Chapter 6

_P. S._ The declaration of Portugal, shutting their ports against the armed vessels of the nations at war, which I mentioned in a letter of the 6th, has not yet been made public. It is supposed that the present Parliament will be dissolved and a new one called, while the influence of the present Ministry continues high. Considering the scarcity of cash in this country, and the present situation of affairs, perhaps Congress will do well to stop drawing on Mr Jay, until they receive information that their bills will be paid punctually. There appears no forwardness in this Court to enter into treaty; the navigation of the Mississippi is the great obstacle; the situation of America will guide the determinations of Congress, and I hope it will be such as to enable them to preserve the rights of all the States. Negotiations will, probably, be set on foot this winter, and it is likely this Court will be the theatre of them. As Spain has as yet taken no decided part in our revolution, England will rather choose to apply to this Court, and keep up the old idea of restoring peace by her mediation, than that of Versailles. Hints have been given, that it would be more convenient for Spain to furnish the States with money in America than here, but as they seem to think that America has not proposed an equivalent for what they demand, I am afraid assistance will be given very faintly.

W. C.

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TO THE COMMITTEE OF FOREIGN AFFAIRS.

St Ildefonso, September 25th, 1780.

Gentlemen,

I did myself the honor of addressing you the 6th and 9th instant, and in the latter expressed an apprehension, that Congress would not receive the pecuniary aid they expected in this country. I am now sorry to inform you, that on the 13th, Mr Jay was told by order of the Minister, that their own exigencies would not permit the King to provide funds for the payment of more of the bills than had been already accepted. I make no reflections on this event, and hope the Committee will suspend theirs, until Congress shall have received from Mr Jay, a relation of all that has passed here since the month of June last, with the papers necessary to elucidate it. In a day or two after the above information, his Majesty was pleased to offer his responsibility to facilitate a loan for one hundred and fifty thousand dollars in favor of the United States, and to promise some clothing, &c. &c.

On the 23d, Mr Jay had a long conference with the Count de Florida Blanca, the particulars of which I immediately reduced to writing, as I have done with respect to others which preceded this, copies of the most material parts of which Mr Jay will, probably, forward to Congress with his other despatches. In this conference, the Count spoke with much pleasure of a resolution of Congress, permitting the exportation of flour, for the use of the Spanish fleets and armies in the West Indies, as also of measures taken by them to make a diversion to the southward, to facilitate their operations against Pensacola, &c. &c. He said to Mr Jay, that the King had directed him to convey his thanks to Congress for those marks of their friendly disposition, and gave the strongest assurances, that his Majesty would never consent to a pacification, which did not include the interests of America, declaring at the same time, that the negotiations for peace were more remote than ever, although, as he observed, the King had been offered all he could desire from England, in order to induce him to a separate peace. He informed Mr Jay he had received intelligence, that Great Britain once more proposed to send Commissioners to treat with Congress, that this measure was under the consideration of the Privy Council, and would, probably, be adopted.

I seize the earliest opportunity of conveying to the Committee thus much of the conference, as most important for Congress to know, to which I add, that the Minister promised to take immediate measures for putting it in the power of Mr Jay, to evidence and avail himself of the responsibility of the King, and forwarding from Cadiz clothing for ten regiments, for the use of the American army. In the course of this conference, the Count de Florida Blanca asserted with warmth, that the King would never relinquish the navigation of the Mississippi, and the Ministry regarded the exclusive right to it as the principal advantage Spain would obtain by the war. This being the bar to the treaty, it seems not improbable, that this Court will not be in a hurry to treat with us, but rather trust to her interest in a general Congress for peace to obtain her favorite objects, preserving, in the meantime, such a line of conduct, as will enable her, in some measure, to be a mediator in it, with which idea she has been, and is flattered by England.

Mr Cumberland, whom I have frequently mentioned in former letters, still remains at Madrid. The Abbé Hussey, his coadjutor, has just received a passport to go to Lisbon, from whence he will, probably, embark for London, and return with the ultimatum of that Court, and intelligence for the Spanish Minister, for it is not improbable, he may be a better spy than negotiator. All this, however, is conjecture. In all probability, great efforts will be made next campaign in America, if the war continues, as we are told it will. The great objects of it are in that part of the world. France is engaged at all hazards to support our independence, and will do it, and Spain is desirous of possessing the entire navigation of the Gulf of Mexico. I take the liberty of repeating these reflections to the Committee, as they arise from conversations on this subject with persons in a situation to be well informed.

The different powers at war will, however, find some difficulty to procure money. England has not completed her last loans. France has begun to tax, and must continue to do so, notwithstanding the great economy of their Minister of Finances. The last operations of this Court to procure money, of which I gave the Committee a sketch in my last letter, and the state of the revenues, which I gave Mr Jay in my answer to his instructions, will show them the wants of this country. The interference of M. Necker in the operation beforementioned, deprived this Court of near two millions of _pesos_, and greatly irritated the Ministry. I hope, however, their resentments have subsided. This failure, they give as one reason for not being able to advance the money we expected, to enable Mr Jay to pay the bills drawn on him by Congress. Mr Jay has, however, at all hazards, accepted those which have been presented, and is taking every step in his power to provide money to pay them, as also those that may be disposed of in America, previous to the advice he has given Congress on this head.

The English Ministry are likely to have a large majority in the new Parliament, which is generally the case in time of war. The great neutral maritime powers of Europe, seem to regard the present war as an event favorable to the augmentation of their commerce, and will, probably, do so, until one or the other of the contending parties engaged in it appear to have a decided superiority. Portugal seems better disposed to the allies than heretofore. This change is, probably, the result of fear, more than of affection. The combined fleet at Cadiz, consists of fortythree sail of the line, besides frigates, &c. &c. The Count d'Estaing commands the French part of the fleet, and the whole is in readiness to put to sea. During his residence at this Court I was frequently with him, and he professes the same ardent desire to serve us as ever.

I cannot forbear mentioning to the Committee, my sense of the friendly and polite conduct of the Count de Montmorin to me ever since my arrival here, nor can I conclude, without remarking the good effects that our union, vigor, and perseverance have had in Europe. A continuance of these will render us respectable to our enemies, and of consequence to our friends.

I have the honor to be, &c.

WILLIAM CARMICHAEL.

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TO THE COMMITTEE OF FOREIGN AFFAIRS.

Madrid, October 15th, 1780.

Gentlemen,

My last to the Committee was of the 25th ultimo, since which time Mr Jay has received a letter from Dr Franklin, to whom, as well as to the Count de Vergennes, he wrote on the subject of his disappointment in money matters here; this letter has given us much pleasure. The Court of France continues to manifest the same generous conduct towards us as ever, notwithstanding its own embarrassments for money. It has in fact agreed to furnish another million of livres, to answer new demands and old claims. Among the former, Dr Franklin comprised the twentyfive thousand dollars drawn by the order of Congress on Mr Jay. Only two bills of that sum have as yet been presented, and between eighty and one hundred thousand of those first drawn, all of which have been accepted.

Every post augments the sum, and we are still uncertain whether money will be procured in time to pay them, particularly should the bills for the whole soon come to hand. The Minister apparently has endeavored, and is endeavoring, to procure money for this purpose. M. Gardoqui, who will probably succeed M. Miralles, and a gentleman who planned the loan I mentioned in my letter of the 9th ultimo, are interesting themselves in this business. If either of these gentlemen can procure money, or if the Crown can obtain it by other means, it is probable that Mr Jay will be furnished with a part, if not the whole of the money necessary for this use. But I am still afraid its ability will not correspond with our wants and our wishes. The Court has given orders to enable Mr Harrison at Cadiz, to obtain and ship the clothing for ten regiments, mentioned in my last. This gentleman is a native of Maryland, is well known in that State, and has on this, as on all occasions, manifested a disinterested zeal in the service of his country.

There is no alteration in the political state of Europe since my last, and no event of consequence in the operations of the war. The convention for the armed neutrality is not finally concluded, but I am told the Empress of Russia is determined to maintain the system proposed by her. The States of Holland have not yet acceded to it. Their Plenipotentiaries were instructed to add some articles; one of which is, to procure the restitution of their vessels unlawfully captured by the English, another to make it a common cause, in case the Republic should be molested in consequence of her accession, and also that her possessions in all parts of the world, should be guarantied by the contracting parties. Their mediation is also proposed to bring about an accommodation between the powers at war. These articles in the instructions, were inserted by the friends of England, in order to retard, if not defeat the measure, so far as it respected the States. It has leaked out from the Court of Petersburg, perhaps expressly, that the English Minister at that Court, declared to the Empress, that the King was disposed to respect the neutrality, provided Holland was excluded. This has come to the knowledge of the plenipotentiaries, and it is supposed on being known to the States, will hasten the conclusion of the affair, which must put an end to the piratical rapacity of Great Britain, or involve her in new and great difficulties.

Two Russian vessels, captured and carried into England, have been released, while Dutch vessels with similar cargoes are condemned. The Court of Portugal has given orders to equip several vessels of war, and seems inclined at present to preserve a strict neutrality, prompted to this more by fear than inclination. The combined fleet is still at Cadiz, it consists of between forty and fifty sail of the line, and has provisions on board for six months. The Count d'Estaing has provided clothing for the winter, for his seamen and marines, and M. de Guichen is expected with much impatience. His destination is a secret, but I think he has a strong desire of visiting our part of the world once more. He will not be inactive, if he can avoid being so.

The Committee will probably take notice of an article in the foreign papers, which mentions a revolt in Peru. This if true and serious as represented, would be an event as important as disagreeable. I have as yet no reason to believe it of the nature represented, if true. The Ministry have taken no extraordinary measures, in consequence of this intelligence, except the fitting out some packet boats for that part of the world, which may be done to obtain more regular advice, than they have had from thence for some time past. If it should appear, that there is any foundation for this report, you may depend on my endeavors to give the earliest and most accurate information I can obtain with respect to the causes and consequences of such an event.

Mr Jay means to send soon large packets to Congress, to which I beg leave to refer the Committee for more minute details on the subject of this and my other letters, than I can furnish it, from not being in possession of the various papers, and communications which respect the mission.

I have the honor to be, &c.

WILLIAM CARMICHAEL.

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TO THE COMMITTEE OF FOREIGN AFFAIRS.

Madrid, November 28th, 1780.

Gentlemen,

I did myself the honor of addressing the Committee frequently in the course of the last month; this letter, therefore, can furnish little besides a confirmation of what I then believed to be the disposition of the Court, of the state of Europe, and of this part of it more particularly, derived from the best information in my power to obtain.

I have in a great measure confined my inquiries to two objects, the situation of the finances of Spain and its disposition toward us and our ally. Every day gives me reason to think the former are critically circumstanced. I know from good authority the ways and means for the next year are not devised yet, and I have great reason to believe that the necessary funds cannot be procured by taxation, because the augmentation of the present year's taxes has not produced what the Ministry expected, and neither the commerce nor produce of Spain will permit further efforts in this way. In short, the current expenses of 1780 have exceeded the revenue twentyfive millions of dollars, and notwithstanding, the arrearages to the public creditors are considerable.

The loan for nine millions of dollars, mentioned in my former letters, is not yet completed, in part owing to the obstacles thrown in its way by M. Necker. The resentment of the Spanish Ministry, which this interference excited, has not yet subsided, and I am afraid the prejudices thereby excited will not soon be eradicated, although common interest may stifle them apparently at present. The mode of raising money in the manner heretofore mentioned may become the only plan practicable, should others now in contemplation not succeed, and Spain may be obliged to have recourse to paper, from inability to procure money by other methods.

The Court of Great Britain is well informed of their situation through Mr Cumberland, their emissary here, who spends a great deal of money. Influenced by which, and other advices, the King has, in his speech to Parliament, openly avowed his determination to prosecute the war with vigor, and he will be supported by a great majority in both houses. From the best information I have been able to collect, I am sorry to tell you, that the nation will be able to borrow the sum demanded for the expenditures of 1781, which with the usual vote of credit at the end of the session, will amount to sixteen millions sterling at least. The scheme of the Ministry to effect this is not yet public, but I am told, it will be on similar conditions to those of the present year. Ninetytwo thousand men are voted for the marine, and I have reason to think a considerable reinforcement will be sent early to the southward, and that agreeably to a proposition of Sir J. Amherst, the enemy means to occupy and fortify strongly a port near the month of Chesapeake Bay, from which with a strong garrison and a naval force, they hope to interrupt the navigation of the Bay, and by frequent incursions prevent the States of Maryland and Virginia from sending supplies of men, &c. &c. to the Carolinas. Among the troops mentioned to be embarked there, are three regiments of light dragoons. Your servants nearer Great Britain will give you more accurate information.

I am persuaded that our ally will take early measures for defeating these designs. This latter information is derived indirectly from conversations with men in a situation to be well informed. The disposition of this Court depends much on its hopes of obtaining the objects for which it commenced the war, and I should not merit the confidence reposed in me if I did not tell you plainly, that I believe that the exclusive possession of the Gulf of Mexico is the favorite object, and that if they cannot obtain it by a connexion with the United States, they will endeavor to procure it, by a general, if not by a separate peace, to which the King's good faith is, perhaps, at present the greatest obstacle. The Congress knows best the situation of their affairs, and I hope it may be such as to enable them to preserve the rights of all the States.

As I have frequent occasions of seeing the foreign Ministers here, and their Secretaries, I am too often obliged to remark their partiality for Great Britain, and jealousy of the house of Bourbon, particularly those of Russia, Vienna, Sardinia, Portugal, and Holland. Some of these, in my opinion, are the best spies England employs here. Jealousy on the one hand, and on the other compassion and admiration, begin to take the place of envy and interest. The transition from these to friendship and support is not difficult, if their masters do not differ in sentiments from their servants. Our perseverance, vigor, and exertions occasion a hesitation with respect to the event of the war, which augments or diminishes in proportion to their ideas of the intentions of this Court, which leads me to think it probable, that if Spain would enter into positive engagements with the United States, the hopes of the enemy to divide the allies would be at an end; the neutral powers would think our independence certain, and would endeavor to terminate the war, while Great Britain is in such a situation as to be able to preserve her other possessions.

Should the situation of affairs in America be in a worse situation than I hope they are, and should the Congress judge it necessary for their establishment to make further advances and sacrifices, permit me to take the liberty of observing, that these offers should be accompanied with a proviso of this Court's avowing the independence of the States immediately, otherwise the offers should be considered as null, and no pretensions formed thereon in a treaty for a general peace. At the same time, it might suit the States to procure a sum in specie from the Spanish settlements in America, and to obtain certain advantages of preference in the admission of the produce of their fisheries into the ports of Spain. I think it my duty to write you fully and freely the sentiments which arise from the opportunity of information you have given me, and should be happy to give you such as would be more acceptable to you, and more conformable to my wishes.

Mr Jay has received and accepted your bills to the amount of fifteen thousand dollars, and I hope will be enabled to pay them; but this business has thwarted the other part of his mission here, in showing our necessities so plainly. For this Court seems to expect equivalents for services rendered, and the interest of money advanced to us is not its object. This leads me to repeat what I mentioned in a former letter, of the King's satisfaction for a resolution of Congress, permitting the exportation of flour to the Havana, and that every similar manifestation of amity will much contribute to counteract the intrigues of the enemy here. The Minister of the Indies lately assured me, that his Majesty had directed him to return thanks, through the Chevalier de la Luzerne, for the respect shown at the interment of M. Miralles.

Having mentioned this gentleman, I am induced to speak of his intended successor, M. Gardoqui, who has now been named near five months, yet is still here. This detention is one reason among many others, which makes me fear the Court has not taken a decisive part for the next year, although the last declarations of the Minister on this subject were clear and positive. I have purposely omitted speaking of the operations of the war in Europe, and other articles of intelligence, in order to have it in my power to give you the latest I have received. I hear from England, that Mr Laurens is closely confined, and treated as a prisoner of State. The Committee may be persuaded, that retaliation on some of the English prisoners of consequence, will be regarded in Europe as a proof of the confidence of Congress in the support of the people.

A copy of the proposed treaty with the States of Holland, was taken among the papers of Mr Laurens, and sent by the British Ministry to the Stadtholder, who endeavored to criminate the Pensionary of Amsterdam and those concerned with him, in consequence of this discovery. He is, however, supported by the Regency, and this step of the Stadtholder, not having the effect intended, Sir Joseph Yorke has presented a violent and menacing Memorial to the States, demanding the punishment of the Pensionary and his accomplices.[8] I am advised that this Memorial has irritated in place of intimidating, and that since four of the seven States have agreed to accede to the armed neutrality, the persons attacked by the British Court have no apprehensions, and, possibly, the capture of these papers may eventually be of great advantage to the United States, by precipitating the conduct of England, and obliging the States to take a part contrary to their dispositions, and, perhaps, to the interest of one or other nation. The situation of M. Dumas is rendered more critical by this circumstance, and it would be injustice to him not to mention, that he is indefatigable to contribute to our information by his correspondence, and by his frequent publications to represent our situation in the most favorable point of view.

Mr Jay will transmit Congress a full state of our affairs here, with all the papers necessary to elucidate it. I have seen but one letter from Congress since my residence in Spain, from which I conjecture Mr Jay has received but one. He informs me he has written Congress, that it has not been my fault, that all copies of letters for their inspection did not appear with my signature. In the month of May, I answered in writing the instructions he gave me at Cadiz, as I did _viva voce_ at Aranjues in April, before he entered Madrid. I should not mention this circumstance to the Committee, if I did not know that copies of these instructions had been forwarded to Congress, and only abstracts of the most important part of my answer sent them; I will take the liberty, therefore, of sending by the first safe opportunity the whole of my answer, from no other motive than that of evincing my desire to comply in every point with the duties of the trust reposed in me.

I have the honor to be, &c.

WILLIAM CARMICHAEL.