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period not exceeding three years, provided that the mortgagor keeps up the payment of all taxes on the mortgaged property.

SEC. 19. This act shall be liberally construed, and no technicalities or limitations shall be imposed or permitted to interfere with the speedy carrying out of its purposes; and the provisions of the Federal farm-loan system, the Federal reserve banking system, and the Postal Savings System shall apply as far as applicable in the carrying out of the provisions of this act; and all laws or parts of laws in conflict herewith are for the purpose of this act repealed. The persons charged with the duty of carrying out the provisions of this act are authorized and directed to do all things necessary or convenient to accomplish its purposes with expedition.

[S. 1698, Seventy-second Congress, first session]

A BILL Providing for regulation of the transportation of cotton in interstate and foreign

commerce, and for other purposes

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That the Secretary of Agriculture is authorized and directed to provide for taking a vote, during the crop year 1932 and subsequent crop years, of the owners of lands used for the production of cotton during the calendar year preceding that in which such vote is • taken, for the purpose of determining whether or not such owners favor the regulation by Congress of the transportation of cotton in interstate and foreign commerce and the amount of cotton which, in the opinion of such owners, should be so transported during the calendar year next succeeding that in which such vote is taken. Such vote shall be taken by mail by means of ballots prepared under the supervision of the Secretary of Agriculture and made available for distribution in such manner as he shall prescribe. Each such owner shall be entitled to one vote. Such vote shall be taken during the week beginning on the first Monday in November of such year, except that for the crop year 1932; the President is authorized by proclamation to fix the period within which such vote shall be taken. Upon the issuance of such proclamation notice thereof shall be posted in a conspicuous place in the post offices of each State in which any such lands are located.

SEC. 2. The ballots shall be mailed without requirement of postage to agents to be designated hy the Secretary of Agriculture for the counties, parishes, or other similar political subdivisions in which such lands are located. No ballot contained in an envelope bearing a postmark later than the last day of the period within which any such vote is to be taken shall be counted in making up the returns. Within five days after the taking of any such vote all ballots submitted as herein provided shall be counted publicly by such agents and immediately thereafter the results of the vote shall be certified to the Secretary of Agriculture who shall make a report thereon to the President. Such report shall show the number of votes cast in favor of and in opposition to such regulation by Congress and the average number of pounds of cotton which, in the opinion of the persons voting, should be transported in interstate and foreign commerce during the next succeeding calendar year. Such average number of pounds shall be determined by (1) taking the total number of pounds specified by such voters and adding thereto, for each voter who voted against such regulation and who failed to specify any amount in his ballot, an amount equal to the average number of pounds produced in all the States during the five calendar years preceding that in which the vote was taken, and (2) dividing the same by the total number of ballots cast less the number of ballots in which the voters who voted in favor of such regulation failed to specify the amount which in their opinion should be so transported in interstate and foreign com

In the event that a majority of the persons voting are in favor of such regulation by Congress, the Secretary of Agriculture shall also include in his report to the President a statement showing the average number of pounds of cotton produced in each State and in each county, parish, or other similar political subdivision thereof, during the five calendar years preceding that in which such vote is taken. Upon the receipt of any such report the President is authorized by proclamation to make public the result of the vote and, if the report shows that a majority of the persons voting are in favor of such regulation by Congress, the proclamation shall also specify (1) the total amount of cotton to be transported in interstate or foreign commerce during the calendar year next succeeding that in which such vote was taken, which

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shall be equal to the average number of pounds determined pursuant to the vote as herein provided, and (2) the part of such total amount to be so transported from each State during such year, which shall be determined by the ratio of the average number of pounds produced in such State during the five calendar years preceding that in which the vote was taken to the average number of pounds produced in all the States during the same period. Upon the issuance of any such proclamation it shall be unlawful during such calendar year to transport any cotton, or any manufactured or processed article containing ninety per centum or more of cotton, in interstate or foreign commerce except as provided in section 3 of this act. Each such proclamation shall be issued on or before the 1st day of December of the year in which such vote is taken except that the first such proclamation shall be issued within fifteen days after the taking of such vote.

SEC. 3. (a) The Secretary of Agriculture is authorized (1) without regard to the civil service laws, to appoint a local board to be composed of three members for each county, parish, or other similar political subdivision in each such State for the purpose of issuing licenses to transport cotton in interstate and foreign commerce during the calendar year specified in any such presidential proclamation and (2) without regard to the classification act of 1923, to fix the compensation of the members of each such board. Any person entitled to vote under this act may secure such a license upon filing an application therefor with the board under such regulations as the Secretary of Agriculture shall prescribe, accompanied by a statement under oath showing the approximate amount of cotton produced on the lands of the applicant in such county, parish, or other similar political subdivision during the tive calendar years preceding that in which such vote was taken. The license shall specify the amount of cotton to be so transported and such amount shall be determined by the ratio of the average amount of cotton produced on such lands of the applicant during such five-year period (or part thereof during which cotton was so produced) to the average amount produced during such five-year period in the State in which such lands are located. Such licenses may be transferred or assigned in whole or in part, and shall be issued with detachable coupons, or in such other form to be prescribed by the Secretary of Agriculture as will facilitate such transfer or assignment. Each such license shall be effective from the 1st day of January of the year next succeeding that in which such vote was taken and shall remain in effect until surrendered and canceled as hereinafter provided. The amount of cotton for which licenses may be issued during any one calendar year by any such local board shall be determined by the Secretary of Agricuulture by the ratio of the total amount of cotton produced in the county, parish, or other similar political subdivision in which such board is located during the five calendar years preceding that in which such vote was taken to the total amount of cotton produced in the State during the same period.

(b) During any calendar year for which such licenses are required, no cotton, nor any manufactured or proc ed article containing 90 per centum or more of cotton, shall be transported in interstate or foreign commerce from any State until it is stamped or labeled for purposes of identification nor until there shall have been surrendered to an agent to be designated by the Secretary of Agriculture for such purpose licenses or parts thereof issued under this section sufficient to cover the amount of cotton, and/or the manufactured or processed articles containing 90 per centum or more of cotton to be so transported. For the purposes of this provision the Secretary of Agriculture shall prescribe a uniform method to be followed by such agents (1) for determining the number of pounds of cotton contained in any such manufactured or processed articles and (2) for the stamping or labeling of such cotton and manufactured or processed articles. The licenses or parts thereof so surrendered shall thereupon be canceled under rules and regulations to be established by the Secretary of Agriculture. The provisions of this paragraph shall not apply to articles containing 90 per centum or more of cotton which are manufactured or processed in a State other than that in which the cotton in such articles is produced.

(c) If the President is of opinion, upon the joint recommendation of the Secretary of Agriculture and the Secretary of Commerce, that conditions warrant an increase of the amount of cotton to be so transported under license, he may by proclamation specify the additional amount to be transported from each State. Upon the issuance of any such proclamation the Secretary of Agriculture shall immediately notify the local boards in each State of the

additional amount of cotton, determined as hereinbefore provided, for which they may issue licenses.

(d) For the purposes of this section, each such local board is authorized by one or more of its members to prosecute such inquiries, and to require the production, by subpæna or otherwise, of such books, papers, and other documents: as may be necessary to carry out the functions vested in its by this act.

SEC. 4. (a) The Secretary of Agriculture is authorized (1) in accordance with the civil service laws, to appoint and, in accordance with the Classification act of 1923, to fix the compensation of such additional officers, experts, examiners, clerks, and employees, and (2) to make such expenditures (including expenditures for personal services and rent at the seat of government and elsewhere, and for law books, books of reference, and periodicals), as are necessary for executing the functions vested in him by this act. As far as practicable the agents to be designated under sections 2 and 3, and the members of the local boards provided for in section 3, shall be persons employed in the field services of the Department of Agriculture.

(b) The Secretary of Agriculture is further authorized to make such rules and regulations as may be necessary to carry out the provisions of this act, including regulations for the surrender and cancellation of licenses and for the stamping or labeling of cotton, and manufactured and processed articles containing 90 per centum or more of cotton, transported in interstate or foreign commerce pursuant to this act.

(c) The Postmaster General is authorized and directed to cooperate with the Secretary of Agriculture to the fullest extent possible in the distribution. of ballots to persons entitled to vote under this act.

SEC. 5. Any person who makes, or causes to be made, any false, misleading: or deceptive statement for the purpose of obtaining a license required by this act, or who wilfully alters, or attempts to alter, the terms or conditions of any such license, or, who, without being so authorized, attaches or removes, or causes to be attached or removed, any stamp or label required under this act or under regulations of the Secretary of Agriculture, or who transports or attempts to transport any cotton in interstate or foreign commerce in violation of this act shall, upon conviction thereof, be fined not more than $1,000 or imprisoned not more than one year, or both.

SEC. 6. As used in this act, the term “person" includes an individual, partnership, association, or corporation.

SEC. 7. There is hereby authorized to be appropriated such sums as may be necessary to carry out the provisions of this act.

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[S. 3133, Seventy-second Congress, first session] A BILL To abolish the Federal Farm Board, to secure to the farmer a price for

agricultural products at least equal to the cost of production thereof, and for other purposes

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That it is hereby declared to be the policy of the Congress to secure to farmers a price not less than the cost of production for that part of the domestic production of the following commodities needed, in the opinion of the Secretary of Agriculture, for domestic consumption: Wheat, cotton, wool, beef, pork, dairy and poultry products, and any other major agricultural product designated by the Secretary of Agriculture.

SEC. 2. The Federal Farm Board created by the agricultural marketing act of June 15, 1929, is hereby abolished and all authority, powers, and duties vested in the board by such act are hereby transferred to the Secretary of Agriculture.

SEC. 3. For the purposes of this act

(1) All the officers and employees of the board, except the members of the board (whose offices are hereby abolished), are transferred to the Department of Agriculture without change in classification or compensation ; except that no such officer or employee shall receive compensation in excess of that received by officers or employees of the Department of Agriculture performing comparable services.

(2) All the official records and papers now on file in and pertaining to the business of the board, together with the furniture, equipment, and other property now in use · by the board, are hereby transferred to the Depatment of Agriculture.

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(3) All unexpended appropriations available at the time this act takes effect in respect of the board shall, except as otherwise provided in this act, be available for expenditure by the Secretary of Agriculture in the same manner and to the same extent as if the Secretary of Agriculture had been directly named in the laws making such appropriations.

SEC. 4. (a) All contracts or agreements lawfully entered into by the board before the time this act takes effect shall be assumed and carried out by the Secretary of Agriculture.

(b) All rights, interests, or remedies accruing or to accrue, as a result of any such contract or agreement, or of any action taken in pursuance of law by the board, shall be in all respects as valid, and may be exercised and enforced in like manner, as if this act had not been enacted.

(c) All orders, rules, regulations, and privileges which lawfully have been issued or granted by the board, and which are in effect at the time this act takes effect, shall continue in effect as if this act had not been enacted, until modified, superseded, or repealed by the Secretary of Agriculture.

SEC. 5. Any office, bureau, service, division, commission, or board transferred in whole or in part to the jurisdiction and control of the board under the authority of subsection (e) of section 13 of the agricultural marketing act is hereby retransferr to the department or establishment from which it was transferred to the board, together with its functions and its records, property, including office equipment, and personnel so transferred. Any unexpended balance of appropriation's allotted by the board in respect of such agency or function is hereby transferred to such department or establishment.

SEC. 6. The Secretary of Agriculture is authorized to continue to administer the amounts heretofore appropriated for the revolving fund with a view to carrying out the policy declared in this act. In carrying out such policy no action shall be taken by the Department of Agriculture or any agency thereof, including the stabilization corporations, which partakes of the nature of speculation on the stock exchange.

SEC. 7. The Secretary of Agriculture is authorized, by order or regulation, to consolidate the functions hereby transferred to him and to create new bureau, agency, or office in the Department of Agriculture for the effective administration of such functions subject to his supervision.

SEC. 8. (a) The Secretary of Agriculture is authorized and directed to ascertain and make public the part of the domestic production of each of the agricultural products specified in section 1 which is needed for domestic consumption. Such amount shall be known as the “salable part” of the domestic production of such commodity, and it shall be unlawful for any person to sell or purchase any of such amount at a price less than the cost of production as determined and proclaimed by the Secretary of Agriculture. No part of the surplus over such salable part shall be sold; except that if at any time the world price for any such commodity is equal to or greater than the cost of production it shall be lawful to dispose of any part of the surplus at the world price.

(d) To the end that the policy declared in this act may be effectuated, the Secretary of Agriculture is authorized, whenever he finds that the importation into the United States of any such agricultural products or their substitutes produced outside of the United States materially affects or is likely to materially affect the sale of the salable part of any such agricultural products at a price not less than the cost of production, to proclaim that fact and thereafter it shall be unlawful to import, directly or indirectly, any such products or their substitutes into the United States.

SEC. 9. (a) From time to time, whenever the Secretary of Agriculture shall find it essential to license the purchase, importation, or storage of any of the agricultural products specified in section 1 in order to carry into effect the purposes of this act, he shall publicly so announce, and, after the date fixed in such announcement, no person shall engage in or carry on any such business specified in the announcement unless he shall first obtain a license issued pursuant to this act. The regulations prescribed pursuant to this act may include requirements with respect to the issuance of licenses, systems of accounts, auditing of accounts, to be kept by licensees, submission of reports by them, and the entry and inspection by the duly authorized agents of the Secretary of Agriculture of the places of business of licensees. It shall be unlawful for any licensee to purchase any of the agricultural products specified in section 1 at a price less than the cost of production proclaimed by the Secretary of Agriculture.

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(b) Any person who, without license issued pursuant to this section, intentionally or knowingly engages in or carries on any business for which a license is required pursuant to this section or intentionally or knowingly makes any purchase in violation hereof, and any person who intentionally or knowingly violates any other provision of this act shall be deemed guilty of a misdemeanor, and upon conviction thereof shall be fined not more than $500 or imprisoned for not more than six months, or both.

SEC. 10. The Secretary of Agriculture is authorized to prescribe regulations for carrying out the provisions of this act.

SEO. 11. As used in this act the term person” includes an individual, partnership, association, or corporation.

66

[S. 3680, Seventy-second Congress, first session]

A BILL To amend the agricultural marketing act, approved June 15, 1929

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That the agricultural marketing act (Public No. 10, approved June 15, 1929) is amended by adding after section 10, three new sections as follows:

MARKETING AGREEMENTS

SEO. 11. (a) From time to time, upon request of the advisory committee for any agricultural commodity, or upon request of leading cooperative associations or other organizations of producers of any agricultural commodity, or upon its own motion, the board shall investigate the supply and marketing situation in respect of such agricultural commodity.

(b) Whenever upon such investigation the board finds

First. That there is or may be during the ensuing year a seasonal or year's total surplus, produced in the United States and national in extent, that is, in excess of the requirements for the orderly marketing of any agricultural commodity or in excess of the domestic requirements for the commodity;

Second. That the operation of the provisions of section 7 (relating to loans to cooperative associations or corporations created and controlled by one or more cooperative associations) will not be effective to control such surplus because of the inability or unwillingness of the cooperative associations engaged in handling the commodity, or corporations created and controlled by one or more such cooperative associations, to control such surplus with the assistance of such loans; and

Third, That the durability, the conditions of preparation, processing, and preserving, and the methods of marketing of the commodity are such that the commodity is adapted to marketing as authorized by this section—then the board, after publicly declaring its findings, shall arrange for marketing any part of the commodity by means of marketing agreements with cooperative associations engaged in handling the commodity or corporations created and controlled by one or more cooperative associations. Such marketing shall continue during a marketing period which shall terminate at such time as the board finds that such arrangements are no longer necessary or advisable for carrying out the policy declared by section 1.

(c) A marketing agreement shall provide either

(1) For the withholding by a cooperative association, or corporation created and controlled by one or more cooperative associations, during such period as shall be provided in the agreement, of any part of the commodity delivered to such cooperative association or associations by its members. Any such agreement shall provide for the payment from the stabilization fund for the commodity of the cost arising out of such withholding; or

(2) For the purchase by a cooperative association, or corporation created and controlled by one or more cooperative associations, of any part of the commodity not delivered to such cooperative association or associations by its members, and for the withholding and disposal of the commodity so purchased. Any such marketing agreement shall provide for the payment from the stabilization fund for the commodity of the amount of the losses, costs, and charges arising out of the purchase, withholding, and disposal, or out of contracts therefor, and for the payment into the stabilization fund for the commodity of profits (after repaying all advances from the stabilization fund and deducting all

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