The Ely miner. [volume] (Ely, Minn.) 1895-1986, 1932-10-21
PROPOSED AMENDMENT NO. 4.

PROPOSED AMENDMENT NO. 4.
Byst adoption of Laws 1881, chap
ter 419, the legislature has proposed
an amendment to article 9. section
now reads as follows:
1.-THE credit of the state shall
never be given or loaned 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 (10)
of article nine COZ of the Consti-
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
state, the state may establish and
maintain system of rural credits
and thereby loan money and ex-
tend credit to the people of the
state upon real estate security in
such manner and upon such terms
scribed by law, and to issue and
negotiate bonds to provide money
to be so loaned. The limit of in
debtedness contained in section
OIL InlS article SNAIL 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"
If 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 be
an amendment to section ten (10)
of article nine (9) Of the Consti-
W sntSn is ad SateSy APRIL 1s fs s6S
the Constitution, saving, except
ing and reserving to the state.
nevertheless, all rights, remedies
and forfeitures aecruing under
ever, that for the purpose of de-
veloping the agricultural re-
sources of the state, the state may
establish and maintain a system
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 ne pEeSCTlUGu ny law, anu 10
issue and negotiate bonds to pro-
vide money to be SO loaned. The
limit of Indebtedness contained in
section of this article shall not
apply to the provisions of this sec
ton, and the purposes for which
the credit of the state or the afore-
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
through the operation of such sys-
tenn Of rural credits, during the
period such lands are held by the
thereof there. for dement's e ari aiSssS 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
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-
Minnesota has acquired title to a large
amount Of improved farm lands. Prop
erty owned by the state Is not subject
to taxation. The purpose of this pro-
lature constitutional authority to sub
ject lands acquired through the oper-
alton Of the system of rural credits to
taxation and the payment of assess
that such taxes and assessments be
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 tended. TO permit the legislature to ap:
discrimination, to all the school dis.
trlcts, 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 prl.
vateIy owned.
The Effect Of the Proposed Amendment
II adopted, the proposed amendment
will enable the legislature, In its discre.
ton, to subject real estate acquired by
the state through the operation of the
SySeS" Circuits TO TAXATION ana
the payment Of assessments, the same
as lands privately owned. The Ieglsla-
ture may provide that such taxes and
assessments be paid from the rural
credit funds, or it 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 discrimIna-
ton, an amount not exceeding what
would have been realized by these gov
ernmental subdivisions from assessments
against or taxation of such lands II pri.
vatey owned.
The ballot used at the election
should have printed thereon the fol-
lowing:
Fourth:
TAXATION OF RURAL CREDITS
LANDS
Amendment to section 10 of ar
tfcle 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