Objectives

•Discuss Washington’s 3 key domestic challenges and how they were solved.

•Identify changes in each branch that affect us, today.

•Why is our capital in Washington, D.C. (District of Columbia)?

I. The Federalist Era

•We have a Great Plan.

•It’s time to make it work.

Part A. George Washington

… so unwilling am I, …To quit this peaceful abodeFor an ocean of difficultiesWithout that competency Of political skills, abilities,

and inclination,Which are necessary to manage the helm …

Three Domestic Challenges

Challenges

1. Shaping the Government

2. Ratifying Bill of Rights

3. Solving the National Debt

1.1 Shaping the Executive Branch

•Article II: Executive Departments•Cabinet = Presidential Advisors•Secretary of:–State–War–Treasury

•Judiciary Act 1789 - Attorney General

The Cabinet 1789 - 4 Departments

Secretary of State Thomas Jefferson

Secretary of War Henry Knox

Secretary of TreasuryAlexander Hamilton

Attorney General Edmund Randolph

The Cabinet 2015 - 15 Departments

Secretary of State John Kerry

Secretary of Defense Ashton Carter

Secretary of TreasuryJacob Lew

Attorney General Loretta Lynch

1.2 Shaping the Judicial Branch

•Judiciary Act 1789•Supreme Court –Chief Justice, John Jay–5 Associate Justices

•Power Over State Courts•Lower Federal Courts–3 Circuit and 13 District Level

Today’s Supreme Court

1. 3 Shaping the Legislative Branch

•March 1789•New York•Congressional Leadership–Speaker of the House–Frederick Muhlenberg–President of the Senate–Vice President, John Adams

2. Ratifying the Bill of Rights

•Sponsor: James Madison•12 Amendments•2/3 vote in September 1789

•Only 10 approved by the states!

•1992 - the 27th Amendment

3. National Debt Definition

The total amount of money the government owes on money it

has borrowed.

House price + Interest = $200,000

Deficit = Spending > Income

$70,000 in Bills on a $50,000 Salary

War Costs $ + Economic Issues

3.1 National Debt - Then & Now

1789 Debt = $54,124,465 $1,121,080,754

3.2 National Debt: Hamilton Plan

• Federal Government Pays All Debts (Federal and State)

• Establish a National Bank

Jefferson’s Objections:– Southern States Had Paid Debts

– Northern Bond SpeculatorsEffect -> Southern $ Go North

3.3 National Debt: National Bank

•Manage Federal Money•Collect Taxes•Print Money•Business Loans

Opposition•No National Bank in the Constitution!

3. 4 National Debt: Compromise

•Hamilton’s Plan is Accepted–1791 National Bank Bill–Federal Government Pays State Debt

•Jefferson and Madison get the Capital Located in the South–Washington, “D.C.”

3.5 National Debt: Taxes

Excise•Placed on goods and services sold and used WITHIN the country.

Tariffs•Placed on IMPORTED goods.

•Makes foreign goods more expensive.

•Helps US manufacturers.

3. 6 National Debt: Tax Rebellion

•1794 Whiskey Rebellion•Pennsylvania Farmers•Washington sent the Militia

Outcome1. Revolt Ended2. StrengthenedThe Federal Government