Benjamin Stoddert and the Rise of the Navy As negotiations with France broke down following the XYZ Affair, Congress began to prepare the nation for naval conflict. While the Naval Act of 1794 had called for the building and manning of a squadron of frigates, it had not established a naval department to oversee their operation. Furthermore, the act had expired with the peaceful settlement of the conflict with Algiers.
The first step in the creation of the new navy was the passage of a new naval appropriations bill. Passed on April 27, 1789, it called for the building or purchase of twelve ships of war, the raising of a naval officers corps, and the creation of a budget of $950,000. Congress also authorized the creation of the Department of the Navy on April 30, 1789. President Adams appointed Benjamin Stoddert to administer this new executive office. A native of Maryland and an ardent Federalist, Stoddert was a tobacco merchant by profession. He had begun his public service as a captain of artillery during the American Revolution. Wounded in action at the Battle of Brandywine in 1777, Stoddert was troubled by poor health for the rest of his life. Nevertheless, as a respected businessman and manager, Stoddert prospered in the early days of the Republic. He established himself in Georgetown and began speculating in land, a gamble that paid off when the federal government chose to establish the new national capital on land partly owned by Stoddert. However, by the time of his appointment to the Navy Department, a declining American economy and a downward turn in land prices nearly resulted in his financial ruin. At first, Stoddert was hesitant to accept Adams's offer of an appointment to lead the navy. In truth, he was not Adams's first choice. That man had been George Cabot of New York, who had turned down the position because of ill health. The $3,000 salary offered to Stoddert did not promise financial security, but he accepted the position, feeling that it would be cowardly to turn down the offer. Managing ships was something Stoddert had done well in peacetime, and he felt sure he would do as well in time of war. The staunch Federalist proved to be an able federal executive and administrator. He oversaw every detail in the creation of the navy. He even acted as his own chief of naval operations, directing the strategic movements of fleets and ships. Working with a tiny staff of clerks and assistants, Stoddert personally oversaw the expansion of the navy budget from $16,408 in 1794 to $3 million in 1799. Under Stoddert, the original frigates called for by the Navy Act of 1794 were completed. He also initiated a major expansion of the American fleet. During the Quasi-War with France, Stoddert initiated the construction of six additional frigates and three sloops and orchestrated the conversion of more than forty merchant vessels into warships. By the end of the Federalist period in 1801, U.S. naval strength had increased to fifteen frigates, twelve ships, seven brigs, four schooners, and nine gunboats. To man these ships, Stoddert oversaw the recruitment of seamen and reestablished the United States Marine Corps. Under Stoddert, a number of naval yards became involved in naval ship construction. This ultimately led to the establishment of a system of United States Navy Shipyards, including Gosport in Virginia, Philadelphia in Pennsylvania, Portsmouth in New Hampshire, Brooklyn in New York, and Charleston in Massachusetts. Stoddert envisioned a navy that would eventually be capable of defending expanding American interests and maritime commerce. He pushed for the creation of ships of the line that could rival the most powerful ships of the European navies. Though he did not succeed in this endeavor, he is credited with being the first "battleship man" of the U.S. Navy. Stoddert served the navy with energy and devotion until 1801, when peace with France and a change in political fortunes prompted his resignation. The arrival of President Thomas Jefferson, a Republican with an eye to cutting the nation's debt and limiting the size and role of the navy, frustrated Stoddert. The day before Jefferson's inauguration, Stoddert tendered his resignation. Having no one to replace him, Jefferson pleaded with Stoddert to remain at his post until a suitable replacement could be found. Stoddert consented to remain until the end of March, when the new secretary, Samuel Smith, was appointed.
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