Page:The Records of the Federal Convention of 1787 Volume 2.djvu/333

 RECORDS OF THE FEDERAL CONVENTION Z 7 Saturday MADISON dugut zg lidge's motion that Public Credit may require perpetual pro visions, that case might be excepted; it being declared that in other cases, no taxes should be laid for a longer term than years. He considered the caution observed in Great Britain on this point as the paladJure of the public liberty. Mr. Rutlidge's motion was referred -- He then moved that a Grand Committee (be appointed to) consider the necessity and expediency of the U- States assuming all the State debts --A regular settlement between the Union & the several States would never take place. The assumption would be just as the State debts were contracted in the common defence. It was necessary as the taxes on imports the only sure source of revenue were to be given up to the Union. It was politic, as by' disburdening the people of the State debts it would conciliate them to the plan. Mr. King and Mr Pinkney seconded the motion (Col. Mason interposed a motion that the Committee pre- pare a clause for restraining perpetual revenue, which was agreed to nero- con.) Mr. Sherman thought it would be better to authorize the Legislature to assume the State debts, than to say positively it should be done. He considered the measure as just and that it would have a good effect to say something about the Matter. Mr. Elseworth differed from Mr. Sherman- As far as the State debts ought in equit 7 to be assumed, he conceived that the 7 might and would be so. Mr. Pinkney observed that a great part of the State debts were of such a nature that although in point of policy and true equity {they ought}, yet would they not be viewed in the light of frederal expenditures. Mr. King thought the matter of more consequence than Mr Elseworth seemed to do; and that it was well worthy of com- mitment. Besides the considerations of justice and policy which had been mentioned. it might be remarked that the State Creditors an active and formidable party would other- wise be opposed to a plan which transferred to the Union the best resources of the States without transferring the State

�