Montgomery County sentinel. [volume] (Rockville, Md.) 1855-1974, 1935-01-10
(lE,ltiid22q[Slij
National Topics Interpreted "a fFY5NFNn
by William Bruckart kNwn1HF
by William Bruckart

| Tolley has the title Of director of plan
ming for the Agricultural Adjustment
administration. His relationship with
Mr.. Davis Is almost identical with that
between Undersecretary Rexford Guy
Tugwell and Secretary Wallace of the
Department Of Agriculture Mr.. Davis
is known to lean upon Mr.. Tolley, but
Tolley and Professor Tugwell do not
always see eye to eye. So there is a
| personnel problem that may or may
not become acute.
But as regards the congressional sit
uation Mr.. Tolley carries much more
water on his shoulders than does Pro
fessor Tugwell. Readers will recall eff
forts made in the last session of con-
gress to strengthen" the agricultural
adjustment act. Professor Tugwell
supported those amendments and, hav-
ing his head out of water, he became
the target. Actually, the best infor-
nation available is that while the voice
was that of Tugwell, the hand was the
hand Of Tolley.
The common gossip now is that Mr..
Tolley is presenting, rather preparing,
proposals for Strengthening" the act
and that he has not taken Mr.. Tugwell
into his plans. This being true, the
suggestion is frequently heard that Mr..
Tolley may commit the administration
in certain directions toward regimen
tation of the farmers to an extent
which Mr.. Roosevelt does not de-
sire to go.
Mr.. Tolley is said to favor inclusion
of the fruit and berry and speciality
crops under federal control. This is
believed to come from his California
background, but regardless of its root
it must be admitted its sponsor is max
ing Roadway with the plans.
None can tell, however, until the de-
tails of the Tolley program are out in
the open exactly what congressional
reaction will be. Suffice 1t to say at
this time that there are numerous Dem
ocrats, important Democrats at that,
who do not go along with Tolley or
with Tugwell, and the prediction is
frequently made thSt Tolley's name
may receive treatment as rough in con-
gressional debate as did the name of
Professor Tugwell last winter.
With respect to banking legislation
radicals and conservatives likewise
| are at each others
b0nRing Threats, only this
Legislation fight has become bit
ter already. Cover
nor Eccles of the Federal Reserve
board has been made the target of
vicious attack by Senator Glass of vir-
ginia, recognized everywhere as the
outstanding financial authority among
Democrats at the Capitol. Senator
Glass openly charged Governor Ec-
cles with exceeding his authority in
recent ruling requiring state banks
that are not members of the Federal
Reserve board to reduce their in
terest rate paid on time and saw
ings deposits. These banks were
reached through the Federal Deposit
Insurance corporation of which they
are members and with whose regula-
tons they must comply. The Virginia
senator holds that the Federal RE
serve board under the guidance of
Governor Eccles was responsible for
| this action and he was not careful In
tearing off the bark In letter stating
his views. Senator Glass has forced
temporary halt in the order.
While the Eccles-Glass row may be
regarded as purely controversy be-
tween two individuals in positions of
high authority. 1t is much more than
that. 1t presages trouble on any bank
ing legislation that goes farther afield
than has occurred heretofore because
Senator Glass is an unequivocal fight
er for retention of the independence
of the Federal Reserve system from
treasury domination.
1t is not difficult to see why Sena-
tor Glass fears such policy as the In
terest rate reduction. He thinks that
the Federal Deposit Insurance cor
poration already has been figuratively
swallowed by the treasury and he be-
lieves that the administration also de.
sires the treasury to swallow the Fed.
eral Reserve board. The next logical
step II the latter is accomplished, is
for the treasury to seek establishment
of central bank where the currency
would be under control of politicians
instead of responsive to business
needs as 1t is now with the twelve re.
glonal Federal Reserve banks in Cd.
Grafton.
Too much attention should not be
paid, In the opinion of astute observ.
ers here, to the mass
Radical of radical bIlls now
Bills flowing through the
routine channels Of
introduction and reference to commit.
tees. Some Of them, 1t is true. will be-
come the basis OF legislation later on
but every house member or senator
with an idea drafts 1t into the form
Of a bill and presents II in order that
at sometime or other his name may
be attached to the legislation. But II
must be remembered that with the
radical strength existing in both
| houeaa of congracq eofna NJ fhasa hills