Washington and Congress

Dilemma facing Washington

• Constitutional Convention of 1787– Constriction is created• Plan for how the government will run

• Washington’s task– Take the ideas of the constitution and use them to

create a government

Creating a Bureaucracy

• Bureaucracy is an organization of government systems

• Washington creates a Cabinet to help him run the state.

Cabinet

• 1789 Heads of States created by Constitution• Cabinet is made up of all the heads of states• Advisers Washington

-Secretary of State – Thomas Jefferson-Secretary of War – General Henry Knox-Secretary of Treasury – Alexander Hamilton-Attorney General – Edmund Randolf

Bill of Rights

• Federalists had promised to add the amendments.

• James Madison• Based on the Virginia Declaration of Rights• 12 Constitutional Amendments prepared,10

were approved.• First 8 protect individual rights• Last 2 limit government.

Financing the new government

• Government needed revenue (source of Income)

• James Madison and Alexander Hamilton disagreed on how this should happen

Madison’s Plan

• Wanted the government to raise money using tariffs

• Tariffs are a tax on imports• Congress passes Tariff of 1789• Shippers had to pay Tonnage– Angered South

Alexander Hamilton’s Plan

• Supported Tariff of 1789• Believed the Government should be able to

borrow money• Wanted to redeem revolutionary war bonds at

face value.• South is worried this will make north more

powerful.

War bonds compromise

• If Southern congressmen vote to redeem bonds at face value

• US capital moves from New York to area in Maryland on Potomac River

• Area would be called District of Columbia

Bank of the United States

• Hamilton wants a National Bank• Southerners opposed to the plan• Madison, Jefferson and Randolph says the

congress does not have the power to create a national bank

Article 1 Sec 8

• Hamilton argued Article 1 Sec 8• Implied Powers• “to make laws which shall be necessary and

proper” ~ Article 1 Sec 8• Washington Agrees signs bill• Bank of United States Created with 20 year

charter.

Whiskey Rebellion

• 1791 congress imposes a tax on the manufacture of whiskey

• Farmers in the Western US enraged• Rebel 1794• Washington responds by sending 15,000

troops

Political Parties Emerge

• Hamilton’s financial practice divide congress• Divisions become the nations first political

parties.• Madison and Jefferson’s followers become the

democratic-republicans (democrats later, republicans today)

• Hamilton’s followers: Federalists

Partisan Politics

Madison/Jefferson’s Democrats

• Strength of the Nation in Farming (Agrarianism)

• Commerce can lead to division– Rich vs. Poor.

Hamilton’s Federalists• Strong National

Government• Democracy dangerous to

liberty• Manufacturing and trade

Vocabulary Words

• Cabinet• Bond• Speculator• Enumerated Power• Implied Power

• Tariff of 1789 • Bank of United States• Whiskey Rebellion• Democratic-Republican• Federalist