Upon completion of the project or any section thereof, the contractor shall notify the state land department that he is prepared to supply water to the land designated in his application, or any particular tract thereof, whereupon the department shall request the department of the interior that a patent to such land be issued to the state, and notice shall be given to each settler of that fact. Within three years thereafter, each settler shall appear before the state land department and make final proof of reclamation, settlement and occupation, and make final payment for the land entered upon by him. Upon final payment the state, through the state land department, shall issue to the settler a patent for the land entered upon.