19200929_1100a_minutes.pdf

:;.t a meeting of the Federal Reserve Board held in

the office of the Board on '..ednesday, September 29, 1920, at

11

PRESENT: The GovernorMr. PlattMr. MillerMr.Mr. WilliamsMr. Chapman, Secretary.

Minutes of meetingsof the Board held September 22d

and 27th were read, and on motion approved.

Minutes of meeting of the Executive Committee held

September 28th were read, and on motion the action therein

set forth was ratified.

Business was presented and disposed of as follows:

The General Counsel submitted for approval by the

Board, revised draft of Regulations of the Federal Reserve

Board, Series of 1920.

On motion duly seconded, it was voted to

refer to a committee consisting of the Governor,Mr. Taller and Yr. Tills, the new draft ofRegulations, with power to amend and promulgatesame.

The Governor reported rediscount transactions, pur-

suant to authority heretofore vested in him; member balk

Promissory notes secured by Government obligations: rate 71,

and 7r, on commercial paper, as follows:

Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

93

-2-

Date Bank Redis-counting

With Amount Maturities

Sept.27th Kansas City New York $4,000,000 11-15 days

Sept. 27th Dallas New York 12,000,000 11-15 daysSept. 28th Richmond Boston 10,000,000 11-15 days

Sept .27th Minneapolis Cleveland 3,000,000 1-90 days

Sept .28th Atlanta Cleveland 4,250,000 10-90 days

Noted.

The Governor reported the reserve positions of the

several Federal Reserve Banks as at close of business Sep-

tember 27th, and the status of rediscounts between Federal

Reserve Banks as of the same date.

Telegram dated September 24th from the Chairman, Fed-

eral Reserve Bank of Cleveland, recommending approval of the

following changes in discount rates, effective Octdber 1,1920:

Member bank collateral notes and rediscountssecured by certificates bearing 5einterest or less 5-1/4

Certificates bearing a greater rate than Woto have the rate of certificates.

Bankers acceptances purchased within the gen-. eral limits,5r to W •

Rediscounts of bankers acceptances 5-3/4

Approved.

Letter dated September 22d from the Chairman, Federal

Reserve Bank of Atlanta regarding the discount rate schedule

Of that Bank.

On motion duly seconded, the Governor wasauthorized to say to the Directors of the Fed-eral Reserve Bank of Atlanta, that the Board


9-1

would look with favor upon recommendation of

the establishment of a rate of six per cent

on drafts secured by bills of lading maturing

within not more than thirty days, drawn

against actual sales of goods.

The Governor stated that the Federal Reserve Bank

of Atlanta desires to exercise an option which it holds to

lease at ;200 per month, suitable vault facilities to equip

its Birmingham Branch for handling the Sub-Creasury functions

which the Branch is about to take over.

On motion duly seconded, the Governor

was authorized to express the Board's ap-

proval of a lease at such rate.


Reserve Bank of New York, submitting recommendation for the

Payment of additional or emergency compensation to the of-

ficers and employees of that Bank for the third quarter of

the year 1920.

Approved, and ordered circulated.

Letter dated September 24th from the Governor, Fed-

eral Reserve Bank of Cleveland, submitting recommendations of

approval of increases in salaries of employees of that Bank

whose anniversaries of employment fall during September,1920.

Approved.

Letter dated September 18th from the Chairman, Fed-

eral Reserve Bank of Gan Francisco, requesting the views of


}Att.; 4-

-4-

the Board upon the question whether or not Federal Reserve

Banks should make claims against bonding companies for un-

located shortages in Tellers' cash.

Voted that the Governor advise theChairman, Federal Reserve Bank of San Fran-cisco, and all other Federal Reserve Banks,that it is the view of the Board that it isdue bonding companies that all shortages incash be reported to bonding companies, butthat it is left to the discretion of FederalReserve Banks as to whether or not claimsfor such shortages should be made.

(At this point Mr. Williams joined the meeting)

The Governor submitted for approval, letter by him

dated September 25th to the Federal Reserve Agent at San

Francisco, authorizing him to withhold approval of appli-

cation for membership in the System of the Sacramento-

San Joaquin Bank of Sacramento, California.

Approved.

Letter dated September 22d from the Chairman, Fed-

eral Reserve Bank of Chicago, inquiring the views of the

Board as to permitting members of the Federal Reserve Agent's

reportorial staff to contribute articles to financial papers.

Referred to the Governor for report.

Letter dated September 24th from Mr. Arthur Mayer of

New York, requesting extension of the reservation of the

title "American Overseas Trust", until November 1, 1920.

Approved.


-5-

Letter dated 3eptember 27th from Consulting Architect

Trowbridge, recommending that the Federal Reserve Bank of

Dallas be authorized to expand approximately ::',5,000 for the

purpose of installing a refrigerating plant in its proposed

new bank building.

Approved.

Application of the First Federal Foreign Banking

Association to accept 90 day drafts drawn upon it by banks

or bankers in South and Central American countries and the

Republic of Cuba, for the purpose of creating dollar exchange.

Approved.

On motion duly seconded, Yr. D. C. Wills, 410 was

today sworn in as a member of the Federal Reserve Board, was

appointed a member of the Executive Committee for the quarter

ending December 31, 1920. He was also appointed a member of

the Committee on Operations of the Federal Reserve Banks of

Philadelphia and Cleveland, and as a member of the Committees

on Admission of State Banks, and Applications for Fiduciary

Powers.


Reserve Bank of Dallas, in regard to tentative report of the

Sub-Committee of that Bank on salaries.

Referred to the Executive Committee forreport.


-6-

Letter dated September 27th from the Secretary, Fed-

oral Reserve Bank of Chicago, requesting the Board's approval

Of payment by that Bank to its employees joining the National

Guard of salaries during the period of their attendance at

annual encampments of the Guard.

Approved.

Letter dated September 28th from Mr. W. T. Chapman,

submitting his resignation as Secretary of the Federal Re-

serve Board, effective November 1, 1920.

Accepted with regret, and the Governor

requested to prepare a suitable letter to Mr.

Chapman expressing the Board's appreciation

of his services.

Voted further that Mr. Chapman be grantedthe statutory leave to which he is entitledbeginning as of October 1, 1920.

On motion duly seconded, it was voted to refer to

the Executive Committee for report, the question of re-

organizing the Board's staff in view of the resignation of

its present Secretary.

REPORTS OF COULTITTPE NO. 1:

Dated Sept. 29th, recommending admission of State institutionsas set forth in the auxiliary minute bookas of this date, subject to the conditionsstated in the individual reports attachedto each application.

Approved.


-7-

Dated Sept. 29th, recommending approval of applications for

fiduciary powers, as set forth in the

auxiliary minute book as of this date.

Approved.

Dated Sept. 28th, recommending approval of appointment of

M. P. Flagg as Telegraph Operator at a

salary of $150 per month, vice W. C.

Clark, resirned, effective October 1,1920.

Dated Sept. 23d, submitting resignation of Arthur J.

Schopp as Stenographer with the Federal

Reserve Examining Force at2,100 Perannum, effective at the close of business

September 25, 1920.

Accepted.

Dated Sept. 23d, recommending approval of appointment of

R. Roe Judy as Examiner for the Federal

Reserve Bank of Kansas City, at $3,000

per annum.Approved.

Dated Sept. 23d, recommending approval of appointment of

H. Y. Craft as Assistant Auditor of the

Federal Reserve Bank of San Francisco.Approved.

Dated Sept. 21st, recommending approval of increase from

$5,400 to $6,000 per annum in salary of

E. F. Gossett, Manager of the Houston

Branch, Federal Reserve Bank of Dallas,

effective September 1, 1920.

Approved.

Dated Sept. 23d, recommending approval of increase to $840

per annum of salary of Miss Etta Broussard

as student money assorter at the Houston

Branch, Federal Reserve Bank of Dallas,

effective September 1, 1920.

Approved.

Doped Sept. 21st, recommending approval of appointment of

I. O. Ford as Assistant Cashier of the

Federal Reserve Bank of Dallas.

Approved.


799

-8-

Dated Sept. 21st, recommending approval of salary of I2,400

per annum for Mr. Ben U. McPike as NationalBank: Examiner in the Eighth Federal Re-

serve District.Approved.

Dated Sept. 28th, recommending approval of increase from

c3,900 to :;;4,000 per annum in salary of

Mr. William E. Hutt as National Bank

Examiner, effective October 1, 1920.

Approved.

Dated Sept. 24th, recommending approval of increasessalaries of the following NationalExaminers, as indicated:Chief Examiners: From

inBank

To'18,500Fred Brown, 16,000

J.K.Doughton, 8,000 8,500

H.R.Gaither, 8,000 9,000

L.K.Roberts, 5,000 7,000

Wm.J.Schechter, 6,500 7,500

John S. Wood, 5,500 7,000

Supervisim Examiners:E. Willey Stearns, 4,800 5,500

Oscar Thompson, 5,500 6,000

Examiners:Henry B.Davenport, 3,000 3,500

Norwin S. Bean, 3,900 4,200

George N. Coffin, 4,000 4,200

T. A. Cooper, 3,600 3,900

Edward F. Parker, 3,900 4,200

H. W. Scott, 4,500 5,000

Russell T.August, 2,400 2,700

Daniel C.Borden, 4,500 5,500

John A. Best, 3,600 3,900

Charles V. Brown, 3,000 3,300Carl Y. Sisk, 4,000 4,500Vernon G.Snyder, 3,000 3,300G.E.Armstrong, 4,500 4,800

Sidney B. Congdon, 4,500 4,800

Edward C. Haneke, 3,600 3,900Thomas C. Thomas, 4,200 4,500

Roger E. Brooks, 2,700 3,300Wm. B. Cloe, 3,300 3,600John W. Dalton, 2,400 3,000


-9-

From To

Thomas N. Davis, 13,300 1'3,600

Wm. P. Folger, 2,400 3,000

L.7.17offman, 4,200 4,500

00.7..IaPoque, 3,300 3,600

Charles A. Stewart, 3,300 3,600

D.R.Wood, 3,600 3,900

James L. Griffin, 3,900 4,200

R.T.:.Trodeson, 3,600 3,900

W.W.McBryde, 3,000 3,300

W.O.Roberts, 4,500 5,000

D.V.Trarkin, 6,000 6,500

Ben Hayes, Jr., 3,900 4,200

Paul Partridge, 4,000 4,200

John T. Sawyer, Jr., 3,900 4,200

Ellis D. Robb, 4,800 5,0003,000 3,300

E.u.Gough, 4,500 5,000

Tm.R.Young, 3,300 3,600

1ard M.Buckles, 4,500 4,800

B.K.Patterson, 3,900 4,000

H.C.Bergman, Jr., 2,400 2,700

Sherwood Crocker, 4,200 4,500

George Goodell, 4,500 4,800

C.A.Criffey, 3,000 3,300

J.L.Penix, 3,900 4,000

J.E.Thompson, 3,300 3,900

Harry E. Albert,n. Gray,

3,6003,900

4,2004,200

R.L.Hargreaves, 4,500 5,000

E.S.Jernegan, 3,900 4,200

Approved.

Dated Sept. 22nd, recommending approval of the appointment

of R. K. Blakey as Law Clerk in the office

of General Counsel at a salary of 12,400

per annum, effective upon reporting for

duty.Referred to the Governor with power.

Other business was presented and disposed of as

follows:


-10-

The Governor read to the meeting a letter addressed

by the Secretary of the Treasury under date of September 27th

to Mr. Gray Silver, representing the National Grange, giving

his views as to the agricultural credit situation, and the

Treasury's attitude with respect thereto.

Letter dated September 20th from the Chairman,

Federal Reserve Bank of Chicago, submitting for reconsider-

ation by the Board the application of the First National

Bank, Canton, Illinois, for fiduciary powers.

Referred to Mr. Wills for report.

At 12-50 P. M., the meeting adjourned.

Secretary.

Approved:


19200929_1100a_minutes.pdf

Documents

federal reserve bank

federal reserve board

federalreserve bank

rate of certificates

member bank collateral

date bank rediscountingwith

federal reserveboard

greater rate