Federalists, who as a party were opposed to the
war, enjoyed the situation; Mr. Gallatin was compelled to impose the
internal revenue tax which he detested, and Mr. Dallas was called upon
to enforce its application.

[Illustration: A. J. Dallas]

* * * * *

The only remaining source of revenue was the sale of public lands. This
also was a part of Hamilton's original scheme. The public lands of the
United States were acquired in three different ways, namely, 1, by
cessions from the States of such lands as they claimed, or were entitled
to by their original grants or charters from the crown, while colonies;
2, by purchase from Indian tribes; 3, by treaties with foreign
nations,--those of 1783 and 1794 with Great Britain, of 1795 with Spain,
and of 1803 with France. The need of bringing this vast territory under
the control of the government and disposing of it for settlement was
early apparent. In July, 1791, Hamilton sent in to the House a report on
"A uniform system for the disposition of the lands, the property of the
United States." In March preceding, grants of the United States had
confirmed to the actual settlers in the Illinois country the possession
of their farms. But what with the Indian wars and the rebellion within
the United States, no action was taken by Congress to carry the
recommendations of the secretary into effect, until Mr. Gallatin, whose
residence on the frontier gave him direct interest in the subject,
brought up the matter at the very first session he attended. In 1796 a
bill was passed authorizing and regulating the sale of lands northwest
of the Ohio and above the mouth of the Kentucky River, and a
surveyor-general was appointed with directions to lay out these lands in
townships. The sales under Adams's administrations were trifling, the
total amount received from this source before the year 1800 being
slightly over one hundred thousand dollars. In May, 1800, sales of the
same lands were authorized at public vendue at not less than two dollars
per acre; four land offices were established in the territory; surveyors
were appointed, and a register of the land office was made a permanent
official. In March, 1803, an act was passed to regulate the sale of the
United States lands south of the Tennessee River, two land offices were
established and public sale provided for at the same price set in the
act of 1800. In March, 1804, the Indiana lands lying north of the O