in such sums as may be called for by the depositors
may so far fill up the channels of circulation as
greatly to diminish the necessity of any considerable
issue of Treasury notes. A restraint upon the
amount of private deposits has seemed to be indispensably
necessary from an apprehension, thought to be well
founded, that in any emergency of trade confidence
might be so far shaken in the banks as to induce a
withdrawal from them of private deposits with a view
to insure their unquestionable safety when deposited
with the Government, which might prove eminently disastrous
to the State banks. Is it objected that it is
proposed to authorize the agencies to deal in bills
of exchange? It is answered that such dealings
are to be carried on at the lowest possible premium,
are made to rest on an unquestionably sound basis,
are designed to reimburse merely the expenses which
would otherwise devolve upon the Treasury, and are
in strict subordination to the decision of the Supreme
Court in the case of the Bank of Augusta against Earle,
and other reported cases, and thereby avoids all conflict
with State jurisdiction, which I hold to be indispensably
requisite. It leaves the banking privileges of
the States without interference, looks to the Treasury
and the Union, and while furnishing every facility
to the first is careful of the interests of the last.
But above all, it is created by law, is amendable by
law, and is repealable by law, and, wedded as I am
to no theory, but looking solely to the advancement
of the public good, I shall be among the very first
to urge its repeal if it be found not to subserve the
purposes and objects for which it may be created.
Nor will the plan be submitted in any overweening
confidence in the sufficiency of my own judgment, but
with much greater reliance on the wisdom and patriotism
of Congress. I can not abandon this subject without
urging upon you in the most emphatic manner, whatever
may be your action on the suggestions which I have
felt it to be my duty to submit, to relieve the Chief
Executive Magistrate, by any and all constitutional
means, from a controlling power over the public Treasury.
If in the plan proposed, should you deem it worthy
of your consideration, that separation is not as complete
as you may desire, you will doubtless amend it in
that particular. For myself, I disclaim all desire
to have any control over the public moneys other than
what is indispensably necessary to execute the laws
which you may pass.
Nor can I fail to advert in this connection to the debts which many of the States of the Union have contracted abroad and under which they continue to labor. That indebtedness amounts to a sum not less than $200,000,000, and which has been retributed to them for the most part in works of internal improvement which are destined to prove of vast importance in ultimately advancing their prosperity and wealth. For the debts thus contracted the States are alone responsible. I can do no more than express the belief that each State