WASHINGTON BECOMES PRESIDENT Chapter 6 Section 1

The Inside Story 1. He had hoped to return to a quiet life of farming and he was short of money 2. The excitement about the new republic; admiration for the great general; realization that Washington’s taking office was a historic event

Washington taking the Oath of Office

Organizing the Government First Amendment Rights  Freedom of Speech  Freedom of Press  Freedom of Religion  Right to assemble peacefully  Right to petition

Judiciary Act of 1789  Established federal district courts  Established circuit courts of appeal  Developed the Supreme Court structure of six justices First meeting US Supreme Court in From left, William Cushing, Chief Justice John Jay, John Blair, & James Wilson. They did not hear a case until 1792.

Executive Departments War Department – to handle military affairs Treasury Department – to handle the nation’s finances State Department – to handle foreign relations * Washington added the Attorney General to handle legal affairs

Cabinet: -group of advisors to the president that heads the executive branch of government Who held the following positions? Secretary of State – Secretary of Treasury - Secretary of War – Attorney General - Thomas Jefferson Alexander Hamilton Henry Knox Edmund Randolph

Settling the Nation’s Debt I. Secretary of the Treasury – Alexander Hamilton A. Problem – the new government owed money to foreign nations, private leaders, and even to former soldiers – over $77 million! B. Hamilton thought – the secret to a stable government was a wealthy aristocratic class

Minute with Alexander Hamilton

C. Hamilton’s Economic Plan 1. He wanted – the federal government to take on all debt from the Revolutionary War a. including the debts of both the states and national government b. to do this he had to find a way to bring the government income, or revenue

Hamilton v. Jefferson

C. Hamilton’s Economic Plan (con’t) 2. Ideas were controversial a. The government – had sold bonds to merchants, farmers, army officers, soldiers – promising to pay them back in a certain number of years b. Hard times after the war – the government could not pay them back yet, so people sold the bonds for less to speculators for quick cash

Examples of a bond

C. Hamilton’s Economic Plan (con’t) c. Speculators – since they paid much less than the bond was worth they were hoping the bonds would regain their value d. Hamilton’s plan – pay the face value of the bond to the speculator who held them 1. Speculators would make a profit 2. Original owners would lose money 3. People thought this was unfair

D. Imposing New Taxes 1. The new Constitution – gave Congress the power to impose taxes 2. To this point – most income came from the sale of land in the West 3. Hamilton’s proposal a. Tariff – tax on imported goods – Congress passed the Tariff Act of 1789 b. Excise Tax – tax on the production or sale of a certain product – 1791 one was placed on liquor, sugar, snuff, and carriages – this was very unpopular

4. Plan to pay off state debt also controversial a. Northern states – had greater debt than southern states b. If the national government assumed states’ debts – southern state taxes would pay off other state debts – Jefferson did not like it

E. Compromise leads to a new capital 1. Hamilton – had to change Jefferson’s mind and win over James Madison who lead the opposition in Congress 2. The compromise over dinner a – the nation’s capital moved from New York to Philadelphia b. Many Virginians – wanted the capital in the south

E. Compromise leads to a new capital (con’t) c. The three men agreed – the capital would be the new Federal City in the south by 1800

E. Compromise leads to a new capital (con’t) d. Washington – was pleased – the compromise allowed him to choose an area on the Potomac River between Virginia and Maryland near his Mount Vernon home e. March 1791 – Washington choose a French engineer, Pierre Charles L’Enfant to plan the capital’s layout

E. Compromise leads to a new capital (con’t) f. Jefferson’s suggestion – he named Benjamin Banneker, an African American mathematician, as a member of the planning commission

E. Compromise leads to a new capital (con’t) g. Plan 1. Grand and elegant 2. Wide boulevards radiating out from the Capital like spokes of a wheel 3. Washington – liked it, Jefferson did not (he thought it should be simpler) 4. L’Enfant dismissed – but much of his plan was still followed

The New Capital Plan On January 24, 1791, President George Washington announced the Congressionally designated permanent location of the national capital, a diamond-shaped ten-mile tract at the confluence of the Potomac and Eastern Branch Rivers.

Washington D.C. Today

Balloon view of Washington D.C.

Debating a National Bank 1. What was the debate over the national bank? - between the Federalists and Republicans over how much power the central government should have 2. What type of constitutional constructionist would use the phrase “whatever is necessary and proper” in determining government action? - loose constructionist

Debating a National Bank 3. Explain the difference between strict and loose constructionists when interpreting the Constitution. - Strict Constructionist – believe the government can do only those things stated within the Constitution - Loose Constructionist – believe the government can take reasonable actions not directly stated in the Constitution, as long as the actions are not specifically prohibited

Debating a National Bank 4. Looking at your agenda, give me an example from it using the terms strict and loose constructionist.

Debating a National Bank 5. Why was Jefferson unenthusiastic about the final form of the Constitution? - He believed it gave too much power to central government; he wanted small central government, with more power reserved for the states. 6. Why did Washington sign the bank bill? - He did not want to use the presidential veto; Hamilton also persuaded him to sign and he supported Hamilton and chartered the bank for 20 years.

Debating a National Bank 7. Define: Bank of the United States – a national bank chartered by Congress in 1791 to provide security for the United States economy

First Political Parties Form 8. How did the first political parties form? - differences over ratification of the Constitution; also a clash between supporters and opponents of a strong central government

The Whiskey Rebellion A. Farmers and settlers – in the woods and mountains of the western frontier resented the wealth and power of people in the east B – farmers in western Pennsylvania objected violently to Hamilton’s excise tax on whiskey C. Their livelihoods depended on turning their surplus grain into rye whiskey 1. Whiskey was – easier to transport 2. Also – could be sold for more money