A full program, requiring for the adoption of any measure the concurrence of nine States, while barely nine were present, seven of which were represented only by two members each; "any of these fourteen gentlemen differing from the rest would stay the proceedings", and it seemed very doubtful whether anything could be achieved during the session.
This brought home to Jefferson the fact that the concentration of the executive functions in Congress was an obstacle to carrying out effectively the business of the Confederation, and he thought it his duty to point out this defect in his "draft of the report on a committee of the States", January 30, 1784. It was a lengthy report, not very accurately summed up in the "Autobiography", authorizing a permanent Committee of the States to act as executive during the recess of Congress, and enumerating very minutely the powers that such a committee might exercise and those from which it would be excluded. The plan as adopted was somewhat different and it was resolved: "That the Committee should possess all the powers which may be exercised by the seven States in Congress assembled", except concerning foreign relations.
Jefferson recalled in the "Autobiography" that during the following recess the committee quarrelled, split into two parties, "abandoned their posts, and left the government without any visible head, until the next meeting of Congress." He significantly added: "We have since seen the same thing take place in the Directory of France; and I believe it will forever take place in any executive consisting of a plurality. Our plan,—best, I believe,—combines wisdom and practicality; by providing a plurality of Counsellors, but a single Arbiter for ultimate decision." This conclusion was already reached in 1784, not following a logical reasoning, or because of an innate need of unity, but as a result of experience. Very early in his life Jefferson became convinced that the country could not be properly administered unless the executive powers were concentrated in one responsible person, with powers strictly defined, but left free to act and to act rapidly within that field. This explains, among other things, not only Jefferson's approval of the powers granted to the Executive under the Constitution, but also his conduct during his two terms as President.
He soon had an opportunity to study the financial problems of the Confederation, when a "grand Committee of Congress" was appointed to take up the Federal expenses for the current year, inclusive of articles of interest on the public debts foreign and domestic.[96] He presented on March 22 a "Report on the Arrears of Interest", in which were carefully tabulated not only the interest on sums due on account of the national debts but an estimate of the expenses for the year 1784,—in other words a budget. An outgrowth of the work assigned to the Committee was the establishment of a money unit, and of a coinage for the United States. The report of Jefferson retained some of the essential provisions of the proposal drawn up by the "Financier of the U.S." (Robert Morris, assisted by Governor Morris), and Jefferson himself did not claim so much originality for it as has been given him by some of his biographers. The report of the financier proposed that the new coins "should be in decimal proportions to one another", and this was retained. On the other hand, Morris had proposed as a unit "the 1440th part of a dollar", after taking into consideration the old currencies, "all of which this unit measures without leaving a fraction." Jefferson pointed out that, although theoretically perfect, the unit was much too complicated and too small, and he maintained that the unit should be the Spanish dollar "a known coin, and the most familiar of all to the minds of the people." ... "It is already adopted from South to North," he added, "has identified our currency, and therefore happily offers itself as a Unit already introduced."
In spite of the financier's opposition, the plan as amended by Jefferson was finally adopted and still constitutes the essential foundation of the American monetary system. To the student of psychology this incident affords another illustration of Jefferson's practical-mindedness. Having to choose between two solutions, one mathematically perfect, and another one simply regulating and organizing what already existed, he did not hesitate a minute and practical considerations prevailed at once in his mind.
In the meantime he was working on one of his most important State papers. Randall called attention to it and P. L. Ford maintained that "next to the Declaration of Independence (if indeed standing second to that) this document ranks in historical importance of all those drawn by Jefferson; and, but for its being superseded by the 'Ordinance of 1787', would rank among all American state papers immediately after the National Constitution."[97] Yet it does not seem that its value is generally recognized and it is but seldom listed as one of the outstanding achievements of Jefferson. For reasons that will shortly appear, Jefferson himself neglected to mention it in his "Autobiography." It is a capital document by which to understand the growth of the Jeffersonian doctrine.
First of all, it resolved that "so much of the territory ceded or to be ceded by individual States to the United States as is already purchased or shall be purchased of the Indian inhabitants & offered for sale by Congress, shall be divided into distinct states." Which simply meant that the westward growth of the country, instead of being left to the initiative of the individual States, was placed under the ægis of the Confederation and thus became a matter of national importance and significance. It provided for a practically unlimited expansion of the United States by the establishment of States analogous to the already existing Confederacy. It also insisted strongly that all such territory be connected as closely as possible with the already existing Union. Settlers in any of the territories thus organized, had authority to establish a temporary government, adopting with due modification the constitution and laws of any of the original States. A permanent government was to be established in any State as soon as it should have acquired a population of twenty thousand free inhabitants, provided, and here we probably have the most important provisions:
1. That they shall forever remain a part of this confederacy of the United States of America. 2. That in their persons, property and territory they shall be subject to the Government of the United States in Congress assembled & to the articles of confederation.... 4. That their respective Governments shall be in republican forms and shall admit no person to be a citizen who holds any hereditary title. 5. That after the year 1800 of the Christian aera, there shall be neither slavery nor involuntary servitude in any of the said states.
Finally, "whenever any of the said States shall have, of free inhabitants, as many as shall then be in any one of the least numerous, of the thirteen original States, such State will be admitted by it's delegates into the Congress of the United States on an equal footing with the said United States."
This report, submitted March 1, recommitted to the committee March 17, was considered again by Congress on April 19, 21, 23, and adopted after amendment by every State except one. But the amendment took the teeth out of the report, since the clause referring to slavery was struck out, as well as that concerning the admission of persons holding hereditary titles. Other provisions concerning the names to be given to the new States were also eliminated. The scholar reappeared in these suggestions. If Jefferson's original motion had been accepted, the present State of Michigan would wear the name of Chersonesus and on the map of the United States would appear such designations as Metropotamia, Polypotamia, and Pilisipia.[98]