Federal appropriations for disbursement in New Mexico, etc.-Continued.

The general election for the selection of a Delegate to Congress, members of the thirty-fifth legislative assembly, and county officials will occur on November 4, 1902, and the preparations for this event have busied the force of this office for some time past. Registration and poll books have been printed and forwarded to about 500 precincts in the several counties, and everything is now in readiness in so far as this department is concerned.

In addition to the canvass of the vote for Delegate, as required by act of Congress, it it now incumbent upon the secretary, under the provisions of an act of the Territorial legislature, to canvass the vote for members of the legislative assembly whenever such members represent districts composed of more than one county. As there are but two counties in the Territory which compose separate districts, this procedure will involve considerable additional work, and it is more than ever important that every effort be made to enforce prompt compliance with the law requiring that poll books and certified statements of the county boards of canvassers be returned to this office within fifteen days after the election."

COMMISSIONS.

During 1901 commissions were issued to 11 commissioners of deeds for New Mexico in other States, to 205 notaries public in the several counties, and to 129 Territorial officials, members of Territorial boards, and committees for various purposes.

Commissioners of deeds for New Mexico in other States and countries.

BANK STATEMENTS.

The law requires that State and savings banks make a semiannual report to this department. In order to obtain a more complete review of the banking resources of New Mexico, the secretary undertook to supplement this report by adding a statement from the national banks in the Territory, and through the courtesy of the various institutions there will be found in Table I a complete summary of the reports of national as well as State banks doing business in New Mexico. In numbers, deposits, and gross assets the banks, both national and State, show a very gratifying increase during the last year, and the statements will be found to compare favorably with those of country banks in any other portion of the trans-Mississippi region.

CORPORATIONS.

A glance at Table II will convince one that in matters pertaining to business corporations we are receiving the attention of a diversified field. The word "foreign" indicates that the corporation was organized originally under the laws of the various States designated, and has obtained authority to do business in New Mexico. "Domestic" corporations are those organized under our laws. In the latter class probably 75 per cent of the capital represented is advanced by persons in the Eastern money centers, and this fact shows that such people are ready and willing to invest in enterprises the objects of which are developinent of our natural resources.

In Table III is specified the character of charter asked by the various corporations. The increase in the number of manufacturing and mining companies is encouraging, while the continued increase in mileage of railways proposed promises an early fulfillment of our greatest need. All of the mileage proposed by these companies is bona fide, is at present under construction or survey, and when completed will result in a marked increase in the business of the sections thus opened.

The amounts received as filing fees from corporations and paid over to the treasurer of the Territory have been steadily increasing for several years, and the sums are now considerable, as indicated in Table IV.

The liberal character of our corporation law is gradually attracting attention, and capital frequently incorporates here for the purpose of conducting operations in other States and in the Republic of Mexico. The fact that our law does not require the payment of an annual franchise tax is one of the most attractive features, and if more generally understood would undoubtedly result in making New Mexico the domicile of many large enterprises.

This office is daily in receipt of requests from all parts of the United States and Canada for information regarding our corporation laws. As nothing of the kind is furnished the secretary, either for sale or distribution, he has compiled and printed at his own expense an outline of the procedure and fees necessary for legally forming a corporation in New Mexico. As this matter is of prime importance to the prospective investor, a copy of the instruction is given below.

SKELETON ABSTRACT OF LAWS GOVERNING THE FORMATION OF CORPORATIONS IN NEW MEXICO.

(Careful compliance with these provisions will obviate delays incident to returning copies for correction.)

(1) Corporations may be formed for benevolent, charitable, educational, and scientific purposes, and for any legitimate business enterprise.

(Special provisions for railroads, irrigation companies, banks, and building and loan associations.)

(2) Any three or more persons who desire to form a company for one or more of the above purposes shall make, sign, acknowledge before some official competent to take the acknowledgment of deeds, and file in the office of the secretary of the Territory their articles in writing, setting forth

I. The full name of such persons.

II. The corporate name of the company.

III. The objects for which the company shall be formed.

IV. The amount of capital stock and number of shares into which divided.

V. The term of existence not to exceed fifty years.

VI. The number of directors, and their names, who shall manage the concerns of the company for the first three months.

(The board of directors must consist of at least three members who are stockholders, a majority citizens of the United States and one-third residents of New Mexico.) VII. The name of the city or town and county where the principal place of business is to be located.

(Whenever a majority of the stock is owned in another State or Territory the principal office of such company may be located in such State or Territory, and meetings

of stockholders and directors may be held there: Provided, That such company shall file with the secretary of New Mexico a certificate designating a principal place of business in this Territory and agent residing thereat, upon whom process may be served, in the same manner as is required by foreign corporations.)

VIII. Date, signatures, and acknowledgment in the same manner as deeds are required to be acknowledged.

(3) A copy of such articles or certificates, certified by the secretary of the Territory, shall be filed in the office of the probate clerk in the county where the principal place of business of the corporation is located, and it shall be a misdemeanor for any probate clerk to file or record in his office any incorporation papers or copies thereof that do not contain the certificate of record by the secretary of the Territory.

(4) Within thirty days after filing articles in the office of the Territorial secretary all new corporations are required to publish a certified copy of their articles of incorporation in one issue of a newspaper having a general circulation in the county in which the principal place of business is located. (Laws 1901.)

(5) If any corporation fail to organize and commence the transaction of business within two years from the date of filing articles its corporate powers shall cease.

FEES OF SECRETARY'S OFFice.

Upon the advice of the solicitor-general it has been ruled that when a corporation proposes to engage in more than one line of business, fees must be collected for that particular object which requires the largest payment.

All corporations organized under the laws of New Mexico or under the laws of any other Territory, State, or country shall, before doing business in this Territory, file in the office of the secretary of New Mexico articles of incorporation in writing, according to law in such case provided, and at the time of such filing the secretary shall collect the following fees:

(1) Railroads: Under the railway incorporation act, basal fee $100, plus $1 per mile for each mile of road to be constructed or operated in this Territory.

(2) Mining, milling, and smelting companies: Capital $100,000 or less, $25. For each additional $100,000 or fractional part thereof, $5.

(3) Companies for colonization and improvement of lands, irrigation companies, sugar-beet and beet-sugar companies: Capital $50,000 or less, $15. For each additional $10,000 or fractional part thereof, $1.

(4) Building and loan associations: Capital $25,000 or less, $25. tional $10,000 or fractional part thereof, $1.

For each addi

(5) Manufacturing and other industrial purposes not specified above: Capital $10,000 or less, $10. For each additional $5,000 or fractional part thereof, $2. (6) Benevolent, charitable, educational, and scientific purposes, $1.

(7) Increase or decrease of capital stock of companies mentioned in 1, 2, 3, 4, and 5, 25 cents per $1,000. Amendments to articles other than increase or decrease of capital, $10. Any amendment to articles of companies mentioned in 6, $1. Certificate designating agent and place of business in New Mexico, $1.

Of fees collected under 6 and 7, $1 to secretary. Of fees collected under 1, 2, 3, 4, and 5, $5 to secretary. Remainder paid to treasurer of Territory quarterly.

For certified copies of any documents on file the secretary shall collect $1 plus 10 cents per folio of 100 words.

INCREASED BUSINESS-APPROPRIATIONS.

What with handling a portion of the election machinery, the mileage and per diem accounts of members of the legislature, editing and distributing the laws, answering inquiries addressed to numerous commissions which do not exist in this Territory, and attending to corporation and other matters as indicated throughout this report, the business of this office has assumed an extremely vicarious form. Then, too, the volume of business is increasing constantly in each department.

In earlier days all salaries and legislative expenses were paid direct from Washington, but the secretary now acts as a special disbursing officer, without compensation, and is obliged to furnish bond in a large amount. This disbursing of Government funds involves a great volume of work without any remuneration. During the absence of the governor the secretary is obliged by law to assume the duties and responsibilities of that office, entailing considerable additional work, also without remuneration.

An act of Congress (May 1, 1876, R. S., sec. 1845) provides that the salary of the secretary shall be $2,500 per annum, while the amount appropriated has been but $1,800. Such compensation at present seems rather inadequate, when the increased duties and responsibilities of the office are considered.

For these reasons I have the honor to suggest that this matter be brought to the attention of the Secretary of the Interior, with a request that there be appropriated the full amount allowed by law, as that is more nearly commensurate with the responsibilities of the position.

TABLE I.-National and State banks in New Mexico, July, 1902.

TABLE III.-Character of corporation charters issued for the fiscal years 1901, 1902.

TABLE IV.-Incorporation fees paid Territorial treasurer for the fiscal years 1901, 1902

SIR: I have the honor to inclose herewith a report on the railroad situation in New Mexico on June 30, 1902, for your annual report to the Secretary of the Interior. Very respectfully,

MAX FROST,

Secretary New Mexico Bureau of Immigration.

Hon. M. A. OTERO,

Governor of New Mexico.