The Monticellonian., 1918-09-27

ssttsfsction of ercam5ranees upon
 ,,cb lands which. in the Judgment or said board, were incurred or assumed av said applicant for the aforesaid purposes, .,t.,,t fo- q forn, ;oan shall state clearly in his appilca- ti,n the purposes for Whlch SuCh loah is desired and upon it's appfoNaI oy tbe board this statement sAatI De deeiii- sd a Dart of the note or contract uhder ,zbic6 the loan is granted. But no eoiinre tp apply such funds 10 the n1irDoers stated in such application or anlli1erated herein shall inValldate Loo ,=her once made, nor shall any tIi,,. tarrin contained be deemed to nreycnt any farm owner from sellihg ol leasing lands subject 10 such m cur1blezuce; but if he shall Flolale ms said contract by applying the moneys borrowed 10 purposes other thah thosS stated in his application or ehulheIateu herein OF if he shall lease Such lands or sell thera to any person not lullIll- ing the conditions ant purposes pro vided Tor herein said ooatd IS aulnior- InI, izrd end directed to require the repay n1ent of said loan upon six months no- tice and said note or contract snail contain a clause providing tnefelor.
 Sec [. Such loans shall be repaid
 with interest accrung in annual in- stal!ments on the amortization plan, eucb instaIlnents being fixed at such sums as will cover the interest tate and will fiqadate the debt in q period to he agreed on between said board and tl+47 aoglieant. said period to be not less than five nor more than thirty six years: but any debtor may Hqui- date any part or all of his indebtedness in amounts of sj000 or multlples there- of upon any amortization payment date.
 shall be five per cent per annum; pro. vided. that no Farm Credit BondS snail
 Ia vided further that the board shall re- ouire each applicant to pay an initial charge of per cent of the loan grant. ed, the minimum charge to be 5lO0O to cover the cost or appralsal ana e&- animation of tile.
 Sec 2 All surplus funds accruing from the operation of the system Of rural credits herein provided Tor. arter parug interest accruing on the afore- said bonds. end all operating and other expenses arising from the administra- ton of said system of rural credits. shall be placed in the State Treasury and become part Of fund to he known as the Arkansas Rural Credit Reserve Fund" Said Arkansas Rural Credits Reserve Fund shall be loaned on farm lands in the manner herein ,provtded for the Arkansas Rural Credit Loan Fund and the interest &C., c:uinE from loans made from said Ar kansas Rural Credits Reserve Fund shall he added to it and become part of it The said Arkansas Rural Credits Reserve Fund shall he irreducible. ex- cept that it may be drawn upon to re- imburse the State for loss incurred in the administration of said system of rural credits.
 Sec. 10. The Legislative Assembly shall provide in such detail as it shall deem advisable for the carrying out and administering of the provisions of this amendment. and 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- poses of speculation Such safeguards shall include clear definitions of the terms operate" and Occupy" used herein In the absence of such lesis- lation. and subject to the same after it's enactment. the State Land Board shall proceed tu administer said sys- tenn Of rural credits under rules ana regulations provided by itself, but sub jeet 10 the provisions herein contained Sec. IL The provisions of the Con- stitution Of Arkansas in conflict with this amendment are hereby repealed, iB 50 far only as they conflict herewith. The provisions Of this amendment effect and be in operation co days af- ter their approval and adoption by the people of Arkansas.
 Approved by the Governor and fileI in the office Of the Secretary of State. March r. 1917.
 Each elector may vote for or against the above amendment.
 Witness my official signature this. the 2ith day Of April 1918.
 tSeal1 TOM J. TERRAL, Secretary of State.