The Daily Missoulian. [volume] (Missoula, Mont.) 1904-1961, 1913-02-07
(Staff Correspondence.)

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Helena, Feb. 6.-When Montana was
created as a state provision was made
for the education of it's youth for all
time to come. Large grants of land
were given to the general school fund
and to various educational and chaf1t-
able institutions. These lands were
to be disposed Of from time to time,
at a price not less than SO per acre,
and the proceeds went into a per-
manent fund, the income of which only
could be used for the running ex-
penses.
These vast areas so set aside by
the enabling act and the state consti-
tuition, for educational purposes, con-
sisted of the following grants, viz:
Section 16 and So in each township,
amounting to $1,000 acres.
State public building grants, $4,000
acres.
State norma school grants, 100, 900
acres.
State school of mines. 100000 acres.
State agricultural college, 140, 900
acres.
State reform school, $4,000 acres.
Asylum for deaf and dumb, SO, 1000
acres.
University grant, 1858 acres.
Making a total of approximately
6,S4S, 900 acres.
OF this amount, approximately $685.
1888 acres have been sold, for the sum
of approximately $1,000, 900. 1t is
estimated that when this vast area is
sold, the moneys derived therefrom
will rnnStit1to IN op1nyry,opt f1nl of
over $780, 900, 900, which is to be held
permanently in trust by the state of
Montana for educational advancement.
Investment.
The investment of the proceeds of
the permanent fun is a matter of
vast Importance to the people of Mon
tana, and it is a matter creating con
siderable comment before the present
state legislature. The law, as it now
stands, requires hat these funds shall
be invested in state, county, munich
pal, and school district bonds, in state
warrants, and in first mortgage farm
loans upon irrigated farms, and in
such other securities as are author
lied by the legislature.
The eleven million which now CON
stitutes the permanent fund is all in
vested with the exception of $685. 64,
which lies in banks in such bonds, and
in unmatured contracts for the sale OF
land, not a dollar of this vast sum is
invested in farm mortgages.
The 1909 Legislature provided for
investment in farm mortgages under
the following conditions: Persons
owning cultivated, irrigated lands to
which there was appurtenant an adj
Indicated water right, could obtain a
loan for a period not exceeding 10
years at 6 per cent in an amount equal
to one-third of the value of the land,
by making application to the state
board. of a commissioners at Hell
ena, and renting to them a suffi-
Gent sum to pay the cost of appraiS-
ing the land, which appraisement was
state lands are appraised. The APP
plicant for a Dan was required to fur
nish a complete abstract Of the title
to his land, and also a complete alb
stract showing the proper adjudication
Of his water right. All matters per-
tanning to the application, abstracts,
examinations, appraisement, and X
cution of the papers were required to
be done at Helena.
The requirements of this law were
so onerous in view of the conditions
existing in Montana, that notWith-
standing the fact that it has been upon
the statute books for nearly our years
the register of the land office was re-
auired to state in his reports for 1911
1912 that he had received loss than a
dozen inquiries since its enactment,