El Paso herald. (El Paso, Tex.) 1901-1931, 1918-08-14
WORTH OF FAITH Isl
PINNED ON SOUTHWEST FARMERS

DETAILED advces concerning the s5Oooooo to be loaned
20 southwestern farmers in drouth stricken areas,
fund for that purpose having been set aside by president
wilson make the plan somewhat less attractive than
At first.
Its chief weakness is that appears to make no pro
vision for catemen comprising large number Of the SUI
fres in western and northwestern Texas and eastern New
Mexico. Only farmers receive the benefit Certainly
the farmer class is large and needy but some provision
ought TO have been made for the others It may be that
the government expects the cateen TO be financed by the
banks inasmuch as they have some collateral for loan,
in many instances At least it might be assumed that
long they have any cattle that have not starved TO death
they have borrowing collateral As matter Of fact many
Of them borrowed to the limit their herds. That
what has put many Of the smaller banks in tight place
Also only those farmers viii be allowed secure federal
ter received BY Gov W. F. Hobby Of Texas from Leon NJ
Esbrook assistant secretary Of agriculture, explains that
the loans VII be made only to farmers whose credit is ex
hausted BY reason Of two successive drouths
The loans viii not be for the purpose Of providing
immediate Of subsistence to the farmers and their
families stated in the first adviceS received They
be used for grocery bills buying little feed
for suffering livestock The money must be used for pur-
chase Of seed
So well has the money been afeguarded as to the pur
pose for which Is to be used that the government viii not
make loan IN any until the seed IS in the ground.
How is a farmer, who is without money credit to
plant the seed before be get the money to buy it? The
department Of agriculture has provided for that contingency
By planning to issue 10 farmers certificates that they have
made applications Tor loans OF stated amounts, which VIII
be made to them the seed in the ground On
these certificates the farmers expected to be able to
advances Of seed After planting the seed the farm
VIII able secure the loans using the money to pay
the seed firm which, in turn, VIII repay the bank from
which doubtless 1t VIII have been compelled to borrow in
order TO finance the planting If the bank hasn't the
money 70 lend, the community is IN tough straits.
The s5r 10000 fund IS toe small Of course but It may
Be q much eue nevertheless The individual loans viii
Be very small The government VIII lend only So acre,
al the most, and not $500 to any applicant That
that farmer seed for than 100
The loans VIII be made through the federal farm
loan banks The notes be executed by the farmer IN
favor Of the government and with the prospective crop
collateral VIII bear low rate of interest and viii be paya
bic II the southern districts October and in the north
districts November /, 1919 The intention is
allow the farmer time to harvest and market his crop be-
fore calling him 10 repay the government.
Even with this aid the farmers IN the drouth stricken
in for hard pull It VIII be difficult for many
Of them 70 buy groceries through the planting and cul
Tang period and up to the harvest But the federal
Loan offers them opportunity, slender IS Many Of
the drouthy regions have been visited by heavy
and there is basis for hope that the long dry
period has been definitely broken Crops planted with gov
eminent aid may put the farmer hack his feet fnan-
ay, enabling him to repay his loan and have something
left With which TO buy seed for the next year and support
his family.
The farmer nav feel that he is taking chance but the
government is also taking chance. If fails the gov
is the Of its Ian for only crop
stands collateral and the collateral fails ateTiaze
the note is uucoectsble The president working through
the department Of agriculture is piunng 600 worth
Of faith the pluck and skill Of the farmers Of west