ed the 14th inst. authorizing him to obtain a temporary loan of 500,000 dollars, I shall be greatly obliged it you will order copies of those acts, to be forwarded to this bank from your department. With great respect, Fam sir, To your esteemed favor of the 16th instant, I am instructed to reply that this bank will lend to the commonwealth 400, 0) dollars, or 450,000 dollars, if so much shall be required, in the sums, at the times, and on the terms following, viz. $100,000 on the 1st May next, 50,000 on the 14th June next if it shall be wanted. The commonwealth will allow interest to the bank at the rate of five per centum per annum, from the days when the above sums shall be advanced, until the time of reimbursement on the 14th day of July next; and the bank shall have the option to be reimbursed at that time either in money or certificates of the five per cent. stock to be issued under the act of March last, at the lowest price at which any of the certificates of said stock shall be disposed. of by the state. Should the above terms meet the approbation of the governor, the bank will immediately commence preparing the funds for its accomplishment, and in doing this at the present unpropitious moment, it will be necessary for the bank carefully to husband all its effective means, in order to sustain its business and credit. The efforts of the bank to aid the commonwealth on this occasion, might be greatly facilitated, if the superintendants and others. who have the disbursements of the public moneys were required, as far as practicable, to keep their accounts in this bank; and the operations of the institution might also be further promoted, if arrangements can be made with the treasury, and the commissioners, by which any considerable part of the money to be advanced, may be paid in the notes of this bank, and that these notes may be the medium of payment to the superintendants, contractors and workmen. Thus the interest and convenience of the bank and of the state would be promoted; and the bank will (at its own expense and risk,) place the notes at the treasury, in such sums and at such times as shall be required. In the year 1821, when the loan of one million was made by this bank, a similar arrangement was made by the commonwealth with the bank, and it was carried into effect without much inconvenience to the treasury, and greatly to the advantage of this institution. With great respect, I am sir, Your obedient servant. E. CHAUNCEY, Cashier. HON. C. BLYTHE, Sec'ry. of the Commonwealth, SIR, SECRETARY'S OFFICE, Harrisburg, April 30, 1828. The governor having had under consideration your letter of the 21st of this month, has directed me to inform you, that he accepts of the terms therein proposed, for a temporary loan to the commonwealth under the provisions of the act passed in the last session of assembly, with the exception of that part of your letter which states, "that the bank shall have the option to be reimbursed at that time either in money or in certificates of the five per cent. stock to be issued under the act of March last, at the lowest price at which any of the certificates of the said stock shall be disposed of by the state," as the governor considers himself bound under the provisions of the act authorizing the temporary loan to repay the amount borrowed at the expiration of three months, from and after the passage of the act, out of the proceeds of the loan, authorized by the act entitled "An act relative to the Pennsylvania canal, &c." passed the twenty-fourth day of March last. Your immediate answer is respectfully requested.-With respect to the keeping the accounts, the governor has declined giving any instruc tions at this time, considering it an arrangement proper for the consideration of the state treasurer, I am respectfully Your friend, ELIHU CHAUNCEY, Esq. JAMES TRIMBLE, Cashier of the bank of Pennsylvania, Philadelphia. SIR, Bank of Pennsylvania, 3d May, 1828. The communication from your department under date of 30th ultimo, has been submitted to the president and directors of this bank, and after the respectful consideration, the board have unanimously adopted the following resolution: "Resolved, That the correspondence on the subject of a loan to the state, be referred to the committee appointed on that subject, with instructions to reply to the secretary of the commonwealth, that it does not now comport with the convenience and interest of the bank to make the loan on the terms indicated by the deputy secretary of the commonwealth in his letter of the 30th April." I am, sir, with great respect, Your ob't serv't E. CHAUNCEY, Cashier. Honourable C. BLYTHE, Secretary of the commonwealth. SIR, Bank of Pennsylvania, 24th May, 1828. On the application communicated by the state treasurer, the directors of this bank have this day agreed to lend to the commonwealth the sum of 150,000 dollars, being a part of the loan which your excellency is authorized to negotiate under the act of the general assembly passed on the 21st April last. Of this sum I have delivered to the state treasurer 50,000 dollars, under the expectation that the negotiation will receive the approbation of your excellency, and it is proposed to adyance the remaining 100,000 dollars, whenever it shall be required. It is also proposed that the bank shall be allowed interest at the rate of five per centum per annuin, on $50,000 from this date, and on the remaining instalment of 100,000 dollars from the day shall be advanced until the time of reimbursement on the 14th of July next. From their interview with the state treasurer, the committee, have ascertained, with much regret, that their proposal in my letter of 21st ultimo, to the secretary of the commonwealth, has received a construction and produced an impression, unfavourable to the views of the bank, and which your excellency may be assured was never in the contemplation of the committee. It was supposed that the certificates of stock to be created under the act of March last, could not and would not be disposed of at any price less than par; and that when the bank proposed the option of reimbursement, it was under the expectation that the lowest price" there mentioned, must be at or above par. With great respect, I am, To his excellency governor SHULZE, Harrisburg, Pennsylvania. E. CHAUNCEY, Cashier. SIR, SECRETARY'S OFFICE, Harrisburg, May 5th, 1822. By an act of the legislature of this state, of the fourteenth day of April last, the governor is authorised to negotiate a temporary. loan on the credit of the commonwealth, not exceeding in amount five hundred thousand dollars, from such banks or individuals, as may agree to loan the same, a copy of which act is enclosed. I have been instructed by the governor to inquire of you whether the Harrisburg bank will loan to the commonwealth, pursuant to the said act, for the period therein mentioned, the proportion of the above mentioned sum, which the governor has deemed it necessary to bor ow, to wit: four hundred and fifty thousand dolla s, or if not the whole, what part thereof, the bank will agree to loan, at an interest not exceeding the rate of five per centum per annum, the amount borrowed, to be re-paid at the expiration of the period mentioned in the act, together with the interest. You will please to inform me as early as may be, of the amount that the bank will be willing to loan to the commonwealth, under the said act, and the terms upon which that loan will be made. I am respecfully, Your obedient servant, Your communication of the fifth current, was received and this day submitted to the board of directors of the Harrisburg bank, who direct me to inform you, that this institution agrees to loan to the commonwealth one hundred thousand dollars on interest, at the rate of five per cent per annum, the money to be re-paid on the fourteenth July, 1828. JAMES TRIMBLE, Esq. SIR, Yours respectfully. THO. ELDER, President. SECRETARY'S OFFICE, Harrisburg, May 8th, 1825. The governor has directed me to inform you, that he accepts the temporary loan to the commonwealth, from the Harrisburg bank, of one hundred thousand dollars, on the terms stated in your les ter of yesterday, and I am instructed to request, that you will please to cause the same to be immediately placed to the credit of the commonwealth, on the books of the bank, subject to the order of the state treasurer. THOMAS ELDER, Esq. I am sir, respectfully, Your obedient servant, President of the Harrisburg Bank. JAMES TRIMBLE. SECRETARY'S OFFICE. SIR, Harrisburg, May 8, 1828. By an act of the legislature of this state, of the fourteenth day of April last, the Governor is authorised to negotiate a temporary loan, on the credit of the commonwealth, not exceeding in amount five hundred thousand dollars, from such banks cr individuals as may agree to loan the same, a copy of which act is in closed. I have been instructed by the Governor to inquire of you, whe ther the Philadelphia bank will loan to the commonwealth, pursuant to the said act, for the period therein mentioned, three hundred and fifty thousand dollars, the sum now necessary to be borrowed, or if not the whole, what part thereof said bank will be willing to loan, at an interest not exceeding the rate of five per centum per annum, the amount borrowed to be repaid at the expiration of the period mentioned in the act, together with the interest. You will please to inform me as early as may be, of the amount that the bank will be willing to loan to the commonwealth, under the said act, and the terms upon which the loan will be made. I am very respectfully, Your obedient servant, JAMES TRIMBLE, Deputy Secretary. JOHN REED, Esq. President of the Philadelphia bank. A similar letter to the foregoing of the same date was written to Joseph Tagert, Esq. president of the Farmers and Mechanics bank of Philadelphia. Similar letters to the foregoing were written on the 10th May, 1828. to the president of the York bank, and to the president of the Carlisle bank. Similar letters to the foregoing were written on the 12th May, 1829, to the presidents of the bank of Pittsburg, and the Westmoreland bank. Similar letters to the foregoing were written on the 16th May, 1828. to the presidents of the Farmers bank of Reading, Farmers bank of Lancaster and bank of Chester county. |