James Madison Papers

To James Madison from Samuel Blodget, 11 April 1810

From Samuel Blodget

11th of April [1810]

Respected Sir

On observing to several friends in Congress (who are in favour of a renewal of the Charter to the Bank U S & on the terms They have offerd to Congress as they are expressed in the report through a committee Published this day in the National intelligencer)1

That a much better plan could be carried into effect with or without the junction with the Old Bank, I was called on for a Sketch of a Bill which for the importance of the subject, I have taken the Liberty to enclose for your inspection, well knowing that it is still imperfect. My reason for altering the Share to 300 Dollrs.2 is that it may answer for a remittance at one hundred Pounds Sterling the Share to serve hereafter in lieu of Specie remittances, & this hint I derived from conversation with Alexr Barring, when he was last in this City. $444. dollrs will be the lowest price of this stock in Europe as soon as the Law is passed, for it is now at 35 pr Cent advance, and on the apprehension of a disolution of the Bank, the highest rate of our shares in London has been 55 pr Cent advance soon after the last sales U S @ 45 pr Cent. I am with unalterable esteem & respect your Obedt Servant

S Blodget3

RC (DLC). Enclosure not found.

1On 19 Feb. a House of Representatives committee recommended renewal of the charter of the Bank of the United States. Implementing legislation was presented on 7 Apr., printed in the National Intelligencer on 11 Apr., and debated in the House on 13 Apr. Charter renewal then languished until January 1811, when single-vote majorities defeated bills in both houses (Annals of Congress description begins Debates and Proceedings in the Congress of the United States ... (42 vols.; Washington, 1834-56). description ends , 11th Cong., 2d sess., 1413, 1762–63, 1795–1817; Hammond, Banks and Politics in America, p. 210; see also John R. Smith to JM, 3 Feb. 1810, and n. 2).

2In the pending legislation, the issue price of newly authorized shares was left blank at the first reading (National Intelligencer, 11 Apr. 1810).

3Samuel Blodget (1757–1814) designed the first Bank of the United States building in Philadelphia and from 1792 had been investing in Washington, D.C., real estate. His wife, Rebecca Smith Blodget, had appealed to JM on behalf of Aaron Burr in a letter of circa 11 Mar. 1809 (PJM-PS description begins Robert A. Rutland et al., eds., The Papers of James Madison: Presidential Series (2 vols. to date; Charlottesville, Va., 1984-). description ends , 1:32–34).

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