1. Except as otherwise provided in subsection 3, the State Treasurer shall:

(a) Make diligent inquiry as to the financial standing and responsibility of any state, county or person in whose bonds or securities on agricultural lands the State Treasurer proposes to invest.

(b) Require the Attorney General to:

(1) Give his or her written legal opinion as to the validity of any act of any state or county under which the bonds or securities are issued and authorized and in which the State Treasurer contemplates investment.

(2) Examine and give his or her written opinion upon the title and the abstract of title of all agricultural land on which the State contemplates taking mortgages.

2. If the State Treasurer is satisfied as to the financial standing and responsibility of the state or county whose bonds or securities the State Treasurer proposes to purchase, or is satisfied of the financial standing and responsibility of the person whose mortgages on agricultural land are offered to the State, and the Attorney General gives his or her written opinion that the act under which the bonds or securities are issued is valid and that the issues were regularly made, or approves the abstract of title of the agricultural land proposed to be mortgaged, the State Treasurer may make the investment.

3. The provisions of this section do not apply to loans of money from the State Permanent School Fund made pursuant to NRS 387.526.

[Part 2:212:1917; A 1925, 221; 1919 RL p. 3146; NCL § 6963] — (NRS A 1979, 570; 1981, 361; 1997, 2713; 1999, 599)