Twin-City herald. [volume] (Minneapolis, Minn.) 1927-1940, 1932-10-29

with the approval OF commission con-
slsfing OF the governor, the attorney
general and the state auditor. All min
eral and water and water power rights
in lands SO transferred are reserved to
the atate. The proceeds of sales OF
federal lands so acquired by exchange
would be subject, under the proposed
amendment, to the same trusts as the
state lands which were conveyed
The ballots used at ths-eleetien
should have printed thereon the fol-
lowing:
Third:
EXCHANGE OF STATE AND FED
ERAL LANDS.
Amendment of article 8 of the
constitution. authorizing the ex-
change of public lands of the
state for lands of the United
States. as the legislature may pro-
vide.
YES .............
NO .............
PROPOSED AMENDMENT NO. 4.
BY the adoption OF Laws 1881, chap
ter 419. the legislature has proposed
an amendment to article 9, section
10. of the constitution. This section
now reads as follows:
"The credit of. the state shall
never be given or loaAed in aid
of any individual, association or
corporation, except as hereinafter
proyided. Nor shall there betany.
further issue of bonds denominaf-
ed Minnesota State Railroad
Bonds, under what purports to be
an amendment to section ten lf0J
of article nine (9) of the Consti-
tuition. adopted April. I5th,e 1858,
which is hereby expunged from
the Constitution, saving, excepting
and reserving to the state, never
theless. all rights, remedies and
forfeitures accruing under SAID
amendment. Provided. however.
that for the purpose of developing
the agricultural resources otA the
state, the state may establish and,
maintain system of rural credits
and thereby loan money and ex-
tend credit to the people of tho
state upon real estate security in
such manner and upon such terms
and conditions as may be pre-
scribed by law, and to issue and
negotiate bonds to provide money
to be so loaned. The limit of in
debtedness contained in section
of this article shall not apply to
the provisions of this section. and
the purposes for which the credit
of the state or the aforesaid muni-
cipal subdivisions thereof may be
given or loaned as herein provided
are declared to be public pur-
poses"
If the proposed amendment is adopt
ed. the section will read as follows
"The credit of the state shall
never be given or loaned in aid OF
any individual. association or cor
poration. except as hereinafter
further issue of bonds denominat-
ed Minnesota State Railroad
Bonds, under what purports TO bc
an amendment to section ten el0)
of article nine co of the Consti-
tuition. adopted April l5, 1858,
the Constitution. saving, except
ing and reserving to the state.
nevertheless, all rights, remedies
and forfeitures accruins under
said amendment. Provided, how
ever, that for the purpose of de-
veloping the agricultural A'Sfeg
sources of the state, the state may
establish and maintain a system
of rural credits, and thereby loan
money and extend credit to the
people of the state upon real
estate security in such manner and
upon such terms and conditions as
may be prescribed by law. and TO
issue and negotiate bonds to pros
vide money to be so loaned. The.
limit of Indebtedness contained in
section 5 of this article shall not
apply to the provisions of this sees
ton. and the purposes for which
the credit of the state or the afoae9s
said municipal subdivisions there
of may be given or loaned as
herein provided are declared TO be
public purposes.
The legislature may authorize
the taxing of any lands, title to
which Is acquired by the state
4 10 fsr1a ~ n
TEN df rural credits, during the
period such lands are held by the
state and for the assessment
thereof for benefits arising from
improvements, and may provide for
the payment of such taxes and
assessments out of the funds aris-
ing from the sale of such bonds
or the operation of such system of
rural credits. In lieu of such tax
alton the legislature may appro-
pirate out of such funds without
discrimination to all the school
villages and boroughs in which
such lands are located sums of
money not exceeding the amounts
which would have been realized
by such governmental subdivisions
from the assessments against or
taxation of such lands If private
ly owned"
The Purpose of the Proposed Amendment
BY reason of the operation of the De.
partment of Rural Credit the state o.
Minnesota has acquired title to q Iargs
amount of improved farm LANDS. Prop.
erty owned by the state is not subject
to taxation. The purpose of this pro-
posed amendment is to give the leais-
lature constitutional authority to sub.
Iect LANDS acquired through the oper.
alton of the system of rural credits tc
taxation and the payment of assess.
ments for improvements, and to provide
that such taxes and assessments b.
paid out of funds arising from the sale
of bonds or the operation of such sys.
tenn of rural credits. It is further IN
tended to permit the legislature to APP
propriate out of such funds, without
discrimination, to all the school dis
tricts, towns, counties, cities. villages
and boroughs of the state lin which such
lands are located, sums of money no,
exceeding the amounts which would
have been realized by such govern
mental subdivisions from the assessments
against or taxation of such lands If prl-
vateiy owned.