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Friday December 20^th 1862

The Councilmet Jno. W. Crockett Prest Pro. tem in the Chair.

Mr Moore asked and obtained the unanimous consent of the Council to introduce a bill in relation to Military Affairs.

On motion said leave was referred to a select committee consisting of Messrs Moore and Bates—

The select Committee to whom was referred the special leave to report a bill in relation to Military affairs— reported the same
An act to raise and Arm fifty regiments of volunteer infantry and Cavalry— which was read a first time
On Motion the rule of the Council Constitutional provision and second readings were dispensed.

On motion the Council went into secret session.

R. McKee Secretary of State announced the Governors approval of the Bond of W. B. Clark Commissioner—

On motion said approval was confirmed by the Council and said bond ordered to be filed with the Auditor of Public Accounts.

Mr H. W. Bruce asked and obtained the unanimous consent of the Council to introduce a bill entitled "An act to amend an act to regulate Currency" which was then introduced and read a first time.
On Motion the rule of the Council Constitutional provision and second and third readings of the bill were dispensed with

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The question was then taken on the passage of the bill, and it was decided in the affirmative
And the bill passed
Ordered that the title be as reported.

A special message in writing from the Governorby R. M^cKee Secretary of State.

Mr President: I am directed by the Governor to lay before this Council a message in writing:

Executive Office
Bowling Green Ky
December 20.^th 1861

Gentlemen of the Council.

I herewith lay before you the report of W. B. Clark Commissioner under "An act providing for the appointment of two or more Commissioners to visit the Counties in reference to Sheriffs, Judges, and other Officers approved December 11^th 1861.

George W. Johnson

The report referred to in the foregoing message was approved and ordered to be filed with the Auditor of Public accounts

A special message from the Governor by R. M^cKee Secretary of State:

Mr President: I am directed by the Governor to lay before this Council a special messsage in writing;

Executive Office
Bowling Green
December 20.^th 1861

Gentlemen of the Council of the State of Kentucky

I herewith transmit to you the report of Messrs Burnett and Musselman, who were appointed to negotiate for the Provisional Government of Kentucky a loan from the Southern Bank at Russellville.

After a failure to negotiate the loan of $25.000 for the Government in consequence of the inability of the Bank to furnish that amount of its paper and its unwillingness to make a Government loan These gentlemen obtained a loan of ($5.000.) five thousand dollars, upon a note executed by them as principal and myself as surety. This note is for the sum of Five Thousand one hundred and two dollars payable on the 19.^th of April 1862. They paid over to Major Woodruff this sum of $5.000. in Kentucky Bank notes, and received from him in Exchange $5.000 in Confederate or Treasury notes.
These notes they deposited with the Bank as collateral security. In as much however as these notes, are conpvertable into confederate bonds which bear an interest of near 8pr cent, it would save us loss by the loan if the President of

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the Bank was instructed to fund them in Confederate Bonds.
An order is also nescessary to shield these gentlemen from any chance of loss by this transaction

George W. Johnson

The report referred to in the foregoing message reads as follows viz.

His Excellency

The Governor of the Provisional Government of the State of Kentucky —

In accordance with an appointment made by your Excellency under a resolution passed by the Legislative Council empowering the undersigned Comissioners to negotiate a loan with the Southern Bank of Kentucky at Russellville We respectfully submit the following report. We ascertained from the President and Directors, and the Books of said Bank the following facts. The Southern Bank of Kentucky has a Chartered Capital of One million Five hundred thousand dollars. Of this sum Twelve Hundred Thousand dollars is held by Branches within the Federal lines- leaving three hundred Thousand dollars as the limited Capital of the mother Bank — This sum ($300.000.) they have transferred to their credit in London They have in their vaults about $90.000. — their deposits are about the same.

The President and Directors Expressed the greatest desire to accommodate the Provisional Government of Kentucky, but suggest that if it were known by the Federals that they had entertained a proposition for a loan it would render the stock in their lines subject to Confiscation— They however loaned to the undersigned upon their individual paper, with George W. Johnson as surety Five Thousand dollars at four months, with the understanding that the same should be renewed at the will of the Provisional Government. This sum of $5.000. had its interest added— towit $102 — We passed the $5.000. of Kentucky funds to Major Woodruff as will be seen by receipt here returned and made part of this report marked (1) — for $5.000. in Confederate Bonds which were deposited as collaterals in the said Southern Bank of Kentucky— We report that this is the greatest Sum that we could obtain: and all that was in the Bank over the sum due Corporations— All of which is respectfully submitted.
December 20.^th 1861

T. L. Burnett
B. Mussselman

The receipt referred to reads as follows

Russellville Ky 19^th Decr 1861

T. L. Burnett and Burch Musselman for and on behalf of the Provisional Government of the State of Kentucky have exchanged with Me Five Thousand Dollars in Kentucky paper for Five Thousand Dollars in Confederate Bonds

A. W. Woodruff
Secy^r & [...] P. A. C. S.

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On motion the consideration of said message and accompanying documents was postponed.

The consideration of the bill entitled "an act to amend an act entitled an act concerning brokers" was taken upon

The question being upon the adoption of the substitute and Amendment Offered by Mr Moore- and being taken, it decided in the negative

On motion the rule of the Council, Constitutional provision and third reading of the bill was then dispensed with.

The question was then on the passage of the bill and being taken it was decided in the affirmative —
And so the bill passed.
Ordered that the title be as reported.

On motion the Council unanimously consented to take up the bill entitled "an act to raise and arm fifty regiments of volunteer infantry and Cavalry"

Mr Bates in the Chair.

On motion of Mr Crockett said bill was referred to the Committee on Military Affairs with instructions to report on Monday next at 10 ¹/2 O'Clock A. M.

The Chairman of the Committee on Banks reported a bill entitled "an act to amend an act entitled an act regulating Banks approved Dec. [...] 1861-
Which then had its first reading
On motion the rule of the Council constitutional provision and second reading were dispensed with

On motion of Mr Crockett said bill was referred to a select committee- whereupon the President placed on said Committee Messs Crockett E M. Bruce andH. W. Bruce.

And then the Council adjourned until 2 ¹/2 O'Clock P. M.

Evening Session

The Council re-assembled at 2 ¹/2 O'Clock. P. M.
Mr Crockett President protem in the chair.

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Mr E. M Bruce moved the following resolution Towit:
Resolved That the Governor be and he is hereby directed to return the $5.000- loaned by the Southern Bank to the Commissioners appointed to "negotiate a loan" of said Bank — to the said Bank, and that the Governor be directed to obtain the $25.000 of the said Bank in accordance with the resolution appointing the Commissioners.

Mr H. W Bruce offered the following as a substitute for that moved by E. M. Bruce Towit
Resolved by the Council of the Provisional Government of the State of Kentucky that this Council do not accept the action of T. L. Burnett and Burch Musselman as an execution of the Commission conferred on them; and do not regard the loan negotiated by them as an act binding on this Government.

Mr Moore moved to lay the resolution and substitute on the table and before the question was put said motion was withdrawn.

Mr E M. Bruce moved the following as a substitute for the original and the substitute offered therefor Towit:

Resolved That the Governor be and he is hereby directed to return the $5.000 loaned to the Commissioners in their individual Capacity- to the Southern Bank and that he use such further means to secure the $25,000. of said Bank, as may become nescessary, unless said Bank increases the loan to $25.000 — and receives therefor such Obligation as were provided for in the original resolution- and the Governor is further authorized to recieve Sterling Bills of Exchange to the amount of $25,000. in satisfaction of this loan at the current rate of exchange in New Orleans or Nashville.

Mr Bates moved to lay the original resolution and subsitutes & amendments on the table

The question being on the motion to lay on the table and the yeas and nays having been required by Messrs Bates and Moore and being called resulted as follows
Those who voted in the affirmative were
Messrs Moore, Bates and Burnside — 3 —
Those who voted in the negative were
Messrs Crockett, Chrisman, H W Bruce, E M Bruce and Scott 5.
So the motion to lay on the table was lost.

The question was then upon the adoption of the subsitute offered by Mr H. W. Bruce and being put it was decided in the negative
The yeas and nays having been demanded thereon by Messrs Bates and Moore- and being called resulted as follows Towit —
Those who voted in the affirmative were —

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Messs President-Protem (Crockett) H. W. Bruce & Scott — 3 —
Those who voted in the negative were
Messrs Bates, Chrisman, Burnside, E. M. Bruce and Moore — 5 —

The question was then upon the substitute offered by Mr E. M. Bruce and being put it was rejected —
The yeas and nays having been demanded thereon by Messrs Bates and Moore and being called resulted as follows. Towit

Those who voted in the affirmative were
Messrs Chrisman Burnside and E. M. Bruce — 3 —
Those who voted in the negative were
Messrs President P. T. (Crockett) Bates H. W. Bruce Moore and Scott — 5 —

The question was then on the adoption of the original resolution and being put, it was decided in the negative

On motion Mr Moore was added to the Committee on Internal Improvements.

Mr Moore asked and obtained leave of absence for an indefinite period of time

On Motion of Mr Burnside Mr J. A. Hooe was appointed sergeant at Arms, Page, and DoorKeeper Protempore.

A message from the Governor in writing by Mr M^cKee secretary of State
Mr President: I am directed by the Governor to lay before this Council a message in writing:

Executive Office
Bowling Green Ky
December 20.^th 1861

Gentlemen of the Council of the State of Kentucky

I lay before you the report of William Messick, our Commissioner for the County of Warren who was appointed under "an act entitled an act to appoint Commissioners to visit the various Officers of the different Counties &^c &^c. His report requires prompt action as to some of the Officers of this County and I will make out a list of nominations and present it at Your Convenience

George W. Johnson

said report was read approved and ordered to be filed with the auditor of Public Accounts.

A message from the Governor by Mr M^cKee Secretary of State.
Mr President: I am directed by the Governor to lay before this Council a special message in writing=
Towit.

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Executive Office
Bowling Green Ky
December 20^th 1861

Gentlemen of the Council

I herewith submit for your approval the following nominations:

All of which are respectfully submitted

George W. Johnson

Said nominations were taken up separately and the entire list unanimously confirmed —

And then the Council adjourned until 10 ¹/2 O'Clock A. M. tomorrow

Attest
A. Frank Brown Clerk