The Goderich Signal-Star, 1985-12-11, Page 27ELECTRIC MOTOR
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BY STEPHANJE> EVESiQUM
Bankers want to deal Wilihi`farMers on a
one to one basis without being told to do so
by government legislation, according to
representatives of these financial
institutions, who squared off with about 15
members of the Huron County federation
of agriculture "qn Dec. 5. Snow and other
agriculture related meetings reduced the
number in attendance.
The informal discussion between the
Canadian Imperial Bank of Comm( rce
(CIBC), Farm Credit Corporation (FCC),
and the Royal Bank and the federation
took the form of the federation's monthly
meeting which was held at Hensall public
school.
The debt review board and a possible
farm credit arrangement act were the two
main items discussed.
The three representatives said they and
their firms are willing to work with
farmers on an individual basis to come to a
satisfactory solution on financial matters.
"I'm hearing from all three of you, a
willingness to consider deals,"
commented federation director Maira Van
Bommel of RR 1, Dashwood. She went on,
"Why are banks opposed to debt
restructuring legislation?"
"We don't want legislation telling us we
have to write down loans. It wasn't the
government that told you, you had to come
in and borrow money," said Steve Fraser
•of the Royal Bank in Clinton.
George Spence of Walkerton, district
manager for the Farm Credit Corporation,
said he personally is not in favor of
legislating farm credit arrangements.
"We still prefer to deal with each
situation individually," said John Harris
of the CIBC in London. "We still feel we
can work a solution out."
Van Bommel noted that farm credit
arrangement legislation wouldn't
necessarily require financial institutions
to write down a loan. A judge, she says,
would make the final decision after both
the farmer and creditor have agreed to go
that route. She also criticized the FCC's
current moratorium on farm foreclosures.
"What is the Farm Credit Corporation
doing - saving face over Christmas?"
asked Van Bommel.
Spence also Said he isn't happy with the
moratorium. As far as he knows, no
program has been developed to handle the
debt problems once the moratorium period
is over.
"The FCC moratorium - what is it
doing? The interest clock is still ticking on.
It's like a referee blowing a whistle while
the two sides calm down," said the
federation director. Spence agreed.
The Farm Credit Corporation's district
manager spent some time discussing the
debt review board off which he was a part.
"It's hard, for the limited numbers we
had, to know how successful it was," said
Spence.
He said 85 farmers in Grey and Bruce
Counties applied for the review and only
twenty-three were granted hearings.
From the hearing stage, four cases went
on to the creditors, said the district
manager. Spence said the debt review
board did not carry on until the end as it
should have.
He said not all members of the board
could agree on all points in preparing a
report on the review board. Spence and
others on the board feeling the same way,
wrote a separate report.
"We couldn't always get cases heard.
There were some real organization
problems," said Spence.
In thanking the panel members,
federation member Chris Palmer of RR 5,
Wingham commented that low commodity
prices are at the root of the farmers'
problems.
Council will ask for action
Huron County council doesn't agree with
the county federation of agriculture impos-
ing a moratorium on farm foreclosures but
will ask for "immediate action" from the
federal minister of agriculture.
At its Nov. 28 special meeting, county
council agreed to send a letter to John Wise,
the federal agriculture minister.
The Huron County federation of
agriculture passed a resolution at its annual
meeting in October stating it would impose
a moratorium of its own on farm
foreclosures.
County council doesn't suggest what kind
of immediate action be taken to solve the
problems in the agriculture industry today.
Copies of the letter will be sent to Prime
Minister Brian Mulroney, Premier David
Peterson, provincial agriculture minister
Jack Riddell, MP Murray Cardiff and MPP
Murray Elston.
OFA applauds health
and safety in Agriculture
The report on health and safety in
agriculture released recently will go a long
way in preventing farm injuries and
fatalities, stated Doug Avery, member of
the Executive Committee of the Ontario
Federation of Agriculture.
The report contains 52 recommendations
dealing with farm machinery, structures,
chemicals, and worker -related issues.
"It's a good report, and it addresses the
OFA's two biggest concerns. When we met
with the task force, we emphasized the need
for an extensive public awareness program
to promote farm safety, and legislation to
get manufacturers to incorporate safety
devices in farm machinery," said Avery.
Both issues were addressed in detail by the
report.
The OFA spokesperson noted that the task
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force specified a five-year period to monitor
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"We will be closely watching how the
government will implement these recom-
mendations, and how manufacturers will
comply," said Avery.
"On our end, the challenge is for us
farmers to personally exercise greater cau-
tion in our own operations to protect our
farm families and farm workers. The OFA,
as the largest farm group in the province,
will do its share and make the promotion of
farm safety a top priority in the coming
year."
Avery was past chairman of the OFA
Labour Committee. In 1983, his committee
administered a broad farm labour survey.
Data generated by the survey formed the
basis for the OFA's recommendations to the
Task Force.
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