BRIDGE ACROSS THE TOMBIGBEE RIVER AT OR NEAR FULTON, MISS. DECEMBER 20, 1930.-Referred to the House Calendar and ordered to be printed Mr. HUDDLESTON, from the Committee on Interstate and Foreign Commerce, submitted the following REPORT [To accompany H. R. 15138] The Committee on Interstate and Foreign Commerce, to whom was referred the bill (H. R. 15138) granting the consent of Congress to the State Highway Commission and the Board of Supervisors of Itawamba County, Miss., to construct a bridge across Tombigbee River, having considered and amended the same, report thereon with a recommendation that is pass. Amend the bill as follows: Line 5, after the word "Mississsippi," strike out the word "and". A bill granting the consent of Congress to the State Highway Commission and the Board of Supervisors of Itawamba County, Mississippi, to construct a bridge across Tombigbee River at or near Fulton, Mississippi. The bill has the approval of the War and Agriculture Departments, as will appear by the letters attached, on H. R. 14678, a similar bill. WAR DEPARTMENT, December 16, 1930. Respectfully returned to the chairman Committee on Interstate and Foreign Commerce, House of Representatives. So far as the interests committed to this department are concerned I know of no objection to the favorable consideration of the accompanying bill (H. R. 14678, 71st Cong., 3d sess.), granting the consent of Congress to the board of supervisors of Itawamba County, Miss., to construct a bridge across Tombigbee River. PATRICK J. HURLEY, Hon. JAMES S. PARKER, DEPARTMENT OF AGRICULTURE, Washington, D. C., December 13, 1930. Chairman Committee on Interstate and Foreign Commerce, House of Representatives. DEAR Mr. PARKER: Careful consideration has been given to the bill H. R. 14678, transmitted with your letter of December 9 with request for a report thereon and such views relative thereto as the department might desire to communicate. This bill would authorize the board of supervisors of Itawamba County, Miss., their successors and assigns, to construct, maintain, and operate a bridge and approaches thereto across the Tombigbee River, at or near Fulton, in said county. The location indicated for the proposed bridge apparently would be on the system of Federal-aid highways approved for Mississippi. The proposed authorization would be granted to the board of supervisors of Itawamba County. Favorable action on the bill, therefore, is recommended. LOANS FOR THE RELIEF OF DRAINAGE DISTRICTS DECEMBER 20, 1930.-Committed to the Committee of the Whole House on the state of the Union and ordered to be printed Mr. SMITH of Idaho, from the Committee on Irrigation and Reclamation, submitted the following REPORT [To accompany S. 4123] The Committee on Irrigation and Reclamation, to whom was referred the bill (S. 4123) to provide for the aiding of farmers in any State by the making of loans to drainage districts, levee districts, levee and drainage districts, counties, boards of supervisors, and/or other political subdivisions and legal entities, and for other purposes, having carefully considered the same, recommend its passage with the following amendment: Strike out all following the enacting clause and insert in lieu thereof the following: That for the purpose of aiding the farmers in any State on lands which have been drained and/or irrigated and/or protected from the flood waters of a stream or streams or other waters by means of levees or other improvements by duly organized drainage districts, levee districts, levee and drainage districts, irriga tion and/or similar districts on other than Federal projects, counties, boards of supervisors, and/or other political subdivisions and legal entities existing under and by virtue of the laws of the State where located, where for the payment of such works there are now outstanding bonds, or warrants, certificates of indebted. ness, or other lawful indebtedness, and/or unpaid judgments, the Secretary of the Interior is authorized to loan, out of the revolving fund hereinafter created, to any such district or legal entity an amount sufficient to redeem such bonds, certificates of indebtedness, or lawful indebtedness, and unpaid judgments, warrants, and the accrued interest thereon, in the manner and under such restric tions and conditions as are hereinafter set forth. SEC. 2. Hereinafter, whenever the word "district" appears in the act it shall be interpreted to include drainage districts, levee districts, levee and drainage districts, irrigation and/or similar districts other than Federal projects, counties, boards of supervisors, and/or political subdivisions and legal entities; and whenever the word "bonds" appears in the act it shall be interpreted to include certificates of indebtedness, or other lawful indebtedness, and/or unpaid judgments, and/or warrants. SEC. 3. Loans shall be made only to the legally constituted authority which has issued the bonds, or its successor in interest and not unto it until the Secretary of the Interior has satisfied himself by such examination of the engineering works, for which the legal obligations were issued, as he may deem necessary, of the reasonably successful operation thereof, and that the lands designed to be benefited by these works are receiving benefit to a reasonable degree. The Secretary of the Interior shall make or cause to be made an appraisal of the value of the taxable property of each district making application for a loan, as well as of its economic value, and no loan may be made until the Secretary is satisfied it will be paid at maturity. Loans may be made annually or otherwise to take up the principal of and/or accrued interest on the aforesaid bonds already due and unpaid and/or as they become due: Provided, however, That when the amount of the loan applied for to take up the bonds already issued against the district applying for the loan is greater than the appraisal indicates would be paid at maturity, the Secretary may loan an amount which in his judgment would be secured as to payment at maturity, when and if the authority to bond a district and the holders of the outstanding bonds of said district by mutual agreement would agree to issue and to accept bonds the maturity of which shall be subsequent to the refunding bonds issued under the provisions of this act for the amount of the difference between the outstanding bonds and that which the Secretary would decide to loan for the Government, or to make other arrangements satisfactory to the Secretary of the Interior: Provided further, That the Secretary of the Interior before making the loan must be satisfied that satisfactory legal authority exists for and ample provisions have been made to annually tax the taxable property accepted as security for the bonds issued sufficient to pay the maintenance expenses of the district for a period equaling the life of the loan, and beginning at the end of 10 years the annual taxes must be sufficient to establish a sinking fund which will retire the loan at the maturity dates fixed by the Secretary of the Interior. All money collected for the sinking fund must be deposited in the Treasury of the United States to the credit of the debtor, but may be transferred into the revolving fund by the Treasurer of the United States on application by the Secretary of the Interior. SEC. 4. That the Secretary of the Interior is hereby authorized and empowered to negotiate with the owners and holders of the bonds and other evidences of debts of the various districts hereinbefore referred to for the purpose of compromising and reducing the amount of existing indebtedness, both of principal and interest, and the Secretary of the Interior is accordingly given full power and authority to make such adjustments before the loans herein provided are made. SEC. 5. Loans shall be made for a period not exceeding forty years, to be determined by the Secretary of the Interior in each case, which shall bear interest at a rate of 3 per centum per annum, payable annually: Provided, however, That during the first five years of the loan the interest may, in the discretion of the Secretary of the Interior, accrue and be payable during the succeeding years of the loan in equal annual installments. Loans shall be secured by the issuance and delivery to the Secretary of the Treasury by the legally constituted authority, refunding bonds payable to the United States in the amount of the loan, and it shall be and appear on the face of each bond that it is a lien on all the taxable property within said district and/or the benefits assessed against said property, and the Secretary of the Interior shall fix the dates of the maturities of said bonds: Provided, however, That no district may issue additional bonds for any purpose without having first obtained the written consent of the Secretary of the Interior, as long as it is in debt hereunder. SEC. 6. Whenever any district shall have sold any property in said district for unpaid taxes and shall have bought in the same, and shall hold the title to such land, then the Secretary of the Interior shall require, when any loan is made to said district, that the district allow the owner at the time of such sale and purchase, or his heirs at law, executors, administrators, or assigns to repurchase said land for no greater sum than that for which it was sold and purchased, plus taxes which have accrued on the same since the date of said sale: Provided, however, That the owner, his heirs at law, executors, administrators, assigns, or grantees shall exercise such right within two years after the date of said purchase by the district and the district shall, at the time of the exercising of the right to repurchase, hold title to the lands sought to be redeemed. SEC. 7. There is authorized to be appropriated, out of any money in the Treasury not otherwise appropriated, the sum of $95,000,000, or so much thereof as may be necessary, which amount shall be a revolving fund for the purpose of making loans under the provisions of this act: Provided, however, That the amount appropriated in any one year shall not exceed $19,000,000, but shall be in such amounts as shall be recommended by the Secretary of the Interior, and when appropriated shall be deposited by the Secretary of the Treasury in this fund. SEC. 8. The Secretary of the Interior shall make all reasonable and necessary regulations for carrying into effect the purposes of this act, and the actual expenses connected therewith shall be paid out of the money provided hereunder. The title of this act shall be amended to read as follows: To provide for the aiding of farmers in any State by the making of loans to drainage districts, levee districts, levee and drainage districts, irrigation and/or similar districts other than Federal projects, counties, boards of supervisors, and/or other political subdivisions and legal entities, and for other purposes. Passed the Senate June 17, 1930. EDWIN P. THAYER, Secretary. As has been so well set forth in Senate Report No. 769, on the pending bill, by Mr. McNary on May 29 last, it provides no aid in any form for new development or the bringing of new land into cultivation. The bill passed the Senate providing for noninterest-bearing bonds. The proposed amendment requires the districts to pay a 3 per cent annual interest charge on the money advanced. This bill does not call for a gift of money, but does provide for an extension of credit. The relief proposed under this bill is to be in the form of loans-loans adequately secured by first liens on the benefited farms, the repayment of which is further guaranteed by the fact that each loan is to have behind it the taxing power of the State. In a word, it is an extension of credit-a plan for refinancing distressed districts on a long-term basis. NOT AID FOR INDIVIDUALS BUT FOR COMMUNITIES It is not a plan to extend aid directly to individual farmers in their individual capacities, but it is a plan to aid farmers in their collective capacities where they have organized districts to install and maintain public works. It is the public works, the collective or community works authorized by and operated under authority of the law that are to be relieved by this bill. NO OPPORTUNITY FOR SPECULATION There is no provision in this bill that would afford an opportunity for speculation either in the bonds of any district or in the lands covered by the bonds. PRACTICAL RELIEF FOR UNEMPLOYMENT When a farmer loses title to his land, one of two courses is left open to him. He can go to work as a hired hand for some other farmer if he can find one who will employ him, or he can go to the city to look for a job. In this connection Secretary Hyde, of the United States Department of Agriculture, writing in the Saturday Evening Post of April 12 of this year, has supplied some official figures concerning the drift of population from the farms to the city. He gives the Government estimates on the net loss in farming population through the drift to the cities, as follows: For the year 1922, |