During the war the company had great difficulty in borrowing money on the settlers' mortgages. They had to pay a high rate of interest. Since the end of the war, however, the company has been able through the banks of the financial centers of the North Middle West to float a large number of collateral bonds on mortgages. These bonds at the present time sell to the general public at 6 per cent. The company, its president stated, must pay the cost of trusteeship commission on sale of bonds, etc., which brings the rate which the company pays to a fair amount above the 6 per cent which the ultimate investor receives. At the present time there is no difficulty in financing the organization, although it would be very desirable to have state and Federal assistance.

Bills providing for such assistance have been introduced in the state legislatures of all of the northwest states. Congressman Knutson at Washington has introduced a land credit bill to provide capital for the development by land colonization of the agricultural resources of the nation, providing for certain privileges to soldier settlers, and creating a National Colonization Board.[7]

CONSERVATION OF WOODED LAND

While the company has made provision for the conservation of riparian rights, for roads, and even for town sites, it has done little for the conservation of wooded land. It has preserved the woodland on river banks and 160 acres of timber in one colony, and it has planted about 15,000 small pine trees. Moreover, the company encourages the conservation of woodland by the settlers, advising them to keep in timber from five to ten acres for each farm.

How far the settlers will follow this good advice remains to be seen, while the conservation of wooded land by the company is inadequate. This the company's local officials admitted, but they reasoned that it would hardly be advisable for a single company, or even a number of companies, to attempt to conserve wooded land or other natural resources the return from which would be in the far distant future. It would be advisable for the state, or even for the Federal government, to make provisions and necessary regulations for the conservation of wooded land and other natural resources upon which the well-being of the public at large depends.

THE SIZE OF A COLONY

A number of Polish settlers in one of the colonies visited expressed the desire to have a Polish church and school. They believed that if the national Catholic Church organization would help them, they themselves would be able to maintain their church and school.

This fact led the writer to a discussion with the company's officials as to the advisable size of a compact colony of the same nationality. They stated that if an immigrant family is established among settlers of another nationality, the family becomes lonely and desperate and after a year or two of such loneliness is apt to leave the farm, no matter how successful it has been in buying and cultivating the land. Therefore the company's policy is to settle the people of the same nationality together.

The writer asked whether, if a colony of one nationality is large, having a hundred or several hundred families, the resulting conditions would not make for separation and isolation. They would have intimate intercourse only with one another, would establish a church and school of their own nationality, and would even develop their own town and elect their own local government officials. The company's officers admitted that this would possibly happen; they said that the company had not yet decided how large a colony of one nationality, in the same locality or neighborhood, it would develop.

The personal opinion of one of the officials was that from fifteen to twenty-five families of one nationality in the same neighborhood would not be a source of danger because of becoming clannish and remaining un-Americanized for a generation or a number of generations. A colony of such size would not be able to maintain a church and school of its own nationality. As to the danger of inbreeding, the officials pointed out that the church rules and state laws would prohibit it, and said that, furthermore, the immigrants, having friends and acquaintances elsewhere in the country, would marry into other groups of immigrants.