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50x50x16'
with 24'x15 , 7" D/S Door
FARMSTED 1
Galvanized Walls and Galvanized Roof
S/»,$8500
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with aO'xIS'S" D/S Door
FARMSTED I
Galvanized Walls and Galvanized Roof
Ml Building F. 0.8 Annville, Pa.
Buildings not equipped as shown)
’rices Based on Independent Survey of Agri-Builders
’rices Could Vary With Each Agri-Builder
LRE FIGHTING
NC. W. R. MOODY, HASCHEN
CONTRACTOR AGRICULTURAL
12 113 Walnut Lane SYSTEMS
West Newton, Pa 15089 P.0.80x 505
PH: 412-872-6804 Chestertown, Md. 21620
PH: 301-778-5800
D. E. A. NEWTON KELLER BUILDING GLENN M. STAHLMAN TRI-STATE MARINE WALTER J.
Mifflmtown, Pa.*os9 & SON CO. SYSTEMS INC. R.D.#l, Cash Valley Road DIST. INC. CONSTRUCTION
PH: 717-436-2151 Sridgeville. Delaware 19933 R.D. 1 Box 203 Cumberland, Md. 21502 Route 256 RDIBox4O3J
PH- 302-337-8211 Lewisburg, PA 17837 PH: 301-777-0582 Deale, Md. 20751 Strasburg, Pa. 17579
PH: 717-524-0568 PH: 301-867-1447 PH- 717-687-8681
Bergland interview
(Continued from Page A2O)
earlier on Ode trip. We’ve heard there are going to be
some changes in ASCS’s current disaster policies.
I’m campaigning for big change. I don’t like the
current disaster programs.
Mostly they don’t help people who really need it. I’ve
been promoting a federally sponsored crop insurance
system and it’s about to become law. It has passed the
Senate and will be approved by the House next Tuesday
(September 16).
Effectively we will be in the insurance business next
year. We will operate on the basis of sound insurance
principles.
It will be offered on com and soybeans in the spring
and other crops as we gain experienceand figures.
This is an all-county, all-crop insurance as a substitute
for those half-baked disaster programs. I hold this out as
the best of all possible options.
Will this interfere with private business?
We don’t think so. We think, in fact, it will generate
interest in the insurance world. Nobody else writes an
all-risk crop insurance policy.
I’ve encouraged private industry to do so. No one is
willing or able to take it on.
We will provide re-insurance for a small company that
wants to get into the business, acting as an underwriter
for private firms.
We will use private insurance agents to sell the policy.
We will contract with insurance agents who want to
represent farm organization membership, a bank,
production credit group.
We will operate out of the ASCS system so we don’t
have to create a new agency. We also will use ASCS
figures for premiums and yield data.
There is a lot of industry opposition to it. It has become
controversial. But I’ve told the industry it’s time to
either fish or cut bait.
Another area where industry is raising questions is on
toe proposed amendments to die Farm Credit Act It will
help young fanners, provide a broader credit base. Do
you agree with bankers who say it steps on their
teritory?
1 generally think the amendments are sound.
You have touched on what I think is a major problem
m the rural areas of the United States. Historically rural
Various Sizes Height
and Weight Available
INFLATION
ifct
;|||r
IN STOCK FOR IMMEDIATE DELIVERY
1818 GRAIN BIN - 4173 Bushel Capacity
LESS THAN s 2oso°°
F. 0.8. Cash and Carry
IN STOCK FOR IMMEDIATE DELIVERY
2718 GRAIN BIN - 9872 Bushel Capacity
LESS THAN *37so°°
F. 0.8. Cash and Carry
IN STOCK FOR IMMEDIATE DELIVERY
WITH SPECIAL PRICES
TRI-COUNTY
AGRI-SYSTEMS
R.D.jfl, Box 55
Swedesboro, NJ 08085
PH: 609-467-3174
banks have depended on their local depositors as their
base for lending.
Recently country bank depositors have discovered the
money market certificates. Savings accounts today are
really fungible.
The question is what is going to happen in these rural
banks when depositors are looking for other instruments
which are going to pay a better yield? The deposit base
of these rural banks is being undermined. It’s not
because of the government. It’s because of the way
money markets are functioning.
I’m under enormous pressure from farm leaders to
use the Commodity Credit Corporation as the world’s
largest farm bank. People want me to raise the loan
rates on these commodities, lower the interest rates, go
into direct competition with the banks.
Likewise in Farmers Home Administration I’m
always under pressure to generate a more favorable
credit policy.
I’m resisting this and I’m under some political attack
for it.
The problem is, getting back to the Farm Credit
System, there is real doubt in the minds of scholars as to
whether the traditional country bank is going to be able
to maintain a credit base to satisfy that rural credit
demand.
Frankly, I don’t know whether it will or not.
But I do believe the Farm Credit System has been a
financial savior to the rural communities. It provides
about 40 percent of the rural credit, as I recall, and there
are lots of big chunks of the country where insurance
companies are not interested in big mortgages. Farm
Credit was the only game in town.
Farm Credit System has tended to offer blanket
coverage. They will go into a territory and take every
opportunity.
We think the whole question of rural credit
requirements has been satisfied by the Farm Credit
System. Country banks can not tap, or usually do not
use, the money markets. Farm Credit has been able to
tap those markets and bring money back into the rural
communities for production credit.
I support the Farm Credit Act concept. I tell the
private banker we are going to have to determine what
the proper federal role in this is.
I have a credit committee that is looking at this whole
question carefully. CCC lending, Farm Credit, Farmers
YOi A6RI BUI!
ABOUT ASCS FINANCING
15* DOWN -
8 YEAR PAY BACK
TAP ENTERPRISES INC. WEETER CONCRETE
R.D.#3, Box 256 A CONSTRUCTION
Fleetwood, Pa. 19522 p.o Drawer V
PH: 215-929-2553 Knox. PA 16232
Phone 814-797-5122
P.E. HESS, BUnERMHI.CO.
Box 337, Oxford. PA 19363
I Address
Count;
! CH
Lancaster Firming, Saturday, September 13,1980—A21
Home lending, as well as private bank lending are
considered.
I don’t want to go into competition with commercial
banks. But I do want to make sure rural communities
have access to credit and the terms and conditions are
reasonable.
Farmers Home Administration has come under fire
for making loans of questionable value to fanners. It has
taken obligations for industrial plants, shoping centers
and the like. Does USDA defend this practice or will it be
cutout?
We’re defending it. First place, it’s a part of the rural
development program. We have developed hundreds of
thousands of jobs in rural places through these FmHA
loans for persons who otherwise would be forced to give
up and move to the city.
You know, we have 1.5 million people who are living on
farms too small to keep them busy. They have no choice.
They either find a job or leave the farm.
So we are bringing jobs to the rural communities and
it has been a success.
Now, we’ve made some loans that are questionable.
We’ve made some loans on which we’re going to lose
some money.
But we are risk-takers. That’s what it’s all about. I’m
not dissatisfied with the results.
Look at the accomplishments in the broadest context
and compare that against the cost of not having those
programs. We’d have another 400,000 people moving into
Pennsylvania from the Black South looking for work and
if they can’t find it, what happens? There’s costs to that,
too.
The relatively small amount of money we are losing on
some of these loans is a risk worth taking.
I’m campaigning for a restructuring of this whole
rural development mission for next year. I don’t think
much of having FmHA, SBA, and HUD all making rural
loans and being in competition with one another.
I’d like to see a rural developemnt agency of some
kind established in USDA or some other place if it makes
sense. It would have authority for all rural facilities. It
seems to me it would better serve if it were in one place.
What new programs can we look for in USDA in the
near future?
We’re looking at the 80s and beyond. The tendency in
IRS]
Im
I’m interested in more information on Butler products
□ Buildings □ Bins □ Dryers □ Bulk-O-Matics
Name
(Turn to Page A 39)
BUTLER
AGRI-BUILDER
Hate.