Show BILl ILL TO HELP f DIVERSIFY fARM CROPS IS READY Committee to Report Favorably Favorably Favorably Fa Fa- Fa- Fa on Proposal to to Establish Fund for Small Loans WASHINGTON Jan 26 26 Aller After several weeks' weeks hearings the senate agriculture committee today began preparations to perfect the Nor- Nor Burtness beck-Burtness crop diversification bill and report It to tho the senate early next week as the first step in a program for farm relief Amendments to the bill were discussed discussed discussed dis dis- dis- dis cussed at a closed session of ot the committee after atter Secretary Wallace had appeared at a public hearing and indorsed tho the McNary McNary-Haugen bill to create an agricultural export corporation It was understood that a a. majority of ot the committee gave their approval approval approval ap ap- ap- ap to the Norbeck-Burtness Norbeck bill but a vote was deferred deterred until Mon Mon- day The bill would appropriate to be loaned to farmers in amounts up to 1000 to permit them to diversify crops One amendment adopted today makes It optional with the secretary of agriculture as to the local agencies ho he e would use to pass upon the qualIfications qualifications qualifications of ot the borrowers another gives tho the secretary authority in all appeals and a third strikes out the provision which allowed the use of ot 2 per cent of ot the fund for tor administrative expenses which i would be provided for instead inan in inan inan an appropriation EXTENSIONS DEMANDED A new provision also has been added designed to meet the recently expressed wishes of ot President CoolIdge CoolIdge Coolidge Cool- Cool Idge that credit conditions be re re- re No loan shall be made the amended measure provides to any farmer who fa fades es Imminent foreclosure foreclosure foreclosure fore fore- closure or lien proceedings unless his creditors grant definite extension extension extension exten exten- sion of ot such liabilities which would woud assure the farmer an opportunity to work out his future and to obtain obtain obtain ob ob- tain all advantages of ot such loans Replying to Senator Ralston Democrat Indiana Secretary Wallace Wallace Wallace Wal Wal- lace said he had made no estimate as to the final cost of the operation of ot the bill to the government but added that the principal cost would come out of ot the products sold abroad lie said the surplus of crops would be taken off ott the Ute American American American Ameri Ameri- can market and sold in the world market an operation which would raise the domestic prices of ot such commodities as wheat as high as it could be bo raised under the tariff in force torce at any particular time Comparing the McNary McNary-Haugen bill with the Sinclair NorrIs export corporation measure Secretary Wallace indicated that he be regarded the former as preferable MILLERS NOT ENTHUSIASTIC Senator Johnson Labor Farmer Minnesota inquired how the millers and grain men of the West regarded the McNary-Haugen McNary billI bin bill I X haven't found any particular enthusiasm Mr Wallace Vallace replied but I think that generally there Isa is isa isa a genuine desire among business businessmen men to do something to help the farmers We know there is antagonism among the millers to the Norris Norris- Sinclair bill bill returned Senator Johnson and andOU you OU know we farmers farmers farm tarm- ers look with suspicion upon anything anything anything any any- thing that the interests favor tavor What is there in this bill that makes maKos it less les objectionable to grain interests interests interests inter inter- ests 1 The agricultural secretary secretary- replied that there was bound to be objection objection objection tion to anything anything- that ui ul ul-et t the usual order of ot doing business ss Its about time the farmer started started started start start- ed upsetting the usual order if it they expect to get any relief interjected Senator flooding Gooding Republican Idaho Chairman Norris suggested that the effect of ot the Haugen McNary rc arY bill If it it increased prices to producers producers producers pro pro- without eliminating present unnecessary costs of ot marketing would be to increase the cost of ot farm tarm products to American consumers ers and thus increase the cost of or living fc to PURCHASING POWER NEEDED Presumably said Mr Ir Wallace but you OU must remember that the underlying purpose of ot the l McNary- McNary Haugen bill Is to have the producer receive not an increase of ot prices in dollars and cents but in the purchasing purchasing purchasing pur- pur pur pur- chasing power of ot his products equivalent to that of ot other commodities com com- the cost of labor generally generally generally gen gen- go up asked Senator Norris Nor Nor- ris For Instance railroad labor and other labor and wouldn't you yoube yoube yoube be traveling in a 0 circle after atter all Frankly I dont don't know said Mr Wallace Vallace You cant can't tell Just how howit it will work out bill result tho the McNary in increased l freight rates asked the chairman I r hope not said Mr 11 Wallace Vallace but would not like to sa say sav Senator Johnson suggested an excess of ot retail facilities accounted for some of ot the present high expense expense ex tx pense of ot distribution and f Secretary Wallace agreed with him The people engaged In retail distribution distribution distribution dis dis- demand and receive increased In Increased Increased In- In creased wages to meet Increased expense ex- ex expense expense ex ex- pense the Minnesota senator said The farmer cannot canot do this The item of ot city rent Is astounding No wonder slices of 01 bread served in restaurants are like lace laco curtains Senator Johnson asked that the tho secretary place himself on record as to the feasibility of ot congress fixing prices of farm tarm products for sa say the next two years ears I 1 assume you OU mean in dollars and cents replied Secretary Wal Val Vallace lace It would woul be feasible but I am positive the tho results would be more harmful than the present situation |