REPORT OF THE SECRETARY. 9 



has fully signified its appreciation of the plan adopted, by relieving the 

 Institution from the support of a library and the irrational Museum. 



Congress having made an appropriation of $20,000 for the support of 

 the National Museum, almost the entire income of the Smithson bequest 

 has been left free to carry on what is now considered the legitimate 

 operations of the Institution. It was thought, however, desirable to re- 

 tain a part of the income in order to make up the loss of last year, oc- 

 casioned by the failure of the First National Bank of Washington. The 

 whole amount of deposit in this bank at the time mentioned was 

 $8,224.87. On this the Institution has received 50 per cent., in two pay- 

 ments, leaving a balance of $4,112.43. Toward making up this loss, the 

 expenditure during the year has been less than the receipts by $3,683.31. 

 The funds of the Institution are therefore in a favorable condition, as 

 may be seen by the exhibit hereafter to be presented. 



FINANCES. 



The following is a statement of the condition of the funds at Hie beginning 



of the year 1875 : 



The amount originally received as the bequest of James 

 Smithson, of England, deposited in the Treasury of the 

 United States in accordance with the act of Congress of 

 August 10, 1846 $515,169 00 



The residuary legacy of Smithson, received in 1865, depos- 

 ited in the Treasury of the United States, in accordance 

 with the act of Congress of February 8, 1867 26, 210 63 



Total bequest of Smithson 541, 379 63 



Amount deposited in the Treasury of the United States, 

 as authorized by act of Congress of February 8, 1867, de- 

 rived from savings of income and increase in value of 



investments 108, 620 37 



Amount received as the bequest of James Hamilton, of 



Carlisle, Pa., February 24, 1874 1, 000 00 



Total permanent Smithson fund in the Treasury of 

 the United States, bearing interest at 6 per cent., 



payable semi-annually in gold 651, 000 00 



In addition to the above tliere remains of the extra fund 

 from savings, &c., in Virginia bonds and ccrtiflcates, 

 viz : consolidated bonds, $58,700 ; deferred certificates, 

 $29,375.07; fractional certificate, $50.13; total $88,125.20, 



now valued at 35, 000 00 



Cash balance in United States Treasury at the beginning 



of the year 1875 for current expenses 15, 909 99 



Amount due from First National Bank, Washington, 

 $4,112.43, (present value unknown.) 



Total Smithson funds January, 1875 $701, 909 99 



