and he, with Douglas, signified his consent to receive a formal proposition. A letter was then addressed to McLoughlin, and conveyed to him by Applegate.[1]
In the consideration of the proposition made to them, there were other subjects besides that of allegiance to be duly weighed, an important one of which was the matter of taxes, the company's property being all taxable according to the laws of the organization, and being greater in value than that of all the colonists together. To avoid being made to support the Oregon government in toto, an agreement was entered into that the company should pay taxes only on the goods sold to the white inhabitants of the country; and on this understanding a letter of acceptance of their invitation was returned to the committee,[2] and the officers of the Hudson's Bay Company became, with all the British residents, parties to the political compact of Oregon.[3] In the election of officers, James Douglas
- ↑ 'Oregon City, Aug. 14, 1845. To Dr John McLoughlin, Chief Factor of H. B. Co.Sir: As a question has arisen in the house of representatives on the subject of apportionment upon which we feel peculiarly situated, we beg leave to ask of you a question, the answer to which will enable us to come to a definite conclusion upon that subject. The question to which we would be happy to receive an answer is this: Do you think the gentlemen belonging to the company over which you preside will become parties to the articles of compact, by the payment of taxes and in other respects complying with the laws of the provisional government? Your answer to this query is most respectfully solicited. Yours, with the highest respect. I. W. Smith, H. A. G. Lee, J. M. Garrison, Barton Lee.' Or. Archives, MS., 71.
- ↑ 'Oregon City, Aug. 15, 1845. I. W. Smith and others. Gentlemen: We have the honor to acknowledge your favor of the 14th inst., and beg in reply to say that, viewing the organization as a compact of certain parties, British and American subjects residing in Oregon, to afford each other protection in person and property, to maintain the peace of the community, and prevent the commission of crime—a protection which all parties m this country feel they particularly stand in need of, as neither the British nor American government appear at liberty to extend the jurisdiction of their laws to this part of America; and moreover seeing that this compact does not interfere with our duties and allegiance to our respective governments, nor with any rights of trade now enjoyed by the Hudson's Bay Company—we, the officers of the Hudson's Bay Company, consent to become parties to the articles of compact, provided we are called upon to pay taxes only on our sales to settlers. We have the honor to be, etc. John McLoughlin, James Douglas. Or. Archives, MS., 72.
- ↑ At the very time these negotiations were going on, a resolution was offered in the house by David Hill, 'that no person belonging to the Hudson's
Loughlin and Applegate arranged between them the method by which the British and Americans could unite without prejudice to their duties as loyal citizens and subjects of their respective countries.
