The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Secretary's Minutes
November 1 0 -
Washington, D .
INDEX T O SECRETARY'S MINUTES
GOVERNORS CONFERENCE:
NOVEMBER 1 0 - 14, 1923
|\Paragraph
!
in
Secretary's
Minutes
Absorption o f postage o n cash letters sent direct b y member banks - -
Advisability of F, R. Bank defraying expense o f welfare and
educational work
Aeroplane Mail Service
Amendment t o National Bank Act - What amendments a r e necessary t o
enable national banks t o meet banking requirements
Amendments t o Regulation D
American Bankers Association = Committee o f Trust Company Division
American Federation o f Labor Organization o f Bank Clerks
Austrian Association o f Banks a n d Bankers relative t o counterfeit
currency - Communication from
Bankers Acceptances - Report o f sub-committee o f General Committee o n
Bonds issued b y Federal Land and Intermediate Credit Banks Redemption o f debenture - - - « - =~ +. «
Bonds, n o t e s a n d Treasury certificates o f indebtedness l o s t i n mails
while e n route t o Washington - Canceled United States - - - + - - Branch directors ~Effects o f increasing number o f
Branches of F. R, Banks « Operation under rules and regulations
approved b y Board rather than b y by-laws
Budget for control of expenditures - Adoption b y each F. R, Bank
Canceled United States bonds, notes and Treasury certificates o f
indebtedness lost in mails when en route t o Washington Chairman -
+ - - - -
Election o f
Charges against surplus w h e n current earnings insufficient
Charge-offs f o r purpose o f reducing b o o k value o f bank buildings
Dividends - - « = - «= +
Furniture a n d Equipment
Reserves t o cover annual depreciation o f bank premises
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
|16
Paragraph i n
Secretary's
Minutes
Check Collections
Collection o f checks drawn o n banks located i n Porto Rico and Hawaii
Extension o f check collection facilities
Par Collection Litigation
REGULATION. Eo s e 6 u e
e e ew ee
Report o f Standing Committee o n Collections
Circulars
Member bank Expense = Discussion o f circulars issued b y b a n k s o f
boston a n d N e w York relative t o comparison o f operations o f
representative member banks
Reconcilement o f provisions o f Telegraphic Transfer circulars o f
banks with recommendations embodied i n Board's Letter X-4099 - - Circulation o f standard silver dollars - « Means o f increasing
Collections
Absorption o f postage o n cash letters sent direct b y member banks =
Aeroplane M a i l Service «
Authority o f a Federal Reserve Bank t o accept i n payment o f a
collection item,a bank draft ziven i n exchange for draft o f drawee
Collection o f checks d r a w o n banks located i n Porto Rico and Hawaii
Extension of check collection facilities
Increase o f servite tharge o n unpaid items
Limitation o f kind o r dollar amt, o f non-cash items handled b y
Federal Reserve bank « « < = = « = = » = ,
Non-cash Collections - Study o f possible charge for service
Par Collection Litigation
Regulation J e «= - «
Report o f Standing Committee o n Collections - - - - + - - + - + - + + - - Whether o r not Bank may properly receive maturing items with
instructions t o deposit proceeds i n commercial bank for account o f
member bank
Commercial paper = Registering « - - = +
Committee o f Trust Company Division of American Lankers Association o n
“Relations with Federal Reserve System! -
- - -«-« « + «+
Committees
Committee o n Standardization o f Supplics -
Committee t o Study Cost of Securing Credit Information Insurance Committee
Leased Wire Committee
Open Market Investment Committee -
«
Pension Committee
Standing Committee o n Collections - - + - + - + - - + - Sub-committee o f General Committee o n bankers Acceptances
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
52
54
53
58
3,26
55
n3, 38-49
nO, 12
Paragraph i n
Secretary's
Minutes
Comparison o f operations o f representative member banks - Discussion
of circulars issued b y Banks o f Loston and New York «
Comptroller o f the Currency
Correspondence between examiners a n d office o f the Comptroller
Cost o f securing reports o f examination o f national banks «
- <
« = =< =
Counsel representative o f all Lanks t o take part i n pending case o f
Pousson v , Federal Reserve b a n k o f A t l a n t a + - < - - - + + - +
-«--+s+
Counterfeit currency = Communication from Austrian Association o f
banks and Zankers relative t o - - « « «+
Credit Information = Report o f Committee t o Study Cost o f Securing
Credit Policy = Report o f Open Market Investment Committee -
- - «
Currency
Communication from Austrian Association o f Lanks and Lankers
relative t o counterfeit currency - © =
= e© = ee
w o
Desirebility of Lanks giving consideration t o currency i n transit
in computing reserve requirements a n d penalties f o r deficiencies
an Pesemvas o f Henber banks < 5 .
e w af w
s e a
e
s ew
Means o f increasing circulation o f standard silver dollars -
«
Production a n d distribution o f United States currency ~ = = « «
Registered M a i l insurance o n Federal Reserve notes =
«=
«= «
What steps should b e taken t o bring about gradual retirement o f
national bank currency and final retirement o f legal tenders
D a w e s
P l a n
e
e
e
e
e
e
S
e
S e
S
e
6
e e
w e
O
e
e
e
S
S
e
e
6
S e e
n
e
Debenture bonds issued b y Federal Land and Intermediate Credit banks
R e d e m p t i o n
o
f
p
a
e
e
e e
e e
e
s
Deficiencies i n reserves o f member banks «» Desirability o f Federal
Reserve Danks giving consideration t o currency i n transit i n «’
computing reserve requirements a n d penalties
« = 4
« © w«\- sw - « =
Depreciation o f bank Premises - Policy o f Federal Reserve banks with
reference t o making charzes against surplus when current earnings
OSG aneUlLGTONE 4 Grovide for w s « = © mies a n a
w l we ee
Desirability o f uniform practice i n determining “eligibility" a s dis-
tinguished from “desirability" ---.-..-.-...
Discount Rates ~ Relation t o Open Market Investment Operations =
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
«+ «
Paragraph i n
Secretary's
Minutes
Dividends ~ Policy o f F, R, Banke i n making charges against surplus
when current earnings are insufficient t o provide f o r - ~ - - - - - +
Earnings ~ Advisability o f F. R, Banks investing amount equal t o
capital a n d surplus i n government bonds f o r ~
«+ = ~ =
—- e e
w= =
Economy a n d Efficiency
Adoption b y each F, R. Bank o f budget f o r control o f expenditures
Operating expenses o f F, R, Banks ~ Formulation and adoption o f
plans for program for economy and efficiency ~ ~ - - - e w + }
Report o f Committee o n Standardization o f Supplies -
+--+... +--+
Report o f Committee t o Study Cost o f Securing Credit InformationReport.-of Insurance Committers « n i n s u e o n 6 e e e 6 wie
Educational and Welfare work -~ Can expenditures b e legally made out o f
F, R, Bank's funds, Advisability of defraying expense ~
+ ~
= +
"Eligibility" a s distinguished f r o m “desirability” - Desirability o f
uniform practice i n determining - «© = — = w e e e w w w w
www ne
Bxamination of National Banke
Coet of securing reports- ~--+---+«- + «
Nevisionh O i WepheGs « 6 6 e a e
ei a
e e
e e
e e
e e ee
e e
Examination o f State Banks ~ Procedure i n various districts a s t o
action taken w h e n State member banks have n o t maintained standard
in value o f assets which would entitle them t o admission t o System.
Execution o f orders for Treasury Department ~ Procedure followed i n Expenditures f o r welfare and educational work ~ Can expenditure b e
legally made and advisability o f defraying out o f Bank's funds- - ~
Federal Land and Intermediate Credit Banks ~ Redemption o f debenture
bonds issued b y —
w e m e we we me we ne we te we ee e e e w e ee e e
Federal Reserve Notes ~ Registered mail insurance o n ~ ~ = + = = = =
Federal Reserve Board - H, R, 9768 + Congressman Thomas, Oklahoma »
This bill would provide f o r additional appointive member and increase
salary of all Board members to $25,000 per annum ~ - ~ = =e e e = =
Fiscal Agency Operations
Canceled United States bonds, notes and Treasury certificates o f
Indebtedness lost i n mails while e n route t o Washington - ~- - + ~
Procedure n o w being followed i n execution o f orders f o r Treasury~ +
Redemption o f debenture bonds issued b y Federal Land and Intermediate Credit Banks «
— —- = + +
ww =
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Paragraph i n
Secretary's
Minutes
Fogeign- acemmite « Haparé.of a acs. e
e
a
e Se
12
Foreign Bills ~ Has time come for F, R. Banke to consider investing
ES
O V e e
e
e
a
ee e
a
a
e
o
e
e
e
Free voluntary services ~ In view of small earnings can F, R, Banks
continue, o r should cost b e charged t o member banks -
~ - + = = =
Furniture a n d Equipment = Policy o f F. R. Banks w i t h reference t o
making charges against surplus w h e n current earnings a r e insuffic i e n t
t
o
p r o v i d e
Gold PEOVINGYB
G
B
a
a
a
ek oes ne e e
a
s
e e
a
e
ae
s
k
e
n e a
e
=
w e e
a
o
a
w e e n
e e
e
e
e
o
Government bonds, Investment i n for earning purposes - ~ - ~ = - =
Hawaii a n d Porto R i c o -
e
=
Collection o f checks d r a w o n banks located i n
Holdings of real estate b y Federal Reserve Banks - Holidays - Their observance b y Federal Reserve Banke
H,R, 9768 ~ Congressman Thomas, Oklahoma ~ ~ - = =
Insurance
Registered Mail insurance o n Federal Reserve notes
Report o f Insurance Committee ~- = -
Inter-District Collection System Booklet - = =~ = =
Investing f u n d s i n foreign bills consider
C
e a
Has time come f o r
Investment b y F, R. Banks i n government bonds f o r earning purposes
Leased Wire Committee ~ Report of o o o nmeweweoemeweme ee
Leased wires between parent b a n k a n d branch b a n k =
« = = s o ee wm
Leased Wires ~ Use of to advise payment o f Bill of Lading drafts Legal tenders and national bank currency - What steps should be taken
to bring about retirement o f - o m oe oe we ce me te we we te me we me me me mee me
Mail Service ~
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Aeroplane -
o o m e me we mp ce oo we my we pe te ge we me mt we oe oe we me
Paragraph i n
Secretary's
Minutes
Member b a n k expense «
Discussion o f circulars issued b y F. R. Banks
of Boston and New York relative t o comparison o f operations o f
= =
o f =
representative mamber banks = = a 6 we oe oe oe me we oe we we
Member bank refuses t o comply with Regulations 9
o F M e
= ee = w w we we m m
Membership o f trust companies ~ Committee o f Trust Company Division
of American Bankers Association a wo oo we oe oe oe we me oe 0s oe me oe me me ee me
National Bank Act ~ Amendments necessary t o meet banking requirements
and develop national banking system along sound Linas + o a wm ov om 0
National Bank Currency and Legal tenders ~ What eteps should be taken
to bring about retirement ~ — o a
e e oe ee we we we ne we me me oe we we me oe oom
National Banks
Cost o f securing reports o f examination -
+
Revision of reports o f examination +
« o a a o a ow a om om
w o
w e mm
m e
Non-cash collections
Limitation o f kind o r dollar amount o f non-cash items handled
Bio B a n k o : csuiercas ao 00 os Gbget ent ObSan whicenrinbie aprne, OF Ss Selon we on 90
Study of possible charge for service -
- w a 2 ow w w we mm
Uniform liability paragraph i n non-cash collection circular ~
Observance o f holidays b y Federal Reserve Banks + = «+ + = - =
Open Market Investment Committee ~ Report o f - + o
o m ne me mw m
Open Market Operations
Discount Rates ~ Relation t o Open Market investment operations ~
Raport of Open Market Investment Committee -
= s e ee
+
e e
Operating Expenses of F, R. Banks + Formulation and adoption of plans
for constructive program for economy and efficiency - -~- ~~" = < = |
Operation of Branches + Advisability of recommending operation under
regulations approved b y Board a s provided b y law +
~~ ~ ~ ~
wm =
Organization o f Bank Clerks - American Federation o f Labor
Par Collection Litigation - eco o e
Par List « Withdrawals from ~ = - =~ =
o e oe w e me me m e
r
e
m e me me
t e
Payment of collection item - Authority of a F, R, Bank to accept in
payment o f a collection i t e m a bank draft g i v e n i n exchange f o r
draft
o f Arawee
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
v o
m e we ce me oe ae te we me we we me we me my we oe ne me te ne we we oe
Paragraph i n
Secretary's
Minutes
Pewalties f o r deficiencies i n reserves o f member banks - Desirability
of F, R, Banke giving consideration to currency in transit i n
computing reserve requirements
w
o
e o e we we oe te me me oe te we we me me
20, 22
Report o f e w o n a e oe we me oe we te ae me oe we oe te me me oe oe oe
55
Porto Rico and Hawaii -~ Collection of checks drawn on banks in ~ - ~ «
17
Pension Committee =
Postage on cash letters sent direct by member banks ~ Absorption of~ ~ 16
Pousson v. Federal Reserve Bank of Atlanta ~ Advisability of employing
counsel representing all banks to take part i n pending case ~ - ~ =
Procedure n e w being followed i n execution o f orders f o r Treasury ~ - ~
Production and distribution o f United States currency
« ~ ~ —~=- ©
Protested cash iteme - Study by all F. R. Banks of + ~~ e e 4
Real Eetate holdings o f Federal Reserve Bankse+ ~ + - =~ e e
e e
Revoncilement o f provision o f Telegraphic Transfer circulars -
~ ~
Redemption of debenture bonds issued b y Federal Land a n Intermediate
|
a
Credit
B a n k s
i
|
i
, |i i
e
l -
o
P
Refusal b y member bank t o comply with regulations
Registered mail insurance o n Federal Reserve notes
Registering commercial paper - « =
Regulation D + = - S e
e
Rebeletish 0 6 e e ee w e
t a
=~
w e mm
o e s & ee
R e
19, 39, 50
e r Oe e e
- Committee of Trust Company
"Relations with Federal Reserve System"
«= " ~ ~ " “ w m w T
Association
Division o f American Bankers
againet
Replacement c o s t s ~Policy of F, R. Banks i n making charges
fs
chargewof
surplus when current earnings insufficient t o provide
t
o approximate
for purpose o f reducing book value o f bank buildings
Report o f Foreign Accounts =
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
w m
t e ce e
m
m
m
m
e me
las
| Paragraph:
in
Secretary's
N i n u t 2
a s
<2 7
Reports o f Committees
Committee o n Standardization o f Supplies « ~ ~ = = =~ = H e e e
Committee t o Study Cost o f Securing Credit Information - + =
52
~|5 4
53
58
Ineurance C o m m i t t e e vo. se so bs beioe me os be te be Be we Oe he me we te oe we oe
Leased W i r e C o m m i t t e g e or oo on or os oo os on we os or oe fe mv ws tr oe ne we
Open Market Investment Committea -- — w oe a oe oe te me we we ne te we oe
e a m e ng Pree he ae
Pon dion C o w i h t66 aot ee e haes e e s
Standing Committee o n Collectionse: < 1 o x a e ee e m e e m e
Sub-committee o f General Committee o n Bankers Acceptances~ = -
3,
55
at$8:
10,
Reports o f Examination
62,
83
Cost o f SeCUPEMe o o o we oe me me oe oe we te oe me e e
Revision of reportser o w oe we oe ow me me me we oeme m e meme et te e e |
|
Reserves
Regulation D - Proposal to amend wo ow ee oe ee me oe te me em me
Reserve requirements a n d penalties f o r deficiencies of considering currency i n transit i n computing ~ ~
Reserves t o cover annual depreciation o f bank premises
F, R, Banke with reference t o making charges against
-
|
Desirability)
- = ~ = 6 =|
~ Policy of!
surplus - +
Time Deposits - Mantar in which banks in Twelfth Federal Reserve |
District compute reserves O N = + ow
w e me ee me mm
m m
Retirement o f national bank currency and legal tenders -~ + - = ~ ~ ~
Service c h a r g e
o n u n p a i d B S ast:
e e
R
o
a
d
Services for Members
In view of emall earnings, can F, R, Banks continue free volun~
tary services o r should actual cost b e charged t o members- eShould F. R. Banks effect telegraphic transfers over commercial
wires f o r member banks which charge customers amount i n excess
(OF a c t u a l C o s t
v m o e ne we we oe oe oe oe we oe an we ge te te me we ae or ae mee
Silver Dollars ~- Means o f inereasing circulation o f standard ~
- +
Standardization of Supplies ~ Report o f Committea o n = + = o = + =
Standing Committee o n Collections, Report O L me oe oe me me we ne me we oe oe
State Banks » Procedure i n various districts a s t o action taken b y
examining department w h e n State mambere h a v e n o t maintained a s
hieh standard a z would entitle them t o admission t o System » ~ =
Stenopraphic Record o f Joint Conference~ + ~ ~ ~ ~
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Paragraph i n
Secretary's
Minutes
Telegraphic Transfer circulars - Reconcilement o f provisions w i t h
recommendations embodied i n Board's letter X-4099
60, 65
Telegraphic Transfers over commercial wires for member banks which
charge customers a n amount i n excess o f actual c o s t
Time Deposits a n d manner i n which reserves thereon a r e computed
by
banks i n Twelfth Federal Reserve District
Treasury Department orders ~ Procedure followed i n execution o f - - -
Trust Company Division of American Bankers Association + Membership
of trust companies
Voluntary Services
Can F. R , Banks continue f r e e services i n view o f small earnings
or should actual cost o f making non-cash collections b e charged
to member banks
Welfare and Educational work among F. R. Bank employees - Can
expenditures b e legally made f r o m bank's funds, a n d advisability
of defraying expenses
Withdrawals f r o m Par List
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
33
PROGRAM
GOV
B R N O R 5)
C O N F E R E N C E
NOVEMBER,
0
1 1 9 2.4
Washington,
D , C.
CREDIT TRANSACTIONS A N D POLICIES
A. Report o f Open Market Investment Committee
Governor Strong, Chairman,
B, Discount Rates - Relation t o Open
Market Investment Operations. ( D i s c u s s i o n )
N e w York
Dawes P l a n - General discussion o f the
possibility o f this plan being a first
step toward resumption o f gold payments
by some European nations; w h a t bearing
it would have upon the policy o f the
Reserve System; a n d what our attitude
should be.
(
D
i
s
c
u
s
s
i
o
n
)
N e w York
i
o
n
) J o i n t Pro./]
The advisability o f a Federal Reserve Bank
investing a n amount equal t o capital and
surplus, i n government bonds for earning
purposes,
(
D
i
s
c
u
s
s
Desirability o f Uniform Practice i n determining "eligibility" a s distinguished
from "desirability."
( D i s c u s s i o n ) Boston
Time deposits a n d the manner i n which reserves thereon are computed b y banks i n
the Twelfth Federal Reserve district. ( D i s c u s s i o n ) J o i n t Pro.AZ
Proposal t o amend Section 3, Paragraph B,
of the Board's Regulation D, s o as to permit member banks, i n determining the amount
of deposits against which reserves must b e
carried,
t o deduct ( 1 ) f r o m gross demand
deposits, a l l Government deposits a s now
defined i n Regulation D , and items with a
Federal Reserve Bank i n process o f collec-
tion, and (2) from the amount of balances
due t o other banks, t h e amount o f balances
due from other banks (except Federal Reserve Banks a n d foreign banks), including
in the amount due from banks, out-of-town
items placed i n the mail and charged t o the
account o f correspondent banks, checks
drawn o n banks located i n the same c i t y a n d
exchanges for clearing houses,
( D i s c u s s i o n ) J o i n t Pro.j6
H, H a s the time come for Federal Reserve Banks
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
to consider investing some o f their funds
in foreign bills? (Resolution adopted by
Federal Advisory Council, copy attached) (Discussion) J o i n t Pro,j/7
ow2 a
I, Report o f sub-committee o f General Committee
on Bankers Acceptances,
Mr, Kenzel, Chairman,
N
J. Report o f Foreign Accounts,
w York
e
II, C O L L E C T I O N S AND CLEARINGS
A, Report of Standing Committee o n Collections
Mr, Strater, Chairman,
B, E x t e n s i o n o f check collection facilities.
Desiratility and necessity f o r further ;
development o f the check collection system, ( D i e c u s s i o n )
( D i s c u s s i o n ) N e w York
C,.Par Collection Litigation
Poe
S g n Fran,
a s k s o f postage o n cash letters
sent direct b y member banks.
Recommended:
That none o f the Federal Reserve
Banks should absorb the cost o f
postage o n any cash letters sent
direct b y members to other Federals, (Action)
N e w York
:
BE. Collection o f checks dravm o n banks :
located i n Porto Rico and Hawaii, ( D i s c u s s i o n ) Phile.
F, Aeroplane Mail Service,
Recommended:
That the Standing Committee o n
Collections b e requested t o study
the aeroplane m a i l service w i t h t h e
view of determining whether i t i s
feasible to adjust the time schedules
so as to give member banks the benefit
of earlier presentation o f items which
'are dispatched b y aeroplane,
4 e t i o n )
G,Member bank's warranty that it has authority
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
of customer t o accept those provisions o f
Regulation J regarding reeponsibility for
items,
(
A
c
t
i
o
n
Recommended:
That the Standing Comittee o n C o l
lections b e instructed t o prepare a
uniform circular containing a form o f
contract between banks and their depositors, requesting member and clear~
ing-member banks t o amend their con-
tracts (contained o n deposit slips and
signature cards) i n accordance with the
form proposed i n the circular; a n d
Recommended further:
That the Federal Reserve Banks amend their
check collection circular o n March 1, 1925,
to provide that the act o f submitting
checks t o Federal Reserve B a n k s f o r col-
lection will b e construed a s a warranty
that the depositor has lodged with the depositing bank the required agreements,
)
S a n Frans
III. C O I N , CURRENCY A N D CTR C U L T
ALON
A. T h e desirability o f 211 Federal Neserve .
Banks giving full consideration t o
currency i n transit i n computing the
reserve requirements and penalties for
deficiencies i n reserves o f member banks.
(Soard's letters X-3953 and 4075.)
Means o f increasing the circulation o f
standard silver dollars.
(Seé letter of Oct. 2, 1924, Mr, James
to each Governor)
Production a n d distribution o f U. S .
( Discussion)
> a
N
e
Joint Pro. H o
{ Discussion.
with Ass't
Secy. o f
Troas )
Joint Pro.
Ha
{ Discussion
with Ass't
currency -
Secy. o f
Treas.)
Joint Fro. # 1 3
( Discussion |
Gold Payments
with Ass't
Secy.
of
Treas )
.
New York
Registered mail insurance o n Federal Reserve Notes,
Consideration b y Governors o f whether it
would b e advisable t o ask the Treasury
to let Federal Reserve Banks place
their o w insurance.
{ Diseusson)
’ OPERATION
A. Economy and Efficiency
1. Operating expenses o f the Federal
Reserve Banks - formulation a n d
adoption o f definite plans for 4
constructive program for greater
economy 2nd efficiency. (Board's
letter S t . 4170.)
{ Discussion)
Joint Pro. #8
( Discussion)
Joint Pro. H o
( Discussion)
New York
Adoption b y each Federal Reserve "ank
of
abudget for control o f expendi-
tures. (Roard's letter St. 4235.)
Report of Committee o n Standardization
of Sunplies
Mr. Worthington, Chairman
Report o f Insurance Committee
Mr. Kenzel, Chairman
Report o f Committee t o Study the Cost
of Securing Credit Information
Mr. Childs, Chairman
B. Pensions
1. Report o f Pension Committee,
Mr. Kenzel, Chairman
2~- American Federation o f Labor
Organization o f Bank Clerks
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
4=
C. Telegraphic Transfers
1. R e p o r t o f Leased Wire Committee
Governor McDougal, Chairman
2. S h o u l d Federal Reserve Banks effect
telegraphic transfers over commercial
wires for member banks which charge
their customers a n d impose for this
S a n Francisco
service a n amount i n excess o f the ( D i s c u s s i o n )
J
actual cost of telegrams?
o
i
n
t Pro. #3
3. Reconcilement o f provisions o f Telegraphic Transfer circulars o f F. R.
Banks with recommendations embodied
inBoard's letter X-4099 ( A c t i o n )
S t . Louis
San Francisco
Recommended:
That the Leased Wire Committee b e
instructed t o review the telegraphic transfer circulars o f
the Federal Reserve Banks, a n d
to require reconcilement o f the
provisions therein with the
committee's recommendation enbodied i n the Federal Reserve
Board's letter X-4099.
Cost o f securing reports o f examination o f
national banks.
(
A
c
t
i
o
n
)
N e w York
Recommended:
That t h e principle ultimately t o
apply shall be that the Reserve Banks
pay n o more t h a n t h e expense o f pre-
paration o f the reports: a n d
Recommended further:
That the conference adopt a resolution
specifying the time for which the
rate of $10 a report shall be continued, a n d fixing the rates which
should b e paid permanently for reports thereafter.
Branch Directors
Effects o f increasing the number o f
directors o f branches i n conformity w i t h
the Board's letter X-3956; and advisability o f recommending t o Board that
branches b e operated under rules a n d
regulations approved b y the Board a s
provided by law, rather than by by-laws. (Discussion) S a n Francisco
Observance o f holidays b y F, R. Banks
(See Board's letters X+4122, 28 and 54) (Discussion) Joint Pro. #4
Can expenditures b e legally made o f Federal
Reserve Bank funds for the purpose o f
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
welfare a n d educational w o r k among
Federal Reserve Bank employees. T h e
advisability o f reserve banks defraying,
wholly o r partially, t h e expense o f such
welfare and educational work.
( D i s c u s s i o n ) J o i n t Pro. #5
H, What should be the policy of Federal Reserve
Banks w i t h reference t o making charges
against surplus f o r the items enumerated
below when current earninga a r e insufficient
to provide therefor: (
1, D i v i d e n d s ,
Discussion)
J o i n t F r o #10
2. Reserves t o cover annual depreciation
; o f bank premises,
3. C h a r g e - o f f s f o r purpose o f reducing
book vaiue o f bank tmildings t o
approximate replacement costs.
4, Furniture and equipment,
I, Holdings o f real estate b y Federal Reserve
Banks. ;
( D i e c u s s i o n ) K a n s a s City
Has there ever been a ruling made b y the
Federal Reserve Board authorizing the
reserve banks t o hold real estate? T h i s
especially applies where real estate has
been taken i n due course o f business,
The National Bank Act provides for such
Casese
FISCAL AGENCY AND DEPOSITORY OPERATIONS
A, Procedure n o w being followed i n the execution
of orders f o r the Treasury Department. ( D i g c u s s i o n )
B, Redemption of debenture bonds issued b y
Federal Land and Intermediate Credit Banke. (Action)
N e w York
S t . Louis
Recommended:
That i n the interest o f economy and
uniformity, the same policy b e
pursued i n connection with the re-~
demption o f the debenture bonds
issued b y the Federal Land and
Intermediate Credit Banke a s is now
followed i n connection with the pay~
ment o f Federal F a r m Loan coupons,
C. Canceled United States bonds, notes and
Treasury certificates o f indebtedness lost
in the mails while e n route t o Washington. (
Experience o f Hederal Reserve Bank o f San
Francisco, which was requested b y Treasurer
Discussion)
S a n Francisco
to make restitution f o r lost bonds because
serial numbers o f bonds stolen while i n
transit could not b e correctly given,
VI, MEMBERSHIP A N D RELATIONS WITH MEMBER BANKS
A, Voluntary Services - In view of small carne
ings, c a n Federal Reserve Banke continue
the free voluntary services, o r should the
‘
K
actual cost o f some o r all o f these
{
banks?’
member
the
t
o
charged
services b e
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
a
n
s
a
s City
Discussion) C h i c a g o
B, W h a t can b e done when a member bank
refuses t o comply with the Regulations? (Discussion) K a n s a s City
C, Examination o f State banks Procedure i n various districts a s t o
action t a k e n b y examining departments
regarding State member banks which have
not maintained, after membership, a s high
a standard i n the value o f assets a s would
entitle t h e m t o pass a n examination f o r
admission to system,
( D i s c u s s i o n ) S a n Francisco
D,Committee o f Trust Company Division A. B. A.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
on “Relations with the Federal Reserve
System," for the purpose o f crystallizing
the present membership o f trust companies
and inducing wherever possible eligible
nonmember trust companies t o join the
system.
(
D
i
s
c
u
s
s
i
o
n
)
N e w York.
RESOLUTIONS ADOPTED B Y THE FEDERAL ADVISORY COUNCIL
SEPTEMBER 25, 1924.
WHEREAS, a further easing o f money rates a t this time might
render i t extremely difficult t o w a r d o f f a period o f acute i n -
flation with its subsequent evil consequences with which the
country i c only t o o w e l l familiar, a n d
WHEREAS, f o r c e d investments o f Federal reserve banks i n our
market and continued substantial importations o f gold into the
United States are factors that might tend t o enhance the P e n s
of money already existing,
RESOLVED, that this Council recommend t o the Federal Reserve
Board t o consider the question whether the time has come f o r
Federal reserve banks t o exercise t h e i r power t o invest s o m e c f
their funds i n foreign bilis with approved American ban‘ing in-dorsenents a n d payable b y a n d repayable t o Federal reserve banks
in dollars.
The Council believes t h a t observing these safeguards a n d
by properly scattering i t s purchases t h e Federal Reserve S y s t e m
can safely invest substantial anounts abroad, without a n y risk
of loss o n account o f e x c h a n g er
o otherwise, a n d i n doing s o
ward o f f t o that extent t h e inflow o f gold, incidentally assist-
ing the foreign countries involved i n their efforts t o stabilize
their exchanges and to bring them back to definite gold relations.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Po
O S Gah A a
CONFERENCE OF GOVERNORS AND FEDERAL RESERVE AGENTS
WITH
FEDERAL RESERVE BOARD
November 1 9 2 4
Washington,
D . CG.
1. T h e advisability o f a Federal reserve b a n k investing a n amount
equal to capital and surplus i n Government bonds for earning purposes.
2. T h e desirability o f all Federal reserve banks giving full consideration t o currency i n transit i n computing the reserve requirements
and penalties f o r deficiencies
i n reserves o f member banks. ( B o a r d ' s
letters X-3953 and X - 4 0 7 5 )
.
3. Should Federal reserve banks effect telegraphic transfers over
commercial wires f o r member banks which charge t h e i r customers f o r this
service a n amount i n excess o f the actual cost o f telegrams.
4. Observance o f holidays b y Federal reserve banks. (Board's let~ters X-4122, X-4128 and X-4154.)
5. C a n expenditures b e legally made o f Federal reserve bank funds
for the purpose o f welfare and educational work awong Federal reserve
bank employees. T h e advisability o f reserve banks defraying, wholly
orpartially, the expense of such welfare and educational work.
6. Proposal to amend Section 3, Paregraph B, of the Board's Regulation D, s o as to permit member banks, i n determining the amount o f deposits
against which reserves must b e carried, t o deduct (1) from gross demand deposits, all Government deposits a s now dofined i n Regulation D, and items
with a Federal reserve bank in process of collection, and (2) from the
amount o f balances due t o other banke, the amount o f balances due from
other banks (except Federal reserve banks and foreign banks), including
in the amount due from banks, out o f t o w items placed i n the mail and
charged t o the account o f correspondent banks, checks d r a m o n banks
located i n the same city and exchanges f o r clearing houses.
7. H a s the time come for Federal reserve b a n k s t
o consider investing some o f their funds i n foreign bille. ( R e s o l u t i o n adopted b y the
Federal Advisory Council, September 25, 1924, copy enclosed)
8. Operating expenses o f the Federal reserve banke - formulation
and adoption o f definite plans for a constructive program for greater
economy and efficiency. (Board's letter St. 4170.)
9. A d o p t i o n b y each Federal reserve b a n k o f a
budget f o r control
of expenditures. (Board's letter St. 4235.)
10. ‘that should b e the policy o f the Federal reserve banks with
reference t o making charges against surplus f o r the items enumerated
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
wate cpa
below, w h e n current earnings a r e insufficient t o provide therefor:
(a} Dividends,
(b) R e s e r v e
t o cover annual depreciation
o f b a n k premises,
(c) Charge-offs f o r the purpose o f reducing b o o k value o f
bank buildings t o aporoximate replacement cost,
(d) Furniture and equipment,
11, Annual Reports of Federal Reserve Agents to Feder .. iese-ve
Board, D i s c u s s i o n o f the advisability o f discontinuing t h e s e reporvs
and presenting t h e banks’ operations a n d financial developments d u r i n g
the year i n the form o f a brief resume i n the January o r February
number o f the banks’ monthly reviews,
12, T i m e deposits a n d t h e manner i n which reserves thereon a r e
computed b y banks i n the Twelfth Federal Reserve District,
13, P r o d u c t i o n a n d distribution o f U. S . Currency.
Discussion with Mr. Dewey, Assistant Secretary of the Treasury.
14, M e a n s o f increasing the circulation o f standard silver dollars,
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Discussion w i t h Mr, Dewey, Assistant Secretary o f the Treasury.
Date P i
e e e
P A L
P
R
GOVERNORS' C O N FERENCE
November, 1 9 2 4
Washington.
This program i s composed o f topics submitted b y the Federal Reserve
Board o r Federal Reserve Banks too late t o be included i n the regular
program previously circulated.
1. W h a t amendments t o the National Bank Act are necessary i n order that national banks may be better able
to meet banking requirements a n d that the deve lopment o f the national banking system may more closely
follow the trend o f banking development i n the
country a t large s o far as experience shows that
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
this development is along sound and strong lines?
What steps should b e taken t o bring about the
gradual retirement o f the national b a n k currency
and the final retirement of the legal tenders? -
F
, R. Board
Reports o f Examinations o f National Banks
Recommended
That the Office o f the Comptroller o f the
Currency revise reports o f examinations o f National
banks s o that these reports will contain a separate
schedule showing notes rediscounted with the Federal
Reserve Banks and pledged as collateral, classifying
same slow, doubtful, undesirable and less, with such
other information a s would b e o f value t o the Federal
Reserve Banks.
Atlanta
Correspondence between Examiners a n d Comptroller's
Office.
Recommended
That the examiners furnish the Federal Reserve
Banke with copies o f letters t o the Comptroller's
Office b y directors o f banks under criticism a n d the
replies t o such letters b y the Comptroller's Office. A t l a n t a
Whether o r not a Federal Reserve Bank may properly
receive maturing collection items w i t h instructions
i n some
to deposit the proceeds of the collection
commercial bank for the account o f a member bank.
ie
Communication f r o m t h e Austrian Association o f
Banks a n d Bankers relative t o coumterfeit c u r -
rency.
N
e
w York
Member Rank Expense
Discussion o f circulars issued b y the Federal Reserve Banks o f Boston a n d N e w York relative
to t h e comparison o f t h e operations o f representative
N
e
member banks.
w York
Whether o r not i t might b é advisable t o suggest
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
to the Federal Reserve Bank o f Atlanta the
question o f employing a counsel representative
of all Federal Reserve Banks t o take part i n the
pending case o f Pousson v. Federal Reserve Bank
of Atlanta.
F.R-Board
H. R . 9768 - Congressman Thomas, Oklahoma.
This bill would remove t h e Secretary o f the
Treasury a n d Comptroller o f the Currency f r o m
membership o n the Federal R e s e r v e Board a s
ex-officio members, provide for a n additional
appointive member t o represent labor, a n d increase t h e salary o f all Board members t o
*25,000 per annum, etc.
F
.
R
.
B
o
a
r
d
G O V E R N O R S
November 1 0 - 14, 1924
Washington,
D . CG.
First Day's Session, Monday, November 1 0
Joint Conference w i t h Federal Reserve B o a r d
and Federal Reserve Agents
Mornin
The meeting w a s called t o order a t 10:30 o'clock a . m
Present:
Members o f the Federal Reserve Board,
Messrs. Curtiss, Jay, Austin, Wills, McCord,
Heath, Martin, Mitchell, McClure, Talley
and Perrin, Federal Reserve Agents.
Governors Harding, Strong, Norris, Fancher,
Seay, Wellborn, McDougal, Biggs, Young,
Bailey, McKinney and Calkins.
Governor Crissinger addressed the joint conference and suggested
that the individual conferencesof Federal Reserve Agents and Governors
should meet before any further diseussion i n joint conference with the Federal Reserve Board.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
At 11:00 o'clock a. m. the joint conference adjourned.
Separate Governors Session
The meeting was called t o order a t 11:00 o‘clock a. m.
Present:
Governors Harding, Strong, Norris, Fancher,
Seay, Wellborn, McDougal, Biggs, Young,
Bailey, McKinney and Calkins.
Mr. Harrison, Secretary.
Upon motion of Governor Fancher, it was
VOTED t h a t Governor Strong act a s Chairman o f the Conference.
(Gee page 2 stenographic record).
Tasit--.< h- R e p o r t o f Open Market Investment Committee
and
(
S
e
e also paragraph 26)
Topic 1. B. D i s c o u n t Rates - Relation t o Open Market
investment Operations.
(See also paragraphs 2 9 and 85)
These two topics were postponed pending a formal meeting o f the
Open Market Investment Committee.
(See pages 2 and 3 stenographic record)
Topic I . ©. D a w e s P l a n ~ - General discussion.
This topic w a s withdrawn f r o m the program because s o closely r e -
lated to the discussion that would necessarily arise i n disposing o f
Topics I. A. & B.
Topic I . D . T h e advisability o f a Federal Reserve B a n k
Joint Pro.#1 i n v e s t i n g n
a amount equal t o capital a n d
surplus i n government bonds f o r earning
purposes.
(See also paragraph 30)
Discussion o f this topic was postponed until action o n
Topic I . A.
(See page 3 stenographic record)
Topic I. BE. Desirability o f Uniform Practice i n deter-
mining “eligibility” as distinguished from
"Gepgirabi lity.”
After a general discussion b y the conference, upon motion o f
Governor McDougal, i t was
VOTED t h a t i n any case where any question arises a s to the
eligibility o f paper originating i n another district, a Federal reserve
bank should take care t o consult with the Federal reserve bank o f the
district i n which t h e paper originated, a n d that i n n o event should paper
be declared to b e “ineligible” merely o n the basis o f the statement o f
the borrowing company i f a s a matter o f fact i t i s known that t h e proceeds
were used for a n eligible purpose.
I t was the consensus o f opinion that
in cases where the proceeds o f paper are k n o w t o b e used for a n eligible
purpose, but where the statement o f the borrowing company for any reason
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
(4)
is unsatisfactory, t h a paper should b e declared t o be “undesirable"
rather than “ineligible.”
I t wae felt generally that Federal reserve
banks should b e a s liberal a s possible i n determining t h e question o f
“eligibility” a e distinguished from "desirability."
(See pages 3 - 22 stenographic record)
Topic I. F,
T i m e deposits and the manner i n which re-
Joint Pro. #12 s e r v e s thereon are computed b y banks i n
the Twelfth Federal Reserve district,
Thie topic was discussed b y Governor Calkins, w h o pointed out
that there are two questions involved i n this matter ~ the question o f the
legality of the present regulation of the Federal Reserve Board, and the
question o f the expediency of that regulation s o fav as i t defines savings
deposits,
A f t e r considerable discussion o f the several points raised,
upon motion o f Governor Calkins, i t was
VOTED
t o recommend t o t h e Faderal Reserve B o a r d that i t s regue
lations relating t o this matter b e amended b y the addition o f some proviso
to the effect that wherever the State law requires the segregation o f savings funds and permits the investment o f those funds i n only specified
securities, then the pass book need not b e presented a t the time o f the
withdrawal,
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Governor Seay voted i n the negative,
(Ses pages 22 ~ 44; 426 and 427 etenopraphic record)
Topic I. G. P r o p o s a l t o amend Section 3, Paragraph B ,
Joint Pro, #6
o f the Board's Regulation D, so as to permit member banks, i n determining the amount
of deposits against w h i c h reserves must b e
carried, t o deduct (1) from gross demand
deposits, a l l Government deposits a s n o w
defined i n Regulation D , a n d items w i t h a
Federal Reserve B a n k i n process o f collec-
tion, a n d (2) from the amount o f balances
due t o other banks, t h e amount o f balances
due from other banks (except Federal Recerve Banks and foreign banks), including
in the amount d u e f r o m banks, out-of-town
items placed i n the mail a n d charged t o
the account o f correspondent banks, checks
drawn o n banks located i n the same c i t y a n d
exchanges for clearing houses,
‘Whe secretary read to the conference a report o f the Federal
Reserve Agents Committee o n Reserves (printed o n pages 4 4 a n d 4 5 o f
stenographic record).
T h i s w a s followed b y a general discussion o f the
inadvisability o f trying t o amend the reserve provision o f the law i n a
piece-meal fashion o r without a
thorough g o i n g countrywide s t u d y o f the
question. W p o n motion o f Governor McDougal, i t was therefore
VOTED t h a t t h e Conference o f Governors should endorse t h e proe
posals i n the report o f the Federal Reserve Agents Committee, a n d express
its approval o f having t h e Federal Reserve Agents Committee consult w i t h
bankers o f the country, a n d employ s u c h experts o r assistants a s they m a y
see fit fully t o carry into effect the recommendations o f their report,
the expense o f this employment t o be pro rated among all o f the Federal
reserve banks.
(see pages 4 4 - 52 stenographic record)
Yopic TI. H.
Joint Pro,#7.
H a s t h e time come f o r Federal Reserve Banks
t o consider investing some of their funds
in foreion bills? {Resolution adopted by
‘Federal Advisory Council).
(See also paragraphs 26 and 28)
The practice o f different Federal reserve banks relative t o tho
investment o f their fimds i n foreign bills and the general principles involved i n such purchases were discussed, b u t action was postponed pending
@ report b y the Open Market Investment Committee,
{see pages 52 ~ 69 stenographic record)
At 1:25 o'clock p. m. the conference adjourned t o reconvene a t
2:30 otcloek p. m.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
First Day's Session, Monday, . Nevember 1o, 1924
Separate Governors Session
Afternoon
‘the meetine was called t o order a t 2:30 o'clock p , m,
aeeie.t.
d s R e p o r t o f sub-committee o f General Committee
on Bankers Acceptances.
The chairman referred to a report that he had received from
(9)
een
Mr. Kenzel, chairman o f the sub-eomnittee o f the General Committee o n
Bonkers Acceptances, t o the effect that that committee has had no formal
meeting since t h e time o f its laect report t o t h e Governors Conference i n
May, but that they expect t > have euch a meeting and t o file definite recommendations with the Governors Conference after the next meetine o f the
american Acceptance Council, when the matters within the jurisdiction o f
the acceptance committee a r e t c b e discussed
i nsome d e t a i l .
Upon motion o f Governcr Harding,
VOTED
t o appoint Mr, Paddock a s a member o f the sub-committee
of the General Committee o n Bankers Acceptances t o serve i n place o f Mr.
Bullen, w h o d i e d a
short time after his resignation a s Deputy Governor
~ 76 estenographic record)
jueves gegenWee P e R e p o r t o f Foreign Accounts.
Governor Strong refarred briefly to the account of the Federal
Reserve B a n k o f N e w Y o r k w i t h t h e B a n k o f England,
suggesting that
i f there
wae no objection, that account should remain a s a non-~participating account,
at least until s u c h time a s the exchange situation should become more settled.
Governor Strong also referred t o the account o f the New York bank
with the Reichsbank, and stated that he would at some later date discuss the
matter o f this account w i t h t h e Open Market Investment Committee f o r suggestions
a c t o what micht
b e i t s recommendations w i t h reference
by the other Federal reserve banke.
t o participation
N o action w a s asked f o r a t this time.
report o f the Federal Reserve B a n k o f N e w York o f the other
accounts
forsign
=)
submitted
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
i n which other Federal reserve b a n k s participated w a s
t o t h e comference without action,
ee pages 7 0 - 74 stenographic record)
bee
Topic I T . A . R e p o r t
o f Standing Committee
o n Collections
(See also paragraphs 3 8 end 49)
Discussion o f this report was postponed pending the arrival o f
Mr. Strater, chairman o f the committee.
Topic II. B . E x t e n s i o n o f check collection facilities.
Desirability a n d necessity f o r further
development o f the check collection system.
There was a general discussion o f the check collection system
particularly w i t h reference t o t h e question o f the collection o f checks
drawn o n member banks i n a weak con@ition,
There w a s also further consideration o f the possibility a t some
later date o f having appointed a
committee t o study t h e whole question o f
the collection o f checks i n order t o ascertain whether, i n view of the ex«
perience w e n o w have had, i t would b e possible t o improve u p o n t h e present
system,
Upon the suggestion o f Governor Calkins, this topic was passed
without action, having been proposed merely for the purpose o f discussion.
(See pages 77 - 98 stenographic record)
Topic II. Cc, P a r Collection Litigation.
(See also paragraph 81)
(
1
5
Governor Wellborn outlined the status o f the pending case o f the
Pascagoula National B a n k v , t h e Federal Reserve Bank o f Atlanta, s t a t i n g
that the temporary injunction asked for b y the complainant h a d been denied
by the Federal Judge, a n d that the case was to b e tried o n its merits i n
December. T h e r e was also a discussion o f the so-called Teta case.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
No action was asked for.
(See pages 9 8 - 102 stenographic record)
Topic It. D. Absorption o f postage o n cash letters
sent direct b y member banks.
After discussion,
o n motion o f Governor Strong, i t was
VOTED t o refer this topic t o the Standing Committee o n
)
ae
Collections for investigation and recommendation. j
{See pazes 102 - 108 stenographic record)
Topic TI. BE. Collection o f checks dram o n banks lecated
( 1 7 )
in Porto Rico and Hawaii,
On request o f Governor Norris, this tepic was withdraw from the
program,
{See page 108 stenographic record)
jTopic II. F. Aeroplane Mail Service,
: Upon motion o f Governor Calkins,
(
1
8
)
i t was
Pg
EVOTED t o refer this topic to the standing Committees on Collections ,
for investigation and recommendation,
{See pages 109 and 110 stenographic record)
Topic II. G. M e m b e r bank's warranty that i t has authority ( 1 9 )
of customer t o accept those provisions o f
Regulation J regarding responsibility for items,
(See also paragraph 50.)
This topic was passed pending action o n the report o f the Standing
Committees o n Colleetions.
(See pages 110 and 111 stenographic record)
At 4:00 ofclock p. m, the conference adjourned t o reconvene again
at9:00 o'clock a. m. on Tuesday, November 11, 1924.
second Day's Session, Tuesday, November ll, 1924
Separate Governors Session
Worning
The meeting was called t e order a t 9:00 o'clock a. m,
Topic III. A. The desirability of all Federal Reserve
( 2 0 )
Joint Pro.#%. ‘Banks civing full consideration to currency
in transit i n computing the reserve require-
ments and penalties for deficiencies i n reserves o f member banks.
Upon motion of Governor Seay, i t was
VOTED that the practice now prevailing i n seven Federal reserve
banks i n considering currency i n transit i n determining the penalties for
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
a
ae
deficiencies
i n reserves i s i n effect equivalent t o counting currency i n
transit a s part o f the reserves o f member banks, a n d i s an unsound and undesirable practice,
Governors Stronz, S e y , McDougal, McKinney, Y o u n g a n d Calkins
voted i n the affirmative.
Governors Norris, Bailey, Biggs, Wellborn and Fancher voted i n
the n e g a t i v e ,
Governor Harding asked t o b e recorded a s not voting,
Upon motion o f Governor Seay, i t was
VOTED t o refer this topic t o the expert committee t o be
appointed b y the Federal Reserve Agents Committee o n Reserves, together
with a l l other questions o n reserves.
Governor "fellborn voted i n the negative.
(See pages 111 and 112; 113 - 125 stenozraphic record)
TOOL tt). B e M e a n s o f increasing t h e circulation o f
Joint Pro.#14, s t a n d a r d silver dollars.
Mr. Dewey, Assistant Seerctary o f the Treasury, outlined t o the
conference t h e program o f the Treasury relative t o the circulation o f stand-
ard silver dollars, calling attention t o the great expense o f maintaining a
$1 bill circulation a n d possible savings that might b e effected i n substituting
2
@ reasonable amount o f standard silver dollars i n place o f a n equivalent amowmt
of the $ 1 paper currency. S e v e r a l o f the Governors questioned whether t h e sav-
ing i n printing bill which might b e effected b y circulating standard silver
dollars might n o t b e offset b y the increase i n the transportation charges o n
standard silver dollars.
After Mr. Dewey's withdrawal from the conference, a n d after further
consideration o f the whole question with a view to cooperating with the
Treasury i n its effort t o effect possible savings, i t was
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
VOTED u p o n motion o f Governor Wellborn, t o b e the sense o f the
conference that each Governor should recommend t o his board o f directors
that the Federal reserve banks will undertake f o r a limited time and for a
' Limited amount, purely for the purpose o f experiment, t o pay the charges
on outgoing shipments o f standard silver dollars, but not o n incoming shipments, subject t o the understanding, however, t h a t this practice w o u l d b e
discontinued i f and as soon a s it might b e s h o w that there i s no real de-
mand for these silver dollars, and that consequently it is more expensive
on account o f the cost o f transportation and other factors than using $ 1
bilis.
Governors Seay, Biggs and McKinney voted i n the negative.
(See pages 125 - 168; 1 8 3 - 190 stenographic record)
Upon motion o f Governor Strong,
i t was thereupon
VOTED t h a t i n making this recommendation t o the joint conference,
the chairman should indicate that as a practical matter this action might
result i n the necessity o f changing existing regulations a n d even then i t
might be impossible t o avoid the payment of transportation charges o n incoming shipments o f standard silver dollars i n cases where the shipping
member banks include s u c h dollars w i t h other c o i n being shipped t o the
reserve bank.
(See pages 190 - 192 stenographic record)
2OpLe 111. <C. P r o d u c t i o n a n d distribution o f U.S.
Joint Pro. #13. C u r r e n c y .
Mr. D e w e y discussed f o r the benefit o f the conference t h e
action and recommendations o f the Treasury Department with respect t o
the establishment a n d maintenance o f a n adequate reserve s u p p l y o f
United States currency and gold certificates.
H e outlined a t some
length the reasons for the present shortage a n d the. program b y which
it i s proposed n o t o n l y t o provide sufficient bills o f the smaller
denominations f o r current needs, but also sufficient reserve supplies
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
(23)
i tie
both o f the small bills and of gold certificates i n denominations o f
$100 and less.
(See pages 165 - 180 stenographic record)
Topic III. D. G o l d Payments.
Mr. Dewey stated that the Treasury Department is still in favor
of having the Federal reserve banks continue payments o f gold ever the
counter i n the usual course of business even though gold imports had decreased considerably i n recent months, i t being his belief that this decrease m i g h t . b
e but temporary.
{See pages 180 ~ 182 stenographic record)
At 12:45 o'clock p. m. the conference adjourned with the wderstanding that the Open Market Investment Committee would have a meeting and
report back t o the conference t o convene a t 2:15 o'clock p. m.
Second Day's Session, Tuesday, Nevember 11, 1924
Separate Gevernors Session
&fiternoon
The meeting was called t e order a t 2:30 o'clock p. m.
The conference went into executive session w i t h stanographer
absent to consider the report of Open Market Investment Committee.
Topig I. A. Report of Gpen Market Investment Committee
( S e e
also paragraph 3)
Governer Strong reported to the conference the follawing recommendations of the Open Market Investment Committee:
1. T h a t the committee continue t e make such temporary
sales and putchases from the special account a s are necessary
te stabilize money conditions a t tax periods.
2. T h a t any purchases of government securities o r
acceptances b e distributed a s recently o n the basis o f estimate
of deficiencies o f earnings of the twelve reserve banks.
3. T h a t the committee b e authorized b y the Governors
Conference t o commence a s soon a s practicable t o exchange certi-
ficates maturing after December 31, 1925, for shorter term certificates.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
=ibe
4, T h a t action o n t h e recommendation o f the Advisory
Council relative t o the purchase o f foreign bills b e deferred
until such time a s we may b e i n a position t o know more about
the development o f conditions relating t o foreign exchanges;
and that t h e System make n o purchases o f such bills until that
time,
5. T h a t the committee b e given authority
(a) to replace the $65,000,000 o f December maturities
to such extent a s may b e advisable i n consideration o f market
conditions a t that time; a n d
(b) t o offset t h e export o r earmarking o f gold f o r
foreign account t o such extent a s may b e advisable i n consider-
ation of market conditions, but not to exceed $100,000,000.
6, T h a t t h e committee b e authorized t o sell investments
in the special account i f deemed desirable f r o m time t o time i n
order t o reduce that account t o the amount o f $500,000,000 4 s
rapidly a s money conditions make i t practicable.
7, T h a t a n article b e prepared for the Federal Reserve
Bulletins and the Reviews of the Federal reserve banks giving
the facts and results o f open market operations.
Upon consideration o f the several recommendat ions o f the Open
o the Governors a t the conference
Market Investment Committee, s e v e r a l f
duéstioned the advisability o f publishing i n the Federal Reserve Reviews
the facts:and results of open market operations, matters that might be
misunderstood o r misconstrued i n certain sections o f the country where
the Federal Reserve Bank Reviews are circulated. Accordingly, after
discussion, t h e committee agreed t o withdraw this particular recommenda =
tion. Thereupon, upon motion o f Governor Calkins, i t was
VOTED
as
t o approve a l l t h e other recommendations o f the committee
outlined above,
Stenographic Record of Joint Conference.
(
2
7
Governor S t r o n g reported that t h e Open Market Investment Committee
had considered, a s requested by the conference, the question o f providing
stenographic records o f joint conferences with the Federal Reserve Board,
Upon motion o f Governor Young, i t was
VOTED,
a s recommended b y the Open Market Investment Committee,
that t h e F e d e r a l R e s e r v e B o a r d b e a s k e d t o f u r n i s h e a c h G o v e r n o r w i t h a
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
)
Ps a e
copy o f the stenographic record o f the joint conference between t h e
Governors a n d t h e Federal Reserve Board h e l d last May, a n d that,
i f possible
an underetanding b e reached with the Federal Reserve Board that each
Governor always b e supplied with a copy of whatever stenographic record
might b e made o f such conferences,
T h e Open Market Investment Committee
later reported t h a t this recommendation h a d been approved b y the Federal
Reserve B o a r d .
Topie 1 . H. H a s t h e time c o m e f o r Federal Reserve Banks
Joint Pro.#7. t o consider investing s o m e o f their funds
in foreign bills?
(See also paragraphs 9 and 26)
Upon motion o f Governor Young, i t was
VOTED t o approve the recommendation o f the Open Market Investment Committee that t h e Federal Reserve System d o not make a n y purchases
of foreign bills until such time a s w e may be i n a peeition t o know more
about the development o f conditions relating t o foreign exchanges.
(The stenographer returned to meeting.)
Opie t s sD D i s c o u n t R a t e s ~ Relation t o Open Market
: I n v e s t m e n t Operations.
(See also paragraphs 3 and 85)
After discussion o f question o f discount rates with particular
reference t o their relation t o open market investment operations, Governor
Strong reported that the Open Market Investment Committee unanimously
agreed that conditions a t the present t i m e a r e such that rates o n open
market: purchases o f bills are now too l o w and should b e gradually raiged
as indicated f r o m time t o S a s
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
eooie=t.
T
h
b y contemporary conditions. .
e advisability o f a Federal Reserve B a n k
Joint Pro.#1. investing a n amount equal to capital and
surplus i n government b o n d s f o r searing
purposes.
(See also paragraph 5 )
After a
lengthy discussion o f the principles a n d practical
a4
questions involved, Governor Norris made a
<<
motion
THAT i t is the sense o f the conference that there i s no objection
in principle to the investment b y Federal’reserve banks i n long time Government obligations o f so much o f their capital and surplus a s is not represented b y buildings o r other fixed investments.
The motion was lost - 6 ayes and 6 noes.
Governore Wellborn, McDougal, Harding, Young, Norris and Bailey
voted i n the affirmative.
Sea
2
Governors Strong, e r a t e , McKinney, Biggs, Fancher and Calkins
voted i n the negative,
(See pages 193 -.212 stenographic record)
Topic IV, A, 1, - Operating expenses of the Federal Reserve
Joint Pro.#8. B a n k s - formulation and adoption of definite plans f o r a constructive program f o r
and
T
o
p
i
c
g r e a t e r economy and efficiency,
IV, A. 2. Adoption b y each Federal Reserve Bank of
Joint Pro #9.
a
_ budget f o r control o f expenditures.
After a thorough discussion b y all the Govermore present o f the
general question o f a budget a n d other e
g
in the operations e f the Federal reserve banks
VOTED ( a ) t h a t a
o
f effecting economies
i t was
committee t e b e composed o f Mr. Smead o f the
Federal Reserve Board and Mr. Rounds o f the Federal Reserve Bank o f New
York a n d one other person f r o m some o f the other Federal reserve banks
should be appointed for the purpose of furnishing any interested Federal
reserve bank with information and sugcestione concerning the adoption o f a
budget o r with any help and advice that might b e needed i n effecting the
adoption of a budget, and
(b) t h a t the Economy and Efficiency Committee o f the
Federal Reserve Board b e requested t o advise each Federal o c c a s bank
whether that committee, i n view of all the information a t its disposal,
has a n y specific suggestions t o make t o the directors o r officers o f the
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
V
A
=i4a
several Federal reserve banks a s to how further economies, othor thar
the adoption o f a budget, might b e effected b y the respective Federai
reserve banks. 7
A
(See pages 212 - 234 stenographic record)
Topic VI. A. Voluntary Services - In view of small earnings,
" can Federal Reserve Banks continue t h e f r e e
voluntary services, o r should t h e actual c o s t
of some o r a l l o f these services b e charged t o
the member banks?
(See also paragraph 49)
After discussion a t which i t was pointed out that the Federal
neserve Board had approved all the reports o f the Committee o n Voluntary
Services t o the effect that voluntary o r free services should not now be
abandoned o r curtailed, with the exception o f the report relating t o noncash collections which the Board states that i t still has under advisement,
i t was
VOTED
t o b e the sense o f the conference t h a t n o change should b e
made in, a n d n o charge should b e made for, a n y o f these voluntary services
at the present time.
Governors Bailey and Wellborn voted i n the negative.
(See pages 234 - 237; 3 1 4 - 335; 4 4 4 and 445 stenographic record)
(
Topi¢ IV. C. 2. Should Federel Reserve Banks effect
3
3
)
Joint. Pro. #3. t e l e g r a p h i c transfers over commercial
wires for member banks which charge
their customers a n d impose f o r this
service a n armount i n excess o f the
actual c o s t o f telegrams?
after consideration, u p o n motion o f Governor Harding,
i t was
VOTED t h a t this i s a matter which should b e left t o the discretion o f each Federal reserve bank.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
(See pages 237 - 239 stenographic record)
Topic IV. F . O b s e r v a n c e o f holidays b y Federal Reserve Banks.
Joint Pro. #4.
After a discussion o f both the legal and practical questions
( 3 4 )
involved i n this matter, i t was
VOTED, u p o n motion of Governor Harding, that the Federal Reserve
Board b e requested t o give further consideration t o i t s ruling o n holidays
with t h e hope o f the conference t h a t i t will s e e f i t t o revise t h a t ruling.
(See pages 239 - 250 stenographic record)
At a later session o f the conference, i t was
VOTED t h a t the chairman should advise the Federal Reserve Board
during the course of the joint session with the Federal Reserve Board, that
it was the sense o f the conference that a satisfactory disposal o f this
topic would be a ruling that each Federal reserve bank should advise the
Federal Reserve Board a t least ten days i n advance o f a prospactive holiday
affecting either the parent bank or any of its branches, whether the parent
bank o r such branches, under advice o f the bank's counsel, would close o r
remain open o n such holiday, i t being understood that i f the bank should
close i t would not participate either way i n the gold settlement fund,
but that i f it should remain open i t would participate both ways.
Topic IV. G.
C a n expenditures b e legally made of Federal
( 3 5 )
Joint Pro. #5. Reserve Bank funds for the purpose of welfare
and educational work among Federal Reserve
Bank employees. _ T h e advisability o f reserve
banks defraying, wholly o r partially, the expense o f such welfare and educational work.
During the course o f discussion o f this topic, i t was indicated that
nine Federal reserve banks have procured the advice o f their counsel a s to
their right to make expenditures for the purpose of welfare. a n d educational
work among their employees.
A l l of these nine counsel have ruled unquali-
fiedly that there was no doubt of the legal right of a Federal reserve bank
te make expenditures f o r these purposes.
T h e other three Federal reserve
banks had not asked advice of counsel because they assumed that there
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
oY a e
question a s to their right t o make these expenditures.
VOTED
I t was, there-
t o b e t h e sense o f the conference t h a t t h e Federal Reserve
o
should b e advised o f this position o f the counsel o f the Federal rebanks.
in considering the last half o f Topic IV. G., i.e. the question ( 3 6 )
of the advisability o f Federal Reserve banks defraying the expense o f
welfare and educational work, upon motion o f Governor McDougal, i t was
VOTED t o adopt the following resolution:
WHEREAS welfare work among employees o f corporations
generally i e recognized a e necessary t o a high degree o f
efficiency, a n d
WHEREAS the same principles applicable t o those other
corporations a r e applicable t o the Federal Reserve Banks,
be it
RESOLVED, that payments b y Federal Reserve Banks f o r the
ompurpose o f welfare a n d educational w o r k among their
especially
desirable,
highly
a
s
ployees shauld b e continued
these e x as i t would b e moet detrimental n o w t o eliminate
Reserve Banks
penditures which havé been made b y the Federal
Rofor a number of years with the approval of the Federal
serve Board,
(See also pages 251 - 254 stenographic record)
Reserve
Topic J V . . . W h a t should b e the policy o f Federal
charges
Joint. Pro.#10 Banks w i t h reference t o making
against surplus f o r the items onumerated
below when current e a m i n g s a r e insufficient
to provide therefor:
1. D i v i d e n d s .
2, R e s e r v e s t o cover annual depreciation
of bank premises.
3, C h a r g e - o f f s f o r purpose o f reducing b o o k
value o f bank buildings t o approximate r e -
placement costs.
4. F u r n i t u r e a n d equipment.
Upon motion o f Governor Strong/
i t wae
the bank's accounts
VOTED t h a t i n order t o preserve the integrity o f
there should b e no change i n
and the accuracy o f its statements o f condition,
surplus t o cover annual
the present practice o f making charges against
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
f
sree B Y dee
depreciation o f bank premises (item 2 above) o r furniture and equipment
(item 4 above.)
It being understood t h a t charge-offs f o r the purpose o f reducing
book value o f bank buildings t o approximate replacement costs (item 3 above)
are a matter which i e subject t o consideration i n view of amount o f earings
during t h e year f o r which t h e charge-offe a r e to. b e made, i t was
VOTED that each Federal reserve bank be requested by the
ns
aa n appropriate
Federal Reserve Board t o advise i t what i t r e c o m m e n d
charge-off for this item for this year owing t o unusual and varying con~
ditions,
Ae to the question o f dividends (item 1 above) upon motion o f
Governor Seay, i t was
VOTED t o b e the sensa o f the conference that dividends should
be paid out o f surplus, a surplus accumulated partially for the purpose o f
paying dividends, i f it should appear that theemmingse, after making the
charge-offs on items 2 and 4 above, are ineufficient to cover dividendg
Governor Young voted i n the negative,
(See pages 254 » 261 stenographic record)
Third Day's Session, Wednesday, November 12, 1924
Separate Governors Session
Morning
The meeting wae called t o order a t 9:15 o'clock a.m.
Topic: Li. A. R e p o r t o f Standing Committee o n Collections
(See also paragraphe 1 3 and 49)
Mr. Strater, Chairman of the Standing Committee o n Collections,
appeared before the conference t o discuss the report o f his committee pre- \
viously submitted.
A f t e r discussion a n d action b y the conference o n in-
dividual recommendations contained i n the report,
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
i t was
=i3s
VOTED t o approve the report (printed on pages 262 - 287 stenographic record) with such qualifications o r exceptions a s might have been
noted during the course o f the discussion.
For simplification o f the record, there follows herewith a summary
of the report, with such notations o r qualifications a s were made b y the
conference a t the time o f its adoption:
}
Uniform paragraph defining peneral conditions u n d e r
| which Federal Reserve Banks w i l l accept checks a n d other c a s h
items f o r collection.
( 3 9 )
In order that the terms o f collection might appear i n
one circular letter and thus avoid the necessity for member banks
| referring both t o the circular letter and the regulations o f the~
_ Board i n order t o know these terms, the committee suggests a com_ bination o f the uniform liability paragraph previously recommended
_ with Section 5 of Kegulation J of the Federal heserve Board.
5
(
S
e
e pages 1
and 2 of report o f committee;
p a g e s 263 -
| 266 stenographic record)
Possible limitation of kind or dollar amount of non- ( 4 0 )
cash items t o b e handled b y the Federal Reserve Banks f o r collection.
YN
The committee reported that after v e r y careful study,
B
e
it was o f the opinion that i t is not only undesirable t o limit
the kind o r dollar amount o f non-cash collection items, but that
it would b e impractical t o d o so.
increase o f service charge o n unpaid items.
(
4
1
The committee reported that i t feels that the imposition
of a service charge o n unpaid, unpretested items i s necessary i n
order t o prevent abuse o f the collection facilities, but i t recommends that the Conference o f Governors consider what should b e the
amount o f that charge, a n d suggests that whatever charge may be determined upon shall b e strictly enforced b y every Federal reserve
dank.
After consideration of this recommendation, upon motion of Governor
Seay, i t was
: V O T E D t o be the sense o f the conference that the present fifteen
cent charge shall b e maintained and that i t shall b e enforced invariably b y
all Federal reserve banks.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
)
SiGe
Uniform endorsements and guarantee o f prior endorse-
( 4 2 )
ments o n non-cash collections.
The committee reported that i n its opinion, i t is not
desirable that the wording o f all endorsements o n non-cash
collection items should b e absolutely uniform, i n view of the
fact that there does not appear a t the present time t o be any
uniform practice among commercial banks with respect t o the
former endorsement. Furthermore, because of the fact that there
is n o uniformity i n the Court decisions a s to the effect o f
restricting endorsements, the committee reported that in its
opinion i t is desirable that this whole question b e again referred t o the counsel o f each Federal reserve bank for a n
opinion a s to the necessity o f a guarantee o f prior endorsements o n non-cash collection items.
In considering this recommendation o f the committee, the conference
upon motion o f Governor Calkins
VOTED t h a t this question should b e submitted t o the Federal Reserve Board with the request that they ask the counsel o f the Federal reserve banks w h o a r e t o meet i n conference i n Washington i n December t o con-~
sider and make recommendations concerning this whole question and concerning
the need,
i f any, o f having reserve banks u s e words i n their endorsement
of both checks a n d non-cash items t o relieve t h e m o f liability w h e n guaranteeing prior endorsements.
It was the sense o f the conference that the counsel for the reserve banks should b e free t o call upon Mr. Strater o r any other person t o
discuss this question with them.
Uniform liability paragraph i n non-cash collection
circular.
The committee refers t o the uniform paragraph recom-
mended b y the committee t o the October, 1922 Conference o f
Governors, w h i c h w a s approved a n d adopted b y that conference,
The committee suggests a slight modification t o that paragraph
and recommends that, as modified, (printed o n pages 278 and
279 stenographic record) i t be made a part of the new non-cash
collection circular t o b e issued b y each Federal reserve bank,
ia considering this recommendation o f the committee, the conference
beck
\
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
t o approve it, with authority, however, f o r each Federal
=20—
reserve bank t o substitute the words “for the account o f this bank," for
the words “for our account," i n the third line o f the paragraph. ( P r i n t e d
jon page 279 stenographic record)
‘Authority o f a Federal reserve bank t o accept i n
payment o f a collection item, a
for the draft o f the drawee.
bank draft given i n exchange
The committee reported that after considering the
new Kegulation J , series o f 1924, i n connection with this
question, i t is of the opinion that i t is doubtful whether
a Federal reserve bank would b e protected against liability
in a n y case where t h e original remittance d r a f t i s not c o n =
verted immediately into actually and finally collected funds.
The committee accordingly recommends t h a t t h e question b e
submitted b y each Federal reserve b a n k t o its counsel f o r a n
opinion.
In considering this recommendation o f the committee, the conference
VOTED that this question be referred to the conference of
counsel o f the several Federal reserve banks which i s to be held i n
Washington o n December 5, 1924.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Withdrawals f r o m the P a r List.
The committee recommends that because o f the fact
that i t is practically impossible t o keep all member banks
promptly informed o f the removal o r withdrawal o f names o f
nonmember banks from the par list between issues o f the
printed list, e a c h Federal reserve b a n k follow a
uniform |
procedure suggested by the committee (see pages 12 and 13”
of committee's report o r pages 283 and 284 stenographic record)
in order t o protect the sending bank as well a s the receiving
bank o r branch against the possibility o f loss i n cases where
items a r e sent direct f r o m member banks i n o n e district t o
Federal reserve banks i n another district.
Caption o n title page o f semi-annual Inter-District
Collection System Booklet.
The committee recommends that a s a n added protection
against loss to Federal reserve banks and branches, the Federal
Reserve Board should print upon the title page o f this booklet
a phrase substantially a s follows: “Subjeet t o change without
notice." :
ne o e
Study o f cash items protested b y all Federal reserve ( 4 7 )
banks.
The committee reported that i t has made a comprehensive
study o f the amount a n d character o f cash items prutested b y all
Federal reserve banks a n d reported that i n i t s opinion t h e policy
of the Federal reserve banks w i t h respect t o t h e Limit o n pro-
tested items should b e governed b y the practice i n effect with
commercial banks generally, a n d recommends that t h e present
$10.00 minimum b e continued until commercial banks generally
adopt a policy different from that now in effect.
All o f the above recommendations o f the Standing Committee o n ( 4 8 )
Collections were approved b y the conference with such exceptions o r quali-
“A
fications, i f any, a s are noted above i n connection with individual recommendations.
(See pages 262 - 314; 335 and 336 stenographic record)
Possible charge for non-cash collection service.
{
4
9
}
In further reference t o Topic VI. A. (see paragraph 32), a n d i n
connection with the report a n d recommendations o f the Standing Committee o n
Collections previously adopted (see paragraphs 3 8 - 48 inclusive), t h e conference discussed a t some length the general question o f free services t o
member banks with a view t o considering the imposition o f a charge o n the
non-cash collection service i f at some later date such a charge should become advisable o r necessary i n view of the extent o f the service o r the
cost o f conducting it. A f t e r further discussion, upon motion o f Governor
calkins,
i t was
VOTED t h a t the Standing Committee o n Collections should b e requested t o continue the study already made b y the committee o f Governors o n
Voluntary Services relative t o the question o f a charge f o r the non-cash
collection service, a n d that i t be requested t o make a particular study
of the use a n d extent o f the non-cash cotlection service w i t h a view t a
reporting back to the conference what might be the effect o f a possible
charge f o r this service,
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
IN
Poy eae
committee,
Tt was informally suggested that t h e
i n conducting
the individual reserve
its investigation, might preferably act through
w a y o f acquiring t h e requisite i n banks which should determine t h e best
formation i n their respective districts.
(see pages 314 = 335 stenographic record)
that i t has authority
Topic II. G . M e m b e r bank's warranty
of
of customer t o accept t h o s e provisions
f
or
Regulation J regarding responsibility
items.
Recommended:
be
That t h e Standing Committee o n Collections
coninstructed t o prepare a uniform circular
banks a n d
taining a form o f contract between
a n d cleartheir depositors, requesting member
ingemember banks t o amend their contracts
cards)
{contained o n deposit slips and signature
i n the
in accordance w i t h t h e f o r m proposed
circular; a n d
Recommended further:
That t h e Federal Reserve Ranks amend their
cheek collection circular o n March 1, 1925,
checks
to provide that t h e act o f submitting
will
collection
f
o
r
Banks
to Federal Reserve
Be construed 2 S a warranty that the depositor
has Lodged with the depositing bank the required agreements,
(See also paragraph 19)
Upon motion o f Governor Harding, i t was
the Federal Reserve Bank o f
VoTrp t h a t t h e t w o recommendations o f
San Francisco, i n c l u d e d i n this topic,
b e referred t o the conference o f
with
counsel of Federal reserve banks to mect i n Yashington o n December 5,
concerning
the request t h a t t h e y consider a n d make their recommendation
each o f these proposals.
(See pages 336 - 341 stenographic record)
t o reconvene a t
At 11:00 o'clock a. m. the conference adjourned
g o into
2:15 otclock p. m., when i t was understood the conference would
Reserve
joint conference with the Federal Reserve Board and the Federal
questions submitted
Agents t o report t o the Federal Reserve Board o n all
to the conference b y the Board.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
“ite
Fourth Day's Session, Thursday, November 13, 1924
Separate Governors Session
Morning
The meeting was called t o order a t 9:00 o'clock a. m
Topie IiI. BE. R e g i s t e r e d mail insurance o n Federal Keserve
Notes.
Governor Strong reviewed a report received b y him from Mr.
Kenzel concerning the interest o f the Federal reserve banks i n the new
insurance policy taken out b y the Treasury.
H e referred t o the fact
that Mr. Winston had expressed his willingness t o review this whole
question o f the insurance riders towards t h e e n d o f the first year o f the
policy with a view to getting a better distribution o f rates for some o f
those Federal reserve banks which insure under the terms o f the policy a t
rates higher than were i n effect a t the time o f the old policy.
Upon motion o f Governor MeDougal, i t was
VOTED that the conference should request Mr. Winston to consider this matter w i t h t h e Insurance Committee w e l l before t h e e n d o f the
first year of the present policy with a view t o getting some report o n a n
alternate schedule o f rates a s a basis f o r discussion w i t h t h e Treasury's
underwriters.
(See pages 342 - 347 stenographie record)
Topic IV. A. 3. Report of Committee o n Standardization o f
Supplics.
Upon motion o f Governor c
e
VOTED t o accept the report (printed pages 348 - 362 stenographic record) with the understanding that the operating men o f each
Federal reserve bank be requested to study it carefully for their guidance and with the further understanding thet the purchasing agents o f the
several Federal reserve banks keep the committee jnformed o f any instance
where,
i n their opinion, t h e y might b e able t o g e t articles a t cheaper
rates than are prevailing i n other cistriste,
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
e pages
348
e - 370 stenographic
S n)
( Trecord
= 24%
Topic IV. A. 4. Report o f Insurance Committee.
Upon full consideration o f the report o f t h e Insurance Committee
(printed pages 370 - 372 stenographic record), i t was
VOIED t o <oqueet the Federal Reserve Board t o express its
opinion o n the question o f principle involved i n adopting inter-bank selfinsurance plans f o r b o t h fidelity a n d life insurance.
(See pages 3 7 0 = 382 stcnographic record)
Tepie t \ e A n S e R e p o r t o f Committee t o Study t h e Cost o f
Securing Credit Information.
Governor McDougal asked that this topic be passed in view of the
fact that t h e committee h a d n o t submitted a n y further reporte
(See page 382 stenographic record)
Topic IV. B. 1, R e p o r t of Pension Committee.
Upon motion o f Governor Young, i t was
VOIED
t o accept a n d approve t h e report o f the Pension Committee
(printed pages 382 ~ 385 stenographic record) recommending that the Federal
Reserve Board b e requested t o give further study t o and expression o f their
opinion concerning t h e p l e n which h a s been recommended f r o m time t o time b y
the Pension C o m i t t e e a n d the bill which has b e e n prepared b y the
counsel for the cormittee a n d recently submitted t o the Federal Reserve
Board, i t being the sense o f the conference that some such bill, which
would make i t possible for the reserve banks t o adopt a n adequate pension
plan, s h o u l d b e passed a s soon 4 s might b e possible.
(See pages 382 - 389 stenographic record)
Topic IV, B. 2. A m e r i c a n Federation o f Labor Organization
of Bank Clerks.
Gevernor Strong reviewed briefly the meeting which h e had i n
New York with representatives o f the Amcrican Federation o f Labor i n
reference t o the possible organization o f bank clerks, a n d stated that h e
had advised these representatives that h e was definitely o posed i n
we
e
e
R
O
principle t o a n organiz-tion o f bank clerks for the purpose o f collective
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
bargaining,
(See pages 382 - 396 etenographic record)
Registering commercial paper,
(57)
Governor Wellborn referred t o the fact that h e had some corres~
pondence with the editor o f a current periodical with reference t o the
question o f having Federal reserve banks register commercial paper. W h i l e
Governor Wellborn asked for no action o n this topic - informally referred
W A
to b y him - it was the general consensus o f opinion that i t would b e
highly impracticable and undesirable f o r Federal reserve banks t o attempt
to perform this service,
mOptC iV. 0. .. R e p o r t o f Leased Wire Committee
(
5
8
)
Governor McDougal m a d e a n oral report a s t o t h e number o f messages
transmitted o v e r t h e leased wires a n d referred t o t h e substantial decrease
owing to the adoption o f the new regulations made effective Jully 15, 1924. a
He reported that a s a consequence o f this reduction, there had been a large
Fes E
saving i n expense.
U p o n motion o f Governor Seay,
i t was
v
e
VOTED t o receive and approve the report.
(Ses pages 396 and 397 stenographic record)
Use o f Leased Wires t o advise payment o f discounted Bill o f
Lading Drafts.
( 5 9 )
Governor McKinney suggested f o r consideration o f the conference
the question o f using the leased wires for advice o f paymont o f bill of
lading drafts that have b e e n discounted b y Federal reserve bank.
N I N
H e
stated that, i n his opinion, advices of payments of such drafts should be
sent over the leased wires rather than over the commercial wires, since
having been discounted b y the Federal reserve bank they are in an entirely
differant c a t e g o r y f r o m other drafte received f o r collection f o r account
of member banks, After consideration b y the gonference, i t was
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
ae s e
VOTED t h a t whenever bill o f lading drafts which have been dis-
counted b y a Federal reserve bank are forwarded t o another Federal reserve
bank for collection, advice o f payment o r non-payment should be made over
the leased wires regardless o f the present provisions o f the leased wire
regulations relating t o the advice o f payment o r non-payment o f non-cash
collection i t e m s generally.
I t was understood, however, t h a t i n a n y such
case the sending Federal reserve bank which had discounted the bill of
lading draft s h o u l d attach a
conspicuous notice a s evidence o f the fact
that the draft i r question was discounted,
(See pages 397 - 406 stenographic record)
Topic IV. C. 3. Reconcilement o f provisions of Telegraphic
( 6 0 )
Transfer circulars o f Federal Reserve Banks
with recommendations embodied i n Board's
letter x-4099.
&See also paragraph 65)
Governor Biges and Governor Calkins referred t o the fact that
certain Federal Reserve Banks are not complying strictly with the terms
of the Federal Reserve Board's letter X-4099 relating t o telegraphic a d v i c e
of wire transfers received f o r account o f member banks.
T h e reserve banks
W
w
in question g i v e telegraphic a d v i c e i n addition t o t h e usual m a i l advice o n l y
when requested b y the sending o r credited member bank o r when the amount o r
o
s
nature o f the transaction justify t h e additional expense.
Tn view o f the fact that n o definite action was asked for, upon
motion o f Governor Harding, i t was
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
VOTED t o lay the topic o n the table. ( B u t see paragraph 65)
(See pages 406 - 414; 427 - 429 stenographic record)
Leased wires between parent b a n k a n d branch bank.
While n o formal action w a s asked f o r b y Governor McKinney, w h o
ieee
a
suggested this topic,
restrictions
i t was t h e sense o f the conference t h a t t h e general
o r limitations applicable t o the leased wires d e not apply
to the use o f the private wire between the parent bank and branch bank
which i s purely a
local matter subject t o local control.
(See page 414 stenographic record)
Topic IV. D .
C o s t o f securing reports o f examination o f
national banks.
(See also paragraph 64)
After a thorough discussion o f this question, i t appeared
that many o f the Governors a n d boards o f directors o f the Federal
reserve banks were opposed t o the payment o f the prevailing charge
for national b a n k reperts, s u c h charge b e i n g fixed f o r the purpose o f
meeting a n expense which the law-:contemplates should b e borne b y the
national banks examined rather than f o r the purpose o f offsetting t h e
actual cost of providing copies of the reports of examination. U p o n
motion of Governor Harding, i t was
VOTED t h a t the conference authorize the chairman o f the con-
ference to appoint a committee of three, o f which he should be chairman,
with a view t o taking this matter u p with the Federal Keserve Board.
Governor Strong accordingly appointed Governors Bailey and Norris t o
serve o n this committee a s requested b y the conference.
(See pages 414 - 422 stenographie record)
At 12:00 o'clock noon the conference adjourned i n order that the
committee above referred to (see paragraph 62) might meet with the Federal
Reserve Board.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
é ges
Fourth Day! e s s i o n , Thursday, November 1 3 , 1924
eperate Governors Session
Afternoon
The mceting w a s called t o order a t 2:15 o'clock p . m,
Governor Strong reported informally t o the conference that the ( 6 3 )
profit o f some $980,000 o n the long time investments i n the open market
account had not only been wiped out i n the past week or ten days, but now
showed a
lose o f approximately $60,000,
I t was understood, however, t h a t
in spite o f this change i n the situation, t h e Open Market Investment
Committee should begin making exchanges o f long time investments f o r shorter e
‘ time investments, a s previously voted b y the conference, s o far as i t could
do s o without establishing losses,
Topic IV. D. cont'd.
C o s t o f securing reports o f examination
of national banks.
(See also paragraph 62)
( 6 4 )
At the request o f the chairman, Governor Norris reported the
result o f the meeting o f the conference's committee with the Federal Reserve
Boards T h e committee advised the Federal Reserve Board o f the views o f the
Governors Conference a n d t h e individual banks w i t h respect t o t h e payment
of a charge f o r the reports o f national b a n k examinations i n excess o f the
price sufficient m e r e l y t o cover t h e cost o f typing, a n d proposed t h a t t h e
Federal Reserve Board should take some definite position i n the matter,
Governor Norris reported t h a t after further discussion o f the
question a
resolution w a s adopted leaving i t with Governor Crissinger t o
arrange a later meeting with Secretary Mellon, Mr. Winston, t h e Comptroller
of the Currency, t h e Federal Reserve Board, a n d the Committee o f Governors
representing the Conference o f Governors further t o discuss this question.
Upon Governor Bailey's request, Governor Streng appointed
Governor Harding t o act i n Governor Bailey's place o n this committee.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
(See pages 422 ~ 426 etenographic record)
o
e
= 80 sa
Topic IV. ¢ . 3 . cont'd. R e c o n c i l e m e n t o f provisions o f
Si Telegraphic Transfer circulars
of Federal Reserve Banks with
recommendations embodied i n
Board's letter X-4099.
(See also paragraph 60)
Inorder finally to dispose of this topic, which had previously
been laid o n the table, upon motion o f Governor Young, i t was
VOTED that this topic be referred to the Leased Wire Committee
in collaboration with the Standing Committee o n Collections, with the re- |
quest t o make a study o f the question and such recommendation t o the =
Federal Reserve Board as might be necessary i n order to
reconcile the |
practice o f some reserve banks with existing regulations o r else to make
appropriate amendments t o the regulations,
a Se
a l
=
(See pages 406 - 414; 427 - 429 stonographic record)
Topic IV. . Branch Directors
Effects o
f increasing the number o f directors
of branches i n conformity with the Board's
letter x-3956; a n d advisability o f recommending t o Board that branches b e operated under
rules end regulations approved b y the Board a s
provided b y law, rather than by by-laws.
After a discussion o f the effect o f the Board's regulations con-
d i n its letter
e X-3956, upon
n motion ofiGovernor Calkins,
a
i t was t
VOTED
t o b e the s m s e o f the conference that i t i s wmdesirable
to require Federal reserve banks t e increase t h e directors o f branches f r o m a
five to seven, but that the number of the board of directors of a branch
should b e left t o the individual judgment e f each Federal reserve bank,
Governor ‘fellborn voted i n the negative,
Upon motion of Governor Calkins, i t was alse
VOTED t o b e the sense o f the conference that i t i s undesirable e
to require a member o f the board o f directors o f a branch, other than the
@ m a n a g e r , t o act a s chairman o f that board o f directors, a n c that i t i s also
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
NA
- 3 0 «-
undesirable t o change the present title o f the manager o f the branch.
Upon motion of Governor Calkins, the last half of Topic IV. 2.
was withdraw from the program.
(See pages 429 + 437 stenographic record):
Tonic IV.2. H o l d i n g s o f real estate b y Federal Reserve “anks.
After a general discussion o f this topic, i t was apreed that there
is nothing i n the law to prohibit a Federal reserve bank holding real estate
which it acquires i n the due course of its business.
Governor Dailey, w h o proposed this topic, asked f o r n o action.
(See pages 1437 - 439 stenographic record)
Topic V.A. Procedure now being followed in the execution
of orders f o r the Treasury Department.
Governor Strong outlined briefly the procedure i n the New York Reserve Sank relating t o t h e employment o f brokers a n d t h e execution o f orders
for account o f the Treasury.
H e asked for no action, hut merely wanted t o
explain t o the conference what h e considers t o b e the need f o r particular
care i n conducting this business.
{See pages 439 - 441 stenographic record)
Topic V . B .
R e d e m p t i o n o f debenture. bonds issued b y
Federal Land and Intermeciate Credit Banks.
pon motion, duly seconded, i t was
VOTED, t h a t i n the interest o f economy and uniformity, t h e same
aN
policy b e pursued i n connection w i t h t h e redemption o f the debenture >onds
issued by the Federal Land and Intermediate Credit Tanks as is now followed
in connection w i t h t h e payment o f Federal F a r m Loan courons.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
(See pages 441 and 442 stenopranhic record)
Topic V.C. Canceled United States honds, notes and
Treasury certificates o f indebtedness lost
in the mails w h i l e e
n route t o Washington.
Experience of Federal Reserve Sank of San
Francisco, wnich was requested b y Treasurer
to make restitution f o r lost bonds because
serial numbers o f bonds stolen while i n
transit could not » e correctly rciven.
After a
brief discussion o f the n e e d f o r protection i n cases where
canceled United States notes and Treasury certificates o f
indebtedness are
lost i n the mails i n cases where the Federal reserve bank i s
unable t o furnish numbers, the topic was passed without action.
(See pages 442 - 444 stenographic record)
Topic VI. B. W h a t can be done when a member bank refuses
to comply with the Regulations?
Upon request of Governor Bailey, who proposed this topic,
i t was
withdrawn f r o m the program.
(See page 445 stenographic record)
Topic V1, C. Examination of State banks.
Procedure i n various districts a s to action
taken b y examining departments regarding State
member banks which have not maintained, after
membership, as hich a standard in the value of
assets as would entitle them to pass an examination for admission t o system.
Upon request of Governor Calkins, each Federal reserve bank outlined i t s practice relative t o t h e examination o f State banks which a r e mem-
bers o f the Federal Reserve System.
I t appeared t o be the general practice
among Federal reserve banks t e have Federal reserve bank examiners cooperate
with the State banking authorities when making examinations o f State member
banks.
I t was pointed out, however, that i n special cases, the Federal re-
serve bank might properly send their o m examiners for a special
examination.
(See pages 446 - 451 stencgraphic record)
Topic Vi. D. Committee of Trust Company Division, .
A B. A.
on "Relations with the Federal Reserve System"
for the purpose o f c r y s t a l l i z i n g e
h
t vresent
m e m b e r s h i pf
o trust companies a n d inducing
wherever possible eligible nonmember trust
companies t o join t h e system.
Upon motion o f Governor Strong, i t was
VOTED
t e b e the sense o f the conference t h a t t h e secretary should
advise Mr. McLucas, chairman of the Trust Company Division, A, B. A. o n
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
ono
“Relations with the Federal keserve System," that each Federal reserve bank
would cooperate t o the extent o f its power i n any proper way t o aid i n their
program t o procure t h e membership o f eligible nonmember trust companies
when called upon t o d o so, and to express the appreciation o f the conference i n the action o f the American Bankers Association.
(See pages 451 - 453 stenographie record)
SUPPLEMENTAL PROGRAM
Supplemental W h a t amendments to the National Bank act are
Topie 3 8 n e c e s s a r y i n order that national banks may be
better able to mect banking requirements and
that the development o f the national banking
System may more closely follow the trend of
banking development n
i the country at large
so_far_as experience shows that this development is along sound and strong lines?
Upon motion o f Governor Harding,
i t was
VOTED that this topic, which was submitted by the Federal
Reserve Board, should b e passed o n the ground that the Governors have not
yet had suffieient time t o give i t careful study.
(See pages 453 and 454 stenographie record)
Supplemental W h a t steps should be taken t o bring about the
Topic #2. g r a d u a l retirement o f the national bank
currency a n d the final retirement o f the
legal tenders?
Upon motion of Governor Seay, i t was
VOTED t o be the sense of the conference (a) that national bank
notes should gradually b e retired from circulation, (b) that the action o f
the Treasury Department i n ealling the 4 per cent. bonds o f 1925 resulting
in the. retirement of approximately $76,000,000 in national bank notes
should b e commended a s a proper a n d logical s t e p toward that e n d a n d i n
line with the policy o f simplifying currency contemplated i n the passage o f
the Federal Reserve Act, and (ec) that, before any additional steps looking
toward the further retirement o f national bank currency are taken, i t would
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
int
-
3 3
-
A c t s o a s t o confer u p o n national
be advisable t o amend t h e National B a n k
effectively t o compete w i t h
banks other powers which will enable t h e m more
State institutions,
(See pages 454 - 455 stenographic record)
Supplemental W h e t h e r o r not a
Federal Reserve B a n k m a y
items
Topic #5. m r o p e r l y receive maturing collection
with instructions t o deposit t h e proceeds
of the collection i n some commercial b a n k
for the account o f a member bank.
Upon motion o f Governor Calkins, i t was
Collections.
(See pages 456 and 457 stenographic record)
Supplemental C o m m u n i c a t i o n f r o m t h e Austrian Association
Topic #6,
o
f Banks and Bankers relative t o counterfeit
currency.
Governor Strong referred t o the communication o f the Austrian
Association o f Banks and Bankers, asking for the cooperation o f the
Federal reserve benks i n their program t o detect counterfeits a n d prose=
cute counterfeiters,
H e stated that the Department o f State had already
passed upon the character o f the association i n question a n d that the a
Treasury Department had also made a satisfactory investigation.
Upon motion o f Governor McDougal, i t was
steps
VOTED t h a t the secretary o f the conference should take the
necessary t o comply w i t h t h e request o f the association f o r o u r cooperation.
(See pages 457 and 458 stenographic record)
Supplemental M e m b e r Bank Expense.
Topic #7. D i s c u s s i o n of circulars issued by the Federal
Reserve Banks o f Boston a n d New York relative
to the comparison o f the operations o f repre-
sentative member banks.
Upon motion o f Governor Strong,
X
Y
i t was
VOTED t h a t the secretary o f the conference b e authorized t o refer
this matter t o Mr. J a y with t h e suggestion t h a t h e take i t u p with t h e
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
ed
F e d e r a l Reserve Agents,
(See pages 459 and 460 stenographic record)
Supplemental W h e t h e r o r not i t might b e advisable t o suggest
Topic #8.
t
o the Féderal Reserve Bank of Atlanta the
question o f employing a coumsel representative
of all Federal Keserve Banks t o take part i n
the pending case o f Pousson v . Federal Reserve
Bank o f Atlanta.
(See also paragraph 15)
Upon motion o f Governor Seay, i t was
VOTED t h a t the issues involved i n this case are purely local and
not a matter o f System policy, a n d that, therefore, t h e conference would not
be justified i n asking the Federal Reserve Board t o employ counsel t o represent t h e System a s a whole,
(See pages 460 - 463 stenographic record)
Supplemental
Topic # 9 T
B H . kK. 9768 = Congressman Thomas, Oklahoma.
h i s bill would remove t h e Secretary o f the
Treasury a n d Comptroller o f the Currency
from membership o n the Federal Reserve B o a r d
as ex-officio members, provide f o r a n
additional appointive member t o represent
o all Board
labor, a n d increase t h e s a l a r y f
members t o $25,000 per annum, etc.
Upon motion o f Governor Harding, i t was
VOTED
t o b e t h e sense o f the conference t h a t i t prefers n o t t o
express any opinion with respect t o this proposed bill for the reason that
the members o f the conference have not had adequate time t o consider the
subject matter o f the bill, a n d f o r the further reason that t h e bill does n o t
appear directly t o affect the operations o f the Federal reserve banks, but
relates t o the personnel and compensation o f the Federal Reserve Board.
In the opinion o f the conference, this i s a matter for consideration
by members o f the Federal Reserve B o a r d itself rather t h a n f o r the operating
heads o f the Federal reserve banks.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
(See page 464 stenographie record)
Supplemental K e p o r t s o f Examinations o f National Banks.
Topic # 3 . R e c o m m e n d e d :
That the Office o f thé Comptroller o f the
Currency revise reports o f examinations o f
National banks s o that these reperts w i l l
contain a separate schedule s h o w i n g notes
rediscounted w i t h t h e Federal Reserve Banks
m
a
s
and pledged a s collateral, c l a s s i f y i n g e
slow, doubtful, undesirable and loss, with
such other information a s would b e o f value
to t h e Federal Reserve Banks.
In the absence o f Governor Wellborn, w h o proposed this topic,
upon motion o f Governor Young, i t was
VOTED b y the conference that any Federal reserve bank desiring
the information referred t o i n this topie should take i t u p directly with
the Comptroller o f the Currency.
(See page 465 stenographic record)
Supplemental Gorrespondence between Examiners and
Topic # 4 . C o m p t r o l l e r ' s Office.
Recommended:
hat t h e examiners f u r n i s h t h e Federal n e -
serve Banks with copies o f letters t o the
Comptroller's Office b y directors o f banks
under criticism and the replies t o such letters b y the Comptroller's Office.
In the absence o f Governor Wellborn, who proposed this topic,
upon motion o f Governor McDougal, i t was
VOTED b y the conference that it was inadvisable to ask, and
unreasonable to expect, the Comptroller of the Currency to furnish the
information asked for i n this topic.
- (See page 465 stenographic record)
At 6:00 o'clock p . m
t h e conference adjourned t o meet i n joint
session a t 9:00 o'clock a. m. Friday, November 14, 1924.
Fifth Day's Session, Friday, November 14, 1924
Separate Governors Session
Afternoon
The meeting was called t o order a t 1:10 p. m. i n executive
session f o r the purpose o f further discussion o f discount rates.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
er
At the conclusion o f the executive session, Governor Strong
&
b r i e f l y summarized t h e general views o f t h e conference o n this subject.
(See pages 466 - 470 stenographic record)
Election o f Chairmam o f Conference.
Upon motion o f Governor Fancher,
i t was
VOIED t h a t Governor Strong should continue a s chairman o f the
conference,
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
At 1:45 o'clock p . m , t h e conference adjourned s i n e die.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
@FedFRASER