The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1922-06-28
Warehouse Bill Amendments
To Be Taken Up Soon.
Nearly Amy Form of Agricul-
turaI Products Allowed.
LONG LICENSE A FEATURE
Receipts Are Valuable, U. S. Is
Shown To Believe.
South Would Receive Greatest
Benefit Under Measure.

- -
Washington, June 2S.-The house
committee on agriculture is expected
soon to take up the eight amendments
to the United States warehouse act pro-
posed by Senator Harris, Of Georgia,
and already agreed to in the senate.
The main amendment brOadens the
warehouse act to make it possible for
the storing of any agricultural prod
uct in the discretion of the secretary
Of agriculture. INSTEAD Of only cotton,
wool. grain. tobacco and flaxseed, as
provided in the present law passed n
August. 1916.
The Harris amendments would re-
move the present limit Of one year
for licenses to warehouses, extend a
system OF licensing persons TO in
spect and sample products. increase
the penalties for violation of the law
and make IL possible for a farmer SUI
fering from losses thru wrongdoing to
receive payment as a penalty as well
as the forfeiture of the bonds of ware
housemen.
Senator Harris said nearly all legis-
Iatfon now proposed for the extension
OF rural credits and assistance to agri-
culture possessed features touching on
the eligibility of federal warehouse re-
ceipts. and it was necessary the ware
house act be made as broad as possible
10 render the greatest possible assist
ance TO farmers.
when a warehouse becomes Ii
censed under the federal act the
patrons Of the warehouse will enjoy
a IS per cent reduction in insurance
rates. and the warehousemen them
selves will be granted a reduction of
IS per cent in such rates on both the
warehouses and their equipment"
said Senator Harris The benefits
coming TO the warehouses under Ii
censes are many. and the rapid
in he shows
the licensing provisions are being Sc
riously sought by warehousemen.
such agricultural products as cot
ton seed. peanuts, beans and other
things may he stored il the Harris
bill becomes a law. In Georgia and
the south as a whole diversification
OF crops TO get away from cotton en-
tirely has brought stimulated inter-
est in crops other than cotton.
The department feels that il is
unnecessary work for it and the
warehousemen to have applications
made each year for license, and
my amendment would have the IL
cense continue until terminated at
any time for failure to observe the
law. The licensing of persons to in
EDect and sample products and to
certify their condition makes il pos
sible for proper classification OF pro-
Gucts to get the greatest values. An
instance is cotton. where the value de-
ponds on the grades. and under the
proper showing larger advances may
be made on the warehouse receipt
showing the exact grade of cotton.
This can be done under proper Tegu-
lation for inspectors and samplers.
Receipts Are Valuable.
The value Of receipts under the
warehouse act is shown by the fact
that the War Finance corporation, in
making its loans covering various pro-
ducts. has not refused in a single case
TO accept federal warehouse receipts
as security for loans which it has made
TO producers.
The penalty features for viola
tions OF the warehouse law are ex-
tended so to have a salutary as
well as deterring influence upon ware
housemen who may be tempted to go
wrong The department administer
ing the law did not think 1t advisable
20 increase the amount Of bond to be
required. but the penalty was increased
from a fine of $500 to $4,000 and
from six months in prison to one year.
a feature was added which permits
che owner of the product lost to be
reimbursed out Of the fine, which may
be double the value of the product
II the value exceeds 10000"
Senator Harris said there were 269
cotton warehouses, with a combined
capacity OF about 1.25O.OOO bales Ii
cenSed up to April !. 1922. This COM
pares with 23S cotton warehouses
with a combined capacity of 429, 975
bales on April 1 1921. The small in
crease in the number Of warehouses I
but the large increase in capacity for
TIE year is explained by the showing
that a few large warehouses entered. |
Would Develop Receipt Forms.
From the time the first law was
passed until April 1, 1920, there were
only twenty-three cotton warehouses, |
with a combined capacity of 4O,O5O
bales Rapid progress in growth of
the number of wool grain and to-
hacco warehouses is shown by the re-
ports of the department
The trainers OF the original Ware !
house act had in mind developing a !
form of warehouse receipts which
would possess the greatest credit ad- !
vantages." declared Senator Harris.
An instance given by the department
70 show the value came in a letter to
Il from large cotton plantation oper- |
ator in the Delta section"