The Fulton County news. [volume] (McConnellsburg, Pa.) 1899-current, 1916-08-03
RURAL CREDITS
BOARD NOMINATED
President Appoints Lawyer,
Banker, Farmer and Student.
ALL HAVE HAD EXPERIENCE
Two OF the Board Republicans and
Two Democrats - How They
Are Equipped For Their
New Duties.

Washington. OF the coun'
try into twelve Federal Land Bank
Districts and location Of Federal Land
Banks in each OF them under the new
rural credits law, will be undertaken
soon by the Federal Farm Loan Bossa,
four Of whose members were nomi-
mated by President Wilson. Secretary
McAdoo. who as an ex-ofiicio member
completes the board, said, however
that he believed II would be impos-
sible to conclude organization Of the
system in less than six months, and
that II might not be in actual opera
ton before next spring.
President Wilson nominated Charles
f. Lobdell. OF Great Bend, Kansas;
George w. Norris, OF Philadelphia; w.
8. A. Smith, of Sioux City, Iowa, and
Herbert Quick, Of Berkeley Springs,
West Virginia, as members OF the
board.
The President hopes to have the
nominations confirmed quickly by the
Senate In order that the organization
OF the rural credits system be per
fected without delay. The board will
select the cities in which the twelve
farm loan banks will be located and
divide the country into districts for
the operation of the provisions OF the
bill.
Secretary McAdoo already has col
lected facts on available locations for
the banks, but the board will make
a thorough investigation of the ques-
tion before acting.
Lobdell and Smith are Republicans
and Norris and Quick are Democrats,
The law provides that not more than
two OF the appointed members OF the
board can belong to the same party.
From list OF more than 100 suggested
by senators, representatives and mem-
bers OF the Cabinet the President
selected lawyer, farmer, banker
and a student OF rural credits prob
lens
Mr.. Lobdell is student OF farmers
problems and has had extensive ex-
perience in loans on farm lands.
Mr.. Norris, a graduate Of the Uni
yersity of Pennsylvania, has been sue
cessively newspaper man, lawyer
and banker.
Mr.. Smith. farmer by occupation,
for the past year has been an expert
in farm practice in the Department Of
Agriculture here, and has had ex-
tensive experience in farming prob
lens.
Mr.. Quick, until few months ago,
was editor OF Farm and Fireside, and
for many years has devoted himself
to a study of rural credits and other
farm problems.
Many Cities Candidates.
The board In locating the banks will
consider first cities which are near
farming centers. regardless OF size or
other banking facilities, and that cities
which were candidates for federal re-
serve banks but failed TO get them
probably would be strongly considered
for federal land banks
Requests for loans on farm lands
under the law already have been filed
in large numbers in the Treasury De-
partment. but no action can be taken
on them until after the board is organ
lied.
Each federal land bank must have
subscribed capital of $750,000 before
beginning business. individuals, cor
porations, state governments and the
United States may hold stock, under
law, but dividends accruing may not
be paid the United States AS to other
stockholders. The banks will not
come in direct contact with farmer
borrowers, but will operate through
national farm loan associations, cor
porations chartered by the farm loan
board under authority Of Congress and
operating in the farming communi-
ties where loans are sought.
All loans to be made under the sys-
tenn must be secured by first mort
cages providing for amortization over
period of years. and at interest not
exceeding six per cent. No loan may
exceed so per cent. Of the value of
the land mortgaged and 20 per cent OF
the value of permanent improvements,
nor be greater than $4,000 nor less
than 800. Mortgages may run from
FIVE to 40 years.