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About Morning Oregonian. (Portland, Or.) 1861-1937 | View Entire Issue (Sept. 8, 1916)
V K y THE MORNING- OREGOXIA5, FRIDAY, SEPTEMBER 8. 1916. FARMERS ASK FOB RURAL CREDIT BANK Requirements of Northwest Set Forth in Hear ing Held Here. DISTRICTS ARE IMPORTANT Ileal Tillers of the Soil From Many Parts of Tributary Coun try Attend Hearing and Boost for Portland. Farmers In the territory tributary to Portland are exceedingly anxious to take advantage of the new Federal rural credits law. This tact was firmly impressed upon the Federal Farm Land Board, which conducted a hearing on Portland's claims to be designated as a farm loan center yesterday. A score of witnesses most of them actual, practical, "horny-handed" farm ers testified before the Board. They all spoke of the dire need of cheaper farm loans, such as the new Federal enactment proposes to provide, and de clared unanimously that the farmers generally will patronize the new farm land banks quite extensively. District Plan Connldered. The primary presentation made to the Board yesterday was a plea for an arrangement of the 12 farm loan dis tricts so that the Interests of the Northwest will be served most advan tageously. The committee In charge of Port land's campaign graciously and patri otically placed Portland's claims for recognition secondary to the more im portant question of proper districting of the country. But it was the universal opinion of witnesses that the extensive agricul tural interests of all parts of the Northwest will best be served If the bank is located in Portland. Almost equal emphasis was laid on the contention that it will be disad vantageous to all parts of the North west to be grouped with -California. It was pointed out that the industrial, commercial, climatic and even the social conditions of California are en tirely dissimilar to those of the North western states. The Interest rates there are lower, too, and the needs and use of the bank there would differ widely from those of the" Northwestern states. Natural Orouplng Suggested. The natural grouping suggested was Oregon, Washington and Idaho, and possibly Montana, in a district by themselves. The full commission officiated at yes terday's hearing, which was conducted in the Federal building. George W. Norris. Farm Loan Commissioner, acted as chairman. Other members of the board are Charles E. Lobdell. Captain "W. S. A. Smith and Herbert Quick. A committee consisting of J. D. Brown, president of the Farmers' I'nion; C. K. Spence. master of the State Grange, and Dr. Hector MacPher son, of the Oregon Agricultural College, had charge of Portland's case. Among the important witnesses that they presented were Governor Withy combe, W. J. Kerr, president of the Ag ricultural College; A. L. Mills, president of the First National Bank; Thomas B. Kay, State Treasurer; Colonel William Hanley, of Harney County, and. a num ber of others. But the board disturbed the estab lished programme at Intervals to hear the testimony of volunteer witnesses in the audience. They asked particularly for farmers and the farmers did not hesitate to come forward. Some of them told interesting stories, significant, in their notes of distress, of the high interest that they have been forced to pay for farm loans in the past, of homes forfeited, of mortgages foreclosed, of hopes blasted, of for tunes shattered and actually of lives shortened through the tremendous bur den of 7 per cent, 8 per cent. 10 per cent and even 12 per cent Interest charges The "bonus" or "commission" or whatever it is that the money lenders charge the farmers to extract from him a payment in excess of the legal rate of Interest, came In for much Indeli cate discussion and also for consider able careful Inquiry on the part of the Commission. ' Chairman Norris Explains, When the meeting started at 9 o'clock Commissioner Norris made a brief ex planation of the alms and purposes of the new law, outlining its principal pro visions as they have already been pre sented. One of his significant utterances, however, was that the Federal Govern ment does not expect that any consid erable amount of the $750,000 capital ization which Is required of each banlc will be subscribed by the general pub lic. The public will be given oppor tunity to subscribe, but the Government will be ready to take up all the stock that the public does not take, he said. The size of the stock subscription will not Influence the board In deciding- for or against any community. "The principal aim of the board.", he said, "is to make available an unfailing supply of money, to make the interest rate as low as possible it cannot be more than 6 per cent and to make its administration as simple as possible. "What this board is principally inter ested In is the farm loan need of this community. We want to hear the farm ers particularly. We want to hear them first and we want to hear them fully." ' J. D. Brown, the first witness, ex plained the sentiment of the farmers of Oregon and surrounding territory that they do not want to be Included in a district with California. He said that Oregon. Washington and Idaho form a natural district, geographically, commercially, industrially, agricultur ally and socially. But if the Commission determines to place California In the same district with the Northwest, he insisted that Portland still Is the' natural center for tsuch a bank. "You understand that it is necessary to have a diversity of interests to make the strongest possible district," inter rupted Commissioner Quick. "You don't want all your eggs in one basket." Mr. Brown satisfied him that the Northwestern district has a sufficient diversity of interests. C. C. Chapman gave a very clear and concise statement of the import ance of the Northwestern group of Mates compared with other groups in other parts of the country. He sub mitted, for record, a mass of instruc tive figures and maps intended to en lighten the commission further on this subject. Mr. Chapman had divided the whole country into two groups those states that pay 8 per cent interest for their farm loans and those that pay less. One-fifth of all the area that pays 8 Ter cent Is in the Northwest, he said. These same Northwestern states are equal in area to the original 13 states, with the exception of Georgia. This area Is four times as big as New England. Mr. Chapman continued, but has only one-fifth the volume of farm loans. "It you want to put the grease where , MEMBERS OF FEDERAL FARM LOAN BOARD WHO CONDUCTED HEARING IN PORTLAND YESTERDAY I I - c - " i - ; - At . r I ) ' i J -, 'V'. - . , 1 '-'''if If i 1 TjjfH . A" I.KFTP TO RIGHT CHARLES E. LOBDELL, CAPTAIX AV. S. A. SMITH, GEORGB W. NORRIS, HERBERT ltlCtC the squeak is." he added, "this section certainly will merit your attention." He presented maps showing the ex tent of the Government land and unde veloped land in proportion to the whole area with an idea of impressing the commission with the future possibili ties of the district. At the conclusion of Mr. Chapman's statement the commission called for volunteer witnesses from the farmers irvthe room. Farmer Give Eiperieneeii. Thomas Withycombe, a brother of Governor Withycombe, and a farmer in Washington County, was the first to respond. He declared that he and his neighbors are required to pay 8 per cent and that this excessive figure means a life of drudgery for many farmers' wives in thi3 part of the country. F. P. Friday, of Hood River, said that he is paying 8 per cent on a loan of $12,000 and 7 per cent on another loan of 3500. He will eagerly take ad vantage of the new law if he can get money at 6 per cent or less. J. D. Riggs, of Wasco County, is pay ing 8 per cent, he said, and has dif ficulty in getting renewals In times of stringency. "And the bankers always tell you that money is tight when you try to get your notes renewed," he added. Mrs. Sabina Morton, owner of exten sive wheat farms in Umatilla County, was an interesting witnesse. She would borrow several thousand dollars under the new system to improve her land, she told the board. J. E. Kelly, of The Dalles, a mem ber of the State Legislature and a farmer in that locality for many years, said he has paid as high as 10 per cent in the last 37 years. "The farmers cannot get money on suitable terms to make necessary improvements," he added. The farmers of his acquaintance are greatly interested in the lew law. The testimony of W. W. Lunger, of Yamhill County, proved of much In terest, and incidentally furnished con siderable amusement for the audience. Mr. Lunger sold his farm in Iowa six years ago and came to Oregon. He bought 105 acres near Lafayette and has more than $20,000 invested in the place now, including a house costing $5000. "You may call me a gentleman farmer because I live in a fine house," he com mented, "but I drove a binder this season." "You can't get any sympathy out of me on that," Interrupted Commissioner Quick, with a laugh, "I did it myself." Cheaper Money Is Need. H. Thiesen, of Clackamas, said that the farmers in his community need cheaper farm loans and will take ad vantage of the new law. George M. Miller, of Eugene, reported that a group of 13 men in his neigh borhood already have made tentative arrangements to make loans under the act to the extent of $36,000. The board members questioned him at length re garding his plans. This was the first case reported on their present trip of a set of farmers actually having taken the necessary preliminary steps to operate under the new law. E. L. French, of Clark County. Wash ington, ex-State Senator there, said that the people in Southwestern Wash ington are eager to have a bank con venient to them, that the local grange has discussed the subject. C. H. W akef ield. a young farmer of Eddyville, Lincoln County, was one of the brightest witnesses. The board gave him close attention and apparent ly gained much useful knowledge from his discussion of the subject- Only one-fifth of the area of Lincoln Coun ty, he said, is under profitable culti vation. One-third of it is in timber. The farmers need money for fencing, for cleaning out underbrush, for buying stock and for making improvements. They now pay an average of 8 per cent. He himself is paying 84 per cent on a loan of $500. His farm is assessed at $2800. If he could get money at 5 per cent, he could use $1000 or $1500 advantageously and profitably. He would double the yield on his farm. He knows of $5000 in his neighborhood that is paying 10 per cent. The farm ers there are ready to form an asso ciation to operate under the new law. Commissioner Quick asked him many questions about the mohair industry In his district and was informed that the goats are a great help in clearing the land. Washington Men Interested. B. J. McConnell, of Vancouver. Wash- spoke as the representative of a group of farmers who are eager to take ad vantage of the low Interest provisions of the new law, he said. E. Davidson, a fruit orchard man of Stevenson, Wash., told of the needs of the fruitgrowers. Shelton Bechtel, of Jennings Lodge, explained that truck farmers near Portland also want cheaper money to make further im provements on their places. President Kerr, of the Oregon Agri cultural College, gave a comprehensive report of the general agricultural needs of the Northwest. The district, he said, needs cheap money that will attract the young man and induce him to remain on the farm. Governor Withycombe, who is an old friend of Commissioner Norris, arrived while the' afternoon session was in progress. He made an urgent appeal for the establishment of a bank in Portland. He pointed out that the Columbia River watershed an area of 250,000 square miles naturally drains into Portland and that fully 23.000.000 acres in this state are in need of de velopment. The, farmers of this district need cheap money, he continued, and em phasized the fact that 10,000,000 acres in the Willamette Valley alone will benefit materially if they get cheaper money. "Put a bank In Portland," ha con cluded, "and we'll give a good account of ourselves." S. E. Spence, master of the State Grange, called attention to the fact that the granges of Oregon were among the first to advocate the need of rural credits before the National Grange and explained that the Grang ers throughout the state are thorough ly familiar with the provisions of the new law, its requirements and its ad vantages. "We Oregonians." he said, "are ac cused of being experimental, anyway, but we are willing to take a chance with this." E. G. Hopson, former supervising en gineer of the United States Reclama tion Service, told of the irrigation de velopment done by the Federal Govern ment in the Northwest and said that the settlers on those lands will be aided materially if they can have cheaper loans. The hearings concluded at 5:30. after which the commissionere were taken on a trip over the Columbia River High way. With the exception of Commis sioner Lobdell. the board left last night for Sacramento, where the next hear ing will be held. Commissioner Lobdell left for his home in Kansas last night to attend to urgent private business. He will re join the other members of the board next week. While in Portland yester day, Mr. Lobdell visited with his daughter. Miss Avis Lobdell. passenger agent for the O.-W. R. & N. Company. The following are those who at tended the hearing: C. K. Kindt, farmer, Pontoo, Or. : It. Thlerson, farmer, Mllwaukle; J. F. Sweet, Portland: O. M. Plummer, Portland Vnion Stockyards; A. J. Tanner, farm owner, Port land; I. A. Peters, farmer, Portland; Kd T. Strommers, farmer, Portland; M. N. Dana. The Journal. Portland; M. E. Smead, Cham ber of Commerce, Portland; W. P. Smith. Mulloy, Or.; P. Oillihan, box 128, Portland; S. Hutchinson, Portland; C. S. Hudson, banker. Bend; Mrs. Sabina Morton, farmer, I'matllla County; W. B. Childers, farmer. Cove Orchard; F. C. Graham, farmer. Cove Orchard; F. P. Friday, farmer. Hood River; Cbarlts E. Moreland, farm owner. Portland: John Alontag. Portland; Edwin Mays, farmer, Maupin. Or.; J. L.. Kelly, farmer. The Dalles; K. 1. French, farmer. Van couver, Wash.; J. T. Hinkle, farmer, Hermls ton; C. C. Chapman, Portland; Hector Mc pherson, Oregon Agricultural College; J. 1). Brown, president Farmers' ITnlon; Carl F. Keck, real estate, Neppel, Wash.; VV. W. Lunger, Lafayette: "W. J. Kerr, president Oregon Agricultural College; C. J. Smith, farm owner, Portland; L. K. Wilson, Port land; H R. Richards, farmer. The Dalles; R. G. Hall, farmer. Blue River; Robert G. Hofer, Portland; A. D. Davidson, farmer. Stevenson. Wash.: George M. Miller, farmer, Eugene; Hugh McLaln, president Chamber of Commerce, Marshfield; V. A. Manning, farmer, Portland; J. 1. Munden, farmer, Portland; George W. Downing, farmer. Fair view, Or.; D. L. Fllley, farmer. Portland: C Lt. Hawlev. farmer. State Senator. McCoy, Or.; Owen A. MeGill. farmer, McMinnville, r. ; c J. Hund, farmer, Eugene, Or.; J. 1. Mickle, State Dairy Commissioner and farmer, Palem; E. E. Mills, farmer. White Salmon. Wash.; W. R. Wells, farmer. White Salmon, Wash.; S. H. Boddi'ngham, farmer. Washington; W. C. Wilkea, S. P. & S. Ry. ; Portland: E. S. Jenne, farmer, Gresham; Martha E. Ross, farmer Portland: James GUI, lawyer, Moscow, Idaho; W. A- Aya, farmer. La Pine, Or.: E. L. McClure, Jen nings Lodge; J. H. Merz, bookkeeper, Port land; Mrs. J. H. Dunstan farmer, Tilla mook; J. E. Hall, farmer, Dllley, Or.; E. C. Stillmack, farmer. Wells, Or.; Gus Gender son, farmer. Lebanon. Tumalo Men Attend. Freii N. Wallace, farmer and superintend ent Tumalo project, Tumalo, Or.; J. M. Griffin, merchant, Tumalo; J. N. B. Gerk ing, farmer. Tumalo; O. M. Hankness. farmer, Tigard. Or.: F". A. Holt Mllwaukle; W. W. Harrah, farmer, Pendleton; Ferd Groner, farmer, Hillsboro; A. F. Frieze, farmer, Gresham; Henry Matthew, mort gage loans, Boise, Idaho; Mra. A, C. Rill, farmer, Klamath Falls; Mrs. A. C. Farley, farmer, Dallas; G. L. Hurd, farmer. Cor vallls; R, R. Parsons, farmer, Orenco; M. McDonald, farmer, Orenco; C. W. Cornelius, farm owner, Portland ; H. A. Lewis, farmer, Montavllla; Edsar Beard, farm owner. Van couver. Wash.; E. E. Erlckson, Portland; C. H. Wakefield, farmer, Eddyville; John Wilson, retired farmer, Portland: Perry Parker, farmer. Tangent, Or.; Alfred C. Schmitt, banker. Albany; H. Hlrschberg, farmer. Independence; A, D. Goodfellow, farmer, Portland: G. Y. Harry, promoter, Portland; R. H. Schulock. farmer, Jerome, Idaho; C. F. McDonald, rancher, Portland: C. L. Thomas, farmer, Oregon City; M. W. Ma honey, farmer, Gervais; A. L. Altklns, farmer. Riddle; F. E. Wray, farmer. Silver ton; H. A. Ely, bonds, Portland: W. X. Morgan, farmer, Vancouver. Wash.; D. a. Elliott. farmer. Amity; Charlea Kane, farmer, Portland; S. G. Sargent, superin tendent of banks, Salem; G .G. Ross. Farmer, Sherwood; E. G. Hopson, engineer, Portland; Colonel C. E. S. Wood, lawyer, Portland; William Ha.nley, farmer. Burns; C. .E. Spence. master aie grange. Scientists In both France ana Germany are seriously trying to ascertain if there is any value in the divining rod for locating underground water and metals. SGIO IS IN GLORY Albany Day Draws Crowds to Linn County Fair. AVIATOR IS ATTRACTION Herbert Munter's Flights Are Suc cess School Exhibits Excite Considerable InterestRace Programme IMeases. ALBANY", Or., Sept. 7. (Special.) The second day of the 10th annual Linn County Fair at Scio today found the little town In the height of Its glory as it entertained the largest delegation of visitors that has invaded the little city since-last year's fair. The different exhibits were the ob jects of numberless compliments and were pronounced by many the best in the history of the fair. The Industrial school exhibit, made by the manual training and domestic science depart ments of the different schools of the county, was declared the best ever dis played in the Valley. Th textile and fine arts departments were ranked very high. While there was a large display of agricultural and horticultural products, the display was not the equal of last year owing to the fact that the late season has forced the farmers to take advantage of the good weather this week to care for their crops. Today was Albany day, and 50 auto mobile loads of Albanyites. the major ity of them wearing white cowboy hats to advertise the coming Round-up at Albany, passed the day at the fair. Tomorrow will be Lebanon day, and a large delegation from the strawberry city is expected to Join the crowd at the fair. When the fair opened all exhibits were ready and all events of the pro gramme were successfully presented, even to the exhibition aeroplane flights by Herbert Munter. This last feat is singled out particularly owing to the fact that Munter's performance is the first successful aeroplane exhibition staged at the Scio grounds, although attempts had been made by aviators in past years. Governor Withycombe, who attended the fair yesterday, was much Impressed by the exhibits of Linn County school children. Many fine displays of farm products were highly praised, while the exhibits in the manual training de partment proved to be of great Inter est to yesterday's visitors. At first view, the tables, chairs and other arti cles of furniture exhibited by Albany and Scio school districts could easily pass for the work of a furniture manu facturing concern. Heavy rains during "the past week were responsible for the absence of a number of entries in the livestock ex hibits yesterday. Every department was represented in the stock, parade, but today and tomorrow more contest ants are expected. Stock Judging com mences today, with final awards to be made tomorrow. Several fast horses are in the racing stables to attend the three-day pro gramme. Yesterday Sunny Jim. owned by Mrs. H. C. Davis, of Vancouver, Wash., won first money from a field of five in the 2:25 pace. The Scio half mile track holds the state record of 1:03. and In speed events scheduled for today and tomorrow many fast heats are looked for. Tomorrow's Judging will decide one of the most important contests .of the fair, the supremacy of the prize baby boy and baby girl of Linn County. Agri cultural and industrial exhibits will also receive awards. S15 . Ir Men 's Fall Suits and Overcoats "The Best in the West" Ben Selling TT'S a new department and every garment is new hundreds of splen did suits and overcoats enough to fill every case on my third floor and every one sells at $15! IVrY buyers went early to market -L'-J- long- before the rapid advance in prices the result is complete pre paredness for Fall and Winter. SUITS and overcoats both for men n n H vnnn cr rrwnovorv -m nrl ol fnr every size of man business suits, full dress suits and tuxedos. DRESS overcoats and big-, burly ones for Winter winds. Every suit every overcoat has my guaranty for service or your money back gladly. T WANT every man in Portland to see -1- this fine, big, new department. It's a revelation in merchandising for men. I was surprised myself when I returned from my va cation and found an entire floor filled with such wonderfully good garments to sell at such a remarkably low price. ryHIS invitation is to you bring a friend. The Entire Third Floor BEN SELLING Leading Clothier Morrison at Fourth - to the Commanding General of the Western Department for duty in con rrection with preparing and carrying out plans for land defenses of the coast. . elHolllster held that he was a citizen of - ' the state of Kentucky. Affidavits were BIG TAX SUIT IS APPEALED California "Fights for Millions on llarkncss Estate. SAN FRANCISCO. Sept. 7 The state of California filed notice of appeal to the State Supreme Court today in a final attempt to collect tax running Into millions of dollars on the estate of L. V. Harkness, Standard Oil magnate, who died a year ago on his ranch near Hollister. Cal. The Superior Court at filed later to prove that the millionaire considered himself a resident of Call f ornla. The Harkness estate consisted of large land holdings and securities. Ac cording to U. S. Webb, Attorney Gen eral of California, the tax sought to bo collected Is the largest In the history of the state. BIG ESTATE IS DIVIDED Wealth of Tt. Kerens, ex-Ambassador to Austria, Goes to Family. ST. LOUIS, Sept. 7. Trust funds of $50,000 each are bequeathed to five grandchildren of Kichard Kerens. ex Ambassador to Austria, by the terms of the will filed hero today. To Richard Kerens. Jr., a son. Is be queathed a trust fund of l"t0,000 in stocks and bonds and S00 a month Is to be paid to him as long as ho lives. Nearly all the rest of the estate goes to Vincent Kerens, a son; Mrs. Made line Kerens Kenna and Mrs. Gladys Kerens Kelliot, daughters. Iry League for Mr. Lewis. ABKltPEEV, Wash.. Sept. 7. (Spe cial. )-The Grays Harbor Dry League, of which F. M. Rassett. of Hoquiam. is president, and which consists of several hundred members, has indorsed John Q. Lewis as first-choice candidate for Governor and recommends the voting for Mr. Sutton for second choice. Coast Defense Work to Start. OREGONIAN NEWS BUREAU, Wash ington. Sept. 7. The Army District Kngineer has been ordered to report JW By Check a ft Is convenient, saves time, guards against errors, furnishes a record of I 1 t-t your transactions and is useful when I 1 a payment is disputed. I ; i Irj Your Account Invited. mrnm L.UMBERMENS JS Vf National, bank 252 1 Fifth and Stark. jCf &rw Interest on Savings. jSf PUT YOUR FUEL IN YOUR BASEMENT NOW Don't wait for the silver thaw to find you have no fuel don't order just enough to last you for a month and don't order any kind of fuel just because it is priced the lowest per ton or per cord. Gasco Briquets are pure heat and they actually give more heat for your money than any solid fuel obtainable in the Northwest. They require practically no attention in burning and do not give a hatful of ashes in an entire Winter. can be obtained for a few more days only at the special Summer prices and you save 50 cents per ton by ordering NOW. Special Prices for Delivery This Month Only 1 Ton $9.00 Per Ton 2 to 4 Tons $8.75 Per Ton 5 to 39 Tons $8.50 Per Ton Phone your order to Main 6500 or A 6274 NOW PORTLAND GAS & COKE CO.