The sun. [volume] (New York [N.Y.]) 1833-1916, 1915-02-26
SENATE SLIPS
IN $1O,OOO,0OO
FARM CREDITS
Senator McCumbcr Puts
Through Amendment at
Dinner Hour.
1T Is NOW PART OF
y BILL

wAsHiNGToN. Feb. 25-wtth only
half a dozen Senators in the chamber
during dinner hour tonight Senator
McCumber OF North Dakota slipped
over an amendment 10 the agricultural
hill providing $4,000, 900 for the cstab-
iishment of a bureau of farm credits.
This practically incorporated in the
agricultural appropriation bill a rural
credits measure. When Senator McCum-
Der originally proposed his amend
ment a point OF order was made against
it by Senator Hollis Of New Hampshire.
member of the Banking and Currency
Committee and one Of the men in Con-
gress most interested in the establish
ment OF a rural credits system.
Knowing that this appropriation had
not been estimated for and was there
fore subject to u poir, Of order, most
Senators left to get dinner. while Sem
ator McCumber, acting under the cour-
tesy OF Senator Hollis, made a long
speech in favor OF his amendment.
When he concluded Senator Hollis
quietly rose and withdrew his point OF
order. The Nice-president put tho ques-
ton and the amendment was adopted.
Senator Hollis voting for 1t.
CONFIDENT II VIII Pass.
I'VE will whip the McCumber amend
nent into shape in conference" said
senator Hollis afterward. and in that
way we will get through the rural cred
IT, legislation we had d~espaired of. II
will be reported back to both houses In
suitable shape and will go through, !
am confident"
Another of the rural credits advocates.
Senator Fletcher OF Florida, was not so
enthusiast about getting through rural
credits legislation in that form. prefer
ring to have IL more carefully consid-
cred by some regular committee OF the
Senate"
Under the McCumber amendment the
$40, 200. 900 appropriated shall be used
for purchasing notes secured 10y irst
mortgages on agricultural lands. Ma
tional or ~ tie banks maN act as agents
of the bureau Of farm credits. advancing
money to those obtaining the mortgages
and transmitting the notes and mort
cages to the bureau. which In turn will
give the banks the money they advanced
Governed by Population.
The money Is 10 he distributed amonG
the various States according to agricul-
tural population. importance of agricul.
tural production and percentage Of agri.
cultural lands encumbered by mortgages
or trust deeds. The rate of interest
charged the borrowers was fixed by the
amendment at 8 per cent. while the lie
Of the mortgages was fixed at ten years
A proviso stipulated that the full
amount could he paid on any interest
date after five years. The amendment,
specified that no mortgage of less than
$500 or more than 10000 should be is.
sued.
To provide additional funds beyond
the s10.0 900. 900 appropriated for loans
The amendment provided that a. soon a,
Il. 900, goo in mortgages was held by the
bureau bonds could he issued To run FOR
'wenty years and TO bear interest at III,
ate OF ~. per cent. These should b,
old al par. preference being given To tn,
mali investors.
The slipping through Of a rura'
oredfts measure has put the Democrats
~ a mole. They are committed 10 II
N their party platform and president
Wilson has been severely criticised foi
ueglecting il at this session. l. r doubt
ful if the Democrats will he able 10 xii
b now, and If they do there will be a
Ioar from the farmers