Texas National Register. (Washington, Tex.), Vol. 1, No. 9, Ed. 1, Saturday, February 1, 1845 Page: 3 of 8
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February 1
TEXAS NATIONAL REGISTER.
4MT
0
Is then in existence a system .of speculation 8ett'e nFnu equitable terms. He has been at
Which will be entirely stopped by retaining
us particular section of the bill. 1 have an"
other and a far more important reason. That
by the present mode the impost taxes are un-
just unequal and onerous. Only call to
mind what was before stated. On the 31st of
April 1843 Exchequers were received at
seventy cents at Port Calhoun while at Gal-
veston they were paid in at one hundred cents
on the dollar. In this case the importer at
- Port Calhoun and his customers') were nny-
ing at the rate of 40 per cent upon the total
amount of their duties more than the importer
at Galveston. But there has been at different
points a more glaring inequality even than
this. At Galveston they have been received
at various rates from eighty down to sixty
-cents on the dollar while at Red River they
bave been received at all times at par. I
would ask any gentleman if this is a fair just
and equal system of taxation where one por-
tion of the country pays twice as much tax in
ihe shape ofimpost duties as another? Again
there is another reason why this section should
not be stricken nut. I regard it as one of the
most solemn duties Congress has to perform
to make tlie system of taxation equal upon all
portions of the community and all parts of the
Kepuhlic. Ibis is one ot the most important
trusts delegated to them by the people. By
the law of 182 they delegated that authority
to the Custom House officers. They gave
those officers tlie authority to say at what rales
the money should be receivable in customs.
And every Congress since that time has proved
recreant t their high trust by refusing to re-
peal that law. I believe this Congress will
be alike recreant if they do not retain this sec-
tflPh. I hope this section will not be stricken
out.
Mr. Williamson said; It is a matter of noto-
riety and placed upon the statute books that
4 n law of the land has passed authorizing the
Secretary of the Treasury to settle with GaH
Borden on equitable terms. Tin? House has
officially acted upon this subject and clothed
that Secretary with extraordinary powers to
bring about a settlement with him. This mo-
ney was received by him as a Custom House
officer; and now when he received it at fifty
cents it is to come back here dollar for dollar.
It is not a matter for investigation with me
whether the money hitherto receivd by Gail
Borden has go: back into the Treasury or not;
it is not a matter that I can investigate. It be-
longs exclusively to the Secretary of the Trea-
sury an officer for whom I have the highest
regard. If there was a single reason for
clothing him with those extraordinary powers
it was that the money alluded to was yet with-
held from the Treasury. It was the object to
bring the money into the Treasury -in order to
meet the general provisions of ibis bill. If it
was certain thatthe money takeu away had
got back again I would uot so pertinaciously
insist upon striking out the 5ih section. If it
is there let it be destroyed ; that is my wish ;
for I wish the Exchequer system abolished.
But unless it is there unless gyery gentleman
upon this floor knows it has got back I insist
upon the motion.
Mr. McLeod: I stand in no close relnlion
cither personal or political towards either of
the parties naint d by the gentleman last up.
I believe however a plain statement of the
facts to be this. Mr. Gail Borden was forin-
erly the Collector of the Port of Galveston
appointed by the late administration and be-
ginning with that administration and with the
Exchequer system.. These bills were issued
and for a time were at par but very soon their
value in the community began to decline. At
the called session of Congress a I 'ill passed
authorizing the Collectors of the customs to
take them at their market value. The conse-
quence was their immediate fall in the market.
Many merchants paying duties especially at
Galveston paid them with these bilis at a de-
preciated value although they bore upon their
t.ice "receivable for ail puonc dues and paid
them with a protest against the law which de-
preciated them. Suits were instituted against
the Collector in the District Court; and ver-
dicts jiiven against him bv which he was re-
quired to take these notes at their face. Ap-
peals were taken to the Supreme Court and
held there under advisement upwards of a year.
During that time however the Collector in his
aettlemcnts with the government insisted up-
on making his payments in these bills at
the rate at which he had received them. Dif-
ficulties grew up which resulted in his leaving
the office. In the mean time the government
brought suit against the Collector and his se-
curities McKinney and Williams. As they
had come forward as securities upon his bond
all times ready to make such settlemeut'and
llOS nreviotislv tendered it unon thpsn - verv
tPIma. -Illlttlin irnvapiimnnf ftifFornrt timti lum W
as to some of the amounts'; he had made ar-
rangements for securing some public property
the items in relation to which the Govern-
ment was unwilling to allow. And for this
reason the settlement has not been made.
When tendered a second time it had changed
its character by McKinney and Williams as-
suming the debt. They now turn round and
say we are ready to make a settlement : but
instead of paying the $23001) in Exchequers
we will credit you the amount upon our hooks
on account of what you owe us. With re-
gard to the money itself I am satisfied it has
long since ieft the possession of McKinney
and Williams and circulated through the
community and a largo portion of it come
back into the Treasury. If this motion pre
vail you will repudiate all jlje money out en-
countering all the evils consequent npon re-
pudiation without effecting the object. Were
the money in the possession of McKinney and
Williams i would cheerfully vote to strike
out that section; for as the gentleman from
Washington very properly says it would ena
ble an individual to bring money back into
the Treasury at double the amount for which
it was received. But as allusions have been
made to the recent visit of the Secretary of the
Treasury I will if the gentlemen will accept
move to lay the bill upon the table until Tues-
day next in order to get information as to the
probable amount of that money still in circu-
lation and should it appear that any portion
of it is still in the hands of McKinney and
Williams I will cheerfully vote with thc.gcn-tiemen.
Uu motion ot M r. McLeod the bill was
laid on the table until Tuesday next.
The bill for the benefit of jurors; amended
and passed.
The bill to. authorise the transportation of
goods coastwise was taken up amended and
Taken in connection with the bill alluded
to this may be very prejudicial to the country.
Mr. McLeod : I certainly had not con
templated that the Speaker would descend
upon this floor for the purpose of attacking a
bill so manifestly correct fair and equitable
in its provisions and so necessary to the pro-
per collection of the revenue throughout the
Repuhfic. Its object is not to effect an inno-
vation. It is a facility extended by every
other government which possesses a mercan-
tile community. 'With regard to any private
or individual bearing or direction which it
may be supposed to have I have only to say
that it was drawn up under the eye of the
Secretary of the Treasury. Mr. Lewis said
he had not intended to charge any particular
bearing. Doubtless gentlemen supporting it
were actuated by as patriotic motives a he
himself in opposing it. The bill was drawn
up with the full knowledge and under the
supervision of the Secretary of the Treasury.
Its object was simply to extend those accom
modations which it was the duty of every gov-
ernment to extend to its people; enabling tlie
merchant or importer to meet his merchan
dize at a point most convenient to himself;
nothing furtht
This would seem to be one
as Collector ; and assumed the debt ; he
placed in their hands the amount of 23000
dollars and they made themselves answera-
ble for him to the government releasing him
from his obligations to the government as
far as they could do so and assuming all the
consequences. The government subsequent-
ly made this arrangement for the Secretary
of the" Treasury to 'proceed to Galveston' and '
on motion to engross :
Mr. Lewis of Montgomery addressed the
House: I think it proper to state the rea-
sons which will induce me to vote against the
engrossment of the bill and unless my views
shall be materially altered against its final
passage. Looking to Galveston as the source
whence we draw all the means necessary for
the support and maintenance of our govern-
ment I am not disposed to assist in the pas-
sage of a law calculated in itself to interfere
with the commerce of that place or the collec-
tion of the imposts at that point. There the
principal part of the importations into the
country arrive. There sir heretofore the
collection of duties has been promptly and
honestly made and with some lew exceptions
duly paid over into the treasury. But this
bill proposes to alter entirely and diffuse the
responsibility now imposed upon the Collector
of that place upon a much greater number of
agents. It will be perceived that all goods
imported into Galveston for re-shipment the
duties upon which are-over one hundred dol
lars may be re-shipped to any other point
within the limits of the Republic withoutpay-
ment of the duties: to Sabine or any of the
ports of the eastern portion of the Republic:
or any of the ports on the Gulf of Mexico
without the payment of the duties at Galves
ton. I litis the collection ot duties is divided
or subdivided amongst a great number of
agents ; and as the responsibility is extended
it is weakened and debilitated ; and the chan-
ces arc greatly increased of getting dishonest
agents. If thus the duties ansingfrom im-
portations should fail us we should be greatly
in arrears with our revenue. Already the
direct taxes have been given away and a
much greater amount than will be collected
from them for years. And if we interfere
with the collection of the duties on imports
the source to which we are to look for the
principal portion of our revenue we shall be
left without the means of supporting the gov-
eminent and certainly without the means of
supplying the people with a specie currency.
Every attention should now be paid to the
finances of the country. As we have hitherto
had our collections well and promptly atten
ded to at Galveston 1 am uot disposed to
shift the responsibility and put it upon a num-
ber of collectors thus enhancing the chances
for getting dishonest agents and thus milita-
ting against the collection of our duties. And
sir though it is not perhaps properly in order
to allude particularly to the a'tion of the other
House yet this bill in its effects may be so
completely dovetailed with another which may
perhaps come from the Senate as to involve
of the first duties of a government particular
ly of one like ours subsisting at present alto-
gether upon revenues derivable from com-
merce. We are told there is a bill now in the
Semite which must he taken in connection
with this containing something very alarming
to tlie revenues of the country. Even if such
a hill exists that is no reason why another bill
good and proper in itself should be rejected.
1 do not know the stage of action in the Sen-
ate of the bill alluded to. But in regard to
the bill itself 1 can inform the House that it
was drawn up under the action of the joint
military committee of the two Houses and
proposes the annual appropriation for the pro-
tection of the frontier; and that part alluded
to is contained in a detached section of the
bill. When it comes into this House it will
be the proper time to discuss its merits and
strike it out if thought best. That portion
thought objectionable is entirely detached
and may be struck out without affecting the
main portion of the bill. When that bill
comes in it will be upon its own merits.
That part which relates to the revenues of the
south western portion of the Republic is alto-
gether disconnected and lean assure gentle-
men of this House they can vote upon the
two subjects one at a time without the re-
motest reference to the other. This bill does
uot decide the responsibility at ail: It simply
places that restriction upon importations made
into the country which is necessary to pre
vent fraud. It compels the entries to be made
first at the port of entry as if they were to be
there delivered and make their payment of
duties; and in order to enable the merchant
to receive them at the points most convenient
it allows him to reship them under bonds to
remain in force till they reach their destina-
tion and until the Collector has received the
duties and informs the Collector of the first
port where they were entered who is then to
cancel the bonds. It contemplates no new
Collectors : it diffuses the benefits of com-
this bill trammels the'ver? farof it it intended
to extend. The result of its operation will b
to enable a few merchants and those the luga
merchants men of general reputation whosfc
credit is unquestioned to obtain the benefit
offered by it. An individual living upon th
Brazos river or any where upon navigable
waters in order to obtain the benefits of trans-
shipment must necessarily go to Galvestonor
have an agency there to give the required se-
curity and must undergo a great many em-
barrassments of various kinds. This system
does not diruinish.the necessity that he should
go and pay his money down at the town of
Galveston at the customhouse there. No ad
vantage is thus given to any person whatever.
He would have the same difficulty at Galves-
ton in pursuing the conditions required under
the operation of this bill as under the present
law which exacts the payment of the money
at the customhouse at Galveston. What itr
the difference between having an agent for the-
purpose of making the oath making the en-
tries giving bond and security &c and hav-
ing an agent for transmitting the money re-
quired under the present law? The benefits
are confined exclusively to a few persons men
who have branches in Galveston; or men who
stand unquestioned as to credit and can read
ily obtain the securities required ihe small
dealer or planter is entirely cut off from the
advantages conferred by this bill and left en-
tirely in the same situation as now. Besides
no shipment of goods is subject to its provis-
ions unless the amounts of duties on them
exceed $100 ; thus it cuts off the larger por-
tion of the community leaving them without
the reach and scope of its provisions and fa
cilities. It is because it is lame in this respect;
because it docs notscem to me adapted to grant
the promised benefits that I am opposed now
to the passage of the bill just ask is. I shall
move the reference of the bill and amend-
ment to the committee on finance.
Bill and amendment referred to the com-
mittee on finance.
The bill to provide fcr issuing patents to as-
signees : amended and engrossed. The bill
for the relief of Basil Dearborn : engrossed.
The bill for the relief of A. H. Sevier and
others : engrossed.
The bill for the relief of certain persons
therein named : Mr. Truit moved its engross-
ment. Mr. Cunningham moved its reference
to the committee ou claims and accounts.
Mr. Truit said that he was anxious that ac-
tion should be taken upon it. This was the
only matter he had troubled the House with
this session : he was not disposed to do so :
but if we pass it by now it may not be reach-
ed again during the session. He hoped the '
bill would be engrossed.
still more serious objections. There is a hill
there for the purpose of giving to particular
individuals all the duties which may accrue
ljt a certain port tor tlie protection or a par-
rTicular portion of the' western frontier; thus
drawing a portion f the revenue from Gal-
veston and. appropriating it to the protection
of a single point. The importations to that
point may be greatly increased and jhose-
to the west diminished.
merce and divides the labors of one Custom
House among all of them. With regard to
the integrity with which the Custom House
at Galveston bus been conducted I am not
prepared to say much : it is not my opinion
that a eulogy upon the Collector of that port
would be in order or very strictly in accord-
ance with truth in any place. 1 believe that
all the frauds which have been complained of
in regard to the finances in the consideration
of another bill have been very materially as-
sisted and accelerated by the am ion of that
Custom House; and I am not prepared to
say that any special credit is due in that quar
ter. That however has nothing to do with
the matter under consideration. This bill
c mtnius nothing but what is just proper and
fair from a government to its citizens ; only
those rights and conveniences to wiiich they
are justly entitled.
Mr. Henderson moved to amend the 3d
section of the bill. After the word "date"
insert "which bond shall have the force and
effect of a judgment" kc. &c.
Mr. Robinson : 1 have listened with plea-
sure to the gentlemen from Montgomery and
Galveston ; though I disagree somewhat from
hotlf gentlemen in relation to the conc-
quences to which the passage of a hill of this
nature will lead. 1 am induced to oppose this
bill because I think it is not calculated to at
tain the ends for-which it is designed; be-
cause the provisions of the bill in my opinion
are somewhat at war with the results calcu-
lated to be accomplished by it. It is intended
say both gentlemen to diffuse the benefits of
commerce throughout the country by facili-
tating the transmission of merchandize from
one part to all other parts. If it were calcu-
lated to accomplish that object and did ndt
throw as many difficulties in the way as it re
moves I should be heartily in favor of it ; but j
Mr. Robinson said he had no fears of the
fate of the resolution in the hands of the com-
mittee ou claims and accounts. But the se-
lect committee had been composed of gentle-
men of every section of the country and upon
examination of the claim he was satisfied that
the country would be doing justice to itself by
the passage of this resolution. This was con-
sidered the best that could be done and was
satisfactory to the individual claimants. He
believed that if it were submitted to any other
committee they would come to the same result.
Then simply for the purpose of not having
the bill delayed and to avoid any future embar-
rassment and not that he had any fears as to
the fate of the bill he trusted it would be now
engrossed.
Mr. Wallace said he was peculiarly situated
in regard to the matter. He was absent at the
very time this bill was introduced. At the time
these debts were crntracted he was acting as
Quartermaster and Commissary-general of
the troops called into service. On account of
his absence the claims and accounts in his
hands were pretermitted. As it was expected
that the session would probably be brought to
a speedy close he would move to refer the bill
to a special committee for the purpose of in-
corporating these portions into the general ac-
count. The amount would not be' much ex-
tended ; but tie was authorized to say a3 a
positive fact that the cash was advanced in
silver for the purpose ot defraying the ex-
s-
v
. r .i. . t.
jjuf.sut) ui me ;uvt:i mucin. --
The bill was referred.
The House refused to reconsider the vote
rejecting the bill to regulate proceedings in ci-
vil suits. The bill authorizing L. A. Mc-
Laughlin to establish a ferry: rule suspended
and passed. The bill to prevent executors
tec from purchasing any debt upon their tes
tators &c: engrossed. The bill lor the relief
of Isabella T.Scott: engrossed. The bill
amending the act incorporating the city of.
Galveston : passed. The bill to charter the
Nacogdoches University: engrossed. The
w .. i .!:' r a i.i ivr-. ... . .. i
The bill for the relief of William Legan : xt-S
jected. .
On motion of Mr. Robinson the House'adk.
journed until Monday morning 10 o'clock"; '
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Texas National Register. (Washington, Tex.), Vol. 1, No. 9, Ed. 1, Saturday, February 1, 1845, newspaper, February 1, 1845; Washington, Texas. (https://texashistory.unt.edu/ark:/67531/metapth80103/m1/3/: accessed July 17, 2024), University of North Texas Libraries, The Portal to Texas History, https://texashistory.unt.edu.; crediting The Dolph Briscoe Center for American History.