act was carefully considered and was his own. In the case of negotiations taking place, America afforded no negotiator comparable to Gallatin; if he were willing to go, his presence would be invaluable. With Mr. Gallatin it was at last decided to associate Mr. Bayard, of Delaware, so that the mission finally consisted of Gallatin, J. Q. Adams, then Minister to St. Petersburg, and James A. Bayard. Of course the most rapid action was necessary; Mr. Bayard’s appointment was only decided on the 5th April, and Mr. Monroe then expected the vessel to sail with Mr. Before closing this part of Mr. Gallatin’s history and turning to the new career which was to occupy nearly all his thoughts for sixteen years to come, the results of his sudden departure upon Congress and upon the Treasury shall be briefly told. Another extract from the letter of Jonathan Roberts already quoted will furnish an idea of the immediate effect of Mr. Gallatin’s absence. He sailed on May 9, and Congress met on May 23. Mr. Roberts proceeds: “At the called session in May following you had left the seat of government on the mission of peace. I soon found, however, that you left nothing undone that made your presence necessary to forward the vital measure of adequate taxation. You promptly responded to a call early made for a scheme of revenue that you deemed to embrace every item that could justify a levy and collection. This was abundantly confirmed by Mr. Eppes’s subsequent trial of watch-tax, &c. Mr. E. was now made chairman of Ways and Means, but could not attend the committee from ill health, which both Dr. Bibb and myself thought fortunate for the early attainment of the object of the session. To almost every item in your reported list objections were felt in the committee. Bibb himself disrelished a direct tax, but could not deny its indispensable necessity. It was soon found there was no alternative. No new project could be devised, and you were not present to be worried by calls for a modification. The bills were reported; no opening speech was made, and no debate provoked. Dr. Bibb conducted the deliberations with successful address, Before his departure Mr. Gallatin wrote three or four letters, which contain parting suggestions that, for his calm temper, express unusual feeling. One of these was to Mr. Monroe, dated the day before he sailed, to dissuade him from pushing the military occupation of Florida, for fear of a war with Spain, that would still more exasperate the Northern States. “You will pardon the freedom with which, on the eve of parting with you, I speak on this subject. It is intended as a general caution which I think important, because I know and see every day the extent of geographical feeling and the necessity of prudence, if we mean to preserve and invigorate the Union.” The letter to his brother-in-law, James W. Nicholson, explains the motives that influenced him, at least in part. General Armstrong had been at his old practices during the short three months he had controlled the War Department. The National Intelligencer for April 16 had contained the announcement that William Duane was appointed Adjutant-General in the United States army. All the love and esteem which Mr. Gallatin felt then and ever continued to feel for Mr. Madison could not overcome the disgust with which this last blow was received. GALLATIN TO BADOLLET. Philadelphia, May 5, 1813. Dear Friend,—...The newspapers will have informed you of my mission to Russia. Whether we will succeed or not depends on circumstances not under any man’s control. But on mature reflection, having provided all the funds for the service of this year, and having nothing to do but current business during the remainder, I have believed that I could be nowhere Ever yours. GALLATIN TO JAMES W. NICHOLSON Philadelphia, 5th May, 1818. Dear Sir,—You have heard by the papers of my intended mission to Russia; but I have delayed to the last moment writing to you. Having provided all the funds for this year’s service, and none but current business to attend to during its remainder, I have made up my mind that I could in no other manner be more usefully employed for the present than on the negotiation of a peace. Peace, at all times desirable, is much more so for two reasons: 1. The great incapacity for conducting the war, which is thereby much less efficient and infinitely more expensive than it ought to have been. 2. The want of union, or rather open hostility to the war and to the Union, which, however disgraceful to the parties concerned, and to the national character, is not less formidable and in its consequences of the most dangerous tendency. But in addition to those considerations I believe that the present opportunity affords a better chance to make an honorable peace than we have any right hereafter to expect. England must be desirous at this critical moment to have it in her power to apply her whole force on the Continent of Europe, and the mediation of Russia saves her pride; whilst both the personal feelings of the sovereign, a common interest on all neutral questions, and other considerations of general policy, give us the best pledge that a nation can obtain that the mediator will support the cause of justice and of the law of nations. Finally, provided we can obtain security with respect to impressments, peace will give us everything we want. Taught by experience, we will apply a part of our resources to such naval preparations and organization of the public force as will within less than five years place us in a commanding situation. This we cannot effect pending the war, and if this continues any length of time it will leave the United States so exhausted that they will not effect the same objects within the same period nor without oppressive taxation. Whether, however, we will succeed in making peace is another question, which depends on events not under our control. So far as relates to myself, I am well aware that my going to Russia will most probably terminate in the appointment of another Secretary of the Treasury, and in my returning to private life. If I shall have succeeded in making peace, I will be perfectly satisfied; and, at all events, I will acknowledge to you that Duane’s last appointment has disgusted me so far as to make me desirous of not being any longer associated with those who have appointed him.... The departure of Mr. Gallatin to Europe did not, however, at once close his career as Secretary of the Treasury, and it was not until a year later, on the 9th February, 1814, that he ceased to hold that office. Meanwhile, the Senate had exercised in its full extent that unrestrained liberty of personal attack which Mr. Gallatin had so contemptuously left to them. By a vote of 20 to 14 they rejected his nomination to Russia, on the ground that it was inconsistent with his station in the Treasury. Their true motive is not a matter of much importance; the oldest and wisest politicians are most apt to warn their younger associates not to search for the motives of public men, and this Christian precept rests on the general fact that human nature often, and nowhere oftener than in politics, opens into abysses of baseness only to be measured by baseness equally profound. The doctrine that the post of Secretary was incompatible with that of treaty commissioner was certainly new and astonishing as coming from a body which had twice confirmed the nomination of the Chief Justice to an identical situation; but, apart from its inconsistency, the new rule was wise and the result good. Perhaps, however, Senators would have shown more dignity in not proclaiming quite The following letters tell the story in all its nakedness: MONROE TO JEFFERSON. Washington, June 28, 1813. Dear Sir,—From the date of my last letter to you, the President has been ill of a bilious fever, of that kind called the remittent. It has perhaps never left him, even for an hour, and occasionally the symptoms have been unfavorable. This is, I think, the fifteenth day. Elgey, of this place, and Shoaff, of Annapolis, with Dr. Tucker, attend him. They think he will recover. The first mentioned I have just seen, who reports that he had a good night, and is in a state to take the bark, which, indeed, he has done on his best day for nearly a week. I shall see him before I seal this, and note any change, should there be any, from the above statement. The Federalists, aided by the malcontents, have done and are doing all the mischief they can. The nominations to Russia and Sweden (the latter made on an intimation that the Crown Prince would contribute his good offices to promote peace on fair conditions) they have embarrassed to the utmost of their power. The active partisans are King, Giles, and (as respects the first nomination) Smith. Leib, German, and Gilman are habitually in that interest, active, but useful to their party by their votes only. The two members from Louisiana, Gailliard, Stone, Anderson, and Bledsoe are added to that corps on these questions. They have carried a vote, 20 to 14, that the appointment of Mr. Gallatin to the Russian mission is incompatible with his station in the Treasury, and appointed a committee to communicate the resolution to the President. They have appointed another committee to confer with him on the nomination to Sweden. The object is to usurp the executive power in the hands of a faction in the Senate. To this several mentioned are not parties, particularly the four last. A committee of the Senate ought to confer with a committee of the President through a head of a Department, and not with the Chief Magistrate; for General Dearborn is dangerously ill, and General Lewis doing little. Hampton has gone on to that quarter, but I fear an inactive command. General Wilkinson is expected soon, but I do not know what station will be assigned him. The idea of a commander-in-chief is in circulation, proceeding from the War Department, as I have reason to believe. If so, it will probably take a more decisive form when things are prepared for it. A security for his, the Secretary’s, advancement to that station is, I presume, the preparation desired. Your friend. I have seen the President, and found him in the state represented by Dr. Elgey. THE SECRETARY OF STATE TO THE AMERICAN COMMISSIONERS. Department of State, 5th August, 1813. Gentlemen,—I am very sorry to be under the necessity of communicating to you an event of which there was no anticipation when you left the United States. The event to which I allude is the rejection by the Senate of the nomination of Mr. Gallatin, on the idea that his mission to Russia was incompatible with the office of Secretary of the Treasury. After the appointment of Mr. Jay, when Chief Justice of the United States, by MONROE TO GALLATIN. Washington, 6th August, 1813. Dear Sir,—To the official communications which you will receive with this I have little to add. Indeed, as I know that The Senate has got into a strange and most embarrassing situation, of which the rejection of your nomination and of that of Mr. Russell are proofs; many others were afforded during the session. The attempt to control the President, or at least to influence his conduct by a committee of the Senate authorized to confer with him, thereby placing a committee on a footing with the Chief Magistrate and without limitation as to what it might say or demand, was a very extraordinary measure. It was the more embarrassing as the occurrence took place at a time when the President was confined with a bilious fever which endangered his life. The pressure gave him, as you will readily conceive, the greatest concern, more particularly the rejection of your nomination and the question which grew out of it, your removal from the Treasury to secure your confirmation in the mission to Russia. Among the objections to that step, the sentiments of those friends who supported your nomination were entitled to and had great weight. They thought that your removal from the Treasury would operate as a sanction to the conduct of your opponents and a censure on themselves. Other objections were strong, but this was conclusive. I presume that the business on which you and Mr. Bayard left this country is settled by this time, or will be before you receive this letter. If Great Britain accepted the mediation with a sincere desire to make peace, the treaty would have been soon concluded. If she rejected it, a very short time would have enabled you to conclude a treaty of commerce with Russia. So that in either event we expect soon to have the pleasure of seeing you here. With great respect and esteem, I am, &c. MRS. MADISON TO MRS. GALLATIN. 29th July, 1813. ... You have heard no doubt of the illness of my husband, but can have no idea of its extent and the despair in which I A. J. DALLAS TO MRS. GALLATIN. 22d July, 1813. My dear Madam,—Our friend Mr. Macon has just written to me that Mr. Gallatin’s nomination has been rejected by a majority of one vote. I find from another quarter that Mr. Anderson and Mr. Stone voted against it. I did not choose to tease you with the agitation of the subject while I was at Washington. The question turned upon this; if Mr. Madison would declare the Secretary’s office vacant, the Senate would confirm the nomination; but he firmly refused to do so. The Federalists were very busy on the occasion; but the malcontent junto of self-styled Republicans were worse; and Armstrong,—he was the devil from the beginning, is now, and ever will be. In short, every art has been employed to defeat the mission, to ruin the Administration, and to depreciate Mr. Gallatin. In the last object the host of ill-assorted enemies will fail; but the political mischief that has been done and will be done is incalculable.... J. J. ASTOR TO GALLATIN. New York, 9th August, 1813. Dear Sir,—By this opportunity you will receive an account of the strange, if not wicked, proceedings of the Senate. The President has been led astray by some of its members in the belief I wonder that you did not impart your ideas to some of your friends; no one, except Mr. Worthington, seemed to know anything about it. I wish I had known half as much, and I would have made use of it to effect. Though I might have run risk to displease you, I should have done good to the country, unless there be no negotiation, in which case you cannot W. H. CRAWFORD TO GALLATIN. Paris, 20th April, 1814. Dear Sir,—...The French papers of yesterday state that you are added to the commission to treat at Gottenburg. Mr. Beasley says that Mr. Adams is also of the commission. I cannot believe that all of you are to proceed to Gottenburg. If you are going, I presume it is in consequence of your having vacated your seat in the Cabinet. I hope this conjecture is unfounded. This is the course which your enemies wished to compel you to adopt. I agree that the treatment you have received would justify the measure, but when I know the gratification which Messrs. Giles, Smith, and Leib will feel from your resignation, I cannot reconcile it to my feelings. All this mischief has grown out of Brent’s mobility or his thirst. The day before I left Washington I called on a number of the Senators and insisted on the danger of delay and urged them to decide the question before they adjourned. They decided every embarrassing question about 4 P.M., when Mr. Brent, as he says, out of complaisance to Mr. King, consented to let the nomination stand over till the next day. They had a decided majority, and Anderson, who voted against them on all the embarrassing questions, declared he would vote for the nomination. I have no doubt that he voted against it in the end. The desire to get Mr. Cheves into the Treasury had some influence upon two or three Senators. I told Mr. Madison that he would be pressed on that point.... A. J. DALLAS TO GALLATIN. 14th February, 1814. Dear Sir,—If you receive this letter in Europe you will have an opportunity to hear from Mr. Clay and Mr. Russell all the public news of this country; and consequently it would be an unnecessary trouble both to you and to me to enter into a written detail. Your absence has embarrassed everybody. It is a subject of lasting regret that you did not confide to some friend your wishes respecting the course to be taken if the Senate should refuse to confirm your nomination as minister while Lovers of historical detail may without much difficulty pick from the wreck and ruin of Mr. Gallatin’s administrative policy such fragments as survived their originator and became foundation-stones of the ultimate governmental system. Many such fragments there were, and of the first importance, but it is not by them that Mr. Gallatin is to be measured. No one has ever seriously questioned his supereminence among American financiers. No one who has any familiarity with the affairs of our government has failed to be struck with the evidences of his pervading activity and his administrative skill. His methods were simple, direct, and always economical. He had little respect for mere financial devices, and he labored painfully to simplify every operation and to render intelligible every detail of business. It may be doubted whether he ever made a mistake in any of his undertakings, and whether any work done by him has ever been found inefficient; but it is useless to catalogue these undertakings. His system was not one of detached ideas or of parti-colored design. As their scheme existed in the minds of Mr. Jefferson, Mr. Gallatin, and Mr. Madison, it was broad as society itself, and aimed at providing for and guiding the moral and material development of a new era,—a fresh race of men. It was not a | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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