Newspaper Page Text
FARMERS ARE GIVEN INSTRUCTIONS
ROW TO SECURE SHORT-TERM LOANS
ALBANY PRODUCTION CREDIT ASSOCIATION, RECENT
LY ORGANIZED, IS READY TO DO BUSINESS—C. E.
MARTIN MEMBER OF BOARD OF DIRECTORS FROM
EARLY COUNTY—OTHER DETAILS GIVEN.
Farmers in the Albany section—
counties of Dougherty, Lee, Worth,
Mitchell, Calhoun and Early—who
desire to borrow money for produc
ing crops for livestock, to be repaid
at the end of the season, are advised
by the government to make applica
tions to the recently organized Al
bany Production Credit Association.
This organization has offices in
the Woolfolk Building. Applications
can be made to Edward Bland, sec
retary-treasurer, or to any county
agent or drector, as named below.
The 1934 crop season will mean
the beginning of a better system of
credit for many farmers who are
preparing to finance the year’s
farming by means of short-term
credit loans through the Production
Credit Associations which are being
organized under the Farm Credit
Administration throughout this state.
Under the Farm Credit Adminis
tration the land banks will continue
to make long-term real estate
mortgage loans; but the administra
tion is also providing a long-needed
system of short-term production
credit for farmers—loans to be used
for producing crops and livestock
and repaid at the end of the season.
This is an entirely new service for
farmers; and it is designed to be
permanent.
As stated afore, farmers in this
locality will be served by the Al
bany Production Credit Association,
which was chartered on December
18, 1933, to serve producers in the
counties named, and the directors
from these counties are as follows:
Lee, J. E. Workman; Dougherty,
W. M. VanCise; Worth, D. G. Jef
ford; Mitchell, J. D. Whiting, presi
dent; Baker, M. A. Mcßainey, vice i
president; Early, C. E. Martin; Gal-1
houn, J. C. Merritt. There is no
fixed number of counties standard ]
for all associations, but each must i
include enough territory to give a
volume of business sufficient to se
cure efficient organization and low
cost of operation.
The Albany Production Credit As
sociation was organized through the
co-operation of representative farm
ers of the counties included, with
the assistance of the Productionl
Credit Corporation of Columbia. ;
There is one of these corporations '
in each of the twelve land bank dis
tricts in the country. The local j
association will obtain loanable funds
from the Federal Intermediate Cred
it Bank of Columbia, which will lend
money on, or discount, well secured
notes of farmers. All of these insti
tutions are a part of the Farm Cred
it Administration.
A production credit association
does not lend government money.
The funds that will be loaned are
obtained by the intermediate credit
banks which sell short term bonds,
or debentures, to the investing pub
lic. In other words, the money is
being borrowed to be loaned to eli
gible farmers to enable them to pro
duce a season’s crop. The Associa
tion is not a charity institution; but
a business credit institution for
business-minded farmers. The pur
pose is to make loans that farmers
can afford to use for a season’s op
erations, and which will be repaid
at the end of the season. It is a
pay-as-you-go plan for agriculture.
Loans needed to buy work-stock,
fertilizers, seed, machinery, and
equipment, for purposes of dairy
or poultry farming, or for other ex
penses incurred for general agricul
tural purposes, may be obtained
from a production credit association
as conveniently as from any care
fully managed bank. Most of the
loans will run from three to twelve
months, depending on the length of
time required for growing and mar
keting the crops or live stock which
the loan is made to produce. Leans
for crop production will usually ma
ture in less than a year, and usually
from six to nine months, although
loans such as those on dairy and
breeding cattle may run longer.
As stated above, anyone interest
ed in securing a loan of this type
should apply to Edward Bland, sec
retary-treasurer, Albany, or should
Fryer’s Plumbing &
Electric Co.
We handle Standard Sanitary Manufacturing
Company’s Plumbing Goods. We carry full
line of repair material for either plumbing or
electrical work. Estimates given on any
work on short notice.
Prompt Service on all Calls
Shop Phone 14 Residence Phone 48
LOCATED AT
FRYER’S GARAGE
All Work Guaranteed
see the county agent or director in
his respective county, who will aid
in preparing the application.
Applications will be acted upon
quickly when they give a clear finan
cial statement of the applicant farm
er’s condition, listing all assets and
liabilities, and estimating net worth.
The applicant should name specifical
ly the farming assets offered as se
curity for the loan, and give a plan,
or budget, showing how he is going
to use the loan applied for and how
he is going to repay it.
Primary security for production
loans consists of live stock, farming
equipment, growing crops, or other
personal property most appropriate
to secure the loan adequately and
make up a chattel mortgage. It is
not intended that loans shall be se
cured primarily by mortgages on
real estate. Where this type of se
curity is taken it will be regarded
as additional collateral.
The minimum is SSO and no loan
may exceed 20 per cent of the au
thorized capital of the association.
The amount of the loan should cor
respond with the actual need of
credit. Perhaps more farmers have
become heavily involved in debt be
cause of too much credit than be
cause of the lack of it. Loans from
production credit associations will
only be made as needed; and prop
er precautions will be taken to pre
vent over-extension of credit so that
farmers will not have to pay unnec
essary indebtedness with resulting
interest.
After a farmer’s application is
received his financial statement is
checked and the property offered as
security for the loan personally in
spected by a loan inspector of the
association. The minimum charge
for inspection is $2. Regulations
about inspection charges and collec
tion may be changed as required by
the production credit corporation.
Usually no charge will be made for
inspection if the loan is not granted.
If the report of the inspector is
satisfactory and the loan is approved
by the loan committee of the asso
ciation, the farmer’s note is endorsed
in the name of the association, and
sent, along with his credit statement
and chattel mortgage, to the inter
mediate credit bank of Columbia.
If the bank approves the credit state
ment and the security, it makes
funds available to the association,
and the association sends a check
to the borrower immediately.
Each association is capitalized ac
cording to the credit needs of the
territory it will serve. Most of the
capital stock is purchased by the
Production Credit Corporation of
Columbia and this enables the asso
ciation to begin making loans im
mediately. Funds derived from the
sale of stock to the corporation are
used by the local association to pur
chase high grade collateral chiefly
government bonds, which are placed
with the intermediate credit bank to
establish a line of credit, that is, to
get the bank to discount, or lend
money on, the notes of farmers
which the association has endorsed.
Ordinarily the bank will discount
well-secured farmers’ notes up to five
times an association’s capital. In
this way an association may get all
the credit it needs.
The authorized capital stock of
the Albany Production Credit Asso
ciation is $130,000. Os this amount
the Production Credit Corporation
of Columbia will pay in, as needed,
about $97,500, making possible a
maximum total of loans of $650,000
through loans and discounts with
the intermediate credit bank.
Actually the Production Credit
Corporation owns about three-fourths
of the capital stock of an associa
tion. The farmers who borrow from
it own most of the remaining por
tion, each borrower being required
to own 5 per cent of the amount of
his loan in voting stock in the as
sociation.
A farmer who gets a loan from
the association does not have to ad
vance any money to pay for his
stock, as the purchase price may
be included in the loan, one $5 share
EARLY COUNTY NEWS, BLAKELY, GEORGIA
DOINGS OVER GEORGIA
The State at Large
A weekly letter of news
and comment exclusively
to members of Georgia
Newspaper Alliance.
By JOHN W. HAMMOND
Staff Writer, Georgia Newspaper
Alliance
INTENSIVE FARMING SEEN
The Southern states are prepar
ing to go in for some of the most
intensive farming this section of the
country has ever seen, if fertilizer
statistics are to be taken as an in
dication. Fertilizer tag sales in Jan
uary, preparatory for February
shipments, as compiled by the N.
F. A. from departments of agricul
ture, show these 10 states are about
to take just about double the ferti
lizer they did in 1933; in other
words, the percentage of tonnage
at this time is just about 175 per
cent of the .tonnage of this time last
year. Virginia’s percentage com
pared with last year is 184; North
Carolina, 185; South Carolina, 261;
Georgia, 426; Florida, 86; Alabama,
170; Mississippi, 116; Tennessee, 52;
Arkansas, 476; Louisiana, 162; Tex
as, 93; Oklahoma, 107. The average
percentage on the basis of compari
son with the same month last year
for the South is 175, or three-fourths
more fertilizer than a year ago. It
will be noted there are two interest
ing features in these figures: first,
that in all the South only Florida,
Tennessee and Texas indicate less
tonnage than last year at this time;
second, that the tobacco producing
states are evidently going in for
heavy fertilization. And prospects
are that all this is to be done on re
duced acreage for the respective
states.
NON-PARTICIPATING CRITICS
Up in Cedartown the last of the
week Hugh Howell, chairman of the
State Democratic Executive Commit
tee, delivered an address to a joint
meeting of the Exchange and Ki
wanis Clubs in which he used this
expression: “No citizen in the state
has the individual right to criticise
being purchased as each SIOO of the
loan money is advanced. The stock
carries no double liability. Thus a
borrower’s liability in any possible
impairment of capital of ’ the asso
ciation extends only to his own stock
holding, amounting to $5 for every
SIOO or fraction thereof borrowed.
A farmer does not have to pur
chase new stock each time he bor
rows unless the stock he owns has
become impaired in value or he
wishes a larger loan. A farmer not
indebted to the association may sell
his stock to another eligible borrow
er, or may exchange it at its fair
book value for non-voting stock.
Such an exchange must be made
within two years after the holdei 1
ceases to be a borrower.
The stock purchased by the cor
poration is non-voting, but preferred
as to assets in case the organization
is liquidated. The voting stock is
owned only by the borrowing farm
ers, each having only one vote in the
association no matter what the
amount borrowed or stock owned.
Officers and a local loan commit
tee of each association are selected
by the temporary board of directors
which was elected by the charter
members when the association was
organized. At the first annual meet
ing of the voting stockholders, that
is, the farmer borrowers, a board of
directors will be elected, confirming
or replacing the temporary board.
Thus each borrower has an equal
chance of voting his opinion as to
the management of the association.
At present loans from a produc
tion credit association carry an in
terest rate of 6 per cent, charged
on an annual basis, that is, only for
the actual time the loan is out
standing. A loan for six months, for
instance, will carry an interest
charge of about $3 on a hundred.
The interest is not collected until
the loan is due.
The interest rate charged the in
dividual borrower may not exceed
by more than 3 per cent the rate at
which the association gets money
from the intermediate credit bank.
At present the interest or discount
rate charged the association by the
intermediate credit bank is 3 per
cent—these charges make up the 6
per cent interest rate paid by the
farmer.
The interest spread of 3 per cent
between the rate paid by the asso
ciation and that paid by the bor
rower goes to the association to
meet operating expenses and build
up a guaranty fund or surplus,
needed by any carefully managed
business institution.
Actually, the Farm Credit Admin
istration is establishing at Albany,
as at other centers of farming sec
tions, a farmer’s short-term credit
business. Each borrower has part
ownership in the business. His lia
bility for loans of the organization
is only 5 per cent of the amount he
borrows. The management of the
business is being entrusted to rep
resentative farmers chosen by the
member borrowers. This is the only
method ever devised which permits
farmers with the aid of the federal
government to ultimately own and
operate their own production credit
business,
his or her government unless that
citizen participates in the selection
of the government. If I were a
school superintendent I’d require ev
ery one of my teachers to register
and vote, vote according to the dic
tates of each individual conscience,
but vote. If I were the head of *a
business employing people, or run
ning an enterprise, I would require
every employee of age to register
and vote; vote each as he or she sees
fit, but vote. If we do not partici
pate in government by the exercise
of the franchise given us, those
who do not are failing in their duty
as good citizens.”
Mr. Howell’s talk was a party ar
gument, not a factional one, and
carries a great deal worthy of se
rious consideration. That is borne
out when one takes the Georgia
population figures, selecting and to
taling the adult whites in the state
and then comparing that total with
the average total vote polled in any
state primary.
PREVENT DUAL POST
PRIMARY WRANGLES—
Some time around the middle of
March the State Executive Commit
tee as a whole will be called to meet
for the purpose of framing the rules
and regulations to govern the pri
mary this summer. Accepting the
information on which this statement
is made to be correct, the indication
is that the matter of making rules
and regulations will not be left
merely to a small portion of the
whole committee, which is right. So j
far as has been learned to date, there ’
seems to be no movement to make
any material changes in the exist-!
ing rules, but possibly it might be a
good thing, if some change could be
made in the matter of disposing of
contests following the primary, if
there are any, which would obviate i
dual action thereon. Under past cus
tom a sub-committee of the body in
office during the entire period of the
campaign and at the time of th
primary hears contests and makes
reports; then there usually is a
successful effort made to take
those matters into the convention
which is composed later, and thresh
over the same ground again. Fre
quently the finding of the original
sub-committee is upset and a differ
ent verdict comes.
One of two things ought to pre
vail; either there should be no,
sub-committee to hear contests from
the existing stat? committee, or else
the matter should be finally disposed
of by the sub-committee. That course,
though it might find objection for
partisanship reasons, would serve
to keep from clogging up the con
vention proper with much stuff that
is purely local in its nature.
NOT “BEHIND THE SCENES”—
Since the resignation of Mr. i
Hughes Spalding, of Atlanta, as a
member of the Board of Control of [
the University system, several inquir-1
ies have come in asking “what was
the reason for it.” In places there 1
has been some disposition to read j
into the incident differences of opin
ion or politics. So far as can be
found there was neither. Mr. Spald
ing’s father has spent the greater
part of a long and useful life build
ing up an outstanding law business.
His son is his logical successor to
carry on that business. The duties
of chairman of the Board of Control
have been exacting of Hughes Spald
ing more time than he has been
able to give, in his patriotic service,
to his own legal business, and, nat
urally, a condition like that could
not satisfactorily go on.
What appears to be well-founded
information is that the resignation
came wholly and entirely because of
the fact that the law business, in j
which he is a partner, needed all
his time.
SENATE SUPPORT FOR
TALMADGE—
I don’t need to plead any cause |
for or against the Talmadge admin
istration. But, facts are known when!
they are seen. A size-up of the
prospective races for the state sen
ate, so far as it can be made at
this time, indicates conclusively, as
it will to anybody who cared to go
to the trouble to compile it, that the
present administration will have full
support in the next state senate to
the extent of at least 39 out of the
51 members; and that is based on
information which does not include
six of the 51 districts.
Information on the outlook for
seats in the House of Representa
tives is not as complete, but present
j indications are that the status of
I the next House is going to be just
| about the same as at the last regular
session.
From the general trend of politi
cal events at this time, a forecast is
that state politics will begin to take
on activity between the first and
middle of April. The fact that it is
an off-year in county politics will
slow things down somewhat, but
unusual economic and political con
ditions seem to be centering more
county attention than usual on state
politics, and that is as it should be.
And there will be enough this year
to make everything interesting.
May the best man and the right
man win in every place.
Try the News for Job Printing.
SCARBOROUGH
SPECIALS:
WHITE BLOSSOM FLOUR 24 LBS. SI.OO
PEACOCK FLOURsSishg 24 L b., sl.lO
10 lbs. Hershey’s Sugar 47c
Dill Pickles, qts. 17c
Sweet Mixed Pickles, qts. 20c
Mustard, qts. 15c; Pints 10c
Johnston’s Mayonnaise, 8 oz. 10c, Pts. 18c
Hershey’s Cocoa, 1 lb. 15c
1-2 Lb 10c; 1-5 Lb 5c
Libby’s Pineapple (sliced or crushed) No. 2 18c
Libby’s Fruits for Salad, No.
Early June English Peas, No. 2 15c
Bulk Grits, 3 lbs. for 10c
YOUR PATRONAGE APPRECIATED
♦♦♦♦♦♦♦♦♦♦♦♦♦♦♦♦♦♦♦♦♦♦♦
I 1 DRINK |
Nehi True Fruit Orange and ♦
Nehi Chocolate Milk |
Nehi Bottling Co. |
lllllllllllllllllll!lllllllllllllllilil!lllllllllllll!llllllllllllllllllllllllllllllllllllllllllllllllllll
City Tax Books
Now Open
►♦♦♦♦♦
The books are now open for giving in
city tax returns. Please attend to this
matter promptly
♦♦♦♦♦♦
C. L. SAXON, Clerk.
Illlllllllllllllllllllllllllll!lllllllllllllllllllllllllllllll!llllllllllllllllllllllllllllllllllllllllll
Important Notice-
All Tax Payers
Extra time granted by County Com
missioners for paying 1933 taxes will
expire March Ist. We urge that you
take up these taxes before that date
and save extra cost. Also, we again
call your attention to the fact that
poll taxes are separate from your
State and county taxes, thus requir
ing two fifas to be issued with cost on
both. We especially urge that you
take up your poll tax and save the cost
of one fifa, if you can’t take up your
1933 property tax.
J. L. HOUSTON,
Tax Commissioner.
NO MORE RATS
;or Mice after you use RAT RID
! DANCE. It’s a sure rodent killer.
Try a package and prove it. Rats
killed with Rid Riddance leave no
i smell. Cats and Dogs won’t touch it.
’ 50 cent size, 3 oz. is enough for
Pantry, Kitchen and Cellar.
75 cent size, 6 oz. for Chicken
House, Coops and small buildings.
Sold and guaranteed by
BALL-AINSWORTH HDW. CO.
I Hardware, Paints and Farm Supplies
Phone Five-O Blakely, Ga.