Page:The History of Oregon Bancroft 1888.djvu/658

 Strong union sentiments prevailing, disloyalty to the federal government in any form was out of fashion. None but the loyal could draw money from the state treasury. But the most stringent test was the passage of an act compelling the acceptance of United States notes in payment of debts and taxes, as well as an act providing for the payment of the direct tax levied by act of congress in August 1861, amounting to over $35,000, seven eighths of the annual revenue of the state.

The legal-tender question was one that occasioned much discussion, some important suits at law, and considerable disturbance of the business of the Pacific coast. The first impulse of a loyal man was to declare his willingness to take the notes of the government at par, and in Oregon many so declared themselves. The citizens of The Dalles held a meeting and pledged themselves to trade only with persons "patriotic enough to take the faith of the government at par." The treasurer of Marion county refused to receive legal-tenders at all for taxes; while Linn received them for county but rejected them for state tax; Clackamas received them for both state and county tax; and Columbia at first received and then rejected them. The state treasurer refused to receipt for legal-tenders, which subjected the counties to a forfeiture of twenty per cent if the coin was not paid within a certain time. In 1863, when greenbacks were worth forty cents on a dollar, Jackson, Josephine, Douglas, Lane, Benton,