REAL PROPERTY CONVEYANCE IN PRAIRIE COUNTY, ARK. FRIDAY, APRIL 12, 1957 HOUSE OF REPRESENTATIVES, The subcommittee met at 10:10 a. m., pursuant to notice, in room 1308, New House Office Building, the Honorable John L. McMillan (chairman of the subcommittee) presiding. Present: Representatives McMillan, Jones, and Watts. Also present: Representative Gathings; Darrel A. Dunn, Acting Assistant Administrator, Farmers Home Administration, Department of Agriculture; Howard V. Campbell, Chief, Farmers Home Division, Office of General Counsel, Department of Agriculture; Francis M. LeMay, professional staff. Mr. MCMILLAN. The committee will come to order. We have before us H. R. 2259, a bill to provide for the conveyance of all right, title, and interest of the United States to certain real property in Prairie County, Ark. (H. R. 2259 is as follows:) [H. R. 2259, 85th Cong., 1st sess.] A BILL To provide for the conveyance of all right, title, and interest of the United States to certain real property in Prairie County, Ark. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That the Secretary of Agriculture is hereby authorized and directed to convey to Clayton F. Ames and Maxine R. Ames, his wife, of West Memphis, Arkansas, all right, title, and interest of the United States in and to the real property part of the southeast quarter of the southeast quarter of the northwest quarter, section 17, township 4 north, range 4 west, of the fifth principal meridian, in the northern district of Prairie County, Arkansas, more particularly described as follows: Commencing at the quarter corner on the north line of said section 17, which point is the intersection of centerlines of an east and west county road and a county road bearing south 00 degrees 50 minutes west, run thence south 00 degrees 50 minutes west along the centerline of said county road a distance of 2,170.2 feet to the point of beginning; run thence south 77 degrees 21 minutes west a distance of 311.2 feet to the northeast bank of Spring Lake; thence following the meander line of the northeast bank of Spring Lake in a southerly direction to the point of intersection with the south line of the southeast quarter of the southeast quarter of the northwest quarter of said section 17; thence run easterly on the south line of the southeast quarter of the southeast quarter of the north west quarter of said section 17 to a point at the southeast corner of the northwest quarter of said section 17; thence run north on the east line of the southeast quarter of the southeast quarter of the northwest quarter of said section 17 to the point of beginning. Mr. MCMILLAN. Mr. Gathings, since you are the author of this bill, suppose you give us some explanation of it. STATEMENT OF HON. E. C. GATHINGS, A REPRESENTATIVE IN CONGRESS FROM THE FIRST CONGRESSIONAL DISTRICT OF THE STATE OF ARKANSAS Mr. GATHINGS. Mr. Chairman, I would be delighted to attempt to explain it. The best explanation is contained in the report signed by Acting Secretary True D. Morse, of the Department of Agriculture, dated March 14, 1957. I ask that that report be made a part of the record, Mr. Chairman. Mr. MCMILLAN. Without objection the report will be inserted in the record at this point. (The report referred to is as follows:) DEPARTMENT OF AGRICULture, OFFICE OF THE SECRETARY, Hon. HAROLD D. COOLEY, Chairman, Committee on Agriculture, House of Representatives, Washington, D. C. DEAR MR. COOLEY: This is in reply to your request of January 31, 1957, for a report on H. R. 2259, a bill to provide for the conveyance of all right, title, and interest of the United States to certain property in Prairie County, Ark. The Department opposes enactment of the bill unless it is first amended to provide for payment of $175 to the Government. The bill authorizes and directs the Secretary of Agriculture to convey to Clayton F. Ames and Maxine R. Ames, his wife, all right, title, and interest of the United States to a tract of land in the southeast corner of the northwest quarter of section 17, T. 4 N., R. 4 W., Prairie County, Ark. It consists of approximately 2 acres and is a part of 224.92 acres deeded to the Government in 1936 by A. L. Erwin and wife. This acreage was subdivided and sold in farm units to individual farmers. A part of this tract, approximately one-quater acre, had been conveyed to the school district in 1910. By an opinion to the Secretary of Agriculture dated April 22, 1955, the Attorney General of the United States advised that the Government did not acquire title to the 4-acre tract in the 1936 deed above mentioned. Accordingly, the Secretary of Agriculture offered to quitclaim the school district parcel under title 5, United States Code, section 567, for the consideration which the Government paid for it. In the same opinion the Attorney General reaffirmed his 1937 opinion that the United States acquired title to the 14-acre tract in the 1936 deed. A. L. Erwin and his wife executed a warranty deed in 1942 to S. L. Wesson on this 14-acre tract. Several conveyances have been made of these two tracts, the last of record being a warranty deed to Clayton F. Ames and Maxine R. Ames, his wife. Since the conveyance of the school tract was made to the Government through error, and since the Attorney General has held that the Government did not acquire title to the quarter-acre tract, this Department would have no objection to enactment of legislation authorizing and directing the Secretary of Agriculture to quitclaim it without consideration. In 1955 the 14-acre tract was appraised by the Farmers' Home Administration at $500 which is the assessed valuation for tax purposes. The land was valued at $175 and the cabins at $325. Since the cabins were placed on the property by private parties at their own expense, this Department would have no objection to the passage of the bill if first amended to provide payment of $175 to the Government. The Bureau of the Budget advises there is no objection to the submission of this report. Sincerely yours, TRUE D. MORSE, Acting Secretary. Mr. MCMILLAN. Is it agreeable to you to accept the amendments suggested by Mr. Morse in his letter? Mr. GATHINGS. Yes. Mr. Morse suggested that the Department opposed enactment of the bill unless it is first amended to provide for the payment of $175 to the Government. The Ames people would be glad to comply with that request and pay the Government this $175. The third paragraph of the Secretary's letter sets out the facts, and I would like to quote from that third paragraph: The bill authorizes and directs the Secretary of Agriculture to convey to Clayton F. Ames and Maxine R. Ames, his wife, all right, title, and interest of the United States to a tract of land in the southeast corner of the northwest quarter of section 17, T. 4 N., R. 4 W., Prairie County, Ark. I might say that Prairie County is over in Mr. Mills' district. However, Mr. and Mrs. Ames happen to live in the city of West Memphis, my hometown, and that is the reason I introduced this bill in their behalf. Continuing to read from this third paragraph of the Secretary's letter: It consists of approximately 2 acres and is a part of 224.92 acres deeded to the Government in 1936 by A. L. Erwin and wife. This acreage was subdivided and sold in farm units to individual farmers. A part of this tract, approximately one-fourth acre, had been conveyed to the school district in 1910. By an opinion to the Secretary of Agriculture dated April 22, 1955, the Attorney General of the United States advised that the Government did not acquire title to the 4-acre tract in the 1936 deed above mentioned. Accordingly, the Secretary of Agriculture offered to quitclaim the school district parcel under title 5, United States Code, section 567, for the consideration which the Government paid for it. In the same opinion the Attorney General reaffirmed his 1937 opinion that the United States acquired title to the 14-acre tract in the 1936 deed. A. L. Erwin and his wife executed a warranty deed in 1942 to S. L. Wesson on this 14-acre tract. Several conveyances have been made of these two tracts, the last of record being a warranty deed to Clayton F. Ames and Maxine R. Ames, his wife. Since the conveyance of the school tract was made to the Government through error, and since the Attorney General has held that the Government did not acquire title to the 4-acre tract, this Department would have no objection to enactment of legislation authorizing and directing the Secretary of Agriculture quitclaim it without consideration. In 1955 the 14-acre tract was appraised by the Farmers' Home Administration at $500 which is the assessed valuation for tax purposes. The land was valued at $175 and the cabins at $325. Since the cabins were placed on the property by private parties at their own expense, this Department would have no objection to the passage of the bill if first amended to provide payment of $175 to the Government. The Bureau of the Budget advises there is no objection to the submission of this report. Mr. MCMILLAN. Do you care to prepare an amendment to this bill or do you have one already? Mr. GATHINGS. I was just going to suggest, Mr. Chairman, that the counsel for the committee prepare the proper language in the form of an amendment to provide that the Ameses pay $175 to the United States according to the report of the Department, unless the gentlemen from the Department have taken it up with counsel and have suggested language available. Mr. MCMILLAN. We have present Mr. Dunn from the Farmers' Home Administration. Would you care to make a statement, Mr. Dunn, on this bill? Mr. DUNN. I think the Congressman here that introduced the bill has suggested meeting the stipulation as set out by the Department. We have the responsibility of administering this property involved for the Secretary. I think we have no statement to make other than what is set out in the letter. Mr. MCMILLAN. Is there anyone else present either from the Department of Agriculture or anyone else who is interested in this bill? (No response.) Mr. LEMAY. Mr. Chairman, I have some language. [Reading:] That the Secretary of Agriculture is hereby authorized and directed, upon payment to the United States of the sum of $175, to convey to Clayton F. Ames and Maxine R. Ames and so forth. That is suggested language, if you would like to adopt that as an amendment. Mr. GATHINGS. That seems to be all right, to add those words in the form of an amendment at line 4 of the bill. Mr. MCMILLAN. Would you repeat that language, Mr. LeMay? (Mr. LeMay complied.) Mr. MCMILLAN. Are there any questions that anyone would like to ask? Mr. GATHINGS. Mr. Chairman, I may say further that I first received a letter regarding this matter-pardon me, it was directed to the Honorable Wilbur D. Mills, since the land was in his district, under date of June 20, 1956. Mr. MCMILLAN. Do you want to get that in the record? Mr. GATHINGS. Yes. It is a letter from Herschell Bricker of the law firm of Owens, McHaney, Lofton & McHaney of Little Rock, Ark. Mr. Mills sent me this letter in view of the fact that these people were my constituents. Mr. MCMILLAN. Would you care to have that inserted in the record at this point? Mr. GATHINGS. Yes. I don't see any objection to that; that does tell the whole story. Mr. MCMILLAN. Without objection, it will be inserted in the record. (The letter referred to is as follows:) Hon. WILBUR D. MILLS OWENS, MCHANEY, LOFTON & MCHANEY, House Office Building, Washington, D. C. ATTORNEYS AT LAW, Little Rock Ark., June 20, 1956. DEAR MR. MILLS: I represent Clayton F. Ames and Maxine R. Ames, his wife, of West Memphis, Ark. My clients claim title to a tract of land in Prairie County, Ark., described as follows: Part of the SE1⁄4SE1⁄4NW, sec. 17, T. 4 N., R. 4 W., of the fifth principal meridian, in the northern district of Prairie County, Ark., more particularly described as follows: Commencing at the quarter corner on the north line of said sec. 17, which point is the intersection of centerlines of an east and west county road and a county road bearing S. 00° 50' W., run thence S. 00° 50" W. along the centerline of said county road a distance of 2,170.2 feet to the point of beginning; run thence S. 77° 21" W. a distance of 311.2 feet to the northeast bank of Spring Lake; thence following the meander line of the northeast bank of Spring Lake in a southerly direction to the point of intersection with the south line of the SESENW1⁄4 of said sec. 17; thence run easterly on the south line of the SESE1⁄4MW1⁄4 of said sec. 17 to a point at the southeast corner of the NW4 of said sec. 17; thence run north on the east line of the SE1⁄4SE1⁄4N W1⁄4 of said sec. 17 to the point of beginning. There is a cloud on the title due to an overlapping description contained in deed executed August 22, 1936, by A. L. Erwin and wife (both of whom are now deceased) to United States of America, of record in book 15, at page 374, of the deed records of the northern district of Prairie County, Ark., and which purports to convey the entire E1⁄2NW of said sec. 17, T. 4 N., R. 4 W. The common source of title was vested in A. L. Erwin. In 1910 A. L. Erwin and wife conveyed a tract of land, being a square having equal sides of 110 feet, located in the extreme southeast corner of the NW of said sec. 17, and by mesne conveyances, title thereto became vested in Mr. and Mrs. Ames; but, in making the conveyance of August 22, 1936, Mr. and Mrs. Erwin did not except said parcel. It is quite evident that it was not the intention of Mr. and Mrs. Erwin to convey to the United States of America any of the lands now claimed by Mr. and Mrs. Ames. Subsequent to August 22, 1936, Guy B. Smith, field supervisor of the Resettlement Administration, prepared a survey of the lands acquired by the United States of America from A. L. Erwin. The plat of said survey was approved by E. B. Whitaker, assistant regional director, and was filed for record on July 18, 1938, and a copy of the survey is of record in plat book 1, at page 1, of the records of the northern district of Prairie County, Ark. The recorded plat contains a reference to the fact that it is a plat of the property conveyed by said deed recorded in book 15, at page 374. The plat does not indicate that the lands now claimed by Mr. and Mrs. Ames were a part of the lands owned by the United States of America. On said plat there is shown a parcel known as tract No. 49, the metes and bounds description thereof being as follows: "A tract of land lying in sec. 17, T. 4 N., R. 4 W., more particularly described as follows: "Beginning at the quarter corner on the north line of said sec. 17, which point is the intersection of the centerlines of an east and west county road and a county road bearing S. 0° 50′ W.; thence S. 0° 50′ W. along the centerline of said county road, a distance of 2,170.2 feet to the centerline of a road bearing east; thence S. 77° 21′ W., a distance of 311.2 feet to the northeast bank of Spring Lake; thence following said bank N. 22° 55′ W., a distance of 432.0 feet; thence N. 37° 29′ W., a distance of 240.0 feet; thence N. 52° 21′ W., a distance of 200.0 feet; thence S. 84° 32' W., a distance of 230.1 feet; thence N. 14° 12' E., a distance of 170.0 feet; thence N. 63° 14' W., a distance of 275.1 feet; thence N. 76° 49′ W., a distance of 183.8 feet; thence leaving the bank of said lake N. 1° 24′ E., a distance of 1,253.1 feet to the centerline of an east and west county road; thence S. 88° 36′ E. along the centerline of said road, a distance of 1,389.7 feet to the point of beginning." It will be observed that the south boundary line of tract No. 49 coincides with the north boundary line of the Ames land. It is quite apparent that Mr. and Mrs. Erwin did not intend to convey to the United States of America any land in the E1⁄2N W1⁄4 of said sec. 17 lying south of the south boundary line of said tract No. 49. On January 10, 1942, A. L. Erwin and wife executed a deed to S. L. Wesson, which is of record in book 18, at page 80, of the deed records of the northern district of Prairie County, Ark., and which purported to convey all of the lands in the ENW of said sec. 17 lying south of said tract No. 49, except the square parcel of 110 feet by 110 feet in the southeast corner of the NW of said sec. 17 and, by mesne conveyances, title to the land so conveyed to S. L. Wesson is now vested in Mr. and Mrs. Ames. On August 9, 1946, the United States of America executed a quitclaim deed to Calvin Thomas, which is of record in book 20, at page 257, of the deed records of the northern district of Prairie County, Ark., and which describes tract No. 49 by metes and bounds and does not purport to convey any of the lands now claimed by Mr. and Mrs. Ames. S. L. Wesson and his successors in title went into possession of said lands lying south of tract No. 49 and have made valuable improvements thereon. Mr. and Mrs. Ames paid a substantial amount of money for this property. The matter was referred to the district office of the Farmers' Home Administration with a view of securing a quitclaim deed from the United States of America. When this matter was brought to the attention of the Legal Division of the Farmers' Home Administration, it was determined that the land would be put up for sale on a sealed-bid basis. This, of course, would work to the adverse interest of Mr. and Mrs. Ames as they would be required to compete with the public in general. I was able to prevail upon the Farmers' Home Administration to withdraw this land from proposed sale pending the enactment of legislation with a view of authorizing the proper officials to execute a deed in the name of the United States of America to Clayton F. Ames and Maxine R. Ames, his wife, as an outright gift or for a very nominal consideration. It would be manifestly unfair to |