Humphreys made arrangements by which they received clothing and a money allowance ranging from twelve cents a day for a seaman up to eight dollars a month for a captain. Nothing, however, could be done in the way of peace negotiations. One of Humphreys' agents reported that the Dey could not make peace even if he really wanted to do so. "He declared to me that his interest does not permit him to accept your offers, Sir, even were you to lavish millions upon him, 'because,' said he, 'if I were to make peace with everybody, what should I do with my Corsairs? What should I do with my soldiers? They would take off my head, for want of other prizes.'"
This was an honest disclosure of the situation. Humphreys wrote Jefferson that "no choice is left for the United States but to prepare a naval force for the protection of their trade." Captain O'Brien wrote, "By all means urge Congress to fit out some remarkably fast sailing cruisers, well appointed and manned." In January, 1794, accordingly, a committee of the House brought in a resolution for building four ships of 44 guns and two of 20 guns each. The debate began on February 6, and for some time was altogether one-sided, with one speaker after another opposing the creation of a navy. Madison, as was now his habit, had doubts as to the propriety of the measure. He fancied that peace "might be purchased for less money than this armament would cost." Clark of New Jersey had "an objection to the establishment of a fleet, because, when once it had been commenced, there would be no end to it." He had "a scheme which he judged would be less expensive and more effectual. This was to hire the Portuguese to cruise against the Algerines." Baldwin of Georgia thought that "bribery alone could purchase security from the Algerines." Nicholas of Virginia "feared that we were not a match for the Algerines."
Smith of Maryland and Fitzsimmons of Pennsylvania championed the resolution, and Fisher Ames made some remarks on Madison's lack of spirit that caused Madison to define his position. He proposed as a substitute for the pending measure that money should "be employed in such a manner as should be found most effectual for obtaining a peace with the Regency of Algiers; and failing of this, that the sum should be applied to the end of obtaining protection from some of the European Powers." This motion warmed up the debate. Giles of Virginia came to Madison's support in a style that was not helpful. He "considered navies altogether as very foolish things. An immense quantity of property was spread on the water for no purpose whatever, which might have been employed by land to the best purpose." The suggestion that the United States should be a hermit nation was an indiscreet exposure of the logical significance of Madison's plan, and it perhaps turned the scale in favor of employing force.
