
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 2, 2001]
[Document not affected by Public Laws enacted between
  January 2, 2001 and January 28, 2002]
[CITE: 7USC304]

 
                          TITLE 7--AGRICULTURE
 
            CHAPTER 13--AGRICULTURAL AND MECHANICAL COLLEGES
 
              SUBCHAPTER I--COLLEGE-AID LAND APPROPRIATION
 
Sec. 304. Investment of proceeds of sale of land or scrip

    All moneys derived from the sale of lands as provided in section 302 
of this title by the States to which lands are apportioned and from the 
sales of land scrip provided for in said section shall be invested in 
bonds of the United States or of the States or some other safe bonds; or 
the same may be invested by the States having no State bonds, in any 
manner after the legislatures of such States shall have assented thereto 
and engaged that such funds shall yield a fair and reasonable rate of 
return, to be fixed by the State legislatures, and that the principal 
thereof shall forever remain unimpaired: Provided, That the moneys so 
invested or loaned shall constitute a perpetual fund, the capital of 
which shall remain forever undiminished (except so far as may be 
provided in section 305 of this title), and the interest of which shall 
be inviolably appropriated, by each State which may take and claim the 
benefit of this subchapter, to the endowment, support, and maintenance 
of at least one college where the leading object shall be, without 
excluding other scientific and classical studies and including military 
tactics, to teach such branches of learning as are related to 
agriculture and the mechanic arts, in such manner as the legislatures of 
the States may respectively prescribe, in order to promote the liberal 
and practical education of the industrial classes in the several 
pursuits and professions in life.

(July 2, 1862, ch. 130, Sec. 4, 12 Stat. 504; Mar. 3, 1883, ch. 102, 22 
Stat. 484; Apr. 13, 1926, ch. 130, 44 Stat. 247.)


                               Amendments

    1926--Act Apr. 13, 1926, substituted ``bonds'' for ``stocks'' and 
``a fair and reasonable rate of return, to be fixed by the State 
Legislatures'' for ``not less than 5 per centum upon the amount so 
invested'', before proviso.
    1883--Act Mar. 3, 1883, inserted ``or the same may be invested by 
the States having no State stocks, in any other manner after the 
legislatures of such States shall have assented thereto, and engaged 
that such funds shall'' after ``other safe stocks'' and substituted 
``yield'' for ``yielding'', ``principal'' for ``capital'' and 
``unimpaired'' for ``undiminished''.

                  Section Referred to in Other Sections

    This section is referred to in section 305 of this title.
