The Wolf Point herald. (Wolf Point, Mont.) 1913-1940, 1923-04-12
new MONTANA LAWS
AFFECTING FARMERS
(By Chester C. Davis, Commission
err of Agricultural

(By Chester C. Davis, Commission
err of Agricultural
Much legislation of direct and far
reaching value to farmers was en-
acted by the Eighteenth Legislative
assembly and has been proven b.
Governor Dixon. A summary show
important and progressive steps takei
in fields of land ownership and trans
fer that will have definite influence
on Montana's future land policies
in grain warehousing and marketing
in tax payments; in dairy products
marketing; in state hail insurance
and in relation to scores of other sub
jects of Importance to Montana agrl
culture. The following summary
covers most of the acts of the legls'
lature having special interest to
farmers, in their natural groupings
Some of these laws are good, ano
some of them not SC good, while
some are entirely questionable from
the standpoint of agriculture. An il
~lustration of the latter sort is Senate
Bill No. So. 1t provides that a chat
tel mortgage on livestock may be
drawn to cover all increases and pro-
ducts from such stock, including
wool, during the life of the mortgage,
opening the way for chattel mort
cages to cover values and animals
months or even years before they
are created or born.
Terms State Sales and Loans
Amortization Plan for Payment for
State Lands. House Bill IA. The
passage of three laws definitely plac-
ing the State of Montana on the
amortization payment basis in its re-
lations with purchasers of state land,
and borrowers, by the Eighteenth leg
i~slative assembly will have a power
full influence upon land sales and up
on general land sale policies in Mon
tana in the future. One of the most
important, provides that the pur-
chaser of state lands except timber
lands, shall pay not less than l5 per
cent down and the balance shall be
amortized over 35 annual payments
at five per cent interest, with the
privilege of paying in full at any
time prior to maturity. Upon appli-
cation, any existing state land con-
tract may be covered so far as any
unpaid balance is concerned, into a
35-year amortization payment con-
tract. and in it's ~dicretion, the state
land board may include delinquent
installments of principal and interest
in the new certificate.
The term Amortization" is defn-
ed by the legislature as '"that plan
under which part of the principal is
required to be paid each time inter
est becomes due and payable, and I'M
der which this part payment on the
principal increases at each succeed
ing installments in the same amount
that the interest payment decreases
so that the combined amount due on
principal and interest on each date
remains the same until the loan or
bond is paid in full"
The law provides that where the
installments are paid annually the
payment date shall be December 15;
when semi-annually, on December 10
and June Is.
Whenever state money is loaned on
farm mortgages as provided by law,
or is invested in bonds, payment must
be arranged for on the amortization
plan during a period of not more
than 35 years at 6 per cent interest
and interest to be paid annually or
semi-annually. Loans may be repaid
full prior to maturity with a fee
Of one per cent required if paid with
five years from the date of the
and one-half of one per cent II
paid paid between five and ten years
the date of the loan. This act
provides that existing state farm
oan mortgages may be converted IN
amortization contracts, at the dis
,retion of the board, and empowers
he board to include in the principal
If the new loan delinquent interest
md other accrued charges, subject
the limitation of 40 per cent of
he lands actual value.
Amortization Terms on State Fore
.losed Lands.-Whenever, through
foreclosure Of any state loan, the
tate becomes a possessor of any land
t is now provided by the action of
he Eighteenth legislative assembly
hat the state may within go days
rom the expiration of the legal per
cd of redemption of such land, sell
he land back to the mortgagor at
ust what the state was compelled
o bid for the land, upon the pay
lent by the mortgagor of Is per
ent of such sum. THE balance due
he state may be paid on the amorti-
alton plan during a period OF 30
ears. with interest at five per cent,
annually. Application of the
mortgagor who had been fore
losed, takes precedent over an APP
,lication to purchase the land by
ny other person.