East Oregonian : E.O. (Pendleton, OR) 1888-current, 1921-07-07
Recent Decision Of Northwest
MiIIers and Grain Dealers
Meets With Opposition.
SUITS WILL BE INSTITUTED
TO PROVE VALIDITY OF LAW
UmatiIIa County Farm Bureau
Members Will Force Grain
Dealers to Obey Measure.

Vigorous protest of the recent deci-
sion of the Northwest Millers and
Grain Dealers Association to disregard
the Oregon and Washington grain dis
count laws was made yesterday at .
meeting of Umatilla county Farm Bur
eau members who declared that IL
necessary, suits will be instituted TO
test the validity of the law and thus
force the grain dealers to obey IL.
The legislation passed in the Ore
gon legislative sessions of 1921 known
as the Ritner bill and passed also IN
Washington, provides that there shall
be no discount on So pound wheat, but
that for each pound above So pounds,
s of one per cent premium shall be
paid. For each pound or fraction OF
a pound below So pounds, thereHhali
be discount of not to exceed 3 OF
one percent, and on poorer grades the
discount is slightly larger. During the
war. differentials were three cents a
bushel so that so pound wheat was the
standard for each grade before the
three cent discount was made. Farm
ers agree that this was fair when
wheat sold for more than 81 a bushel
but that with wheat at 81 busheI the
differential is two great on the old
basis. which the Northwest Millers and
Grain Dealers seek to retain despite
the new legislation.
Deny Conflict
Wheat farmers of this county deny
that the state discount laws conflict
with federal grain standards made In
1916 by the L. S. Grain Corporation.
They will take further steps toward
establishing the validity'of the dis
count laws at a meeting on saturday
afternoon.
This validity is upheld by Senator
Miles Poindexter, in the following wire
sent to s. r. Thompson. president OF
the Farm Bureau from the Walla Wall
la Commercial Associations:
Replying to your telegram regard
ing a supposed conflict between state
grain statutes and Federal Grain
Standards Federal Grain Standards
Act of 1915 gave authority to the sec
retary of agriculture to fix standards
Tor wheat which was done by reg
ulation. 1t is the opinion of the sec
retary that the Federal Regulations
and State statutes are identical with
the exception that state statutes go
further and fix discounts as well as
standards and that there is no con-
flct of Law or regulation involved.
During the war and for some months
thereafter, the L. S Grain corpora
tion fixed discounts in the same man
ner as the state statutes now fix them.
but the grain corporation has been
out of existence for some months so
that no federal authority is now fix
ing discounts. The entire controversy
appears to be one of discounts. Will
be glad to receive any further sug-
gestious and to be of any possible
service"
(SignedD MILES POINDEXTER-
Resolution Is Passed
Following is the resolution passed:
Whereas the Northwest Millers and
/ Grain Dealers Association has an
nounced that it proposes to disregard
| the state discount law in making set
I tlement on grain contracts on the 1921
! crop
| Whereas the said law is duly enacted
/ by the legislature of the state and pro-
/ vides a system of fair, equitable and
/ just discounts for the inferior grades
/ Of grain and fair and just premiums
/ for premium grain and
| Whereas it is important to the grain
! growers of the State of oregon thas
/ the said law should be enforced, now
Therefore it is hereby resolved by
| the Discount Committee of the Una
hot hA
said Farm Bureau shall use its iuflu-
ence in behalf of the enforcement OF
the state discount law and that every
effort shall be made to secure compli-
ance with the law by the grain dealers
and exporters who are purchasing
grain in the state.
Be is further resolved that the Una
tilla County Farm Bureau seek the
aid and support Of other like organi-
cations of the Northwest for the en-
fcrcement of the oregon discount law
and also the Washington discount law
) and said Bureau shall institute such
suit or suits as may be necessary to
test the validity of the laws of the
states of oregon and Washington and
! Be it further resolved that an In
2 vestigation be made concerning the
discounts which the various buyers OF
grain may seek to establish. or main
r tain during the season Of 1921 and that
= the members OF the association be kept
$ informed of said discounts and OF the
/ attitude of the various grain buyers,
r millers and exporters with references
. thereto so that the producers may act
i intelligently in the matter OF contract
I ing of grain and In the fulfillmsnt VI
their contracts.