Evening star., 1936-03-01
Virginia RUSAES
| TOBACCO TREATY
Lower House Sweeps Bill to
Senate-Compact Be-
-. fore Congress.

Senate-Compact Be.
-. -: fore Congress.
BY the Associated Press.
/. RICHMOND, Va, February 29.-The
tobacco compact bill, to become effec-
tive,as a production control hiN when
other States growing similar types of
tobacco approve it, was passed today
by the Virginia House Of Delegates
under suspension of the rules and was
made a special order o. business for
Monday in the Senate.
The act is also predicated upon the
theory that Congress will pass an act
consenting to the establishment Of
compacts.
4 Virginia, North Carolina, South
Carolina and Georgia must take con-
certed action for the act to be effective
as to f1ue-cured tobacco, and Virginia,
Kentucky, North Carolina and Ten
nessee must join together for the con.
troll of hurley and dark-f1red types.
. "A Exception Written In.
An exception to permit the act to
become effective in 1886, without
passage of compact bill by the Geor-
gia. Legislature, was written into the
Virginia bill. The section reads:
Provided, however, that with re-
spect to flue-cured tobacco this act
shall become effective for the 1886
crop year only upo. the enactment of
similar act by North Carolina and
South Carolina, II and when the Gov
ernor shall proclaim +he fact that in
his opinion effective means have been
adopted to regulate, by agreement or
otherwise, the marketing and sale of
such kind of tobacco in Georgia SUBJ
stantially in accord with the general
quota and marketing provisions of this
act"
A somewhat similar provision would
permit Virginia, Kentucky and Ten
nessee to enter into q compact for
control of hurley and dark fired types
in 1886 without action by North Caro-
lima.
In order to be effective this year
the compacts must be in effect by
June /, 1886.
Few Changes Made.
The actual bill introduced today was
virtually the same as the tentative
draft made public Thursday night. It
provides for a determination. by to-
bacco commissions to be named in
the State, with the cooperation of the
Fedora Government, Of the amount
of American tobacco that would be
needed for world consumption. State
quotas would be fixed according to
the production in 1885 for fiue cured
tobacco, and with the average pro-
duction in the past three years the
basis for fixing the quotas for hurley
and dark-fired types.
The State Tobacco Commissions
would fix the allotments or quotas for
individual farms by a similar method
and might name committees of grow
ers deemed necessary in reaching such
determinations.
Marketing certificates would be is
sued to a buyer or handler upon ap-
plication Of producer for the amount
Of his quota. The buyer would be
charged for certificates in excess Of
the producers quotas The commits
sion would determine the amount, not
less than Is per cent or more than so
per cent of the gross value of the
tobacco. The buyer would deduct
from the price paid the grower the
amount of the charge.
Resale certificates would be issued
to buyers and handlers.
Weather Adjustments Included,
Provision is made for adjustment
IN quotas or States or individuals
where weather conditions, or other
factors, seriously affected production.
An insurance section also would per-
NIT payments in accordance with reg
ulations of the tobacco commissions
to producers whose sales, because of
loss by fire or weather or diseases af-
fecting the tobacco, are less than their
marketing quotas. The payments
would be at rate per pound for such
deficit (which rate shall be determined
by dividing the funds available for
such payments by the total number Of
pounds by which the sales of tobacco
by all producers fall below tht mar.
keting quotas for their farms" The
rate would not exceed cents a pound
under any conditions.
Sale or resale without the proper
certificates would be unlawful, the
penalty a fine equal to three times the
value of the tobacco so sold. Violation
would also be misdem.anor subject
TO fine of from $40 to $25.
The Virginia Tobacco Commission
provided for in the act would consist
OF from three to seven members ap-
pointed by the Governor for terms of
one year. A majority would have to
be producers, and the director of the
State Agricultural Extension Service
would be member. The Governor
would designate the chairman. The
members would serve at the pleasure
Of the Governor and would receive
per diem of $40 and expenses.
: Delegate w. N. Neff of Abingdon,
chairman of the Special Legislative
Committee to consider the matter,
said the bill was in the nature of q
:streaty" which would have to be rati-
lied by the tobacco States.
Franklin Daniel Of Lynchburg. cast
the only vote against the bill in the
House today.
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