The convention authorized the General Assembly of the State to issue bonds to such amounts and in such sums as seemed best, thus giving the Assembly practically unlimited discretion. But it was provided that money must not be borrowed except for purposes of military defense, unless by a two-thirds vote of the members elected to each house; and the faith and credit of the State was pledged for the punctual payment of principal and interest.[7] The Legislature hastened to avail itself of this permission. In 1861, a bond issue of $2,000,000 for defense, and not liable to taxation, was authorized at one time; at another, $385,000 for defense besides an issue of $1,000,000 in treasury notes receivable for taxes. Of the first issue authorized only $1,759,500 was ever issued. Opposition to taxation caused the State to take up the war tax of $2,000,000 (August 19, 1861), and for this purpose $1,700,000 in bonds were issued, the banks supplying the remainder. There was a relaxation in taxation during the war; paper money was easily printed, and the people were opposed to heavy taxes.[8] In 1862, bonds to the amount of $2,000,000 were issued for the benefit of the indigent. The Governor was given unlimited authority to issue bonds and notes, receivable for taxes, to “repair the treasury,” and $2,085,000 in bonds was issued under this permit. These bonds drew interest at 6%, ran for 20 years, and sold at a premium of from 50% to 100%. Bonds were used both for civil and for military purposes, but chiefly for the support of the destitute. Treasury notes to the amount of $3,500,000 were issued, drawing interest at 5%, and receivable for taxes. The Confederate Congress came to the aid of Alabama with a grant of $1,200,000 for the defense of Mobile.[9] In 1863, notes and bonds for $4,000,000 were issued for the benefit of indigent families of soldiers, and $1,500,000 for defense; $90,000 in bonds was paid for the steamer _Florida_, which was later turned over to the Confederate government.[10] In 1864, $7,000,000 were appropriated for the support of indigent families of soldiers and an unlimited issue of bonds and notes was authorized.[11] In 1862, the Alabama Legislature proposed that each State should guarantee the debt of the Confederate States in proportion to its representation in Congress. This measure was opposed by the other States, and failed.[12] A year later a resolution of the Legislature declared that the people of Alabama would cheerfully submit to any tax, not too oppressive in amount or unequal in operation, laid by the Confederate government for the purpose of reducing the volume of currency and appreciating its value. The Assembly also signified its disapproval of the scheme put forth at the bankers’ meeting at Augusta, Georgia—to issue Confederate bonds with interest payable in coin and to levy a heavy tax of $60,000,000 to be paid in coin or in coupons of the proposed new issue.[13]