The evening herald. [volume] (Albuquerque, New Mexico) 1914-1922, 1917-01-24

public institutions, thus relieving the
people Of heavy taxation az the early
stage OF state development when tar
burdens are hardest 60 bear. Al the
same time the permanent interest bctr-
ing funds viii be growing more rapidly
each year, and II, ~ predicted, the TIM,
should come when MI the states pres
est luud esOufce has been exhausted, IL
must inevitably be fpnnd that thu state
has more than balanced the account in
wealth. producing, tax. producing private
IroTctty 81 practical use 30 a sclS sus-
taining population, while our %institu.
t,Hus viii have their revenues provided
fiom their interest bearing, invested
permanent funds.
Urges Protection OF Permanent Funds.
The land commissioner rcnews n rec'
ommcndation made in former reports
aud also made by Governor Mcdonald
in all of his messages 90 the state leg
islEture. that "the law be ~ amended
az To provide that the permanent funds
Of all schools and institutions, derived
| from sale of state lands, shall be in
vested IN interest bearing bonds and
| that only the interest derived therefrom
shall be used by such schools and inst q
tutions; the permanent funds 10 he kept
intact forever Such q law he thinks
would check the practice OF some of the
| beneficiary institutions OF investing
their permanent funds. not in interest
hearing securities, as seems to be the
| clear intent Of the congressional acts
hut in buildings. improvements and in
| some instances in maintenance aud OPP
GRAFTON. The commissioner ~ of the
opinion that this legislation is all that
y needed to safeguard these permanent
funds effectively and to provide the rev
euucS Of the various institutions. whiis
permitting development of the lands
along lOgi, al business lines, not only tol
the benefit Of the schools aud iustitu
tiors. but for the state ms q whole.
The repor, sets forth the amounts
puid into tht income and permanent
funds az the various schools aud inst
t%utinns, lbs years since establishment nj
the state lard office and these sums ar'
beginning 10 run into important totals
that ~ The rommon schools. including
income for 'hc period of the report hr
ing sl~.453.47ud5. Tho grand total pal,
into all ]iucune and permanent funds
from leases aud sales, since establish
mrut W the laud Nee. il sj,llb, j03.0l
of which uheut me. half. or - .5Ui, 100 .
has been paid N during the period "
the report, ct the fiscal wears 1913 AN.
1916.
Vast Area Under Lease.
~ the ll,OuO,0O acres ~ s%clccte
lands 70t2.jJ5 % were under incum
producing Lenses on the date ot the 70
port, leaving less than oucthird of III
original grants IN the u%nproductiy
class. Of this latter q large part of Oh
states 100000 acre oil exploration lcas
is included. t"d"r legislative authorit
Commisisoncr Etyien during the pas
year completed a lease with u privat
/, corporation by which the corporation
under bond to sink 20 wells TO an az
cragc depth ui 800 feet In an cSplor'
iion for oil. The lease covers a larg
/, aren Of central aud southeastern Ne
Mexico and by ITS terms, which are IL
r tailed in the report, the state will q
ceiyc q royalty " 10 per cent on all 81
/, gas or other mineral discovered an
/ produced, aud u rental II l2c aud zoe a
r acre respectively on lands Of the mil
r imum value of - and % per acre, Il