The Princeton union. [volume] (Princeton, Minn.) 1876-1976, 1891-05-07
CHAPTER Sill. F. NO. 491.


Approved April 20, 1891.
CHAPTER Sill. F. NO. 491.
An Act to create a funding commission 10 re-
deem and refund the Minnesota state rail-
road adjustment bonds and to authorize the
transfer OF internal Improvement land con-
tracts and the issue of new bonds and au-
thO1izing a tax for the purpose Of redeem
ing such new bonds.
Whereas, Chapter one hundred and two
COZ of the General Laws OF the State OF
Minnesota for the year one thousand eight
hundred and eighty-one QSSI, as amended
by chapter one ~ of the General Laws OF
said state for the year one thousand eight
hundred and eighty one QSSl(, extra session,
provided for the adjustment of certain al
legged claims against the State of Minnesota,
and for the issue of the bonds Of said state
in payment OF such alleged claims, said
bonds to be known and styled Minnesota
state railroad adjustment bonds, to bear in
terest at the rate OF four and one-half (4l2)
per ceLt per annum. and to mature in thirty
600 years from July 1. one thousand eight
hundred aud eighty-one USS1), subject to the
right of the state to redeem them after ten
(lD) years from said July first QsD, one
thousand eight hundred and eighty one
USSU.
And Whereas, The state will have right
to redeem said bonds Oh the first day of July,
one thousand eight hundred and ninety-one
QS0n.
And Whereas, Chapter one hundred and
four 900 Of the General Laws of the State
Of Minnesota for the year one thousand eight
and eighty-one (lSSD. as amended by chapter
two (2) of the General Laws OF said state for
the year one thousand eight hundred and
eighty one (lSsD. extra session. provided for
the creation of a sinking fund from the sale
of internal Improvement land, and for the
application of the principal and interest de-
rived from said sales in the payment and
liquidation Of the said Minnesota state rail-
road adjustment bonds; therefore
Be it enacted by the Legislature Of the state
of Minnesota:
SECTION L. The governor, auditor and
treasurer of the State Of Minnesota are here
by constituted funding commission for the
purposes hereinafter specifically. set forth.
SEC. 2 The said commission shall imme-
diately afterthe first day of July, A. D. one
thousand eight hundred and ninety one
Qs9l), cause transfer to be made on the
records Of the state land commissioner of all
internal improvement land contracts to the
permanent school fund of the state. amount
ing in the aggregate to about one million
eight hundred thousand dollars, such trans
fers to be made by stamping opposite each
tract or lot SO transferred the following
words: Permanent School Fund. Such trans
fer shall have the effect to permanently set
apart such lot or tract and all moneys, prin.
cipal and interest that shall be paid in on
account of said tract or lot to the school fund
Of the state as completely and irrevocably as
are the school lands of the state, and there
after there shall apply to the lands so trans
ferred the same constitutional and legislative
restrictions and obligations as now apply to
the school lands of the state.
Sec 3. The said funding commission shall
also at the same time transfer and set over 10
the permanent school fund all bonds now
held in the internal impl ovement land fund
words: minnesota School Fund Bonds.
SEC. 4. The transfer Of the land contracts
and bonds as above provided shall have the
effect and operate as a cancellation of like
amount in value of the Minnesota state rail
road adjustment bonds now held by the per
manent school fund. And it shall be the
further duty uf the said funding commission
to destroy by burning the bonds so Cancelled
first making record of each bond so de-
stroyed, which record shall note the date Of
nation and number Of each bond, which
record shall be duly attested and officially
signed by each member of said funding
commission.
SEC. 5. The funding commission shall also
at any time after January first, one thousand
eight hundred and ninety-two OS92). and
from time to time thereafter, whenever there
shall be internal improvement land con
tracts to the amount of twenty-five thousand
dollars (S25,00O) on record in the Office of the
commissioner Of the state land office trans
fer said contracts TO the university fund by
stamping opposite each tract or lot so trans
ferred the following words: Permanent
University Fund, which transfer shall have
the effect of permanently transferring said
tracts OF lots to the permanent university
fund. together with all subsequent payments
of principal or interest which shall become
due and be paid on account Of such tracts or
lots. 1t shall be the duty of the said funding
commission to cancel and destroy, by burning
as provided by section four(D Of this act of an
equivalent amount i'll value of the Minnesota
state railroad adjustment bonds, now held by
the permanent university fund.
SEC. g.. After making the transfers above
provided for there will still remain outstand
ing OF the Minnesota state railroad adjust
one million six hundred thousand dollars
(S1,60O,G W. Authority therefore, is hereby
given to tile funding commission, if in Their
judgment the interests Of the state will be-
subserved thereby. to call in all OUTSTANDING
except the bonds now held BY the permanent
university fund, by giving the notice stipu-
lated and required by said adjustment bonds
and issuing in lieu thereof an equivalent
Minnesota State. Funding Bonds. which
shall mature and be payable on July first
ust), A. D. one thousand nine hundred and
twenty,one u92p. The principal and inter,
the interest to be payable sem-annualIy..
The state, however, expressly reserves tie
right to call in bonds to an amount not ex,
ceeding one hundred and fifty thousand
years from the date of issue Of said bonds se
| the bonds so called in to be designated Inv
lot and not in the numerical order of issue
| SEC. Z. The bonds so issued shall Lo
| signed by the governor and secretary Of state
| and conntersigned by the state auditor.
SEC. s. 1t shall be the duty of the state
auditor to levy q tax of one-tenth Q-IU Of q
mill on ali the taxable property Of the state
| commencing In the year one thousand eipht
| hundred and ninetytwo 1S02). and annl,nlJv
thereafter until all of the bonds so issued
shall have heen redeemed. Such tax shoII
be designated as the funding tax, which
| shall be used and applied for no purposp
whatever except for the payment of the prin.
cipal and interest Of said funding bonds
SEC. 0. In making the transfers of the in
ternal Improvement land contracts provided
for by this act, the funding commission NAV
draw from either the permanent school fund
or from the permanent university fund cash
sufficient to make fractional adjustments
SEC. TO-. The funding commission shall
provide the form of bond to be issued, and
there Is hereby appropriated from the rev.
enue fund of the state the sum Of five HIM.
dred dollars (S500). or so much thereof as
may be necessary, for the purpose of carrv w.
ing into effect the provisions Of this act.
SEQ. II. This act shall take effect and be in
force from and after It's passage.
Approved April 20. 1891.
CHAPTER 32--H. F. NO. 1908.
An Act relating to villages of over three thon-
sand inhabitants and providing for munici.
pal courts therein.