The Carbon County chronicle. [volume] (Red Lodge, Mont.) 1924-1924, 1924-08-13

time make provision for suitable pub
lefty concerning these benefactors of
their fellowmcn.
Section (of Article 21). The same
State Board and Officers that have
charge of the Investment and admins
tration OF the Public School Fund Of
the State saall have charge Of the in
yestment and administration of the
the funds administered under this Ar
ticle. All these funds shall be invest
ed as common fund TO be known and
designated as the Montana Trust and
/ legacy Fund. In case any contribu-
ton is in some other form than cash.
such board shall convert Il into cash
as soon as practicable.
Section G (of Article 2ll0. All in
vestments Of these funds shall be
safely and conservatiyely made Pref
erence shall be given to long term
loans secured by first mortgages on
town and city or on cultivated and
producing farms IN this State free
from all prior liens and encumbrances,
I and also to Montana Bonds issued for
educational purposes. All such loans
and bonds shall be payable on the am
irritation plan. No loan in which
the security is q mortgage shall ex-
coed fifty per cent Of the actual cash
value of the real estate given as Sc
curity. No farm loan shall be for a
longer period than forty years, and
no. loan secured on residence property
shall be for a longer period than
twenty years. No loan secured on
town or city property shall be made
until the particular town or city and
subdivision thereof in which it is To-
Gated has been accepted and approved
by the State Board, having charge of
the Investment, as permanently es-
tahished, having an assured future
and being in every way safe security
for these investments. Investment
may also be made in other safe in
terest bearing securities; provided,
however, that no part Of such funds
shall ever be invested in obligations
of the State Of Montana except gem
eral fund warrants which will be paid
within one year from the'time Of the
investment. No discrimination shall
be given not only to the ampleness Of
the security, but also the character
and earning capacity Of the applicant
and to the purpose Of loan; and pro-
vided further that so long as the
available funds are inadequate to
meet the demand, preference shall be
given to the smaller loans. The rate
Of interest shall always be reason-
able rate, cnsidering the chacter of
the loan or investment, but different
rates may be charged for different
classes of loans and investments.
Section (of Article 21). 1t is
the meaning and intention Of this Ar
ticle that all investments of these
funds shall be confined exclusively
to safe loan investments, drawing a
fixed rate of interest and being in aid
of home making, framing and edu-
cational work, ortherwise conductive
to the progress and well being of So
ciety.
All long trem investments shall be
on the amortization plan. Further
regulations and limitations concern
ing these investments shall be pro-
yided by law
Section (of Article 21l. When
ever TIE security given for loan Is
liable to damage or destruction by
fire, the insurance company accepting
the risk shall be absolutely liable to
1 the State for the full amount Of the
policy. and the policy itself shall spe-
officially recite such full liability. The
State may itself provide for insurance
on any property constituting securi-
| ty FORTS loans.
Section 8 (of Article 2l)). The
Legislative Assembly may provide
other and additional ways and means
for beginning or increasing any Of
the funds created or authorized by
this Article.
Section 10 (of Article 21). The
State Of Montana shall accept for in
vestment and administration togeth-
er with the aforesaid funds consti-
tnting the Montana THRUST and Leg
acy fund, but as separable parts
thereof, sinking funds, permanent
funds, and cumulative funds belong
ing to the State and its political sub
divisions, and also other funds desig-
mated by the Legislative Assembly,
when requested to do so by the auth
critics having the care and custody
Of such funds. All such funds and
the ACQUIRED interest, less the State
compensation hereinafter fixed, shall
be repaid when due. The provisions
of this section shall not apply to the
Public School Funds of The State
which school fund shall be administer
ed separately as already prescribed
by the constitution.
Section II (of Article 2D. The
State shall be entitled to receive as
compensation for the administration
Of all the funds administered under
this act one twentieth (1-20) Of al
the interest collected thereon eacl
year. On the last day Of Decembel
Of each year, the Stae Treasurer shall
! transfer to the State General Fun'
such one twentieth (1-20) Of all tn
: interest collected during the year, les
: all the loses ascertained during tn
{ year, which losses shall be deducte
! from the one twentieth constituting
+ the compensation of the State. tn
. balance of the interest collected shal
! be the net earnings and shall be cred
3 tied pro rata to each and every fun
: constituting the Montana Trust an
) Leraey Fund that was in the keepln
: of the State on January lst Of tina
! year, based on the total thereof 0
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