The Bismarck tribune., 1932-12-30
urges QUICK SALE
OF LANDS HELD BY
Big STATE BOARD
5ysrly Says Areas Should Pass
to Private Hands to Bol-
ster Taxes

AA puUlAC AdLlO AlClu Wy Vic OOeSA "
OF university and school lands should
be passed to private ownership "as
quickly as possible in order that it
may take its share of the burden of
taxation" w. E. Byerly, recently re-
signed. recommended in the twentieth
biennial report Of the state land COM
mission and secretary Of the board Of
university and school lands.
The report Is now in the hands Of
Governor George F. Shafer. 1t COW
ers the biennial period July /. $780,
to June 80, 1882.
THE farm loan department" he
said, has been particularly distress
ing the last two years and We have
extended every possible courtesy that
could be extended to those who are
endeavoring to save their property
and who were actually residing on
their land"
The report disclosed that no new
farm loans have been made by the
department since the last biennial re-
port and that the loan department
had confined itself to the renewal OF
old loans. It added that no funds
were available for the making OF new
loans.
Rental income and interest pay
ments have been greatly reduced. ac-
cording to the report, but Byerly
added: IT am of the opinion, how
ever, that when normal conditions
again prevail there will be no great
percentage OF losses in our farm
loans" although he was'convinced. he
said, "as I have always been and as
my predecessors have stated. that the
system Of making farm loans is en-
tirely wrong"
Board System Wrong
Explaining that the official ap-
praisal board consists of the chair
man Of the county commissioners,
county auditor and the county super
intendent of schools in the county
where the loan is to be made, the re-
port added that none Of these Of
ficers are elected to office with the
idea that they understand anything
about the value of land, and in many
counties I am convinced that very
little is known about land values by
. more than one, If any, member OF the
board"
Byerly told the governor he was
convinced that from loans made IN
the past, 1t occasionally happens that
the appraisers, having no further re-
sponsibility than the mere recommen-
dation, favor a personal friend and
recommend higher loan than should
really be granted"
To correct this alleged evil the re-
port suggested that the practice should
be entirely discontinued or "else law
should be passed making 1t manda-
tory upon the counties in which the
loan was made to take care OF the
interest and taxes on such land as
this department makes a loan upon,
provided that the loan was not IN ex-
cess of the recommendation made by
the county board
Legislative action was also recon-
mended In the report to make 1t .r1-
possible for an elective or appointive
state official at the head Of any de-
partment to make farm loan through
the board of university and school
lands.
Bar Loans To Officials
The records of this office show
the governor was informed, that in
the past state officials connected di-
rectly with the board of university
and school lands have made loans to
themselves upon which in some in
stances not dime Of either interest
or taxes were paid. and in some in
stances payments were kept up for
while and finally defaulted, and the
state was compelled to take a loss
from loans made to its own officials
and by its own officials"
According to the report on July l,
1892, the board had under its con-
troll 1887 ,272.82 acres of land. most
of it being located in the western
part of the state.
The board also is holding title by
foreclosure to 123,0O7.36 acres of land
with a capital investment. including
foreclosure costs and taxes, Of 81 ,403,-
O74.58, an average cost to the state
of $l140 per acre. This land has
been appraised by the department
during the last biennial period and
the report said 1t shows an appraised
value of s1.513,637.73, or an average of
$12 30 per acre.