PEICE SUPPOET THEOUGH USE OF PEODUCTION 

 PAYMENTS 



MONDAY, JUNE 6, 1949 



House of Representatives, 

 Special Subcommittee of the 



Committee on Agriculture, 



Washington, D. O. 



The special subcommittee of the House Committee on Agriculture 

 met at 10 a. m., Monday, June 6, Mr. Pace (chairman) presiding. 



Mr. Pace. The committee will please come to order. 



I would like to state that I regard the committee meeting today, 

 as well as the meetings tomorrow and probably the next day, as of 

 more than usual importance with regard to the future agriculture 

 program. 



The hearing this morning has a twofold purpose. First, the sub- 

 committee has before it by reference of the chairman H. R. 4485, 

 which would authorize the use of the production-payment method 

 in the support-price program for hogs heretofore announced. In that 

 connection, I should like to say that tha support on hogs this year 

 was annou.nced by the Secretary of Agriculture under a mandate of 

 the Congress. I do not understand that the Secretary had any dis- 

 cretion whatsoever in announcing the support price on hogs, but it 

 was made mandatory by the provisions of title I of the Agricultural 

 Act of 1948. 



Personally, I have felt that inasmuch as that announcement was 

 made under a mandate of the Congress as recommended to the Con- 

 gress by this committee, this committee has a very deep responsibility 

 in seeing that the Secretary has the machinery to carry out his an- 

 nouncement. 



(H. R. 4485 is as follows:) 



[H. R. 4485, 81st Cong., 1st sess.] 

 A BILL To amend the Act of July 3, 1948 (Public Law 897), entitled the "Agricultural Act of 1948" 



Be it enacted by the Senate and House of Representatives of the United States of 

 America in Congress assembled, That the Act of July 3, 1948, entitled the "Agri- 

 cultural Act of 1948", is hereby amended by adding after the period of the last 

 sentence of section 1 (b) the following: "The Secretary may provide price support 

 for hogs under this subsection, in whole or in part, through payments to producers. 

 The Secretary maj' determine the rate or rates of payments annually or periodi- 

 cally on the basis of the amount by which the estimated average price to all 

 producers of the commodity for the period to which the rate relates is less than the 

 level of price support therefor; and such rate or rates may be adjusted by the Secre- 

 tary, to the extent he deems practicable, for differences in quality, location, and 

 other factors. Payments hereunder may be limited to the quantity marketed 

 by the producer." 



The second purpose of the hearing is that the subcommittee has 

 given consideration to the proposal submitted by the Secretary of 



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