Following the American Civil War, Kentucky University was hit by a major fire, and both it and Transylvania University were left in dire financial condition. In 1865, both institutions secured permission to merge. The new institution used Transylvania's campus in Lexington while perpetuating the Kentucky University name. The university was reorganized around several new colleges, including the Agricultural and Mechanical College (A&M) of Kentucky, publicly chartered as a department of Kentucky University as a land-grant institution under the Morrill Act. However, due to questions regarding having a federally funded land-grant college controlled by a religious body, the A&M college was spun off in 1878 as an independent, state-run institution. The A&M of Kentucky soon developed into one of the state's flagship public universities, the University of Kentucky. Kentucky University's College of the Bible, which traced its roots to Bacon College's Department of Hebrew Literature, received a separate charter in 1878. Kentucky University's seminary eventually became a separate institution, but remained housed on the same campus until 1950. It later changed its name to the Lexington Theological Seminary. In 1903, Hamilton College, a Lexington-based women's college founded in 1869, merged into Kentucky University.