of these suits was argued during the summer, while the last two were argued during the present month, before the Supreme Court. How soon a decision may be expected I cannot say. Should that decision be favorable, the Institute could meet the immediate demands for space by the erection of additional buildings on the vacant portions of the land in question; but, if the suits should be decided against us, the value of the State's gift would be very materially diminished and the problem of furnishing the additional buildings needed for our work would be an entirely different one, and one which would require the earnest consideration of the members of this body.

HARVARD-TECHNOLOGY CONFERENCES.

On May 4, 1904, a Resolution was passed by this body, to the following effect: "That the Executive Committee be requested to ascertain whether any arrangement can be made with Harvard University, for a combination of effort in technical education, such as will substantially preserve the organization, control, traditions and the name of the Massachusetts Institute of Technology." Acting under these instructions, the Executive Committee appointed a conference committee of two to confer with a similar committee from the Harvard Corporation. Repeated conferences have been had by these two committees, and I am able to report that they have practically agreed upon recommendations which it is hoped may be submitted at an early date to the Corporations of both institutions. The discussions and deliberations of these committees have been conducted upon a plane in which there was preserved not only loyalty to the institutions themselves, but a real desire to serve the higher interests of education and of the State. Neither side has sought to lessen the dignity or the freedom of the other. Any discussion of this matter must necessarily wait until the final report can be presented. I shall hope to give in my next Report a complete

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statement of the entire matter.

For the present I can only express the hope that, notwithstanding the fact that this proposal has aroused sharp differences of opinion among friends and alumni of the Institute, when the definite proposition has been made known, and when a full and free discussion has been had, we may find ourselves coming, whether we decide in one way or the other, to a fairly accordant result. Whatever else may happen from the discussion of this question, it is most essential that no harm shall come to the Institute itself, and that those who work for it and believe in it, whatsoever their opinion regarding this matter, may in the end unite for the common development and progress of the school.

THE GENERAL PROBLEM of THE INSTITUTE.

The sketch which I have here given of certain questions of policy or of education which are pending, while incomplete, is, nevertheless, sufficient to show that the Institute has before it large and important questions to solve. These questions are, in the first place, educational. Nothing else is of so much importance to any institution as to maintain a scholarly spirit and an atmosphere which while full of enthusiasm shall be free of dogmatism; a spirit of work which shall be strong but wise; and a co-operation between all parts of the institution which may help to the intellectual and moral upbuilding of the student body. Those things which have to do with the freshening of the methods of instruction, with the improvement of the Courses, with the introduction of higher ideals of work and of study, are first in importance and fall in the main to the Faculty; but closely connected with them are all the secondary problems which have to do with the means and the material facilities for carrying out the work of the Institute. So soon as the suits now pending against the Institute are decided, it seems to me clear that we should settle upon a general policy as to the Institute's location for

the next ten or twenty years, that we may then bend our energies without distraction to the improvement of its work and of its facilities, to the end that it shall be made, to the very best of our ability and means, a place which shall be stimulating and helpful to the students who resort to it. This general question of policy as to where the Institute's work shall be done for the next twenty years is one which should be settled as promptly as the conditions will allow.

TREASURER'S REPORT.

In the course of my statement I have said comparatively little as to the details of the financial conduct of the Institute, first, because I conceive it to be my work to deal in the main with the educational problems and needs of the Institute, and to convey to the Corporation as well as I may the expression of the purpose and aims of the Faculty; and, secondly, for the reason that the financial status of the Institute is admirably presented in the report of our Treasurer, which contains a complete exhibit of the operations of the past year. Like most educational institutions in the East, we present a deficit at the end of our year's operations. Except the State universities, which are by law restricted to the expenditure of fixed sums, most institutions which are growing in numbers and in work show such deficits for the past year. I invite your attention to the items which make up this exhibit and to the statement of the Treasurer in connection therewith.

DECEMBER 10, 1904.

HENRY S. PRITCHETT.

Reports of Departments.

REPORT OF THE SECRETARY OF THE FACULTY.

The recent reorganization of the administrative work of the Institute has made it the duty of the Secretary of the Faculty "to co-operate with the President in the general conduct of Faculty business and administrative work, and to have general oversight of the work of the Registrar and the Recorder." This report is accordingly occupied mainly with a review of such Faculty business of the year as may be of general interest. Some of the larger matters represent the work of special or standing committees of the Faculty.

Changes in the curriculum connect themselves mainly with the discontinuance of the former Course IX., General Studies, and the effect on all Courses of the advance in entrance requirements in modern languages. In February the Faculty was advised of action by the Executive Committee of the Corporation terminating Course IX., after its completion by students then in the Institute, and requesting the Faculty to take the necessary steps for the substitution of an elective Course in general science, the first year of this Course to be in the main that required of other students, the last three years to be given to studies under a free election. These steps have since been taken, but no students are yet registered in the Course.

The advance in entrance requirements in French and German, taking effect in 1903, leads to the completion of modern languages by students of the classes of 1907 and later years at the end of the second year instead of at the end of the third year as heretofore. In the case of Course III., however, it has been deemed necessary to postpone the German from

the second year to the third. In recognition of the fact that modern languages in the Institute curriculum have value as general studies apart from their utilitarian purposes, the Faculty determined that, for the two hundred and seventy hours formerly assigned to exercises and preparation in the third year of French and German, one hundred and twenty hours should be allotted to general studies, with options in various lines, including the history of science. Adjustment of the numerous diverse interests and preferences involved has been a matter of some difficulty, but a definite plan will be presented to the Faculty at an early date for announcement in the forthcoming Programme. It is anticipated that this re-enforcement of the general studies with opportunity for free choice on the part of the students will result in much advantage. The use of the time released for professional subjects has not yet been determined, but will depend mainly on the initiative of the heads of the professional departments. The Course Schemes of the present Catalogue thus represent to some extent a transition stage for students some of whom have entered under the present, others under the former language requirements.

A further recent change in entrance requirements, the addition of physics, has led to the holding of examinations in that subject last summer for a limited number of preliminary candidates and to the substitution of biology for physics in the list of elective subjects in which teachers' certificates are accepted without examinations. It is anticipated that the entrance requirement in physics will tend to relieve the difficulty which has resulted from the corresponding increase in subject-matter appropriated for presentation in the secondyear course. These recent changes of entrance requirements have made the test of a candidate's fitness for the Institute work more complete, without creating a gap between the better high schools and our first year. It may be noted, however, in passing that there are evidences of an unfortunate tendency in some quarters to restrict Institute candi