Minutes of the American Turpentine Farmers Association held Feb. 27, 1958 in Valdosta, Georgia

THE REGULAR BOARD MEETING OF THE
AMERICAN TURPENTINE FARMERS ASSOCIATION

FEBRUARY 27, 1958, VALDOSTA, GEORGIA

| The regular third quntie meeting of the Board of Directors was held in
the pideeters? Room of the C & S National Bank, Valdosta, Georgia, Thursday,
February 27, 1958, at 10:30 A.M. The following were present: H. Langdale,
Re Me Newton, William Knabb, S. 0. Spooner, Sr., lindsay Grace, Jim Gillis
tok JHMM: Coeds Boeents Ma fie Stallverthy dr., Bl. Rusdes snk We
Tilton.
The minutes of the October 21, 1957 meeting were read and approved. Judge

Langdale presented the ATFA membership in relationship to dues paid in 1957 as

follows:
ATFA Members ie dues o 1,227 = $53 5186.06
Average per member = $ 43.35
Percent - Aggregate
Members paying less than $1.00 73 6%
Members paying $1.00 to $2.00 83 eee 156 13%
Members paying $2.00 to $5.00 . 192 15% 3,8 28%
Members paying $5.00 to $10.00 226 18% 57h 47%
Members paying $10.00 to $25.00 275 23% 89 70%
Members paying $25.00 to $50.00 127 10% 976 80%
Members paying $50.00 to $100.00 100 8% 1076 88%
Members paying $100.00 to $500.00 133 11% 1209 99%
Members paying $500.00 and above 18 1g .1227 100%

Judge stated with an active membership of only 1,227 members and 7 percent
of them paying less than $10.00 per year dues, something should be done to obtain
more income from members. The AT=FA Journal cost a minimum of $2.50 per year per
member and various correspondence, plus the expense of the Group Insurance Program r
to small producers Almost one half the membership was paying less than was being
spent to maintain their membership in the Association. After due consideration
and discussion, a motion was made by Mr. Newton, seconded by Mr. Knabb, that an
annual membership fee of $5.00 a year be sbiablished in addition to production
dues. The membership fee for the year 1958 would be due June 1, 1958 and there=
after due on February ie The motion was unanimously adopted. The Secretary
was instructed to have an amendment to the By-Laws drawn for nm to the
membership at the annual naetine April 16, 1958.

Judge Langdale stated that the amendment to the By-Laws adopted April 15,

1953, to Article 6, Section 2, applying to nominating directors for the Georgia
districts, was not performing any specific purpose and that the membership should be
able to name their own candidate rather than having the candidates selected by a
nominating committee as provided by the above amendment. After considerable dis=
cussion by the directors, a motion was made by Jim Gillis, seconded by Mr. Spooner,
that the 1953 amendment to Section 2, Article 6 of the By-Laws setting up nominating
committees for the various Sub-Districts in Georgia be rescinded. Unanimously
adopted. The Secretary was instructed to have prepared a suitable amendment

to be prsented to the membership at the annual meeting on April 16 1958 for

their consideration. Mr. J. lundie Smith, Attorney, was present for this part

of the meeting for legal advice and assistance.

The annual financial statement for the period February 1, 1957 through
January 31, 1958 was presented by President Langdale. The highlights of the
financial statement were reviewed particular as pertaining to sources of revenue.

Judge Langdale outlined the activity of the legislative committee in pre-
senting the request for a 1958 CCC loan to the Department of Agriculture. He
reviewed visits in December and January 27, 1958. He expressed the valuable
assistance rendered by the Senators fron Mississippi, Alabama, Georgia, Florida
and South Carolina in presenting the Association's request for a 90 percent loan
program before Mr. McLain, Assistant Secretary of Agriculture. Senators Holland,
Eastland and Russell were outstanding in their assistance. A motion by Lindsay
Grace, seconded by Mr. Spooner, that the directors, on behalf of the membership,
express appreciation to the AT-FA legislative Committee for their efforts in
successfully securing a 90 percent CCC loan program for 1958, since so much had
been written and stated about the opposition by the Secretary to high price
support programs, the membership of the Association was most thankful for the
committee's accomplishments. Unanimously adopted.

A motion was made by Mr. Spooner, seconded by Mir. Grace, that the
resolution as drawn by the Secretary and attached hereto as Exhibit A be
adopted by the Board of Directors which would authorize AT-FA officials to
enter into a 1958 CCC loan agreement on behalf of the Association with Commodity
Credit Corporation. The motion unanimously adopted.

Judge Langdale reported to the Board that a request was made to Commodity

Credit Corporation about renewal storage rates for certain warehousemen storing
- ~~ 239

small quantities of loan stocks. He stated Commodity officials advised that
it was not feasible or advisable to request an increase renewal storage rates
at this time due to the present policy of CCC. The Association was able to

obtain an increase in re-delivery of rosin drums from 25 to 30 per drum, an

increase of 5 per drum over the 1957 agreement rate.

Sales activities from the 1957 redemption pool of turpentine and rosin were
presented. Approximately 25 percent of the rosin and 0 percent of the turpentine

pledged to the 1957 loan program have been redeemed as of February 27th.

| Judge Langdale advised that in some parts of the producing belt AT<FA members

| were being denied the opportunity to use the CCC loan program because warehousemen

at four locations did not make application as a warehouseman to store rosin under
the 1957 loan program. These locations were Southern Gum Processing Company at
Helena and Homerville, Georgia, Standard Processing Company, Swainsboro, Georgia
and Turpentine & Rosin Factors, Ince, Savannah, Georgia.e Many small producers
in each of these areas are not in position te deliver their gum to processing
plants at more distant points. In 1957, there were periods when producers received
less price than necessary because they could not pledge their stocks to the loan
at place of gum delivery. Mr. Cook stated producers in the McRae, Helena section

| were very much disturbed by the attitude of Southern Gum Processing Company and

| that unless the processing company qualified as a warehouseman under the 1958

loan program, they desired to make gum deliveries at other locations. In addition,

the producers felt that the Association should relocate CCC loan stocks now stored

by warehousemen that were not cooperating with the Association. A motion was

made by Mr. Newton, seconded by Mr. Knabb, that the Association do everything

possible to relocate CCC rosin drums at any warehouse location where the pro~

cessors were not cooperating with the Association in making the CCC loan programs

available to AT~FA members. Unanimously adopted.

In the afternoon, Mr. E. L. Patton and Ray Lawrence of the Naval Stores
Experiment Station, Olustee, Florida, met with the directors and outlined the
research work conducted at Olustee on gum rosin, turpentine and crude iii Mr.

i Patton explained by charts and exhibit of materials some of the research activities
and results in the past 10 years, He stated that approximately one-third of the
research activities for past three years were directed on turpentine, one-third on
rosin and one-third on pine gum. However, recently they lost four of their top-

flight chemists due to low salary scale vs. private employment. He stated they
were now able to employ only 1) chemists whereas in 1949 they employed 18
chemists. Increase in salaries and all other cost without an increase in
appropriation had resulted in this decrease in personnel. He states that they
were reorganizing their research activities so as to give more emphasis to pine
gum research and less to turpentine and rosin. He indicated that in the future
they would do 50 percent or more of research on pine gum and if additional
money was made available, all of it would be spent on pine gum research studies.

The Board of Directors in executive session voted to have Mr. Patton
provide justification for a request to increase research fund for pine gum.
Judge Langdale appointed Jim Gillis, Jr. as Chairman of the Association's
Research Committee with lindsay Grace and Re M. Newton as members.

There being no further business the meeting stood adjourned.

Respectfully submitted,
A. Re come 4
SECRETARY
Le A RESOLUTION oe at
EXHIBIT A

BE If RESOLVED By the Board of Directors of the American Turpentine Farmers

(a) To execute and deliver a 1958 Loan Agreement with Commodity Credit
Corporation implementing a Loan Program whereunder there is to be made
available to the Association a loan of $7,500,000, the said Loan
Agreement to be generally similar to like agreements heretofore entered
into between the Association and Commodity Credit Corporation, the form
and details of such Agreement to rest in the sound discretion of the
Association's President and Secretary.

(b) To execute and deliver, from time to time any necessary or desirable
amendments of or supplements to the said Loan Agreements

(c) To enter into, with warehousemen, processomwarehousemen, and others,
all contracts and agreements necessary or desirable in effectuating
the purpose of the said Loan Agreements

(d) To enter into Producer's Marketing Agreements with the members of this
Association in order that the proceeds of the aforesaid loan from
Commodity Credit Corporation may be made available to the members of
this Association in the form of advance upon naval stores tendered by
them to the Association for loan;

(e) In general, to do all and any thing that may be useful in or necessary
to the successful operation of the 1958 Loan Program.

2 That the President be, and he is hereby, authorized to employ such personnel

th t in his judgment, may be necessary to the efficient discharge of the Association's

es and obligations under the said Loan Agreement.
ay That the Assistant Secretary be empowered to do any thing herein authorized

or prescribed to be done by the Secretary.

Ate.

crevary

This 27th day or February, 1958
tt 241
antag THE REGULAR BOARD MEETING OF THE
AMERICAN TURPENTINE FARMERS ASSOCI ATION

April 15, 1958 Valdosta, Georgia

The regular fourth quarter meeting of the Board of Directors was held in the Directors
Room of the C & S National Bank, Valdosta, Georgia Tuesday, April 15, 1958 at 2:30 p.m.
All directors were present.
| Mr. Milton S. Briggs, Chief, Naval Stores Branch, Tobacco Division, was in attendance.
| Minutes of the meeting of February 27, 1958 were read and approved. The annual audit of
the Association's financial statement for fiscal year ending January 31 was furnished each
director. Judge Langdale and Mrs. Hemmingway discussed various phases of the financial
statement.

The directors discussed at length dues received from Association members for the fiscal

year ending in January as a carry over business from the last meeting. In compliance with
resolution adopted at the previous meeting, J. Lundie Smith, legal counsel, presented a
resolution to inelude an annual membership fee, in addition to production dues. The
amendment provides that all Association members pay an annual membership fee of $5.00 per
year in addition to production dues of 15 cents per standard barrel if paid on a monthly
basis, or 20 cents per standard barrel if paid otherwise. The directors concluded that
with 28 percent of the membership paying less than $5.00 per year and 7 percent less than
$10.00 per year in dues, that an annual membership fee was in order so as to obtain
sufficient dues to cover the AT-FA Journal and administrative expenses. It was estimated
the added membership fee would produce $5,000 to $7,000 per year. Many other: agricultural
and professional organizations have doubled their yearly dues.

A motion by M. C. Stallworth, Jr., seconded by W. L. Rhodes, that the resolution read
by J. Lundie Smith, attorney, providing for an annual membership fee be recommended to
the membership at the annual meeting April 16 that it be the recommendation of the Board
of Directors. The motion was unanimously adopted.

A general discussion followed concerning the resolution adopted by the directors
February 27 that a resolution be drawn for the purpose of abolishing an amendment previously
made to the Association's By=Laws providing for a nominating committee for each voteing

; a district in the state of Georgia. After discussing the pro's and con's, a motion by John

Cook, seconded by S. 0. Spooner, that the directors rescind the motion made February 27,
1958 recommending to the membership at the annual meeting the abolishing of the
nominating committees. Unanimously adopted.

Judge Langdale advised it was necessary for the Research Committee, appointed at
the meeting February 27, to act before making their recommeniations to the Board of
Directors as requested Fotreary 27- Prompt action was needed to meet with the Senate
Appropriation's Sub-Committee. When Jim Gillis, Jr. contacted Senator Richard B. Russell,
Chairman, he learned that group would be meeting prior to April 15 and, therefore, the
9

nl

42

Research Committee had to act accordingly.
He stated that the Research Committee presented data supporting their request to

the Senate Agricultural Appropriation's Sub-Committee for $50,000 supplemental funds for

research on pine gum. The added research will be conducted at the Naval Stores Experiment
Station at Olustee.

Jim Gillis, Jr., chairman, was spokesman before Senator Russell's Comnittee. Judge
Langdale and Re M. Newton attended the hearing the last of March. Judge stated a very good
case was presented and many Senators supported their request for increased funds. Senators
supporting additional funds were Stennis, Mississippi; Talmadge, Georgia; Holland, :
Florida; and Robinson, Virginia. In addition, Mr. Newton advised that Congressman
Jamie Whitten of Mississippi was chairman of the House Agricultural Appropriation's
Committee, and that he and many other Congressmen from the producing states had pledged
their support to additional naval stores research when the House considered the measure.

Ray Shirley, Secretary, brought the directors up to date on warehousemen making
application for 1958 loan program, AT-FA Pool sales and CCC sales through April 12.
Applications and other information received indicates practically all processors will
make application under the 1958 loan program. Sales from the AT=FA Pool and CCC stocks
have not been as previously expected. Turpentine pool sales are. approximately one-half
1957 loan pledges, ani rosin sales accounted approximately 30 percent of that pledged.

Mr. Re M. Newton stated he had information that Senator Richard B. Russell was to
receive the "Good Government Award sponsored annually by the American Good Government
Society. The Award would be made at a dinner honoring Senator Russell and Senator Noland
of California, the Republican recipient of the Award, the third week in April. The.
motion by R. M. Newton, seconded by Lindsay Grace, that the Association sponsor a table
as host to distinguished guests at the banquet April 9, 1958, and that Judge langdale
and Jim Gillis, Jr. represent the Association. Motion unanimously adopted,

There being no further business, the meeting stood adjourned.

Respectfully submitted,

HK:

Ae Re. Shirley .
Secretary
EE ss Sl

243

i A SPECIAL BOARD MEETING OF THE ATFA
DANIEL ASHLEY HOTEL
VALDOSTA, GEORGIA .
APRIL 16, 1958

at 3:00 Peme, Daniel Ashley Hotel, Valdosta, Georgia.

All directors present except W. W. Tilton. Also present were Joe Williams, jae
Tobacco Division, CSS, and Milton S. Briggs, Chief, Naval Stores Branch - Tobacco Division.
Judge Langdale stated that all directors had been elected for another term with the
exception of W. W. Tilton serving the unexpired term of Senator J. Graham Black, deceased.
Mr. We B. Nagle, General Manager of Southern Resin & Chemical Company, Glen St. Marys,
Florida, was elected to represent Florida along with William Knabb for the year beginning
May 1, 1958. Judge stated Mr. Nagle was asked to attend the meeting since it was primarily
organizational so as not to make it necessary to call the directors together again May l,
the beginning of the new year. The Board welcomed Mr. Nagle as a director.

M. C. Stallworth, Jr. moved that all officers of the Association be reelected for
another year. Judge Harley Langdale, President, R. M. Newton, Wiggins, Mississippi,

Vice President, Ray Shirley, Secretary and Loan Manager, and Mrs. Ora B. Hemmingway ,
Assistant Secretary and Treasurer. Motion seconded by We Ie Rhodes and unanimously
adopted.

The directors again discussed the banquet honoring Senator Richard B. Russell
sponsored by the Good Government League and their desire that Judge Langdale and Jim
Gillis, Jr. attend on behalf of the Association,

:

yee

The Naval Stores Branch of CSS is under the ee Se. Williams and Mr. Briggs.
Judge Langdale called on Mr. Williams for any statement he might desire to make before
the Board of Directors. Mre Williams spoke highly of his association with Mr. Briggs and
the splendid relationship that existed between the Association, as representative of the
gum producers, and CCC. His remarks were most complimentary. However, he stated the

loan program was not the complete solution to marketing and producing problems of the gum

* producer. That it was his department's desire that the Association and the turpentine
- farmers take advantage ofevery opportunity to strengthen their own production and marke ting
Re : program to the greatest possible extent. Judge Langdale advised the Board of the wonderful

support received from Mr. Williams when the Association's request was presented the past
two years before the CCC board. All of the directors expressed their delight that Mr.
Williams and Briggs could attend the Annual ATFA Meeting and for their fine support.

The Secretary stated the resolution as presented to the membership at the Annual

Meeting was adopted which provided for an annual membership fee of $5.00 for each Association
member due on or before August 1.
244

The directors went into executive session.
Respectfully submitted,
A. R. Shirley
Secretary
A

BE IT RESOLVED by American Turpentine Farmers Association
Cooperative in regular annual meeting convened on this the 16th day of
April, 1958 (and it is so resolved by authority of the same) that Article
ll of the By-Laws of such Association be, and it is hereby, amended so
that such Article, as so amended, shall read as follows:

"ARTICLE ll.

(a) Every member of the Association, upon signing the
standard application for membership and its acceptauce by
the Association, shall pay dues to the Association, for
the purpose of maintaining the Association for research,
advertising, and other purposes within the discretion of the
Board of Directors, in accordance with the following scale:

(i) Every processor, as hereinafter defined, shall pay
in such regard the sum of One Dollar ($1.00) for each unit
of gum naval stores produced by him; PROVIDED, HOWEVER, if
payment be made to and received by the Association on or
before the 10th day of the month following the month in
which such unit was produced, then, in lieu of One Dollar
($1.00), the sum of Seventy-five Cents (75).

(ii) Every producer, as hereinafter defined, shall pay
in such regard the sum of Twenty Cents (20) for each
standard barrel (of 435 pounds net) of crude gum produced
by hims PROVIDED, HOWEVER, if the dues of such member be
currently collected or withheld by the operator of a gum
distillation plant for transmission to the Association,
then, in lieu of Twenty Cents (20), the sum of Fifteen
Gents (15). : ,

Provided, however, that no processor shall be piceibinid to
pay the sum above provided for upon any gum naval stores
processed by him from crude gum whereon the payments provided
to be made by the producer have at that time already been paid.

(iii) The dues provided for under sub-paragraphs (i) and
(ii) of this Article 11 shall become due and payable not later

than the 10th day of the calendar month next following
the month in which such gum naval stores were produced
or processed, as the case may be.

(iv) In addition to all other dues and fees provided to
be paid under this Article 11 or any other provision of
these By~Laws, every memzer of the Association shall pay
to the Association an annual Membership Fee of $5.00, which
Membership Fee shall be due and payable on or before August
1 in each year with respect to the Association's fiscal year
beginning on the preceding February 1 of such year. Any
producer or processor becoming a member of the Association
on or after August 1 in any year but before February 1 in
the next succeeding year, shall pay to the Association,
with and in addition to the entrance fee provided for under
Article 10 of these By=Laws, the sum of $2.50, which shall
be in lieu of any Membership Fee with respect to the then
current fiscal year of the Association,

(b) The contract created by such application and
acceptance shall continue from year to year thereafter
unless sooner terminated by applicable provisions of these
By~Laws and provided, the member shall have the right to
terminate such contract and to withdraw from membership in
the Association, effective on March the 3lst, in any year
subsequent to the year in which such application is made and
accepted, by giving notice to the Association in writing of
such intention to terminate and withdraw, not later than
January the 2nd preceding the effective date of such
termination and withdrawal."

CERTIFIED a true and exact copy of
a Resolution adopted by the membership

of American Turpentine Farmers Assoc<
iation Cooperative as therein recited.

This 16th day of April, 1958,

245
THE REGULAR-BOARD MEETING OF THE
AMERICAN TURPENTINE FARMERS ASSOCIATION COOPERATIVE
ae June 23, 2h, 1958
Ss i Atlanta, Georgia

The regular first quarter meeting of the Board of Directors was held at the
Henry Grady Hotel, Atlanta, Georgia, June 23 and 2h, 1958 at 2:00 pom. All directors

present except Lindsay Grace and W. L. Rhodes. Milton S. briggs, Chief, Naval Stores
Branch, Tobacco Division, Washington, was in attendance.
The minutes of the regular board meeting on April 15 and the special meeting of
April 16 were read and approved.

The Association's financial statement for period ending May 31,. 1958 was provided

each director. Judge Langdale discussed the various items of the financial statement

pertaining to income and disbursements.

Judge Langdale questioned the directors as to any adverse criticism of the

g amendment to the Association's By-laws voted at the annual meeting on April 16 which
provides for an annual membership fee of $5.00 per member. Most directors stated they
had not received any adverse reports and they were of the opinion the membership would

: cooperate.

The Secretary discussed the 1958 CCC Loan Program. He advised the warehousemen
approved for the storage of turpentine, rosin and crude gum and the stocks pledged to
date. Gum production data was also discussed by the directors in their area. The
' domestic and export naval stores market conditions were also discussed. Milton S.

1 Briggs discussed domestic and export movements of gum turpentine and rosin as well as
wood and sulphate rosin and turpentine data.

The movement of gum turpentine has been most disappointing and much less than

formerly. Judge Langdale stated that it was evident that wider distribution of gum

; turpentine was needede He stated those distributing turpentine were to be commended ,
but that some of the larger distributors of turpentine in past years had greatly
reduced their marketing activity, which in his opinion was having a serious effect on
both movement and price of gum turpentine. Mr. Stallworth advised that considerable

> felipe j
capital was necessary to move large volumes of gum turpentine in small containers.

He stated his company had experienced good results in expanding their canning and
distribution of turpentine, but that the amount of capital needed for such an enter=
prise made it prohibitive for the average company to greatly expand.

A general discussion was entered into conserning the importation of Mexican
turpentine, the amount of import duty paid, and the effect this turpentine was having

} on the American domestic market and price. Mr. Briggs spoke of his correspondence

with U. S. custom officials at El Paso, Texas concerning the value declared on the

turpentine for import duty ad valorem taxes. In view of the international aspects

eee te

of requesting an import duty on Mexican turpentine, it was the general feeling that

Cc, ae

it would be unwise, at present, to request a tariff on it because of the free trade

policy of the present federal administration.
246

Mr. Stallworth advised the directors of the recent favorable ruling of the U. S.
District Court at Louisville, Kentucky on timber worked for naval stores. The court
ruled that turpentine from standing siuber constituted disposal of the timber within
the meaning of the internal revenue code which makes income or gain, after allowance
for depletion, taxable as a long term capital gain. The decision was based on the
case of Brown Wood Preserving Company and Ray E. Loper leaber Company as plantiffs vs
United States of America, defendant, and decided on May 27, 1958. A copy of the
ruling is made a part of the minutes. The directars feel if the present opinion of
the court is allowed to stand, it will have a great effect on large timber tracts
being ante available for gum naval stores in the future. |

The directors discussed complaints received from producers, especially in Georgia
and north Florida, concerning the processing charges at many of the processing plants.
Many plants are charging bh..00 per standard barrel for commercial gum and up to
$4.65 if pledged to the loan. The lowest charge ia Georgia is $3.00 for commercial
and $3.25 for loan. These charges represent 50 to 75 cents per barrel increase over
the previous year. In addition to the high processing charges, estimated rosin
grades and contents of turpentine and rosin yields allowed this year has been of
great concern to producers. Turpentine and rosin yields estimated from the gum
has been the lowest in many years; possibly the all time low since the advent of the
steam distillation plants. Many producers, as late as June 15, report turpentine
content as low as 10 to 10.2 gallons and rosin as low as 285 pounds per standard
barrel.

The directors suggested that the Secretary investigate some of the complaints
and contact producers and discuss their sales records for a closer study of the
problem in marketing gum.

Mr. Newton reported that Jim Gillis, Jr., Chairman of the Research Committee,
did an excellent job in presenting the needs for additional appropriation for gum Come
naval stores research on pine gum at the Olustee Station before the Senate pron ae

[Pics BO He stated that the $50,000 increase in funds was now
definite and it was hoped it would speed up developments of new products from pine
gum. Mr. Gillis stated that his Committee planned a meeting with the Olustee
research personnel during the summer to discuss the projects under study and new
projects to be undertaken as a result of the increased appropriation.

Judge Langdale explained a letter had been received from Washington National
Insurance Company advising of the termination with this Association, of their. group
hospital and life insurance program effective August 1, 1958, unless revisions could

be made in premium rates. The increase would double the over all premiums being paid.

life insurance premiums would be increased from $1.00 to approximately $2.35 per
eS ee

(continuation of minutes of board meeting - June 23, 2h, 1958) 947

thousand per month and hospital premiums increased approximately 30% per month.
Judge Langdale stated, that in view of the mabe of people insured (approximately
1700), the Association had contacted other companies writing group insurance and
had obtained proposals from two companies who were interested in writing the
Association's group. These companies had requested an opportunity to discuss the
program with the directors. The first called was, B. H. Roberts of Roberts Insurance
Agency, Valdosta, and Mr. Randolph, Vice President, liberty Life Insurance Company,
Mr. Roberts and Mr. Randolph presented their proposed plan with schedule of insurance
and premium rates which had previously been discussed with the Secretary and other staff
members of the Association.

The American Mutual Liability Insurance Company, represented by Mr. Art Tatum,
and Minnesota Mutual Life Insurance Company, represented by Bill Rowe, presented
a joint hospitalization and life insurance program. Their companies agreed to
provide the same coverage and protection, as now being offered under the present
Washington National Life Insurance contract, but at higher premium rates than now
paid. The life insurance Cee under 70 years of age to be $1.52
per thousand per month with anapemeesmete 20% increase in nik apart: paige
over those now in effect. Deer, ersons insured prior to May 2, 1956, 70
years of age and older, or upon attaining the age of 70, would have their insurance
reduced one-half, and life insurance premium rates would be increased to equal the
regular life rate of a person 70 years of age. In addition, all Class IV's, or
laborers, would iv be eligible for insurance upon reaching age 70.

The Washington National life Insurance Company, represented by Marshall N. Teien.

icbertapisec, and another eempesmy representative, expressed their regret

change in premium rates due to adverse claim: experiences vs
premiums collected. Their new proposed premium rates were higher than either
liberty Life Insurance Company or American Mutual Liability insebinins Company.
After discussion by the directors &@ motion by Mr. Newton, seconded by Mr. Spooner,
that the Association's group insurance be placed with American Mutual Liability
Insurance Company and wee Minnesota Mutual Life Insurance Company, effective /
August 1, 1958. Motion unanimously adopted.

Judge Langdale advised of the conference the following day, June 2h, with the
Naval Stores Conservation Program officials and representatives at the U, S. Forest
Service office at 9:00 a.m. The directors stated they did not have any specific
recommendations for changes in the Conservation Program.

Motion was made to adjourn for the day, duly seconded.
248

MEETING OF DIRECTORS WITH THE
NAVAL STORES CONSERVATION PROGRAM OFFICIALS
9:00 A. Mey U. S. Forest Service Office
Atlanta, Georgia

All directors attending meeting on June 23 were present except Mr. Stall-
worth, who returned to his home due to a previous engagement. A progress
report was made by Mr. John Cooper, Supervisor, and other NeSeCePs officials
on the accomplishments of the Conservation Program during the past year and
for the years since the Program had been operating.

A general discussion was entered into concerning various features of the
Conservation Program and with recommendations for continuation of the Program
for 1959. Only minor changes were recommended by NeSeCeP. and these delt
primarily with simplifying the language in the printed bulletin to make it
more readable and to emphasize the participation for naira removal from
the worked out face.

At noon the directors adjourned to the conference room at the Henry Grady
Hotel. Considerable discussion was entered into by the directors as to some
plan of assistance by the Association to its members in helping with marketing
factors over which the gum producer had little or no control at present.
itter bial derable disucssion,a motion by Mr. Sabiiced, endentes by Mr. Nagle,
that the Association investigate the possibilities of purchasing or leasing
a gum processing plant and possibly the one located at Helena, Georgia, with
possibilities for financing a cooperative program of this type. Motion

unanimously adopted.. The meeting stood adjourned.

Respectively submitted ros

A. Re Shirley
Secretary

Ge
ZY 298

THE REGULAR BOARD MEETING OF THE
AMERICAN TURPENTINE FARMERS ASSOCIATION COOPERATIVE
November 3, 1958

. The regular second quarter meeting of the board of directors was held at
the C & S National Bank, Directors room, Valdosta, Georgia, November 3, 1958

at 10330 A. M. All directors were present except Jim L. Gillis, Jr.
The minutes of the regular board meeting of June 23 and 2) were read and

approved with minor amendments. Mre Milton S. Briggs, Chief; Navel Stores Divi-

sion; Tobacco Branch; CSS; Washington D. Ce, met with the directors'. Judge

Langdale furnished each director with a financial statement for the period ending

September 30, 1958. He discussed this statement assisted by Mrs. Hemingway,
assistant secretary and treasurer, regarding the Association's income and dis~

bursementse

The secretary reported that only about 50% of the membership had paid the
annual membership fee of $5, due August 1, 1958. Three notices have been fare
warded to each delinquent membere Many of these members are currently paying
AT-FA dues that amount to mich more than the annual membership fee, who have
either refused or declined so far, to pay the annual membership fee. The direoe
tors suggested that the president and secretary work out the best feasible solu-
tion to the problems

The secretary furnished each director data pertaining to 1958 loan pledges
and redemptions; CCC rosin and turpentine stocks; annual renewal of storage pay=

_ ments to warehousemen storing CCC loan turpentine and/or- rosin stocks; processing

charges made by various processing plants; yearly prices of drums, cups, and
various hardware and equipment used in the production of gum naval stores from
1950 to dates AT~FA dues and royalties received yearly for the years 1918-57; ten
year production data on rosin and turpentine and average yearly price per gallon
of turpentine and rosin per 100 pounds and other miscellaneous information, These
data were for information purposes showing the trend.and the changes that have and

are continuing to occur over the gum producing belt regarding various phases of
production and other factors affecting the individual producer of pine gum.

Mre Briggs discussed the present supply and demand outlook for naval stores
including the foreign production and marketing of turpentine and rosin and their
influence on our market and export. He stated that U. Se rosin and turpentine
exports have been delining for a number of years with increased foreign produc-

tion particularly in China, Russia, and Mexico. These Countries have made drastic
price cuts which have seriously affected the export market for gum turpentine and
~ <=

rosine The increase in domestic demand has partly offset the decline of exports.

After lunch Mr. Es Le Patton of the Agricultural Research Laboratory at New
Orleans, accompanied by Mr. Ray Lawrence, Head, Naval Stores Station, Olustee,
Florida reported on research activities on pine gum and some new productse Mre
Patton advised of a new paint and varnish product made from tung oil, rosin, and
turpentine. He is attempting to interest paint manufacturers in the commercial
manufacture of the new process developed at the laboratory in New Orleanse He
reports the paint is superior in quality ami more adapted to many uses than those
now on the market and could be made and sold at competitive prices,

Mr. Lawrence gave a brief report on research investigations on pine gum at
Olusteee He stated they did not have any results to report but that encouraging
studies were underway on pine gum, with new personnel beginning work at an early
datee

Judge Langdale read a letter from Mre G. Pe Shingler urging the Association
to make an effort to have a history of Gum Naval Stores prepared, and suggested
Mre Carl Speh as one capable of the undertaking. It was suggested the only thing
the directors could do would be to contact persons of the Agricultural Research
Service regarding the matter. The secretary was requested to correspond with Mr.
Shingler accordingly.

Judge Langdale reported the effort that had been made since the last meet=
ing in contacting Southern Gum Processing Company regarding the acquiring of
their gum processing plant at Helena. The secretary reported on three or four
conferences with Mre Good and Mr. Schuster without receiving any definite pro-
posals on selling. A general discussion followed. Mr. Briggs advised that mare
keting of products created problems and that normally, large sums of money were
necessary to operate successfully. Mr. Stallworth stated that people most times
won't stay put in a marketing cooperative and that competition will bombard the
effort on a price basis and that his experience was that projects of this type
would not be successful, Mr. Spooner stated that producers had been caught in a
one present conditions and-epewations in the processing and marketing
of gum. He stated this was particularly true of the small producers in areas
with which he was familiar, After considerable discussion Mr. Spooner moved that
the matter concerning the acquiring and operation of a cooperative processing
plant be tabled until a later date. Motion seconded by Mr. Newton and unanimously
adopted.

The secretary discissed with the directors the various storage problems con
cerning CCC rosin stocks at many locations where rosin is being stored for commodity
iy

and the association by various warehousemen, There are four storage locations

where processing plants are not in operation and the rosin stocks are in a dead

J
most inseam to discontinue as warehousemene In addition there are many loca~

storage positions Three of these warehousemen have given notice with time al-~

tions where hhousemen have not found it practical to cooperate in rotation of
rosin drums, of the drums be rotated within the next
year or sOe It was pointed out that the producers and the Association have more
at stake in the preservation of these stocks than anyone else. It was suggested
that unless the present warehousemen assumed greater responsibility and liability
for the stocks they are storing, the Association % store where necessary under
an arrangement with CCC, or face eee ex, in a state of deterioration
in one or more years, which would probably mean competitive bid sales co destroy
the loan program.

A motion by Mr. Newton, seconded by Mr. Knabb, that the directors resolue
tion of April 16, 1956 be amended to authorize the President and his agents to
purchase, lease, and operate storage facilities for rosin and turpentine and
other things as needed to safeguard loan stocks, The motion was unanimously
adopted. There being no further business the meeting stood adjourned.

Respectively submitted,

the pie

Ae Re Shirley
Secretary

-75.1 288
sit tines,

RES OLUTION-= AS AMENDED NOVEMBER 3, 1958

WHEREAS, The American Turpentine Farmers Association Cooperative has dual
responsibilities under the loan support programs of CCC, including the 1958 loan
program, to CCC and to its producer membership and, ,

WHEREAS, included in these responsibilities is the preservation and maintenance
in marketable conditions of the gum naval stores pledged as security umer these
programs, and

WHEREAS, certain of the processorwarehousemen have acted adversely to and in

conflict with the Association's responsibilities by directly or indirectly

discounting the market value of CCC's rosin stocks in storage, and otherwise, and
WHEREAS, as a corollary to the continuance of future loan programs and the
Association's ability to support its request for such programs for the benefit of its
membership, and to insure the success of the Association's functions as agent of CCC
in carrying out its responsibilities under these programs, it is imperative for the
Association to exercise necessary and appropriate action to effectuate its delegated
responsibilities,
NOW THEREFORE, be it RESOLVED that the Board of Directors of the Association
authorizes and directs its President and his designees ts take such action as may
be appropriate or necessary by purchase, lease, or other means, to protect the
interests of CCC and the Association's membership in the preservation and maintenance
of pledged naval stores collateral and stocks of CCC gum turpentine and rosin, or
otherwise, including when necessary, the operation of storage facilities in a manner
and to the extent required to properly protect CCC and to afford to the Association
membership the benefits of the CCC price support programe
CERTIFIED TO BE A TRUE AND EXACT COPY OF A RESOLUTION PASSED BY THE BOARD OF

DIRECTORS OF THE AMERICAN TURPENTINE FARMERS ASSOCIATION COOPERATIVE at a special
meeting in Valdosta, Georgia, on April 18, 1956 and amended November 3, 1958,

VA ,

~ SECRETARY

This 3rd day of November, 1958
et ae te
A SPECIAL BOARD MEETING OF THE AMERICAN TURPENTINE FARMERS ASSOCIATION
Valdosta, Georgia - December 8, 1958

A special meeting of the Board of Directors was held at the C & S National
Bank, Directors Room, Valdosta, Georgia, December 8, 1958 at 10:00 Ae Me All die
rectors were present except We L. Rhodes. The meeting began with an executive ses
sion attended by the board members and Mre Milton Se Briggs, Chief, Naval Stores
Branch, Tobacco Division, CSS, Washingtony De Ce

At the conslusion of the executive session the Secretary read the minutes of
the last meeting, November 3, Minutes were aprovede Mre Je Lundie smith, legal
counsel, met with the board to discuss and explain the Charter of a subsidiary Cor~
poration as a result of the resolution amended at the meeting November 3, 1958,
The secretary stated the necessity for organizing a new corporation was to become
warehouseman for storing CCC and AT~FA naval stores seeks under the various an
programs which were presently weimg stored by others at certain locations, but had _
notified AT=FA and CCC of their discontinuance as warehousemens

Mir, Smith explained the new Garporation had been named "Pine Gum Development
Corporation", a non-profit corporation, He explained in detail the Charter of the
new corporation and the functions and services which could be autumn under ite
He explained that for the Corperation to be non-profit, all income must be used for
the general welfare of the industry. He stated that the services that could be
performed by the new cooperative were very broad and could be applied to almost
anything that would be for the betterment of gum farmerss The governing body of
the Corporation as drawn +e consist of not more than five nor less than three di-
rectors, who will be appointed onuuuly ny the directors of the American Turpentine
Farmers Association, with a majority of the directorg producers, not members of the
AT=FA Boarde The directors of Pine Gum Development Corporation will elect a presi-
dent, vice~president, secretary, and treasurer. The latter offices may be combined
into one office of secretarytreasurer.

The directors entered into a general discussion concerning various provisions
of the Charter and the Corporation set up. Motion by Jim Gillis, Jre that the
Charter of Pine Gum Development Corporation be adopted as presented and authorized
to function. Motion seconded by Bill Nagle and unanimously adopted. A general dis~
cussion insued as to the number of directors the new Corporation and the
number of AT=FA directors to esind a wal by Jim Gillis, Jre, secomied by Lindsay
Grace, that fivevdirectors be approved for Pine Gum Development Corporation, That
AT-FA directors be limited to two gemers and three AT=FA members be elected by the

AIPA pourd, ona further that Je Me Cock and Ss 0. Spooner, Ste be members from the AT=FA

,
.,

board, and they, with Joutdd Lieabinae, President, and ReyjsGhixley, Secretary, select
three other members to serve on the newboarde After much discussim Mr. William
Knabb asked that the motion be amended Cite cuss one of the three producers be
from Floridae Motion with amendment wmanimously adoptede
A motion by Lindsay Grace, seconded by jim lL. Gillis, Jre,; that Pine Gum Develop~

ment Corporation be organized and begin functioning at the earliest possible date.
Motion unanimously adoptede

. Judge Langdale stated that in view of the necessity to get the new Corporation
into immediate operation, the three additional directors should be elected while the
board was in session. After due consideration and discussion of the matter. the fole
lowing AT=FA member producers were elected to serve until May 1, 1959, with John Me
Cook and Se O Spooner, Sre: L. P. Gibson, Perry Florida, Henry McArthur, Vidalia,
Georgia, and Je Le Wetherington, Echols County, Georgia, address ReFeDey Jasper,
Florida. The secretary was instructed to contact the elected directors of Pine Gum
Development Corporation and call a meeting for organizational purposes at the care
liest possible dates The organizational meeting was set for 10:00 A, Mes December
ll at the Association's office, Valdosta, Georgia. There being no further business
the meeting stood adjournede :

Respectfully submitted,

Ae Re Shirley
Secretary