Launching the New Ship of State: America in 1790

1. Chapter 10 “Launching of the New Ship of State”

2. America in 1790 • American population was 90% rural • All but 5% of the people lived east of the Appalachian mountains • Vermont became the 14th state in 1791 • Many problems had to be addressed • Find a leader (president) • Pay back a large debt • Address problems with the British, French, and Spanish

3. George Washington • Unanimously drafted as president by the Electoral College in 1789 • Commanded his followers by strength of character rather than by the arts of the politician • Set the precedent for future presidents.

4. Washington’s First Cabinet Edmund Randolph, Attorney General Henry Knox, Secretary of War Thomas Jefferson, Secretary of State Alexander Hamilton, Secretary of Treasury

5. Washington and his cabinet: left to right, President Washington, Secretary of War Henry Knox, Secretary of the Treasury Alexander Hamilton, Secretary of State Thomas Jefferson, and Attorney General Edmund Randolph(Courtesy of the Library of Congress)

6. The Cabinet • The Cabinet traditionally includes the Vice President and the heads of 15 executive departments • The 15 Secretaries from the executive departments are appointed by the President, and they must be confirmed by a majority vote (51 votes) of the Senate. • They cannot be a member of Congress or hold any other elected office. Cabinet appointments are for the duration of the administration, but the President may dismiss any member at any time, without approval of the Senate. • They are expected to resign when a new President takes office.

7. Executive Departments • Department of Agriculture • Department of Commerce • Department of Defense • Department of Education • Department of Energy • Department of Health and Human Services • Department of Homeland Security • Department of Housing and Urban Development • Department of Justice • Department of Labor • Department of State • Department of the Interior • Department of the Treasury • Department of Transportation • Department of Veterans Affairs

8. Judiciary Act of 1789 • Constitution said nothing about the make-up of the Supreme Court. • Became the job of Congress to decide • Passed a law that provided for a chief justice and five associate justices • Federal district and circuit courts were established • John Jay was named the first chief justice of the United States

9. Hamilton’s Financial Plan • Reviving public credit • Customs duties and excise taxes • A national bank

10. Reviving Public Credit • Hamilton wanted to bolster public credit • Urged the national government to fund the national debt “at par” and to assume completely the debts incurred by the states during the Revolutionary War. • This plan would provide the new national government with “buy in” from the states • The debt was $54 million • Virginia resisted because they had already paid their debt off. • Agreement between Jefferson and Hamilton called for the new capital to be placed on the banks of the nearby Potomac River in return for Virginia's support for the bill • Speculators benefited from the new bill. They became the new rich class that Hamilton was trying to create.

11. Pierre L’Enfant • Pierre L'Enfant was born in Paris where he trained to be an architect. He came to America in 1777, and served George Washington as an engineer during the Revolutionary War. In 1791 President Washington asked L'Enfant to design the new capitol city in the District of Columbia. • On instruction from President Washington, Thomas Jefferson on February 27, 1792 wrote a letter to L'Enfant dismissing him as city planner because of his slowness. L'Enfant died penniless and was buried on a friend's estate. In 1909 his remains were moved to Arlington National Cemetery on a hill overlooking the capitol city.

12. Pierre Charles L'Enfant "Plan of the City of Washington," March 1792 Engraving on paper Geography and Map Division Library of Congress (29)

14. The White House

15. The United States Capitol

16. Jefferson Memorial

17. Lincoln Memorial

18. Washington Monument

19. Customs Duties and Excise Tax • To pay off some of the debt, Hamilton first proposed custom duties, imposing a low tariff of about 8% of the value of dutiable imports. • Hamilton also wanted to protect America’s infant industries • Tariff – tax on imports to protect infant industries in the U.S. • Excise Tax – tax on goods made within the U.S.

20. National Bank • A powerful private institution that would provide the country with a safe place to put its money. • The bank would print urgently needed paper money and thus provide a sound and stable national currency. • Before the National Bank government spread its money throughout the country in different state banks.

21. Hamilton and Jefferson Battle Over Bank • Hamilton’s Views: Loose interpretation • What was not forbidden in the Constitution was permitted. • A bank was “necessary and proper” • He evolved the Elastic Clause. • Jefferson’s Views: Strict interpretation • What was not permitted was forbidden. • A bank should be a state controlled item (9th Amendment). • The Constitution should be interpreted literally and strictly. • End result: Hamilton won, and Washington reluctantly signed the bank measure into law; the Bank of the Untied States was created by Congress in 1791, and was chartered for 20 years.

22. First National Bank in Philadelphia • 20 year charter signed in 1791

23. Whiskey Rebellion • First challenge to the new government • An uprising of Pennsylvania farmers who were upset with Hamilton’s new excise tax on grain. • An army of 13,000 marched to Pennsylvania where the rebels quickly surrendered. • An over show of force by Washington to prove a point. • U.S was not going to handle the Whiskey Rebellion like Shays Rebellion.

24. Emergence of Political Parties • Personal rivalry between Hamilton and Jefferson gradually evolved into two political parties. • The Founding Fathers had not envisioned permanent political parties • Since 1825, the two-party system has helped strengthen the U.S. government, helping balance power and ensuring no huge deviation from the norm.

25. Democrat Republican LeadersThomas Jefferson James Madison Regionsstrongest in northern farming areas and southern and western back country Beliefsrule by the common people weak national government strict construction of the Constitution protection of states' rights laws to help farmers low tariffs to keep goods cheap for farmers no national bank Federalists LeadersAlexander Hamilton John Adams Regionsstrongest in northern towns and coastal south Beliefsrule by wealthy, educated people strong national government loose construction of the Constitution limits on states' rights laws to help businesspeople high tariffs to protect manufacturers in the United States powerful national bank pro-British Two Political Parties

26. French Revolution • A revolution erupted in France and it deeply affected the U.S. • Democrat-Republicans tended to support the revolution and Federalists deplored the mobocracy. • Reign of terror began, the guillotine was introduced, and the kings was beheaded.

27. Storming of the Bastille • On July 14, 1789, the mob, joined by some of the King's soldiers, stormed the Bastille. The commander, de Launay, attempted to surrender, but the mob would not accept it. He was killed as they poured through the gates. No guard was left alive. • Later in the day the prisoners were released. There were only seven: two were convicted forgers; one was a loose-living aristocrat put in prison by his own father. Nevertheless it was a great symbolic event, one which is still celebrated in France every year.

28. The Guillotine • The Guillotine was a cruel form of punishment of death during the French Revolution.  The Executioner cranked the blade to the top, and a mechanism released it.  The blade was heavy, with its weight made the fall and the slice through the neck, severing the head from its body.  The victims head retained hearing and eyesight for up to 15 minutes after beheading.

29. Washington’s Neutrality Proclamation • When France declared war on Great Britain many expected the U.S. to honor the treaty of alliance with France. • Washington knew that war could mean disaster since the nation was militarily and economically weak and politically disunited in 1789. • Washington issued his Neutrality Proclamation in 1793

30. Citizen Edmond Genêt • The French minister to the United States, Edmond Genêt, tried to win Jeffersonian-Republican support, going so far as to outfit privateers in American ports and raise soldiers to wage war against Spanish possessions in North America. • This event provoked tremendous friction in the cabinet, but Washington eventually asked the French for Genêt's recall. The dismissed minister, fearing for his life, was granted asylum in the United States where he lived out his life.

31. U.S./British Problems • British refusal to vacate their western forts after the Revolution • British arming Indians in the west and urging them to attack Americans • British impressment of American sailors • Borders disputes between the U.S. and Great Britain

32. Battle of Fallen Timbers • President Washington sent three expeditions against the Indians in the Northwest (who were being aided by the British). The first two failed, the third one, led by General Wayne, succeeded in decisively defeating the Indians at the Battle of Fallen Timbers. • One year later the Indians came to Greenville to surrender and sign the 'Treaty of Greenville'. The signing of this treaty opened all of Ohio to white settlers.

33. Jay’s Treaty • In a last-ditch attempt to avert war Washington sent John Jay to England to promote peace. • His negotiations were sabotaged by Hamilton, who secretly gave the Brits the details of America’s bargaining strategy. • The British only promised to evacuate the chain of posts on U.S. soil – a pledge that had been made before in the Treaty of Paris of 1783. • Said nothing about future impressments of sailors • Passed in the Senate because the only other alternative was war.

34. Pinckney’s Treaty • Spain recognized U.S. borders at the Mississippi and the 31st parallel (the northern border of Florida, a Spanish possession) • Spain granted Americans the right to deposit goods for transshipment at New Orleans. • Spain was a rival of Britain and noted the warming relationship between Britain and the U.S. as evidenced in Jay's Treaty. Therefore, Spain hoped to keep Britain off balance by establishing a positive relationship with America.

35. Washington’ Farewell Address • Washington served two terms then left in spite of American desire for him to continue. • Set precedent for a two term limit – not broken until 1940 by FDR • Urged Americans to steer clear of permanent foreign alliances.

36. Election of 1796 • Federalist – John Adams • Lawyer from Massachusetts and Washington’s Vice President • Demo-Rep – Thomas Jefferson • Author of the Declaration of Independence and Washington’s Secretary of State • First election in which people voted • First election with political parties • Adams won in the electoral college and the popular vote. Jefferson was second so according to the Constitution he would become the Vice President. • Led to the passage of the 12th Amendment

37. Undeclared War With France • The French were infuriated by Jay’s Treaty, calling it a flagrant violation of the 1778 Franco-American treaty, and began seizing defenseless American merchant ships. • French warships began to seize American merchant vessels.

38. XYZ Affair • In 1797, President Adams labored to defuse growing tensions with France by sending two new diplomats, John Marshall and Elbridge Gerry, to join C.C. Pinckney in Paris. The French foreign minister, Charles Maurice de Talleyrand, kept the American mission waiting for weeks, then deployed agents (designated X, Y and Z by the Americans) to demand a $250,000 bribe for himself and a $12 million loan for France. Bribery was standard diplomatic fare at the time, but the amount was deemed exorbitant. • C.C. Pinckney is said to have expressed his dismay by stating either, "Millions for defense, but not one cent for tribute."

39. American Neutrality • An undeclared war mostly confined to the seas raged for two and a half years, where American ships captured over 80 armed French ships. • In keeping the U.S. at peace, John Adams plunged his popularity and lost his chance at a possible second term, but he did the right thing, keeping the U.S. neutral while it was still weak.

40. Convention of 1800 • In 1800, the three American envoys were met by Napoleon Bonaparte, who was eager to negotiate with the U.S. • Napoleon let the U.S. out of the alliance. • Set up good relations between the U.S. and France that would lead to the Louisiana Purchase in 1803

41. Alien and Sedition Act • The Naturalization Act, which extended the residency period from 5 to 14 years for those aliens seeking citizenship; this law was aimed at Irish and French immigrants who were often active in Republican politics • The Alien Act, which allowed the expulsion of aliens deemed dangerous during peacetime • The Sedition Act, which provided for fines or imprisonment for individuals who criticized the government, Congress or president in speech or print. • A number of Republican newspaper publishers were convicted under the terms of the Sedition Act. • Blatant violation of the 1st Amendment. • No checks and balances because Congress, the President and the Supreme Court were dominated by Federalists

42. Virginia and Kentucky Resolutions • Since Congress was controlled by the Federalists, the fight against the Alien and Sedition Acts moved to the state legislatures in late 1798. James Madison prepared the Virginia Resolutions and Thomas Jefferson wrote the Kentucky Resolutions. Both followed a similar argument: The states had the duty to nullify within their borders those laws that were unconstitutional.