Evening star., 1924-04-13
TWO FARM AID BILLS
REPORTED IN SENATE
McNary- -Haugen Measure Slightly
Amended, Norris-Sinclair
Not Changed.
WARNS HOUSE ON TARIFF
Commission Discusses Possible Eff
feet of Rate Increases.

The McNary- Haugen and the Nor
iS-SincIair bills, designed for the re-
lief of agricultural districts, were re-
ported favorably yesterday by the
Senate agriculture committee. Sew
eraI minor amendments were attach
ed to the McNary-Haugen bill, but
the Norris Sinclair bill was reported
without change.
Action on the McNary -Haugen bill
is expected to be taken by the House
before its consideration in the Senate
on account of its tariff provisions,
which are required to originate in
the House. The House agriculture
committee is now engaged in redraft-
ing passages of the bill.
The tariff features of the McNary-
Haugen bill brought n Communica-
tion from the Tariff Commission to
the House ways and means commit
tee yesterday. in which the commits
sion coutended that if domestic prices
of agricultural staples are raised
substantially above world prices as a
result of such legislation, the appli-
cation by foreign nations of anti
dumping laws would prevent the sale
in those countries of surplus Ameri-
can farm products. The commission
further said that the foreign coun-
IS inconsistent with the tariff act OF
1922.
Life Limited TO Five Years.
The life of the McNary-Haugen bill
is limited to five years, il being
framed as an emergency measure,
The farm bloc plan to have the Nor
ris-Sinclair bill entered as permanent
Legislation and eventually to substi-
tute the NcNary- y-Haugen bill.
The McNary- Haugen bill provides
for the creation Of the United States
agricultural export commission" and
port corporation" An appropriation
Of S200, ,0O0. 600 would be authorized
as capital stock for the export cor
pOration-
The commission would be. directed
to determine ratio price Tor baslc
agricultural commodities by comput-
ing the average price Of all commod-
tiles for the period of l9O5-lSli, IN
elusive. When the commission t1nds
that the domestic price of farm
commodity is lower than the ratio
price it shall recommend to the cor
poration the purchase of suficlent
amount Of this commodity to bring
he domestic price up to the level OF
the ratio price.
The corporation function would be
TO sell the surplus crop TO the export
trade. but il also would be permltteo
TO sell in the domestic market, at not
modify in its custody as the commls-
sion may designate.
Investigations Provided
The bill authorizes the President
to direct the United States Tariff
Commission or the Secretary of Agri-
culture TO make Investigations from
time TO time to determine the rate
OF duty upon any agricultural COM
modify necessary to maintain the do
mestic price at the level of the rate
price.
The Norris-S Sinclair bill would Gre
ate the Farmers and Consumers
Financing Corporation" with a capi-
tai stock of $1OO,O00,0O0 to be ap-
propriated out OF the Treasury.
The purpose of the corporation
would be to provide a market for the
sale of agricultural products and to
promote a more direct contact be-
tween producer and consumer, with
decreased price to the con-
.sumer through a reduction in com
mission charges.
To obtain reduced rates for export
shipments, the corporation would be
authorized to operate free OF charge
any idle vessels owned by the United
States for the transportation of
products to foreign ports.
The net earnings of the corpora
tion would be accumulated as a re-
serve until this amounted to $780,
100000, and thereafter the net earn
ings would be paid into the Treas
ury until the payments equal the
amount advanced for the capital
stock.
Tax-Exempt Bonds.
The corporation would be author
fZcd to issue tax-exempt bonds not
exceeding five times its paid-in capi-
tai, the bonds to mature not later
than ten years after issue and the
rate of interest to be determined with
the approval of the Secretary of the
Treasury.
Authority would be given the cor
poration to obtain and operate eIe-
vators and storage warehouses, buy
and sell agricultural products and
make advances to any person for the
sale or expectation of farm COM
modities.
The corporation would be managed
by a board of directors, three of whom
would be appointed by the President,
and the principal Offices would be To-
Gated in the District of Columbia