RHODE ISLAND REPUDIATION: OR THE HISTORY OF THE REVOLUTIONARY DEBT OF RHODE ISLAND. IN THREE CHAPTERS. BY JOHN W. RICHMOND. SECOND EDITION. PROVIDENCE: SAYLES, MILLER & SIMONS, PRINTERS. INTRODUCTION. As prefatory to a history of the Registered Debt of Rhode Island, we here present an abbreviated statement published in the Boston Courier, March, 1852. RHODE ISLAND AS SHE WAS AND rhode island as she is. OR, A HISTORY OF THE ORIGIN OF THE REGISTERED STATE DEBT, AND THE CONSIDERATION ON WHICH IT WAS FOUNDED; THE LEGISLATION BY WHICH IT WAS CREATED, AND THE LEGISLATION WHEN REPUDIATED. The Heroes, the Patriots, and the Statesmen of Rhode Island, held the government of the State at the commencement of the Revolution. As early as April, 1775, they raised an army of 1500 men, and in June 360, August 250, October 500, January, 1776, 250, do. 224 (Artillery,) do. 750, do, 325 (as minute men,) do 750, and the same spirit existed in Rhode Island during the war. Armed vessels were chartered for protecting the colonies, at the risk of the colony, June, 1775, and placed under the command of Com. Whipple. January, 1776, an act passed for the trial and condemnation of prizes. March, 1776, an act for fitting armed vessels, and the establishing a Court of Admiralty for the condemnation of prizes. May session, 1776, an act passed, repealing " an act entitled an act, for the more effectually securing to His Majesty the allegiance of his subjects in this colony and dominion of Rhode Island and Providence Plantations," and for altering the forms of COMMISSIONS, WRITS, AND PROCESSES in the Courts, and the OATнs prescribed by law. The preamble of this act charges against "George the Third, King, &c., that, forgetting his dignity, breaking the compact of his illustrious ancestors, and till lately fully recognized by him; departing from the duties of a good King, he endeavored to destroy the good people of this colony, &c., in order to compel us to submit to a most debasing and degrading tyranny." "It is therefore enacted by this General Assembly, that all Commissions for officers, whenever the name of said King is made use of, the same shall be omitted, and in the room thereof shall be substituted the GOVERNOR AND COMPANY of the colony of Rhode Island and Providence plantations. WRITS AND PROCESSES shall be altered to the same form. No instrument in writing, whether public or private, shall in the date thereof, mention the year of the said King's reign." The act then goes on to give the form of oath to all officers of the State and "they shall be faithful to the State." 302464 says, At the close of the printed Laws of the Session, the usual "GOD SAVE THE KING" was omitted, in lieu thereof "GOD SAVE THE UNITED COLONIES." The entire Act as published in the Laws, covers over five pages. If we look at this Act, the circumstances of the times when it was passed-the population of the state not exceeding 50,000-the resources of the state, her whole real and personal property not over $10,000,000, it was an Act of more noble daring, than the celebrated DECLARATION OF INDEPENDENCE of the UNITED STATES' two months after the BOLD STAND taken by Rhode Island, in open REBELLION against the Royal Government. As we can here give only a very abbreviated history of the warlike energy of the state, we only add—that the militia included all over sixteen years and under sixty. At times all were drawn for active duty, not exempting members of Assembly, except when in actual session-the same additional enlistments for the reg ular Army, continued during the war, as have been recited from April, 1775 to March, 1776. To meet the vast expenses of the Army, in all its various expenditures, recourse was first had to the emission of a paper currency. From May, 1775, to September, 1776, paper bills, called bills of credit, were emitted to the amount of $300,000, and placed in the general Treasury. These bills were made a tender in payment of all debts, public and private, and were to be redeemed at the Treasury, one half in five years, and the other half in six years. They were therefore shortly in the hands of the whole community as a claim against the State. November, 1776, committees were appointed by the New England States to meet in Providence, and confer on the exigencies of the country. They recommended that Rhode Island issue no more bills of credit, but depend on loans and taxes to meet her great army expenses. From December, 1776, to February, 1779, Rhode Island effected loans to the amount of $533,333. For all this sum state notes were given by the General Treasurer, under the authority of the General Assembly. Residents of the state who absented themselves by removal to the British Provinces, or who passed within the British lines, were styled absentees. Their estates were confiscated, and taken into the possession of the state, as early as October, 1775. The act of confiscation subsequently passed, decreed, "that all lands, and all other estates of such persons, shall be forfeited to the state." "Provided always, and be it further enacted, that all the debts due to any person from the absentee, shall be payable out of their respective estates." These confiscated estates were therefore in the hands of the state a TRUST FUND for the liquidation and payment of claims held by citizens of the state against abThese claims were nearly $60,000. sentees. It seems little was done to perfect the payment to creditors of absentees, for some years after confiscation. The cause of that delay might have been, that a sure title could not be given if the property was sold. If the country should fail to establish independence, the absentees would return, and suits for damages would be so great as to produce irredeemable bankruptcy against the subjected colony. The establishment of state governments by the treaty of peace in 1783, settled all future claims by absentees, and the state adopted her own measures against the confiscated estates. The total poverty of the state, however, prevented her for the time being, to perfect her trust, and instead of payment, in 1783, the old notes were called in and new notes given by the General Treasurer. These notes now 智 constitute a portion of the present state debt-a debt which the state is bound to pay to the uttermost farthing. In June, 1780, the State Treasury was empty. An act passed to emit $66,666 in paper bills, funded on real estate, held by the state-these bills to be a lawful tender in the payment of all silver and gold contracts. Five confiscated estates, stated in the act to be of more value than the $66,666 in silver or gold, were pledged for the redemption of the emission. These paper bills were to be redeemed on or before January 1, 1781, at the rate of one Spanish dollar for every six shillings, or in gold equivalent, with an interest of five per cent. A portion of these notes now constitute a part of the state debt. The aforesaid indebtedness for "bills of credit," for "money loaned," for claims against "confiscated estates," and for the "paper bills" of 1780, were all claims against the state, and to be paid by the state. Her protection was to charge her disbursements for the general and particular defence to the United States; and subsequent historical facts clearly prove that the state was thereby paid for every outlay by her so made. By divers acts of Assembly, state notes were given by the General Treasurer as follows, viz.: "For half-pay to the heirs of all commissioned officers who were slain or died in the service;" to "disabled officers and soldiers;" for "stock driven from Block Island, and other exposed situations,"-such of this stock as was suitable was slaughtered for the army, the residue sold, and the proceeds paid into the Treasury; for "slaves who enlisted in the army;" for "boats and scows;" for army supplies, both voluntary and those taken by impressment;" for "depreciation of pay" to a large amount; for "military services" to an immense amount. 66 All these liabilities assumed by the state, were charged the United States, and were held by individuals against the state. A large portion of the present state debt is founded on these notes-the first issue and the renewals having been made under the special legislation of the state. It was well known to the general government that Rhode Island was greatly in advance for army expenses, and to aid the state in her extraordinary exertions in men and means, frequent remittances were made the State from the United States. The advances made by the state, and the remittances to her, were in the settlement of the accounts in 1793 reduced to a specie basis, and settled on the state of the accounts as they existed at the close of the war in 1783. Rhode Island is credited for war expenses, She is charged back sundry payments, Net balance on advancements, She is then charged her quota of war expenses, $3,782,974 1,777,608 $2,005,366 1,505,755 $499,611 Net balance on final settlement, This statement was on a consolidated specie basis, and makes the astonishing developement that Rhode Island actually contributed, during the eight years of the war, from resources furnished by her own citizens, And for each year more than Being over her quota $2,005,366 250,000 499,611 This balance, with an interest of 6 per cent. was as above stated, based on the accounts as they stood at the close of the war, and was paid to the state, as will be hereafter stated. It is a known fact in the financial history of Rhode Island, that a portion of the |