The producers news. [volume] (Plentywood, Mont.) 1918-1937, 1935-01-25
Friday, January 25, 1885
We Differ With the Oagmar
Natl. farm Loan Assn.

At their reient annual meeting the stockholders OF the
Daqmar National Farm Loan Association endorsed
Der of resolutions supporting all the fake measures that
have been offered during the last year to get this country
out of the mess.
In the first resolution passed. the meeting acknowledges
that the FrazerLemke bankruptcy act has been great
disappointment and failure" After making this concrete
to+nnnt +hn resolution demands hat congress- enact the
Frazier bill whereby farmers will be refnanced directly by
the at low rate OF interest and on long term
It sounds incredible that the members of the Farm Loan
Association readily state that they dissatisfied with the
medicine they have just received through the efforts OF
Senator Frazier and then at the same time demand more
of exactly the same medicine.
THE FRAZIER BILL
Let's have look at the Frazier bill which the resolu-
ton fosters. The bill provides for the following:
l. Loans will be made up to the appraised valuation
of the land plus onehaf the value of insured improve
Livestock loans will be refnanced up to 90 per cent
Of the value of the stock.
half per cent the principal must be paid these loans
each year. besides keeping and insurance paid up
Livestock loans will bear three per cent interest and prin
cpa payments will be 10 per cent each year
8. The farmers must pay for all expenses Of admin
These loans will be financed by issuance of govern
ent guaranteed bonds bearing and oneha and three
Der cent interest enough bonds not sod the govern
ent authorized to print money to cover the rest
Farmers who have lost their farms since 1919
through foreclosure may take advantage of this act to buy
back the old farm one.
If the Frazier bill were passed. something like the fol
lowing would take place in the of each farmer lie
would make his application and fee He would pay
for appraisal for abstracting for new deed and fnay
back taxes and interest payments and this entire sum
would be paid over to the mortgage holder.
hanks and insurance companies The Frazier bill would
that the bankers companies and other farm cred
itors would receive IL billion dollars in cash. Meanwhile
the farmer has his old debt plus fee payments anC
has received actual cash relief ,
The Frazier bill is first and foremost relief for the
banking interests. ,
MANY farmer may say, ct don't care how much tht
banker gets so long as can stay safe on my farm HenaVo
Frazier says that his bill will give me that security
P1t
er has been reanced under the Frazier bill There is no
thing in the bill which forces reduction in the amount
the mortgage There is nothing in the Frazier bill whlc
guarantees the small farmer large income
Nevertheless, he must meet his annual mterese ana P
cpal PAYMENTS amounting to three per cent Of the LOAF
on the land and Is per cent his stock In additlon
must pay his taxes REGULARLY When he was refnanGe
he forced to insure his buildings he MUST FA1 IT'D
INSURANCE PREMIUM ON THE DOT.
With private creditors bankers, it might have bee
possible payments for several years without dS
astrous consequences 1t was possible to stall off tn
mortgage holder sometimes on interest and prlncpal pay
But under the refnancng provided by the Frazier bill
with the federal government holding the mortgage faur
meet insurance taxes interest or principal payments
considered default and foreclosure is swift and sure
So much for the Frazier bill now
Another resolution passed by the Dagmar National Farl
Loan Association concerns the Townsend PLAN The reso
ton recognizes that unemployment has caused untold SUI
fernc to millions Of 3e3pe and recommends that congress
enact the Townsend plan with change "nstead OF
pension of 5000 month to each person over % years
age recommend pension OF SlOO to each person oV'
so years of age" me resolution states
We have had cCCason to explain the Townsend plan
these columns several times The plan is based SAL
tax which puts the burden o the entire plan upon the Shou
ders of the workers and farmers the huge majority OF CO..
sumers The sales would Rise prices of all goods
such extent that living would become impo
sible than it is for the working population.
But BESIDES the idea of the plan is not feasib
since it is simply impossible to the required two billie
dollars every month through of sales tax The p
is put forward for the purpose of confusing people and
keep them from supporting that would really ben
fit them like H R. 1927. the Workers Unemployment
AGE and Social Insurance bill.
BONUS
The third resolution of the Loan Association deman
immediate payment of the soldiers "bonus."
The exsolders should get their back and shor
Get them now and farmers and workers al the
try organized as well unorganized should demand a
should fight for the immediate payment of the bonus Ho
ever the resolution recommends payment by of
fation Again the association advocates that the burd