First Bank in America Chartered in
Philadelphia, December 31, 1781
Congress again assembled in Philadelphia on July 2, 1778, and on the 9th the “Articles of Confederation,” engrossed on parchment, were signed by the delegates of eight States.
Pennsylvania was one of those states which immediately acceded to the Confederation. The delegation from this State consisted of Benjamin Franklin, Robert Morris, Daniel Roderdeau, Jonathan Bayard Smith, James Smith, of Yorktown; William Clingan and Joseph Reed.
The “Articles of Confederation” were submitted to the several State Legislatures. Slowly the States ratified them, some of them pointing out serious defects, and all taking time to discuss them. The first State to ratify, in addition to the eight which immediately signed, was North Carolina, July 21, but Maryland steadily refused until March 1, 1781, when the League of States was perfected.
It was soon perceived that under this new Government the Congress had no power, independent of the several States, to enforce taxation.
Robert Morris, then Superintendent of Finance (Secretary of the Treasury), proposed the establishment of a bank in Philadelphia, to supply the Government with money, with a capital of $400,000.
The promissory notes of the bank were to be a legal tender of currency, to be received in payment of all taxes, duties and debts due the United States.
But before Congress could act the patriotic citizens of Philadelphia moved for the establishment of a bank by which means the soldiers in the Continental Army could be supplied with provisions.