§305 Conditions of Grant

Summary

States must accept these rules by passing a law before they get the land or scrip. If any of the invested money or its interest is lost, the State must replace it so the fund’s capital never drops. The interest must be used for the purposes listed in section 304, but up to 10% of what a State gets may be used to buy land for sites or experimental farms if the State legislature allows. None of the money may be used to buy, build, keep, or fix buildings. A State that accepts must set up at least one college like the one described in section 304 within five years after it accepts, or the grant ends and the State must repay any money it got from sold lands (people who already bought land keep their title). Each college must send a yearly report on progress, improvements, experiments, costs, results, and useful state industry or economic facts to the other colleges and to the Secretary of the Interior. If lands chosen were raised to twice the minimum price because of railroad grants, they count at the higher price and the number of acres given to the State is reduced the same way. States that are in rebellion or insurrection against the U.S. cannot get these benefits. A State had to accept within three years from July 23, 1866; a new State gets three years from the date it joins the Union and then must provide the required college or colleges within five years after accepting.