^Sec[Section] 1^
Be it enacted by the people of the State of Illinois represented in the General Assembly; That the Commissioners of the school fund are hereby required to provide a well bound book, in which they shall keep the accounts of the school, college and seminary funds; the accounts shall be kept separately in the manner following: The Commissioners shall charge themselves with the amount of each sum received on the date of receiving the same and credit themselves with each sum paid and loaned out, showing the date of each payment or loan; they shall charge the state with the state paper and Auditor’s Warrants purchased, ^showing the date and amount of each purchase^ and shall charge interest on the said state paper and Auditor[’]s Warrants at the rate of two per cent per annum, from the date of purchase to the fifteenth of February, one thousand eight hundred and thirty one, and on that day add the interest to the principal, and then charge interest on the sum produced by such addition, at the rate of six per cent per annum for one year, and at the end of every year thereafter, the interest shall be added to the principal, and bear interest at the rate aforesaid the succeeding year; they shall in like manner charge the state with each sum loaned, showing the date and amount of each loan, and charge interest on

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such loan or loans, at the rate of six per cent per annum for one year, and at the end of every year the interest shall be added to the principal and bear interest at the rate aforesaid. The accounts shall be continued in manner aforesaid to the last day of December in the year one thousand eight hundred and thirty three, and on that day the interest shall be added to the principal of each sum, and the sums produced by such addition are hereby declared to be principal; and interest shall thereafter be charged upon the said principal in the manner aforesaid, until the state shall refund the same; and no part of said principal shall be paid out as interest, nor unless expressly authorized1 by law, nor shall any law providing for the appropriation of interest on either of said funds, be so construed as to apply to interest accruing previous to the said last day of December one thousand eight hundred and thirty three.

Sec 2 The Commissioners of the school fund of the state shall annually loan to the school fund the interest of the college and seminary funds, to be added to the interest of the school and township funds, for distribution among the several schools in the state, established under this law.

Sec 3 The Commissioners of the school fund of the state are hereby required to distribute and pay out the interest

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are hereby required to distribute and pay out the interest which may have accrued on the said school college and seminary funds, on the first Monday of January, in the year one thousand eight hundred and thirty six, and on the first Monday in January annually thereafter, for the encouragement of learning in the manner and upon the terms and conditions hereinafter provided.

Sec 4 The Commissioners of the school fund shall ascertain from the returns of the census to be taken in the year one thousand eight hundred and thirty five the number of white persons in each county under twenty years of age, and also the amount of interest due the several funds aforesaid on the first day of January 1836. and apportion the interest among the several counties in proportion to the number of persons under the age aforesaid, and certify the amount due to each county, to the auditor whose duty it shall be to issue a warrant on the Treasurer in favor of each school Commissioner for the amount due to his county, and the interest shall be apportioned annually thereafter and distributed as aforesaid, until the next census shall have been taken and on the first day of January in every year next after the taking of the census of the state, the said

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commissioners shall make a new apportionment of Interest and cause the same to be distributed in the manner and upon the terms aforesaid.

Sec 5 It shall be the duty of the school commissioners of counties to receive from the Treasurer the amount of any and all warrants which may be drawn in manner and for the purposes aforesaid, and to distribute the same among the teachers of schools who may have kept schools in conformity with the provisions of the act entitled “An act to provide for the application of the Interest of the fund arising from the sale of school Lands belonging to the several Townships in this state approved first of March 1833” provided, that no teacher shall be entitled to receive more than one half of the amount due him for services rendered within the twelve months preceding the first of November previous to the time of making such distribution and if the Interest in the hands of a school Commissioner in any county shall at the time of distribution, amount to more than enough to pay one half of the amount due the teachers in his county, then the overplus shall be set apart as a county Fund, and shall never

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thereafter be subject to distribution, but shall forever remain as a principal fund to be denominated the county school fund to be loaned out by the school Commissioner of the County as Township funds; and the Interest accruing thereon, shall be subject to distribution for the support of schools, in the county, in the same manner, and under the like regulations as is, or may be prescribed for the distribution of the Interest on the state fund, provided that in making the distribution of the state fund for the present year, no teacher shall be paid for any services rendered before the first day of June next.

Sec 6 No part of any township fund shall be made to constitute any part of a county fund; and teachers employed in Townships having no productive fund who keep schedules and make returns as is required in Townships having productive funds, shall be entitled to a distributive share of the state fund, and the Township funds shall be paid to teachers at the time now required by law.