President George Washington signs into law legislation passed by
Congress on 21 July 1789 creating the Department of Foreign
Affairs. Soon renamed the Department of State, it is the first
federal agency created by the government under the Constitution.
The United States Supreme Court rules in Munn v. Illinois that
state governments have the authority to regulate private
business. Grain warehouse owners had challenged the legitimacy
of an Illinois state law that regulated warehouse and elevators
rates. In response, the Court rules that state governments can
regulate private property "when such regulation becomes
necessary for the public good."13 The United States Congress
passes the Pendleton Act, , introducing an examination system
for selecting federal civil servants. Only 10% of all federal
appointees are initially made subject to this process of
selection by examination. The United States Supreme Court rules
in Muller v. Oregon that governments can regulate the workplace.
Muller challenged a 1903 Oregon la