OHIO STATEWIDE FILES OH-FOOTSTEPS Mailing List Issue 55 ************************************************************************ USGENWEB ARCHIVES(tm) NOTICE Copyright. All rights reserved. http://www.usgwarchives.net/copyright.htm http://www.usgenwebarchives.org ************************************************************************** OH-FOOTSTEPS-D Digest Volume 06 : Issue 55 Today's Topics: #1 Fw: Tid-Bits - part 76 ["Maggie Stewart, OH Archives" To: OH-FOOTSTEPS-L@rootsweb.com Message-ID: <00d101c664f1$431bf740$0301a8c0@margaret> Subject: Fw: Tid-Bits - part 76 Content-Type: text/plain; charset="iso-8859-1" Content-Transfer-Encoding: 7bit ----- Original Message ----- From: "Darlene & Kathi kelley" To: Sent: Saturday, March 11, 2006 9:50 PM Contributed for use in USGenWeb Archives by Darlene E. Kelley March 11, 2006 +++++++++++++++++++++++++++++++ Historical Collections of Ohio And Then They Went West Know Your Ohio Tid-Bits - part 76 by Darlene E. Kelley notes by S.Kelly [ ] ++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++ Tid-Bits - part 76. Timeline of Early Ohio The Indians, since the treaty of Greenville had been at relative peace, but about the year 1810 they began to commit aggressions upon the inhabitants of the West. The celebrated Tecumseh was particularly active in his efforts to unite the native tribes against the Americans, and to arrest the farther extension of settlements. His efforts, and those of his brother, " The Prophet ", soon made it evident that the West was about to suffer another Indian war. The respective governments were proactive in anticipation of their movements. In 1811 General Harrison, who then was the Governor of Indiana Territory, marched against the town of the " Prophet," on the Wabash River. The Battle of Tippecanoe occurred in what is now Cass County, Indiana. The Indians were totally defeated. This year also marked another occurance of equally immense importance to the Whole West. This was the voyage. from Pittsburg to New Orleans, of the first steamboat ever launched on the Western waters. In June 1812, the United States declared war against Great Britain. The West was a principal theater of this war. Defeat, diaster, and disgrace marked its opening scenes for the Americans, but the latter events of the contest were a series of splendid achievements. Croghan's gallent defence of Fort Stephenson; Perry's victory on Lake Erie; the total of defeat, by Harrison, of the allied British and Indiian forces under Proctor and Tecumseh, on the Thames River; and the great closing triumph of Andrew Jackon at New Orleans, reflected very positively on American forces. Throughout this war, even during the darkest moments, the conduct of Ohio was consistently patriotic and honorable. When the necessities of the national Government forced Congress to resort to a direct tax, Ohio, for successive years, cheerfully assumed and promptly paid her quota out of her state treasury. Her sons enthusiastically volunteered her services in the field, and no troops more patiently endured hardship or performed better service, Hardly a battle was fought in the old Nortwest in which some of these brave citizen soldiers did not seal their devotion to their country with their blood. In 1816 the seat of the State Government was moved to Columbus, the proprietors of the town having erected the Statehouse and other public buildings for the accomendation of the Legislature and the Officers of the State. In January 1817, the first resolution relating to a canal connecting the Ohio River with Lake Erie was introduced into the Legislature. In 1819 the subject again advanced. In 1820, on recommendation of Governor Brown, an act was passed providing for the appointment of three canal commissioners, who were to employ a competent engineer and assistants for the purpose of surveying the route of the canal. The action of the commisioners, however, was made to depend on the acceptance of the United States Congress of a proposition -- on behalf of the State -- for a donation and sale of public lands lying upon and near the route of the proposed canal. As a result of this restriction nothing was accomplished for two years. In 1822 the subject was referred to a committee of the United States House of Representatives. This committee recommended the employment of an Engineer, and submitted various estimates and observations to illustrate the importance and feasibility of the work. Under this act James Geddes, of New York, an experienced and skillful engineer, was employed to make the necessary examinations and surveys. Finally, after all the routes had been surveyed, and estimates made of the expense had been laid before the Legislature at several sessions, an act was passed in February 1825 --- " to provide for the internal improvement of the State by navigable canals." Thereupon the State embarked on this extensive engineering and construction effort. The construction of the canals gave new life to the development of the State. First the construction work supplied funds to the settlers along their routes, and then opened a market for their agricultural products. These products, in many sections, previously had had next to no cash value. This problem, along with extensive sickness related to the opening up the wilderness, had caused settlement to lanquish. The total of the canal mileage in the State grew to 788 miles in 1880's. Related reservoirs covered an area of 32,100 acres, or over fifty square miles. The total cost was about sixteen million dollars. Railroads soon followed. The first railroad was the " Erie & Kalamazoo." which ran to Toledo, Ohio, to Adrain, Michigan. It was opened with horse-power [ it was pulled by a horse. ] in the fall of 1836. A locomotive was introduced in July 1837, the first used in the West. The next railroad in Ohio was the " Mad River & Lake Erie," which was incorporated in 1832, with a prospective route from Dayton via Springfield to Sandusky. Construction was begun in 1835, and in 1839 a portion opened-- sixteen miles from Sandusky to Belivue-- and the second locomotive in Ohio was used there. Ten years later, 1848, this road, in connection with the " Little Miami Railway Co." was used there, where which was built from Cincinnati to Springfield, formed the first through line across the State. The second through line from Lake Erie to the Ohio River was opened in 1851 under the name of the " Cleveland, Columbus, Cincinnati & Miami Railroad." The next year chronicled the opening of a third line, which ran from Cleveland to Pittsburgh. By 1887, the railroads of Ohio had developed a 9,849 miles of track, on which, along with equipment, nearly 500 million dollars had been invested. In the decade between 1830 and 1840 Ohio made surprising progress, largely due to the development of her canal system. Her population increased 68 percent, and she became the third largest State in the Union with 1,519,467 inhabitants. Cincinnati, then her chief city, had a population of 46,338; Columbus 6,048; Cleveland 6,071, were the three next in order. Her manufacturing and commecial interests were expanding along her agriculture, and mining had also begun. The number employed in mining was about 620. Also the 1835 long dispute between Ohio and Michigan in relation to the boundary line called the " Toledo War" commenced hostilities between Michigan and Ohio. [ mentioned in the previous in Tid-Bits part 75 A & B. ] In 1840 occurred the famous " Hard Cidar and Log Cabin Campaign. " which resulted in the election of Whig candidate General William Harrison to the Presidency. In Ohio, the Whig candidate for Governor, Thomas Corwin, was elected by a majority of 16,000 votes over Wilson Shannon. Two years later Corwin was defeated by Shannon, who thus became the first Governor born on the Ohio soil. For the war with Mexico, declared in 1846, Ohio supplied four regiments of volunteers and a company --- over 5,556 men, more than any other northern State of whom 57 were killed and wounded. One of the regiments, the Second, was commanded by Col. George W. Morgan, of Mt. Vernon, Ohio, later a Brigadier- General in the Civil War. In the same year, 1846, bituminous coal was intrduced in Ohio as a furnace fuel at Lowellville, in Mahoning County. This was an event of great importance to the development of the iron industry of the State and Country. Its initial use in iron production had occurred the year before in an adjoining county in Pennsylvania. During this period the slavery question assumed such importance as soon revolutionize the politics of the State. In the Legislative session 1848-1849, members were nearly equally divided between the Whigs and Democrats, with two Free Soilers--- Messrs N.S. Townsend, of Lorain County, and John F. Morse, of Lake County -- holding the balance of power. The repeal of the Black Laws, which had long marred the statute books of Ohio, and their choice for a United States Senator, were the primary objects with the Free Soilers. Beside the election of a Senator, two Judges were to be elected to the Ohio Supreme Court. Mr. Morse made overtures to the Whigs, but there were several Whig representatives fom the southern counties of Ohio who opposed the repeal of the Black laws and to Joshua R. Giddings -- Morse's choice for Senator-- and hence he failed to build a coalition. Mr. Townsend was successful with the Democrats. They united with the Free Soilers; as a result, the Black Laws were repealed [ in which vote most of the Whigs joined.] Salmon P. Chase -- the personal choice of Mr. Townsend -- was elected to the Senate, and two Democratic Judges were appointed to the Supreme Court. This Legislation provided separate schools for black children. The Legisation, in a certain sense continue the Black Laws, inasmuch as a distinction was shown between races. This distinction was not entirely obliterated until the session of 1886-1887, when they repealed through the eloquent efforts of Benjamn W. Arnett, D.D., member-elect from Greene County. He was the first black man in the United States to represent a constituency where the majority were white and the first to be foreman of a jury where all other members were white. On May 6, 1850, the second constitutional Convention, consisting of 108 members, met in Columbus to revise and change the old constitution and adapt it to the changed condition of the commonwealth. It was in actual sesson for almost four and a half months. It adjourned on March 10. 1851. the consitution was ratified by a majority of 16,288 voters. William Medill, president of the constitutional convention, was elected the first Governor under it. On July 13, 1855, Free Soilers, Whigs, Democrats, and Americans, all opposed to the extention of slavery, met at the Town Street Methodist Church in Columbus and held the first Republican State convention. They elected John Sherman chairman and announced in their platform that they would " resist the spread of slavery under whatever shape or color it may be attempted." They nonimated Salmon P. Chase as their Governor. The Whig party subsequently ceased to exist. Mr. Chase was elected by a majority of 15,651 votes. His opposing Democratic candidate was Gov. Medill, Ex-Governor Trimble, the candidate of the American -- or Know Nothing party -- received a total of 24,276 votes. In 1857 Mr. Chase was again re-elected Governor, this time by 1,503 majority over Henry B. Paine, the Democartic candidate. The great accomplisment of Mr. Chase's administration was his suggestion to the Legislature to organize the militia. His vision of coming events would prove prophetic. In 1858 a grand reveiw was held of the newly organized military forces at Dayton, and rules and regulations governing miltary drills were printed and distributed among the militia. These efforts generated a martial and patriotic spirit which burst out almost everywhere in the State. " Slowly the nation was approaching the crisis of its history, and Mr. Chase marched abreast of all events that led to it." In October 1859, John Brown made his famous invasion of Virginia [ Harper's Ferry, West Virginia ] and immediately afterwards Gov. Henry A. Wise, of Virginia, wrote to Gov. Chase, notifying him that Virginia would pursue abolitionists even into sister states to punish them. Mr. Chase dignifiedly replied that Ohio would obey the constitution and laws of the United States and not support unlawful acts, but under no circumstances could military of other states invade Ohio territory. This was his last offical declaration as Governor. In January, 1860, his term closed and a month later he was elected United States Senator. William Dennison, the first of " the War Governors," succeeded Mr. Chase. The legislature was in session when the news was received of the fall of Fort Sumter, which sent a shudder through that body. In the midst of the excitement the shrill tones of a woman's voice resounded from the gallery; " Thank God ! It is the death of Slavery." These were the words of Abbe Kelley Foster. [ See the notes at end about this remarkable woman.] Ohio responded to President Lincoln's April 15, 1861 proclmtion which called for 75,000 militia from the Northern States. From all parts of the State came offers of services from tens of thousands and on April 19,1861, only four days after the call, the First and Second Regimants of Ohio Volunteers had been organized at Columbus and were on their way to Washington. The Legislature simutaneously voted an appropriation of a million dollars for war purposes. In 1861, David Tod, became the " second War Governor " and in September 1862, an event occurred which became known as the " Siege of Cincinnati." Gen's Kirby Smith and John Morgan, with united forces, entered Kentucky, with the Ohio border as the objective point. Cincinnati was defenseless as they aproached toward it. Gov. Tod called for volunteers from citizens, and thousands from all parts of the States responded. They were called the " squirrel-hunters," because many brought their own shotguns. Major-Gen. Lewis Wallace was put in Command. He proclaimed martial law over the three cities of Cincinnati, Covington, and Newport, and fortifications were thrown up on the Kentucky Hills, on all approaches of the city, and full preparations made to meet the foe. The " squirrel-hunters " -- the Home Guards of Cincinnati-- crossed the Ohio on a pontoon, marched out four miles, and there waited four days for the attack of the enemy. There were some slight skirmishing of pickets, when the enemy, seeing the strength of force arrayed against them, withdrew. ++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++ Note++ [ Abbey Kelley in the days of the dangerous abolition prior to the Civil War, was a white young woman, who was born in Massachusetts, who became the embodiment of commitment to the cause of antislavery and equal rights for black people. At the time when the popular press demanded silence and submission from women,she spent more than two decades on the lecture platform, bringing her vibrant message to farmers and shopkeepers alike. She was a chief money-raiser and organizer of the abolitionlist movement, believing that the whole nature of society had to be changed in order to eliminate slavery and racism. Although she was labeled a " Jezebel, " she made other women aware of their capabilities. She sought out potential women leaders, bringing Lucy Stone, Susan B. Anthony, and many others into public life. She earned all women the right for free speech. She was married to Stephen Foster, an abolitionist from New Hampshire. They opened their home, " Liberty Farms " to slaves who were escaping through the " Underground Railroad." ] ++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++ Tid-Bits continued in part 77. ______________________________ ------------------------------ X-Message: #2 Date: Thu, 20 Apr 2006 23:12:21 -0400 From: "Maggie Stewart, OH Archives" To: OH-FOOTSTEPS-L@rootsweb.com Message-ID: <00dd01c664f1$67b4b5b0$0301a8c0@margaret> Subject: Fw: Tid-Bits -- Part 77 A. Content-Type: text/plain; charset="iso-8859-1" Content-Transfer-Encoding: 7bit ----- Original Message ----- From: "Darlene & Kathi kelley" To: Sent: Tuesday, March 14, 2006 6:21 PM Contributed for Use in USGenWeb Archives by Darlene E. Kelley March 15, 2006. +++++++++++++++++++++++++++++++ Historical Collections of Ohio And Then They Went West Know Your Ohio Tid-Bits -- Part 77 A. by Darlene E. Kelley notes by S Kelly [ ] ++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++ Tid-Bits - Part 77 A. Banking after the War of 1812 And its effects on Ohio. Following the war of 1812, the United States government recognized the need for a national bank to regulate the printing of currency and the issuance of governmental bonds. Many Americans opposed the Bank of United States, believing that it limited their ability to make land purchases and pay off other debts. President Jackson had opposed banks since 1790s, when he lost a sizable amount of money when he invested this cash in a bank. In 1812, Nicholas Biddle. the head of the Bank of the United asked to have the institution rechartered. In 1816, the United States government had authorized the bank to operate 20 years. Biddle at the urging of Henry Clay, appied for rechartering four years early. Congress agreed with the necessity for a national bank, but President Jackson vetoed the bill. His action. in essence, prevented the continued existance of the United States after 1836. [ see the timelime at further part of this article. ] Jackson was not happy with waiting to 1836 for the Bank of the United States to end. In 1832, Jackson ordered the withdrawal of federal government funds, approximately ten million dollars, from the Bank of the United States. The President deosited these funds in state banks an privately-owned financial institutions known as " pet banks. " Ohio had nine of these banks. Biddle tried to keep the national bank operational by calling in loans, yet many businesses did not have the funds available to pay off their debts. As a result of Biddle's actions, numerous businesses had to close their doors due to the lack of funds during 1833 and 1834. After this brief economic downturn, the United States' economy boomed. State banks began loaning money to industrialists and farmers. The banks also began printing exorbitant amounts of currency. This action led to high inflation. At the same time the banks were printing currency and loaning out large sums of money, foreign governments and businesses, hoping to benifit from the United States' burgeoning economy, loaned large sums of money to American businessmen. As a result of all of these factors, high inflation resulted. Currency quickly depreciated in value. In July 1836, Jackson issued the Specie Circular. Under this act, the government would only accept gold or silver in payment of federal land. Foreign investors also did not want to accept American currency as payment, and they began to call in their loans to American businessmen before the currency depreciated further. American citizens rushed the banks to withdraw the necessary funds to pay off their debts. Unfortunately, many Ohio and other Banks had loaned out too much money and did not have sufficient reserves on hand to meet the demands of their customers. Approximately eight hundred banks closed their doors in 1837, sifling economic growth and bankrupting numerous businesses, including some of Ohio's banks as well as other banks elsewhere. During the Panic of 1837, approximately ten percent of American workers were unemployed at any one time. Mobs in New York raided warehouses to secure food to eat. Prominent businessmen lost everything. Churches and other charitable organizations established soup kitchens and breadlines. In Ohio, many people lost their entire life savings as banks closed. Stores refused to accept currency in payment of debts, as numerous banks printed unsecurd ( backed by neither gold or silver ) money. Some Ohioans printed their own money, hoping business owners would accept it. Thousands of workers lost their jobs, and many businesses reduced other worker's wages. It took until 1843 before the United States' economy began to recover. The federal government's failure to assist the American people led voters to turn against the Democratic Party, the party in control of government at the start of the Panic of 1837. In 1840, voters elected William Henry Harrison, a member of the Whig Party and an Ohioan, over the Democratic candidate. In 1845, the Whig Party controlled Ohio's government. Mordecai Bartley served now as governor, and Whig representatives dominated the state legislature. Whigs had traditionally favored creation of banks. The Alfred Kelley Bank Bill hoped to regulate banks operating within the state, providing Ohio residents with access to loans. Alfred Kelley, a Whig member of the Ohio legislature and a banker, introduced the bill. The Kelley Bank Bill would still permit private banks to operate in Ohio, but a new State Bank of Ohio would oversee the activities of these other financial institutions. Under the Kelley Bill, the State would be divided into twelve districts. Each district would have a least one bank that belonged to the State Bank of Ohio and that oversaw the State Bank's actions. In reality, the State Bank was no more than a commission made up of other banks in Ohio, and they were responsible to the Ohio legislature. The Kelley Bank Bill gave this commission, also known as the Board of Control, the power to regulate the amount of currency produced by individual banks. It also required all banks to maintain thirty percent of the total funds deposited in the bank in reserve. The banks could invest the other seventy percent as they saw fit, it would primarily be through loans. As a result of the State Bank of Ohio and its regulatory ability under Kelley's Bank Bill, Ohio's banking system became much more stable. It worked so well that other states soon adopted the same principle. ++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++ A Time Line of The National Bank Dec 14, 1790. Aexander Hamilton proposes a Bank of United States. Dec 16, 1790. Patric Henry opposes the National bank because it is unconstitional. Feb 25, 1791. President Washington asks his cabinet members for opinions on the National Bank. Thomas Jefferson submitted that such a Bank was unconstitutional and would violate the yet to be ratified 10th Amendment. Alexander Hamilton submitted that Congress's power to collect taxes, was also power to create a national bank. Not convinced by either side, Washington sided with Hamilton as it was Hamilton's job as Secretary of the Treasury to know what he was doing. Dec 12, 1791. The Bank of the United States opens it's doors in Philadelphia. Jan 21, 1793. Hamilton and the National Bank are accused of corruption and mismanagement. Opponents to the National Bank call for the demise of the unconstitional Bank. Congress fails to act. [ During the winter of 1792-93, Congress was investigating financial dealings of Alexander Hamilton, the first Secretary of the Treasury. Hamilton had made secret payments to James Reynolds, a convicted swindler whose release from prison had been allowed by the Treasury Department. Hamilton was forced to admit to members of Congress that he had made the payments, but haracterized them as bribes to prevent public disclosure of adultry Hamilton had committed with Reynold's wife, Maria. Those encounters occurred in Reynold's bed while he was away and in Hamilton's bed while his wife was away. Paing for Reynold's silence was only part of the cover-up. Hamilton and Mrs. Reynolds burned incriminating correspondance and promised to pay the Reynolds' travel costs if they would get out of town. When the members of Congress, including future President James Monroe, heard the confession, they decided the matter was private, not public, and no impeachable offense occurred. They conspired with Hamilton and among themselves to keep it all a secret. President Washington, Secretary of State Thomas Jefferson ( who hated Hamilton ) and House minority leader James Madison were all aware of the confession but did not make it public. In 1797, a disgruntled former clerk of the House leaked the story to a muckraking journalsit, and the whole nation heard about it. The result -- In 1798, then - President Adams and former President Washington nominated Hamilton to be Inspector General of the new U.S. Army, second in command to Washington himself. The other founding fathers still remained their respectful silence, and Hamilton was confirmed by the Senate. Some historians believe that Alexander Hamilton fabricated the affair and bribes to cover up his illegal activities of selling insider information to a select number of friends. A sex scandlal was easier to cover-up than a national banking scandal. ] Feb 20, 1811. Congress refuses to let the National Bank renew its Charter on the grounds that the Bank is unconstitutional. March 4, 1811. The Bank of the United States is disolved. Jan. 20, 1815 President Madison vetoes a bill that would create a second Naional Bank. Jan. 8, 1816. Faced with financial hardship from the War of 1812, Congress proposes a 2nd National Bank. The Bill also allows the President to suspend hard currency. March 14, 1816. The 2nd National Bank gets Congressional approval. Jan 1, 1817. The 2nd national Bank opens for business. Charter was allowed for twenty years. Jan 9, 1832. The 2nd National Bank applies for it's charter renewal 4 years early. July 10, 1832. President Jackson vetoes the Bank's recharter on the grounds that the Bank is unconstitional. [ See Tid-Bits part 77 B. ] Jan 1835 With the National Bank powerless, Jackson successfully pays off the nations debt leaving the U.S. with a surplus of $5,000. July 11, 1836. Paper money results in tremendous inflation in property value. President Jackson issues a Specie Circular mandating that land payments be made with gold and silver. July 4, 1840. President Van Buren approves the Independant Treasury which allows the Federal Government to control its own money. June 7, 1841. Henry Clay, on behalf of the Whig party, introduces legislation to abolish the Independent Treasury in hopes to replace the national banking system with a Federal Bank. July 28, 1841. The Senate passes a bill, sponsored by the Whig party, to revive the 2nd National Bank by creating a Federal Bank that would be called " The Fiscal Bank of the United States." ( A state chartered Bank for the District of Columbia that would be used by the U.S. Government. ) President Tyler vetoes the bill as unconstitutional. August 13, 1841. The Independent Treasury Act is repealed leaving the National Government without a banking system for the next five years. The Secretary of the Treasury deposits the government's money into State Banks. Sept. 3, 1841. Congress agains tries to create a Federal Bank. This time, they set it up to be run by State office holers. Again, President Tyler vetoes it as unconstitutional. Sept 18, 1873 A flood of paper money snowballs the Nation into a depression that lasts 5 years. Jan. 14, 1875. The Specie Resumption Act allows legal tender to be exchanged for gold. When the Act goes into effect in 1879, the nation starts to revive from the 1873 dpression. Soon the minting of a new dollar was announced and the Democrats cried out that it was Andrew Jackson who had restored " real money " to the nation. 1907 The Nation again goes into a Depressin because of paper currency, but J.P. Morgan saves the Nation from a major crisis by providing the government with $100 million dollars in gold. December 23, 1913. In response to the National Depression in 1907, President Wilson gets Congress to pass the Owen-Glass Federal Reserve Act. The Act was intended to better regulate paper money. ++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++ Continued in Tid-bits 77 B. -------------------------------- End of OH-FOOTSTEPS-D Digest V06 Issue #55 ******************************************