The Nevada County picayune., 1918-10-31

le satisfaction of encumbrances upon uch lands, which, in the judgment Of aid board. were incurred or assumed
 said applicant for the aforesaid
 urposes.
 Sec 6. Every applicant for a farm )an shall state clearly in his applica- ion the purposes for which such loa n desired. and upon it's approval by n Q board this statement shall be deem [. part of the note or contract under shich the loan Is granted. But no allure to apply such funds to the
 urpoSes stated in such application or numerated herein shall invalidate a pan when once made, nor shall any ming herein contained be deemed to reNent any farm owner from selling
 leasing lands subject to such 1n- umbrance; but if he shall violate his aid contract by applying the moneys forroWed to purposes other than those tatea in his application or enumerated Rereln, or if he shall lease such lands sell them to any person not fulhll- nE the conditions and purposes pro-
 ided for herein. said board is author zed and directed to require the repay nent Of said loan upon six months no- ice. and said note or contract shall tontain clause providing therefor.
 Sec. :. Such loans shall be repaid with interest aecruing In annual in- @tallments on the amortization plan, .uch installments being fixed at such
 
 and will liGuidate the deht in period te be agreed on between said board md the applicant said period to be rot less than five nor more than thirty six years. but any debtor may liqui- date any part CT all of his indebtedness in amounts of $50.G0 or mutiples there of upon any amortization payment date.
 Sec. s. The rate of interest on loans shall be five per cent per annum; pro vided. that no Farm Credit Bonds shall be sold for less than par; and pro- Nided further that the board shall re- qHire each applicant to pay an initial charge of l per cent of the loan grant ed the minimum charge to be 5000 to cover the cost of appraisal and eX- animation of title.
 Sec. q All surplus funds accruing from the operation of the system of rural credits herein provided for. after paying interest accruing on the afore- said bonds. and all operating and other expenses arising from the administra- tfan of said system of rural credits. shall be placed in the State Treasury and become part of fund to be known as the Arkansas Rural Credit Reserve Fund" Said Arkansas Rural Credits Reserve Fund shall be loaned on farm lands in the manner herein provided for the Arkansas Rural redit Loan Fund. and the interest ac- ruiaC from loans made from said Ar kansas Rural Credits Res we Fund shall be added to it and become par of it. The said Arkansas Rural Credits Reserve Fund shall be irreducible. eX- eept that it may he drawn upon to re HabuFse the State for loss incurred in the administration of said system of rural credits.
 Sec 10. The Legislative Assembly shall provide in such detail 1t shall deem advisable for the carrying out and administering of the provisions Of this amendment, nd shall provide ad equate safeguards against the use of such loans as an aid to the purchas- ing and holding of lands for the pur shall include clear definitions of the terms Operate" and Occupy" used herein. In the absence of such leEis lation. and subject to the same after its enactment, the State Land Board shall proceed to administer said sys tenn of rural credits under rules and regulations provided by itself but sub iect to the provisions herein contained. . Sec. II. The provisions of the Con stitution of Arkansas in conflict with this amendment are hereby repealed, in sa far only s they conflict herewitt. The provisions of this amendment shall be self executing and shall taL effect and be in operation SO days a ter their approval and adoption by the people of Arkansas. Approved by the Governor, and filed in the office of the Secretary of State. Marc IT, 1917.
 Each elector may vote for or against inc above amendment
 Witness my official signature this the 24th day of April. 1918.
 tSeall TOM !. TERRAL.
 Secretary of StAts