United States House Select Committee on Government Contracts
Encyclopedia
The Committee on Government Contracts was a select committee of the United States House of Representatives
from 1861 to 1863 during the 37th Congress. The committee operated from 1861 to 1863 investigating various charges of fraud in the issuance of government contracts related to the U.S. Civil War.
. On July 8, 1861, the House of Representatives
appointed a committee to summon witnesses and take testimony, on the matter. During its operation, the committee met throughout different parts of the United States
and interviewed many witnesses.
The select committee was established at the request of Representative Charles Van Wyck
of New York
. The resolution creating the committee was as follows:
The committees jurisdiction was expanded on July 17, when committee member offered several resolutions. Key among these was a resolution was to extend the authority of the select committee "to embrace an inquiry into all the facts and circumstances of all the contracts and agreements already made, and all such contracts and agreements hereafter to be made prior to the final report of the committee, by or with any department of the government, in any-wise connected with or growing out of the operations of the government in suppressing the rebellion against its constituted authority." The committee also requested authority to meet during the congressional recess and to meet outside the city of Washington as the need arose. These resolutions led to significant debate among the Representatives. Many representatives questioned the need for this expanded authority, since committees already existed to examine the expenditures in the various executive departments. After a failed attempt by Rep. William Kellogg
to have the resolutions tabled, they were approved by the full House.
Rep. Van Wyck described the goals of the committee in a speech before the House that:
appointed the members on July 12, 1861. Originally chaired by Charles Van Wyck
of New York
, he was later replaced by Elihu B. Washburne
of Illinois
, due to absences from the committee and other activities. Van Wyck continued to serve on the committee.
* Rep. Jackson served on the committee until his death on October 8, 1862, at the Battle of Perryville
.
This resolution was never passed, the House refusing to old a yea or nay vote on it.
The committee performed made two other reports, on July 17, 1862, and a final report on March 3, 1863, the last day of the 37th Congress. Through its investigations, the committee identified as one example of fraud violations by the executive departments of laws requiring them to advertise contracts for proposals, and award those contracts to the lowest bidder. However, according the committee, the department secretaries made contracts with their friends for the furnishing of supplies, on the grounds that such procurements were urgent and in the public interest. The committee did offer an amendment condemning this practice, which was passed unanimously. The resolution was especially aimed at the Navy Department
, which the most peculiar contracts appeared. Other suspect contracts were found in the War Department
, under the administration of President Lincoln's
first War Secretary
, Simon Cameron
.
All told, the committee's three reports covered more than 3,000 pages and identified innumerable frauds in the purchase of supplies for the Army, including arms, food, clothing, shoes, horses, and equipments, and even in the charter of Government transports. The report also showed an utter lack of moral or legal responsibility, on the part of a number of the contracting officers, and a readiness on the part of the contractors to take advantage of this circumstance.
, Republican
of New York
, was an often vocal opponent of the committee, sharply denounced its work, maintaining that "the nation, the government, classes of individuals, and individuals themselves, had suffered in character; that we had lost caste, and that much harm had come, not from detecting or exposing fraud or extravagance, but from magnifying and exaggerating what had happened, and charging and publishing to the world what had never happened at all." Rep. Schuyler Colfax
, Republican
of Indiana
, frequently joined Rep. Conkling in attacking the committee's work.
Other criticisms were levied at its original chairman, Charles Van Wyck
. After the committee had been at work for several months, Rep. Van Wyck desired to investigate the mode of conducting business at the New York Customs House. The other committee members objected for lack of time. It was decided that Van Wyck would take the evidence while the other members continued their work of investigating government contracts. After collecting a large body of evidence, was instructed by the committee not to proceed in his investigations without further orders. The rest of the committee returned to New York, and after receiving testimony and evidence from the custom-house in its own defense, ordered the testimony taken by Mr. Van Wyck to be deposited with the Clerk of the House
"subject only to the inspection of any member of the committee." Van Wyck was later suspended from conducting his investigations, which he alleged were because of "the clamor of the revenue officers and their friends."
Early on, Van Wyck's efforts to investigate the custom house as well as periodic absences from the committee had led the committee members to replace him as chairman and appointed Elihu B. Washburne
in his place as acting chairman. When the committee's final report was submitted to the House on March 3, 1863, Van Wyck was given leave to present minority views of the committee to the full House, which per instruction were to be inspected by the other committee members. However, when the time came to review the report, it was nowhere to be found. Mr. Washburne alleged that a member of the House had contrived with a member of the clerk's office to "abstract," or remove, the report from the clerk's office, and he demanded the creation of a select committee to investigate the matter. In floor debate on the matter on March 3, charges were made that Van Wyck's minority report was nothing more than a baseless attack on the committee members, rather than focusing on the subject matter assigned to the committee. Rep. Washburne also alleged that Rep. Van Wyck's investigation of the customs house was a personal vendetta against the director of the Port of New York. At the behest of Rep. Washburne, the Select Committee on an Alleged Abstraction of a Report from the Clerk's Office
that same day, but the House adjourned shortly thereafter, giving it no time to meet or report on its findings.
enacted legislation requiring that the Secretaries of the Navy, Interior, and War should put every contract made by them, or by officers appointed it, in writing and should have them signed with the names of the contractors, and also to file a copy in a "Returns Office" of Department of the Interior
within 30 days. The officers making such contracts were to swear to them, and penalties were prescribed for violations of the law. The quartermaster-general of the Army convinced Congress that the law could not be then enforced, so congress enacted legislation on July 17 delaying its enforcement until the beginning of 1863.
Two months after the law began to operate, Congress resolved that the chief of any bureau of the navy department should be at liberty to reject the offers of those who had failed as principals or sureties on previous contracts to furnish naval supplies. In those made with the same bureau, one contractor could not be received as surety for another; every contract should require the delivery of a specified quantity, and no bids having nominal or fictitious prices could be considered.
United States House of Representatives
The United States House of Representatives is one of the two Houses of the United States Congress, the bicameral legislature which also includes the Senate.The composition and powers of the House are established in Article One of the Constitution...
from 1861 to 1863 during the 37th Congress. The committee operated from 1861 to 1863 investigating various charges of fraud in the issuance of government contracts related to the U.S. Civil War.
History
In the spring of 1861, soon after the beginning of the U.S. Civl War, there were numerous reports in the public press of frauds in the making of contracts for supplies of all kinds for the ArmyUnited States Army
The United States Army is the main branch of the United States Armed Forces responsible for land-based military operations. It is the largest and oldest established branch of the U.S. military, and is one of seven U.S. uniformed services...
. On July 8, 1861, the House of Representatives
United States House of Representatives
The United States House of Representatives is one of the two Houses of the United States Congress, the bicameral legislature which also includes the Senate.The composition and powers of the House are established in Article One of the Constitution...
appointed a committee to summon witnesses and take testimony, on the matter. During its operation, the committee met throughout different parts of the United States
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...
and interviewed many witnesses.
The select committee was established at the request of Representative Charles Van Wyck
Charles Van Wyck
Charles Henry Van Wyck was a Representative from New York, a Senator from Nebraska, and a Union Army Brigadier general in the American Civil War.-Early life and political career:...
of New York
New York
New York is a state in the Northeastern region of the United States. It is the nation's third most populous state. New York is bordered by New Jersey and Pennsylvania to the south, and by Connecticut, Massachusetts and Vermont to the east...
. The resolution creating the committee was as follows:
Resolved, That a committee of five members be appointed by the Speaker to ascertain and report what contracts have been made by any of the departments for provisions, supplies, and transportation; for materials, and services, or for any articles furnished for the use of government without advertising for proposals, as required by the statute of 1861; the parties to whom given; the compensation and terms thereof, and the reasons therefor. Also, where proposals were received, if contracts were awarded to the lowest bidder; if not, the reason therefor. Also, whether the contracts, as let, are in accordance with the specifications inviting proposals; and if any alterations, the reasons for the same. Also, whether any person or persons have any interest in the contracts thus made and awarded, or obtained the same, or profits therefrom, except the contractors. That said committee shall have power to send for persons and papers to administer oaths and examine witnesses, and report at any time.
The committees jurisdiction was expanded on July 17, when committee member offered several resolutions. Key among these was a resolution was to extend the authority of the select committee "to embrace an inquiry into all the facts and circumstances of all the contracts and agreements already made, and all such contracts and agreements hereafter to be made prior to the final report of the committee, by or with any department of the government, in any-wise connected with or growing out of the operations of the government in suppressing the rebellion against its constituted authority." The committee also requested authority to meet during the congressional recess and to meet outside the city of Washington as the need arose. These resolutions led to significant debate among the Representatives. Many representatives questioned the need for this expanded authority, since committees already existed to examine the expenditures in the various executive departments. After a failed attempt by Rep. William Kellogg
William Kellogg
William Kellogg may refer to:* William Kellogg , U.S. Representative from Illinois* William P. Kellogg 19th century Governor of Louisiana* William Welch Kellogg, climatologist-See also:* Will Keith Kellogg, founder of the Kellogg Company...
to have the resolutions tabled, they were approved by the full House.
Rep. Van Wyck described the goals of the committee in a speech before the House that:
the mania for stealing seems to have run through all the relations of the government — almost from the general to the drummer-boy; from those nearest the throne of power to the nearest tide-waiter. Nearly every man who deals with the government seems to feel or desire that it would not long survive, and each had a common right to plunder while it lived. Colonels, intrusted with the power of raising regiments, colluding with contractors, bartering away and dividing contracts for horses and other supplies to enrich personal favorites, purchasing articles and compelling false invoices to be given. While it is no justification, the example has been set in the very departments of the government. As a general thing, none but favorites gain access there, and no others can obtain contracts which bear enormous profits. They violate the plain provisions of the law requiring bids and proposals on the false and shallow pretext that the public exigency requires it.
Members
The committee consisted of seven members, and the Speaker of the HouseSpeaker of the United States House of Representatives
The Speaker of the United States House of Representatives, or Speaker of the House, is the presiding officer of the United States House of Representatives...
appointed the members on July 12, 1861. Originally chaired by Charles Van Wyck
Charles Van Wyck
Charles Henry Van Wyck was a Representative from New York, a Senator from Nebraska, and a Union Army Brigadier general in the American Civil War.-Early life and political career:...
of New York
New York
New York is a state in the Northeastern region of the United States. It is the nation's third most populous state. New York is bordered by New Jersey and Pennsylvania to the south, and by Connecticut, Massachusetts and Vermont to the east...
, he was later replaced by Elihu B. Washburne
Elihu B. Washburne
Elihu Benjamin Washburne was one of seven brothers who played a prominent role in the early formation of the United States Republican Party...
of Illinois
Illinois
Illinois is the fifth-most populous state of the United States of America, and is often noted for being a microcosm of the entire country. With Chicago in the northeast, small industrial cities and great agricultural productivity in central and northern Illinois, and natural resources like coal,...
, due to absences from the committee and other activities. Van Wyck continued to serve on the committee.
| Members | Party | State |
|---|---|---|
|
Republican Republican Party (United States) The Republican Party is one of the two major contemporary political parties in the United States, along with the Democratic Party. Founded by anti-slavery expansion activists in 1854, it is often called the GOP . The party's platform generally reflects American conservatism in the U.S... |
New York |
|
Elihu B. Washburne Elihu Benjamin Washburne was one of seven brothers who played a prominent role in the early formation of the United States Republican Party... , Chairman |
Republican Republican Party (United States) The Republican Party is one of the two major contemporary political parties in the United States, along with the Democratic Party. Founded by anti-slavery expansion activists in 1854, it is often called the GOP . The party's platform generally reflects American conservatism in the U.S... |
Illinois |
|
William S. Holman William Steele Holman was a lawyer, judge and politician from Dearborn County, Indiana. He was a member of the Democratic Party who served as a U.S. Representative from 1859 to 1865, 1867 to 1877, 1881 to 1895, and 1897, spanning sixteen Congresses... |
Democratic Democratic Party (United States) The Democratic Party is one of two major contemporary political parties in the United States, along with the Republican Party. The party's socially liberal and progressive platform is largely considered center-left in the U.S. political spectrum. The party has the lengthiest record of continuous... |
Indiana |
|
Reuben Fenton Reuben Eaton Fenton was an American merchant and politician from New York.-Life:He was the son of a farmer. He was elected a colonel of the New York State Militia in 1840. He became a lumber merchant, and entered politics as a Democrat... |
Republican Republican Party (United States) The Republican Party is one of the two major contemporary political parties in the United States, along with the Democratic Party. Founded by anti-slavery expansion activists in 1854, it is often called the GOP . The party's platform generally reflects American conservatism in the U.S... |
New York |
|
Henry L. Dawes Henry Laurens Dawes was a Republican United States Senator and United States Representative, notable for the Dawes Act.-Biography:... |
Republican Republican Party (United States) The Republican Party is one of the two major contemporary political parties in the United States, along with the Democratic Party. Founded by anti-slavery expansion activists in 1854, it is often called the GOP . The party's platform generally reflects American conservatism in the U.S... |
Massachusetts |
|
William G. Steele William Gaston Steele was an American Democratic Party politician who represented New Jersey's 3rd congressional district from 1861 to 1865.... |
Democratic Democratic Party (United States) The Democratic Party is one of two major contemporary political parties in the United States, along with the Republican Party. The party's socially liberal and progressive platform is largely considered center-left in the U.S. political spectrum. The party has the lengthiest record of continuous... |
New Jersey |
|
James S. Jackson James Streshly Jackson was a U.S. Representative from Kentucky and a brigadier general in the Union Army during the American Civil War.-Biography:... * |
Unionist Unionist Party (United States) The Union Party was a fusion political party conceived by Republicans in 1861 to combine people of all political affiliations into a single movement committed to the preservation of the Union and to war. Republicans wanted to project an image of wartime nonpartisanship and they also expected to... |
Kentucky |
Battle of Perryville
The Battle of Perryville, also known as the Battle of Chaplin Hills, was fought on October 8, 1862, in the Chaplin Hills west of Perryville, Kentucky, as the culmination of the Confederate Heartland Offensive during the American Civil War. Confederate Gen. Braxton Bragg's Army of Mississippi won a...
.
Committee Findings
The committee submitted its first report to the House on December 17. The report covered nearly 1,100 pages and stated the committee had found "many frauds had been exposed, the government relieved from many unconscionable contracts, and millions of dollars saved to the treasury." To that end, the committee proposed a resolution that:[T]he practice of employing irresponsible parties, having no official connection with the government, in the performance of public duties, which may be properly performed by regular officers of the government, and of purchasing by private contract supplies for the different departments, where open and fair competition might be properly invited by reasonable advertisements for proposals, is injurious to the public service, and meets the unqualified disapprobation of this House.
This resolution was never passed, the House refusing to old a yea or nay vote on it.
The committee performed made two other reports, on July 17, 1862, and a final report on March 3, 1863, the last day of the 37th Congress. Through its investigations, the committee identified as one example of fraud violations by the executive departments of laws requiring them to advertise contracts for proposals, and award those contracts to the lowest bidder. However, according the committee, the department secretaries made contracts with their friends for the furnishing of supplies, on the grounds that such procurements were urgent and in the public interest. The committee did offer an amendment condemning this practice, which was passed unanimously. The resolution was especially aimed at the Navy Department
United States Department of the Navy
The Department of the Navy of the United States of America was established by an Act of Congress on 30 April 1798, to provide a government organizational structure to the United States Navy and, from 1834 onwards, for the United States Marine Corps, and when directed by the President, of the...
, which the most peculiar contracts appeared. Other suspect contracts were found in the War Department
United States Department of War
The United States Department of War, also called the War Department , was the United States Cabinet department originally responsible for the operation and maintenance of the United States Army...
, under the administration of President Lincoln's
Abraham Lincoln
Abraham Lincoln was the 16th President of the United States, serving from March 1861 until his assassination in April 1865. He successfully led his country through a great constitutional, military and moral crisis – the American Civil War – preserving the Union, while ending slavery, and...
first War Secretary
United States Secretary of War
The Secretary of War was a member of the United States President's Cabinet, beginning with George Washington's administration. A similar position, called either "Secretary at War" or "Secretary of War," was appointed to serve the Congress of the Confederation under the Articles of Confederation...
, Simon Cameron
Simon Cameron
Simon Cameron was an American politician who served as United States Secretary of War for Abraham Lincoln at the start of the American Civil War. After making his fortune in railways and banking, he turned to a life of politics. He became a U.S. senator in 1845 for the state of Pennsylvania,...
.
All told, the committee's three reports covered more than 3,000 pages and identified innumerable frauds in the purchase of supplies for the Army, including arms, food, clothing, shoes, horses, and equipments, and even in the charter of Government transports. The report also showed an utter lack of moral or legal responsibility, on the part of a number of the contracting officers, and a readiness on the part of the contractors to take advantage of this circumstance.
Criticisms
The investigating committee was subject to severe criticism from the time of beginning their work until the end of the 37th Congress. Nearly every person who had wronged the government had friends, and sought to defend himself. Newspapers and members of Congress both came the defense of those allegedly wronged by the committee. Opponents of the committee looked for any opportunity to attack the committee's work in floor speeches, particularly when committee members were absent from the House, thereby lessening the importance of the work of the committee and to render its members unpopular. Rep. Roscoe ConklingRoscoe Conkling
Roscoe Conkling was a politician from New York who served both as a member of the United States House of Representatives and the United States Senate. He was the leader of the Stalwart faction of the Republican Party and the last person to refuse a U.S. Supreme Court appointment after he had...
, Republican
Republican Party (United States)
The Republican Party is one of the two major contemporary political parties in the United States, along with the Democratic Party. Founded by anti-slavery expansion activists in 1854, it is often called the GOP . The party's platform generally reflects American conservatism in the U.S...
of New York
New York
New York is a state in the Northeastern region of the United States. It is the nation's third most populous state. New York is bordered by New Jersey and Pennsylvania to the south, and by Connecticut, Massachusetts and Vermont to the east...
, was an often vocal opponent of the committee, sharply denounced its work, maintaining that "the nation, the government, classes of individuals, and individuals themselves, had suffered in character; that we had lost caste, and that much harm had come, not from detecting or exposing fraud or extravagance, but from magnifying and exaggerating what had happened, and charging and publishing to the world what had never happened at all." Rep. Schuyler Colfax
Schuyler Colfax
Schuyler Colfax, Jr. was a United States Representative from Indiana , Speaker of the House of Representatives , and the 17th Vice President of the United States . To date, he is one of only two Americans to have served as both House speaker and vice president.President Ulysses S...
, Republican
Republican Party (United States)
The Republican Party is one of the two major contemporary political parties in the United States, along with the Democratic Party. Founded by anti-slavery expansion activists in 1854, it is often called the GOP . The party's platform generally reflects American conservatism in the U.S...
of Indiana
Indiana
Indiana is a US state, admitted to the United States as the 19th on December 11, 1816. It is located in the Midwestern United States and Great Lakes Region. With 6,483,802 residents, the state is ranked 15th in population and 16th in population density. Indiana is ranked 38th in land area and is...
, frequently joined Rep. Conkling in attacking the committee's work.
Other criticisms were levied at its original chairman, Charles Van Wyck
Charles Van Wyck
Charles Henry Van Wyck was a Representative from New York, a Senator from Nebraska, and a Union Army Brigadier general in the American Civil War.-Early life and political career:...
. After the committee had been at work for several months, Rep. Van Wyck desired to investigate the mode of conducting business at the New York Customs House. The other committee members objected for lack of time. It was decided that Van Wyck would take the evidence while the other members continued their work of investigating government contracts. After collecting a large body of evidence, was instructed by the committee not to proceed in his investigations without further orders. The rest of the committee returned to New York, and after receiving testimony and evidence from the custom-house in its own defense, ordered the testimony taken by Mr. Van Wyck to be deposited with the Clerk of the House
Clerk of the United States House of Representatives
The Clerk of the United States House of Representatives is an officer of the United States House of Representatives, whose primary duty is to act as the chief record-keeper for the House....
"subject only to the inspection of any member of the committee." Van Wyck was later suspended from conducting his investigations, which he alleged were because of "the clamor of the revenue officers and their friends."
Early on, Van Wyck's efforts to investigate the custom house as well as periodic absences from the committee had led the committee members to replace him as chairman and appointed Elihu B. Washburne
Elihu B. Washburne
Elihu Benjamin Washburne was one of seven brothers who played a prominent role in the early formation of the United States Republican Party...
in his place as acting chairman. When the committee's final report was submitted to the House on March 3, 1863, Van Wyck was given leave to present minority views of the committee to the full House, which per instruction were to be inspected by the other committee members. However, when the time came to review the report, it was nowhere to be found. Mr. Washburne alleged that a member of the House had contrived with a member of the clerk's office to "abstract," or remove, the report from the clerk's office, and he demanded the creation of a select committee to investigate the matter. In floor debate on the matter on March 3, charges were made that Van Wyck's minority report was nothing more than a baseless attack on the committee members, rather than focusing on the subject matter assigned to the committee. Rep. Washburne also alleged that Rep. Van Wyck's investigation of the customs house was a personal vendetta against the director of the Port of New York. At the behest of Rep. Washburne, the Select Committee on an Alleged Abstraction of a Report from the Clerk's Office
United States House Select Committee on an Alleged Abstraction of a Report from the Clerk's Office
The Committee on an Alleged Abstraction of a Report from the Clerk's Office was a short-lived select committee of the United States House of Representatives appointed to investigate the disappearance of a committee report from the House Clerk's office...
that same day, but the House adjourned shortly thereafter, giving it no time to meet or report on its findings.
Legislation
In spite of the all of the criticisms, the committee's investigation did lead to new legislation in 1862 for the prevention of fraud. CongressUnited States Congress
The United States Congress is the bicameral legislature of the federal government of the United States, consisting of the Senate and the House of Representatives. The Congress meets in the United States Capitol in Washington, D.C....
enacted legislation requiring that the Secretaries of the Navy, Interior, and War should put every contract made by them, or by officers appointed it, in writing and should have them signed with the names of the contractors, and also to file a copy in a "Returns Office" of Department of the Interior
United States Department of the Interior
The United States Department of the Interior is the United States federal executive department of the U.S. government responsible for the management and conservation of most federal land and natural resources, and the administration of programs relating to Native Americans, Alaska Natives, Native...
within 30 days. The officers making such contracts were to swear to them, and penalties were prescribed for violations of the law. The quartermaster-general of the Army convinced Congress that the law could not be then enforced, so congress enacted legislation on July 17 delaying its enforcement until the beginning of 1863.
Two months after the law began to operate, Congress resolved that the chief of any bureau of the navy department should be at liberty to reject the offers of those who had failed as principals or sureties on previous contracts to furnish naval supplies. In those made with the same bureau, one contractor could not be received as surety for another; every contract should require the delivery of a specified quantity, and no bids having nominal or fictitious prices could be considered.