Financial History 100th Edition Double Issue (Spring/Summer 2011) | Page 71

The first page of the Pacific Railway Act, 1862. new idea of giving away federal lands to individuals who would promise to occupy and develop them. From 1841 to 1854, Congress passed laws giving squatters or settlers free land in Florida, Oregon and New Mexico; the laws required settlers to live on the land, fence-in much of it and bear arms to defend it. From 1844 to 1846, congressmen from four different states introduced different versions of a homesteading bill. None could generate enough interest to be brought to the floor of the House of Representatives or the Senate for a vote. In 1850, the five-man Senate Committee on Public Lands announced its opposition to homesteading, and its preference for continuing to raise revenue by selling public lands. Southern legislators approved of that decision; they had long been opposed to a homestead law, fearing that men who received free land as they settled the West would not be slaveholders and would oppose the extension of slavery to that territory. Congressmen from both parties put homesteading on the back burner throughout much of 1850, as they argued over the extension of slavery and debated the set of bills that made up the Compromise of 1850. Later, the supporters of homesteading renewed their cause. In May 1852, the House approved a homestead bill by a vote of 107 to 56, split largely along sectional lines; the Senate took no action. That pattern of voting (large margins of approval in the House and no action in the Senate) was repeated in 1854, 1856 and 1859; nearly all Southern congressmen continued to vote against the bills. In 1860, the House and Senate again considered homestead legislation, but did so in an atmosphere of unusual political dissonance. The argument over the extension of slavery into the territories had reached a critical stage. Republicans in both houses of Congress displayed heretofore unseen flexibility in approving compromise homestead legislation that incorporated many Southern-initiated elements they had refused to accept in previous years. In May, the House and Senate passed the same bill by large majorities; in June, Democratic President James Buchanan vetoed it. He called the bill unconstitutional (Congress ha