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The funds are administered by the Assistant Secretary for Museum Programs, working in close consultation with the Assistant Secretaries for Science and History and Art to assure that from year-to-year the most urgent projects are selected for funding through this appropriation.

[[underline]]Collections Acquisition, Scholarly Studies, and Education Program[[/underline]].  In FY 1978, the Regents established a special trust account to be used for strengthening the Smithsonian's collections through purchase of major works of art and objects of scientific and historical value, and to allow for the funding of special projects important to the research and educational functions of the Institution.  A total of $8,000,000 (including a special reserve set aside for purchase of the Gilbert Stuart portraits of George and Martha Washington) in unrestricted trust funds had been approved by the Regents for allocation to bureaus through FY 1980: $1,500,000 for scholarly projects, $1,500,000 for educational activities, and $5,000,000 for collections acquisitions.

These funds, along with about $200,000 that had been earmarked in earlier years for similar purposes, have made possible a variety of important activities.  For example, in addition to the Gilbert Stuart portraits, which will be shared every three years with the Boston Museum of Fine Arts and which are the two most important historical paintings ever to be acquired by the Portrait Gallery, a major collection was obtained of 26 contemporary American paintings (16 of which were donated) for the Collection of Fine Arts.  Another important acquisition in FY 1980 consisted of twelve scrolls of Chinese calligraphy, all of the finest quality and several of them unique works by the greatest masters in Chinese calligraphic history, for the Freer Gallery of Art.

These funds have also supported major scientific studies and educational efforts, scientific workshops and conferences, student intern programs, Native American training programs, presentations and performances for the handicapped and elderly, programs for the handicapped, an international symposium on children in museums, and weekend films and lectures for the general public.

The Institution plans to allocate about $2,000,000 to $2,500,000 a year to this special trust-supported program.

[[underline]]Future Year Prospectus[[/underline]]

Trust support for Special Programs is contingent in futures years on economic conditions, institutional priorities, and the abilities of the various auxiliary and revenue-producing activities to sustain their popularity and financial performance.  As stated, some slight increase in funding is expected for the [[underline]]Collections Acquisition, Scholarly Studies, and Education Program[[/underline]] to allow for gradual growth in activities.

The [[underline]]Office of American and Folklife Studies[[/underline]] will continue to present its annual Festival of American Folklife, which is being rescheduled to the July 4 weekend period rather than the Columbus Day holiday period in the fall.  Additional program emphases during the planning period include research and publication