The Development of Rates of Postage Part 3

LETTER POST IN THE UNITED STATES OF AMERICA

The New England colonies had not been long established when the public authorities first took cognizance of the arrangements for the distribution of letters. In 1639 the general court of the Ma.s.sachusetts Bay colony made an order for the establishment of a service in respect of letters for or from places abroad. A house-to-house delivery of letters received from abroad at the low uniform rate of 1d. would seem to have been contemplated.[135] At various intervals during the latter half of the century, Post Offices were established in most of the other colonies--in Virginia in 1657, in New York in 1672, in Connecticut in 1674, in Philadelphia in 1683, and in New Hamps.h.i.+re in 1693.[136] These Post Offices were set up in the various colonies by legal enactment, but they were in general local and munic.i.p.al in character. In the circ.u.mstances of the case they could at that time hardly have been otherwise. The colonies were independent of each other in administrative matters, and seldom acted together for any purpose. The population relatively to the extent of the colonies was extremely small, the settlements were scattered, and the roads were mere trails.[137] In general there was very little intercourse between the various colonies.

Such intercommunication as was carried on usually went by means of coastwise vessels or by occasional travellers. The one exception was a post route from New York to Boston, established in 1672 to go monthly.

The system established in Virginia in 1657 was of a primitive character, being merely a requirement that every planter should furnish a messenger to convey the mail to the next plantation, under penalty of forfeiting a hogshead of tobacco in default.

In 1688, by an Order in Council, the establishment of a Post Office in Jamaica, and such other of his Majesty's plantations in America "as shall be found convenient," was authorized. On the 17th February 1692 the Crown granted a patent to Thomas Neale (then Master of the Mint) vesting in him the American post, with full power and authority to erect post offices in the chief parts of the American colonies "for the receiving and despatching of letters and pacquets, and to receive, send, and deliver the same under such rates and sums of money as the planters shall agree to give." It was no light matter to obtain the acquiescence of all the colonies in the exercise of general rights as regards the Post Office in North America, especially as they had previously been free to make their own arrangements in this respect. Neale was himself never in North America, but his deputy there, Andrew Hamilton, who was a very capable man, was able not only to secure the acceptance by the colonies of a general postal system under Neale's patent, but to obtain from some of them small grants in aid.

Most of the colonies pa.s.sed Acts authorizing the establishment of Post Offices under the provisions of the patent; and the principle of postal monopoly was introduced in these enactments.[138] The General a.s.sembly of Virginia authorized a Post Office in the colony, believing such an office to be of "generall concernement and of great advantage for the increase and preservation of trade and commerce therein, for thereby speedy and safe despatch may be had."[139] The rates of postage were as follows:--

Every letter For distance not 3d.

not exceeding exceeding 80 one sheet English miles

Ditto two sheets " 6d.

Every pacquet " 12d. per ounce of writs and weight.

deeds

Every letter Above distance 4-1/2d.

not exceeding of 80 English one sheet miles

Ditto two sheets " 9d.

Every pacquet " 18d. per ounce.

of writs and deeds

The rates established in the other colonies were similar but not identical.

The new postal service under the authority of the patent was commenced on the 1st May 1693. A post was set up from Portsmouth, New Hamps.h.i.+re, to Boston, Saybrook, New York, Philadelphia, Maryland, and Virginia.

Five stages were fixed, and a rider was appointed to each stage. In summer the service was performed weekly, and in winter fortnightly. At the commencement, as may be readily understood, the conditions were somewhat difficult.[140] But with the growth of population and commerce, conditions improved. The service to the South was for many years subject to general irregularity and temporary suspension, especially at times of flood.

The Post Office in America has from its first establishment as a general system, as distinguished from the merely local or munic.i.p.al posts, had to reckon with two factors which have been of great importance in relation to all the main services--a vast extent of territory and a spa.r.s.e population. The rates were higher than those in operation in England, but at first, and for many years, the revenue was insufficient to defray the expenses. The finance of the American Post Office consequently differed fundamentally from that of the English office.

Neale was required by the terms of his patent to render an account at the end of three years of the receipts and expenditures of the American post. His first account was not, however, rendered until 1698. It showed that the expenses up to May 1697 were 3,817, and the receipts 1,457, there being thus a loss of 2,360. The account was accompanied by a statement prepared by Hamilton, explaining the great advantages to the trade and commerce of the colonies, as well as to their security, which the Post Office provided; showing how necessary in consequence was the continuance of the office, and recommending that definite rates of postage for the whole territory be fixed by statute. Other regulations for the conduct of the system were also suggested, as the existing arrangement, involving such serious loss to the patentee, could not be continued indefinitely. Neale contented himself with a brief remark to the effect that whenever his Majesty should see fit to take the conduct of the posts into his own hands, he (Neale) would be glad to surrender his patent--of course, for a consideration.[141]

The Postmasters-General opposed the suggested increase of rates on general grounds, their experience having taught them that "the easy and cheap corresponding doth encourage people to write letters, and that this revenue was but little in proportion to what it is now, till the postage of letters was reduced from sixpence to threepence."

Neale died shortly afterwards, and his rights in the patent were transferred to his creditors, who were Hamilton himself and an Englishman named West. Hamilton died in 1703, and his widow carried on the posts for some two or three years. In 1706 she and West endeavoured to obtain an extension of the term of the patent; so that, although the posts had been conducted for some years at heavy loss, both by Hamilton and by his widow, the conditions had improved, and there was now reasonable antic.i.p.ation of a profit from the office. The view of the Postmasters-General, however, ultimately prevailed, and in 1707 the patent was bought back for the Crown for the sum of 1,664. When, a few years later, a general Act of Parliament was found necessary, the opportunity was taken to place the American posts on a definite statutory footing.[142]

The preamble recites that posts had at great charges been established on the mainland of North America through most of her Majesty's plantations and colonies, and the Postmasters-General were authorized to establish a "Chief Letter Office" in New York, and other chief offices at some convenient place or places in each of the colonies in America, and to appoint deputies for the "better managing, ordering, collecting, and improving the Revenue" granted by the Act. Rates for the transmission of letters between England and America were fixed, and detailed rates for transmission between specific towns within the North American colonies.

The rates between London and America were 1s. for a single letter, 2s.

for a double letter, and so on. For transmission within the colonies the rates were, broadly, for distances under 60 miles, 4d. the single letter, 8d. the double letter, and so on; distances under 100 miles, for a single letter 6d., and so in proportion for double and treble and ounce letters.

These rates were, in general, higher than those which had been fixed by the colonies under the Neale patent, but for several years they did not produce sufficient revenue to meet expenses. In 1722 the Postmasters-General were for the first time able to say that in the future the Post Office in North America, even if it yielded no net revenue, would no longer involve a charge, and there was a good prospect of a profit. The Act of 1765 provided rates for the longer distances and made a general reduction of nearly 30 per cent. The rates now became, for a single letter, for conveyance for any distance not exceeding 60 miles, 4d.; from 60 to 100 miles, 6d.; from 100 to 200 miles, 8d.; for each additional 100 miles, 2d.[143] In the intervening period the chief events had been the appointment of Benjamin Franklin, in 1737, to be Postmaster of Philadelphia, and in 1753, to be joint Postmaster-General for British North America, and the acquisition of Canada in 1763. The latter event had, indeed, been one of the reasons a.s.signed for the pa.s.sing of the Act of 1765.[144]

Under Andrew Hamilton the posts had run only along the coast, the great main route extending from Portsmouth, N.H., through Boston and New York to Maryland and Virginia. Under his son, John Hamilton, who succeeded him in the office, the posts were pushed inland as occasion offered or circ.u.mstances demanded, and for these extensions John Hamilton adopted the principle of establis.h.i.+ng routes in those cases where the postage was sufficient to maintain them. On such a basis the system could not, however, be very largely developed. The circ.u.mstances of the country made any great extension impossible, and in 1766 the posts still went mainly along the sea coasts.[145]

Franklin was dismissed in 1774. The Crown Post Office was continued in North America, but about this time a competing system arose. For some years there had been friction in the colonies between the authorities and the publishers of newspapers. The anomalous English system of the distribution of newspapers free by post by certain favoured individuals had been introduced in America. The favoured officials were the American Postmasters-General, and for that reason the office was much sought after by publishers. Both Franklin and Hunter, who were joint Postmasters-General (Franklin from 1753 to 1774, and Hunter from 1753 to his death in 1761), were printers, and Franklin's dismissal is sometimes attributed to a desire on the part of the British Government to hamper the distribution of his publications, and so restrict their influence. Great efforts were at this time made by the Crown authorities in America to prevent the dissemination of ideas contrary to the British ascendancy. As early as 1757 the Governor of Pennsylvania endeavoured to prevent the publication of improper intelligence in newspapers, and suggested that special instructions should be given to the Postmasters-General. The feeling against the newspapers grew with the developments of the years that followed, and by 1774 much trouble was being caused by the Crown Postmasters to the publishers of newspapers.

Many were toning down their comments in order to retain the privilege of free transmission, but some began to look for other means of distributing their papers. William G.o.ddard of Baltimore, publisher of the _Maryland Journal_, suggested the establishment of "an _American_ Post Office on const.i.tutional principles," and visited various colonies in the early part of the year 1774 with the object of enlisting support for his project. He received a good measure of approval, and on the 30th April 1774 subscriptions were invited from the public towards the establishment of an American Post Office. The scheme of this Post Office was that subscriptions should be invited for its establishment and maintenance, and "for the necessary defence of post officers and riders employed in the same"; and that the subscribers in each colony should appoint a committee from among themselves, whose business should be to appoint postmasters at places where offices had hitherto been kept or might be judged necessary, "and to regulate the postage of letters and packets, with the terms on which newspapers are to be carried."[146]

Meantime the committees of safety and the a.s.semblies of the various colonies made certain provision for the transmission of mails, both within and between the colonies. In May 1775 the New York Committee appointed a sub-committee to inquire of the postmaster, Mr. Foxcroft, the reason for the recent discharge by him of the post riders. The postmaster's explanation was that the last four mails between New York and Boston had been held up and violated on the journey, and he had discharged the post riders on the ground that it was no longer safe to send them with mails. The committee thereupon themselves immediately arranged for the despatch of mails from New York, and a few days later issued a notice "to acquaint the publick that a const.i.tutional Post Office is now rising on the ruins of the parliamentary one."

In the course of the next few months several provincial congresses pa.s.sed resolutions establis.h.i.+ng Post Offices in the respective colonies.

Ma.s.sachusetts fixed rates of postage at 5-1/4d. for a single letter for not more than 60 miles, and increased rates for greater distances. The whole matter was at the same time under the consideration of the Continental Congress sitting at Philadelphia. G.o.ddard had, from the first establishment of the const.i.tutional Post Office, expected Congress to a.s.sume control.[147] In May, Congress appointed a committee to consider the matter, and on the 26th July, having received the committee's report, agreed to resolutions providing for the establishment of a Post Office. Benjamin Franklin, who had been a member of the committee, was unanimously chosen to be the first Postmaster-General. It was provided that the remuneration of the deputies should, in general, be 20 per cent. on the sums they collected, the rate which had usually been paid under the parliamentary system.[148] Postage of letters was to be 20 per cent. less than those appointed by Act of Parliament. It was feared that such rates would prove too low, and the proceeds of the office be insufficient to support the necessary riders; and as people were in general well satisfied with the rates lately paid, or at least had made no complaints regarding them, the lowering of the rates was deferred.[149]

The parliamentary post continued for some years, concurrently with the const.i.tutional post, as the new independent Post Office was called. On the 7th October 1775 a debate arose in Congress as to the expediency of stopping the "parliamentary or ministerial posts." The stopping of the post was desired chiefly as a means for hindering the correspondence of their enemies. Inaction in the matter was advocated by some who professed to find the royal post of great convenience; and by others who, although desirous of seeing the parliamentary post stopped, thought it unnecessary to take active measures against it, since it would soon cease in any case.

On Christmas Day, 1775, the Secretary to the Post Office in New York issued a notification to the public that, in consequence of the decision of a provincial convention at Annapolis not to permit the parliamentary post to travel through the province, that mail would be discontinued, and the letters held at New York at the disposal of the persons to whom they were addressed. The parliamentary post did not, however, altogether die. As late as 1779 the Secretary in London wrote to the Deputy-General at New York that the Postmasters-General were glad to find that a number of letters were being brought to the Post Office to be delivered, and as they hoped that method would be continued, the deputy would, no doubt, soon have sufficient funds to pay the expenses of the establishment. But in 1780 the Postmasters-General were concerned to find that the whole postage would not defray the cost of management, a circ.u.mstance attributed to the fact that the mails were often seized on arrival and carried first to the headquarters of the Army. In consequence of this, a great part of the letters were never delivered at all. Very little postage could be collected, and the Postmasters-General addressed strong representations to Lord George Germain, his Majesty's princ.i.p.al Secretary of State.[150]

In 1776, in view of the great necessity, for the safety of the colonies, that means should be provided for the frequent and rapid transmission of intelligence, further dispositions with regard to the posts were made by the Congress. Riders were appointed for every twenty-five or thirty miles on the several post roads. They were required to proceed through their respective stages three times a week. They were to set out immediately on the receipt of the mail and were to travel "by night and by day, without stopping," until they had delivered the mail to the next rider. It was found that the revenue produced by the existing rates of postage fell far short of the expenses, and on the 17th October 1777 the rates were raised by 50 per cent. The difficulties of the administration continued, and various committees of inquiry were appointed. In April 1779 one of these committees recommended the doubling of the rates, a course which met with approval from patriotic Americans.[151]

Even this increase was not sufficient. In October of that year there was a balance of 375 18s. 6d. due to the Postmaster-General, and arrears of 17,666 1s. 3d. to the post riders. For the discharge of these liabilities and for the continuance of the functions of the office a draft on the Treasurer was authorized. In December 1779 a further grant was found to be absolutely necessary in order to maintain the service, and the sum of $30,000 was voted.[152] The establishment of express riders which had been maintained in conjunction with the postal service was at the same time abolished, and the rates of postage raised 20 per cent. on those paid in 1775. But the cost still outran the revenue, and in May 1780 sums amounting to $100,000 were voted in aid of the service.

The finances of the posts became involved in further difficulties through the general depreciation of money, and Congress found it necessary in December 1780 to make good the depreciation on the pay of post riders, and to raise their nominal pay to double the sum received before the war.[153]

Several minor changes of the rates of postage were made in this period.

In December 1780 the Congress fixed the rates on letters at half the rates paid at the commencement of the war: and in October 1781 at the actual rates charged at the commencement of the war. But, whatever the rates, during the war they never produced sufficient revenue to meet expenses, and the controlling factor in the administration of the service was the necessity for a means of circulating the earliest intelligence of the movements of the enemy, and of their ally, in order to make the best disposition of their own forces.

By the Articles of Confederation Congress was vested with the sole and exclusive rights and power of establis.h.i.+ng a Post Office for the United States; and, deeming "the communication of intelligence with regularity and despatch from one part to another of the United States essentially requisite to the safety as well as the commercial interest thereof," in 1782 revised all the regulations made theretofore in respect of the Post Office, and reduced them to one Act. The Postmaster-General was required to cause the mail to be carried with all care and despatch at least once in every week to and from each of the stated post offices, and was given a monopoly of "letters, packets, or other despatches." Postmasters were to be paid such commission as the Postmaster-General might think their services merited, not exceeding 20 per cent. of the postage collected by them. Rates of postage on single letters were fixed as follows:--

Distance. Rate.[154]

Not exceeding 60 miles 1 dwt. 8 gr.

Exceeding 60 miles, not exceeding 100 miles 2 " 0 "

Exceeding 100 miles, not exceeding 200 miles 2 " 16 "

And so on, advancing 16 grains for every hundred miles.

For all letters for or from Europe by packet or despatch vessels, the charge was 4 dwt. The rates were doubled for double letters; trebled for treble letters; and a packet weighing an ounce was charged equal to four single letters, and in that proportion if a greater weight. In the event of a surplus of Post Office revenue over expenses, the Postmaster-General was required to pay the amount to the Treasurer of the United States "until the sums of money heretofore advanced by the United States for the support of the General Post Office, with the interest thereon at 6 per cent. per annum," should be repaid, after which any such surplus was to be devoted to the establishment of new post offices or other improvements of the service. If the necessary expenses were found to exceed the revenue, the excess was to be paid to the Postmaster-General by the Treasurer of the United States.[155] Cross posts were farmed in much the same way as the cross posts and bye posts had been farmed in England,[156] and the farmers were bound by contract not to charge rates in excess of those fixed by the ordinance.[157]

After the adoption of the Const.i.tution an Act of the Const.i.tutional Congress became necessary. The President, in recommending to Congress the provision of the Post Office and post roads on a liberal and comprehensive scale, referred to the political importance of such a service as aiding the diffusion of a knowledge of the laws and proceedings of the Government,[158] a consideration which was paramount in determining the att.i.tude of the United States Government towards the posts. It was held to be a first duty of the Government to afford every possible means for the dissemination of intelligence--general intelligence for the information and education of the people, and more especially political intelligence for the education of the people as citizens of the Republic. They were making, it was their legitimate boast, a tremendous experiment in politics. They were essaying to demonstrate to the world whether a people had the genius to govern itself, whether democracy and the republic were abstract political ideas only, or whether they could be made actual living things. The English Commonwealth had failed. The French Revolution had come after their own and was still in doubtful case. They could therefore neglect no means likely to strengthen the foundation of their own Republic, and in this view must consider seriously the question of providing effective means for the enlightenment of the sovereign people on all matters pertaining to the executive Government and the Legislature.[159] In order to secure the dissemination of such intelligence members of Congress were given extensive powers of franking both letters and newspapers.

On the question of rates, opinion in Congress was divided. Although at the time the gross revenue of the Post Office was small, some members antic.i.p.ated an increase sufficient to yield a net revenue, as in England and most other European countries; whilst others, with more wisdom, pointed out the vital difference in the case of America on account of "its great extent and uncultivated state, as well as from a thousand other causes."[160] The new rates were based on eight zones of distance.

For distances under 30 miles the charge for single letters was 6 cents; for distances over 450 miles the charge was 25 cents; every double letter, double rates; every triple letter, triple rates; and every packet weighing 1 ounce avoirdupois, the rate of four single letters for each ounce.

The rates for letters fixed by the Act of 1792 continued some thirty years, except for slight modifications in 1799 and 1816, and except for a brief period at the time of the war of 1812-14 with Great Britain. The Government then attempted to obtain an increased revenue from the Post Office, and the rates of postage were increased 50 per cent. The effect on the revenue and on the business of the country was, however, so disastrous that the increased rates were maintained only for about a year.[161]

In 1825 the laws relating to the Post Office were codified. The codifying Act placed on the Postmaster-General the duty of establis.h.i.+ng such post offices, and appointing such postmasters on the post roads as should appear to him expedient, and of providing for the carriage of the mail on all post roads that were or might be established by law,[162]

with such frequency as he should think proper, "_having_ _regard to the productiveness_" of the routes, the means of the department, and other circ.u.mstances. Errors and irregularities crept into the service; but they were for the most part the result of "the representations and pressing solicitations of the citizens," sustained by members of Congress from almost every section of the country, of the extension of the franking privilege, of the desire of the head of the department "to extend the benefits of mail facilities and stage-coach accommodations to every portion of the community," and of legislation extending the transportation of the mail over unproductive routes. The deficits which resulted were not regarded altogether as an evil, because the public had greatly benefited by the measures which had produced them.[163] Despite the solicitude of Congress the revenue failed to recover, and in 1837 and several succeeding years showed a deficit.

Sir Rowland Hill's pamphlet _Post Office Reform: Its Importance and Practicability_ attracted attention in America, and as early as 1839 the question of applying the principle of uniformity of rate to the American service was under consideration. The rate proposed was not, however, 2 cents, the equivalent of a penny, but 5 cents. Sir Rowland Hill himself expressed the opinion that owing to the widely different circ.u.mstances penny postage might not be applicable to the United States, but that, as the American people did not look for a revenue from their Post Office, a low general rate might be feasible.[164]

Although a low and uniform rate was not immediately adopted, the example of Great Britain had great influence.[165] There was considerable public agitation in favour of reduction of rates, and in many respects the circ.u.mstances resembled those obtaining in England before the reform.

The high rates of postage led to constant and widespread evasion, advantage being taken of all available private means for the transmission of letters, and an a.s.sociation formed in New York to work for the adoption of reduced postage held meetings in the large cities.

In 1844 the finances of the department were in a more nouris.h.i.+ng condition. For four years the service had been able to maintain itself.

The state of the public Treasury had prevented any material change in previous years, but as difficulties under that head had ceased, the Government recommended the introduction of low rates--gradually, in order to prevent any serious dislocation of the finance of the department.[166] A statute was accordingly pa.s.sed which, while not introducing uniform postage, went a great way in that direction. There were to be only two distance charges, viz. for distances not exceeding 300 miles, or greater than 300 miles, respectively. The new rate for ordinary letters was 5 cents for distances not exceeding 300 miles, and 10 cents for any greater distance. This statute also introduced the principle of charge by weight instead of by sheets, the half-ounce being taken as the unit weight.[167]