The Springdale news. [volume] (Springdale, Ark.) 1887-1990, 1918-09-20

cured by mortgages or deeds OF trust
constituting first liens on such farm
lands in amounts which shall not ex-
eeed ssY eHty=fYe per cent OF the sp=
raised value Of such lands The cred
4 Or the State shall moi be loaned II
any person 10 purchase more than 50
seres II land nor land valued at more
han So 90 per acre. Nor shall a loan
If loss than s2n0.6 90 nor more than S.
ah0 40 be made 20 any purchaser Of
and
- Such loens shall not be made
kept - owners who Operate" and
zacsupxa lands mortgaged and shall
81 Bsae fer the following purposes:
IA TIL payment for lands purchased
III tn purchase OF I've stock and 9TH
or eaufhment and the making Of i'm
provements which. IN the Judgment Of
said board viii increase the preauc-
HVifY OF such lands or add 70 cir
value rs a farm home In degree TO
Justify such expenditure: and (cl for
the satisfaction OF eneumbranees upon
such lands. which. In the judgment OF
said board. were incurred or assumed
by said applicant for the aforesaid
purposes.
See. 8. Every applicant for a farm
loan shall state clearly in his appliea-
ton the purposes for which such loan
IS desired aud upon Its approval by
The board this statement shall be DEEM
"a part OF the note or contract under
which the loan Is granted. But no
A9iAGAF ~ dPPAy Hutn IuHus " NV
purposes stated In such application or
enumerated herein shall invaltdate a
loan when once made, nor shall any
thing herein contained be deemed to
prevent any farm owner from selling
OF leasing lands subject to such In
cumbranee. but II he shall vioiate his
said contract by applying the moneys
borrowed to purposes other than those
stated in his application or enumerated
herein. or II he shall lease such lands
or sell them to any person not fulfill
ing the conditions and purposes pro-
vided Tor herein. said board Is author
lied and directed to require the repay
ment OF said loan upon six months no.
tiee, and said note or contract shall
contain clause providing therefor.
Sec. z Such loans shall be repaid
with interest aecruing In annual In
stallmcnts on the amortization plan,
such instullments being hxed at such
sums will cover the interest rata
and VIII lqudate the debt in a period
10 be agreed on between said board
and the applicant, said period to be
six years but any debtor may lqui-
date any part or ali OF his Indebtedness
ia amounts of $1,000 or multiples there
OF upon any amortization payment
date
See. s. Tie rate OF interest on loans
shall be Ave per cent per annum. pro-
vIded. that no Farm Credit Bonds shall
be sold for less than par, and pro-
qHire each applicant to pay an initial
charge Of / per cent of the loan grant
ed the minimum charge to be $1,000
to cover the cost OF appraisal and ex-
animation OF title.
See. 3, All surplus funds accruing
from the operation of the system OF
+ rural credits herein provided for after
paving interest accruing on the afore-
said bonds, and all operating and other
expenses arising from the administTa-
tion OF said system OF rural credits,
shall be placed in the State Treasury
and become part OF fund 70 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
Credit Lahn Fund. and the interest ae-
cruug from loans made from said Ar
kansas Rural Credits Reserve Fund
shall Be added to IL and become part
of f The said Arkansas Rural Credits
+ Reserve Fund shall be irreducible eS-
cept that II may be drawn upon to re-
/ fmburse the State for loss incurred In
+ the administration OF said system OF
+ rural credits.
See 10 The Legislative Assembly
+ shall provide in such detail as II shall
+ deem advisable for the carrying out
and administering of the provisions or
/ this amendment and shall provide ad-
+ equate safeguards against the use OF
( such loans as an aid TO the pnTehas=
/ ing and holding OF lands for the pur-
poses Of speculation. Such safeguards
i shall include clear definitions OF the
/ terms operate" and occupy" used
4 herein In the absence OF such legis-
+ lation and subject to the same after
f ITS enactment, the State Land Board
j shall proceed to administer said sys-
/ TEN Of rural credits under rules and
/ regulations provided by itself, but sub
Z ject to the provisions herein contained.
Sec II The provisions or the Con-
stitution OF Arkansas in conflict with
1 this amendment are hereby repealed, In
so far only as they conflict herewith.
/ The provisions OF this amendment
/ shall be self -executing, and shall take
effect and be in operation so days al
+ ter their approval and adoption by the
f people OF Arkansas.
Approved by the Governor. and filed
In the office OF the Secretary OF state,
! March H. 1917.
Each elector may vote for or against
the above amendment.
/ Witness my official signature this.
the gath DAY OF April. 1918
TSeail TOM J. TERRAL.
Secretary of State.