To James Madison from Alexander J. Dallas, [ca. 16–22 July 1816]
From Alexander J. Dallas
[ca. 16–22 July 1816]
Dear Sir.
Upon reflection, I think it best to proceed with the Circular to the State Banks, and to issue the Notice, for the payment of the Treasury Notes, which are due in New-York. I ought not to anticipate a failure in the revenue, by the delinquency of the merchants; nor can I perceive any power in the Treasury Department to interfere for their relief. The case is not at all, like the case of a dispersion of the Citizens by pestulince [sic]; when the exercise of a reasonable discretion, to suspend the collection of duties, might be e[x]cused. The question, at present, arises on the power to suspend the collection of the duties, in a particular city, to save the Merchants, who have over-traded, from a sacrafice of property. Congress might deem it expedient to grant such a power, but certainly it does not e[x]ist; and, indeed, the only instances of legislative interposition, are those, where a particular district has suffered from storms, or conflagrations. Whatever should be done for New-York, would soon be claimed for every other place, to the total sequestration of the resources of the Treasury.
The Act of the 27. of April 1816 provides for laying out a road from Shawanee town to the US. saline and to Kaskaskia, in the Illinois territory;1 and I inclose a reccommendation of Commissioners to be appointed for the service. I am, Dear Sir, most respectfully & faithfully, Yr. obed Servt.
A. J. Dallas
RC (DLC). Docketed by JM as “without date on State Banks.” Conjectural date assigned on the assumption that Dallas wrote this letter after writing to JM on 16 July 1816 but before he issued the Treasury circular of 22 July 1816 (see Dallas to JM, 29 June 1816, n. 2). Enclosure not found.
1. , 3:318.