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The United States received over one million square miles of Mexico following the Mexican War in 1848. Gold was discovered in Coloma, California that year, and the Gold Rush was on. California quickly has the population and state constitution ready for admission as a state to the union.

However, Congress is divided evenly between free states and slave states. The Senate is evenly divided, fifteen states each. A crisis opens over whether California will be free or slave.

Henry Clay proposes that California be admitted as a free state, while proposing Congress not interfere with the other territories received from Mexico. Clay also proposes to end the sale of slaves in the capital, while maintaining slavery there. He recommends a strengthened fugitive slave law.

However, his attempt to find a middle ground is rejected. John C. Calhoun of South Carolina rejects any limitations on slavery. Meanwhile, northerners are electing Free Soil candidates to congress.

President Zachary Taylor dies in 1850. He is replaced by Millard Fillmore.

Stephen Douglas of Illinois advises Congress to vote on small bills instead of being deadlocked on a large bill. Douglas is an advocate of "popular sovereignty," the idea that the new states, not Congress, determine whether that state will be admitted as a free or slave states.

In September, 1850, Congress passes several bills that will come to be collectively known as the Compromise of 1850.

The compromise admits California as a free state.
The territories of Utah and New Mexico will follow "popular sovereignty."
Slaves will no longer be allowed to be sold in the capital Washington.
The fugitive slave law will be strengthened.

The restrengthened fugitive slave law allows marshals to enter northern towns to find runaway slaves. Northerners are angered by the fugitive slave law. The northsouth sectional crisis is not solved. Both sides become more entrenched.