The Home news. (McCrory, Ark.) 1915-1922, 1918-08-02
FOR AMENDMENT NO. IL.
AGAINST AMENDMENT NO. IL.

BE 1t Resolved by the House OF Rep
resentafives and the Senate of the
State of Arkansas, the Majority OF
Both Houses Agreeing Thereto'
That the following is hereby pro
poseC as an amendment to the consul
tuition of the State of Arkansas ana
the same being submitted to the cleo
tors Of the State for approval or re-
lection at the next general electioh
for Senators and Representatives, IL
majority of the electors voting at such
election adopt such amendment inc
same shall become part Of the Con-
. tuition of the State Of Arkansas to-
wit: -
Section 1. Notwithstanding the linn
tia ion contained in Section l OF Arti-
Gle Is of the Constitution, the creolt
If the State may be loaned and IN
dehtcdness incurred to an amount noe
exceeding two per cent OF the assess
Ell valuation Of all the property In the
State for the purpose or provlolns
funds to be loaned upon the security
of farm lands within the State, subject
to the limi atoms herein contained
Sec 2. The Governor. Secretary OF
State and State Land Commissioner
shall constitute the State Land Board:
which board is hereby authorized ana
directed to issue and sell or pledge
bonds in the name Of the State, to pc
known as Arkansas Farm Credit
Bonds" in an amount not to exceed
two per cent OF the assessed valuation
of all the property in the State, ard
Treasu in a fund to be known as the
Arkansas Rural Credits Loan Fund"
Sec g. Said bonds shall be issued
IN denominations Of $500, $4,000,
$4,000 and 100000, and shall be is
sued in series of 100000 or multi
pies thereof drawn to mature in not
more than thirty-siX years; nor shall
said bonds be sold until applica tons
from bona fde purchasers of land ag-
gregating 100000 have been filed
with and approved by the State Land
Board. Said bonds shall bear interest
at the rate Of four per cent per an
mum, and shall be exempt from tax
alton by the State Of Arkansas. or any
of its subdivisions.
Sec 4 Said State Land Board is au-
thorized and directed to loan the mon
eys in said Arkansas Rural Credits
Loan Fund to bona f1de purchasers OF
farm lands in Arkansas, upon notes Sc
cured by mortgages or deeds Of trust
constituting first liens on such farm
lands in amounts which shall not ex-
coed sevepty-ffve per cent Of the APP
praised value Of such lands. The cred
1t of the State shall not he los ned to
any person to purchase more than 81
acres Of md, nor land valued at more
than $4,000 per acre Nor shall loaE
If less than $4,000 nor more than $8,.
10000 be made to any purchaser Of
land
Sec. 5. Such loans shall not be mad.
except to owners who Operate" ant
"occupv" lands mortgaged and shall
be made for the following purposes
GAY The payment for lands purchased
(bl the purchase of live stock and 9th
or equipment, and the making OF I'm
Arnvements which. in the Judgment o
said board, will increase the produc
WITTY OF such lands or add to the
ya1,,o as farm home in q degree t.
Justify such expenditure; ard (c) 70
tAs satisfaction of encumbi ances upol
such lands. which. in the judgme nt o
said board, were incurred or assume
ny said applicant for the aforesai
purposes.
Sec. 6. Every applicant for a farm
loan shall state clearly in his appiica
ton the purposes for which such loa
is desired, and upon its approval b
the board this statement shall be deem
| cd part Of the note or contract unde
which the loan Is granted. But n
| failure to apply such funds to tn
| purposes stated in such application 0
| enumerated herein shall invalidate
! loan when once made, nor shall any
| thing herein contained be deemed t
! prevent any farm owner from sellin
| or leasing lands subject to such In
| cumbrance; but IL he shall violate hi
said contract by applying the none
| borrowed to purposes other than thoe
| stated in his application or enUmerate
herein, or II he shall leaGe such lael
| OF sell them to any person not fulfll
| ing the conditions and purposes pro
| vided for herein, said board is author
| 8ed and directed to require the reDa y
inant II SaldAcaQ Upen six months &c