Full text of District Notices (Federal Reserve Bank of Dallas) : Amendments to Supplement to Regulation D

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F e d e r a l R e s e r v e Ba n k
OF DALLAS

Dallas, Texas, October 27, 1960

AMENDMENTS TO SUPPLEMENT TO REGULATION D

To All Member Banks of the
Eleventh Federal Reserve District:
The Board of Governors of the Federal Reserve System announced on October 26, 1960, that it
had amended the Supplement to Regulation D, relating to bank reserves and reserve requirements,
in three respects effective on the dates shown below:
1. Effective November 24, 1960, all member banks will be authorized to count all of
their vault cash, including currency and coin in transit to or from a Federal Reserve Bank,
in meeting their reserve requirements.
2. Effective November 24, 1960, the reserve requirement of “ country banks” (i.e.,
banks not classified as central reserve city or reserve city banks) against their net demand
deposits, now 11 per cent, will become 12 per cent.
3. Effective December 1, 1960, the reserve requirements of central reserve city banks
against their net demand deposits, now 171/2 per cent, will become 161,4 per cent.
The Supplement to Regulation D has been revised to reflect the changes referred to above. A
copy of the revised Supplement is attached and should be substituted for the Supplement now filed
with your copy of Regulation D in the ring binder furnished you for this purpose.

Yours very truly,
Watrous H. Irons
President

This publication was digitized and made available by the Federal Reserve Bank of Dallas' Historical Library (FedHistory@dal.frb.org)

SUPPLEMENT TO REGULATION D

Section 204.5 — Supplement

I ssued

by the

B oard

of

G overnors

of tiie

F ederal R eserve S ystem

Effective as to all member banks at opening of business on November 24,
1960, except as otherwise indicated.
( a ) Reserve percentages. — Pursuant to the provisions of Section
19 of the Federal Reserve Act and Section 204.2(a), but subject to para­
graph (b) of this Section, the Board of Governors of the Federal Reserve
System hereby prescribes the following reserve balances which each member
bank of the Federal Reserve System is required to maintain on deposit with
the Federal Reserve Bank of its district:

(1) If not in a reserve or central reserve city —
( i) 5 per cent of its time deposits, plus
(ii) 12 per cent of its net demand deposits.
(2) If in a reserve city (except as to any bank located in such a city
which is permitted by the Board of Governors of the Federal Reserve
System, pursuant to Section 204.2(a) (2), to maintain the reserves
specified in subparagraph (1) of this paragraph) —
( i) 5 per cent of its time deposits, plus
(ii) 16% per cent of its net demand deposits.
(3) If in a central reserve city (except as to any bank located in such
a city which is permitted by the Board of Governors of the Federal
Reserve System, pursuant to Section 204.2(a) (2), to maintain the
reserves specified in subparagraph (1) or (2) of this paragraph) —
( i) 5 per cent of its time deposits, plus
(ii) 1714 per cent of its net demand deposits until the open­
ing of business on December 1, 1960, and 16% per
cent of its net demand deposits thereafter.
(b ) Counting of currency and coin. — The amount of a member
bank’s currency and coin shall be counted in partial compliance with the
reserve requirements of paragraph (a) of this Section.