19220620_Minutes.pdf

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A meeting of the Federal Reserve Board was held in the office of

the Board on Tuesday, June 20, 1922, at 10:20 a.m.

PRESENT: Vice Governor PlattMr. HamlinMr. MillerMr. MitchellMr. CrissingerMr. Hoxton, Secretary.

Minutes of the meeting of the Board held June 15th were read and

on motion approved.

The Vice Governor reported the reserve positions of the several

Federal reserve banks as at close of business June 14, 15. 16 and 17th.

Letter dated June 13th, from the Assistant Federal Reserve Agent

at St.Louls, enclosing with favorable recommendation the application of

the Jefferson Bank, St.Louis, for a reduction in its reserve requirerrBnts

to 7"' of demand deposits and 31' of time deposits, under the provisions of

Section 19 of the Federal Reserve Act, mid application being made on

account of the reclassification of St.Louis as a reserve city.

Approved.

Telegram dated June 16th, from the "ederal 9eserve Bank of St.

Louis, with reference to the matter of making real estate loans by the

local national banks, under the provisions of Section 24 of the Federal

Reserve Act, it being noted that the Governor, under date of June 15th,

had, replied to this telegram as follows:

"Board has never made list of cities other than centralreserve cities whose banks are not permitted to make realestate loans. Board's action in making St.Louis reservecity automatically gives banks located in St.Louis right torra Ice real estate loans under Section 24, unless Board shoulddesignate St-Louis as a city where banks cannot make suchloans."

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Upon motion, it was voted that the Board will not atthe present ti /113 make up a list of cities other than centralreserve cities wherein national banks may not make realestate loans under the provisions of Section 24 of the Fed-eral Reserve Act.

Letter dated June 15th, from the Acting Secretary o f the Federal

Reserve Bank of Atlanta, advising of certain changes, subject to the ap-

proval of the Federal Reserve Board, in. the payroll of that Bank and its

branches.

Referred to the Committee on Salaries and Charge Offs.

Letter dated June 17th, from the Chairman of the Federal Reserve

Bank of Richmond, advising of the election of Mr. Carter G. Osburn, Presi-

dent of the Farmers Merchants Nat ional Bank of Baltimore, as director

in the Baltimore Branch, to succeed Mr. C. C. Homer, deceased.

Noted.

Letter dated June 17th, from the Chairman of the Federal Reserve

Bank of Kansas City, replying to an inquiry for information made in ac-

cordance with the action of the Board at its meeting of June 5, 1922, with

respect to the progress of construction on the building of the Oklahoma

City Branch, together with detailed information as to the dates on which

such construction was begun.

Noted.

Letter dated June 17th, from the Director of the Division of

Analysis & Research, recommending that 125 copies of the June Bulletin be

furnished without cost to Mr. Treat, President of the American Credit

Indemnity Company.

Approved.

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Iemoranda from the Deputy Comptroller of the Currency, recommend-

ing, under certain conditions, that the Board approve applications for

reduction of capital stock made by the First National Bank of Burkburnett,

Texas, the First at ional Bank of Chesaning. Michigan, and the Peoples

:Tat lanai Bank o f Rot Springs, South Dakota.

Referred tack, without action, to the Comptroller ofthe Currency.

Memorandum from the Comptroller of the "urrency, recommending ap-

proval of the application of the Tirst National Bank of Bishop, California,

for authority to reduce its capital stock from "1_00,000 to '',50,000.

Approved.

Letter dated June 15th, from the Chairman of the Federal Reserve

Bank of Boston, requesting approval of the Federal Reserve Board of the act-

ion of the Board of Directors of that Bank at a meeting held June 15th,

whereby it was voted to declare a dividend on the paid-in capital stock, at

the rate of 61; per annum, for the six months period ending June 30, 1922,

payable on the same date.

Appr ov ed.

Letter doted June 12th, from the Chairman of the Federal Reserve

Bank of Kansas City, requestim-; apiroval of the Federal Reserve Board of the

action of the Board of Directors of that Bank taken at a meeting held June

8th, whereby it was voted that a dividend for the six months period ending

June 30, 1922, at the rate of 65 per annum on the paid-in capital stock.

Payable on the 30th day of June, be declared to all stockholders of the

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Federal Reserve Bank of Kansas City, as shown by the books of the Bank on

that date.

Approved.

7.:emorandurn dated June 17th, from the Fiscal Ar,ent of the Board,

transmitting an estimate for the general expenses of the Board for the en-

suing six months beginning July 1, 1922.

Upon motion, the following resolution was adopted:

WHERAS, under Section 10 of the act approvedDecember 23, 1913, and Icnown as the Federal Reserve Act,the Federal Reserve Board is empowered to levy semi-annually upon the Federal Reserve Banks in proportion totheir capital stock and surplus an assessment sufficientto pay its estimated expenses, including the salaries ofits members, assistants, attorneys, experts, and employesfor the half year succeeding the levying of such assess-ment, together with any deficit carried forward from thepreceding half years; and

WHEREAS, it appears from estimates submitted andconsidered that it is necessary that a fund equal to onehundred twenty-two thousandths of one per cent (.00122)of the total paid-in capital stock and surplus of the Fed-eral Reserve Balks be created for the purpose hereinbeforedescribed, exclusive of the cost of engraving and print ingof Federal Reserve notes; now, therefore.

BE IT RESOLVED, That pursuant to the authorityvested in it by law, the Federal Reserve Board hereby leviesan assessment upon the several Federal Reserve banks of anamount equal to one hundred twenty-two thousandths of oneper cent (.00122) of the total paid-in capital and surplusof such banks as of June 30, 1922, and the Fiscal Agent ofthe Board is hereby authorized to collect from said bankssuch assessment and execute, in the name of the Board, re-ceipts for PaYrrents made. Such assessment will be collectedin two installments of one-half each; the first installment

to be paid on July 1, 1922, and the second half on September1, 1922.

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Memorandum dated June 16th, from the Assistant Secretary of the

Board, advising that the Treasury Departrivnt has agreed to assign to the

Board space for the storage of old records in the sub-baserrent of the

auditor's building (the old Bureau of Engraving and Printing), and recom-

mending that the Board. approve the storage of obsolete records in the

space thus allotted by the Treasury Depart/rent.

Approved.

Letter dated June 16th, from the Director of the Division of

Analysis & Research, requesting aithority to employ Messrs. W. F. Crick

and W. J. Carson as Junior Research Assistants in the Division of Analysis

and Research, fbr a period of six months from the date of appointra3nt, at

salary of 4'150. per month each.

Approved.

Memorandum dated June 16th, from the Statistician of the Board,

recommending approval of the employment of Mrs. Blanche L. Sutton as

translator and. technical clerk in the office of the Statistician, at an

initial salary of fl680 per annum, the salary being raid her at present

by the Departrent of Agriculture.

Upon motion, it was voted that authority be granted toemploy Mrs. Sutton with the designation of Translator forthe Statistical and Research Divisions of the Board, it be-ing understood that nrs.Sutton will report to Mr. Jacobsonfor duty and. will be employed at a salary of f§1680 per annum.

Memorandum dated June 16th, from the Statistician of the Board,

recommending that authority be granted for the appointniant as Librarian of

the Federal Reserve Board of Miss Elsie Rackstraw, at salary of 240.0 per

annum, to fill a vacancy created. by the resignation of Nelson W. McCombs.

Approved.

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Memorandum dated June .15th, from the Assistant Secretary of the

Board, requ3sting authority to employ an additional colored messenger to

serve the Board's offices located in the Otis Building, at salary of !!:1080

per annum.

Referred to the Governor with power.

Letter dated June 15th, from the Comptroller of the Thrrerry,

recomrnending an increase in the salary of National Bank aminer Lens T".

Sawyer, Jr., from .7;4200 to :35000 per annum, effective July 1, 1922.

Approved.

BM-30RM OF COTSTITT: NO. 1:

Dated June

Dat ed June

Dated. June

17th, Tlecormending changes in stock at Federal reserve banks,as set forth in the aimiliary minute book of this date.

Approved.16th, Recomending admission of state institution, subject to

the conditions stated in the individual report attachedto the application, as set forth in the =Mary minutebook of this date.

Approved.19th, Recommending action on applications for fiduciary powers,

as set forth in the auxiliary minute book of this date.Approved.

At 11:30 a.m. the meeting adjourned.

Vice Governor.

Secretary

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