Year: 1865

lowing conditions: First-That all mon


evs derived from the sale of lands or


scrip shall be invested in stocks of the


United States. or of the States, or some


other safe stocks yielding not less tnan
five per centum per annum, on the par


value


..Second-That monies so invested


shall constitute q perpetual fund, the
capital of which shall never be diminish


ed, except as hereafter stated.


sThird-The interest on the stocks to


be inviolably appropriated by the State,


TO the endowment and support of at least
one College in which the leaiing object in
itshall be without excluding scientific and


classical studies, and including Mlntary


Tactics, TO teach such branches of learn
ing as are related to Agriculture and the
/ Mechanic arts.


.Fourth-If any portion of the fund
thus invested shall by any contingency


be lost, it shall be fully restored by the
State


''Fifth-That portion of the said fund


shall be applied TO the purchase repair,
or erection of any huiiding, but that
sum not exceeding ten per cent of the
| original amount may be expended for
the purchase of sites or experimental


farms.


"Sixth-No State shall be entitled to
the donation. unless the Legislature shall
express its acceptance thereof, within
two years from the date of the approval
of the Act by the President.


Il recommend that the Legislature
promptly express its acceptance of the
grant, pledging the faith of the State for
/ the perfo rmancc of the conditions upon
which it is made.


The necessity for scientific instruc-
ton in agriculture, is generally acknowl-
edged, and Congress intended by this
magnificent donation to provide means
for the permanent establishment of at
least one efficient Agricultural College
! in each State.


The question presents itself as to the
| disposition which shall be made of the
grant Shall it be given to the State
Univ or apportioned among all the
| Colleges in the State, upon such terms
and conditions as the Legislature may
| prescribe or shall q new Institution be
created expressly designed to carry out
the will of Congress- 1t may be diff
cult now to determine the question from
| the fact that We cannot know how much
NAV be realized from the sale of scrip pit.
If an amount should be realized large
enough to endow respectable and success
full ProfessorShips in each of the Colleges
now in the State; attaching to them
experimental farms, it would perhaps be
the best disposition that could be
made. But it should not be large enough
for such division, which l apprehend will
be the case, then L recommend that 1t be
applied to the establishment of an Insti-
tuition for Agricultural and Military in
struction, to which the children Of sol
diers who shall die in the service during
this war. shall be admitted free of charge.
AT the last decision of Congress, the
time was extended within which the
States might accept the grant, and it is
important that you take action upon it
before the final adjournment


NATIONAL DIRECT TAX.
By the 9th section of an Act Of Con
gress approved August 9th, 1861, direct
annual tax of twenty millions of dollars
was levied upon the United States and
apportioned among the several States.


The apportioneme ent devolved the pay
ment of 5904,S15 33 on the State of
Indiana


BY the SD section of the Act it was
provided that any State might assume,
assess and collect its portion Of the tax
and pay the same into the Treasury, and
if thus paid on or before the last day OF
June of the year for which it was levied,
should entitie such States to deduction
of fifteen per cent. of the gross amount
to be paid by such State. The section
further provides that notice of the inten-
,ion of the State TO assume and pay her
portion of the tax, without the interven-
ton of the Federal officers. must be Civ
en- to the Secretary of the Treasury by
the Governor, or other proper officer, on
/ or before the second Tuesday of Februa-
ry of each year in which the taxes were
| to be paid. The section also contains this
proyiso: That the amount OF direct tax
apportioned to any State shall be liable
TO be paid or satisfied in whole or in
part by the release of such State, duly
executed to the United States, of any
/ liquiiated and determined claim of any
such State, of equal amount against the
/ United States Provided, that in case of
/ such release. such State shall be allowed
| the same abatement OF the amount of
such tax as would be allowed in case of
/ the payment of the same in money.
| From the very beginning OF the war,
| the State was compelled t5aivance large
sums of money to equip and supply our
volunteers, and, in fact, furnishaf sup
! plies of every kind until the Fall fof ls6l,
and it was shortly after the pfssage of
/ that act, that our advances, over and
above all reim bursemenfs, would soon be
/ sufficient in amount TO set of the amount
1 Of tax apportioned against the State.
Accordingly 1 opened a ccrresnouaeace
/ with the Secretary of the Treasury on
the subject, and ascertained from him
/ that the advances made.byShesy Sete on
behalf OF our troops &ouldbe regarded
az claim within the spirit and
meaning OF the Act ani wbald be ad
mitted in paymAnt ofthe tax to al
amount which should be found due on
settlement. After consultation with the
! Auditor, Treasurer and Secretary OF
/ State, and in conjunction with thap, or
/ the-dsy Of December. 1861, I filed
/ in the Office Of the Secretary OF the
| Treasury at W ashiugton, paper Official
| ly signed, of which a copy is herewith
transmitted, in which We assumed that
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