The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1929-04-18
Bounty Clause, Opposed by
President, Included in
MCNary Draft.
HOUSE AGAINST MOVE
Conflict Is Certain, Unless
Bloc Members viii
Back Down.
BY PAUL r. MALLON
United Press STAFF Correspondent


cid debenture or tariff bounty plan
OF farm relief, which has been kick
ing around almost unnoticed in
congress for five years, today was
made the basis for the big fight
over farm legislation in President
HOOver's special session Of congress.
At almost the same moment the
plan was being denounced in the
house as a thinly disguised federal
subsidy, it was presented to the
senate as part Of the administra-
tiOn farm bill by Chairman Nc
Nary Of the senate agriculture COM
mittee. who frankly has served no
tlce that his committee intends to
adopt that feature of the measure.
Though President Hoover has not
spoken, he is understood to OPP
pose it.
Briefly, the plan would give the
farmers half of the value of the i'm
port tariff on the products they ex-
port. If farmer dumped 1000
bushels of wheat into the elevator
at Duluth for export, he would go
to the treasury and receive a treas
ury certificate for half of what the
duty would be on an import of 1000
bushels of wheat.
At the present tariff rate of
40 cents a bushel, he would
get a paper worth 1920 at any Gus
toms collectors office in payment
of tariff duties on any imported
product.
In actual practice, the farmer
probably never would see a deben-
tlwe certificate, as these would be
handled exclusively among export
tiers. importers, and brokers. Sup
porters of the plan say, however,
that the moment the debenture law
was put into effect, it increased the
price of wheat in the farmers
hands by the 81 cents a bushel
extra which wheat would command
when it eventually reached the
point of export.
The debenture plan would be OPP
erative only at the discretion Of
the proposed federal farm board.
hPSL OF Dill LiItle AndUgeu
The remainder of the bill as in
troduced varies but little from the
bill brought up for consideration in
the house today. It's chief difference
is that it would authorize a federal
farm board of twelve members,
while the house would provide a
board of six members.
114 IF
The Presidents message in author
ling the board to administer re-
volving fund of $500 100000.
The board would lend necessary
sums to cooperative marketing or
carnations and a sterilization cor
poration. S25 100000 for the capital
stock of the sterilization corpora
ton, 1878 100000 if necessary for
buying and storing SURPRISES, $50
100000 to Co-operatives for acquir-
ing storage and other facilities, S25,-
100000 to enable cO-operatives TO
advance members up to So per cent
Of the market value of commodities
when sold. and SIS 100000 for insur-
ance. These loans would bear 4
per cent interest.
The virtually unOppoSed admins
tration cooperative marketing bill
was brought up for three days OF
general debate in the house soon
after it met.
Urges Bill Adoption
In urging the bills adoption, Rep
resentative Williams rep. I'D,
who opened debate, took occasion to
denounce the debenture plan. He
said the way out of the farm diff
Guilty cannot be found in the equal
ization fee or any subsidy which is
paid directly out of the reaSury or
is disguised in the form of a de-
benture bonus certificate on eX-
ports
NIcNary made no explanation of
his bill when he introduced 1t dur
ing a brief senate session. His COM
nlittee will meet this week and Of
ficially vote upon it. so it can be
brought up for consideration in the
senate Monday.
After the brief session, in which
scores Of bills and resolutions were
introduced, the senate adjourned
until Monday.
An effort was made by Senator
Nye of North Dakota. TO prevent
consideration of other business until
the farm bill is passed. He intro
duced a senate resolution, proposing
that no other measure be brought
up except by unanimous consent.