April, 1933 



THE I. A. A. RECORD 



Page Seventeen 



/ 



H C Vial Receives Gold ^^^ presented with a gold watch Exempt Real Estate 



n. ^. yiai iveceiY©* v^uiu ^^^ ^^^^^^ j^y p^^^j Landorf, presi- < a \_ r T x* 



Watch At Dist. Conference dent of the Dupage county Farm Mortgages hrom i axarion 



Bureau on behalf of the counties 



in the district. 



On the back of the watch was 

 engraved the I. A. A. emblem and 

 inside the case "Presented by the 

 nth District to H. C. Vial in ap- 



TAX problems, telephone, ana preciation of six years service as 

 <»ipr.t.rif» nnwer rates, insurance. Director of the I. A. A. 



Counties Report On Their Ac- 

 complishments In Many Fields 

 At Meeting In Wheaton 



AX problems, telephone, and 

 electric power rates, insurance, 

 agricultural extension work, organ- 

 ization and a host of other ques- 

 tions were discussed at the 11th 

 district conference for the Farm 

 Bureau leaders held at Wheaton, 

 March 22. Approximately 50 at- 

 t ended. The 

 meeting was 

 called and pre- 

 sided over by E. 

 Harris of Lake 

 county who rep- 

 resents the dis- 

 trict on the I. A. 

 A board. 



Farm Adviser 

 Wright reported 

 that the Dupage 

 County Farm 

 Bureau has 920 

 members and 

 that less than 



100 actual Dupage county farmers 

 are now outside the organization. 

 I. A. A. auto insurance is an influ- 

 ential factor in maintaining a 

 strong membership throughout the 

 district. Wright also told of the 

 Farm Bureau's work in securing a 

 17.5 per cent reduction in taxes this 

 year through co-operation of local 

 assessors and county officials. 



President Swayer of Lake county 

 reported that the Farm Bureau now 

 has approximately 50 per cent of 

 the 1200 farmers in the county as 

 members, an increase of 20 per cent 

 in membership in the last four to 



Additional speakers included 

 Farm Adviser H. C. Gilkerson, who 

 commended the Farm Bureau tax 

 committee for its work with the 

 county board of review in securing 

 a 15 per cent tax reduction in Lake 

 county; President Keslinger of Kane 

 county; Farm Advisers L. H. Bra- 

 ham of Will, W. A. Herrington of 

 McHenry, O. G. Barrett and W. A. 

 Tasher of Cook county; President 

 Dick Nietfeldt, Cook county; A. J. 

 Stahl, Lake county; Vice-President 

 Schroeder of Will county; President 

 Earl Swenson, McHenry county; 

 Clare Bradford, I. A. A. district or- 

 ganization manager; and others. 



Editor, I. A. A. Record: — 



As a member of our local Farm 

 Bureau of Richland county I have 

 from time to time read with much 

 interest, the articles on how to lift 

 the mortgage and relieve the bur- 

 dened farmer. We all agree that the 

 price of farm products is low, and 

 that it is hard to legislate farm 

 prices and products. Why not strike 

 at the proper place, and here is a 

 plan that will help the farmer: 



1. There is no better nor safer 

 security than good real estate se- 

 curity. 



2. The rate of interest has been 

 too great, for the risk or hazard 

 taken. 



3. The holder of the mortgage is 

 taxed (if he gives it in for taxes, 

 and many do not) , and the farmer 

 is taxed on the full value of the 

 lands, which is unjust, for he pays 

 on something that he does not own. 



Now pass laws reducing interest 

 as follows: that the rate of interest 



H. C. VIAL 



Suggest Use Unemployed 

 To Build Secondary Roads ^^f ^}'^ lo^?}' ^"^^^ secured by real 



' estate, shall not exceed three per 



cent per annum; that the note and 



A campaign to use the unem- 

 ployed in building a secondary road 

 system in Illinois was launched re- 

 cently by the Chicago Herald & 

 Examiner. 



"The biggest question before this 

 state, or any other state, at this 

 time is how to obtain something in 

 return for the relief voted and so 

 avoid the dole," says the Examiner, 



"Not only the present but much 

 of the future depends on the 

 method used in expending this re- 

 lief. This can be done, advocates of 

 low cost roads maintain, by the 



mortgage securing said loan on real 

 estate shall be exempt from all 

 taxation, state or national. This 

 will give the farmer a low rate of 

 interest, and the money lender can 

 afford to loan the money on good 

 real estate security at three per 

 cent interest, because it is exempt 

 from all taxes. 



Many mortgages are never re- 

 corded, and many loans are made 

 by requiring the owner of real es- 

 tate to deed the lands to the party 

 making the loan, and the lender 

 giving back to the landowner a 



five years. The Farm Bureau's tax scientific expenditure of the road contract agreeing to reconvey when 



reduction work supported by the 

 county treasurer and assessors he 

 cited as an outstanding service. He 

 felt that the tax program and com- 

 mercial activities of the Farm Bu- 

 reau were the life blood of the in- 

 stitution although recognizing the 

 value of extension work. The most 



dollar, instead of the present meth- 

 od of using all the funds on a few 

 high-cost roads which benefit only 

 a few." 



Figures are cited showing that in 

 Pennsylvania the average cost of its 

 low-cost roads per mile is $6,000 for 

 a road which will carry from 1,000 



permanent members, he said, are to 1,200 vehicles per day. Pennsyl 



the loan is paid (which is in effect 

 a mortgage), all of which is done 

 by the money lender to evade tax- 

 ation, which he does. By reducing 

 the rate of interest to three per 

 cent per annum, and making the 

 note secured by mortgage non-tax- 

 able, idle money would be loaned 

 on good real estate to the farmer, 



those signed by local men and the vania formerly spent between $50,- and the farmer save one-half the 



collections among them are much 

 better. 



Against Branding 



J. D. Bilsboro of the University of 

 Illinois discussed membership, and 

 state and federal appropriations for 

 extension work. 



Farm Adviser Kelley stated that 

 the Kane County Farm Bureau was 

 opposed to branding of feeder cat- 

 tle because of the harm and shrink- 

 age involved in chasing them all 

 over the yards. Branding with acid 

 only lasts 30 days, he said, and its 

 value is questionable. 



H. C. Vial, former director on the 

 I. A. A. board in the 11th district. 



000 and $70,000 a mile on some 

 roads. 



Illinois now has more than 3,800 

 miles of $30,000 per mile roads 

 which carry less than 1,000 vehicles 



interest he is now required to pay 

 at the present rate of interest. This 

 law could be enacted in every state 

 of the Union, and do away with the 

 Federal Land Bank, who sell their 



per day. The situation in Illinois is loans to the general public, and 

 that the state has only about 25 per 

 cent of its roads paved. There re- 

 main more than 70,000 miles of un- 

 improved roads. These roads form 

 the secondary system of Illinois 

 which so far has been completely 

 overlooked. 



The Indiana Farm Bureau Co-oper- 

 ative AMoclatlon !■ conslderlngr the or- 

 Kanication of a central co-operative 

 bank to aerve farmers' co-operative 

 aMociatlona thronghont the state. 



which are tax exempt, but the rate 

 of interest has been too high, and 

 not satisfactory to the farmer. 



R. S. Rowland, Attorney 



The Farm Bureau Is now aggressively 

 supporting federal legislation to re- 

 finance farm mortgages at a low in- 

 terest rate. Revision of the state con- 

 stitution Is necessary to do away with 

 our antiquated property tax law with 

 Its double taxation of mortgaged real 

 estate. The I. A. A. has been working 

 for such revision for a number of 

 years. — Editor. 



