Article IV, Section 3, Clause 2 of the Constitution states Congress ''shall have Power to dispose of and make all needful Rules and Regulations respecting the Territory or other Property belonging to the United States.'' This 27-word sentence gave Congress authority over the Northwest Territory in 1787 and still governs Puerto Rico, Guam, and three other inhabited territories in 2024. The clause lets Congress decide everything: whether territories become states, what laws apply, who votes, and how residents are taxed. Between 1789 and 1959, Congress admitted 37 territories as states, but left others in permanent limbo. The Supreme Court''s Insular Cases (1901-1922) split territories into ''incorporated'' (destined for statehood, full Constitution applies) and ''unincorporated'' (Congress decides which rights to extend). That distinction still governs 3.5 million territorial residents who lack voting representation. Congress used the Territory Clause to ban slavery in the Northwest Territory (1787), let settlers vote on slavery in Kansas (1854), and impose English-only education in Puerto Rico (1902). The clause makes Congress the ultimate authority over land and people it controls but does not represent.