Papers Of Abraham Lincoln

In force, Mar.[March] 1, 1839.

AN ACT supplemental to the act, entitled “An act to provide for a loan for canal purposes.”
1

Money borrowed to be deposited in bank.

Sec.[Section] 1. Be it enacted by the People of the State of Illinois, represented in the General Assembly, That in contracting for loans and for the reception of money under the provisions of the act, entitled “An act to provide for a loan for canal purpose,” passed during the present session of the General Assembly, it shall be lawful to provide for receiving the money in sums over one hundred thousand dollars, if, by doing so, money can be obtained upon better terms; and the money borrowed under the provisions of the act aforesaid, shall be deposited in some safe bank or banks in the United States, at the best rate of interest that can be obtained for the same, subject to be withdrawn as it may be required for use on the canal.

Canal Com’rs[Commissioners] to pay interest.

Sec. 2. The Canal Commissioners shall pay all interest hereafter accruing upon money borrowed for canal purposes under the direction of the Governor, out of the canal fund.

Temporary loan.

Am’t[Amount] of loan.

Sec. 3. In executing the power conferred upon the Governor by the act recited in the first section of this act, it shall be lawful to procure a temporary loan for immediate use, by

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the hypothecation of bonds or certificates of stock, upon such terms and for such period of time as may be best calculated to subserve the public interest; such loan not to exceed in amount the sum of one million of dollars, Provided, That no higher or greater rate of interest shall be paid than six per cent. per annum upon the money borrowed.2

Approved, March 1, 1839.

1Archer G. Herndon introduced SB 146, originally titled “A Bill in relation to the Governor of this State,” in the Senate on January 28, 1839. On February 5, the Senate referred the bill to the Committee on the Judiciary. The Committee on the Judiciary reported back the bill on February 26 with an amendment, in which the Senate concurred. The Senate passed the bill as amended, amending the title so as to read “A Bill Supplemental to the Act, Entitled ‘An Act to Provide for a Loan for Canal Purposes.’” On February 26, the House of Representatives amended the bill by adding a third section. The House passed the bill as amended. On February 27, the Senate rejected the House amendment by a vote of 9 yeas to 19 nays. The Senate re-considered this vote, amending the House amendment by adding a proviso. The Senate concurred with the House amendment as amended. On February 28, the House concurred with the Senate amendment to its amendment. On March 1, the Council of Revision approved the bill and the act became law.
Illinois House Journal. 1838. 11th G. A., 1st sess., 518, 526-27, 541, 556, 573; Illinois Senate Journal. 1838. 11th G. A., 1st sess., 236, 277, 420, 441, 443-44, 455, 474, 476.

2On February 26, 1839, the Senate amended the bill title. On the same day, the House of Representatives amended the bill by adding the third section. On February 27, the Senate initially rejected the House amendment, but later amended it by adding the proviso.
Journal of the House of Representatives of the Eleventh General Assembly of the State of Illinois, at Their First Session, Begun and Held in the Town of Vandalia, December 3, 1838 (Vandalia,IL: William Walters, 1838), 527; Journal of the Senate of the Eleventh General Assembly of the State of Illinois, at Their First Session, Begun and Held in the Town of Vandalia, December 3, 1838 (Vandalia, IL; William Walters, 1838), 420, 443.