3. Section 3, Art. 12, of the Constitution does not apply to such deputy or asisstant so appointed.

Somers v. State, 5 S. D., 321. 58 N. W. 804.

COMPENSATION OF OFFICER-CHANGE DURING TERM.

A deputy appointed by an officer, to hold during the pleasure of such principal, does not hold for a "term" within the meaning of section 3, Art. 12 of the Constitution.

Somers v. State. 5 S. D., 584. 59 N. W., 962.

REDUCING COMPENSATION OF VETERINARY SURGEON-ORGANIZATION OF TERRITORY INTO STATE EFFECT ON TERMS OF OFFICE.

The appointment and acceptance of the office of veterinary surgeon by the plaintiff, under the provisions of the territorial statute in force at the time and the continuance of the same under the provisions of the state Constitution, left his office without any fixed term; and a law reducing the salary during the time he is performing the duties of it is not repugnant to Art. 12, Sec. 3.

Collins v. State. 3 S. D., 18. 51 N. W. 776. OFFICERS-COMPENSATION-INCREASE.

Const. Art. 12, § 3, is not violated by Laws 1903, p. 94, c. 86, creating a new state board of charities and corrections, to take the place of the old and, among other things, providing that the compensation of members shall be a salary of $1,500 per annum, instead of a per diem of $3, under the old law.

Thomas et al v. State, 17 S. D., 579. 97 N. W. 1011. OFFICIALS-STATE-DEFINED.

Construed by its context, the provision of Article 12, § 3, includes under the term "public officers" only state officers who draw their salary from the state treasury, and does not include the county judges.

Hauser v. Seeley et al, 18 S. D. 308. 100 N. W. 437.

§ 4. An itemized statement of all receipts and expenditures of the public moneys shall be published annually in such manner as the legislature shall provide, and such statements shall be submitted to the legislature at the be ginning of each regular session by the governor with his message.

ARTICLE XIII.

PUBLIC INDEBTEDNESS.

§ 1. Neither the state nor any county, township or municipality shall loan or give its credit or make donations to or in aid of any individual association or corporation except for the necessary support of the poor, nor subscribe to or become the owner of the capital stock of any association or corporation, nor pay or become responsible for the debt or liability of any individual, association or corporation; Provided, that the state may assume or pay such debt or liability when incurred in time of war for the defense of the state. Nor shall the state engage in any work of internal improvement.

TERRITORIAL STATUTES RETROACTIVE LEGISLATION-COMPENSATION TO FIRE COMPANIES.

1. Whether or not any particular territorial law, or any independent provision, survived the adoption of the state Constitution, and so continues in force as the law of the state, depends upon whether or not such law or such provision is obnoxious to any rule or provision of the Constitution.

2. Since from the property of the state is largely derived the revenue of the State, it is within the legitimate powers of a state government to employ general means for the protection of the property, as well as the persons, of its citizens.

3. To accomplish such protection, and as a means of securing greater efficiency in the fire departments and service of the state, the legislature may lawfully offer, by general law, a compensation or reward to such fire

companies as will comply with conditions therein named, designed to promote their usefulness and competency; and acceptance and compliance with such conditions constitute a sufficient consideration for an appropriation by the legislature to redeem such promise.

4.

Such appropriation is not a "donation," within the meaning of section 1, Art. 13, of the Constitution.

Cutting, City Treasurer, v. Taylor, State Auditor. 3 S. D., 11. 51 N. W. 949. $ 2. For in purpose of defraying extraordinary expenses and making public improvements, or to meet casual deficits or failure in revenue, the state may contract debts never to exceed with previous debts in the aggregate $100,000, and no greater indebtedness shall be incurred except for the purpose or repelling invasion, suppressing insurrection, or acfending the state or the United States in war and provision shall be made by law for the payment of the interest annually, and the principal when due, by tax levied for the purpose or from other sources of revenue; which law providing for the payment of such interest and principal by such tax or otherwise shall be irrepcalable until such debt is paid: Provided, however, the State of South Dakota shall have the power to refund the territorial debt assumed by the State of South Dakota, by bonds of the State of South Dakota.

STATES INCURRING INDEBTEDNESS-WHAT

RANTS TO DEFRAY CURRENT EXPENSES.

CONSTITUTES-WAR

1. Appropriations from the assessed but uncollected revenues of the state, and the issuance of warrants in pursuance thereof to defray current expenses, is not the incurring of an indebtedness, within Const. Art. 13, § 2. 2. Revenues of the state, assessed and in process of collection, are to be considered as constructively in the treasury, and may be appropriatd and treated as though actually there.

3. That warrants issued in anticipation of such assessed revenues draw interest does not make the issuance of the warrants an incurring of an indebtedness to the extent of such interest, within Const. Art. 13, § 2, where such warrants, with respect to interest, are not different from other warrants which may properly be drawn and issued.

In re State Warrants 6 S. D., 518. 62 N. W. 101. See also Art. 8, Sec. 2, 13. BONDS-SALE-LOSSES.

1. Act March 12, 1895, directing the issue and sale of State bonds to make good losses to the permanent school fund and to the interest and income funds, caused by the defalcation of the late state treasurer, is not repugnant to Const. Art. 13, section 2, limiting the State's power to "contract debt."

2. Const. Art. 8, sections 2, 13, provide that the state shall make good all losses to the perpetual school fund; and that losses caused by the defalcation or mismanagement of the officer controlling the fund shall be a permanent funded debt against the state, which shall not be counted as a part of the indebtedness to which the state is limited by Const. Art. 13, § 2. 3. Article 8, Sec. 3, declares that no part of the fund "either principal or interest," shall be diverted from its purpose. Held, that the state must make good all losses to the interest and income funds as well as to the permanent fund, and for this purpose the legislature may authorize the issue of bonds.

In re State Bonds. 7 S. D., 42. 63 N. W. 223.

§ 3. That the indebtedness of the State of South Dakota limited by section two of this article shall be in addition to the debt of the territory of Dakota assumed by and agreed to be paid by South Dakota.

AGRICULTURAL COLLEGE-CONTRACTS OF DIRECTORS-RATIFICATION BY STATE-TERRITORIAL

TWEEN STATES.

LIABILITIES-DIVISION BE

Article 13 of the state Constitution, together with a corresponding article in the constitution of North Dakota, was designed to divide the terri

torial liabilities between the two states of North and South Dakota, and indicate what each state should assume and pay.

A claim against the territory of Dakota, if valid, as belonging to the class which, by agreement, South Dakota was to pay, may be enforced against the state, although never specifically adjusted between the two states. Jewell Nursery Co. v. State. 4 S. D., 213. 56 N. W. 113.

See art 5, Sec. 31.

§ 4. The debt of any county, city, town, school district, civil township, or other subcivision, shall never exceed five (5) per centum upon the assessed value of the taxable property therein. In estimating the amount of indebtedress which a municipality or subdivision may incur the amount of indebtedness contracted prior to the adoption of this constitution shall be included.

Provided, at any county, municipal corporation, civil township, district or other subdivision, may incur an e4ditional indebtedness not exceeding ten per centum upon the assed valt the taxable property therein for the purpose of providing water for irrigation and domestic uses. Provided, further, "In estimating the amount of the indebtedness which a municipality or that no county, municipal corporation or civil township shall be included within any such district or subdivision without a majority vote in favor thereot of the electors of the county, municipal corporation or civil township, as the case may be which is proposed to be included therein, and no such debt shall ever be incurred for any of the purposes in this section provided; unless au thorized by a vote in favor thereof of a majority of the electors of such county, municipal corporation, civil township, district or subdivision incurring the same. NOTE-The foregoing section (4) was submitted by the legislature in 1895, as an amendment to Section 4 of Article 13. of the Constitution, and was adopted at the general election of 1896 by a vote of 28,490 for, and 14.789 against.

That at the general election held on November 4, 1902, Section 4 of Article 13 of the Constitution was amended by a popular vote of 32,810 for to 13,599 against, so as to read as follows:

"SECTION 4. The debt of any county, city, town, school district, civil township or other sub-division, shall never exceed five (5) per centum upon the assessed valuation of the taxable property therein for the year preceding that in which said indebtedness is incurred.

subdivision may incur, the amount of indebtedness contracted prior to the adoption of the constitution shall be included;

"Provided, That any county, municipal corporation, civil township, district or other subdivision may incur an additional indebtedness not exceeding ten per centum upon the assessed valuation of the taxable property therein for the year preceding that in which said indebtedness is incurred, for the purpose of providing water and sewerage for irrigation, domestic uses, sewerage and other purposes; and

"Provided, further, That in a city where the population is 8,000 or more, such city may incur an indebtedness not exceeding eight per centum upon the assessed valuation of the taxable property therein for the year next preceding that in which said indebtedness is incurred for the purpose of constructing street railways, electric lights or other lighting plants.

"Provided, further, That no county, municipal corporation, civil township, district or subdivision shall be included within such district or sub-division without a majority vote in favor thereof of the electors of the county, municipal corporation, civil township, district or other sub-division as the case may be, which is proposed to be included therein, and no such debt shall ever be incurred for any of the purposes in this section provided, unless authorized by a vote in favor thereof by a majority of the electors of such county, municipal corporation, civil township, district or sub-division incurring the same."

BONDS WARRANTS-COUNTY.

The issuance of 4 per cent bonds by a county to refund 7 per cent warrants, as allowed by Laws 1901, c. 94, was not unlawful, though it had already exceeded the limit of 5 per cent, indebtedness allowed by Const. Art.

13, § 4, since by the exchange of the bonds for the warrants the indebtedness would be diminished, rather than increased.

Walling v. Lumis, 16 S. D., 350; 92 N. W. 1063.

CITIES INDEBTEDNESS-INCREASE OF-WATER.

1. Const. Art. 13, § 4, as amended in 1896, permitted cities, in addition to the 5 per cent indebtedness originally allowed, to incur an additional indebtedness, when authorized by a majority vote of the electors, not exceeding 10 per cent, of the assessed value of taxable property, for the purpose of providing water for irrigation and domestic uses. Held, that the power to incur a 10 per cent indebtedness for providing water was conferred regardless of existing indebtedness for other purposes.

2. A proposition, favorably acted on by the voters of a city, authorizing the issuance of bonds to the extent of $210,000 for a given purpose, conferred authority to issue such bonds in installments of less amounts as they became necessary.

Wells v. City of Sioux Falls et al, 16 S. D.. 547. 94 N. W. 425. MUNICIPAL CORPORATIONS LIMIT OF INDEBTEDNESS-MONEY IN SINKING FUND-INCURRING DEBT-SUBMISSION TO VOTE-MAJORITY.

1. In determining whether a city's limit of indebtedness, prescribed by Const. Art. 13, § 4, has been reached, money in the sinking fund and applicable, under the Constitution, only to payment of bonded indebtedness not yet matured, is to be deducted from its debt.

2. The concurrence of less than a majority of all the electors of the city, though constituting a majority of those voting on the proposition, is insufficient.

Williamson v. Aldrich et al. 21 S. D., 13; 108 N. W. 1063.

§ 5. Any city, county, town, school district or any other subdivision incurring indebtedness shall, at or before the time of so doing, provide for the collection of an annual tax sufficient to pay the interest and also the principal thereof when due, and all laws or ordinances providing for the payment of the interest or principal of any debt shall be irrepealable until such debt be paid.

1. A board of education authorized to issue bonds cannot allege, as a defense thereto against a bona fide purchaser, that it failed to comply with Const. Art. 13, § 5, where the bonds contained a recital "that all conditions and things required to be done, precedent to and in the issue of said bonds, have duly happened and been performed as required.

2. The failure of a board of education to comply with section 5 does not relieve it from the obligation to thereafter provide for the payment of bonds issued in violation thereof.

Wilson v. Board of Education, 12 S. D., 536. 81 N. W., 952. CITIES APPLICATION OF TERM "ANY."

That the provision of the Constitution apply to all cities does not admit of doubt. Giving to the term "any" this construction, it would apply to all of the cities of the state, whether organized under special charers or under the general laws of the state.

Heyler v. City of Watertown, 16 S. D., 27. 91 N. W. 334.

TAX LEVY-LIMIT.

The provision of the laws of 1899 p. 44, c. 41, that the total county tax rate shall not exceed 8 mills on the dollar for all purposes, violates Art. 13, Sec. 5.

75.

Fremont, E. and M. V. R. Co. v. Pennington Co. et al 20 S. D. 270. 116 N. W. § 6. In order that the payment of the debts and liabilities contracted or incurred by and in behalf of the Territory of Dakota may be justly and equitably provided for and made, and in pursuance of the requirements of an act

1

of congress approved February 22, 1889, entitled "An Act to Provide for the Division of Dakota into two States and to Enable the People of North Dakota, South Dakota, Montana and Washington to form Constitutions and State Governments and to be Admitted into the Union on an Equal Footing with the Original States, and to Make Donations of Public Lands to such States" the States of North Dakota and South Dakota, by proceedings of a Joint Commission, duly appointed under said act, the sessions whereof were held in Bismarck in said State of North Dakota, from July 16, 1889, to July 31, 1889, inclusive, have agreed to the following adjustment of the amounts of the debts and liabilities of the Territory of Dakota which shall be assumed and paid by each of the States of North Dakota and South Dakota, respectively, to-wit:

1. This agreement shall take effect and be in force from and after the admission into the Union, as one of the United States of America, of either the State of North Dakota or the State of South Dakota.

2. The words "State of North Dakota" wherever used in this agreement, shall be taken to mean the Territory of North Dakota, in case the State of South Dakota shall be admitted into the Union prior to the admission into the Union of the State of North Dakota; and the words "State of South Dakota," wherever used in this agreement, shall betaken to mean the Territory of South Dakota in case the State of North Dakota shall be admitted into the Union prior to the admission into the Union of the State of South Dakota. 3. The said State of North Dakota shall assume and pay ail bonds issued by the Territory of Dakota to provide funds for the purchase, construction, repairs or maintenance of such public institutions, grounds or buildings as are located within the boundaries of North Dakota, and shall pay all warrants issued under and by virtue of that certain act of the Legislative assembly of the Territory of Dakota, approved March 3, 1889, entitled An Act to provide for the refunding of outstanding warrants drawn on the capitol building fund.

4. The said State of South Dakota shall assume and pay all bonds issued by the Territory of Dakota to provide funds for the purchase, construction, repairs or maintenance of such public institutions, grounds or buildings as are located within the boundaries of South Dakota.

5. That is to say: The State of North Dakota shall assume and pay the following bonds and indebtedness, to-wit: Bonds issued on account of the hospital for insane at Jamestown, North Dakota, the face aggregate of which is two hundred and sisty-six thousand dollars; also, bonds issued on account of the North Dakota University at Grand Forks, North Dakota; the face aggregate of which is ninety-six thousand seven hundred dollars; also, bonds issued on account of the penitentiary at Bismarck, North Dakota, the face aggregate of which is' ninety-three thousand six hundred dollars; also refunding capitol building warrants dated April 1, 1889, eighty-three thousand five hundred and seven dollars and forty-six cents.

And the State of South Dakota shall assume and pay the following bonds and indebtedness, to-wit: Bonds issued on account of the Hospital for the Insane at Yankton, South Dakota, the face aggregate of which is two hundred and ten thousand dollars; also, bonds issued on account of the school for deaf mutes, at Sioux Falls, South Dakota, the face aggregate of which is fifty-one thousand dollars; also, bonds issued on account of the University at Vermillion, South Dakota, the face aggregate of which is seventy-five thousand dollars; also, bonds issued on account of the penitentiary at Sioux Falls, South Dakota, the face aggregate of which is ninety-four thousand three hundred dollars; also, bonds issued on account of agricultural college, at Brookings, South Dakota, the face aggregate of which is ninety-seven thousand five hundred dollars; also bonds issued on account of the normal school