46 upon which the faith and credit of the State were pledged to pay an annual interest at six per cent. Twelve years later (1860), the Legislature acknowledged the State's indebtedness to the university fund to be $300,000, and also re-enacted the interest provision of 1848." This is, with a slight modification, the present status of the government endowment for a university in Alabama; and that modification consisted in an increase in the rate per cent. of interest paid by the State, to eight per cent. in 1876.48 A few constitutional provisions remain to be mentioned. The Constitution of 1855 provided for the protection of the university lands and funds." The Constitution of 1868 contained a similar provision, and, furthermore, provided that the State board of education should function as a board of university regents.50 This latter provision was modified by the Constitution of 1875, and the university was placed under the control of a board of university trustees." 53 Events now bring us to the congressional act 52 of 1884 (April 23), granting to the State, for the benefit of the university, an additional grant of 46,800 acres as an indemnity for buildings and apparatus destroyed by the troops of the United States during the Civil War. This new grant was vested in the trustees of the university by an act of the Legislature (1885). Of the two townships of land granted in 1884, 14,176 acres have been sold, and most of the proceeds have been used in the erection of buildings and in the restoration of the library and the scientific apparatus that had been destroyed. 600 acres have been leased, producing an income of $5,000 a year. The remainder of the grant is being judiciously 46 Clark, 66. 47 Acts, 1859-60, 25. 48 Code, 1876, sec. 1298; Code, 1886, sec. 1061; Code, 1896, sec. 3670. 49 Constitution, 1865, Art, IV, sec. 33. 51 Constitution, 1875. 63 Clark, III. 50 Constitution, 1868, Art. XI, secs. 8, 10. 52 23 S., c. 27. p. 12. held to await the enhancement of values. "The present policy is to increase leases, rather than to sell." 54 It thus appears that of the first two townships, all the lands have been sold; that the State has used the proceeds for its own use, and acknowledges its indebtedness to the university to be $300,000, upon which it pays eight per cent. interest per annum, or $24,000. Furthermore, of the second grant of two townships, 31,904 acres remain unsold. The proceeds of this grant have been used for building and restoration purposes; and, moreover, about $5,000 a year arises from leases. The present income of the two grants may be roughly stated to be about $29,000 a year." Surplus Revenue of 1836 From this distribution Alabama received $669,088.95, which on December 16, 1836, was ordered to be deposited in the State bank and its branches.56 In 1840, an act for the purpose of aiding in the establishment of schools in the several townships of the State, provided that the annual interest on the surplus revenue should be set apart to assist in paying the $200,000 yearly, which the above banks were required by this act to appropriate for the use of such schools. This law was repealed on January 21, 1843. The act of February 15, 1854, "to establish and maintain a system of free public schools in Alabama," enumerated, among the sources of the "Educational Fund," "the annual interest, at eight per cent. on that portion of the surplus revenue of the United States deposited with this State under the act of Congress of the 23d of June, 1836." 57 The amendments of 1856 President J. K. Powers has supplied the interesting information concerning this grant of 1884. 55 The author has failed to mention in the body of this discussion that an act of Congress of May 24, 1828, authorized the university trustees to locate certain lands for the benefit of the university, in lieu of other lands previously selected. 6 S., c. 106, p. 383. 66 Clay's Digest, 552. 57 Acts 1853-54, 8. and 1860, to this school law left this diversion of the surplus revenue undisturbed.58 In the code of 1867 we note that the interest at eight per cent. on the surplus revenue is mentioned among the sources of the State educational fund. This provision was omitted in the Constitution of 1868, but introduced into the school law framed a little later. The Constitution of 1875 mentions among the sources of the educational fund, “the income arising from the surplus revenue fund." 59 The school laws of 1876 and 1877 established the rate of interest paid by the State on this fund at four per cent. The edition of the school laws of 1895 re-enacts these provisions, enumerating among the sources of the school fund, the annual interest at four per cent. on the surplus revenue of 1836.61 62' Bourne concludes that the State borrowed the fund from the State bank for its own uses prior to the Civil War, while Eaton maintains that the principal of the surplus revenue fund was used by the State in the war of the rebellion.“ How or when this money was appropriated by the State may be an open question; but it is nevertheless a debt acknowledged by the State to the credit of the "Educational Fund," upon which surplus the State pays $26,763.47 yearly, which must be raised by taxation. 64 Distribution Act of 1841 During several years prior to 1848, memorials had been presented in Congress from the State of Alabama, petitioning for an increase in the donation for public schools, particularly in behalf of the townships containing school lands of but little value. In response to these petitions, Congress (August 11, 65 68 Eaton, National Aid, 123. 59 Constitution, 1875, Art. XIII, sec. 5. 61 School Laws, 1895, 6. 63 Eaton, National Aid, 124. 63 Globe, XV, 86; XVIII, 361, 520. 60 Bourne, 47. 62 Bourne, 46. 64 State Auditor's Rep., 1896, 207. 1848) passed a law authorizing the State to apply the lands previously granted for internal improvement purposes (500,000 acres) for the use of the townships in which the school sections were valueless."6 The law of 1854 to establish a free school system, provided that the annual interest at eight per cent. on the “ valueless sixteenth section" fund, which accrued from this Government grant, should constitute a portion of the " Educational Fund."" A similar statement concerning the sources of the State educational fund is to be found in the code of 1867.68 Statistics showing the number of acres thus diverted by the State for educational purposes, are not available to the writer; but the State auditor's report for 1869 indicates the amount of the principal of the "valueless sixteenth section fund" to have been $97,091.21 in 1860. Swamp Lands Grant Concerning this grant but little has been ascertained. An act of the Legislature of 1861" provided for the sale of the swamp and overflowed lands, apparently for the purposes specified in the congressional act of 1850. The next mention to be found concerning these lands is in the Constitution of 1868, which sets apart the proceeds of the swamp lands as a portion of the educational fund. In the year 1875 a resolution was passed appropriating the proceeds of such lands, which then amounted to $27,343.31, for the care of indigent insane and idiotic persons in the State," provided the consent of Congress were obtained. The writer has not learned of such assent having been given, nor has he found any reference to these lands in any of the State school reports since 1868. It seems quite probable that none of this grant was ever used for common school purposes, and that 67 Acts, 1854-55, 8. 68 Code, 1867, 262. 66 9 S., c. 152, p. 281. 69 Acts, 1861, 12. 70 Constitution, 1868, Art. XI, sec. 10. 11 Acts, 1874-5, 137. the constitutional provision of 1868 was merely nominal in character, and negative in educational results. Agricultural and Mechanical College Grant By an act of the General Assembly of February 13, 1867, Alabama accepted the 240,000 acres accruing to the State for the establishment and maintenance of an agricultural and mechanical college." Provisions were made for the disposal of the land scrip and for the proper keeping of the proceeds. The Constitution of 1868 contained a provision that the General Assembly should, as soon as practicable, establish an agricultural college on the basis of the Government endowment." Four years later (1872), the General Assembly passed a law establishing such a college at Auburn, on the foundations of the East Alabama College, and to the Agricultural and Mechanical College of Alabama thus established were granted the proceeds of the funds arising from the Government grant." The Constitution of 1875 provided that this institution should be under the management and control of a board of trustees." An act of 1879 (February 10) pledged the faith and credit of the State for the payment of interest at the rate of eight per cent. per annum on the fund of $252,500, which represents the proceeds of the sale of the agricultural college scrip." 76 Agricultural Experiment Stations Act of 1887 74 The annual Government appropriation of $15,000 to Alabama for the maintenance of an agricultural experiment station, 73 Acts, 1866-67, 426. 74 Acts, 1871-72, 84. 76 Acts, 1878-'79, 194. 73 Constitution, 1868, Art. XI, sec. 14. "By virtue of an act of Congress of May 9, 1888, the Alabama Agricultural and Mechanical College was relieved from money responsibility for certain ordnance, loaned by the Government, which had been destroyed by fire. 25 S., Private Acts, c. 240, p. 1060. |