Coulee City dispatch. [volume] (Coulee City, Wash.) 19??-19??, 1937-03-18
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people encouraged 10 place tnem-
selves in debt.
I cannot criticize the housing ad-
ministration policy any more than
I can criticize the program Of the
Hole. The point is that there is
simply no coordination in govern
ment policies as they concern these
two agencies, and consequently, one
group is building new homes and an
other is taking over old homes for
which the buyers have been unable
to pay. In my humble opinion, it
does not make good sense.
I have heard considerable talk
among influential New Dealers to
the effect that new homes will sell
more easily than the old ones and
therefore the housing administration
plans are held to be justified. Yet,
it does seem to be a perfectly nat
ural and logical thing that new
homes become old homes as time
elapses and there are many who
believe that the government, be-
cause it has guaranteed the loans
on new homes, will have to take
over large percentage of them as
well. That is, it will have to take
over at least a normal percentage
because whether the loans are made
by private financing companies or
by the government, a considerable
number of buyers are unable to full
fill their obligations. It is not al
ways the fault of the buyers. Sick
ness, loss of jobs or thousand and
one other circumstances may de-
velop that prevents the buyer of
home from carrying through his
cherished dream of own the roof
over his head. 1t is the way of life
that certain percentage will, and
of necessity must, fall by the way
side.
I never have been able to agree
that the federal government has any
~, business in the
wrong field of financing
Principle homes or extend
ing credit to indi-
viduals. 1 have always criticized
the Hoover administration for Gre
ating the Reconstruction Finance
corporation and the Roosevelt adj
ministration for expanding its oper-
atoms. The principle is wrong be-
cause it uses money either borrowed
by the government or paid into the
Treasury by the. taxpayers to fl
nance, to build up, personal funds of
individuals or corporations.
1t seems quite clear to me that
the Hole, following the experiences
of the farm loan system, justifies
the conclusion that the federal gov
eminent cannot successfully engage
in that field. In the first instance,
I think it is bad business for gov
eminent to go beyond the protection
Of life, liberty and property, with
all the implications carried in those
three words as governmental pol
icy. Further, and with much more
emphasis, am sure that any time
government engages in that field it
opens the way for politicians to be
tempted, to be forced, to do things
in legislative way that cannot be
justified as economically sound.
Earlier in this article, suggested
the difficulty always surrounding
the sale of property that has been
taken back from the original pur-
chasers. Officials Of private mort
gage companies and other financial
institutions have grown many
gray hair in their efforts to recover
money loaned in cases where the
borrowers have met with unfortu-
nate circumstances. The govern
ment, finding itself in the position
of the private lender insofar as re-
possession of property is concerned,
has about one-haf. the chance of
liquidation that the private lender
would have. And beyond that, there
is too much chance for favoritism,
scheming and even crookedness
when the government attempts to
do a job like the Hole now is fac
ing. say that regardless of the
honest purpose that I know char
acterizes the present Hole man
agement.
1t may not have occurred to some
but the fact that the federal govern
=, ment through the
Y. ,. a HOLE will own all
Taxpayer of these houses