Twin-City herald. [volume] (Minneapolis, Minn.) 1927-1940, 1932-10-22
PROPOSED AMENDMENT NO. 4.


10, of the constitution. This section
now reads as follows: -
1.-The credit of the state shall
never be given or 1oaned In aid
Of any individual, association or
corporation. except as hereinafter
provided. Nor shall there be any
further issue OF bonds denominat-
ed Minnesota State Railroad
Bonds. under what purports to be
an amendment to section ten t1O
of article nine (9) Of the Constr {"
tuition. adopted April 18th, 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 of the
maintain a system of rural credits
and thereby loan money and ex-E.
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 NUM-
cipal subdivisions thereof may be
given or loaned as herein provided
are declared to be public pur-
poses"
II the proposed amendment is adopt.
ed. the section will read as follows:
1.-THE credit Of the state shall
never be given or loaned in aid OF
any individual, association or cor
poration, except as hereinafter
provided. Nor shall there be any
further issue of bonds denominat-
ed Minnesota State Railroad
Bonds, under what purports TO DO
an amendment to section ten u0)
of article nine t9) of the Censti-
tuition. adopted April is. 1853,
which is hereby expunged from
the Constitution, saving, except
ing ~and reserving to the state.
nevertheless. all rights, remedies
said amendment. Provided. how
ever. that for the purpose of de-
veloping the agricultural re-
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 OF tnlS article SnalI not
apply to the rprovisions of this sec-'
ton, and the purposes for which
the credit of the state or the afo.e-
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 Gthe state
through the operation OF such sys-
tenn Of rural credits. during the
period such lands are held by the 20.
state. and for the assessment
thereon for benefits arising from
improvements. and may provide for
the payment of such taxes and
assessments out Of the funds ars-
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
districts. towns, counties. cities,
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 II private
ly owned"
The Purpose Of the Proposed Amendment
BY reason of the operation Of the De-
partment of Rural Credit the state Of
Minnesota has acquired title to large
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 lcois-
lature constitutional authority TO. suba
Iect lanes acquired through the oper-
alton Of the system of rural credits to
nents for improvements, and to provide
that such taxes and assessments be
paid out of funds arising from the sale
of bonds or the operation Of such sys-
tended to permit the legislature to- ap-
proprate out of such funds without
discrimination. to all the school dis
tricts, towns, counties, cities, villages
and boroughs of the state In which such
lands are located, sums Of money not
exceeding the amounts which would
have been realized by such govern
mental subdivisions from the assessments
against or taxation OF such lands ii prI-t
|. vately owned.
The Effect of the Proposed Amendment
II adopted, the proposed amendment
will enable the legislature, in its dscre-
ton, to subject real estate. acquired by
the state through the operation Of the
system Of rural credits TO taxation and
the payment of assessments. the same
as lands privately owned. The Iegisla-
ture may provide that such taxes and'
assessments be paid from the rural
credit funds, or II may appropriate
from such funds TO the school districts.
towns. counties, cities, villages and
boroughs of the state in which such
lands are located. without discrlnIna-
ton, an amount not exceeding what
would have been realized by these gov
ernmentai subdivisions from assessments
against or taxation Of such lands II pri-
yateiy owned.
The ballot used at the ELECTION
should have printed thereon the fol.
lowing: 49,
Fourth: s.
TAXATION or RURAL CREDITS !.
LANDS
Amendment to section 10 of arr
ticle Of the constitution of the
State of Minnesota. to authorize
the taxing OF lands acquired by
the state through the operation Of
the system of rural credits and
the appropriation Of moneys from
the funds of the Department Of
Rural Credits.
YES ..........
NO ..............
HENRY N. BENSON, &.