§ 11-34-108 — Loans on lands subject to preexisting liens; effect

The board may loan money on and take as security farm lands
subject to liens, charges or assessments for drainage,
reclamation or irrigation purposes, payable in installments, not
due at the time of making the loan, and the mortgage taken to
secure the loan shall, notwithstanding the liens, charges or
assessments, be deemed a first mortgage within the meaning of
this act. The amount of the liens, charges or assessments shall
be considered by the board in determining the amount to be
loaned on the farm lands.