AGRICULTURAL CREDIT CORPORATIONS FEBRUARY 4, 1931.-Committed to the Committee of the Whole House on the state of the Union and ordered to be printed Mr. HAUGEN, from the Committee on Agriculture, submitted the following REPORT [To accompany S. 5441] The Committee on Agriculture, to whom was referred the bill (S. 5441) to assist in the organization of agricultural credit corporations, having considered the same, report thereon with a recommendation that it do pass with the following amendment: Page 2, line 5, strike out "of" and insert "or". [8. 5441, Seventy-first Congress, third session] AN ACT To assist in the organization of agricultural credit corporations Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That the Secretary of Agriculture is hereby authorized, in his discretion, to use not to exceed $5,000,000 of the $45,000,000 appropriated by Public Resolution Numbered 114, approved January 15, 1931, to make advances or loans to individuals in the drought and/or storm or hail stricken areas of the United States for the purpose of forming local agriculturalcredit corporations, livestock-loan companies, or like organizations, or in increasing the capital stock of such corporations qualified to do business with, or having the privilege of doing business with, the intermediate credit banks, or to which such privileges may be extended, and/or to make loans to individuals upon the security of the capital stock of such associations, companies, or organizations; such advances, subscriptions, payments, or loans to be made under such terms and conditions and subject to such regulations as in the opinion of the Secretary of Agriculture will best protect the interests of the United States and aid in extending credit to farmers. The bill was submitted to the Secretary of Agriculture by Hon. Joseph T. Robinson, author of the bill, for an expression of opinion thereon, and amendments were suggested as indicated in the following letter to Senator Robinson. The bill as reported herewith was amended by the Senate accordingly. TO AMEND THE ACT OF MAY 23, 1930 FEBRUARY 4, 1931.-Committed to the Committee of the Whole House on the state of the Union and ordered to be printed Mr. ARENTZ, from the Committee on the Public Lands, submitted the following REPORT [To accompany H. R. 15986] The Committee on the Public Lands, to whom was referred H. R. 15986, to amend the act of May 23, 1930 (46 Stat. 378), having considered the same, report favorably thereon and recommend that it do pass without amendment. The law which this legislation proposes to amend appears below: That the following-described land be, and the same is hereby, eliminated from the Tusayan National Forest, Arizona, and added to and made a part of the Western Navajo Indian Reservation, subject to all valid rights and claims of individuals initiated prior to the approval of this act: All that part of the Tusayan National Forest lying east of the Colorado River and north of the Little Colorado River, unsurveyed, but which will probably be when surveyed in townships 32, 33, 34, 35, and 36 north, ranges 5 and 6 east; all lands in township 31 north, range 6 east, which are now a part of the Tusayan National Forest; sections 1, 2, 3, 4, and 10 to 14, inclusive, east half section 23, sections 24 and 25, east half section 26 and sections 35 and 36, township 30 north, range 6 east; sections 27. to 34, inclusive, township 30 north, range 7 east; sections 1, 2, and 11 to 14, inclusive, sections 23 to 26, inclusive, sections 35 and 36, township 29 north, range 6 east; sections 3 to 10, inclusive, and sections 15 to 36, inclusive, township 29 north, range 7 east; section 1 and north half section 12, township 28 north, range 6 east; sections 1 to 23, inclusive, and sections 29 to 32, inclusive, township 28 north, range 7 east; Gila and Salt River base and meridian, Arizona: Provided, That all unappropriated and unreserved public lands in sections 24 to 28, inclusive, and sections 33 to 36, inclusive, in township 28 north, range 7 east, Gila and Salt River base and meridian, Arizona, be, and the same are hereby, added to and made a part of the Western Navajo Indian Reservation, subject to all valid rights and claims of individuals initiated prior to approval of this act. The section of the act approved May 23, 1930 (46 Stat. 378), referred to in this legislation, and which is amended by the same, appears below, together with the amendment set forth by this measure, which is set out in italics. That section 1 of the act of May 23, 1930 (46 Stat. 378), entitled “An act to eliminate certain lands from the Tusayan National Forest, Arizona, as an addition to the Western Navajo Indian Reservation," be, and the same is hereby, amended so as to include the following-described lands subject to all the conditions and provisions. ★2-7-31 Hen. JOSEPH T. ROBINSON, United States Senate. JANUARY 15, 1931. DEAR SENATOR: The suggestion in your telegram of January 2, from Little Rock, that funds be made available to assist farmers and business men in setting up credit corporations to make production loans to farmers whose notes would then be rediscounted with intermediate credit banks, appeals strongly to me. This matter was discussed with several persons while the seed loan resolution was before Congress, and brief reference was made to it when I appeared before the House Committee on Agriculture. The authorizing resolution, however, had then passed the Senate and the members of the committee evidently felt that final agreement on the resolution might be delayed if new proposals were added to it. Our thought then was that the department might make direct subscriptions to the capital stock of such credit corporations, but the proposal in your bill (S. 5441), that loans be made to individuals, who in turn will make stock subscriptions, seems to be a better plan. Since the appropriation of Federal funds to be loaned for purposes which would provide a basis for obtaining more funds from Federal agencies would probably be unsound as a permanent policy, I am suggesting that this bill be made an amendment to the drought relief bill, and that a sum not to exceed $5,000,000 be authorized to be loaned out of the $45,000,000 for the purpose outlined in your bill. I am writing Senator McNary reporting favorably on your bill, but am suggesting that authorization be given me to make loans for stock subscriptions to an amount not in excess of $5,000,000 out of the $45,000,000 authorized for seed and fertilizer loans under Public Resolution 112. It is the belief of this department that if credit corporations could be set up in such areas as eastern Arkansas and the Delta section of Mississippi, the needs of large plantation owners who have some basis of credit could be met much more satisfactory through loans from these corporations than by direct loans from this department. Many of these plantation owners have a sufficient basis of credit to obtain loans from commercial banks, but through recent closing of banks local credit facilities are not available. Accordingly, the department has drawn up a proposed amendment, broader in scope than the one submitted by you. It will be observed that in the proposed amendment which we are submitting to Senator McNary, agricultural credit associations, livestock loan companies, or like organizations which may now or may in the future be authorized to rediscount their notes with the Federal intermediate credit banks, have been included. It is believed that this broader language will better accomplish the purposes intended. A copy of the suggested amendment is inclosed for your information. I shall be glad to discuss this matter with you at any time you may desire. ARTHUR M. HYDE, Secretary. Sincerely, О TO AMEND THE ACT OF MAY 23, 1930 FEBRUARY 4, 1931.-Committed to the Committee of the Whole House on the state of the Union and ordered to be printed Mr. ARENTZ, from the Committee on the Public Lands, submitted the following REPORT [To accompany H. R. 15986] The Committee on the Public Lands, to whom was referred H. R. 15986, to amend the act of May 23, 1930 (46 Stat. 378), having considered the same, report favorably thereon and recommend that it do pass without amendment. The law which this legislation proposes to amend appears below. That the following-described land be, and the same is hereby, eliminated from the Tusayan National Forest, Arizona, and added to and made a part of the Western Navajo Indian Reservation, subject to all valid rights and claims of individuals initiated prior to the approval of this act: All that part of the Tusayan National Forest lying east of the Colorado River and north of the Little Colorado River, unsurveyed, but which will probably be when surveyed in townships 32, 33, 34, 35, and 36 north, ranges 5 and 6 east; all lands in township 31 north, range 6 east, which are now a part of the Tusayan National Forest; sections 1, 2, 3, 4, and 10 to 14, inclusive, east half section 23, sections 24 and 25, east half section 26 and sections 35 and 36, township 30 north, range 6 east; sections 27. to 34, inclusive, township 30 north, range 7 east; sections 1, 2, and 11 to 14, inclusive, sections 23 to 26, inclusive, sections 35 and 36, township 29 north, range 6 east; sections 3 to 10, inclusive, and sections 15 to 36, inclusive, township 29 north, range 7 east; section 1 and north half section 12, township 28 north, range 6 east; sections 1 to 23, inclusive, and sections 29 to 32, inclusive, township 28 north, range 7 east; Gila and Salt River base and meridian, Arizona: Provided, That all unappropriated and unreserved public lands in sections 24 to 28, inclusive, and sections 33 to 36, inclusive, in township 28 north, range 7 east, Gila and Salt River base and meridian, Arizona, be, and the same are hereby, added to and made a part of the Western Navajo Indian Reservation, subject to all valid rights and claims of individuals initiated prior to approval of this act. The section of the act approved May 23, 1930 (46 Stat. 378), referred to in this legislation, and which is amended by the same, appears below, together with the amendment set forth by this measure, which is set out in italics. That section 1 of the act of May 23, 1930 (46 Stat. 378), entitled "An act to eliminate certain lands from the Tusayan National Forest, Arizona, as an addition to the Western Navajo Indian Reservation," be, and the same is hereby, amended so as to include the following-described lands subject to all the conditions and provisions ★2-7-31 |