No law, varying the compensation for the services of the Senators and Representatives, shall take effect, until an election of representatives shall have intervened.

In 1789, Madison proposed twelve amendments to the federal Constitution, the first ten of which were ratified in 1791 and became the federal Bill of Rights. One of the proposed amendments, which was not ratified at that time, was an amendment that became the Twenty-Seventh Amendment and which forbade congressional pay increases from taking effect until there had been an intervening election of members of Congress. Madison did not want Congress to have power over its own pay without limitation. But he also did not want the President to control congressional salaries, since that would give the President too much power over Congress. So instead, he proposed that an election had to happen before any pay raise could take effect. If the public opposed an overly generous congressional pay raise, the public could throw the offending congressmen out of office when they ran for re-election.

The congressional pay amendment was only ratified by 6 states initially. But the First Congress, which had passed the Amendment in 1789, had not attached a time limit within which the Amendment had to be ratified by the states. (Some subsequent constitutional amendments have provided for such time limits.) In the nineteenth century, one state joined this small group, and others in the twentieth, but no one thought it was going anywhere—or thought about it much at all.

Watson also did not know until 1997, well after the amendment's adoption, that Kentucky had ratified the amendment in 1792. Neither did Kentucky lawmakers themselves – in Watson's desire for a 50-state sweep, the Kentucky General Assembly post-ratified the amendment in 1996 (Senate Joint Resolution No. 50), at Watson's request, likewise unaware that the task had already been attended to 204 years earlier.

The fact of the Amendment’s passage through Congress in 1789 and of its non-ratification by the states came to public attention in the 1980s when there was tremendous popular disapproval of the performance of the Congress and the exorbitant salaries and fringe benefits members of Congress enjoyed.

During the Philadelphia Constitutional Convention, congressional pay was a central topic, one that took up several days of discussion. Benjamin Franklin’s initial speech to the Convention was on the topic of public salaries: he was against them. Public servants should not get paid at all, Franklin argued, or we would get representatives with “bold and the violent” personalities, engaged in “selfish pursuits.” Franklin’s extreme argument did not prevail because the Framers wisely did not want only the wealthy to be able to afford to hold federal offices. This is a very good thing. [Uhh, how's that working out for us now?]

Nonetheless, Franklin’s comments caused the Framers at the Philadelphia Convention to focus on the problem of making sure that people did not go into public office to make a lot of money.