The Lexington intelligencer. [volume] (Lexington, Mo.) 1901-1949, 1902-11-01

sections of "Sdline Land
In 1897 the general assembly pro-
vided that principal aud interest of
the "Sallne Land Fund" be invested
and known as 'the common school
fund.- that profits accurlug on depos-
Of surplus revenues of United States
government be added to this fund;
and that this fund be invested in
'Missouri Bank Stock These rev.
enue deposits came from the national
government as a result OF magnificent
tinancIenog uuder President Jack
son's administration.
Missouri's share OF this apportion-
ment Of surplus funds, made in 1887,
was 1882, $3.50. This Is the nest
egg. Under the law the iucome
was to be ADDED to the principal until
the permanent fund amounted $500, :
600 and then the income was to be
distributed annually to the schools Of
the state.
In 1912 the permanent fund amount
ed to 1915, ,667.96. From that year
the income was annually distributed.
No change in fund occurred till
1857, when sl6,6 900 had accumulated
in the treasury from sale Of aSallne
Lands. = This was invested in Mis-
souri, bonds (Pacific railroad) at 85
cents OF the dollar. This increased
the permanent school fund" 800, 900.
la 1859, the states finances were
such that the general assembly ap-
propriated out Of its general revenue
fund $50, 800, to be added to the '.per.
manent school fund" This was in
vested in stock Of the Bank OF the
State Of Missouri, as directed by the
general assembly. This was the con-
diticn Of the fund at the outbreak OF
the civil war.
1t should be remembered here that
it was from the first the policy Of the
democratic party, the party that
made It possible to have a fund ata.l,
to invest its trust funds 10 it's own
securities, thus strengthening its own
credit and keeping It's interest at
home.
In 1855, by authority OF the gen.
eral assembly the Estate Tobacco
Warehouse" was sold for Sis2,OOC
and tho proceeds added to the school
fund. This sum did not get into the
fund for a year and then one-third 10
cash and the other in shape Of per-
sonal notes. Under the constitution
Of 1866 and by legislative enactment,
it was provided that an the trust
funds Of the state should be invested
10 United States bonds.
In 1866, the 1851, 9e7 80 OF Mis-,
souri, bank stock was sold to James B
Eads for s7ls,2s5 25. Payment was
made in state bonds and coupons, which
were cancelled and laid away in the
vault. This bank stock was sole
nominally for 1903 so per share, but il
was paid for in stocks worth 10 cents
when the records show that Thomas
L. Price made a bid Of iS5 Thi.
difference Of 65 cents between actua
price received and what Thomas l.
Price offered would have made !
handsome increase Of more thar
$4,000 in the permanent fund.
The party then in power managed
to keep the legality Of this sale n
the courts for four years and none Of
this money was ever invested IL
United States bonds or produced lhC
state during that time one cent Of in.
come. In 1870, the supreme court
decided the case
II will be observed that the Law
under which the bank stock was s1ld
was not complied with, because the
proceeds ls7lS, 235.25) were used IL
the payment d the public debt TO-
ssead Of being Invested IN Uniep
Stales hoods for the benefit Of tbs
sehool iuhd
IN 1873, the genslal assembly punt
this condition and dlfecged a renewa
Estate bond gor 5000 900 70 BE- issu'
I'm lieu II an tthl.. This new bond