The Lamar register., 1916-10-18

FIfth-In bonds Of the several
counties, cities. town or city. and
city and counties Of ths State OF
Colorado provided. however. that
before any moneys are 50 Invested
in bonds Of counties. cities. town
or city, and city and counties or
school districts. the validity Of
such bonds shall first be deter
mined By the attorney general Of
the state. and the state board Of
land commissioners must be salts
fled that such bonds are In all re-
spects legal and a safe Investment
and II Is further provided. how
ever. that such bonds or warrants
shan be purchased at a price not
crued Interest thereon.
Section ?. Investment by loans on
cultivated farm lands within the State
sons who are actual residents on such
land, and then only on lands Of whlC4
the appraised value is not less than
$500 per acre and In sums Of not To-
such loans shall be made for at least
one and not more than five years. and
bearing six per cent isE) interest PEI
annum. payable annually until due.
with interest at the rate or elsnt Per
on both principal and delinquent in
terest, said Promissory notes 20 be Sc
cured by a deed Of trust TO the public
trustee Of the county wherein the land
Is situated, in favor Of the State OF
Colorado. upon real estate as above de
least three times the amount OF the
sum borrowed.
Applications for loans on cultivated
farm lands shall be made direct to the
state board Of land commissioners upon
blank forms to be provided for that
purpose, and no loan shall ever be
made unless the applicant has a good
title in fee simple to the lands offered
as security for the loan. Upon receipt
Of the application the state board OF
land commissioners shall unless they
disapprove the loan In the first IN
stance. cause the land to be thorough
ly examined and appraised. and II. in
their Judgment, the security Is ample
and the applicant in all respects comes
within tho terms Of the provisions OF
this act, they may approve the loan,
provided however. that In the event
that the loan Is made on irrigated
by the board Of land commissioners as
shall secure to the state first lien upon
all water and water rights for the irri-
cation of said lands.
When the application is approved by
the state board Of land commiss louers.
the register shall complete the contract
the State Of Colorado and secured by a
deed Of trust upon the land in manner
and form as above mentioned and he
shall forthwith transmit the deed OF
trust to the county clerk and recorder
Of the proper county for recording, As
soon as the deed OF trust is returned
from the county clerk and recorder
with the usual certificate Of record, the
register shall transmit the note and
IN question to the state treasurer, who
shall thcreupon pay to the applicant
the AMOUNT Of money named In SAID
Eioners shall In each case require from
the applicant an abstract Of title 10
the land certified to include the deed
Of trust. which said abstract shall also
be deposited with the state treasurer IN
connection with the note aud deed Of
trust
Failure to pay any or all taxes when
the same are due. or failure to pay the
interest upon the said note in accord
anct with the terms OF the note, shall
render the principal due and payable.
anything In the note or deed Of trust
to the contrary Notwithstanding.
When a loan has been made and the
borrower desires to renew the same for
one or not more than five years, II
may be done in manner as the loan as
made in the first instance. but no new
abstract. except a continuation OF the
same down TO the time OF extension.
nor examination OF title prior to the
original loan, nor new decd Of trust
need be required. unless the deed Of
trust is to be given upon other lands.
The time Of payment without further
security, may be extended in writing to
be recorded as the original security
was recorded. and before maturity Of
the claim, when the state board Of land
commissioners shall so order. but such
extension OF time shall not operate to
release any security held, and lapse OF
time shall in no case be bar to any
action to recover any part of the school
or other permanent fund SO loaned nor
c
dence in such action. any provision Of
the law to the contrary notwithstaud-
ing.
All payments OF either principal or
interest upon loans. or OF any other
character, shall be made to the regis
ter Of the state BOARD Of land com
missioners. who shall forthwith trans
init the same to the treasurer with
certificate showing the amount and the
purpose for which the payment is made,
and the treasurer shall forthwith in
dorse upon the note In proper form the
payment so made. and when the debt
is fully paid, the treasurer shall cancel
the note and deliver the note. abstract
OF title and deed of trust and all other
securities to the register OF the state
board OF land commissioners. the reg
lister OF the said board shall execute
and deliver a request for the release
Of such deed OF trust and return the
note. abstract and other securities to
the debtor and report the same to the
state board of land commissioners at
its next meeting. which report shall be
carried into the records Of the board.
The register OF the state board OF
land commissioners shall also keep In
his office. in books to be provided FOR
that purpose. accounts to be known as
Permanent Fund Accounts" in which
a memorandum OF all notes, mortgaEes'
deeds OF trust, bonds. money and assets
Of every kind and description when
may come into his hands as such reg
lister and separate accounts of prlncl-
pal and interest must be kept.
When outstanding notes for money
Of any permanent fund loaned or In
terest thereon become due, the register
of the state board Of land commission
hnl HWH ut