Bismarck weekly tribune. [volume] (Bismarck, Dakota [N.D.]) 1884-1943, 1893-02-17

Ueland was not read when it was pre-
tod

Ueland was not read when it was pre-.
The clerk had read about one-half of the
communication when Mr.. H0rgan moved
that further reading Of the communication
be indefinitely postponed.
MIR. UELAND moved that the commun-
cation be printed in the journal and be
considered in connection with the report
OF the investigating committee.
Mr.. OLIVER moved to lay the motion on
the table which motion was adopted, ayes
30 and nayes ~.
Mr.. ,STROM explained his vote. He be-
lieved in treating the attorney general
| fairly and he voted no.
Mr.. WALSH explained his vote. The
law provides that the state officers shall
make their report to the governor and their
communications should come tO the legis-
latnre through him unless invited by the
| legislature 10 allow this communication
to be considered would be to open the way
to all state officers to air their opinions
| before the Legislature whenever desired.
The motion of Mr.. HOrgan to indefinitely
postpone further consideration of the COM
municatiOn was adopted. 80 to 19.
The communication was as follows:
Address to the Legislative Assembly of
the State of North Dakota:
l respectfully ask you to accept the
proposition of Messrs. Fulton & Co. to re-
turn the school money to the state and re-
ceiye the school bonds they sold it. If
this is done it will still leave deficit in
the interest and income fund of $4,S92. 80,
as shown by the report of the committee:
for that report states that the interest and
income has been drawn OH to purchase
school bonds in the sum of $55,729 96, and
that there has been paid in premiums in
| those purchases to Fulton Il Co. the sum
of S51 1886 46, which subtrac.ed from the
former sum leaves S4,S92.9O; that is the
amount the interest and income fund will
still be short when Mr. Fulton has returned
all the bonds he sold the state. This in
terest anu income fund as you will see, by
reference to section 154 of our state con-
stitution, is special fund to pay our
teachers and run our public schools
throughout the state. In order that you
may know just what the constitutional
provision on this subject is which limits
your power as legislature as we'll as it
limited the power of the board. Il quote
section 154 of the state constitution, entire:
The interest and income Of this fund to-
gether with the net proceeds of all fines
for violation of state laws and all other
sums which may be added thereto by law,
shall be faithfully used and applied each
| year for the benefit of the common schools
of the state and shall be for this purpose
| app0rtiOned among and between all OF the
scho9 corporations GO Of the
dren of such school age, as may he fixed
by law, and no part Of the fund Shall ever
| be diverted even temporarily from this
! purpose or used for any other purpose
whatever than the maintenance of common
schools for the equal benefit of all the
ever, that if any portion OF the interest or
income aforesaid be not expended during
any year, said portion shall be added to
and become u part OF the school fund.
Next Monday it will be six months since
any money has been apporti0ned to any
schools Of this state anu the teachers and
| districts have been required to wait. No
apDortionment was made to them on the
| 18th of November as should have been, and
the money that should have been sent out
| to them then has been retained and diverted
from the treasury in violation OF this pro-
vision OF the constitution to invest in a
long loan bearing per cent. interest. The
people OF this state are not Overtiushed
| with cash. They are unable to meet their
taxes as they now admit. The maintenance
! OF the public schools for the current year
is a public aud absolute necessity, and
section 153 of the state constitution is very
explicit that no state legislature and no
board of school and university lands shall
| ever take dollar out OF the permanent
school fund to make good a deficit in the
| interest and income fund which latter
| fund for the time being pays the teachers
and runs the schools and the people OF the
state are unable to be further taxed to
make good this deficit. They need the
money for school purposes immediately,
and have been entitled to part of it since
Nov. 15 last.
Secondly. ask to have the PROPOSE
| ton of Mr.. Fulton accepted for the further
reason that the investment was unwise
and the state can now more judbciOusly
| use the money.
According to the report of the committee
we would have restored to us this $751;
$500 that has been paid as a premium to
get these bonds and the principal coming
back to us would be $204,7O0, to be de-
Quoted from this $204,7OO is $l6,125l9,
which the committee says has been paid
| out OF the permanent school fund to make
the different bond purchases would leave
Of the return fund for investment, the sum
of $l88,574 81. The committee seem to
think it would have been unwise for the
board to have accepted any Investment OF
this sum, or any portion of it, or any Of
Vic oulu WHICH, Cuoy udVe IlHls Ill DhkOla
farm mortgages, and that they therefore
did wise to drive the money out of Dakota
into Wall Street. to gather up from those
Dakota school bonds that had been made
at different times heretofore, and were
drawing in some instances . per cent, in
other per cent, and in others per cent,
and on q total purchase that aggregated a
face value of $S2S, ,7s4 10 to pay q premium
Of $7l 1854 IS to get them. While a better
investment rs to interest and just as safe
for the principal could have been had at
home without the payment of any pre-.
MUM and thereby have saved all this sum
to the state treasury and have granted Il
money relief to North Dakota, which, ut
the time was most sOrely needed in all
parts of the state.
This report informs us that the sum of
$37 ,3S9. rs is tho total sum that has come
into our treasury as principal since we
became state. That sum did not all come
in at one time. In 1891 we sold 81, ,Sl5.75
acres In the Red River valley for the total
sum Of $567,85S.57. being all average per