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of advanced learning. A provision in the Constitution required that no lands should be sold prior to 1820. In this year the State Seminary was incorporated," and located at Bloomington, in Monroe County. This was the organic beginning of the present Indiana University, The seminary was endowed with the new township, and also with the Gibson County lands, hitherto referred to as granted to Vincennes University, with the exception of four thousand acres already sold.


The first plan was to derive an income for the new institution by lease of the lands,” but afterwards it was determined to sell the re. mainder of these lands, the minimum price being fixed at five dollars per acre.” t - “This is the earliest instance,” says Knight, “in the North-West Ter.

ritory where the system of leasing university lands was formally aban-"

doned in favor of the method since adopted by the five States.”* But \t seems that the Legislature returned to the old plan and leased the Monroe County lands at public auction by an act of 1825, the minimum rental being fixed at sixty-two and one-half cents per acre.” All the rents and accumulations of the fund of the Gibson County lands were appropriated at this time by the Legislature. Two years later it was enacted that all the unsold lands should be divided into three classes, and the minimum prices be graded at three

dollars and a half, two and a quarter, and one and a quarter, respect.

ively." These lands, with the exception of three sections near the university, were to be sold at public auction within a year, and the proceeds placed in the State treasury, while the interest was placed under the control of the trustees. The fund was loaned in small amounts to private parties on not more than five years' time, at six per cent. per annum, instead, as had been the custom previously, of loaning to the State.” In 1828 the three sections near Bloomington, previously reserved, were placed under the control of the trustees. Subsequently (1830) one section was sold,” at a minimum price of five dollars per acre, and finally the remaining two, to purchase apparatus for the college. The lands not sold at auction might be purchased privately at the minimum prices established in 1827. The minimum prices of the three grades of land above referred to were placed in 1830 at two dollars and a half, one and a half,

1 Laws of Indiana, 1820, chap. 48, p. 32.

*Ibid., p. 160.

*Ibid., 1822, p. 111. “Land Grants for Education in the North-West Territory. * Laws of Indiana, 1825, p. 97; see Knight, 126. *See Knight, 127. 7 Laws of Indiana, 1828, p. 127.

*Ibid., 1830, p. 166.


and seventy-five cents per acre, respectively." At these low prices a greater proportion of the lands were soon sold, but the remainder was taken up slowly.

By 1843 forty-two thousand acres had been sold, which yielded an income of about five thousand dollars to the university, the fund itself amounting in 1846 to $59,770, exclusive of balances still due from purchasers.” -

After the case in litigation between the Vincennes University and the Indiana University was finally decided in the former's favor, the United States granted to the Indiana University an amount of land equivalent to the amount for which the Vincennes University had obtained judgment; and again, in 1852, the Federal Government granted 4,136 acres in lieu of the four thousand acres sold by the Vincennes University.” Thus more than a township of new lands accrued to the Indiana University, which were appraised in 1859 and sold at auction, From sixty thousand acres thus sold $139,036.74 were realized, and composed the fund in 1882.* This was at an average of about two dollars and thirty cents per acre. At that date there were 8,526 acres still unsold.


To place the seminary under more immediate control of the Legis. lature, a board of visitors was instituted and required to report annually to the General Assembly.”

In the following year (1828) the seminary" was changed into the Indiana College, which was placed under the control of fifteen trustees." The college was established “for the education of youth in the Ameri. can, learned, and foreign languages, the useful arts, science, and literature.” It was enacted that no sectarian principles were to be inculcated, and that instructors and students were not to be denied any rights and privileges on account of religious opinions. Immediately following this change, the vigorous and popular administration of Dr. Andrew Wylie took place. The old-time classical college curriculum was followed, which afterwards gave place to the “one study” system.”


Again, in 1838, the Indiana College was enlarged, and became Indiana University,” which latter name it has retained to the present time.

* Laws of Indiana, 1830, p. 167. * Auditor's Report, 1845; quoted by Knight, 127. * Knight, 130; cites U. S. Statutes, X, 267. * Auditor's Report, 1882. * Woodburn, MS.; Laws of Indiana, 1827, chap. 101, p. 99. 6 Smart, 138. 7 Laws of Indiana, 1828, chap. 82, p. 115,

8 Woodburn, MS.

9 Smart, 138,

The powers, rights, and property of the trustees of Indiana College were vested in the trustees of Indiana University. The sciences of law and medicine were added to the course of study, and the university was placed under the control of twenty-one trustees. The law school was organized in 1840 and continued until 1877, when it was abolished ; a school of medicine was never established. The board of trustees was reduced to nine members in 1841.2

By laws passed in 1852 and 1855, respectively, the Governor of the State, the Lieutenant-Governor, Judges of the Supreme Court, Speaker of the House, and Superintendent of Public Instruction were made ex officio members of the board of trustees, consisting regularly of eight members.

From the time of the organization of the seminary through its changes into Indiana College and finally to Indiana University, even to the year 1867, the institution had been subject to State control, but had received no aid from the State treasury. It is true that a law was enacted by the Legislature in 1828 for the purpose of raising revenue by local taxation for the Gibson County Seminary. By this act fifty per cent. was levied on the State and county revenue on all persons and property within the town of Princeton; twenty-five per cent. on all persons and property not within said town, but within a distance of two miles;93 twelve and one-half per cent. within a distance of two to four miles; and eight per cent. on persons and property within the county and not including the foregoing lists. It was a State institution in creation and control, but still a Federal institution in its support.

But a new era dawned upon the university at this time. By an act 4 of March 8, 1867, the Legislature, in order to supplement the meagre endowment of the university, made an annual appropriation of eight thousand dollars. Soon afterward eight thousand dollars additional was voted to meet the indebtedness of the institution.

In 1873 the annual endowment5 was increased by the sum of fifteen thousand dollars, making the permanent annual endowment twenty* three thousand dollars.

The most notable advance in the legal history of the university, and the one which will do more than any other to result in the fulfilment of the ideas of the founders of the institution, is found in the "Act to provide a fund for the permanent endowment of the Indiana University," approved March 8, 1883. By this act, the passage of which was secured largely by the efforts of the alumni, it was provided that there shall be assessed and collected, as State revenues are assessed and col. lected, in the year 1883 and in each of the succeeding twelve years, the sum of one-half of one per cent. on each hundred dollars of taxable property in the State, which money when collected and paid into the

1 Laws of Indiana, 1838, chap. 1021,

p. 294.

3 Laws of Indiana, 1828, chap. 83, p. 120.
4 Ibid., 1867, chap. vi, p. 20.
5 Ibid., 1873, chap. v, p. 17.

2 Woodburn, MS.

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State treasury in each of the years named in this act shall be placed to the credit of a fund known as the Permanent Endowment Fund of the Indiana University. It is estimated that this tax will give a fund in twelve years of more than seven hundred thousand dollars.

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Besides those already mentioned the Legislature of Indiana has made special appropriations to the university at Bloomington as follows: In 1873, for building purposes, ten thousand dollars; in 1873, for contingent expenses, twelve thousand dollars; in 1874, for building purposes, ten thousand dollars; in 1874, for contingent expenses, twelve thousand dollars. In 1885 the sum of thirty thousand dollars was granted for the purpose of erecting buildings destroyed by fire. For the latter purpose two colleges were erected by Monroe County.


This institution was first organized under the name of the Indiana Agricultural College, located at La Fayette, in accordance with the stipulations of the Congressional grant of 1862. Indiana's share of the grant was 390,000 acres in land scrip, which yielded a fund from sales of $212,238.50; this had increased to the sum of $265,000 in 1876, according to Mr. Smart,4 and amounted in 1885 to $340,000, yielding an annual income of $17,000.5

Hon. John Purdue, a citizen of La Fayette, gave as an endowment to the college one hundred and fifty thousand dollars, and its name was subsequently changed to Purdue University. On condition that it should be located in Tippecanoe County said county gave to the University the sum of fifty thousand dollars. To carry out its part of the contract the State, by the General Assembly, devoted eighty thousand dollars for buildings and grounds.

The total value of the funds, productive and unproductive, amounted to $650,000 in 1883.7

The State has made the following special appropriations for its support: 1873.-Improvements..

8$60,000 1875,-For two years

20,000 1877.-For two years

19,500 1879.-For two years

9,000 1881.-For two years

40,000 1885.-For four years..

988,000 1885.- For improvements..

12,500 Total

10$249, 000


Quoted in Woodburn's History of Higher

Education in Indiana. 2 Laws of Indiana, 1873, pp. 8, 9. 3 Ibid., 1885, chap. 32, p. 65. *Schools of Indiana, 155.

6 State Report, 1882–83
7 Ibid.
8 Laws of Indiana, 1873,chap. IV, p. 16.
9 Ibid., 1885, chap. X, p. 10.
10 Letter from President J. H. Smart,

January 18, 1889.

6 Ibid.


The seminaries of Indiana would fall, according to modern classification, within the grade of secondary schools ; but as a support and beginning of higher education in early times they deserve a passing notice. Elsewhere in this paper the constitutional provisions relative to the public school system have been cited as authorizing “seminaries” of learning in the several counties. This was followed by a law, approved in 1824, authorizing the establishment of seminaries in each county in the State. In the following year county seminaries and district schools began to be built by means of public revenue, supplemented by contributions of materials and labor levied as a tax on individuals. 1

The fre. quent incorporation of seminaries seemed to indicate that the system would be a success.

By an act of the Legislature passed in 1827 seminaries were incor. porated in Wayne, Franklin, Henry, Rush, Randolph, Allen, Vigo, Daviess, Madison, Hamilton, and Sullivan Counties. By subsequent acts of the same year a seminary was incorporated in each of the following counties,3 viz: Washington, Harrison, Knox, Fayette, and Clark.

Yet the system did not succeed, although by 1837 the General Assembly had incorporated twenty-six by special legislation, and many more under a general law.

However, in 1852, after the reorganization of the school system under its present form, the Legislature ordered the sale of all the property, real and personal, constituting the county seminaries, and the placing of the net proceeds to the credit of the common school fund.4


Although the system of public schools was not established until 1852, the permanent fund of the same has grown to enormous proportions, and has been derived principally from the following sources:

(1) The sale of the township sixteenth sections granted for common schools, as in other States.

(2) In 1834 a fund of eighty thousand dollars was derived from a tax of twelve and one-half per cent. on each share of bank stock.

(3) The Legislature provided by the same act that the State bank should be established, and authorized a loan of $1,300,000; eight hundred thousand dollars of this was to pay for the stock in the bank, and five hundred thousand dollars to be loaned to individuals. A sinking

1 State Report, 1884, 11; one of the early school taxes in Indiana was levied in the form of days' work; every citizen in the district was obliged to furnish so many days work or its equivalent in materials.

2 Statutes of Indiana, 1827, chap. 94, pp. 87–99.
3 Laws of 1827, chaps. 95, 96, 97, 98, 99.
"Smart, 40.

o Ibid.,


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