The Washington times., 1922-07-02
WOULD REVISE
WAREHOUSE Law
To AID Farms
Amendments by Senator Har-
ris Would Lengthen License
Time and Widen Scope.
BY J. BART CAMPBELL
international News Service.


international News Service.
The House Committee on Agricul-
ture is expected soon to take UP the
eight amendments to the United
States warehouse act proposed by
Senator Harris. Of Georgia, and sl-
ready agreed to In the Senate. The
main amendment broadens the ware
house act to make II possible for the
storing OF any agriculture product,
In the discretion of the Secretary Of
Agriculture. instead of only cotton,
wool, grain! tobacco and flaxseed, as
provided In the present law passed In
August, 1916.
The Harris amendments would re-
move the present limit Of one year
for licenses to warehouses, extend
Ia system OF licensing persons to in
spect and sample products. Increase
the penalties for violation of the law
and make 1t possible for a farmer
suffering from losses through
wrongdoing to receive payment Of
the bonds Of warehousemen.
Senator Harris said nearly all
legislation now proposed for the cx-
tension Of rural credits and assist
ance to agriculture possessed fra-
lures touching on the eligibility Il
Federal warehouse receipts, and 1t
was necessary the warehouse act be
made as broad as possible to render
the greatest possible assistance to
farmers.
VIII Reduce Insurance.
when a warehouse becomes
licensed under the Federal act the
patrons of the warehouse will enjoy
q 25.per-cent reduction in insuranc"
rates, and the warehousemen them
selves will be granted a reduction
Of rs per cent In such rates on both
the warehouses and their equip
ment." said Senator Harris. THE
benefits coming to the warehouses
under lisenses are many. and the
rapid progress In the past two years
shows the licensing provisions are
being seriously sought by ware
housemen.
Such agricultural products as
cotton seed. peanuts, beans and other
things may be stored II 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.
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 vari-
Gus products. has not refused in a
single case to accept Federal ware.
house receipts as security for loans
,tNh ha n nrndnNaFC
"The penalty features for viola
tions Of the warehouse law are ex-
tended SO as to have a salutary as
well as deterring influence upon
warehouse men who may be tempt
ed to 60 wrong. The department
administering the law did not think
II advisable to increase the amount
Of bond to be required. but the pen
atty 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 the owner
Of the product lost to be reim-
bursed out Of the fine, which may
be double the value of the product
II the value exceeds s10,000
Senator Harris said there were
269 cotton warehouses. with a com
bined capacity of about 1,250,00
bales licensed up to April 1, 1922
This compares with 23S cotton
warehouses with a combined capac
ity Of 529,975 bales on April 1
1921. The small increase In the
number Of warehouses but the large
increase in capacity for the year ID
explained by the showing that q
| few large warehouses entered.
From the time the first law was
passed until April /, 1920, thore
were only. twenty-three cotton ware
houses. with q combined capacity
of 40,050 bales. Rapid progress ir
growth OF the number Of wool
grain and tobacco warehouses !,
shown by the reports Of the de
| partment.