Washington D.C named capital of U.S

The story of how it happened is actually a bit more complicated than is generally recognized. And the popular story about the "dinner deal" -- if it really happened -- still leaves quite a bit out.

"Options"

The main "competitors" with the Potomac location were the one on the Susquehanna (approved in 1790) and the site on the Delaware (near Trenton) approved in 1783-4. I believe there was also a group that advocated a capital in the Baltimore area. (Some may have hoped New York City or Philadelphia would be the final choice, but we are not sure these specific locations ever had widespread support.)

How they chose the Potomac.:

Of course, the first national capital --the meeting place at the time of the Declaration of Independence-- was Philadelphia. But it was NOT one of the locations seriously considered for a permanent capital in the 1780s and early 1790s when the matter was debated.

The Continental Congress was much divided over the issue of the location of a PERMANENT capital --the chief division being between the northern and southern states.

In 1783 they Congress thought the solution was to establish TWO capitals, a Northern one, on the Delaware River near Trenton (not far from Philadelphia but NOT in it), and a Southern one on the Potomac (exact location undetermined). But this was obviously too cumbersome, and the following year Congress decided on just the one Trenton-area capital, and to meet in New York City until building was completed. But Southern opponents never supported the funding, so New York remained de facto capital for several years.

When the Constitution was drafted, it assigned the choice of a permanent location to Congress (Article 1, sec. 8), which first took the matter up at its first session (1789).

(It may be that New Yorkers were encouraged to think New York might end up as the final capital -- in order to help gain the needed support of this state in ratifying the Constitution -- but it was much too far north to ever be accepted by the Southern representatives.)

The First Congress (under the Constitution) actually made two DIFFERENT decisions about this question

-- in 1789 a location on the Susquehanna River in Pennsylvania was decided on. But the matter was not finally settled before Congress adjourned

-- in May 1790, the matter was taken up again, from scratch (not where they left up). This time the Southern plan won the day. The decision to build on the Potomac, was established by the Residence Act passed July 16.

The story is often told of how the change took place, supposedly as a result of a compromise made at a dinner party involving Madison (proponent of the Southern view and an important leader of the Jeffersonians [later the 'Republican Party'] in the House) and Alexander Hamilton, a Northerner (of New York), Federalist and Washington's Secretary of the Treasury. Supposedly, Hamilton offered Northern support for the Potomac capital in exchange for help (or at least not BLOCKING) his financing plans in Congress (esp. the federal assumption of the war debts of all the states, along with the First National Bank).

In fact, it is not certain the decision took place quite that way..though it makes a nice story!

A key factor that should not be overlooked was George Washington's OWN preferences. HIS personal popularity in both sections added great weight to his desire that the capital be located on the Potomac, near his home at Mount Vernon. In fact, the Residence Act left it to the President to chose the specific location.

Note also that the Residence Act provided for Philadelphia as the temporary capital for the next 10 years, while arrangements were made for building the District of Columbia (named "Washington" in 1791, though its namesake avoided using that name). It is claimed that this piece helped secure passage, in part because some Northerners (esp. from Pennsylvania) believed the Potomac plan would ultimately fail and Pennsylvania would end up hosting the capital permanently.