ADMINISTRATION DEFEAT

Hawke's Bay Tribune, Volume XXIII, Issue 105, 15 April 1933, Page 8

ADMINISTRATION DEFEAT

ADDITIOO TO U.S. FARM BILL. INSERTION BY INDEPENDENTS. By Telegraph—Press Assn. —Copyright. WASHINGTON, April 13. By six votes the Senate to-day handed the Administration its first defeat by inserting a cost-of-production guarantee into the Farm Relief Bill. The Coalition Democratic and Republican Independents put it through by 47 votes to 41 in face of repeatedly registered Administration disapproval. This followed within minutes of approval by the House of 2,000,000-dollar farm-mortgage re-financing section of the relief bill. Voted on by that branch separately it went through by 38 to 12 votes after the Speaker (Senator Rainey) blocked an attempt to have a big currency-inflation plan substituted for the entire plan. The House, which long ago approved the Farm Relief Bill, voted on the mortgage bill to shorten the time needed to bring both branches in agreement once the consolidated bill gets through the Senate. Tho amendment the Senate added to the bill is not mandatory but merely authorises the Secretary of Agriculture in helping the farmer to get more for his crops to nse the Simp-son-Morris plan, under which a farmer would be guaranteed enough for his crops to cover his cost of production and a reasonable profit. The Farm Mortgage Re-financing Bill would authorise the subscription of 100,000,000 dollars by the Government for the setting up of a permanent system of federal associations to provide mutual thrift institutions in which people may place their savings and invest their funds in order to provide for the financing of homes.