The Wallace miner. [volume] (Wallace, Idaho) 1907-current, 1913-02-20
IDAHO LAND BOARD IS
PRAISED FOR WORK
STATE AFFAIRS COMMITTEE
cOMMENDs DEPARTMENT,
CRlTiclzEs PROCEDURE.

been Of great service to the people Of
the state and that the system Of loan
ing money to farmers and others for
the purpose Of improving their real
property works beneficiaIly, are find
| ings of the state affairs committee as
reported TO the house Of representa-
tives in the committee report.
The state affairs committee, how
ever takes occasion to criticize the
department upon the method of pro-
cedure adopted in few branches Of
the department work. and particularly
urges careful scrutiny upon the part
of the proper officers as to the char
acter of the security offered on state
loans. The report in full is as follows:
Mr. Speaker: Your committee on
state affairs reports that it has made
| an examination Of that branch of the
state government known as the land
department. The operations of the
state land board, Independent of what
! is known as the Carey act, have been
extensive and generally speaking, this
bureau has been Of great service to
state money to farmers and others
for the purpose Of improving their
real property works benefcially. There
are some features about it, however
that would seem to invite criticism.
Your committee found that on certain
loans, amounting to $163,615, the in
terest payments are in arrears for
periods varying from one year to two
| years and in most Of these loans there
have been only small payments on the
principal, or no payments at all. Tn
4 der the law, the mortgages which Sc
cure these loans are not capable of
foreclosure unless the interest is in
arrears for at least one year; but
where no interest has been paid on a
loan of several thousand dollars
sometimes $4,000 or more--for per-
iod of two years, the reason why the
state should keep waiting on the con-
venence of the borrower and omit to
enforce it's rights is not apparent to
your committee.
"rhe land commissioner reports
that heretofore numbers of defaulted
loans have been certified up to the at
torney generals Office for proceedings
! in foreclosure, in order that the state
might realize on its security and get
back its money, but that the law de-
partment of the state has been eX-
tremely dilatory in bringing the pro-
per actions and that practically moth
\ ing has been done Your committee
| is OF the opinion that prompt action
in proper cases should supercede this
policy of delay and inattention to the
rights of the state. 1t is the Judgment
Of your committee that few fore
closure suits would tend to bring home
to borrowers of public money the fact
that the state undertakes to transact
donations of its funds: that knowledge
o fthese suits would spread abroad and
operate to make borrowers of public
money more prompt in their pay
ments of both principal and interest.
and greatly improve the situation, for
the primary purpose of the law is de-
feated il the state neither receives in
terest on the loans nor gets them back
so as to assist other deserving citi-
zens in their home building opera
tions. Your committee Is clearly of
the opinion that where borrower
has defaulted his interest payments
for two years, and at the same time
has not paid dollar on the principal
sum of the loan, the foreclosure of the
states security should be prompt and
should not be halted for mere senti-
mental reasons.
1T appears, too, that considerable
number of loans have been made on
logged loft lands, or stump lands. and
especially in the northern part of the
state that in some instances, If not
in many instances. the value Of these
logged off lands has been given In at
figures largely in excess of the true or
market value, and that the security Of
the state. at best is doubtful. and
your committee expresses the opinion
that no loans should be made upor
this class of real property without the
closest scrutiny both as to the COM
mercial value of tho lands and the
rcaI ptirnosp of thp hnrrpwer In seek