SEO. 7. (a) Notwithstanding any other provision of law, none of the establishments or agencies named in subsection (b) of this section shall, after June 30, 1937, incur any obligations for administrative expenses, except pursuant to an annual appropriation specifically therefore, nor shall any such establishment or agency continue to function after said date unless established by or pursuant to law: Provided, That nothing contained herein shall be construed to extend the period during which any such establishment or agency heretofore has been authorized by law to function.

(b) 1. Federal Home Loan Bank Board;
2. Home Owners' Loan Corporation;
3. Federal Housing Administration;
4. Federal Farm Mortgage Corporation;

5. Federal Surplus Commodities Corporation;

6. Export-Import Bank of Washington;

7. Second Export-Import Bank of Washington, District of Columbia;

8. Reconstruction Finance Corporation;

9. Electric Home and Farm Authority;

10. Commodity Credit Corporation;

11. Federal Emergency Administration of Public Works;
12. Federal Savings and Loan Insurance Corporation;
13. Reconstruction Finance Mortgage Company.

(c) The appropriation made by section 2 of the Independent Offices Appropriation Act, 1937, for carrying out sections 7 to 17, inclusive, of the Soil Conservation and Domestic Allotment Act is hereby made available to the Department of Agriculture for the purposes of carrying out such Act with respect to land devoted to growing trees for the production of gum turpentine and gum rosin. Approved, June 22, 1936.

[S. J. Res. 38]

JOINT RESOLUTION

To provide for an inquiry by the Court of Claims with respect to losses sustained by cooperative marketing associations in connection with stabilization activities in grain.

Resolved by the Senate and House of Representatives of the United States of America in Congress assembled, That the Court of Claims, in accordance with such rules as it may adopt, shall investigate losses sustained during the stabilization operations of the Federal Farm Board in 1929 and 1930, by cooperative associations to which loans were made, either directly or indirectly, by the Federal Farm Board, through withholding grain from the market and making advances to their members in order to stabilize prices, for the purpose of determining

(1) The amount of loss, if any, in the case of each such association and the facts and circumstances relating to such loss; and

(2) Whether, because of any agreement or understanding between such associations, or any of them, and the Federal Farm Board (or any member, officer, or employee thereof) or because of any other facts or circumstances, there is any legal, equitable, or moral obligation on the part of the United States to reimburse such associations, or any of them, for the whole or any part of any such loss. The court shall report to Congress, at the earliest practicable date, the results of its investigation and determinations, together with such recommendations as it deems appropriate.

Approved, June 26, 1936.

RETIREMENT OF STOCK

SEO. 43. The governor may at any time require any such bank to retire and cancel stock held by the governor in such bank, if, in the judgment of the governor, the bank has resources available therefor, and amounts received by the governor in any such case shall be credited to the revolving fund created under section 6 of the Agricultural Marketing Act, as amended.

TITLE V-AMENDMENTS TO AGRICULTURAL MARKETING ACT

SECTION 50. (a) The following provisions of the Agricultural Marketing Act, as amended, are hereby repealed:

(1) Section 3 (relating to Advisory Commodity Committees) ; (2) Paragraph (4) of section 5 (relating to powers of the Farm Board to investigate overproduction);

(3) Paragraph (5) of section 5 (relating to miscellaneous investigations by the Farm Board);

(4) Paragraph (3) of subsection (a) of section 7 (relating to loans to assist in forming clearing house associations);

(5) Paragraph (4) of subsection (a) of section 7 (relating to education in the advantages of cooperative marketing);

(6) Paragraph (5) of subsection (a) of section 7 (relating to loans to enable cooperatives to advance a greater share of the market price of commodities than is practicable under other credit facilities); (7) Section 10 (authorizing the Farm Board to assist in forming clearing house associations); and

(8) Section 11 (authorizing the Farm Board to enter into price insurance agreements).

(b) The repeal of section 7 (a) (5) shall not be construed to prohibit the extension, renewal, or refinancing of any loan made thereunder and outstanding on the date of the enactment of this Act, but loans to extend, renew, or refinance any such loan shall bear interest rates as determined under section 8 (a) of the Agricultural Marketing Act as amended by section 54 of this Act.

SEO. 51. Paragraph (1) of subsection (a) of section 7 of the Agricultural Marketing Act, as amended, is amended to read as follows: "(1) the effective merchandising of agricultural commodities and food products thereof and the financing of its operations;

SEC. 52. Paragraph (2) of subsection (a) of section 7 of the Agricultural Marketing Act, as amended, is amended to read as follows: "(2) the construction or acquisition by purchase or lease, or refinancing the cost of such construction or acquisition, of physical marketing facilities for preparing, handling, storing, processing, or merchandising agricultural commodities or their food products;

SEC. 53. Subsection (c) of section 7 of the Agricultural Marketing Act, as amended, is amended to read as follows:

"(c) Loans for the construction or acquisition by purchase or lease of physical facilities, or for refinancing the cost of such construction or acquisition,' shall be subject to the following conditions: "(1) No such loan shall be made in an amount in excess of 60 per centum of the value of the facilities.

"(2) No loan for the purchase or lease of such facilities shall be made unless the Governor of the Farm Credit Administration finds that the purchase price or rent to be paid is reasonable."

SEC. 54. Subsection (a) of section 8 of the Agricultural Marketing Act is amended to read as follows:

"(a) Loans to any cooperative association shall bear such rates of interest as the Governor of the Farm Credit Administration shall by regulation prescribe, but in no case shall the rate be less than 3 per centum per annum or more than 6 per centum per annum on the unpaid principal. In fixing such rates of interest, the governor shall fix such rates as he deems the needs of the lending agencies require and in the case of loans made for the purposes of section 7 (a) (1) the rate shall, as nearly as practicable, conform to a rate 1 per centum per annum in excess of the Federal Intermediate Credit Bank discount rate at the time the loan is made, and in the case of loans made for the purposes of section 7 (a) (2) the rate of interest shall, as nearly as practicable, conform to the prevailing rate on mortgage loans made to members of national farm-loan associations at the time the loan is made."

SEO. 55. Subsection (a) of section 15 of the Agricultural Marketing Act, as amended, is amended to read as follows:

(a) As used in this Act the term 'cooperative association' means any association in which farmers act together in collectively processing, preparing for market, handling and/or marketing the farm products of persons so engaged and also means any association in which farmers act together in collectively purchasing, testing, grading, and/or processing their farm supplies: Provided, however, That such associations are operated for the mutual benefit of the members thereof as such producers or purchasers and conform to one or both of the following requirements:

"First. That no member of the association is allowed more than one vote because of the amount of stock or membership capital he may own therein; and

Second. That the association does not pay dividends on stock or membership capital in excess of 8 per centum per annum.

"And in any case to the following:

"Third. That the association shall not deal in the products of or supplies for non-members to an amount greater in value than such as are handled by it for members."

SEC. 86. Subdivision (a) of section 10 of the Act entitled "An Act to relieve the existing national economic emergency by increasing agricultural purchasing power, to raise revenue for extraordinary expenses incurred by reason of such emergency, to provide emergency relief with respect to agricultural indebtedness, to provide for the orderly liquidation of joint-stock land banks, and for other pur

a So in original.

poses," approved May 12, 1933, is amended by inserting before the period at the end of the first sentence a colon and the following: And provided further, That the State Administrator appointed to administer this Act in each State shall be appointed by the President, by and with the advice and consent of the Senate."

Approved, June 16, 1933, 1:10 p. m.