AGRICULTURAL RELIEF

415

should begin wih a 5 per cent penalty; and further that it should be
based on a two-year basis. If the surplus is up in 1929 the board
can give its warning for the production in 1930, and we feel that this
amendment would give the bill the protection to which every one
interested 1n sound legislation insists upon, namely, that there should
be some penalty for over production. If there is no objection I
would like to file this amendment, and to have it in the record, so
that is will indicate that our whole purpose is ligislation; that while
it benefits agriculture, at the same time it protects the public Treasnry
 against undue simulation or overproduction .
(The amendments proposed by Mr. Taber are as follows:)

SUGGESTED AMENDMENT FOR AUTOMATIC REDUCTION OF RATE OF DEBENTURE TO
PREVENT OVERPRODUCTION

Strike out line 4, page 11, to line 10, page 13, and insert in lieu thereof:
“(d) In order to prevent undue stimulation in the production of any
lebenturable agricultural commodity it is hereby provided that—
“{1) The board shall compute the total production of debenturable livestock
and products thereof and the acreage of other debenturable commodities for
each of the seven preceding years, computing each commodity separately, and
shall show by what percentage the average of such- production or acreage for
‘he last two preceding years exceeds or falls short of the average like production
or acreage for the seventh to third preceding vears. inclusive, and shall report
rhe same to the President; and that
(2) Whenever the President finds from the report of the board, or from any
other source, that the average annual production of debenturable livestock or
products thereof, or the average annual acreage of any other debenturable agricultural
 commodity for the last two preceding years has exceeded the average
annual production or acreage of such debenturable agricultural commodity for
the seventh to third preceding years, inclusive, he shall by proclamation
prescribe that the export debenture rate for the commodity or debenturable
products thereof shall be reduced for the ensuing year by the percentage fixed
in subdivision (a). Such reductions shall become effective on the date fixed in
such proclamation, not less than sixty days from the date of the issuance thereof,
and shall remain in effect throughout the crop year. At the end of such Crop
year the export debenture rates for such debenturable agricultural commodity
and the debenturable products of such commodity which were in effect immediately
 prior to the commencement of such crop year, shall become effective
again unless the President under the provisions of this act prescribes a change
in such rates. The term “crop year,” as used in this subdivision, means a
*welve months’ period beginning at a time designated by the President.
“(e) Reductions in debenture rates under subdivision (d) of this section
<hall be made in accordance with the following percentages:
“(1) For a computed increase in production or acreage of less than 5 per
centum, there shall be no reduction in rate of export debenture.
“(2) For a computed increase in production or acreage of 5 per centum but
less than 15 per centum, there shall be a reduction of 23 per centum in the
rate of export debenture.
“(3) For a computed increase in production or acreage of 15 per centum but
less than 25 per centum, there shall be a reduction of 50 per centum in the
rate of export debenture.
“(4) For a computed increase in producticn or acreage of 23 per centum but
less than 50 per centum. there shall be a reduction of 73 per centum in the
rate of export debenture.
“(5) For a computed increase in production or acreage of 50 per centum or
more, there shall be a reduction of 99 per centum in the rate of export
lebenture.
“(f) In computing reductions in export debenture rates fractions of a cent
less than one-eighth shall not be used.
“(g) Investigations to assist the President in determining, under subdivisions
(a), (b), (e), and (d) of this section, the necessity for increases or reductions
in export debenture rates shall be made by the board under regulations prescribed
 by it. No proclamation under anv such subdivision shall be issued by