AGRICULTURAL RELIEF

399

(ished in box form a display article telling members of several slick and
deceptive ways to evade their contracts and why they should. Such procedure
is almost continuous and is destructive of organization. It fools people. It
explains why the farmer will not organize himself, as is often proposed.

A second ditliculty is the expense required to get personal contact with every
grower. The solicitor’'s job is one of education, explaining the plan, its opera-
tion elsewhere, and the contract the farmer is called upon to sign. Manifestly
the signing of a written contract calls for its thorough understanding, the
meeting of the minds of the parties and general conformity to the law of
rontracts. This work is necessarily slow and expensive.

Third. Nebraska has approximately 60,000 wheat farmers; Kansas probably
cwice as many ; there are 15 States of wheat raising consequence. The organiza-
con of but a single State has small influence. The organiaztion in all States
of any commodity to the highest possible degree is necessary in order to get the
cooperation of all in the adjustment of production and to affect the market,
otherwise the unorganized States constantly counteract the efforts of the
organized. In adjusting production, the maximum of the benefit of organization
will not be available to any great extent until all major commodities are highly
organized.

Fourth. If the farmer would pay a cash membership fee, the problem would
be solved; but sometimes he will not and sometimes can not. Congressman
Purnell spoke before the House committee of the farmer's broken morale.
We are satisfied with statisti, but Congressman Norton, of Nebraska, has
handed me an up-to-date report from an astract company in two counties
of his district, showing a total increase in 1927 over 1926 in farm, town, and
chattel morfgages of—in Jefferson County, $1,087,774; in Thayer County,
$608,078. The vast majority of farmers insist on giving a note for member-
ship fee, and the organizing body has to advance to its solicitor the cost of
getting it.

Again, the farmer has been a “ joiner,” Everything he joined promised relief
and failed to bring it. He has grown skeptical and solicitors and membership
fees. The Republican Party made a campaign on the slogan “ Confidence.” The
farmer lacks confidence now. Even congressional opinion is divided as to the
better course. Is it surprising the farmer is in doubt, his mind befuddled by
misleading propaganda and knowledge of the frailties of judgment? A real
participation of Government by the loan of funds for organization work will
zo far in restoring confidence to the farmer's mind. And why should govern-
ment not do this? It took, through the War Finance Corporation, $50.000.000
of wheat profits from the farmer during the war.

Our farmers believe large volume of necessary to successful cooperative
marketing. In my own county, four out of eight farmers’ elevators failed; the
four that are left are the four with large volume. Farmers told our solicitors
they approved of cooperative marketing, but did not want to join until we had
35 to 50 per cent of the Nebraska acreage. That presented a serious question so
long as we had to accept notes for membership fees and pay solicitors in cash.
Still we were anxious to test this challenge and see if we could discover a way to
write members easily and rapidly. We launched a campaign, contracts not to be
enforceable until we received 50 per cent of the wheat acreage of the State.
Solicitors were sent in three counties, widely separated and differing in nation-
ality and conditions. They signed up rapidly 80 to 90 per cent of the farmers
canvassed ; and secured, without covering the entire county, 50 per cent of the
wheat acreage in three counties. We demonstrated that wheat can be organized
far beyond the 50 per cent limit if there were funds to carry on the work
throughout the States.

Such a loan by the Government is no more hazardous or likely to abuse than
loans for the purchase of facilities. The same people, the same securities are
back of both. The Federal Farm Board should carefully scrutinize and super-
vise both, should call for the aid of the advisory council, should know the men
and keep track of their operations. Canadian cooperators repaid every dollar
they borrowed for organization. The cooperatives doing business can give
security of such loans: 1, by the pledge of the membership note: 2, by the
agreement of the signer in his contract that payment may be taken out of the
proceeds of the sale of his product; 3, by the pledge of the association to pay the
debt from its reserves and the 2 per cent gross resale proceeds; 4, by the security
of the product itself.

There is a compelling reason why all major commodities must be strongly
organized at the earliest possible date. namely, the relation they bear one to an-