The Second Continental Congress approved the Articles of Confederation as a proposed plan for a national government during the Revolutionary War. The document created a “league of friendship” among states and reflected a strong fear of centralized power after British rule. Ratification by every state was still required before it could take effect.
Facing war costs and heavy debt, Congress created executive departments under the Articles, including a Department of Finance led by a superintendent. This was an attempt to bring more order to federal budgeting and credit, even though Congress still lacked power to levy national taxes. The move highlights how the Confederation tried to solve problems with limited tools.
After years of delay—especially disputes over western land claims—Maryland became the last state to ratify the Articles, allowing the new framework to go into operation. Under the Articles, Congress had limited authority and depended on states for money and enforcement. This moment marks the start of the Confederation government in practice.
In March 1783, unpaid Continental Army officers at Newburgh, New York, discussed pressure tactics against Congress over back pay and pensions. George Washington intervened and helped defuse the crisis, reinforcing the principle that the military should remain under civilian authority. The episode also exposed the Confederation’s weakness in raising reliable revenue.
U.S. and British representatives signed the Treaty of Paris, which ended the war and recognized the United States as independent. The treaty also set broad boundaries for the new nation, reaching west to the Mississippi River. Under the Articles, Congress managed diplomacy, one of its stronger functions.
Meeting in Annapolis, the Confederation Congress ratified the Treaty of Paris, making U.S. independence formal in law and diplomacy. The ratification showed Congress could act decisively in foreign affairs when enough state delegates were present. It also signaled a shift from wartime coordination to the harder task of governing a peacetime republic.
Congress adopted a plan for temporary government in the western territories and laid out an early framework for creating new states. Although key provisions changed during debate, the ordinance helped establish the idea that the United States would expand by admitting new states, not by keeping permanent colonies. This was a major governance challenge under the Articles because land policy was one of the few national revenue and planning tools available.
Delegates from Virginia and Maryland met at Mount Vernon to resolve disputes over navigation and commerce on shared waterways like the Potomac. The resulting agreement demonstrated that states could negotiate practical solutions, but it also highlighted the lack of strong national authority to manage interstate trade. The compact became a stepping stone toward broader meetings about reforming the federal system.
To raise money and organize settlement, Congress passed the Land Ordinance of 1785, creating a standardized grid survey with six-mile-square townships. The system helped reduce boundary disputes and supported planned settlement, including provisions connected to public schools. Land sales became especially important because Congress lacked a dependable taxing power under the Articles.
Economic hardship and high taxes helped trigger an uprising in western Massachusetts, where armed groups shut down courts to block debt actions. The rebellion, lasting from August 1786 to February 1787, alarmed many leaders and underscored how fragile public order and public finance could be under the Articles. For many Americans, it strengthened the argument that the national government needed more effective powers.
Commissioners from five states met in Annapolis to address trade barriers and other problems created by the weak national framework. Because turnout was low, they issued a report urging all states to send delegates to a new convention with wider authority to fix defects in the federal government. This was a direct pivot from piecemeal fixes toward redesigning the system.
Delegates met in Philadelphia with the stated purpose of revising the Articles of Confederation. Very quickly, many concluded that the existing structure could not be repaired with minor changes, especially given problems with taxation, trade, and enforcement. The meeting became the turning point from confederation toward a new constitutional system.
Congress adopted the Northwest Ordinance, creating a territorial government, listing rights, and laying out a step-by-step process for admitting new states. It also barred slavery in the Northwest Territory (with a provision about reclaiming fugitives from labor). This became one of the Confederation Congress’s most lasting policy achievements, showing that national governance could succeed in land administration even as other weaknesses remained.
After months of debate, delegates signed the U.S. Constitution, creating a stronger federal structure with separate branches and clearer national powers. The new plan aimed to solve core Confederation problems: weak revenue, limited authority over commerce, and difficulty enforcing national decisions. Ratification by the states would follow, but this signing marked the clear end of the Articles as the guiding blueprint for the nation’s future.
Articles of Confederation: Governance and Challenges (1777–1789)