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No. 3.

1844.

ANNUAL REPORT

Of the Commissioner of the State Land Office.

STATE LAND Office,

Marshall, December 1, 1843.

To His Excellency, JOHN S. BARRY:

SIR: In obedience to the requirements of the "Act to organize a Land Office, and to regulate the sale of the public lands," I respectfully submit the following Report:

After some time necessarily spent in arrangements for the opening of the office; in receiving books and papers transferred by law from the office of the Superintendent of Public Instruction, and in exam. inations of the same with the Auditor General preparatory to the taking of such transcripts and copies thereof, as he deemed requisite to be kept in his office, agreeably to the provisions of the 7th section of the act aforesaid, the office was opened for the regular transaction of business on the 20th April last, previous notice of which had been given in the newspapers.

In reviewing the operations of this office, during the past fiscal year, the several classes of lands, and the respective funds to which they belong, and the existing laws as well as suggestions of alterations therein, will be distinctively and separately noticed, as calculated to exhibit a more full, clear and comprehensive statement.

The lands owned or controlled by the state, and the disposition and care of which this office is charged, may be classed as follows: 1st. The University Lands,

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4th. Internal Improvement Lands, which embraces the half million acres granted by act of Congress September 4th, 1841, the Salt

Spring lands, and the lands received among the assets of the Michigan State Bank, denominated "asset lands."

5th. Escheated Lands, under tax sales.

The following statement exhibits the financial operations in the two first classes named, during the last fiscal year.

Sales and Receipts from December 1, 1842, to November 30, 1843,

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Payment of which amount has been made as follows:

To late Superintendent, on account of prin

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Payment of which amount has been made as follows:

To late Superintendent, on account of

principal,

On account of interest,

$6,469 53

5,293 11

$11,762 64

At land-office and treasury, of principal, $8,397 37,

Of interest and rents,

14,274 22

22,671 59

Total amount of receipts,

Total amount of sales of university and school lands,

Total amount of receipts to credit of both funds,

$34,434 23

$51,301 56

$43,924 88

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Total amount received at all offices during the year,

*In addition to these amounts, there are due the University Fund $94 37, and the School Interest Fund, $239 41, for rents; for which promissory notes, with suretics, have been taken during the year.

$29,711 98.

$43,924 88

On comparison of the sales for the last year, with those of the year previous, it is seen that the latter exceed the former in university lands, by $7,338 59, and in school lands, by $48,650 86. This excess is reasonably accounted for by the large amount of forfeited lands which had accumulated for several years, and which were, during that year, for the first time re-offered and sold; and from the fact that no competition in sales of lands, at a lower price, then existed, as has been the case during the last year, since the internal improvement lands were brought into market, the prices and situation of which have offered great inducements to purchasers.

An excess of interest moneys, received to the credit of both funds during the year 1842, over the receipts of the same the last year, is also found on comparison, amounting in the university interest fund, to $3,046 17, and in the school interest fund, to $8,756 20; an explanation of the cause of which, will be discovered in the fact that purchasers generally have been paying, for the last year, interest on their several amounts of purchase, reduced nearly forty per cent, the effect of the "act to reduce the price of university and school lands, and for other purposes," approved February 15, 1842.

Schedules, appended, marked A and B, exhibit, in detail, the number of acres of university and school lands sold, and schedule, marked C, of all lands leased during the past year, together with the amounts received therefor, and the names of the persons paying the same; information seemingly of but little value, if not entirely useless, but given because required by law.

Much difficulty has been experienced in the sales of forfeited lands which were improved, on account of deficiency in the laws regulating sales, which the Superintendent, in his last annual report, states, he was compelled, for the protection and benefit of those funds, to supply by the exercise of his own discretion.

The cases alluded to, are such as where purchasers, after making certain payments, forfeits the land by reason of non-payment of subsequent dues, having previously improved and cultivated the same,

the law requiring the land to be again re-offered at public sale. The question is, shall the same, if school land, be offered at the minimum price of five dollars per acre, and if university land, at the minimum of twelve dollars per acre?

It seems to me reasonable and right, that these improvements should be made available to the several funds. It is no more than a common sense business transaction, to require more for an improved and cultivated farm, than for an unimproved tract of the same extent adjoining. In many instances, the value of improvements will exceed the entire cost of the land at the minimum price.

A remedy, to some extent, has been found in the law organizing this office. The thirty-second section authorizes the "commissioner, auditor general, secretary of state, and state treasurer, to appraise all the improved property belonging to the state, that has been derived from the Michigan state bank assets, or from any other source;" which, although not very specific in its application, the appraisers above named deemed sufficiently authorative for their action under its provisions; and, upon deliberation of this subject at a meeting in the city of Detroit, they resolved as follows:

"1st. That the requirement contained in the 32d section of the Act organizing the State Land Office, is believed to extend to and include the appraisement ot University and School lands which have been sold, afterwards forfeited and reverted to the State, upon which improvements have been made.

"2nd. That it may be necessary and important for the benefit of the University and School funds, that such improved lands as are above mentioned should be appraised, in order that the value of the improvements may be secured and obtained.

"3d. That it is necessary that such appraisment, and the r turn thereof should be made before the time prescribed for the sale in each county.

"4th. That on account of the demand for their personal attention to the discharge of their more appropriate official duties respectively; the apparent impossibility to devote the time necessarily required in visiting and examining each improved tract; and on account of the very large amount of expense which must consequently be incurred in such proceeding, they are of opinion that it is inexpedient and im

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