2-iG 



THE I B E I G A T I N AGE. 



consideration when an issue of bonds is to be marketed. 



In almost every instance, any proposed issue of Ir- 

 rigation Bonds is submitted to us before being offered 

 elsewhere. Thus we are able to secure for our customers 

 the cream of the bonds of this class. 



Only such as afford absolute protection to the bond- 

 holder are accepted by us. 



The facts in this book, therefore, relate to selected 

 issues. They should not be applied to irrigation projects 

 in general. We mean no reflection on general bonds of 

 this class. Many very good issues have been sold through 

 other channels. But in this, as in all other classes of 

 bonds, some are better than others. The worth of an 

 Irrigation Bond depends on many things, the measuring 



the projects are located, each has its special attractions. 

 But all form a first lien on fertile and tillable land. 

 And all, if properly issued, afford the investor more than 

 ample security. 



We will deal with the classes separately. 



MUNICIPAL IRRIGATION DISTRICT BONDS. 



These Irrigation Bonds are issued by organized dis- 

 tricts, very similar to school districts, for the purpose of 

 purchasing or constructing irrigation systems for their 

 own use. 



The bond issue. must be approved by a majority of 

 the resident free-holders in the district who have paid 

 taxes the preceding year. The procedure is quite similar 

 to that of a school district issuing bonds to construct a 



View of a portion of the Milner Dam on the Snake River, Idaho Twin Falls project (South Side). 



of which requires training, experience and judgment. 

 It is desirable, therefore, to buy such bonds from a house 

 which has wide experience and ample facilities in this 

 particular line of investment. 



THREE GENERAL CLASSES. 



Irrigation Bonds may be broadly divided into three 

 general classes : Municipal District Bonds, Corporation 

 Bonds on lands in private ownership and Corporation 

 Bonds, issued against lands under the provisions of the 

 Federal law known as the "Carey Act." 



Of these three classes of Irrigation Bonds, differing 

 according to the laws iri the various states in which 



school house, or a municipality issuing bonds to purchase 

 or construct a City Water Plant. The bonds then be- 

 come a municipal obligation, constituting a first lien on 

 all town and farm properties included in the district. 



The interest on the bonds, and the maturing bonds, 

 are paid through the County Treasurer's office, by a tax, 

 levied in the regular way. This tax is usually levied for 

 about 15 per cent in excess of requirements, so as to 

 provide for possible delinquencies. 



The value of such bonds, as with all Municipal se- 

 curities, depends on the population of the district and 

 on the value of the property subject to the tax lien. 



