Five Mile Beach weekly journal., 1923-02-02

COMMENT From the
ELMER TIMES
Federal Loan Banks
From the
TIMES

- ELmEK ll1EO -
Federal Loan Banks
When the Federal Land Banks were
established it was primarily to meet
a condition long prevalent in the
western and southern states where
the interest rate on farm mortgages
ranged from Z to 10 per cent, with an
average of s per cent, perhaps. The
original mortgages taken by the Land
Banks must not be at a higher rate
than 6 per cent, and in some instances
they have been issued as low as 5a
per cent. These mortgages are de-
posted as security for the issue of
bonds sold on the market, and the diff
ference in the interest paid by the
farmers and the rate on the Land
Banks bonds makes a nice profit for
the holders of stock in the Land
Banks, which in many instances have
made big profits, in fact so large that
a movement is on foot in Congress to
limit their dividends to 6 per cent, the
balance of the profit after building up
reserves to go to the government, as
in the case of Federal Reserve Banks.
In the middle and eastern states
Land Banks will not be apt to prove
as profitable as in the west and south,
as farmers have practically always
been able to get mortgage money at
from 5 to 6 per cent, and it is not
easy to see how a Land Bank could be
profitable to stockholders if the mort
gage interest rate should fall to 5B
or 5 per cent with private investors.
Celebrated New Jersey Highway
Enthusiasts from various parts of
New Jersey are bombarding the Legis-
roads added to the routes already in
corporated in the State Highway Sys-
TEN. In the three opening days of the
Legislature no less than six such bills
were introduced in the Senate and
three in the Assembly, and it looks as
if the scramble had just begun. 1t
will be a battle royal.
Salem County and all South Jersey
is vitality interested in Senator Aliens
| Senate Bill No. SO, which proposes to
add as a State Highway route the road
from Pennsgrove through S%harptown,
Woodstown, Pole Tavern, Elmer, NAL
aga, Buena, Mays Landing, Pleasant
Vile to Atlantic City, and the reasons
for this are not simply of local inter-
est. 1t is not merely a local road but
is in every sense an Interstate high
way connecting the southern states
and the West with Atlantic City. The
percentage of foreign car travel to
that of local travel is perhaps greater
on this road than any similar road in
the state, and is always increasing.
The Wilson line ferries between Will
mington and Pennsgrove are taxed to
capacity during the summer months
and handles a vast number of cars,
practically all of which are shoreward
bound and DESTROYS of getting there
by the nearest and most logical route.
The Federal Government was quick to
recognize the Importance of this high
way as an Interstate route and sew
eraI years ago made a generous appro-
priation to assist in building the first
section of the road from Pennsgrove
towards Woodstown. The road was
officially designated as Federal Aid
Project No. 1, and was the first high
way in the State of New Jersey to re-
ceive Federal funds under the raj
measure in effect at that time.
Despite the early recognition by
both the Federal Government and Col.
b. A. Stevens, who was Highway Com
missioner at that time, the road was
lost sight of in the shuttle for local
advantage and when the present State
Highway System was outlined the
road did not receive the consideration
which it deserved and was not in
cluded.
Atlantic County realizes full well
it's Importance and is just now COM
pleting the expenditure of many hun
dreds of thousands of dollars, having
built all the mileage within it's limits.
The only ~uncompleted portion at this
time is about Ia miles in Salem
County, from Woodstown through Pole
Tavern and Elmer and 6 miles in
Gloucester County from the county
line near Gabriel's Pole through NAL
aga to the Atlantic County line at
Downstown. This 20 mile stretch is
now the only gravel road between At
lantic City and Washington. One can
drive from Atlantic City to Stanton,
Va, at the foot of the Shenandoah
Valley Pike, a distance of approx
mately $40 miles and the only gravel
road will be the stretch between
Woodstown and Downstown.
There is scarcely a stretch of high
way in the State of New Jersey, so far
as the touring public is concerned,
that is more important, and if the
legislators will consider it in it's true
light as an Interstate highway, there
is little doubt but that Senator Aliens
hill will raooiuo Favorable action