This, in the empty state of the treasury, was a critical operation.

In addition to the anxieties which the officers would naturally feel respecting their provision for the future, which of necessity remained unsecured, large arrears of pay were due to them, the immediate receipt of part of which was required by the most urgent wants.

To disband an army to which the government was greatly indebted, without furnishing the individuals who composed it with the means of conveyance to their respective homes, was a perilous measure; and congress was unable to advance the pay of a single month.
Although eight millions had been required for the year 1782, the payments into the public treasury had amounted to only four hundred and twenty thousand and thirty-one dollars, and twenty-nine ninetieths; and the foreign loans had not been sufficient to defray expenses it was impossible to avoid, at the close of that year, the expenditures of the superintendent of the finances had exceeded his receipts four hundred and four thousand seven hundred and thirteen dollars and nine ninetieths; and the excess continued to increase rapidly.
Congress urged the states to comply so far with the requisitions as to enable the superintendent of the finances to advance a part of the arrears due to the soldiers; but, as the foreign danger diminished, they became still less attentive to these demands; and the financier was under the necessity of making farther anticipations of the revenue.

Measures were taken to advance three months pay in his notes; but, before they could be prepared, orders were issued for complying with a resolution of Congress for granting unlimited furloughs to the non-commissioned officers and privates who were engaged to serve during the war.

These orders produced a serious alarm.