FIPTf-FIRST ANNUAL REPORT. 8S 



of the truth of the statements therein contained." We have no authority 

 to make shipping point inspections of interstate shipments, nor can we 

 make inspections at markets other than those which are designated by 

 the Secretary of Agriculture. Shipments which are in the course of 

 interstate movement may be inspected at a point in transit which is 

 designated as an important central market. Concretel.y expressed the 

 Long Island potato grower cannot have his shipments inspected in New 

 York City and the Michigan Potato Grower is not entitled to receive U. S. 

 inspection for his potatoes shipped to Kalamazoo, Grand Rapids or 

 Detroit, unless thej^ are billed to a point outside the state. This re- 

 striction in the law has hampered the work to a considerable extent in 

 several of the larger markets and if we had the authority to inspect intra- 

 state as well as interstate shipments the service would be of greater 

 value to both shippers and receivers. 



Perhaps it may be well to mention the fees and the rules and regula- 

 tions regarding the issuance of certificates. The original or ribbon copy 

 of the certificate goes to the applicant who pays the fee for the inspection. 

 One copy of the certificate is mailed to the shipper if he is not the appli- 

 cant. For additional copies of certificates requested by other financially 

 interested parties the fee shall be $1.00. The applicant may secure two 

 copies of the certificate free when specifically requested before the issu- 

 ance of the original certificate. For each lot of food products inspected 

 the fee shall be as follows: $4.00 when the quantity involved is more 

 than one-half of a carload, but not more than a full carload; and $2.50 

 when the quantity involved is not more than one-half of a carload. 

 Prior to July 1st, 1920, the fees were $2.50 for carlots and $1.50 for 

 small lots. The increase in fees was necessary in order to more nearly 

 cover the cost of the service, and in this connection, so far as we are able 

 to judge the amount of work performed has not decreased on account of 

 the increase in fees. The fees which are charged, however, only partially 

 cover the cost of the service, and besides, they do not come back to the 

 Inspection Service. The receipts go into the miscellaneous funds of the 

 U. S. Treasury and are not converted into a revolving fund from which 

 we could draw to extend the service as the needs justified. 



Probabty most of you are familiar with the general nature of our work, 

 our certificate form and the way we are reporting our findings. The 

 purpose of the certificate is to furnish a fair and impartial report which 

 can be used as a basis for the settlement of disputes. In most cases our 

 certificates cover inspection of cars which have been rejected or else 

 were accepted with the understanding that an allowance would be made, 

 provided the report showed that the shipper did not deliver the grade 

 or quality specified in the terms of sale. The certificate will at least 

 be proof whether the stock was graded as he marked and billed it and 

 serve as evidence of its condition on arrival. The advantage of this 

 up-to-date knowledge of the condition of the shipment is so evident that 

 many shippers and receivei's ask for inspection as a matter of precaution. 

 The small fee charged is inconsiderable if it tends to prevent any mis- 

 understanding or suspicion of unfairness on either side. 



Another feature of our work has been brought about by a number of 

 carlot distributors who have availed themselves of the opportunity to 

 use our certificates for sales purposes. In the language of a prominent 

 official of the Interstate Commerce Commission our inspection certifi- 



