Viewing page 79 of 488

This transcription has been completed. Contact us with corrections.

[[preprinted]]
SMITHSONIAN INSTITUTION 529 
[[/preprinted]]

[[preprinted left margin]]
MADE BY BAKER-VAWTER CO.
[[/preprinted left margin]]

I have had a conversation with Mr. Madden and find that he is strongly inclined to make an annual appropriation of the interest on the Smithsonian fund, which would carry with it all the limitations placed upon annual appropriations.

The Smithsonian gift was accepted as a trust by the United States by Act of Congress; then Congress created the Board of Regents by the Act of 1846, and provided (Revised Statutes, Section 5590):

"So much of the property of James Smithson as has been received in money, and paid into the Treasury of the United States, being the sum of five hundred and forty-one thousand three hundred and seventy-nine dollars and sixty-three cents, shall be lent to the United States Treasury, at six per centum per annum interest; and six per centum interest on the trust-fund and residuary legacy received into the United States Treasury, payable in half-yearly payments, on the first of January and July each year, is hereby appropriated for the perpetual maintenance and support of the Smithsonian Institution; and all expenditures and appropriations to be made, from time to time, to the purposes of the institution shall be exclusively from the accruing interest, and not from the principal of the fund. All the moneys and stocks which have been or may hereafter be, received into the Treasury of the United States, on account of the fund bequeathed by James Smithson, are hereby pledged to refund to the Treasury of the United States the sums hereby appropriated."

In 1867 it was further provided (Revised Statutes, Section 5591):

"The Secretary of the Treasury is authorized and directed to receive into the Treasury, on the same terms as the original bequest of James Smithson, such sums as the regents may, from time to time, see fit to deposit, not exceeding, with the original bequest, the sum of one million dollars. '[[underline]]Provided[[/underline]], That this shall not operate as a limitation of the power of the Smithsonian Institution to receive money or other property by gift, bequest, or devise, and to hold and dispose of the same in promotion of the purposes thereof."

The Regents were authorized to expend the income and to dispose of unappropriated money, the latter in Section 5592:

"The regents are authorized to make such disposal of any other moneys which have accrued, or shall hereafter accrue, as interest upon the Smithsonian fund, not herein appropriated, or not required for the purposes herein provided, as they shall deem best suited for the promotion of the purposes of the testator." 
[[initialed]]CDW[[/initialed]]