er cent. interest, amounting to over $1,000,000,000 expressly
payable in United States notes, into coin liabilities. The bill
prepared at the treasury department contemplated the conversion of
all United States notes into bonds. In that form the bill was
defeated in the House of Representatives, but it was reconsidered
and an amendment was then made limiting the retirement of notes to
$4,000,000 a month. This gained for the bill enough votes to secure
its passage. Even the withdrawal of $48,000,000 a year was soon
found to be oppressive and was subsequently repealed.

When this bill came before the committee on finance, I found myself
alone in opposition to it. I could not impress my colleagues of
the committee with the grave importance of the measure, and its
wide-reaching influence upon our currency, debt and credit. They
regarded it simply as a bill to change the form of our securities.
I felt confident that without the use of United States notes we
could not make this exchange. When the bill was brought before
the Senate by Mr. Fessenden, chairman of the committee, he made no
statement of its terms, but only said:

"I have merely to say that this bill is reported by the committee
on finance without amendment as it came from the House of
Representatives. The committee on finance, on careful examination
of it, came to the conclusion that the bill was well enough as it
stood, and did not deem it advisable to make any amendment. It
has been before the Senate a considerable time, and I presume every
Senator understands it. I ask, therefore, for the question."

I replied:

"I regret very much that I differ from the committee on finance in
regard to this bill. This is the only bill on the subject of the
public debt on which I have not been able to concur with that
committee. . . .

"If Senators will read this bill they will find that it confers on
the Secretary of the Treasury greater powers than have ever been
conferred, since the foundation of this government, upon any
Secretary of the Treasury. Our loan laws, heretofore, have generally
been confined to the negotiation of a single loan, limited in
amount. As the war progressed, the difficulties of the country
became greater, and we were more in the habit of removing the
limitations on the power of the Secretary of the Treasury; but
generally the power conferred was confined to a particular loan
then in the market. This bill, however, is more general