Omaha daily bee. (Omaha [Neb.]) 187?-1922, 1916-09-22
SEC. ". G. M'ADOO
and FARM LOAN
BOARD ARRIVE
. ederal Board Will Hear
0maha's Claims for One Of
Twelve Banks at Hear
ing Today.
M'ADoo E.ToLs THE BILL
Head of the Treasury Depart.
ment Says It's an Act of
Long Del@Ted Justice.
SECURITY FOR FARMER"

| s~~ - SsS @@~S@'~AAs
The rural credits bill, recently
adopted by congress, and signed by
President Wilson, is an act of long
delayed justice to the farmer, accord
ing to Secretary of the Treasury Viii
liam G. McAdoo, who Arrived in
Omaha yesterday evening with the
Federal Farm Loan board of which
he is chairman.
The secretary of the treasury re-
CARDS this piece of legislation as one
of great importance to the permanent
prosperity of the nation, giving the
farmer credit advantages and facili-
ties similar to those enjoyed by the
business man, and denied to the farm
er for so many years. The secretary
says the rural credits act is compar-
able with, and even more important
than, the federal reserve act in the
field of constructive financial legisla-
ton.
Function of the Bill.
"The farm loan bill" said Secretary
McAdoo, creates a system under
which the farmers OF the United
States will be able, for the first time
in the history of the country, to bor-
row money on farm lands at low
rates OF interest on long time, namely,
from five to forty years, and by
means of annual dues or installments
not only to pay the interest, but
also to retire the principal of the loan
at maturity. This piece OF legislation
is comparable in its benefits and in
the magnitude of the industry it will
affect. with the federal reserve act,
but it is in many respects far more
important to the country than the
federal reserve act.
at is a statement of an old and
recognized truth to say that the farm
ing industry is the very basis of the
life and prosperity of the nation, and
this statement is more particularly
true of the United States, because of
its agricultural development which,
although great, can be made vastly
greater if our farmers are provided
with the longtime credits at low
rateAso of interest, which are so essen
tial to the further development of
the farming industry. There is no
inducement to greater farm develop
ment unless it can be made profit
able, and it cannot be made profitable
unless the necessary capital is avail
able always to farmers upon reason
able terms. 1t is amazing that since
the establishment of our government
until this time, a period of l27 years,
absolutely nothing has been done by
way of legislation to assure abun-
dant farm credits on reasonable
terms to our farmers.
Says Farmers Suffered.
"On the contrary, they have been
the preferred sufferers from a scar
city of money for farm development
and agricultural purposes, and have
been, as class, particularly oppress-
ed by high, and oftentimes extortion-
ate rates of interest and shadowed
constantly by the fear of mortgage
foreclosures. The Farm Loan Act,
or rural credits bill, will emancipate
the farmer from the disadvantages
he has so long endured. 1t will, when
fully established, unquestionably pro-
vide an abundance of credits, avail
able at all times, to farmers in all
parts of the country upon long term
mortgages at low rates of interest,
with provision for repayment of
the principal in easy annual install
ments. In fact, under the new sys-
TEN, the framer ought to be able to
pay the interest on his mortgage and
the principal of his debt through an
nual installments, which will be less
than the straight interest charges he
has been paying on his mortgage
under the old system.
Back to the Farm.
"The establishment of this rural
credits system will rc-attractto the
farms vast numbers of our people
who have been unable to engage in
agriculture because it has been impos-
sible to secure money on farm obliga-
tions. 1t means for all the people of
the country unlimited benefits be-
cause they will prosper direct pro-
portion to the prosperity and strength
of the farming industry of the coun-
try"
Hearing This Morning.
A regular phalanx OF farmers, bank
ers, retailers, wholesalers, stockmen,
real estate men, professional men and
others will storm the federal court
room this morning to be heard
before the Federal Farm Loan board
on the question of Omaha's needs
and claims for one of the twelve fed
eral farm loan banks the government
proposes to locate in the United
States.
The local committee in Omaha is
prepared with great volumes OF fig
ures showing Omaha's advantageous