On August 4, 1790, Congress authorized Secretary of the Treasury Alexander Hamilton's proposal to construct ten cutters for the protection of the nation's revenue. This marked the establishment of the United States Revenue Cutter Service, also known as the Revenue-Marine, created to serve as an armed customs enforcement agency. Over time, it took on additional missions, including military duties. On July 31, 1894, it was officially renamed the Revenue Cutter Service. Operating under the U.S. Department of the Treasury, it merged with the United States Life-Saving Service on January 28, 1915, giving rise to the United States Coast Guard.
In the aftermath of the American Revolutionary War, with the federal government facing financial challenges, Congress aimed to generate revenue primarily through tariffs on imports. Responding to Alexander Hamilton's urging, the Revenue-Marine was established to enforce tariff laws and combat smuggling. The legislation specified the construction of ten vessels, forming the "System of Cutters," with each assigned to specific coastal areas. President George Washington commissioned the first seven masters on March 21, 1791. Construction of each cutter took place in its designated location under the supervision of its master. The crew's complement and pay scales were established, with a master earning $30 per month and other crew members receiving varying amounts.