Evening star., 1927-09-12
FLOOD STATES SEEK.
SPECIAL SESSIONS.
Arkansas and Mississippi
Plan Legislation to Meet
Economic Crisis.
BY REX COLLIER,
staff Correspondent of The Star.


HOT SPRINGS, Ark, September
ia definite movement to obtain
Immediately, in special session Of the
State Legislatures, specific legislation
looking to relief Of the economic
crisis confronting the flood area was
launched at conferences here yester.
day and today between Secretary
Hoover and chairmen of the State
Reconstruction Commissions Of Ar.
kansas, Mississippi and Louisiana.
The, drive is aimed at Arkansas and
Mississippi, in particular. as Louisi-
ana's Legislature has just concluded
an extraordinary" session, in which
half dozen special flood relief bills
were passed without opposition.
Secretary Hoover's advice was
sought by the State representatives.
and. while he did not want to be put
in the position OF meddling into State
affairs, he let it be known that
Louisiana's prompt action to relieve
the financial burdens Of flood suf-
ferers had. in his opinion, averted a
serious economic collapse.
Special Sessions Sought.
After the conferences. which were
participated in by Col. w. II. Sulli-
van, Louisiana's rehabilitation chief;
II. c. Couch, chairman Of the Ar
kansas Rehabilitation Commission,
and L. O. Crosby. Mississippi chair
man, Col. Sullivan announced that a
concerted effort will be made to have
the Governors Of Arkansas and Mis-
sissippi call special sessions Of their
Legislatures for considera ton Of flood
relief measures.
Secretary Hoover is known to be
gratified at the decision Of the State
representatives, for he feels that
small planters in the lower Missis-
sippi Valley cannot recover from their
losses unless they are given relief
from the various levee, land and
other county and State taxes imposed
upon them at present. The mortgage
problem is q big one and he has gone
so far as to threaten to withdraw
Red Cross supportsto to flood victims
and recommend their removal to
other sections unless holders of mort
cages on flooded land agree to defer
foreclosure until the people get on
their feet. NE
AS a result of Hoover's strongly
expressed views anent the mortgage
problem, Louisiana financiers have
agreed to defer foreclosures until the
end of 1928 at least, 1t was announced
at the conference yesterday by Col.
Sullivan. Mississippi also has indi-
Gated a desire to withhold default
proceedings on fiood-devastated farms
until the end Of next year.
Taxes to BE Deferred.
Under the legislation just passed
in Louisiana, and which 1t Is now
proposed to adopt in the other two
States, all county and State taxes
will be deferred for period of ten
years, during which time the tax
payers will have to pay only the in
terest on the accumulated taxes. The
State itself will pay the taxes for the
flood victims from a special fund
Under this system the State is really
lending the planters tax money foi
the next decade, with the under
standing that they will repay the loai
at the expiration Of the loan period.
If Arkansas and Mississippi follow
in the footsteps Of Louisiana, the
menacing financial situation in the
flood regions will be cleared up, the
farmers who lost their all in the flood
will get back on the road to prosper
ity and the valley will progress as
never before. Secretary Hoover be-
lieves. =
The Secretary held his conferences
at the picturesque Ozark mountain
lodge Of Mr.. Couch, located on Lake
Catherine, near Hot Springs. Among
those who conferred with him were
Gov. J. e. Martineau Of Arkansas,
Wonfinued ON PAGE D Column ~