The Home news. (McCrory, Ark.) 1915-1922, 1918-05-03
FOR AMENDMENT NO. Is.
AGAINST AMENDMENT NO. IL.

FOR AMENIM bNI NO. 10.
AGAINST AMENDMENT NO. IL.
BE 1t Resolved by the House of Rep
rescntatfves and the Senate of the
State of Arkansas, the Majority Of
Both Houses Agreeing TheretO'
That the following Is hereby pro-
posed as an amendment to the Consti-
tuition of the State of Arkansas, and
the same being submitted to the cleo
tors of the State for approval or re-
lection at the next general electlon
for Senators and Representatives. II
majority of the electors voting at such
election adopt such amendment, the
same shall become a part Of the Con-
s-itution Of the State of Arkansas, to-
wit:
Section 1. Notwithstanding the linn
itation contained in Section 1 Of Artf-
Gle Is of the Constitution, the credit
of the State may be loaned ana IN
debtedness incurred to an amount not
ed valuation Of all the property in the
State for the purpose Of providing
funds to be loaned upon the security
of farm lands within the State. subject
to the limitations herein contained.
Sec 2. The Governor. Secretary Of
State and State Land Commissioner
shall constitute the State Land Board.
which board is hereby authorized and
directed to issue and sell or pledge
bonds in the name OF the State, to be
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
to place the proceeds in the State
treasury 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
pies thereof, drawn to mature in not
more than thirty-six years: nor shall
said bonds be sold until applications
from bona fide purchasers OF land ag-
gregating 100000 have been f1led
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 it's subdivisions.
Sec T. 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 seventy-five per cent Of the ap-
praised value of such lands. The cred
It of the State shall not be loaned to
any person to purchase more than 80
acres of land. nor land valued at more
than $5G 90 per acre. Nor shall q loan
Of less than $4,000 nor more than S.
land
Sec S. Such loans shall not be made
except TO owners who Operate" and
OCCUPY" lands mortga ged, and shall
he made for the following purposes:
(a) The payment for lands purchas ed;
(h) the purchase OF live stock and 9TH
ar equipment and the making of i'm
.,rovernente which in the Judgment of
said board. will increase the produc-
tivity OF such lands or add to their
vaIra as a farm home in a degree to
Justify such expenditure; and (c) for
the satisfaction Of encumbl Ances upon
such lands, which, in the Judgment OF
said board were incurred or assumed
by said applicant for the aforesaid
purposes.
Sec. 6. Every applicant for a farm
loan shall state clearly In his applica-
ton the purposes for which such loan
is desired and upon it's approval by
the board this statement shall be deem
ed q part Of the note or contract under
which the loan Is granted. But no
failure to apply such funds to the
purposes stated IN such application or
enumerated herein shall invalidate
loan when once made, nor shall any,
thing herein contained be deemed to
prevent any farm owner from selling
or leasing lands subject to such In
cumbrance; but If he shall violate his
said contract by applying the moneys
borrowed to purposes other than those
stated in his application or enumerated
herein. or IL he shall lease such lands
or sell them to any person not fulfill
vided for herein. said board is author
lied and directed to require the repay
noeut Of said loan upon six months no.