Later Life in The Oregon Territory
After resigning from the Hudson's Bay Company in 1846, McLoughlin moved his family back south to Oregon City in the Willamette Valley. The Oregon Treaty had been ratified by that time, and the region, now known as the Oregon Territory, was part of the United States. The valley was the destination of choice for settlers streaming in over the Oregon Trail. At his Oregon City store he sold food and farming tools to settlers. In 1847, McLoughlin was given the Knighthood of St. Gregory, bestowed on him by Pope Gregory XVI. He became a U.S. citizen in 1849. McLoughlin's opponents succeeded in inserting a clause forfeiting his land claim in the Donation Land Claim Act of 1850 by Samuel R. Thurston. Although it was never enforced, it embittered the elderly McLoughlin. He served as mayor of Oregon City in 1851, winning 44 of 66 votes. He died of natural causes in 1857. His grave is now located beside his home overlooking downtown Oregon City.
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