The Houston daily post. [volume] (Houston, Tex.) 1886-1903, 1899-11-26
SCHOOL FUND INVESTMENT
w. $. JAMESON ADVOCATES LOAN.
ING 1T ON REAL ESTATE.
Thinks Permanent County apa Stnte
school Funds Could Bc Easily
Handled in THIS Manner.

To the Editor OF The Post.
Montague Texas, November 24.-Fol-
lowing Is the response OF Hon. W. s.
Jameson to resolution passed by the
Montague county teachers institute on the
nth instant asking him TO reduce to writ
Ing plan for the investment of the per-
manent county and State school funds of
this State, which he advocated before it on
the 10th instant:
/ To the Montague County Teachers Iusti-
tute
Montague, Texas, November Ill take
pleasure in complying with your courteous
request that | reduce to writing the
method for investment OF the permanent
county and State school funds of Texas,
/ which / advocated before yonr honorable
I body Friday evening last
! favor such amendment to the consti-
I tuition and laws of the State as Will au-
thorize the loaning OF the permanent coun-
ty school funds to citizens on real estate
security In amounts not 10 exceed 40 per
cent OF the value of such security at not
less than nor more than IL per cent and
as will equitably apporiion and loan the
/ various permanent school funds in the GUS
tody OF the state on county bonds, to such
OF the counties as would accept the trusl
[
counties so borrowing to re-loan the
money TO the citizens on like conditions
and security as the permanent county
fund; the interest on the county bonds
TO go 70 the available school fund OF the
State and the extra per cent earned by
re-loaning 20 go TO the available school
fund of the county as compensation Tor
securing and administering such FUNDS.
The present law providing for the invest
ment of this, correctly denominated by
you the greatest trust fund on earth, Is
grossly Inadequate Much OF the fund Is
lying idle in the State treasury and in va
rious county treasures; or, IL invested
is bringing only nominal interest, while
there are thousands OF energetic citizens
in this State who with ample security,
are getting money al high rates from
Eastern money Lemons, and our schools
languishing all the while for want of the
interest which would be realized by hay-
Ing these loans made from The school fund
thereby prevent the interest charges of
these foreign lenders from perpetuaIly
draining the money stock OF this State.
! do not think there has been time in
twenty years when our county has not
had a part OF Its permanent fund lying
idle: we now have about $4,000 unnvested.
despite the untiring efforts OF our officers
TO secure investment under the existing
laws; and such as is invested is drawing
very lrlTluB rates OF iultTeel. SuCn u
business-like law as this would open the
finest fields for the investment OF these
funds would put them to yielding good
dividends; would give the most ample Sc
curity and would also give the schools
OF the State a new impetus. | am not ad
vised as 10 how much OF the permanent
state school fund is now in the State
treasury, but 1t has not been long since
IL was above the 81 000. 900 mark. To H.
nlstrate the benefits OF such law: This
county has, say, about 10000 permanent
funds: loaned at 10 per cent annual In
terest. $4,000 would go TO the available
county school fund. Suppose this county.
on lis bonds, should borrow from the State
$50. 900 at per cent ana re-loan IL Mt 10
per cent. Interest SG00O-$3000 to the
State and $4,000 TO the available county
fund. This would give the county as
much available school fund from this State
school fund as II gets ont OF its own per-
manent fund. after paying the state moro
than the State now gets from the loan OF
this fund TO municipal corporations; and,
of course the county would be further
benefited by the dividend IL wouia get BACK
from the interest SO paid TO the State. This
annortiouing the fund over the State
would eaualize and greatly enlarge the
benefits to be derived and woN1 make IL
lar more secure than IL now is; 1t matters
NOT whether there be a million or millions
of this fund In the state treasuS' ~ III
secured by bond OF only sIoVoo, given
W secure these and all other State moneys.
and in case OF a defalcation or robbery.
not dollar OF the money lost would be re-
placed. . ..o,,a -,
.,,sgad nv war famine or pestilence,
,Sase landed securities would survive the
,rarst and when peace and prosperity re-
turned turned they would be here intact to re-
establish with magical sw,. ls, our o public
,aerous 10 mention which would follow
.'.h y bnsiness-like management Of these
fund FUNDS, no farmer who 70 discharge ven;
doris lien notes ssanst, bis ~ HOMESTEAD nna
~p',a ~ these loans at maturity. for the
pay ,,t ons t. charged with the investment
a. ap, .bess funds would prefer that he should
keep the ousy and save the ,Ts sn rs q
~ .s 1900 for ten years at 10 per cent. |