726 GENERAL FARM PROGRAM 



over and the supply level and so forth? Mr. Walker is completely 

 familiar with all of the details. 



Air. Pace. All right, Mr. Walker. 



Mr. Walker. Under existing legislation 



Mr. Hope. Wlien you say that, are you referring to the Agricul- 

 tural Act of 1938 as amended? 



Mr. Walker. It really refers to both. For acreage allotments it 

 would be the Agricultural Act of 1938. For marketing quotas it 

 would be under the Agricultural Act of 1948. 



Mr. Hope. It would not unless we put the Agricultural Act of 1948 

 into effect prior to January 1, 1950, would it? 



Mr. Walker. That is correct. 



Mr. Hope. Suppose we do not do anything? 



Mr. Walker. Then there would be no basis, as far as I see it, for a 

 marketing quota proclamation on the 1950 crop of wheat. 



Mr. Andresen. We are still operating under the act of 1938. 



Mr. Walker. That is right. 



Mr. Andresen. What does that say? 



]\Ir. Walker. That provides that when the total supply of wheat is 

 greater than 35 percent of the normal domestic consumption and 

 exports, marketing quotas shall be proclaimed. 



Mr. Pace. Then you do not anticipate that the supply would be 

 that great? 



Mr. Walker. The current indications are that the supply will be 

 greater than that. 



Air. Pace. Then why do you say there is no machinery for declaring 

 marketing quotas? 



Mr. Walker. Because the 1948 act becoming effective January 1 

 would void those provisions of the 1938 act. 



Mr. PoAGE. That still does not keep you from putting it into effect 

 between now and January 1. Is there authority under the law as it 

 now stands? I am not talking about what will come in next year. 



Air. Walker. The question originally, as I got it, referred to the 

 1950 crop of wheat. 



Air. Poage. That is right, but you have to announce these things 

 before 1950. 



Mr. Woolley. Perhaps Air. Bagwell of the Solicitor's oflSce would 

 like to comment on the legal point. 



Mr. Pace. If the Secretary, under the terms of the Agricultural 

 Adjustment Act of 1938, proceeds from here out until the first day of 

 January, will not those acts remain in force and eft'ect as to the 1950 

 crop, notwithstanding the act of 1948 that may become effective on 

 January 1, 1950? 



Air. Bagwell. As the law now stands, the proclamation of quotas 

 on the 1950 crop of wheat could bo made any time before next Alay 15. 

 As you know, the wheat quotas were set up with the idea in mind that 

 the Department would first establish acreage allotments, then would 

 wait until the crop is almost ready for harvest and determine whether 

 or not it was necessary to have quotas. Therefore, the law set the 

 deadline as Alay 15. 



Here is the situation we are in: The 1948 act seems to require the 

 proclamation of quotas on the 1950 crop before July 1, 1949. That 

 is a change made so that quotas would have to be proclaimed before 

 farmers planted instead of waiting until after the crop is produced. 



