The conduct of the British government at this time, gave indications of a jealous, not to say, unfriendly spirit, towards the United States. The detention of the forts within the federal territory, contrary to an express article in the treaty of 1783, could not be justified; and all propositions for commercial intercourse, on terms of a real reciprocity, had been rejected or evaded. And the effect was, an opinion, very generally formed, that the British ministry was arbitrary and monopolizing in its views, and ready to take all the advantage, in the intercourse between the two countries, which their power would support. Thus it became necessary, and the federal Executive had sufficient national spirit, to insist on the fulfilment of the treaty, and to require that consideration due to an independent nation.

7

CHAPTER III.

Congress of November, 1792-March, 1793. Political Parties. Federal and Anti-Federal. Opposition to the Excise on Home-Distilled Spirits. Indians Hostile. Charges Against Secretary of the Treasury. Different Views of Jefferson and Hamilton. Insurrection in Pennsylvania-Washington Chosen President for a Second Term of four years. The Party Opposed to his Policy, Censorious and Abusive. His understanding with England and France, 1793. French Minister and his Improper Conduct. Neutral Position taken by Washington. Censures on this Policy. Genet Recalled. His Successor, Chargeable with little less Improper Conduct. British Aggressions. Special Embassy of Mr. Jay. Federal Judiciary. Suability of States.

THE Second Congress adjourned in May, 1792, and met again at Philadelphia, in November following, agreeable to a resolution passed at their first session. At this early period, two great political parties, appear to have been forming in the United States. Most of the individuals of each party were no doubt honest and patriotic, and desirous of maintaining the liberties of the country. One party was denominated "federal;" the other, "anti-federal." One was in favor of supporting the power of the Executive, to its full constitutional extent; the other, for controling the executive arm, so far as almost to paralyze it. The former were probably influenced, in some measure, by their perfect confidence in the wisdom and uprightness of the illustrious man who then occupied the chair of Chief Magistrate of the Union. These parties were also further distinguished, the federalists, as being most friendly to Great Britain; or rather as most desirous of keeping peace and maintaining commercial intercourse with that nation: and the anti-federalists as being unduly attached to the French nation, or most fearful of incurring its displeasure, and for a period of twenty years, from that time, this unhappy spirit of party, distracted the councils, if it did not dishonor the character of the United States.

The President evidently desired to continue on amicable terms with each of those powerful nations, and conducted with remarkable impartiality in this trying period. But he did not entirely escape the animadversions of those who were under the influence of improper prejudices and partialities. In his public speech to Congress, at the open

ing of this session; the President expressed his regret, that the war by the Indian tribes on the western frontiers continued, and that many of the settlers within the territory of the United States had been recently slain. He stated that measures both for peace and defence, had been adopted, in such a manner as he had hoped would have been effectual; but, that his repeated attempts to preserve peace, though on favorable terms to the tribes, had been unavailing; and the military force, employed in that part of the country, had not been able to prevent further depredations, as he had hoped. Some other tribes in the Southwest, it was stated, had also discovered a hostile disposition towards the United States; and yet that he had not been able to learn of any complaints, that the treaty formerly made with them had been violated, on the part of the United States. While he recommended that sufficient means be provided for the protection of the people on the interior frontiers, the President also urged Congress to adopt measures for preventing the people in the frontier settlements from intruding or making any aggressions upon the Indians. "Let us not be the aggressors," he said, "nor give any just occasion for complaints against us." The President, also, at this time, informed Congress, that in some parts of the Union great complaints and opposition were manifested to the system for raising a revenue from spirits distilled within the United States; and, as there had been unlawful meetings to oppose the execution of the laws, and threats of violence uttered, that he had issued a proclamation, warning the citizens of the evil and danger of such opposition to a law duly enacted by the national legislature. This opposition was chiefly manifested in the States where whisky was manufactured from grain; and the complaints were the loudest and the most extensive in Pennsylvania. The President referred also to the finances of the United States, and recommended additional measures, if necessary, to place the public credit on a sure and solid foundation. An exhibit from the treasury department, at this time, showed that the expenditures of the federal government, for 1789, 1790, and 1791, amounted to 3,797,500 dollars; the amount collected and received, 4,771,350 dollars; leaving a balance in the treasury, at the close of 1791, of 973,905 dollars.

The Senate and House of Representatives each returned answers to the President's speech, in which they declared their approbation of the measures he had adopted, and their determination to provide proper means of protection

to the settlements on the frontiers; and of support of the laws of the Union, against any opposition which might be made to the due execution of them.

The answer of the House of Representatives to the speech of the President was clothed in the language of respectful approbation; and the majority fully acquiesced in the propriety of the policy and the course of the executive; but several members were opposed to some of the measures which had been adopted; particularly as to the Indian war in the West; and to some of the proceedings in the treasury department, which were under the direction and control of the President, and for which he was in a measure responsible, though only the conduct of the Secretary of the Treasury was expressly censured. President Washington was as averse to hostilities against the Indian tribes, if it could be avoided with safety to the settlers in that part of the Union, as any one could be; but he justly considered it the duty of government to afford means of protection to the citizens; and was of opinion that a large force which would appear formidable to the savages, and operate on their fears, would be more effectual to induce them to refrain from future aggressions, and to make peace, than a few troops, whom they would not hesitate to attack, nor much fear in the prosecution of their hostile designs on the frontier settlements.

As to the funding of the public debt, and the assumption of the debts of the States, which had been incurred for the common and general defence of the country, during the war of the Revolution, of which some complained, he believed justice demanded that the plans of the Secretary of the Treasury should be adopted. And the charge of an improper application, by the Secretary, of monies before appropriated by Congress, for the payment of interest, and a part of the principal of both the foreign and domestic debt, the President considered unjust, or unreasonable. The charge was, that he applied part of the loans, effected in Europe, to some other purpose than paying or diminishing the foreign debt, as had been indicated by Congress. But it was shown that convenience and good policy justified the conduct of the Secretary, in this respect; that payments had been made strictly according to the laws, though a part of an appropriation for one specific object, had been applied to a different purpose; and more also had been advanced on account of expenses of the Indian war than had been anticipated by Congress, when a law was made relating to the enterprise. The Secretary of the Treasury

was also accused of extravagance in the expenditures of the public monies; and it was even intimated, that a strict inquiry into his official conduct, would detect some defalcations. An inquiry was soon after instituted into his conduct, and the accounts of the treasury department; when it was found, that no improper appropriations of the public funds had been made, (other than a deviation as already noticed, of some specific appropriations to other objects than directed, and that with good judgment and perfect integrity,) and that the proceedings of the Secretary were wholly free from all evidence of embezzlement, of corruption, or of any dishonorable official act. Washington had full confidence in his incorruptible integrity, as well as his abilities. And the people generally imbibed the same opinion of Secretary Hamilton; while many considered his political views not so fully republican as they would prefer in a high public officer of the federal government. He was no doubt in favor of what some called a strong government; in favor of exercising the full powers granted. by the Constitution; because he believed this was necessary to maintain the public credit, and to give respectability to the administration of the United States, both at home and abroad. But he duly appreciated that sacred charter of our national rights, and gave it his firm support; and there is no evidence that he was not sincerely attached to a republican government.

At this period, 1792, which was soon after any indications of the two political parties in the United States, which long unhappily continued, the different views and opinions of the highest officers in the executive department of the government, and with whom the President often found it necessary to consult, in deciding on public measures to adopt or propose, gave occasion for great regret among the patriotic citizens; and it was also a source of concern to the President himself. He addressed letters to them on the subject; and, with the Secretary of State, Mr. Jefferson, particularly, he expostulated on the evils of disunion among his confidential advisers. But this effort, so honorable on the part of Washington, was without avail. The political disagreement between the Secretary of State, and of the Treasury, continued and increased, and soon became personal and inveterate.

Mr. Jefferson coincided in opinion, with those who were originally opposed to the federal Constitution, as having too much power, and with that class of politicians who disapproved of the funding system, the assumption of the