The Wallace miner. [volume] (Wallace, Idaho) 1907-current, 1917-08-23
State Treasurer Gives Land Board Sound
Advice on Handling State School Funds

!. State School Funds
turn assigns the warrant to the ap-
plicant and returns it to the register
who then finally sends it to the bor-
rover.
lneompetency of the Board.
"Such methods are uncouth, unso-
phisticated, unbusinesslike and out of
date. This procedure consumes much
valuable time, and creates suspicion
and disgust, and would ruin any bank
ing institution that would follow it.
Such methods show conclusively the
necessity of having financial board
to handle these immense funds, a
board composed of men chosen for
their fitness, ability and experience,
the same as bank would require of
its officers and employees. They show
clearly that a political board selected
at random over the state. invariably
for qualifications other than those of
financial nature and which for par
ttsan reasons changes it's clerical force
| throughout regardless of ability or
qualifications, is not the proper or
ganization to handle such large fin-
ancial matters successfully; and it is
therefore little wonder that such mud
dies should arise when such an organ
ization is put up against the PROPOSE
ton of keeping 100000 invested, and
| In a con lO0
worth of timber and land. Even
though it might mean to do absolutely
the right thing, and no doubt does
the very best it can, it is too often
at a loss to know where to begin and
how to proceed.
What the Record Shows.
/ From records of the state auditors
office and in the office of the register
of the state land board, it appears
that the board has allowed a total of
234 loans, totaling $440,690 that have
not been taken; that only As per cent
|of the loans allowed by the board are
accepted by the farmer and that over
GO per cent of the loans allowed have
been cut all the way from $4,000 up to
SO per cent of the amount of the loan
asked for, and all regardless of the
security offered or the report Of the
appraiser. That from January !, 1917.
the board allowed loans aggregating
$347 400, and of this amount there
have been warrants drawn to date for
only $4,000.
Two Cases Cited.
"Your attention is called to a case
where a farmer applied for $4,000.
Your appraiser valued the property
at $4,000. exclusive of improvements,
or figuring it on the one third valua-
ton, the farmer was entitled to $4,000.
This is $500 more than he wanted
and asked for. Regardless of this
fact, the board saw fit to cut the loan
down to $1,000. and the farmer could
not take the loan. because he had to
have the amount asked for The
farmer knows how much he needs and
rarely asks for any more. Almost in
variably these people must go to pri-
waite or foreign loan agencies to get
their money, and pay a much higher
tate of interest. But the fact re-
mains, that he proves his own judg-
ment of valuation. and that of the
states appraiser as we'll, by getting
the loan. In many instances, the
farmer sees where he can better his
c.ndition by increasing the amount
asked for from the state, and gets that
also, showing conclusively that the Sc
curity offered the state was ample for
the amount Of the loan asked. and
) ttat the Judgment Of the states ap-
praiser was good. Yet the states
m ney Is still unloaned.
"In one instance renewal was re-
fused by the land board and the party
, was compelled to go to foreign loan
. agency and pay higher rate Of in
terest. His land was appraised al
, exactly ten times the amount he asked
of the state, and he was offered a loan
, of five times the amount he had from
| the state, but regardless of all this
security, the board required the loan
to be paid and the state still has the
: money on hand waiting for investment
+ and the public schools or institutions
: have lost the income.
} "To claim that Idaho cannot loar
, l$75O,0O0 more on farm lands at pei
. cent, where there is over $100,o00.00t
, borrowed on farm lands in the state