14 REPORT OF THE SECRETARY. 



struction care will be. exercised not to sacrifice utility to architectural 

 effect, but the fact will be kept in view that architecture is essentially 

 a useful art, and that the mind receives pleasure and improvement from 

 the contemplation of perfect adaptability no less than from imposing 

 exterior effect. 



The operations of the Institution during the past year, independent 

 of those counected with the Centennial, have been carried on with un- 

 abated energy. 



FINANCES. 



I am happy to inform the Regents that the finances of the Institution 

 are still iu a favorable condition and that from the First National Bank 

 lias been received the last instalment of the money which was on deposit 

 at the time of its suspension. The Institution has therefore lost nothing 

 on this account, except the interest of the money which might have ac- 

 crued from its investment. 



The following is a statement of the condition of the fund at the begin- 

 ning of the year 1877 : 



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 iu the Treasury of the United States, iu 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, 

 derived from savings of income and increase iu 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, there remains of the extra fund 

 from savings, &c, iu Virginia bonds and certificates, viz: 

 consolidated bonds, $58,700 ; deferred certificates, $-?9,- 

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



now valued at 42, 000 00 



Cash balance in United States Treasury at the beginning 



of the year 1877 for current expenses 21, 029 18 



Total Smithson funds January 11, 1877* $714, 029 18 



* The date at which the, settlement of the accouuts for 1876 was made. 



