Page Fourteen 



THE I. A. A. RECORD 



September, 1932 





To Finance Movement Spreading Propaganda Rock Island County 



Of Staple Comnnodities In Central Illinois Reports Lower Taxes 



New Corporation Created To 



Stimulate Trade, May 



Improve Prices 



The Commodities Finance Corp. 

 "to finance manufacturers and 

 others in processing and moving 

 commodities" particularly in inland 

 cities where sufficient credit is not 

 available, was proposed recently by 

 Eugene Meyer, chairman of the 

 Federal Reserve Board. 



According to the announced plan 

 of organization, the corporation will 

 be authorized to issue $50,000,000 of 

 notes for which New York banks 

 will be asked to subscribe. The stock 

 in two wholly owned subsidiaries, 

 one an acceptance corporation, the 

 other a finance corporation, is to be 

 offered as collateral. 



It is reported that the corpora- 

 tion will not buy commodities in- 

 cluding farm products itself, but 

 will make loans to established pro- 

 cessors and others to assist them in 

 carrying on their business. The pur- 

 pose of the new movement accord- 

 ing to the announcement is to em- 

 ploy some of the $230,000,000 of ex- 

 cess reserves in New York banks 

 to stimulate the movement of com- 

 modities. 



Banks Pick Directors 



The corporation will be governed 

 by a board of directors chosen from 

 the subscribing banks. 

 ' It was announced on Aug. 23 that 

 Mortimer N. Buckner head of the 

 New York Clearing House Ass'n. had 

 been elected president at the first 

 meeting of the board, and C. A. Mc- 

 Cain of the Chase National Bank, 

 chairman of the executive com- 

 mittee. 



There is some conjecture as to 

 whether this organization repre- 

 sents the administration's plan for 

 carrying out the agricultural pro- 

 visions of the new Reconstruction 

 Finance Corp, Act passed in the 

 last session of congress. 



Section D of the Act provides that 

 the Reconstruction Finance Corp. 

 is authorized to make loans to bona 

 fide financing institutions to en- 

 able them to carry and market in 

 an orderly manner agricultural 

 commodities and livestock produced 

 in the United States. 



Presumably the Commodities Fi- 

 nance Corp, will make loans for the 

 carrying, processing, and marketing 

 of both agricultural and non-agri- 

 cultural commodities. 



Apparently an effort will be made 

 . to achieve the desired results with- 

 out government aid, but if further 

 money is needed to finance the 

 movement of farm products, the 

 ■ Reconstruction Finance Corp. will 

 undoubtedly come to the rescue. 



J. W. Brinton, author of a recent 

 book attacking the Farmers Na- 

 tional Grain Corp. and the Farm 

 Board, is reported to be spreading 

 propaganda against the Farmers 

 National and Illinois Grain Corp. 

 in central Illinois. 



Brinton is an old-time farm or- 

 ganizer and was formerly with the 

 Non-Partisan League which con- 

 trolled politics in North Dakota for 

 several years. Later he was con- 

 nected with the Minnesota Wheat 

 Growers and the Nebraska Wheat 

 pool. More recently he sought jobs 

 with the Farmers National Grain 

 Corp. and the Federal Farm Board 



but without success. .^ ;;>;.;;; 



It is reported that he is now 

 working for the grain trade in an 

 effort to undermine farmers' con- 

 fidence in their co-operative grain 

 marketing endeavors. 



The Farmers National Grain 

 Corp. some time ago published a 

 complete reply to the many charges 

 made in Brinton's book. Copies may 

 be had by writing the Farmers Na- 

 tional Grain Corp., Fisher Bldg., 

 Chicago. The grain trade is leav- 

 ing no stone unturned to fight co- 

 operative marketing and ruin, if 

 possible, all farmers' efforts to con- 

 trol their own marketing system. 



Protests Against Cheap 



Imports of Tapioca 



Protection for Illinois corn grow- 

 ers against competition of imported 

 tapioca is being stressed by D. C. 

 Dobbins of Champaign, Democratic 

 candidate for Congress in the 19th 

 district, in talks before farmers. 



Congress permits tapioca, which 

 is almost a perfect substitute in 

 many uses for corn, to come into 

 the United States free of import 

 duty, said Mr. Dobbins. Because of 

 its cheapness, cotton and paper 

 mills all over the United States, and 

 particularly near the seaboard and 

 in the south, use tapioca instead of 

 corn starch in their processes. 



Western factories are thus de- 

 prived of markets that would 

 greatly stimulate employment in 

 that section. This cheap foreign 

 substitute utterly destroys a mar- 

 ket every year for from 5,000,000 to 

 10,000,000 bushels of corn. If our 

 corn growers were given protection 

 against competition of this kind, 

 as other producers and favored 

 manufacturers are protected, a bet- 

 ter market for corn would result. 



Practically all of the tapioca im- 

 ported into America comes from 

 the Dutch East Indies where the 

 cassaba plant from which tapioca 

 is derived is grown by coolie labor 

 for a daily wage of a few cents. 



Substantial reductions in 1932 tax 

 levies for school districts were re- 

 ported on August 22 by the Rock 

 Island County Farm Bureau largely 

 as a result of its current and past 

 work in seeking lower taxes in that 

 county. 



Tax levies for school districts of 

 Rock Island county announced by 

 County Clerk C. N. Isaacson for 

 1932 payable in 1933, revealed sub- 

 stantial reductions in the majority 

 of the 107 school districts listed in 

 the report. 



In Rural Township, for example, 

 there was a reduction of approxi- 

 mately $3,000 in levies for 1932. In 

 this township there are 119 farms ■ 

 according to the recent U. S. census , ; 

 which means that the saving in ; 

 school taxes alone in 1933 will -^ 

 average slightly more than $25 per 

 farm. 



John R. Spencer, farm adviser, re- 

 ports that the County Farm Bu- . 

 reau tax committee has secured 

 complete figures for the past eight 

 years under the general county tax 

 of 25 cents, and is securing other 

 figures for three additional county 

 tax levies including the T. B. Sani- 

 tarium, county highways, and bond 

 issues. 



The Farm Bureau secured the co- 

 operation of the Moline and Rock 

 Island Chambers of Commerce in 

 the county tax study. 



Ask 25% Cut In Macon 



The Macon County Farm Bureau 

 public relations committee, led by 

 Archie P. Mcintosh, chairman, 

 asked for a 25 per cent cut in farm 

 land taxes in a public hearing be- 

 fore the county board of review 

 early in August. 



"We are asking the cut in valua- 

 tions with the conviction that the 

 local governments will be able to 

 carry on with the reduced income 

 from taxes," said Mcintosh. "They 

 can manage. If they don't have 

 the money to spend, they won't 

 spend it." 



Asks Tax Cut 



The Montgomery County Farm 

 Bureau recently filed a petition 

 with the Board of Review asking 

 for a flat reduction of 10 per cent 

 on the assessment of all farm lands 

 in the county for the present year. 



The crow eats most grain in winter; 

 when he is supposed to be eating or 

 pulling corn, he is usually hunting 

 grubs. .:■ /-■..■:.,■/■ -c^- ..[.^ ,:.■• ^,^■-.-.c 



^;:l 



