Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-10-24

ing and r%e-enacting Section 1872. as
AMENDED by Article 81 OF the Amend
of North Dakota, being an act relating
to the issuing of bonds:
Reduce the total possible bonded
debt Of the state without security and
for industrial purposes. Requires first
mortgages on real estate as security
for all other bono issues under this Sec
ton.
Provides that the Governor, State
Treasurer and Secretary of State may
issue. and sell such bonds for certain
lars (s5.o 600, 200. oo), the proceeds Of
which to be used to pay the debts Of
the Bank Of North Dakota.
Hundred Thousand Dollars (s2.50o,-
Used Or the Mil and Elevator associa1
eqand t. r pax Pts pzv debts and to p som91et %o the
lc) Not to exceed Two Hundred Fifty
Thousand Dollars, H%:5o.ooo).. the pro-
debts Of the Home Building association.
Limits the debt that may be incurred
on account Of the state owned utilities,
enterprises and industries to the amount
Governor, State Treasurer, and Secre-
tary of State to determine amount of
bonds necessary to be issued and orders
notice to be given by publication in a
daily newspaper. Fixes not less thar five
nor more than twenty years. as period
Of maturity. Provides that bonds shall
be sold at not less than par and draw
Provides that bonds may be sold and
delivered by the officials named with
out further authorization by state, and
thai the proceeds shan be expended in
ment. Provides for levying Of an an
nual tax to create a sinking fund 10 be
used In, addition 70 monies accruing in
eornection With rhe liquidation of the
or interest and the retiring of the
principal upon maturity.
REQUIRES that every law creating 4
bond issue to be secured by a first mort
gage upon real estate shall provide for
2 sinking fund to lie created by the
levytng OF an annual tax or other pro-
vision! Said sinking rune to be used for
the payment Of principal and interest
On such bonds.
Gives owners of bonds the right TO
sue the state for the collection Of
principal and Interest in case Of default
by the state.
Limits all future Indebtedness to that
provide for in this Amendment except
Tor the purpose Q. r-peIling Invasion.
supervising dnsurrection and ~to>provide
BE II ENACTED BY THE PEOPLE
DF THE STATE OF NORTH DA-
IhL sSCCLtON lSS OIL the CONSTITUTION
Of the State Of Norm Dakota as amend
ed by. Article. 81 Of Amendments to the
Constitution, be amended and re-enacted
to read as follows:
bonds. provided that alt. bonds issued
exceeding in amount a total Of Seven
Million Seven Hundred Fifty Thousand
Dollars. ts7.76e:ooo.ool. par value, shall
be secured by first mortgages pom real
estate in amounts not exceeding one-
half OF the value thereof.
The Governor. State Treasurer and
Es seess1 s,f e s.ate BY Joint ac sn% are are
bonds Of the State Of North Dakota Of
the total par value Of Seven Million
Seven Hundred Fifty Thousand Dollars.
s as;1ss;es0' soid E for The s0q foilo %iy pc eu +
poses only:
Bonds Of the par value not exceeding
$4,000. 600, the proceeds to be used in
the Bank OF North Dakota;
Of the par value not exceeding
100000, the proceeds to be used to
North Dakota Mill n Elevator associa-
ton, to.pay, the expense Of completing
the state owned mill and elevator at
Grand Forks, and as working capital
for the operation Of such mill and ele-
Bonds Ct ths tots, . value no. e1-
used in payment of the debts and. liza
Building association.
The total debt which may be incurred
by the state in connection with tho Bank
of North Dakota, the Mill and Elevator
association. the Home Building ~associa-
ton and the state owned utilities, en-
terprises and industries. is hereby lin
TIED to the amount Of the bond issues
herein specifically authorized.
Immediately upon the adoption of this
amendment. the Governor, State Treas
urer and Secretary of State shall deter.
mine the mcDn nj bonds necessary to
each Of the three issues herein author
ixed.s and shall give notice thereof by
newspaper published at the seat Of gov
eminent. showing the amount OF bonds
the so found necessary. Like notice
shall. be given with reference. to the is
suing of all of the bonds that may need
TO be sold of thu. issues and within the
Limitations herein authorized.
The denominations andSdates of mas
turity OF any bonds issued hereunder,
shall he determined by the Governor,
state Treasurer and Secretary OF State.
but such bonds shall mature in not less
than Ave or more than twenty years
from. their dates and shall draw interest
Ct 2 rate not TO exceed six per cent
and be sold at not less than par. and
shall be, together with the interest
thereon exempt from taxation.
Such bondc shall be negotiated. sold
and delivered by the officials hereinbe-
fore named; In the amounts detsrnninsd
er authorization by. statute; and the
proceeds thercnf shall be placed in the
state treasury to be dfsbursed only for
the purpose for which such bonds are
authorized and then only as provided by
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