The Wabash Trade Route in the Development of the Old Northwest

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41 The measure asked for a right of way of 90 feet on each side of the canal. It was regarded, accordingly, as a request for a Federal land grant to a state for purposes of internal improvement, though the tract of land was to be reserved to the state and used for no other purposes. In the debates it was argued that this was a land grant worth $50o, ooo, 42 whereas, the estimated cost of the canal was only $300, 000.
The Committee on Public Lands reported most favor- ably to the work itself but
... opposed a grant of land unless this canal should be included in a general system of in- ternal improvements, and preferred a money grant if any aid should be given. In the open debate in the House an attempt was made to substitute, for the reservation of 90 feet on each side, a strip of one mile on each side. In opposition to such an amendment, it was argued that such a grant was " trenching on the terms of the cession of the Northwestern territory by Virginia to the United States which declared that the whole of that cession should be a fund for the payment of the common expenditures of the United States.

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