country. Companies eligible to become member companies of the proposed central mortgage bank now confine most of their lending activities to mortgages on non-farm homes. Consequently, the provisions of the bill designed to make available long term funds at low interest rates to be lent in accordance with the principles in subsection 3 of section 22 of the bill would have little practical effect; and disagrees with amendment No. 1 for the following reasons:
1. Because this amendment would deprive farmers who entered into agreements for sale during the year 1938 at a time when grain prices were high, and following a year in which there had been a good harvest, of the privilege of having their agreements for sale adjusted in accordance with the provisions of the bill.
2. Because in many cases the original cash payments made by such farmers were very small and with the decline in prices and poorer crops in the year 1938 such farmers now have little or no equity in their farms;
And that the clerk do carry the said message to the senate.
It only remains for me to indicate the purport of those amendments with which I recommend agreement. Amendment No. 7 is a clerical amendment only: after the word "and" insert the word "that."