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Show ------' 'STATE LAND BOARD REGULATES LOANS A set of rules governing state loans on Inigatlon projectB have been prepared pre-pared by the state boarJ of land commissioners. com-missioners. The rules weie announced announc-ed Mondav morning. Loans aggregating aggre-gating SSC0.000 have been applied for by various reclamation companies throughout the state, and upon the irrigation ir-rigation law being recently declared constitutional and valid by the supreme su-preme court, the board decided to make loan3 under certain rules to bo decided upon by tho board. The rules (1.) The board wwl not bid on tne open market for bonds. (2) Bequests for purchase of bonds must be accompanied by a full statement state-ment of the arable area, estimated value, Its assessed value, the wator supply, assets and liabilities of the district and the purpose for which tho funds will be used. (L) At tne rcqiioi- "i L"e ijvjhiu a rcnoit signed by tho state engineer will be rcquhed, showing the pertinent perti-nent facts lelatlvc to tho feasibility of the project and the cost thereof, the safety, durability and efficiency of tho proposed structures, the water rights, the tract of land to be Irrigated, Irrigat-ed, Us equality and such other fads as,' In his- opinion, would assist the board In determining the value of the security offered. District Pays Expense. (4) The expenses of the examination examina-tion by the board, engineer and attorney at-torney must bo paid by the district (5) No bonds" will bo purchased where the entire bond Isnuo exceeds 50 per cent of the actual value of the propertv bonded, as appraised by the land board (Gl No more than $50,000 will bo Invested In bonds In any one district dis-trict and In no Instance will such purchase be consummated until tho total issue or such part thoreof as will, in the opinion of the board, be sufficient tn complete tho project has been negotiated. (7) Tho board will not purchase Irrigation Ir-rigation bonds in excess of $200,000 In one year (S) The approval of the state engineer en-gineer of plans, specifications, estimates esti-mates and of water tilingr, of water supply must be obtained. Funds Are Protected. (9) The fund furnished bv the board must be placed In a bank designated des-ignated by tho board, and paid out only for actual construction work on check, countersigned by a member of the board after Inspection of tho work, pay roll and vouchers (10) The state engineer, at the request re-quest of the board, shall have supervision super-vision of the construction of works and may. at the discretion of the board, appoint an engineer to take charge of the said construction at the oxpense of the district. The checks lo which reference has been made, will not be paid until after the state engineer or an assistant has made an Inspection of tho works and recommended rec-ommended the same. The board reserves re-serves the rights to require any district dis-trict to spend an amount for construction con-struction work to the district equal to the amount loaned by the board (11) No bonds "will be purchased unless a court of competent jurisdiction jurisdic-tion has pasaod uppn the lcealWr and valldltv of tho organization of tho district and the logalit of tho Issue oo |
