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ri(At
OVe-4
A meeting of the Federal Reserve Board was held in the office of the
Federal Reserve Board on Tuesday, December 23, 1924 at 10:20 aam.
PRESENT:
Governor Crissinger
Mr. Platt
Mr. Hamlin
Mr. Miller
Mr. James
Mr. Cunningham
Mr. McIntosh
Mr. Eddy, Secretary
The Governor stated that the meeting v..culd be devoted to consideration of
tCPorts by the Committee on Salaries, Expenditures and Efficiency on the
aalary recommendations submitted by the Directors of the several Federal
l'eserve banks for officers and employees daring the year 1925 and on the
closing of the books of the several banks as of December 31, 1924.
Jam, Chairman of the Committee on Salaries, Expenditures and
Rfficieney stated that the Committee wished to present reports on salaries
4114 charge-offs for each bank, dealing first with the Federal Reserve Bank
°t Richmond and he presented for the information of the members the folIfting statements:
1TET RESULTS OF OPERATIONS OF FEDERAL RESERVE B,FE3 eoR Y4.3;,11 1924.
13a.nic
!ostax,
i42IN York
Deficit
C:56,838.00
1,719,972.00
To Surplus
Oft
Lvailable for
Franchise Tax.
AVM
NMI
74,938.00
eveln
ko
urond
Atlanta
Ohicac;0
it Louis
f
I lacapolis
41c
'llsas
s City
btal
3an Franeisno
1,357,925,00
8,614.00
37,832.00
On
5,731.00
51,576.00
17,277.00
155,489.00
112,250.00
279,323.00
36,838.00
788 000.00
41,360,754.00
„i134,784.00
207,065 00
f
12/23/24
-2REDUCTIO7S NT SALARY'S PROPOSM FOR
1925 AS RELATED TO THOSE FOR 1924.
Boston
4.1/0
New York
2.7i0
Philadelphia
3.8/0
Cleveland
9.1y0
Richmond...
. ... . 3.l5
Atlanta
8.41/0
Chicago
9.24;6
St. Louis
7.€0
Kansas City
7.7d,
Yinneapolis
5.63;4:7
Dallas..... .
7.352;
San Francisco
4.47
OFFICIAL SALARIES
lila/MAL RESEITVE Box OF RICHIOND.
:High cost: Peak of :
:of living: official : Salaries : Proposed :
14 earnings salaries : paid in : for
1920
1922 : 1924 : 1925
?e
letal
est. Reserve Agent
Pederal Reserve Agent
H
It
'ciV
erzior
EtNY
tt
Governor (PePle)
Soliere
cwaid 2Toaddus)
-6;4,4,i_tor
(Grady)
(Ceesee)
1)er80nne1
oats
(Johnstone)
Cashier (Blackburn)
tt
'
(Dillard)
11
(rarshall)
ft
(Sloan)
(Walleri
A111.2ktik
Relations (Garrett)
410r
(Grady)
(Leach)
(l
aallace)
15,000 :
6,600
6,600
18,000
15,000
9,000
7,200
4,200
7,200
7,200
4,500
4,500
4,500
15,000
7,000
7,000
18,000
15,000
10,000
7,500
3,750
7,500
7,500
4,500
4,500
4,500
4,000
4,500
3,000
5,000
3,600
5,000
15,000
7,500
15,000 :
7,500
20,000
15,000
10,000
10,000
20,000
15,000
10,000
10,000
8,000
6,000
4,500
4,800
5,000
5,000
5,000
5,400
8,000
6,000
4,500
4,800
5,000
5,000
5,000
5,400
5,000
6,000
6,000
6,000
47?
12/23/24
_3BYLTILIORZ BRINCH
:High cost : Peak of
:of living :official
:& earnings salaries
:
1920
:
1922
Ilanager (Prentiss)
9,000
,"
(Dudley)
k:aShier ('f7yatt)
4,500
It
(Grady)
45s
t.Cashier
4,000
(Leake)
it
11
(Hays)
2,700
it
it
(Reese)
3,000
It
it
(Hammond)
Alzditor (Schutz)
2,700
Asst.?ed.Res.Agt.Ouley) 4,000
ft
It
If
"(Bradley)2,700
T
148,850
Total Number
23
" earnings (exclusive
Qf dividends
5,238,506
-
10,000
5,400
_
:
•
:3alaries : Proposed :
: paid in :
for
:
: 1924
1925
4,500
3,600
4,000
3,600
3,000
4,200
3,000
10,000
6,600
4,200
4,200
3,300
_
-
10,000
7,000
4,200
4,200
_
3,300
-
170,500
160,500
161,900
26
21
867,448
'''
21
34,685
C OSt of
Living Index
,,J411
.112.1LJItPt.
208
167
170
Secretary then read the following report of the Committee on Salaries,
4Penditures and Efficiency on the subject of the
closing of books of the Federal
lieserve Bank of Richmond as of December 31, 1924:
"Your committee has examined the statement submitted by the
Federal Reserve Bank of Richmond with its request for authority
to close its books and pay the semi-annual dividend, and finds that
On the basis of the bank's daily balance sheet
2orm 34 the estimated
gross earnings will be sufficient to cover current operating exPenses, the cost of furniture and ecuipment purchased during the
Year, depreciation allowances on its bank buildings and on machinery
c'Ind equipment, proposed additions to the reserves for self insurance and for probable losses, and in addition, the greater part if
not all of the dividends accrued to the end of the year.
he
estimated earnings and proposed deductions therefrom are as follows:
12/23/24
-4-
Gross earnings . •
• •
Current expenses .
• .
Current net earnings . .
ret income from real estate
Jotal . . • • •
• •
•
•
•
•
.
. . . . .
. . . . .
•
•
•
•
. . .
•
•
.
. v2,182,300.00
• 1,550,000.00
•
• . . . ,,i;632,300.00
• . •
500.00
• • • . ,i632,600.00
Proposed deductions:
l'urniture and equipment • • • • • •
50,000.00
2,0 reserve on bank building . . • • •
40,629.66
10,J reserve on fixed machiner:, and equipment
41,040.91
Ohargeoff on land - hichmond • • • • •
293.90
Chargeoff on land - 3a1timore • • • • •
150.00
Reserve for self insurance
• • • • •
50,000.00
.,,eserve for probable losses • • • • • •
100,000.00
liscellaneous • • • • • • •
• 0 •
8.000.00
.J2ota1 deductions •
• • . • • • • • • • 290,114.47
3alance available for livid3nds
• • • • • • • ▪ 342,685.53
Dividends raid June 30 . . • . • • •
l74,19.31
]stiTated dividends July 1 to December 31
176.380.69
Total dividends . • S. • • • • • • • • •
• 351,300.00
Deficit in earnings if above deductions are made in full
8,614.47
Your committee finds that the deductions from current net earnings for
furnit
Ira
ure and enuinment and for de-oreciation on blnk buildings and on fixed
'
le177 and equipment are reasonable and in accordance with the 3oard's
irel
'
86ructions and recommends that they be approved.
baro, The bank estimates its probable losses on account of parer of failed
tio's at .75,400 and on raper of banks considered to be in an unsafe condire 21 at ,i120,000, making a total of 495,400, against which it now has a
a,,serve of 200,000. The bank feels that it would be prudent to set aside
a dditional reserve of .100,000 to cover probable losses which it is not
th a rosition to estimate at t , is time and your committee recommends that
a ddition-11 reserve be authorized by the 3oard.
acertio It is also recommended that the bank be authorized to pay all dividends
ceel A to December 31 and to transfer the balance of its net earnings, not exto inP; 450,000 to its present reserve for self insurance, which now amounts
A.50,000."
After discussion, Ir. Diller moved that "Without deciding as a matter of principle, the 3oard
is of the opinion that for the year 1924 banks which have
not earned dividends should not be permitted to charge any
deficiencies to sur-A.us account".
12/23/24
-5-
Mr. Hamlin moved as a substitute that "Without deciding as a matter of principle that unearned
dividends should regularly be paid out of surplus, the
Board decides that for the year 1924 surplus should be drawn
upon where necessary to pay dividends."
Mr. Hamlin's substitute motion being put by the chair
was carried, the members voting as follows:
Mr. Platt, "aye"
Mr. Hamlin, "aye"
Mr. Cunningham, "aye"
Mr. McIntosh, "aye"
Governor Criss inger, "no"
Mr. Miller, "no"
Mr. James, "no"
Mr. James then moved approval of the recommendations
of the Committee.
Mr. James' motion being put by the chair was carried,
Crissinger
Governor
voting "no".
Th.
Secretary then read the following report of the Committee on Salaries,
(
iAtures and Efficiency with regard to salary adjustments submitted by
tile directors of the Federal Reserve Bank of Richmond for the bank and its
44imore Branch
for the year 1925:
"Your Committee presents herewith the recommendations as
to salary adjustments submitted by the officers and directors
of the Federal Reserve Bank of Richmond and recommends approval
of all the recommendations made as to employees receiving more than
- 2500
, 2500 per annum and as to all employees receiving less than ;,;
per annum.
The Committee also recommends approval of the recommendations
as to two officers, namely Hugh Leach, Auditor, present salary
5,000, proposed salary E1,000, and 3. G. Grady, Cashier of the
Baltimore Branch, present salary ;;;6,600, proposed salary .„;17,000.
The Committee further recommends that the salary of the Cashier
of the Baltimore Branch be pegged at ;';7,000.
12/23/24
"Yo-,r
ittec firt' er recor' enls thr:t since the bu*:ot osti, ates
for the
statf;ticol and reserch dePart, -3nt of the bolfh covers only the
first si: no t- Ls of the year, that te ioardts spl.)roval of the sdar:reeolcmen'-ti s for officers onl el ployees in tllis
'ye zlso
litritels to
lie Period.
Your Jolmittee finds that t o annu-1 pryroll for the Eichrond
nfl(1 )a1tirore 3rLinc]-1 on Januar:- 1, 194, was '1,033,753 for a total
°I 738 errlo-eeIneludin the increases which h:ve taken place duriL
,,•
.
trhe 7ear
te su '0;ested increases now beilv_: suy, itted, the po7ro1l on
,
tjQ111)017' 1, 19:s5 would be .'1,006,072 for 684 emplo:70es.
This shows a reof T3,31 in dollars and .34 in the nurber of officers and erP10-ee s.
The red-ction in salaries as proposed for 1925 as co,r,ared to the
sinries r030,, enicri for 19L4, shows tt decrease of
15/0.
Your
, ittec is of the opinion thnt the iederal Reserve 3:A1:". of
'bchTronl is co-ili(ierabl over-tuned, and we -believe
that a creful curOf the or
— Iization by the officers and directors of the 'ea-1k would
"orrnlish a further reduction in ioth t- e
)er of officers and t' 0
1/111-"r of or -olo 3'13.
ifOr t- e iaforlation of the 3o rd, attention is called to the
factthat tl-te 6-t. Louis 3an -:, with 3 branches, is operated with 373
;
..!
4E* *lcers and erploces, whereas hichmond has a total as of December 1,
t 24, of 684 officers and en-olo ees.
The Cor'ittee finds it difficult
° jitstif'7 this condition."
rr. Harlin then moved a,Troval of the adjustLents trade duri-_
year in the salaries of emploees receivin47 c;2500 or less
Per annur- -nd the recorrendotiols ,"de oy the directors as to
erploTees receiving more then •2500 per annum, with the understn,Ilinri: that the approval in the case of employees in the
statistical and research depnrtT -ent is for six months only.
0- rried.
• Jorres then called ottelticn to the table of official salaries of
the i?ederal Reserve 3o1-1:-, of Ri
Of
'C
sumitted above, 'Par1 to t]le Opinion
Co' ,-'ittee that the ban- is co-isiderrb1,- over-manned and that a care-
'NI
slIrvev of the or(7anization by the officers and directors of the bank
d accormlish a further reduction in both the nul -)er of officers and
the
ler of or-olo:'ees, and roved "That
3oflrd send ban: the ofl'ici.1
Poder-1 ho serve lank of lcichr:ond, with
t'lat the bank is aver-rrained
;
1- tteoMci';1 salcr,7 list will
before it is a-2_ roved by the 3oard."
s-1:1r7 list of the
the col rIents of the
and over-officered,
have to be adjusted
ett
tJJ Li
12/23/24
-7-
Fr. Mier rroved as a substitute for tr. jarest
rot i(a that "2is the 3oard is advised by its Uorri.ttee on Salaries,
I lcp,
:dit-ores and ..Ifficiency that the Mohr:on(' Bank' is
over-officored and over-ranned and that the official
organization of the hank should be adjusted in the interest
not give considerOf ecoro177 of operation, the 3oard
or increases for officers
ation to an77 recornendatio
until the ::LichTond ,,iirectors have adjusted their official
to -V1 costs".
orTInization
Yr. 7aTAin Toyed as a substitute for the notions of
ressrs. Janes and Filler that In view of the stnte're-lt of the Oor*1.ittee on Oclaries,
als1 1.]ficielle that the snlar- list of the
:
eserve
3anl: of TAichTonl is excessive and t1 Lit
Federal 1,
the ban- is oyer,-enned, the 3oard sus, Gni action on the
snlari list of the official personnel pending a conference
anditlres and
bet-eon the Cormittee on Ualaries,
7,fficienc7 and the Directors of the 2ederol lieserve 3an",
of Richrord."
Yr. 7arlin's substitute not ion being put by the
choir was lost, Yr. 7arlin voting "aye".
FT. Filler's substitute notion being put by the
choir was lost, 1:r. Filler voting "aye".
Yr. Tares' original ration being put by the chair was
carried, the i*oubers vot lug as follows:
Yr. Harlin "eye"
Fr. Jar:es "aye"
Yr. Uunninghan "aye"
Yr. rcIntosh "aye"
Governor Jrissinger "no"
Yr. Platt "no"
Fr. Filler "no"
Fr. 7orlin then called attention to the fact that unless
the liichrond official salary list is acted upon before January
15th, no official salaries could be 1)vid on that date.
Secretari then read the following re,-)ort of the CoY.1-nittee on Salaries,
''icioncg on t]ie s7.71)ject of the closing of boolts of the
"ederal Ileserve 3a4n";z
f 3osto;, as of Decerbor 31, 19-4:
-8-
"Your Committee has examined the statement submitted by the Federal
ao
serve Bank of Boston with its request for authority to close its books
jaIla pay the semi-annual dividends, and finds that on the basis of the
)
sa k's daily balance sheet Form 34 the estimated gross earnings will be
euffiotent to cover current operating expenses, the cost of furniture and
bent purchased during the year, depreciation allowances on its bank
141dings and on machinery and equipment, and in addition, the greater
eart of the dividends accrued to the end of the year. The estimated
P
arnings and proposed deductions therefrom are as follows:
„i;2,502,061.70
Gross earnings
1.966,861.54
Current expenses
Current net earnings 15,870.00
Appreciation on conversion bonds 3.936.93
Profit and Loss
Total
Proposed deductions:
12,000.00
Furniture and equipment
55,832.00
2iL reserve on bank building
66,215.00
10j; reserve on fixed machinery L',
equipment
Total deductions
Balance available for dividends
- 237,959.86
Dividends paid June 30
Estimated dividends July 1 to
- 239,633.36
Dec. 31
Total dividends
Deficit in earnings if dividends are
. paid in full
.535,200.16
19.806.93
.555,007.09
134.047.00
420,960.09
477.798.22
56,838.13
Your Committee finds that the deductions from current net earnings
tor
04 !urniture and equipment and for depreciation of bank buildings and
theelzed machinery and equipment are reasonable and in accordance with
Beard's instructions and recommends that they be approved.
The payment of accrued dividends in full will necessitate a charge
4071111st the bank's surplus of approximately ,56,030. Inasmuch as the bank
cliw ilas a surplus of .4;16,389,562.71 your committee recommends that accrued
aa lclends be paid in full and that such portion thereof as may be necest'Ybo charged to the surplus account.
On November 30 the First National Bank of Putnam, Connecticut, which
Was
e Closed,-L
on August 12, 1924, owed the Federal aeserve Bank of Boston •;;104,629.36.
atatreserve bank estimates that it will sustain no loss on this indebtedness and
c0,2s that there are no banks in its district which are considered in an unsafe
itioult
Upon motion by Mr. James, the recommendations
of the Committee were approved.
c) 4
III
12/23/4
-9-
2he Secretary then read the following report of the Committee on
Salaries, i2-1xpenditures and 3fficiency, with regard to
adjustments recommended
by the Directors of the federal Reserve Bank.of Boston in the salaries of
officers and employees during the year 19.,
:5:
"Your Committee presents herewith the recommendation az to
salary adjustments submitted by the officers and directors of
the Federal Reserve Bank of Boston, and recommends approval of
all recommendations made both as to employees receiving more
than 42,500 per annum and as to employees receiving loss than
.,2,500/er annum.
the Committee has some doubt as to the propriety and justification of the proposed increases in the salaries of 7 of the
officers.
Therefore, it begs to submit the present and proposed
official salary list.of the Boston bank for direct consideration
and action of the Board.
Between December 31st last year and December 1st of the
present year there is shown a decrease of two officers and 56
employees at the Boston Bank; that the payroll for the present
year will be approximately .66,511.00 less than was the payroll
for 1923, and that the estimated payroll for next year, if all
proposed increases are approved, will be 41,138,890.00, or approximately 460,602.00 less than the annual payroll of the Bank
as of January 1, 1924. 2his indicates a reduction of 5.04i; in
the annual salaries of the officers and employees of the Bank for
the year 1925 as compared with their annual salaries for the year
1924.
Your Committee further recommends that since the budget
estimate for the statistical and research department of the bank
covers only the first six months of the year, that the Board's
approval of salary recommendations for officers and employees in
this department be also limited to a like period.
Your Committee is of the opinion that a survey of the organization will accomplish a further reduction in the number of
employees."
Mr. James then moved approval of the adjustments made
durinc the year in the salaries of employees receiving :2500
or less por annum and the recommendations made by the directors
as to employees receiving more than 42500 per annum, with the
understanding that the approval' in the case of employees in ,
the statistical and research department is for six months only.
Carried.
7
12/23/44
-10-
2he Board then considered individually the salries of officers as
follows:
W. P. J. Harding,overnor; Present annual salary, .25,000; Proposed
aanut,21 salary, .,;25,000.
Upon motion, it was voted to aTprove a salary of
5,000 for ;,overnor Hardin,: during the year 1925.
Paddock:, Del,uty 'Jovernor; Present annuvl salary, c16,000; ProPosed annual salary, .,17,000.
Mr. Miller moved that the Board approve n salary of
1.6,000 for La.. Paddock during the year 1925.
Mr. Hamlin moved, as a substitute for Mr. Miller's
motion, that the proposed increase to .47,000 be approved.
Mr. Hamlin's substitute motion bei.ng put
by the chair was lost, the members voting as follows:
Mr. Platt, "aye"
Mr. Hamlin, "are"
;,lovernor Crissiner, "aye"
Mr. Miller, "no"
Mr. James, "no"
Mr. CunnirOmm, "no"
Mr. McIntosh, "not voting"
Mr. Miller's oriinal motion beinL, put by the
chtlr was carried, the members voting as follows:
Mr. Platt, "no"
Mir. Hamlin, "no"
Governor Crissincer, "aye"
Lt. Miller, "aye"
Er. James, "aye"
Mr. Cunningham, "ay'"
Mr. McIntosh, "not voting"
William Willett, Ctshier; Present annual salary, :,;10,000; Proposed
- %Mel salary,
;.:12,000.
11
2,:r. Miller moved that the Board approve a salary of
c10,000 for Mr. 'Allett during the year 19C5.
I:4r. Hamlin moved, as a substitute for Mr. Miller's
motion, that the proposed increase to 42,000 be approved.
•
12/,3
Mr. Hamlin's substitute motion being put
by the chair was lost, the members voting as follows:
Governor Crissiner, "aye"
Mr. Platt, "aye"
Mr. Hamlin, "aye"
Mr. Miller, "no"
Mr. James, "no"
Mr. Cunninjaam, "no"
Mr. McIntosh, "not voting"
Miller's original motion being put iv the
chair was carried, the members voting as follows:
Mr. Hamlin, "no"
Mr. Platt, "no"
lovornor Crissincer, "aye"
Mr. jnmosi "Ye"
Ur. Miller, "aye"
Mr. Cunningham, "aye"
Mr. McIntosh, "not voting"
g. R. Carrick, Jecretary; present annual salary, •:/,500; proposed annual
sal-E,ry ,,1,1300.
Upon motion, it was voted to aLprove a salary of
per annum for Mr. Carrick during the year li25.
s:Attemy, Assistant ?ederal
01000;
proposed annual salary y7,000.
7,50O
eserve ,',,rent; present annual salary
Upon motion, it was voted to fix a salary of y7,000 for
Mr. ,Attemy during the year 1925.
G. Hult issistant Cashier; pre:ent annual salary, .;G,000; proposed
annual salr,
500.
uf W
willim r. Eenyon, i",ssistant Cashier; present annual salary, „;6,000;
ProPosed annual salary, .*6,500.
Parnest M. Leavitt, ,..ssistant Cashier; present annu.A. salary, .;:6,300; rroPosed annual salary,
Upon motion by Mr. Hamlin, it was voted to approve
salaries of :;(5,500 per annum for Messrs. Hult, Kenyon and Leavitt
during the year 1925.
aweetzer.
, Lssistant Cashir; present annual salary, „:,o,OJO; proID°sed annual salary, . 0,300.
Upon motion, it was voted to approve a salary of .;64,000
per annum for Mr. aweetzer durin the year 1925.
t
12/23/24
-12-
H.
Currier, Luditor; present annual salary, ;6.,000; proposed annual
sal rY, 46,0J0,
Upon motion, it was voted to approve a salary of
c6,000 per annum for Mr. Currier during the year 1925.
John J. Fogg, Assistant
;nnual salary, c3,720.
..-aditor; present annual salary, 0,540; proposed
Upon motion by Ia.. Miller, it was voted to approve
salary of :„:3,720 per annum for 11r. Fog during the year 1925.
H. P. Hobinson, Lssistant ;:uditor; present annual salary,3,000; proPosed annual saltry,
Upon motion by LI±. Miller, it was voted to approve a
salary of 0,120 per annum for Ur. Robinson durin the year
1925.
L. H. -:eed, Counsel; present annu-1 salary,
3`'lLrY,2,400.
400; proposed annual
Upon motion by Mr. Hamlin, Chairman of the Law Committee,
it was voted to approve a salary of ;2,400 for Mr. 'eed duringthe year 1925.
It
as thereuron voted that except where sflocific action is taken, sal-
`Iles of federal .ieserve Agents shall be considered fixed at the same amounts
l'eceived durin
the year 1924.
Ile Secretary then read the followin: report of the Committee on Salaries,
l' Penditures
esf),rve
nd Efficiency on the subject of the closing of books of the Federal
of New York as of December 31, 1924:
"Your Committee has examined the statement submitted by the Federal
Bank of NW York with its request for authority to close its books and
'Y the semi-annut1 dividends, and finds that on the basis of the bank's dtily
,1`Ince sheet Form 34 the estimated gross earnings
be sufficient to cover
i"klerent operating expenses, the cost of furniture and equipment purchased dunthe year, depreciation allowances and charge offs on bank buildings and on
a sch inery and euipment, and in addition, a small portion of the accrued diviend40 ?he estirirted earnin .s and proposed deductions therefrom are as follows:
tJ
erVe
Cross earnings
8,253,935.01
6,638,711.71
Current expenses
.,i1,615,223.30
Current net earnings
Estimited net appreciation on foreign exchange bal. 153,466.38
2,800.84
Sundry adjustments
1,771,510.52
Total
4
12/23/24
"Proposed deductions:
::,475,751.02
Furniture and eluipment
19,600.33
Depreciation reserve an Annex building Depreciation reserve on fixed machinery
6,758.43
2nd equipment - Annex
Charge off to bring book value of main
870,656.24
building down to replacement cost
Earnings on self insurance fund
55,196.75
Other real estate expense - taxes
254,285.17
Sundry adjustments
9,234:25
Total deductions
0_,691,482.19
Balance available for dividends
80,028.33
Dividends paid June 30
892,254.59
Estimated Dividends July 1 to Dec. 31
907.745.41
1.8J0,000.00
Total dividends
Estimated deficit in earnings if dividends are paid
1,719,971.67
in full
tur /bur Committee finds that the deductions from current net earnings for furnikth?
eouipment.and for depreciation on bank buildings and fixed machinery and
tr.Pment are reasonable and in accordance with the Board's instructions, and recom-4ds that they be approved.
it The bank estimates that the book value of its main building is now c870,656.24 1118
:e8s of its estimated replacement cost calculated in accordance with the Board':
1,eit ructions and asks authority to charge this amount off at the end of the curketat
o Year. The Board arproved the recommendation contained in this Committee's
Itabilla ndlim of December 9 that charge offs "for the purpose of reducing the book
aerr Of bank buildings to approximate replacement cost should be made and any
4:
cit arising from insufficient earnings should be charged to surplus account--."
41.46 therefore recommended that the charge off of 4870,656.24 recommended by the
')
c rk bank be approved.
it l,4 In case the above charge offs are authorized by the Federal Reserve Board,
1)441.411 bc necessary to charge practically all of the 0892,254.59 of dividends
wela On June 30 to surplus account on closing of books at the end of this year as
ballit 88 the dividends for the last six months if authorized. Inasmuch as the
tliviallow has a surplus of 59,928,967.21 your committee recommends that accrued
divi
:
ends be paid in full at the end of U.is year and that the amount of such
ends or s-zch portion thereof as may be necessary be charged to the surplus
eeecl
'
410 1111t. According to the statements accomnanying the dividend resolution no
11148114t s are due to the reserve bank from failed banks or banks considered in an
gre condition."
Upon motion by Mr. Hamlin, the recommendations of
the Committee were approved.
The Secretary then read the folloving report of the Committee on salaries,
zkl.1
64ditures and Efficiency, with regard to adjustments recommended by the
1 -': 1 r-77
12/23/24
'
-14-
Di
--rectors of
the Federal Reserve Bank of New York in the salaries of officers
aricl employees at the bank and its Buffalo
branch during the year 1925.
"Your Committee submits herewith the salary recommendations made by
the
m
officers and directors of the Federal Reserve Bank of New York and
recomds approval of all adjustments recomme
nded by the directors concerning the
niaries of employees receiving more than 42,500
per annum, and also recommends
:royal of adjustments made in the salarie
s of employees receiving less than
9 1500 per annum, both at the head office and branch.
The Committee has some doubt as to the propriety and justification
of the
ProPosed
,
increases in the salaries of 5 of the officers of the parent bank and
the officers of the Buffalo Branch. Therefore, it begs
to submit the presf:' and proposed official salary list of the
New York bank and Buffalo Branch
Yr direct consideration and action of the
Board.
The recommendations of the bank show increases of 45,000 in the officer
s'
t 41es and of 416,054 in the
salaries of employees receiving more than .42,500
r annum. Increases in salaries paid to employees
receiving less than 42,500
the annum, which the bank is authorized to make without specific reference to
ct Federal Reserve Board total 4116,92
2.76, making a total increase in salaries
137,976.76 as recommended.
It is noted that between December 31st of last year and Decembe
the
r 1st of
Ileliv P,reeent year, there is shown a decrease of 3 officers and 77 employees in the
413 ork bank and Buffalo branch;
that the payroll for the present year will be
(38,1 0)Eimately 4301,000 less than was the payroll for the
year 1924; and that the
.rlated payroll next year, if all proposed increas
es are approved, will be
'91,373, or approximately 4125,000 less than at the beginning of the year 1924.
This indicates a reduction of 2.7% in the salaries of the bank and branch
tor
the year 1925 against the year 1924.
4tati_A.Your Committee further recommends that since the budget estimate in the
ot C."Llcal and research department of the bank covers
only the first six months
ozalahe year, that the Board's approval of salary
recommendations for officers and
°lees in this departm
ent be also limited for a like period.
york
Your Committee feels that there is considerable opportunity in the New
cleric barlk for a substantial reduction in officers and employees which will
evillelv e itself as the bank's organization becomes
accustomed to operation in the
the rarters, and suggests that the Board advise the
officers and directors of
Balk of this conclusion."
g
Mr. Hamlin then moved approval of the adjustments made during
the year in the salaries of employees receiving 42500 or less per
annum and the recommendations made by the directors as to employees
receiving more than 42500 per annum, with the understanding that the
approval in the case of employees in the statistical and research department is for six months only.
Carried.
The Board then considered individually the salaries of officers of the
u3r1t bank and its Buffalo branch as follows:
12/23/24
-15Upon motion by Mr. James, it was voted that the salary of Pierre
Jay, Federal
4
Reserve Agent, be fixed at 430,000 for the year 1925.
500 W. A. Buross, Assistant Federal Reserve Agent; present annual salary
proposed annual salary 48400.
Upon motion by Mr. Hamlin, it was voted to fix a salary
of 8400 for Mr. Burgess for the first six months of 1925, in
accordance with the recommendation of the Committee that salaries of officers and employees in the Research and Statistical
Department be approved for that period.
Wm. Dillistin, Assistant Federal Reserve Agent; present annual salary
47800; proposed annual salary 4,7800.
Upon motion, it was voted to fix a salary of 47800
for Mr. Dillistin for the year 1925.
Carl SAyder, General Statistician; present annual salary, 411,000; proPosed annual salary, 411,000.
Upon motion, it was voted to approve a salary of 411,000
for Mr. Snyder.
annual
Benjamin Strong, Governor; present annual salary 450,000; proposed
aalary, 450,000.
Upon motion, it was voted to approve a salary of 450,000
for Governor Strong for the year 1925.
J, q. Case, Deputy
Governor; present annual salary, 440,000; proposed
ual salary 440,000.
Upon motion, it was voted to approve a salary of 440,000
for Mr. Case for the year 1925.
L. F. Sailer, Deputy Governor; present annual salary, 430,000; proposed
azataaal salary 430,000.
Upon motion, it was voted to approve a salary of 430,000
for Mr. Sailor for the year 1925.
425,000; proGeo. L. Harrison, Deputy Governor; present annual salary,
annual salary, 425,000.
Upon motion, it was voted to approve a salary of 425,000
for Mr. Harrison for the year 1925.
proposed
E. R. Kenzel, Deputy Governor; present annual. salary, 422,000;
allnual salary, 422,000.
12/23/24
-16-
31":'
Upon motion, it was voted to approve a salary of
422,000 for Mr. Kenzel for the year .1925.
D. H. Barrows, Secretary; present annual salary, :8500; proposed annual
salary, 48500.
Upon motion, it was voted to approve a salary of
48500 for Mr. Barrows for the year 1925.
Randolph Mason, General Counsel; present annual salary, 410,000; proposed
annU5.1 salary, 410,000.
Upon motion by Mr. Hamlin, it was voted to approve a
salary of 410,000 for Er. Mason for the year 1925.
Jesse Philbin, Assistant General Counsel; present annual salary, 46500;
proposed annual salary, 47500.
Mr. Miller moved that the Board approve a salary of
46500 for Mr. Philbin for the year 1925.
Mr. Hamlin moved, as a substitute for Mr. Miller's
motion, that the Board approve a salary of 47500 for Mr.
Philbin during the year 1925.
Mr. Hamlin's subs itute motion being put by the
chair was lost, the members voting as follows:
Governor Crissinger, "aye"
Mr. Platt, "aye"
Yr. Hamlin, "aye"
Miller, "no"
Mr. James, "no"
Mr. Cunningham, "no"
Mr. McIntosh "not voting"
Mr. Miller's original motion being put by the
chair was unanimously carried.
L. R. Rounds. General Auditor; present annual salary, 415,000; proposed
aniTual salary, 415,000.
Upon motion, it was voted to approve a salary of
415,000 for Mr. Rounds for the year 1925.
Lawrence Hendricks, Controller of Fiscal Agency; present annual salary,
9000; proposed annual salary, 418,000.
Upon motion, it was voted to approve a salary of 418,000
for Mr. Hendrins for the year 1925.
A. W. Gilbart, Controller of Cash and Collection; present annual salary
'50Q;
proposed annual salary, 414,500.
'
Upon motion by Mr. Hamlin, it was voted to approve a
salary of 414,500 for Mr. Gilbart for the year 1925, the
members voting as follows:
12/23/24
-17-
Governor Crissinger, "aye"
Mr. Platt, "aye"
Mr. Hamlin, "aye"
Mr. Miller, "aye"
Mr. Cunningham, "no"
Mr. James, "no"
Mr. McIntosh, "not voting"
G. E. Chapin, Controller of Loans; present annual salary, 412,000; proposed annual salary, •412,000.
Upon motion, it was voted to approve a salary of 412,000
for Mr. Chapin for the year 1925.
R. M. Gidney, Controller at Large; present annual salary, 412,000; proPosed annual salary, 412,000.
Upon motion, it was voted to approve a salary of 412,000
for Mr. Gidney for the year 1925.
J. W. Jones, Controller of Administration; present annual salary, v11,000
Proposed annual salary, 411,000.
Upon motion, it was voted to approve a salary of 411,000
for Mr. Jones for the year 1925.
C. H. Coe t Manager of Collection Department; present annual salary, 49,000:
Proposed annual salary, .9,000.
Upon motion, it was voted to approve a salary of .0,000
for Mr. Coe for the year 1925.
J. E. Crane, Manager of Foreign Department and Assistant Secrj)tary; present
4/1mual salary, 48,000; proposed annual salary, 48,000.
Upon motion, it was voted to approve a salary of 48,000
for Mr. Crane for the year 1925.
L. Dodge. Manager, Auditing Department; present annual salary, •7,200;
14%)Posed annual salary, 48,000.
Upon motion by Mr. Hamlin, it was voted to approve a salary
of :0,000 for Mr. Dodge during the year 1925.
E. C. French, Manager of Cash Department; present annual salary, 47,000;
15'0Posed annual salary, 47500.
Upon motion by Mr. Hamlin, it was voted to approve a
salary of 47500 for Mr. French for the year 1925, Messrs. James
and Cunningham voting "no".
va
t—PJL •
12/23/24
-18-
Howard Jefferson, Manager of Personnel Department; present annual
111104a7, $8,000; proposed annual salary 418,000.
- 8,000
Upon motion, it was voted to approve'a salary of ;
for Mr. Jefferson during the year 1925,
A. K, Lauckner, Manager of Methods and Supplies Departments; present
annual. salary, Q5700; proposed annual salary, $5700.
Upon motion, it was voted to approve a salary of $5700
for Mr. Lauckner for the year 1925.
A. L. Lins. Manager of Check Department; present annual salary, r2.0,000;
Proposed annual salary, Q10,000.
Upon motion, it was voted to approve a salary of 0.0,000
for Mr. Lins for the year 1925.
W. B. Matteson, Manager of jecurities and Certificate of .Indebtedness;
131'esent annual salary, 01,000; proposed annual salary, $11,000.
Upon motion, it was voted to approve a salary of 4.;11,000
for Mr. Matteson for the year 1925.
J. L. Morris, Manager, Credit and Discount Department; present annual
aala1y, c'12,000; proposed annual salary, $12,000.
Upon motion, it was voted to approve a salary of $12,000
for Mr. Morris for the year 1925.
H. R. Murray, Manager at Large; present annual salary, $6,000; proposed
ual salary, 41)6,000.
Upon motion, it was voted to approve a salary of 0,000
for Mr. Murray for the year 1925.
H. M O'Hara, Manager of Investment Department; present annual salary,
R
46400. proposed annual salary, 0400.
Upon motion, it was voted to approve a salary of 0400
for Mr. O'Hara for the year 1925.
J. M. Rice, Manager, Account ing Department; present annual salary,
Vi20(1
-; proposed annual salary, .:P200.
Upon motion, it was voted to approve a salary of $7200
for Ur. Rice for the year 1925.
11
12/23/24
-.19-
G. B. Roberts, Manager of Reports Department; present annual salary,
45,000; proposed annual salary, $5,000.
Upon motion, it was voted to approve a salary of
45,000 for Mr. Roberts for the year 1925.
S. S. Vansant, Manager, Securities Custody Department; present annual
salary, 46,000; proposed annual salary, 46,000.
Upon motion, it was voted to approve a salary of
46,000 for Mr. Vansant for the year 1925.
I. W. Waters, Manager, Administration Department; present annual salary,
47500; proposed annual salary, 47500.
Upon motion, it was voted to approve a salary of
47500 for Mr. Waters for the year 1925.
W. W. Schneckenburger, Manager, Buffalo Branch; present annual salary
P10,800; proposed annual salary, 410,800.
Upon motion, it was voted to approve a salary of
410,800 for Mr. Schneckenburger for the year 1925.
H. W. SflQ!.J. Cashier, Buffalo Branch; present annual salary 46,000; proposed
allnual salary, 4)6,000.
Upon motion, it was voted to approve a salary of
46,000 for Mr. Snow for the year 1925.
C. Blakeslee, Assistant Cashier, Buffalo Branch; present annual salary,
4000; proposed annual salary, 44,500.
Upon motion by Mr. Platt, it was voted to approve a
salary of 44500 for Mr. Blakeslee for the year 1925, Messrs.
James and Cunningham voting "no".
41
E. L. Theobold, Assistant Cashier, Buffalo Branch; present annual salary,
u5°0; proposed annual salary, 43800.
Upon motion by Mr. Hamlin, it was voted to approve
a salary of 43800 for Mr. Theobold for the year 1925,
Messrs. James and Cunningham voting
The Secretary then read the following report of the Committee on Salaries,
12/23/24
-20-
pe11ditures and Efficiency on the subject of the closing of books
of the
Federal Reserve Bank of Philadelphia as of December 31, 1924:
"Your Committee has examined the statement submitted by the
Federal Reserve Bank of Philadelphia with its request for authority
to close its books and pay the semi-annual dividend, and finds that
on the basis of the bank's daily balance sheet Form 34 the estimated
gross earnings will be sufficient to cover current operating expenses,
accrued dividends an0 other charges which the bank proposes to make
against current earnings and leave a balance of about 475,000 for
transfer to surplus account.
Gross earnings
42,875,000.00
Current expenses
2,168,000.00
Current net earnings
4707,000.00
Estimated appreciation on U.S. Securities 20,433.00
Sundry adjustments
1,875.19
22.308.19
Total
4729,308.19
Proposed deductions:
Furniture and equipment
23,306.90
Other deductions
15,930.24
Total deductions
Balance available for dividends and surplus
Dividends paid June 30
- 303,338.34
Estimated dividends July 1 to December 31
- 311,794.68
Total dividends
Balance to be transferred to surplus
MEI
IMMO
39,237.14
690,071.05
615,133.02
74,938.03
Your Committee
finds that the proposed deductions from current
the Garnings are in accordance with the Board's instructions and recommends that
be approved. It is also recommended that the bank be authorized to pay
they
semi-annual dividends on December 31.
The Philadelphia bank reports unpaid indebtedness of failed banks
01. 5,09 3,79, and estimates that it will have a probable loss on account thereof 44.,011.54. The bank does not report any indebtedness
of banks considerrea, be in an unsafe condition and has not requested authority to set up any
ryes to cover probable losses on paper of failed banks."
'
Upon motion of Yr. Hamlin, the recommendations of
the Committee were approved.
r
)
0CI
-21-
The Secretary then read the following report of the COmMittee
•
on Salaries, Expenditures, and Efficiency with regard to salary
adjustments submitted by the Directors of the Federal Reserve Bank
of Philadelphia for the year 1925.
"Your Committee presents herewith the recommendations as to
salary adjustments suhmitted by the officers and directors of the
Federal Reserve Bank of Philadelphia, and recommends approval of all
save one of the recommendations made, as to employees receiving more
than :T2,500 per annum and a- to all employees receiving less than
:;'?2,500 per annum.
The Committee ha- some doubt as to the propriety and justification of the proposed increase in the salary of one of the officers.
Therefore, it begs to submit the present and proposed official salary list of the Philadelphia bank for direct consideration and action
Of the Board.
The Director of the Board's Division of Research and Statistics
suggests that the present salary of $8,000 per annum of Arthur E.
Post be continued at the present rate for at least the first six
months of 1925. (Mr. Post's salary was increased from 4?7,000 to
8,000 January 1, 1921). The same recommendation applies to J. F.
Rehfuss, Manager, F. R. Agent's Statistical Department.
Your Committee further recommends that sinee the budget estimate for the Statistical and Research Department of the bank covers
only the first six months of the year that the Board's approval of
salary recommendations for officers and employees in this department
be also limited to a like period.
The Committee finds that the annual payroll for Philadelphia on
January 1, 1924, was 81,290,061 for 836 officers and employees. Including the increases which have taken place during the year in the
salaries of employees receiving less than $2,500 per annum, the suggested increases for employees receiving in excess of t:2,500 per annum and of the officers, the payroll on January 1, 1925, would be
:4-1,240,808 for 792 officers and employees.
This shovs a reduction of ::49,253.00 for the year in dollars a
and 44 in the number of officers and employees. The reductian in
the salaries as proposed for 1925 is 3.82% of the salaries recommended for 1924.
Your Committee is of the opinion that the Federal Reserve Sank
Of Philadelphia is over-organized and over-manned and that a careful qurvey of the organization by the officers and directors of the
bank could accomplish a further reduction in both the number of officers and employees.
For the information of the Board, attention is called to the
fact that Boston is operating with four Assistant Cashiers whereas
the Philadelphia bank has six. Boston has a total of 688 employees
as against 780 in the Philadelphia bank. It is difficult for the
Committee to justify these differences."
12/23/24
11-11
qt-)
Yr. Hamlin then moved approval of the adjustments
made during the year in the salaries of employees receiving 12,500 or less per annum and the recommendations
made by the Directors as to employees receiving more
than 12,500 per annum with the exception of that for
Yr. J. F. Rehfuss, ranager of the Federal Reserve Agents'
Statistical Department, which should be approved at the
present figure (14,000 per annum) for the first six
months of the year with the understanding that the approval in the case of all other employees In the
statistical and Research Department is for six months
only.
Carried.
After discussion of the statement of the Committee that the
federal Reserve sank of Philadelphia is over-organized and overmanned and that a careful survey of the organization by the officers
and directors of the bank could accomplish a further reduction in
both the number of officers and employees, tr. rianlin moved "That the Board send back the official salary list
of the Federal Reserve Bank of Philadelphia, with the
comments of the Committee that the bank is over-organized
and over-manned and that the official salary list will
have to be adjusted before it is approved by the Board."
Yr. Harlin's motion being put by the Chair
was carried, the members voting as follows:
rr. Hamlin "ayo"
rr. James "aye"
rr. Cunningham "aye"
rtr. rcIntosh "aye"
Governor Crissinger "no"
Yr. Platt "no"
rr. riller "no"
The Secretary then read the following report of the Committee
on Salaries, Expenditures and Efficiency on the subject of the
closing of books of the Federal Reserve Bank of Cleveland, as of
December 31, 1924.
"Your Committee has examined the statement submitted by the
Federal Reserve Bank of Cleveland with its request for authority
to close its books and pay the semi-annual dividend, and finds that
on the basis of the bank's daily balance sheet Form 34 the estimated
12-23-24
gross earnings will be sufficient to cover operating expenses,
the cost of furniture and eouipment purchased during the year, and
depreciation allowances on oank buildings and on machinery and
equipment. Aich earnings will not be sufficient, however, to cover
also the proposed charge off on the Cleveland building to reduce
its book value to estimated replacement cost nor to pay accrued
dividends in full. The estimated earnings and proposed deductions
therefrom are as follows:
Gross earnings
Current expenses
Current net earnings
Estimated appreciation on United
Net income - other real estate
Sundry adjustments.
Total
4,659,345
2,683,145
976,200
21,612
10,956
5,100
1,013,868
tates securities
Proposed deductions:
Furniture and eouinment
099,695.48
2% reserve on bank building at
Cleveland
92,551.17'
2% reserve on bank building at
11,393.07
Pittsburgh.
Charge off incidental Architects' expenses Cleveland building
6,678.26
Charge off on Cleveland building to
reduce to replacement cost
1,141,055.27
10% reserve on fixed machinery and
equipment at Cleveland
243,867.89
10% reserve on fixed machinery and
13,899.45
equipm ,nt at Pittsburgh
6,500.00
Other deductions
1,615,640.59
Total deductions
Deficit in earnings If all of above charges
601,772.59
are made
374,791.34
Dividends paid June 30
Estimated dividends July 1 to
381,360.66
Deenber 31
756,152.00
Total dividends
Deficit in earnings if all of above charges in1,357,924.59
eluding dividend payments are made
The proposed reserves on buildings and on fixed machinery and
equipment at Cleveland and Pittsburgh and the charge off of the'cost
Of furniture and equipment purchased during the year are in accordance with the Board's instructions except that the reserve on fixed
machinery and equinment at Cleveland includes a charge of 09,733.89
to supplement the charge of ';*64,400.11 made in 1923, at which time
the fall allowance of 10% permissible under the Board's instructions
Was not requested. It is recommended that reserves on buildings and
ou fixed machinery and equipment and the charge off for furniture
and equipment be approved as requested by the bank.
flcl
12/23/24
-24-
The proposed charge off on the Cleveland building of
,1,141,055.27, together with the chargo off of incidental
architects' expenses amounting to :6,678.26, would reduce the
book value of the Cleveland building to its estimated replacement cost prior to the ordinary 2% depreciation allowance previously mentioned. The Board approved the recommendation contained in this committee's memorandum of December 9, 1924,
that "charge offs for the purpose of reducing book value of
bank buildings to approximate replacement cost should be made
and any deficit arising from insufficient earnings should be
Charged to surplus account - - -." It is therefore recommended
that these proposed charge offs be approved.
In case the above charge offs are authorized by the Federal Aeserve Board, it will be necessary to charge approximately
4602,000 to the surplus account as the proposed deductions amount
to 41,615,640.59 and the available earnings are estimated at only
41,013,868. It will also be necessary to charge the dividend of
4374,791.34 paid on June 30, 1924, to surplus account as well as
the dividend of 4381,050 for the last 2ix months in case this
PaYment is authorized by the Board. If dividends are paid in
full and all the requested charge offs and reserves are authorized, it will necessitate a charge to the bank's surplus account
of approximately 41,358,000. Inasmuch as the bank now has a surplus of 423,691,137.57, your committee recommends that accrued
dividends be paid in full at the end of this year, and that the
amount there of be charged to the bank's surplus account.
According to the statements accompanying the dividend resolution no amounts are due to the reserve bank from failed banks
or banks considered to be in an unsafe condition,"
Upon motion of Mr. Hamlin it was voted
to approve the recommendations of the Committee.
At this point, Mr. McIntosh left the meeting.
The Secretary then read the following report of the Committee on Salaries,
-4,1aditures and Efficiency with regard to adjustments recommended by the directors
"thA
Federal Reserve Bank of Cleveland in the salaries of officers and employees
the bank and its Pittsburgh and Cincinnati branches during the year 1,425:
"Your Committee presents herewith the recommendations as to
salary adjustments submitted by the officers and directors of the
Federal Reserve Bank of Cleveland, and recommends the approval
12/23/24
-25-
with one exception of said adjustments.
The Committee finds that the annual payroll for Cleveland
and its two branches on January 1, 1924, was 44,806,551 for 1,133
employees. Including the anniversary increases, which have been
made during the year, and the suggested increases for employees
receiving in excess of 42,500 per annum and the officers, the payroll on January 1, 1925, will be $1,640,938 for 965 employees.
This shows a reduction of $165,613 for the year in dollars
and 168 in the number of employees. The reduction in salaries as
proposed for 1925 is 9.1% of the salaries as recommended for 1924.
The exception which the Committee has made in its recommendation of approval arises out of the recommendation made by the Cleveland bank that the salary of Mr. DeCamp, Manager of the Pittsburgh
Branch, be fixed at 413,200 for 1925, which is an increase of 41,200
over his present salary. In the letter of transmittal, Chairman
Wills says 'our Board concurs in the recommendation from the directors of the Pittsburgh Branch regarding the salary of Mr. DeCamp,
but it is not included in the list because of the action of the
Federal Reserve Board last year wherein it was stated that the
maximum salary of any branch manager should not exceed •a2,000
per year.' The Committee, therefore, submits the question of
Mr. DeCamp's salary without further comment or recommendation.
Your Committee further recommends that since the budget
estimate for the statistical and research department of the bank
covers only the first six months of the year, that the Board's approval of salary recommendations for officers and employees in
this department be also limited to a like period."
Upon motion, it was voted to approve adjustments
made during the year in the salaries of employees receiving 42,500 or less per annum and the recommendations
made by the directors as to employees receiving more than
42,500 per annum, with the understanding that the approval
in the case of employees in the statistical and research
department is for six months only.
The Board then considered individually the salaries of officers as
f°11ows:
E. R. Fancher, Governor, present annual salary, 430,000; proposed
Ettb.
ial salary, 430,000.
Upon motion, it was voted to approve a salary of
430,000 for Governor Fancher during the year 1925.
12/23/24
-26-
M. J. Fleming, Deputy Governor, present annual salary, .,15,000; proposed annual salary, 415,000.
Upon motion, it was voted to approve a salary of 415,000
for Mr. Fleming during the year 1925.
F. J. Zurlinden, Deputy Governor, present annual salary, 415,000;
Proposed annual salary, 415,000.
Upon motion, it was voted to approve a salary of 415,000
for Mr. Zurlinden during the year 1925.
J. C. Nevin, Cashier-Secretary, present annual salary, 412,000; proPosed annual salary, 412,000.
Upon motion, it was voted to approve a salary of 412,000
for Mr. Nevin during the year 1925.
C. W. Arnold, Assistant Cashier, present annual salary, 47,000; proPosed annual salary, 47,000.
Upon motion, it was voted to approve a salary of 47,000
for Mr. Arnold during the year 1925.
C. L. Bickford, Assistant Cashier, present annual salary, 46,000;
Proposed annual salary, 46,300.
Upon motion by Mr. Hamlin, it was voted to approve a
salary of 46,300 for Mr. Bickford during the year 1925, Messrs.
James and Cunningham voting "no".
POSed
D. B. Clouser, Assistant Cashier, present annual salary, 46,000; proannual salary 46,300.
Upon motion by Mr. Hamlin, it was voted to approve a
salary of 46,300 for Mr. Clouser during the year 1925, Messrs.
James and Cunningham voting "no".
H. F. Strater, Assistant Cashier, present annual salary 47,500; proP°sed annual salary, h38,000.
Upon motion by Mr. Hamlin, it was voted to approve a
salary of 48,000 for Mr. Strater during the year 1925, Messrs.
James and Cunningham voting "no".
W. F. Taylor, Assistant Cashier, present annual salary, 47,000,
12/23/24
-27-
Proposed annual salary, 47,000.
Upon motion, it was voted to approve a salary of .)7,000
for Mr. Taylor during the year 1925.
Geo. H. Wagner, Assistant Cashier, present annual salary, 46,500; proposed annual salary, 46,500.
Upon motion, it was voted to approve a salary of 46,500
for Mr. Wagner during the year 1925.
H. Fletcher, Assistant Federal Reserve Agent, present annual salary,
6,500; proposed annual salary, 0,000.
Upon motion by Mr. Hamlin, it was voted to fix the salary
of Mr. Fletcher at 47,000 during the year 1925.
J. B. Anderson, Assistant Federal Reserve Agent, present annual salary
44,800; proposed annual salary, 45,000.
Upon 'nation by Mr. James, it was voted to fix the
salary of Mr. Anderson at 45,000 for the first six months
of the year 1925, in accordance with the recommendation of
the Committee.
Auditor, present annual salary, 47,000; proposed annual
salary, 47,000.
Upon motion, it was voted to approve a salary of 47,000
for Mr. Grayson during the year 1925.
--1=-ALJItyman, Assistant Secretary, present annual salary, 45 700;
Pr°posed
annual salary, 45,700.
Upon motion, it was voted to approve a salary of 45,700
for Mr. Stephenson during the year 1925.
Geor
--__Et_kplINEE,
Manager, Pittsburgh Branch, present annual salary, 412,000;
Proposed annual salary, 413,200.
Mr. Hamlin moved that the Board suspend in this case
the limitation of 412,000 which was put on the salaries of
branch managers last year and approve a salary of 413,200 for
Mr. DeCamp during the year 1925.
Mr. Hamlin's motion being put by the chair was lost, the
members voting as follows:
12/23/24
-28-
0CI
Governor Crissinger, "aye"
Mr. Platt, "aye"
Mr. Hamlin, "aye"
Mr. Miller, "no"
Mr. James, "no"
Mr. Cunningham, "no"
Upon motion by Mr. Miller, it was then voted to approve
a salary of 0.2,000 for Mr. DeCamp during the year 1925.
Thomas C. Griggs, Cashier, Pittsburgh Branch; present annual salary, 48,400;
Proposed annual salary, 48,400.
Upon motion, it was voted to approve a salary of
for Mr. Griggs during the year 1925.
8,400
54
13(
nT, A. Brown, Assistant Cashier, Pittsburgh Branch, present annual salary,
* --; proposed annual salary, 4?5,600.
Upon motion by Mr. James, it was voted to approve a salary
of .5,600 for Mr. Brown during the year 1925.
Frank E. Oobun1, Assistant Cashier, Pittsburgh Branch, present annual salary,
sn
-0; proposed annual salary, :4,700.
9
,
Upon motion by Mr. James, it was voted to approve a salary of
4,700 for Mr. Cobun during the year 1925.
Thomas M. Jones, Assistant Federal Reserve Agent, Pittsburgh Branch, present
44u
ual salary, 5,000; proposed annual salary, 45,000.
Upon motion, it was voted to fix the salary of Mr. Jones
at ci;5,000 for the year 1925.
Assistant Auditor, Pittsburgh Branch, present annual salary,
1°20; proposed annual salary, 0,500.
Upon motion by Mr. James, it was voted to approve a salary of
0,500 for Mr. Armor during the year 1925.
1,1-44-21-t_l.._lazginin,
1
Manager, Cincinnati Branch, present annual salary, 410,000;
'-oPosed annual salary, 00,000.
Upon motion, it was voted to approve a salary of 410,000
for Mr. Manning during the year 1925.
B.
47
J. Lazar, Cashier, present annual salary, 47,00J; proposed annual salary,
1000.
Upon motion, it was voted to approve a salary of 47,000
for Mr. Lazar durin% the year 1925.
12,3A4
-29-
John P. H. Brewster, Assistant Cashier, Cincinnati
Branch, present
anzlzal salary 44,200; proposed
annual salary, .p1,500.
Upon motion by Mr. James, it was voted to approve a
salary of 44,500 for Mr. Brewster during the year
1925.
420n
9
gnu. N. Ott, Assistant Cashier, Cincinnati Branch, present annua
l salary,
proposed annual salary, $4,500.
Upon motion by Mr. James, it was voted to approve
a salary
of ;14,500 for Mr. Ott during the year 1925.
P. J. Faulkner, Assistant Federal Reserve Agent Cinci
,
nnati Branch; present
1 salary, 43,300; proposed annual salar
y, 43,300.
8.111
Upon motion, it was vottAl to fix Mr. Faulkner's salary
at 43,300 for the year 1925.
B. Kennelly, Assistant Auditor, Cinci
nnati Branch, present annual salary
° 660; proposed annual salary,
:0,800.
Upon motion by Mt. James, it was voted to approve a salar
y
of 0,800 for Mr. Kennelly during the year 1925.
The Secretary then road the following
report of the Committee on Salaries,
4.13ellaitures and Effic
iency on the subject of the closing of books of the Feder
al
ilese:rve Bank of Atlanta, as
of December 31, 1924:
"Your committee has examined the statement submitted by
the Federal
()serve Bank of Atlanta with
its request for authority to close its books
d pay the semi-annual dividend, and
finds that on the basis of the bank's
,aily balance sheet Form 34 the estimated
gross earnings will be sufficient.
'
0 cover current operating expen
ses, the cost of furniture and equipment
Purchased during the year, depreciation allow
ances on its bank buildings
11(1 on machinery and equipment, proposed
addition to reserve for probable
2sses, and in addition, the greater part of
the dividends accrued to the
-fla of the year. The estimated earnings and propo
sed deductions therefrom
are as follows:
r
7
Gross earnings
Uurrent expenses
Current net earnings
Profit and Loss
Total
.4,922,466.01
1 241 333.53
Proposed deductions:
Furniture and Equipment
2; reserve on bank premises at Atlan
ta reserve on bank building at Nashville
,A81,132.48
10,003.00
691,132.48
al•
17,192.43
20,017.29
2,875.79
12/23/24
-30-
24 reserve on bank building at New Orleans - ..11,527.08
Chargeoff on bank building at Jacksonville
to reduce to replacement cost
22,305.19
10;; reserve on fixed machinery and equipmen
at Atlanta
17,345.26
107 reserve on fixed machinery and equipmen
at Jacksonville
2,595.61
10'70 reserve on fixed machinery and equipment
at Nashville
2,510.06
10/; reserve on fixed machinery and equipment
at New Orleans
15,757.97
Aeserve for probable losses
- 34.4.132.42
Total deductions
Balance available for dividends
Dividends paid June 30
135,197.43
Estimated dividends July 1 to December 31 - 137.507.73
Total dividends
Deficit in earnings if ill of above charges are made -
Li
456.259.10
234,873.38
272 705.16
37,831.78
"Your committee finas that the deductions from current net earnings
furniture and equipment and for depreciation on bank buildings and on
o xed machinery and equipment are reasonable and in accordance with the
il
4110 s instructions and recommends that they be approved."
"The Federal Reserve Bank of Atlanta reports losses of 4474,132.42
04
thI Per of failed banks and estimates that probable additional losses on
account will amount to 4360,000. It also states that nrobahle losses
1114 Paper of
banks considered in an unsafe condition are estimated at 4250,000,
!
f I tug a total of 41,084,132.42 of probable losses on account of paper of
eVed banks and banks considered in an unsafe condition. The bank now
se ries a reserve of 4740,000 to cover such losses and asks authority to
4 11P an additional reserve
of 4344,132.42.
"It is recommended that the bank be authorized to pay all accrued
:vtidends in full and to
set up the balance of its remaining net earnings,
as or deduction of dividends and of any other amounts that may be authorized,
,„an a-tditional reserve to cover probable losses on paper of failed banks,
Za that it
be advised that it will not be the policy of the Federal Re:e Board to authorize l'ederal reserve banks to make charges against the
rIv.Plus account for the purpose of setting up reserves to cover probable
Ilre losses the amount of which has not yet been definitely determined."
Upon motion by Mr. James, the recommendations of the
Committee were approved.
The Secretary then read the following report of the Committee on Salaries,
143ellditures and Efficiency with regard to salary adjustments submitted by the
directors of the Federal Aeserve Bank of Atlanta, for the officers and
employees
of
the bank and its Birmingham, Nashville, Jacksonville and New Orleans branches,
12/23/24
-31-
8nd Havana and Savannah Agencies,
during the year 1925:
"Your Committee presents herewith the recommendations as to salary
adjustments submitted by the officers and directors of the Federal Reserve Bank of Atlanta and recommends approval of all adjustments made
as to employees receiving less than 42,500 per annum, and likewise
recommends approval of the recommendations made as to all employees receiving more than g,500 per annum.
"The bank submits the following changes in regard to salaries of
the officers of the organization:
1. M. W. Bell, Cashier, home office, present salary
47,000, proposed salary 46,000.
2. H. J. Urquhart, Assistant Cashier, Birmingham Branch,
present salary 42,400, proposed salary 43,000.
3. E. C. Huggins, Jr., Cashier, Nashville Branch,
present salnry c;2,700, proposed salary ,,,3,000.
"The Committee recommends approval of these proposed adjustments in
officers' salaries.
"The Committee notes that the bank holds, effective April 1, 1925,
the resignations of J. M. Slattery, Manager of Bank and Public Relations
Department of the parent bank, salary 46,000 per aanum, W. H. Toole,
Manager, Fiscal Agency Department of the parent bank, salary 46,000
per ainum, and L. C. Adelson, Manager, Havana Agency b salary .:;16,000
per annum, making total salaries of 428,000.
"The Committee also notes that effective January 1, 1925, the
.salary of 7. R. Patterson, at the home office will be reduced from
1,4,200 to 43,600 per annum, the arrangement to be made being in the
nature of a transfer from the office of Assistant Cashier to the
Position of traveling representative.
"These reductions will have the effect of reduciJw the official
salary list of the Atlanta bank .29,600 by and as of April 1, 1925.
"Your Committee further recommends that since the budget estimate
for the statistidal and research department of the bank covers only
the first six months of the year, that the Board's approval of the
salary recommendations for officers and employees in this department
be also limited to a like period.
.
"The Committee finds that the annual payroll of the Atlanta bank,
its branches and agencies, on January 1, 1924, was 4733,768 covering
472 officers and employees. Including the increases which have taken
,Place during the year in the salaries of employees receiving less than
29500, and the suggested increases for officers and employees effective January 1, 1925, the payroll on January 1, 1925 would be 4672,068
for 399 officers and employees.
"This shows a reduction of 461,720 in dollars and 73 in the number
Of officers and employees. The reduction in salaries as proposed for
1925 as against 1924 is 8.41%.
"The Committee recommends that the Board give official recognition
and approval of the voluntary efforts now being made and the results
accomplished by the officers and directors of the Atlanta bank in the
Way of promoting economy and efficiency in the organization."
c-• r7,
12/23/24
-32-
Upon motion, it was voted to approve the adjustments
made during the year in the salaries of employees receiving $2,500 or less per annum and the recommendations
made by the directors as to employees receiving more than
42,500 per annum, with the understanding that the approval
in the case of employees in the statistical and research
department is for six months only.
The Board then considered individually the salaries of officers, as
follows:
M. B. Wellborn, Governor, present annual salary „;>20,000, proposed annual
salary 420,000.
Upon motion, it was voted to approve a salary of
,420,000 for Yr. Wellborn during the year 1925.
J. L. Campbell, Deputy Governor, present annual salary „;12,000; proposed
annual salary, 412,000.
Upon motion, it was voted to approve a salary of
412,000 for Yr. Campbell during the year 1925.
Creed Taylor, Deputy Governor, present annual salary, 49,000; proposed
44nua1 salary, 49,000.
Upon motion, it was voted to approve a salary of
39,000 for Mr. Taylor during the year 1925.
Ward Albertson, Assistant Federal Aeserve Agent and Secretary, present
aluallal salary 46,500, proposed annual salary, 46,500.
Upon motion, it was voted to fix Mr. Albertson's
salary at „6,500 during the year 1925.
Bell, Cashier, present annual salary $7,000, proposed salary, ,$6,000.
Upon motion, it was voted to approve a salary of
46,000 for Mr. Bell during the year 1925.
2Lt_g_2_22
. hns, General Auditor, present annual salary .6,000; proposed
wanial salary, ii;6,000.
Upon motion, it was voted to approve a salary of
46,000 for Mr. Johns during the year 1925.
12/23/24
-33-
J. V. Honour, Assistant Auditor, present annual salary, ,„;3,300; proposed annual salary 43,300.
Upon motion, it was voted to approve a salary of
43,300 for Mr. Honour during the year 1925.
W. H. Toole, Manager, Fiscal Agency Department, present annual salary
C 61000; proposed annual salary, 000 per month, pending resignation effective
April 1, 1925.
Upon motion, it was voted to approve a salary of
4500 per month for Mr. Toole for the first three months
of the year 1925.
- 5,000; proRandolph & Parker, General Counsel, present annual salary ,'i
Posed annual salary 45,000 (including salary of 1 stenographer at ;A,500 per
annum.)
At the request of Mr. Hamlin, Chairman of the Law
Committee, it was voted to defer action on the salary of
Randolph & Parker.
H. F. Conniff, Assistant Cashier, present annual salary .4,200; proposed
annual salary, 44,200.
Upon motion, it was voted to approve a salary of
44 200 for Mr. Conniff during the year 1925.
J. B. Tutwiler. Assistant Cashier, present annual salary 44,200, proPosed annual salary, 44,200.
Upon motion, it was voted to approve a salary of
:$,200 for Mr. Tutwiler during the year 1925.
Ii. A. Sims. Assistant Cashier, present annual salary :ii;4,200; proposed
annual salary, 44,200.
Upon motion, it was vot3d to approve a salary of
4,200 for Mr. Sims ddring the year 1925.
7. R. Patterson, Assistant Cashier, present annual salary :4,200,
Proposed annual salary ,i;3,600 (to be transferred to position of traveling
representative, Bank Relations Department, effective January 1, 19:25).
Upon motion, it was voted to approve a salary of ;.;3,600
for Mr. Patterson during the year 1925.
t_.,3 LA.
12/23/24
-34-
3. M. Slattery, Manager, Bank and Public aelations Department, present
annual salary 4?6,000; proposed salary .500 per month, pending resignation
effective April 1, 1925.
Upon motion, it was voted to approve a salary of
4500 per month for Mr. Slattery for the first three months
of the year 1925.
A. E. Walker, Manager, Birmingham Branch, present annual salary, 46,000;
Proposed annual salary, .6,000.
Upon motion, it was voted to approve a salary of
46,000 for Mr. Vialker during the year 1925.
H. J. Urquhart, Assistant Cashier, Birmingham Branch, present annual
.2,400; proposed annual salary, 43,000, (Elected Cashier effective
eaTuary 1, 1925.)
Upon motion by Yr. James, it was voted to approve
a salary of 0,000 for Mr. Urquhart during the year 1925.
2
T. N. Knowlton, Chief Clerk, Birmingham Branch; present annual salary,
,040; proposed annual salary, .2,220. (Elected Assistant Cashier effective
vanuary 1, 1925.)
Noted.
45,50O:
a. DeSaassure,
Manager, Jacksonville Branch, present annual salary,
proposed annual salary, 45,500.
Upon motion, it was voted to approve a salary of
45,500 for Mr. DeSaussure during the year 1925.
S. LicLarin, Jr., Cashier, Jacksonville Branch, present annual salary
proposed annual salary, .0,600.
Upon motion, it was voted to approve a salary of
4;3,600 for Mr. McLarin during the year 1925.
,
0'001 B. Fort Jr., Manager, Nashville Branch, present annual salary,
A,500
proposed annual salary, .4,500.
Upon motion, it was voted to apbrove a salary of
4,500 for Yr. Fort during the year 1925.
ISt
__Lf,h1-PAL
. Jr., Cashier, Nashville Branch, present annual salary, ,;2,706;
Posed annual salary, 43,000.
Upon motion by Mr. James, it was voted to approve a
salary of 43,000 for Mr. Hui:gins during the year 1925.
12/23/24
-35-
Marcus 71alker, Manager, New Orleans Branch, present annual salary,
,12,000; proposed annual salary, .,12,000.
Upon motion, it Was voted to approve a salary of
412,000 for Mr. Walker during the year 1925.
• H. Black, Assistant Manager, New Orleans Branch, present annual
salary 45,700; proposed annual salary, 45,700.
Upon motion, it was voted to approve a salary of
45,700 for 2r. Black during the year 1925.
J. A. Walker, Cashier, New Orleans Branch, present annual salary
tou,600, proposed annual salary 45,300.
apon motion, it was voted to approv( a salary of
45,300 for Mr. Walker during the year 1925.
C. Vasterling, Assistant Cashier, New Orleans Branch, present annual
salary 43,120, proposed annual salary 43,120.
Upon motion, it was voted to approve a salary of
43,120 for Mr. Vasterling during the year 1925.
Lawson Brown, Auditor and Assistant Federal leserve Agent, present annual
8a1arY 44,000, proposed annual
salary, 44,000.
Upon motion, it was voted to fix a salary of
44,000 for Mr. Brawn during the year 1925.
a.
N. Groover, Manager, Savannah Agency, present annual salary 44,000;
Proposed annual salary, 44,000.
Upon motion, it was voted to approve a salary of
44,000 for Mr. Groover during the year 1925.
D. E. Avery, Assistant Manager, Savannah Agency, present annual salary
'112,400, proposed annual salary, 42,400.
Noted.
J. C. Adelson, Manager, Havana Agency, present annual salary, 416,000;
3.925r'0p0sed salary 41,333.33 per month, pending resignation effective April 1,
,
Upon motion, it was voted to approve a salary of
41,333.33 per month for Mr. Adelson for the first three
months of the year 1925.
12/23/24
-36-
L. L. Magruder, Assistant Manager, Havana Agency, present annual salary
$4,200; proposed annual salary, 44,200.
Upon motion, it was voted to approve a salary
of 44,200 for Mr. Magruder during the year 1925.
The Secretary then read the following report of the Committee on
Salaries, Expenditures and Efficiency, on the subject of the closing of
books of the Federal Reserve Bank of Chicago, as of December 31, 1924:
"Your committee has examined the statement submitted by the
Federal Reserve Bank of Chicago with its request for authority to
close its books and pay the semi-annual dividend, and finds that on
the basis of the bank's daily balance sheet Form 34 the estimated
gross earnings will be sufficient to cover current operating expenses,
accrued dividends, and other charges which the bank proposes to make
against current net earnings. The estimated earnings and propes,ad deductions therefrom are as follows:
Gross earnings
..
Current expenses
Current net earnings
Reserve for probable losses set aside on
December 31, 1923
Recoveries suspended banks Appreciation on U. S. securities Sundry adjustments
45,125,000.00
3.950.000.00
1,175,000.00
400,000.00
157,372.19
21,370.00
3.800.00
Total
Proposed deductions:
12,000.00
Furniture and equipment
90,996.72
Chicago
at
210 reserve on bank building
6 2/3% reserve on fixed machinery
74,200.00
and equipment
banks
Claims against failed
610,139.29
(1924 failures)
4.200.00
Other deductions
Total deductions
Balance available for dividends, surplus, and
franchise tax
453,699,25
Dividend paid June 30
Estimated dividend July 1 to
455.000.00
December 31
Total dividends
Available for surplus and franchise tax To be transferred to surplus Payable as a franchise tax -
. .19
582542
1,757,542.19
791.536,01
966,006.18
908.699,25
57,306,93
5.750.69
51,576.24
ii
12/23/24
-37-
"Your committee finds that the deductions from current net earnings
for furniture and equipment and for depreciation on bank buildings and
on
fixed machinery and equipment are reasonable and in accordance with the
Board's instructions and recommends that they be approved.
"In accordance with its previous practice the Chicago bank asks
authority to charge off the entire net indebtedness of failed banks,
amounting to 610,139.29 and to credit back to profit and loss the reserve of ,400,000 for probable losses set aside at the end of 1923, and
also to credit profit and loss with $157,372.19 collected during the
year on paper previously charged off in full. It is the practice at
all other Federal Reserve banks to set up reserves to
cover probable
losses and to charge the reserve with losses when the amounts thereof
have been definitely determined, an0 it is recommended that the Chicago
bank be required to follow the same practice. It is therefore recommended that the Chicago bank be authorized to pay all accrued, dividends in
full, that it be instructed to transfer the 4457,372.19 now carried as
recoveries from suspended banks to its present reserve for probable
losses and that it be authorized to charge its current earnings and
0 transfer to its reserve for probable losses an additional amount of
i?52,767.10 or thereabouts, which will bring the reserve up to 1 610,139.29,
which it has asked authority to charge off.
"It is also recommended that the bank be advised that it will not
,
13e the policy of the Federal Reserve Board to authorize Federal reserve
vaaks to make charges against the surplus account for the purpose of
setting up reserves to cover future losses, the amount of which has not
Yet been ascertained."
Upon motion by Mr. Platt, the recommendations of the
Committee were approved.
The Secretary then read the following report of the Committee on Salaries,
410enditures and Efficiency with regard to salary adjustments submitted by the
Directors of the Federal Reserve Bank of Chicago for the officers and employees
Of the
bank and its Detroit branch for the year 1925.
"Your Committee presents herewith the recommendations as to
ai
adjust.ents submitted by the officers and directors of the Federal
;eserve Bank of Chicago, and recommends approval of all adjustments made
to employees receiving less than .,2,500 per annum. Your Committee like;1se recommends the approval of the proposed salary increases for employees
seceiving more than .2,500 per annum, with the exception of the proposed
,
41arY increase for A. Olson, Confidential Secretary, from .,i3,600 to V1,000
ver annum. The Committee recommends disapproval of this recommendation.
"'ho Committee has considerable doubt as to the propriety and
iusf.
-lfication of the proposed increases in the salaries of the officers
fr)
L.0
12/23/24
"and feels that the Board, as a whole, should give careful
consideration to the entire official salary list of the
Chicago bank and Detroit Branch, as well as to the general
set up of the official organization, which to the minds
of the Committee, seems unnecessarily elaborate both as to
the Chicago and Detroit offices.
The Director of the Board's Division of Research and
Statistics suggests that the present salary of 46,500 per
annum for F. M. Huston,Manager of the Research and Statistics
Division of the Chicago bank be continued at the present rate
for the first six months of 1925.
Your Committee further recommends that since the budget
estimate for the statistical and research department of the
bank covers only the first six months of the year, that the
Board's approval of salary recommendations for officers and
employees in this department be also limited to a like
period.
The Committee finds that the annual payroll of the
Chicago bank and Detroit Branch on January 1, 1924, was
.2,801,380 for 1,726 officers and employees. Including the
increases which have taken place during the year and the
suggested increases for officers and employees effective
January 1, 1925, the payroll on January 1, 1925 would be
42,542,485 for 1,410 officers and employees.
This shows a reduction of 4258,895 in dollars and 286
in the number of officers and employees. The reduction in
salaries as proposed for 1925 as against those recommended
for 1924 amounts to
Your Committee is of the opinion that the Federal
Reserve Bank of Chicago and its branch at Detroit is consideraoly over-organized and over-manned, and that the
directors and officers of the bank should make a careful
survey of the organization with a vial; of accomplishing a
further reduction in both the number of officers and employees.
Mr. Hamlin then moved approval of the
adjustments made during the year in the salaries
of employees receiving 42,500 or less per annum
and the recommendations made by the Directors
as to employees receiving more than 42,500 per
annum with the exception of that for A. Olson,
Confidential. Secretary to the Governor, which
should be approved at the present figure,
43,600; with the understanding that the approval
1- ;
12/23/24
.39-
in the case of employees in the Statistical
and Research Department is for six months
only.
Carried.
After discussion of the statement of the Committee that the
Federal Reserve Bank of Chicago and its Detroit branch are considerably over-organized and over-,
manned and that the directors and
officers of the bank should make a careful survey of the organization
with a view of accomplishing a further reduction in both the number
Of
officers and employees, Er. Hamlin moved "That the Board send back the official salary
list of the Federal Reserve Bank of Chicago with
the comments of the Committee that the bank and
its branch are over-organized and over-manned, and
that the official salary lists will have to be adjusted before they are approved by the Board.
Mr. Hamlin's motion being put by the Chair
was carried, Messrs. Platt and Miller voting "no".
The Secretary then read the following report of the Committee
Salaries, Expenditures and Efficiency on the subject of the closing
Of
books
of the Federal Reserve Bank of Dallas as of December 31, 1924.
"Your Committee has examined the statement submitted by the Federal Reserve Bank of Dallas with
its request for authority to close its books and pay
the semi-annual dividend, and finds that on the basis
of the bank's daily balance sheet Form 34 the estimated gross earnings will be sufficient to cover current operating expenses, accrued dividends, and other
charges which the bank now proposes to make against
current earnings. The estimated earnings and proposed deductions therefrom are as follows:
12/23/24
Gross earnings
Current expenses
Current net earnings
Sundry adjustments
Total
-40-
.2,138,057.56
1,330,607.13
Proposed deductions:
Furniture and equipment
2% reserve on bank building at Dallas
2% reserve on bank building at El Paso
2% reserve on bank building at Houston
Reserve on fixed machinery and equipment
at Dallas
Reserve on fixed machinery and equipment
at El Paso
Reserve on fixed machinery and equipment
at Houston
Reserve for probable losses
Other deductions
Total deductions
Balance available for dividends and surplus
Dividends paid June 30
Estimated dividends July 1 to December 31
Total dividends
Balance to be transferred to surplus
07,450.43
31,006.83
838,457,26
9,154.95
18,593.53
1,845.26
5,629.97
13,269.06
592.03
2,590.14
500,000.00
207.95
551 882 89
286,574.37
125,549.40
124,186.56
249,735.96
36,838.41
Your committee finis that the proposed deductions from current net
earnings for furniture and eouinment and for depreciation on bank buildings and on fixed machinery and equipment are reasonable and recommends
that they be authorized. The building at Houston is now carried at
:'270,286.50, although its estimated replacement cost is only233,688.05.
It is therefore recommended that the Dallas bank be advised that in keep1117 with th,
1 Board's policy of having the balanc3 sheet of the bank represent true values, the Board would suggest that the book value of the
Houston buildina be written down to its estimated renlacement cost on the
Closing of books at the end of this year and that in the future the 2 per
cent depreciation reserve be based on the replacement cost of the building.
The Federal Reserve bank estimates that its probable losses on account of failed banks will amount to :1,519,500. The bank has therefore
requested authority to increase its present reserve for probable loses
of '1,028,621 by 500,000, and your committee recommends that the additional reserve be authorized by the Board. Little or no loss is anticipated by the Dallas bank on paper of banks considered to be in an overextended or unsafe Condition.
As the earnings of the Federal reserve bank are sufficient to cover
all proposed charges including accrued dividends, it is recommended that
the payment of the semi-annual dividend be authorized and that the balance of net earnings remaining, if any, be transferred to its surplus
account."
12/23/24
-4
Upon motion by Mr. Hamlin the recommendations of
the Committee were approved.
The Thcretary then read the following report of the Committee on
Salaries, Expenditures and Efficiency, with regard to adjustments recommended by the Directors of the federal Reserve Bank of Dallas in
the salaries of officers and employees at the bank and its El Paso and
Houston Branches during the year 1925.
"Your Committee presents herewith the recommendations as to salary adjustments submitted by the officers and directors of the Federal
Reserve Bank of Dallas and recommends approval of all adjustments made
as to employees receiving less than $2,500 per annum, and also to approve the recommendations made as to employees receiving more than
C'2,500 per annum.
The bank recommends a total increase of 41'20,250 in officers' salaries, said recommendation extending practically throughout the entire
list of officers connected with the organization. Your Committee,
therefore, begs to submit the present and proposed official salary
list of the Dalls bank for direct consideration and action of the
Board.
Your Committee further recommend- that since the budget estimates
for the Statistical and Research Donartment of the bank cover only the
first six months of the year that the Board's apnroval of salary reco-mendations for 0:1leers and employees in this Department be also
limited to a like period.
The Committee finds that the annual pay roll for the Dallas bank
and branches on January 1, 1924, was 020,780, covering 556 officers
and ethployees. Including the increases which have taken place throughOut the year in the salaries of employees receiving less than $2,500
per annum and the suggested increases for employees and officers effective January 1, 1925, the payroll would be ,,='853,060, covering 488
employees. This dhows a reduction of ';67,720 in dollars and 66 in the
number of officers and employees. The reduction in the salaries as
Proposed for 1925 as compared to those recommended for 1924 is 7.35%.
For the information of the Board, the Committee begs to call attention to a comparisOn between the total payroll as proposed for 1925
between the Dallas and Minneapolis Federal Reserve Banks:
Dallas
Minneapolis
Difference
Payroll
853,060
667,567
185,493
Personnel
488
392
96
The Committee feels that the senior officers and director- of the
Dallas Bank should make a careful study, and survey all along the line
In the operation of the Bank
the view of mate..ially increasing the
efficiency of the junior staff and employees as well a a considerable
reduction in number."
12/23/24
Upon motion by Mr. Hamlin it was voted to approve tho adjustments made daring the year in the
salaries of employees receiving 42,500 or less per
annum and the recommendations made by the Directors
as to employees receiving more than 42,500 per annum, with the understanding that the approval in
the case of employees in the Statistical and aesearch Department is for six months only.
At 1:20 P.M. the meeting adjourned to re-convene at 3:00 o'clock.
At 3:00 P.M. the Board re-convened, the same members being present as at
the morning session.
The Board then proceeded to consider individually the
Eialaries of officers as follows:
a
a1
B. A. McKinney., Governor; present annual salary, 418,000; proposed annual
Y,
Yr. Platt moved that the Board disapprove the
salary of ,i 24,000 per annum for Governor McKinney,
recommended by the Dallas directors but that the
directors be advised the Board will approve a salary of 20,000 for the Governor.
Mr. Platt's motion being put by the Chair was
carried, Mr. Miller voting "no".
The Secretary then read a letter addressed to the Board by Mr. C. E.
Class "C" Director of the bank, recommending that the salary of Mr.
LY44 P.
Talley, Federal 2eserve Agent, be fixed at 424,000 for the year 1925.
Mr. Miller moved that the salary of Mr. Talley
be fixed at v18,000 for the year 1925.
Mr. Miller's motion being put by the Chair was
carried, Messrs. Crissinger and Cunningham voting
Chas. C. Hall Assistant Federal aeserve Agent; present annual salary,
proposed annual salary, 47,000..
Upon motion it was voted to fix a salary of
47,000 for Mr. Hall during the year 1925.
461
W. J. Evans, Assistant Federal Aeserve Agent; present annual salary,
0; proposed annual salary 46,000.
Upon motion it was voted to fix a salary of
i;6,000 for Mr. Evans during the year 1925.
r%
4 I
12/23/24
R. R. Gilbert, Deputy Governor; present annual salary 09,000;
proposed annual salary, $10,000.
Mr. Platt moved approval of a salary of ,A0,000
for Yr. Gilbert during the year 1925.
Mr. Platt's motion being put by the Chair was
lost, the members voting as follows:
Governor Crissinger "no"
Er. Miller "no"
Er. Cunningham "no"
Mr. Platt "aye"
Mr. Hamlin "aye"
Er. James "aye"
Er. McIntosh not voting.
Upon motion of Mr. Miller it was then voted to
approve a salary of $9,000 for Yr. Gilbert during the
year 1925.
Val. J. Grind, Deputy Governor; present annual salary 47,500;
Proposed annual salary, 03,000.
Plonn motion of Mr. Hamlin it was voted to approve
a salary of ,'4,000 for Mr. Grand during the year 1925,
Mr. Cunningham voting "no".
R. B. Coleman, Cashier; present annual salary 06,000; proposed
annual salary, $7,200.
Upon motion by Er. Platt it was voted to disapprove
the salary of 07,200 for Mr. Coleman recommended by the
Dallas directors but to advise the directors that the Board
will approve a salary of 46,600 for Yr. Coleman, Messrs.
Miller and Cunningham voting "no".
17. 0. Ford, Assistant Cashier; present annual salary 44,500;
Proposed annual salary 45,000.
Upon motion by Er. Cunningham it was voted to approve a salary of $4,500 for Yr. Ford during the year 1925.
R. T. Freeman, Assistant Cashier; present annual salary 44,500;
Proposed annual salary ,A,500.
Upon motion, it was voted to approve a salary of 44,500
for hr. Freeman during the year 1925.
1% D. Gentry, Assistant Cashier; present annual salary 44,200;
Posed annual salary 04,500.
Upon motion of Er. Cunningham it was voted to approve
a salary of %,200 for Er. Gentry during the year 1925,
ressrs. Platt and Hamlin voting "no".
12/23/24
J. L. Hermann, Assistant Cashier; present annual salary
14,000; proposed annual salary 14,200.
Upon motion by Fr. Platt, it was voted to approve
a salary of 4,000 for Yr. Hermann during the year 1925.
A. B. Austin, Assistant Cashier; present annual salary
14,000; proposed annual salary 04,200.
Fr. Hamlin moved approval of a salary of 14,200
for Ft. Austin during the year 1925.
Yr. Hamlin's motion being put by the Chair was lost,
the members voting as follows:
Governor Crissinger "no"
Fr. Filler "no"
Fr. Cunningham "no"
Fr. Platt "aye"
Yr. James "aye"
Yr. Hamlin "aye"
Yr. rcIntosh not voting.
Upon motion it was then voted to approve a salary
of 14,000 for Er. Austin during the year 1925.
After discussion Yr. Platt moved reconsideration
of the Board's action in voting to approve a salary
of $4,200 for Assistant Cashier Gentry.
Carried, Yr. Filler and Fr. Cunningham
voting "no".
Upon motion by Yr. Platt it was then voted to
approve a salary of $4,500 for Er. Gentry during the
year 1925, /essrs. Filler and Cunningham voting "no".
R. L. Foulks, General Auditor; present annual salary '4,200;
proposed annual salary $4,800.
Upon motion by Mt. Platt it was voted to disapprove
the salary of IA,600 for Fr. Foulks recommended by the
Dallas directors but to advise the directors that the
Board will approve a salary of $4500 for Er. Foulks,
ressrs. Filler & Cunningham voting "no".
17, P. Clarke, Assistant Auditor; present annual salary 43,600;
Proposed annual salary $3,900.
Upon motion by rt. Platt it was voted to approve a
salar7 of 13,900 for Fr. Clarke during the year 1925,
ressrs. Filler and Cunningham voting "no".
3. H. Leaven, Assistant Auditor; present annual salary $3,600;
Proposed annual salary :;$3,600.
12/23/24
Upon motion it was voted to approve a salary of
03,600 for Yr. Leaven_ during the year 1925.
E. 9. Stroud, General Counsel; present annual salary 47,000;
Proposed annual salary $8,400.
Mr. Hamlin moved that the Board approve a salary
of $8,400 for Mr. Stroud durirz the year 1925.
Mr. Namlin's motion being put by the Chair was lost,
the members voting as follows:
Yr. Miller "no"
Er. James "no"
Er. Cunningham "no"
Mr. McIntosh "no"
Governor Crissinger "aye"
Er. Platt "aye"
Yr. Hamlin "aye"
Er. Platt then moved that the Board approve a
salary of $8,000 for Yr. Stroud during the year 1925.
Er. Platt's motion being put by the Chair was
lost, the members voting as follows:
Mr. Miller "no"
* Mr. James "no"
Mr. Cunningham "no"
Mr. McIntosh "no"
Governor Crissinger "aye"
Mr. Platt "aye"
Er. Hamlin "aye"
It was then voted to approve a salary of $7,000
for Mr. Stroud during the year 1925.
C. C. Huff, General Counsel; present salary 11,200; proposed
annual salary $1,200.
Upon motion it was voted to approve a salary of
for Yr. Huff during the year 1925.
$1,200
Dwight P. Reordan, Manager El Paso Branch; present annual salarY 05,400; proposed annual salary 06,000.
Upon motion by Fr. James it was voted to approve
a salary of 16,000 for Er. Reordan during the year
1925, Messrs. Miller and Cunningham voting "no".
M. Crump, Cashier El Paso Branch; present annual salary $4,000;
Proposed annual salary 14,200.
Upon motion by Er. James it was voted to approve a
salary of 14,200 for Mr. Grump during the year 1925.
C't 4 }•
- -4
±.
.
t.)
12/23/24
-46-
44;
Allen Sayles, Assistant Cashier, El Paso Branch; present annual
salary, 43,200; proposed annual salary, v3,300.
Upon motion by Mr. Miller, it was voted to approve
a salary of 43,300 for Yr. Sayles during the year 1925.
M. C. Smyth, Branch Auditor, El Paso Branch; present annual
salary, 42,700; proposed annual salary, J2,800.
Upon motion by Mr. Platt, it was voted to approve
a salary of 42,800 for Mr. Smyth, during the year
1925.
Fred Harris, Manager, Houston Branch; present annual salary
5.500; proposed annual salary :46,200.
Upon motion by Mr. James it was voted to disapprove
the salary of 46,200 for Mr. Harris recommended by the
Dallas directors but to advise the directors that the
Board will approve a salary of 46,000 for Mr. Harris,
Messrs. Miller and Cunningham voting "no".
L. G. Pondrom, Cashier, Houston Branch; present annual salary
0,500; proposed annual salary, 43,750.
Upon motion by Mr. James, it was voted to approve
a salary of 43,750 for Mr.'Pondrom during the yaar 1925.
H. R. DeMoss. Assistant Cashier, Houston Branch; present annual salary
0,000; proposed annual salary, 43,200.
Upon motion by Mr. James, it was voted to approve
a salary of 43,200 for Mr. DeMoss during the year 1925.
C. L. Whitley, Branch Auditor, Houston Branch; present annual
salary, 42,700; proposed annual salary, 42,700.
It was voted to approve a salary of J2,700 for
Mr. Whitley during the year 1925.
The Secretary then read the following report of the Committee on
Salaries, Expenditures and Efficiency on the subject of the closing of
books of the Federal Reserve Bank of St. Louis as of December 31, 1924:
CI 4 c
12/23/24
"Your Committee has examined the statement submitted by the
ty to
Federal Reserve Bank of St. Louis with its request for authori
that
finds
and
nd,
divide
nnual
semi-a
close its books and pay the
on the basis of the bank's daily balance sheet Form 34 the estit operating
mated gross earnings will be sufficient to cover curren
during the
ed
purchas
ent
equipm
and
ure
expenses, the cost of furnit
expense
net
and
gs
buildin
bank
its
on
year, depreciation allowances
divithe
of
part
r
greate
the
on,
"Other real estate", and in additi
and
s
earning
ted
estima
The
dends accrued to the end of the year.
s:
follow
as
proposed deductions therefrom are
Gross earnings
Current expenses
Current net earnings
Profit and Loss - Credit
Total
.4,677,231.59
1.427.352.66
.249,876.91
2,235.65
.g52,114.56
ONO
IMP
IMO
Proposed deductions:
24,621.92
Furniture and equipment at
ng
buildi
2/0 reserve on bank
4,400.00
Louisville
.38
17,870
estate
Expense other real
.28
12,447
Profit and Loss - Debit
Total deductions
Balance available for dividends
151,615.23
Dividends paid to June 30
to
1
Estimated dividends July
153,409.77
December 31
Total dividends Deficit in earnings if dividends are paid_
in full MIS
59,339.58
192,774.98
305.025.00
112,250.02
ions from curYour Committee recommends that the proposed deduct
expense "Other real
rent net earnings for furniture and equipment, net
sundry profit
and
ng,
buildi
ille
Louisv
the
estate", depreciation of
and loss debits be approved.
to .65,000,
Estimated losses on account of failed banks amount
ereu to be in an unsafe
while similar losses in the case of banks consid
now has a reserve for
condition amount to 25,000. Inasmuch as the bank
that any additional proprobable losses of .,250,000 it is not requested
.
losses
e
probabl
vision be made to cover
itate a charg:
The payment of accrued dividends in full will necess
Inasmuch as the
against the bank's surplus of approximately 412,000.
recommends that
tee
Commit
your
8
bank now has a surplus of 40,071,742.5
thereof as may
n
portio
such
that
accrued dividends be paid in full and
t."
accoun
s
be necessary be charged to the surplu
Ct 4 11,
l2/23/z4
-48-
Upon motion by Mr. James, it was voted to approve
the recommendations of the Committee.
The Secr ?
, tary then read the following report of the Committee on Salari
es,
Expenditures and Efficiency, with regard
to salary adjustments submitted by
the Directors-of the Federa
l Reserve Bank of St. Louis in the salaries of
O fficers and employ
ees of the bank and its Little Rock, Memphis and Louisville
branches
during the year 1925:
"Your Committee submits herewith the salary recommendations
made by the officers and directors of the Federal Reserv
e Bank of
St. Louis, and recommends approval of all adjust
ments recommended
by the directors concerning the salaries
of employees receiving
more than ;,'2500 per annum, and also recommends approv
al of adjustments made in the salaries of employees receiving less
than ;';t2500
Per annum, both at the head office and the branches.
The Committee also recommends approval of the proposed
increase in the salary of A. E. Debrecht, Assistant Audito
r, Present
Salary c2500 per annum; proposed salary 27OO
per annum, and also
recommends approval of the proposed increase in the salary
of F. P. Maguire,
Assistant Auditor at the Little Rock Branch, Present Salary
:.,;2400 per
annum; Proposed salary c2500.
The Committee has some doubt as to the propriety and
justification of the proposed increases in the salaries of six office
rs of the
parent bank. Therefore, it begs to submit the presen
t. and proposed
official salary list of the St. Louis Bank and its branches for
direct
consideration and action of the Board.
It will be noted that in the Board's letter to Chairman Martin
Under date of December 26, 1923, the St. Louis Bank was advise
d that
the salaries which are now under consideration
were "pegged" at the
amount allowed at the beginning of the year 1924.
The bank recommends a total increase of 0,550 in officers'
salaries, and of 0.,670 in salaries of employees receiving
more than
N;2,500 per annum. Increases in salaries paid to employ
ees receiving
c2,500, or less per annum, which the bank has authority to make
without
specific reference to the Federal Reserve Board, totaled ,;28,9
60, making
a total increase in salaries of 04,180.
It will be noted from the table that between December 31
of last
year and December 1 of the present year there was
a decrease of 1 officer and 76 employees; that the payroll for the presen
t year will be
approximately c57,600 less than last year; and that the estima
ted pay-roll next year, if all proposed increases are approv
ed, will be '958,120,.
or about c378,730 less than at the beginn
ing of this year.
0
12/23/24
-49-
"The net result of the proposed adjustments, if allowed, would
be that the pay roll proposed for January 1, 1925
as compared with
January 1, 1924 would result in a decrease of 7.6 per cent.
Your Committee further recommends that since the budget estimates in the statistical and research department of the yank cover
only the first six months of the year that the Board's approval of
salary recommendations for officers and employees in this department be also limited for a like period.
The Committee has no criticism as to the number of officers
and employees in the St. Louis organization, but believes that a
careful survey on the part of the officers and directors with a view
of
strict economy in line with proper efficiency would result in still
further reduction in the personnel."
Upon motion, it was voted to approve adjustments
made during the year in the salaries of employees receiving .;;2,500 or less per annum and the recommendations
made by the Directors as to employees receiving more than
2500 per annum, with the understanding that the approval
in the case of employees in the Statistical and Research
Department is for six months only.
The Board then considered individually the salaries of officers as
follows:
A. E. Debrecht, Assistant Auditor; present annual salary, „;2500; proposed annual salary, ,,i;2700.
Upon motion by Mr. James, it was voted to approve a
salary of .)2700 for Mr. Debrecht during the year 1925.
F. P. Maguire, Assistant Auditor, Little 'dock Branch; present annual
Salary, ;2400; proposed annual salary, .)2500.
Noted.
D. C. Bigr:s, Governor; present annual salary, 425,000; proposed annual
salary, 425,000.
After discussion, Mr. Miller moved that the St. Louis
Committee be instructed, throuct correspondence or otherwise,
to inform the directors of the Federal deserve Bank of St. Louis
or such of the directors as it thinks best, that it is the opinion
of the Federal Reserve Board that it will not approve a salary
for Governor Biggs for the year 1925 in excess of )20,000.
12/23/24
-50-
Fr. Hamlin moved, as a substitute for Ir. Filler's
motion, that the matter be taken up with the Federal
Reserve Bank and that it be advised that before acting
on the salary of the Governor of the banlc, the Board
desires more infomation as it has some reason to believe that tre salary is out of line.
Ir. Hamlin's substitute motion being put by
the Chair was carried, the members voting as.
follows:
Ir. Platt "aye"
Yr. Hamlin "aye"
Yr. James "aye"
Yr. Cunningham "aye"
Governor Crissinger "no"
Er. Filler "no"
Fr. IcIntosh "not voting"
C. F. Stewart, Assistant Federal Reserve Agent; present annual
salary, 17,000; proposed annual salary, ;74 .500.
J. 7. 7hite, Cashier; present annual salary 18,000; proposed
annual salary $8,500.
A. H. Haul, Assistant Cashier; present annual salary, 06,000;
proposed annual salary 16,500.
E. C. Adams, Assistant Cashier; present annual salary, $4,500;
Proposed annual salary, 14,750.
J. Novy, Auditor; present annual salary, 17,500; proposed
annual salary, ;8,000.
Jas. G. I:cconkey, Counsel and Secretary; present annual salary,
09,000; proposed annual salary .0_0,000.
Fr. James called attention to the fact that the
salaries of Fessrs. Stewart,
Haill, Adams and
Yovy were pegged by the Board last year at present
figures, and that the Board had expressed the opinion
that the salary of Fr. YcConkv for 1925 should not be
in excess of 17,500.
Upon motion by Yr. Jamesr it was then voted
to withhold approval of the salary recommendations
of the St. Louis directors for all officers except
ressrs. Debrecht and Eaguire and to instruct the
Committee on District #8 to confer with the directors
of the bank with the view of having a revised
schedule of official salaries submitted.
12/23/24
-51-
The Secretary then read the following report of the Committee
on Salaries, Expenditures and Efficiency on the subject of the closing
Of books of the Federal deserve Bank of Minneapolis as of December 31,
1924:
"Your Committee has examined the statement submitted
by the Federal Aeserve Bank of Minneapolis with its
request for authority to close its books and pay the
semi-annual dividend and finds that on the basis of the
bank's daily balance sheet Form 34 the estimated gross
earnings will be sufficient to cover operating expenses,
accrued dividends, and other charges which the bank proposes to make against current net earniws. The
estimated earnings and proposed deductions therefrom
are as follows:
;A,598,179.55
"Gross earnings
1.061,271.76
Current expenses
Current net earnings
Estimated appreciation on U.S. securities Sundry adjustments
Total
536,907.79
143,469.20
25.903.99
706,280.98
Proposed deductions:
NMI
45,176.18
ONO
36,202.94
Furniture and equipment
2i. reserve on bank building at
Minneapolis
2;L reserve on bank building at
Helena
Maintenance new building
Taxes on new building
Charge off on Minneapolis building
to reduce to book value 10% reserve on fixed machinery and
equipment at Minneapolis 10/0 reserve on fixed machinery and
equipment at Helena
Expense other real estate
Other deductions
Total deductions
NO.
MOB
01•111
UM.
3,125.80
18,041.15
54,390.00
100,000.00
47,435.81
1,610.90
18,460.00
6,268.64
330.711.42
'LAP
•
12/23/24
"Balance available for dividends, surplus and franchise
475,569.56
tax
4103,572.34
Dividends paid June 30
F.stimated dividends July 1 to December
31st
99,231.61
202,803.95
Total dividends
173,765.61
Available for surplus and franchise tax
17,276.56
To be transferred to surplus
155,469.05
Payable as a franchise tax
Your Committee finds that the deductions from current net
earnings for furniture and equipment and also the reserve on the bank
building and on fixed machinery and equipment at Helena are in accordance with the Board's instructions and recommends that they
be approved. The Minneapolis building is nearly completed, but
its book value has not yet been reduced to its estimated replacement cost. It is therefore recommended that the proposed e
, reserve on fixed machinery
reserve on the building and the 10/
and equipment be deferred until next year, but that the bank be
authorized to charge off a reasonable amount for the purpose of
reducing the book value of the Minneapolis building to its estimated
replacement cost, such amount to include the :48,041.15 for maintenance and 454,990 for taxes on the building during course of
construction. The bank should be requested to wire the Board the
amount it proposes to write off for the purpose of reducing its
book value to its approximate replacement cost not later than
Monday, December 29.
Estimated losses on account of paper of failed banks
are given as 491,500. While no estimate is furnished of probable
losses in the case of banks considered to be in an unsafe condition, the Federal reserve bank- states that the present reserve
of 4700,000 is considered sufficient to cover all probable losses.
It is recommended that the bank be authorized to pay all
accrued dividends on December 31 and that the balance of its net
earnings, if any, be transferred to surplus and paid to the
Government as a franchise tax in accordance with the Board's letter St. 4333 of November 26, 1924."
Upon motion by Mr. James, the recommendations of the Committee were approved.
The Secretary then read the following report of the Committee
12/23/24
Cf
-53-
on Salaries, Expenditures and Efficiency with regard to salary adjustments
submitted by the Directors of the Federal Reserve Bank of Minneapolis for
Officers and employees of the bank and its Helena Branch for the year 1925.
"Your Committee presents herewith the recommendations as
to salary adjustments submitted by the officers and directors
of the Federal Reserve Bank of Minneapolis, and recommends
approval of all adjustments made as to employees receiving
less than 42,500 per annum, and as to the recommendations relating to employees receiving more than 42,500 per annum.
The Committee has considerable doubt as to the propriety
and justification of the proposed increases in the salaries
of the officers. Therefore, it begs to submit the present
and proposed official salary list of the Minneapolis Bank
and Helena Branch for direct consideration and action of the
Board.
Your Committee further recommends that since the budget
estimate for the statistical and research department of the
bank covers only the first six months of the year, that the
Board's approval of salary recommendations for officers and
employees in this department be also limited to a like ipriod.
The Committee finds that the annual payroll for the
Minnearolis Bank and Helena Branch on January 1, 1924 was
4707,430 covering 486 officers and employees. Including the
increases which have taken place during: the year in the salaries of employees receiving less than 42,500 per annum, and
the suggested increases for officers and employees as recommended by the bank to be effective January 1st, the payroll
on January 1, 1925 would be 4667,567 for 392 officers and
employees.
This shows a reduction of 439,663 in dollars and 96 in
the number of officers and employees. However, the exact reduction would be 97 employees and an increase of one officer.
The reduction in the salaries as proposed for 1925 as
against those for 1924 amounts to 5.63."
Upon motion by Mr. James, it was voted
1
to approve adjustments made during the year
in the salaries of employees receiving 42,500
or less per annum and the recommendations made
by the directors as to employees receiving more
than 42,500 per annum, with the understanding
that the approval in the case of employees in
the 3tatisical and Research Department is for
six months only.
Ocit-)
-54-
12/23/24
The Board then considered individually the salaries of officers
as follows:
W. B. Geery, Deputy Governor; present annual salary .16,000;
proposed annual salary, 47,000.
Upon motion by Mr. Cunningham, it was voted to
approve a salary of 416,000 per annum for Mr. Geery
during the year 1925.
B. V. Moore, Deputy Governor; present annual salary 48,000;
proposed annual salary, 49,000.
Upon motion by Mr. Hamlin, it was voted to approve a salary of 48,000 for Mr. Moore during the year
1925, Mr. Platt voting "no".
Harry Yaeger, Assistant Deputy Governor; present annual
salary, 47,000; proposed annual salary, 48,000.
Upon motion by Mr. Cunningham it was voted to
approve a salary of ,7,000 for Mr. YaePer during the
year 1925, Mr. Platt voting "no".
Gray Warren. Cashier; present annual salary .15,300; proposed annual salary, ,5,500.
Upon motion by Mr. James, it was voted to approve a salary of .5,500 for Mr. Warren during the year
1925.
Harry I. Ziemer, Assistant Cashier; present annual salary
,200; proposed annual salary, 43,600.
Upon motion by Mr. James, it was voted to approve a salary of 43,600 for Mr. Ziemer during the
year 1925.
A. R. Larson, Assistant Cashier; present annual salary,
0,200; proposed annual salary 43,600.
Upon motion by Mr. James, it was voted to approve a salary of 43,600 for Mr. Larson during the
year 1925.
C. L. Mosher, Assistant Federal Reserve Agent; present annual
salary, 46,500; proposed annual salary, 46,500.
12/23/24
-55-
J. F. Ebersole. Assistant Federal Reserve Agent; present annual salary, :i4,800; proposed annual salary, ;0,800.
R. A. Young. Governor; present salary'.:20,000; proposed annusalary
420,000.
al
F. C. Dunlop. Controller; present arrual salary 46,500; proposed annual salary 46,500.
L. E. Rast, Assistant Cashier; present annual salary 44,000;
proposed annual salary, 4,000.
H. C. Core, Assistant Cashier; present annual salary 0,060;
proposed annual salary 44,000.
W. C. Langdon, Assistant Cashier; present annual salary3,200;
proposed annual salary 43,200.
F. M. Bailey, Manager Examination Department; present annual
salary 45,000; proposed annual salary 45,000.
Upon motion, it was voted to approve the present
salaries for the above-named officers during the year
1925.
'1. E. Towle, Manager Helena Branch; present annual salary,
46,000; proposed annual salary 46,500.
Upon motion by Mr. James, it was voted to approve
a salary of 46,500 for Mr. Towle during the year 1925.
H. F. Brown, Cashier, Helena Branch; present annual salary 44,000;
proposed annual salary, :4,000,
H. E. Schumacher, Assistant Cashier, Helena Branch; present annual
salary, ,:3,600; proposed annual salary 3,600.
W. A. Cutler, Jr., Assistant Cashier, Helena Branch; present
annual salary, 42,700; proposed annual salary, 2,700.
H. L. Zimmerman, Assistant Federal deserve Agent and Auditor,
Helena Branch; present arnual salary, 4,000; proposed annual salary,
44,000.
Upon motion, it was voted to approve the present
salaries for the above named officers for the year 1925.
At the request of Mr. Hamlin, Chairman of the Law Committee, it
was voted to defer action on the salaries of Mr. Andreas Ueland and T. B.
vieir, Counsel at the head office and branch respectively.
The Secretary then read the following report of the Committee
°11 Salaries, Expenditures and Efficiency on the subject of the closing of
(1
12/23/24
-56-
books of the Federal Reserve Bank of Kansas City as of December 31, 1924.
"Your committee has examined the statement submitted by the
Federal Reserve Ban;r_ of Kansas City with its request for authority
to close its books and pay the semi-annual dividend, and finds that
on the basis of the banks daily balance sheet Form 34 the estimated
gross earnings will be sufficient to cover operating expenses, the
cost of furniti)re and equipment purchased during the year, depreciation allowances on bank buildings and on fixed machinery and equipment, but will not be sufficient to cover other proposed charge offs
in full. The estimated earnings and proposed deductions therefrom
are as follows:
-2,254,504.00
Gross earnings
1.863,482.51
Current expenses
„391,021.49
Current net earnings
168.00
EstLmated appreciation on United States bonds
70.25
Discount on United States securities
17,250.00
Sundry adjustments 408,509.74
Total
.11
Proposed deductions:
Furniture and equipment reserve on bank building at Kansas City
2% reserve on bank building at Oklahoma
City
10% reserve on fixed machinery and equipment at Kansas City
10/, reserve on fixed machinery and equipment at Oklahoma City Charge off on Kansas City building to reduce to replacement cost Charge off on Oklahoma City building to
reduce to replacement cost Charge off on Denver building site to reduce to estimated market value
Premium on U. 3. securities Premium on Federal Intermediate Credit
Bank debentures
Other deductions
Total deductions
Deficit in earnings if all of above charges
Dividends paid June 30 Estimated dividends July 1 to December 31
Total dividends
Deficit in earnings if all of above charges
ing dividends payments are made
36,021.86
50,052.65
6,617.90
76,514.49
6,786.57
200,000.00
19,748.76
249.00
21,298.26
2,212.72
2,630.79
are made
134,800.43
130,899.56
422,133.00
13,623.26
265,699.99
includ279,323.25
12/23/24
-57-
"Your committee finds that deduction from current net earni:igs for
furniture and eouinment and for depreciation on bank buildings and on
fixed machinery nnsi eouinment are reasonable and in accordance with the
Board's instructions and recommends that they be anproved.
The book values of the 'Kansas City and Oklahoma City buildings
have not as yet been reduced, to nnproximate renlacement costs nor are
the charge offs now nropo.;ed sufficient to reduce tile book value of
these buildings to the estimated replacement cost. The Board approved
the recommendation contained in this committee's memorandum of December
9, 1924, that "Charge offs for the purpose of reducing the book value
Of bank buildings to approxil-ate rePlacem-nt costs should be made and
any deficit arising from insufficient earnings should be charged to
surplus account. The final adjustment of these charge offs should be
made in the year in which the building is completed. In the event that
there are now any completed buildings upon which this charge off has
not been fully met, the charge should be made as of the time of closing of the books, December 31, 1924." The Kansas City bank has been
occupying its building since 1921 and the Oklahoma City branch moved
into its building in April 1923. It is accordingly recommended that the
Board suggest to 'Kansas City that the book value of the Kansas City and
Oklahoma City bank buildings be written down to renlacement cost at the
end of the year, and that the amount of these charge offs or such portion thereof as may be necessary be charged to surplus account. This
Will necessitate charge offs of approximately 3
1 429,001.02 in the case
Of the Kansas City building and tE19,246.28 in the case of the Oklahoma
City building.
The Federal reserve bank reouest authority to charge off premium
account on United qtates securities and on Federal Intermediate Credit
Bank debentures. The proposed action is not in accordance with the
present instructions to the Federal reserve banks which provide that
Premium and discount on securities shall not be charged to profit and
loss but amortized monthly against earnings. If the bank is permitted
to charge off these premium accounts at the present time, accrued earnon United ,Itates and other securities will indicate a somewhat
higher rate of return than is actually realized by the bank. It is accordingly recommended that these proposed charges be not authorized.
The Federal reserve bank estimates losses on account of paper of
closed banks at $70,0)0, and probable losses on accouot of banks in an
unsafe condition at 1180,000. Inasmuch as the Present reserve of
4318,000 for probable losses is in excess of total estimated losses no
addition to this reserve was requested.
In case the charge offs recommended above are authorized by the
Federal "Reserve Board, it will be necessary to charge all of the dividends raid on June 70 to surplus account on closing of books at the
end of the year as well as dividends for the last six months if authorized. Inasmuch as the bank now has a surplus of $9,495,539.69, your
committee recommends that accrued dividends be paid in full and that
the amount of such dividends be charged to surplus account."
Upon motion by Er. James the recommendations of
of the Committee were approved.
4-17-0
12/23/24
-58-
The Secretary then read the following report of the Committee on
Salaries, Expenditures and Efficiency with regard to salary adjustments
submitted by the Directors of the Federal Reserve Bank of Kansas City
for the employees of the bank and its Omaha, Denver, and Oklahoma City
Branches during the year 1925.
"Your Committee presents herewith the recommendations as
to salary adjustments submitted by the officers and directors
of the Federal Reserve Bank of Kansas City and recommends approval of the adjustments authorized by the Kansas City Board
of Directors.
The bank does not make any suggested increases in the
salaries of any of the officers at the home office, but has
recommended adjustments in the salaries of officers of the
Denver Branch, amounting to '1,100, made up of an advance of
500 to Manager Olson, .,300 to Assistant Cashier Cronan, and
300 to Assistant Auditor Smith; also advances of400 each
to Manager Daniel, of the Oklahoma City Branch, and Assistant
Auditor Leamon of the same branch; it is likewise recommended
that the salary of Cashier Gregory, of the Omaha Branch, be
increased •540 per annum. Your Committee believes that these
increases are justified.
The bank recommends a total increase of 2,440 in officers' salaries, and of „?2,030 in salaries of employees receiving more than .;2,500 per annum. Increases in salaries
paid to employees receiving ,2,500 or less per annum, which
the bank has authority to make without specific reference to
the Federal Reserve Board, totaled 9,900, making a total increase in salaries of ,4;14,370.
It will be noted from the attached table that between
December 31 of last year and December 1 of the present year
that there was no change in the number of officers and a decrease of 96 employees; that the payroll for the present year
will be approximately %;;134,700 less than last year; and that
the estimated payroll next year, if all proposed increases
are approved, will be c4,131,931, or about ",:;94,400 less than
at the beginning of this year.
The adjustments recommended by the bank and approved
by the Committee would result in a net decrease in the salary
list for January 1, 1925, as against January 1, 1924 of 7.7:0.
Your Committee is of the opinion that the Federal Reserve
Bank of Kansas City, with its braaohes, offers an opportunity
for further decreases in the number of employees and, perhaps,
12/23/24
-59-
"officers, which can be brought about by the directors
and officials of the bank making a careful survey and
study of the organization with this end in view."
Upon motion by Mr. James, it was voted to
approve the adjustments made during the year in
the salaries of 'employees receiving 2500 or less
per annum and the recommendations made by the
directors as to employees receiving more than
42500 per annum with the understanding that the
approval in the case of employees in the statistical and research department is for six months
only.
The Board then considered individually the salaries of officers as
follows:
C. K. Boardman, Assistant Federal aeserve Agent and Secretary,
Present annual salary :,7,500; proposed annual salary ,i;7,500.
Upon motion, it was voted to fix the salary
of Er. Boardman at .7,500 during the year 1925.
W. J. Bailey, Governor; present annual salary, 420,000; proposed annual salary .20,000.
C. A. Worthington, Deputy Governor; present annual salary
0.2,000; proposed annual salary Y12,000.
J. W. Helm, Cashier; present annual salary ;;E3,000; proposed
annual salary 4:8,000.
John Phillips, Jr., Assistant Cashier; present annual salary,
46,300; proposed annual salary .is:6,300.
G. E. Barley, Assistant Cashier; present annual salary, y5,700;
Proposed annual salary ,5,700.
E. P. Tyner, Assistant Cashier; present annual salary, „i5,700;
proposed annual salary '5,700.
A. M. McAdams, Assistant Cashier; present annual salary ii;5,400;
Proposed annual salary 5,400.
A. G. Frost, Assistant Cashier; present annual salary y5,100;
Proposed annual salary ,5,l00.
M. W. E. Park, Assistant Cashier; present annual salary, ,4,500;
PrOposed annual salary 4,500.
G. H. Pipkin, Assistant Cashier; present annual salary, y4,500;
Proposed annual salary 44,500.
S. A. Wardell, Auditor; present annual salary „,;7,200; proposed
annual salary 0,200.
"G
12/23/24
-60-
A. E. Bolt, Assistant Auditor; present annual salary „34,900;
proposed annual salary, 44,900.
Upon motion, it was voted to approve the present
salaries for the above named officers during the year
1925.
H. G. Leedy, Counsel; present annual salary $6,000; proposed
annual salary, 46,000.
Upon motion by Mr. Hamlin, it was voted to approve
a salary of 46,000 for Mr. Leedy during the year 1925.
J. E. Olson, Manager, Denver Branch; present annual salary,
46,000; proposed annual salary 46,500.
Upon motion by Mr. Cunningham, it was voted to
approve a salary of 46,000 for Mr. Olson during the
year 1925, Mr. Platt voting "no".
A. J. Conway, Cashier, Denver Branch; present annual salary,
44,200; proposed annual salary, 4,200.
Upon motion, it was voted to approve a salary
of 44,200 for Mr. Conway during the year 1925.
Jno. A. Cronan, Assistant Cashier, Denver Branch; present
annual salary, 0,000; proposed annual salary, 43,300.
Upon motion by Mr. Platt, it was voted to
approve a salary of 43,300 for
Cronan during
the year 1925.
R. W. Smith, Assistant Auditor, Denver Branch; present annual
salary, 43,000; proposed annual salary, 43,300.
Upon motion by Mr. Platt, it was voted to
approve a salary of 43,300 for Mr. Smith during
the year 1925.
C. E. Daniel, Manager, Oklahoma City Branch; present annual
salary, qi;6,600; proposed annual salary, 41?,000.
Upon motion by Yr. Cunningham, it was voted
to approve a salary of .,1;6,600 for Mr. Daniel
during the year 1925.
t-1
12/23/24
-61-
R. O. Wunderlich, Cashier, Oklahoma City Branch; present
annual salary, 44,200; proposed annual salary, 44,200.
Upon motion, it was voted to approve a
salary of 44,200 for Mr. Wunderlich during the
year 1925.
a. L. Mathes, Assistant Cashier, Oklahoma City Branch; present
annual salary, 43,300; proposed annual salary, 43,300.
Upon motion, it was voted to approve a salary
of 43,300 for Mr. Mathes during the year 1925.
Oliver A. Leamon, Assistant Auditor, Oklahoma City Branch;
present annual salary, 42,100; proposed annual salary, 42,500.
Noted.
L. H. Earhart, Manager, Omaha Branch; present annual salary,
48,400; proposed annual salary, 48,400.
Upon motion, it was voted to approve a salary
of 48,400 for Mr. Earhart during the year 1925.
G. A. Gregory, Cashier, Omaha Branch; present annual salary,
44,260; proposed annual salary 44,800.
Upon motion by Mr. Miller, it was voted to
disapprove the salary of 44,800 for Mr. Gregory
recommended by the Kansas City Directors but to
advise the directors that the Board will approve
a salary of 44,500 for Mr. Gregory.
W. D. Lower, Assistant Cashier, Omaha Branch; present annual
salary, 43,840; proposed annual salary, 43,840.
Upon motion, it was voted to approve a salary
of 43,840 for Yr. Lower during the year 1925.
T. G. Sanders, Assistant Auditor, Omaha Branch; present annual
salary, 43,700; proposed annual salary, 43,700.
Upon motion, it was voted to approve a salary
of 43,700 for Mr. Sanders during the year 1925.
Wm. Phillips, Assistant Cashier; present annual salary, 43,840;
proposed annual salary, 43840.
Upon motion, it was voted to approve a salary
of 43840 for Mr. Phillips during the year 1925.
"1)
12/23/24
At this point
-62-
r.
cIntosh left the meeting.
The Secretary then rend the following report of the Comittee on
Salaries, Expenditures and ilfficiency on the subject of the closing of
books of the Federal Reserve Bank of San Francisco as of December 31, 1'324:
"Your Committee has examined the statement submitted by the Federal Reserve Bank of Seri Francisco with its request for authority to
Close its books and pay the semi-annual dividend, and finds that on
the basis of the bank's daily balance sheet Form 34 the estimated
gross enrnings will be sufficient to cover current operating expenses, the cost of furniture and equipment purchased during the
year, depreciation allowances on its bank building and on machinery
and equipment, and miscellaneous Charge offs, but will not be sufficient to cover also proposed addition to reserve for probable losses
and dividends. The estimated earnings and proposed deducti
ons therefrom are as follows:
Gross earnings
Current expenses
Current net earnings. .
3,448,000
2 853 000
095,000
Proposed deductions:
Furniture and equipment
. .192,000. .
Charge off on bank building to reduce to
replacement cost
123,000
Charge off on fixed machinery and equipment
to reduce to replacement cost
25,000
Charge off on building site at Salt Lake City
2,000
Reserve for probnbles losses • • . . . . .
500,000
Other deductions
60 000
Total deductions
902 000
Deficit in earnings if all of above charges are made. . . 307,000
Dividends paid June 30
238,214.98
T]stimnted dividends July 1 to December 31
242.785.02
Total dividends.
461.000
Deficit in earnings if all of above charges including
dividend payments are made
788,000
"Your Committee finds that deductions from current net earnings
furniture and equipment and to reduce the book value of the bank
building
ululding at San Francisco to replacement cost are reasonable
and in
a ccordance
with the Board's instructions and recommends that they be
a pproved. In
previous years the Federal Reserve Bank of San Francisco
Inlaa charged off a part
of the cost of fixed machinery and equipment to
diust the book value to replacement cost, thereby reducin
g the book
value thereof from V09,652.14 to 060,477
.57. In view of the substa ntial amounts heretofore charged off for fixed machinery
and equipment and to
the fact that instructions to the bank do not now contemPlate that
fixed machinery and equipment shall be reduced to replace
12/23/24
-63-
ment cost, it is recommended that no depreciation allowance be
authorized on fixed machinery and equipment at this time.
"The Federal Reserve Bank requests authority to charge off
42,417.46 on the building site at Salt Lake City. The book value
of this site is 4107,366.82 and the Federal reserve bank expects
ultimately to write the value thereof down to its estimated
market value of 4100,000. There does not appear to be any good
reason why the full amount of 47,366.82 should not be written off
at this time, thereby at once reducing the book value to the estimated market value. Your Committee therefore recommends that
the Snn Francisco bank be reauired to write the site down at this
time to the estimated market value of 4100,000.
"Estimated losses on account of failed banks are given as
41,397,000. At the present time the Federal reserve bank has a
reserve of 4897,000 against probable losses and requests authority
to set aside en additional amount of 4500,000. Inasmuch as this
Charge would have to be made against the bank's surplus, it is
recommended that this request be not approved, also that the bank
be advised that it will not be the policy of the Federal Reserve
Board to authorize Federal reserve banks to make charges against
the surplus account for the purpose of setting up a reserve to
cover probable future losses, the amount of which has not yet
been ascertained.
"In case charge offs as above recommended are authorized by
the Federal Reserve Board, it will be necessary to charge a part
Of the $238,214.98 of dividends paid on June 30 to surplus account
on closing of books at the Ind of this year as well as the dividends
for the last six months if authorized. Inasmuch as the bank now has
8 surplus of 415,301,037.98, your Committee recommends that accrued
dividends be paid in full at the end of this year and that the
amount of such dividends or such portion thereof as may be necessary
be charged to the surplus account."
Upon motion by Mr. James, it was voted to approve
the recommendations of the Committee.
The Secretary then read the following report of the Committee on
Salnries, Expenditures and Efficiency with regard to salary adjustments
submitted by the directors of the Federal Reserve Bank of San Francisco
for the officers and employees of the bank and its Los Angeles, Salt
Leke City, Portland, Seattle and Spokane branches during the year 1925:
"Your Committee presents herewith the recommendations as to
salary adjustments submitted by the officers and directors of the
Federal Reserve Bank of San Francisco, and recommends approval of
all adjustments made as to employees receiving less than 42,500
Per annum, and also approval of the recommendations made as to
employees receiving more than 42,500 per annum.
"The bank recommends a total
increase of 48300 in officers'
12/23/24
t)
salaries, said recommendations covering 11 officers in the head
Office, all of whose salaries were adjusted as of January 1, 1924.
The bank's recommendations also embrace increases to 9 officers
at the branches. Your Committee begs to submit the present and
proposed official salary list of the San Francisco bank and its
branches for the direct consideration and action of the Board.
"Your Committee further recommends that since the budget
estimates for the statistical and resear-th department of the bank
cover only the first six months of the year, that the Board's approwl of salary recommendations for officers and employees in
this department be also limited to a like period.
"The Committee finds that the annual payroll of the San
Francisco bank and branches on January 1, 1924, was 41,986,845,
covering 1,135 officers and employees. Including increases which
have taken place throughout the year in the salaries of employees
receiving less than ;;2,500 per annum, and the suggested increases
for officers and employees effective January 1, 1925, the payroll
would be '41,898,120, covering 1,060 officers and employees. This
Shows a reduction of 488,725 in dollars and 75 in the number of
Persons employed.
"The reduction in salaries as proposed for 1925 as compared
to those recommended for 1924 is 4.47%.
"The Committee feels that the San Francisco bank is considerably
over-manned and believes that the senior officers and directors of
the bank should make a careful study and survey all along the line
With the view of materially decreasing the number of officers and
employees."
On motion by :Ir. James, it was voted to approve the
adjustments made during the year in the salaries of
employees receiving 42,500 or less per annum and the
recommendations made by the directors as to employees
receiving more than 42,500 per annum, with the understanding that the approval in the case of employees
in the statistical and research department is for six
months only.
The Board then considered individually the salaries of officers,
As follows:
pntious, Assistant Deputy Governor,
-.1.__
0-201
,00,(1proposed annual salary 413,000.
present annual salary
Mr. Platt moved that the Board approve a salary of
413,000 for Mr. Pontious during the year 1925.
Mr. Cunningham moved as a substitute that the Board
approve a salary of 0.2,000 for Mr. Pontious during
the year 1925.
Mr. Cunningham's motion being put by the chair was
lost, Messrs. James and Cunningham votineaye.'
Mr. Platt's original motion being put by the chair
was carried, Messrs. James and Cunningham
voting "no".
12/23/24
"65
8.61
.
W. M. Hale, Assistant Cashier, present annual salary 46,300, proPosed annual salary 46,600.
C. D. Phillips, Assistant Cashier, present annual salary 45,220,
Proposed annul salary 45,700.
C. E. Earhart, Assistant Cashier, present annual salary 45,700,
Proposed annual salary 46,000.
H. N. Mangels, Assistant Cashier, present annual salary 44,800,
Proposed annual salary 45,100.
H. M. Craft, Assistant Cashier, present annual salary 44,500, proPosed annual salary 44,800.,
E. C. Mailliard, Assis- tent Cashier, present annual salary 44,200,
Proposed annual salary 44,500.
S. A. Mheachron, Assistant Cashier, present annual salary 44,200,
Proposed annual salary 44,500.
F. H. Holman, General Auditor, present annual salary 45,700, proposed annual salary 46,000.
After discussion of the report of the Committee on
Salaries, Expenditures end Efficiency, that the San
Francisco bank is considerably over-manned and that
the senior officers and directors should make a careful study and survey with a view of materially decreasing the number of officers and employees, Mr. Miller
moved that the increases recommended for the above
named officers be not approved, but that the Board approve their present salaries for the year 1925.
Carried.
S, G. Sargent, Assistant Federal Reserve Agent, present annual
aalarY 412,000, proposed annual salary 412,000.
Upon motion, it was voted to fix a salary of 412,000
for Mr. Sargent during the year 1925.
j. U. Calkins, Governor, present annual salary 425,000, proposed
annual salary 425,000.
William A. Day, Deputy Governor, present annual salary 415,000,
Proposed annual salary 415,000.
Ika_aerk, Assistant Deputy Governor, present annual salary 413,000,
Proposed annual salary 413,000.
W. N. Ambrose, Cashier, present annual salary 48,000, proposed annual
salary 48,000.
Mudie McRitchie, Assistant Cashier, present annual salary 44,500,
Proposed annual salary 44,500.
J. M. Osmer, Auditor, present annual salary 44,080, proposed annual
salary 4,080.
}1. W- morton Auditor, present annual salary 43,600, proposed annual
atilary 43,600.
Upon motion, it was voted to approve the present
salaries of the above named officers for the year
1925.
C
12/23/24
—66-
Lt_C. Agnew, Counsel, present annual salary 48,500, proposed
annual salary $10,000.
Upon motion by Mr. Hamlin, Chairmen of the Low
Committee, it was voted to approve a salary of
410,000 for Mr. Agnew during the year 1925.
E. E. Hull, Assistant to Counsel, present annual salary 43,000,
proposed annual salary 0,00U.
Upon motion by Mr. Hamlin, Chairman of the Law
Committee, it was voted to approve a salary of
43,000 for Mr. Hull during the year 1925.
C. J. Sttsphprd Msnager, Los Angeles Branch, present annual
salary 48,500, proposed annual salary opoo.
Upon motion, it was voted to approve a salary
of 48,500 for Mr. Shepherd during the year 1925.
G. H. Schmidt, Assistant Manager, Los Angeles Branch, present pnnual
salary 44,500, proposed annual salary woo.
Mi. Platt moved approval of a salary of 44,800
for Mi. Schmidt during the year 1925.
Mr. Platt's motion being put by the chair was
lost, Messrs. Platt and Hamlin voting "aye".
Upon motion by Ur. Cunningham, it was then voted
to approve a salary of 44,500 for Mr. Schmidt for
the year 1925, Mr. Platt voting "no".
ha J. Dumm, Assistant cashier, Los Angeles Branch, present annual
381arY 43,600, proposed annual salary 1
1 3,900.
Upon motion by Mr. James, it was voted to approve
a salary of 43,600 for Mr. Dumm during the year 1925.
Meyer, Acting Assistant Cashier, Los Angeles Branch, present
"nual salary 43,180, proposed annual salary 43,600.
Upon motion by Mr. Cunningham, it was voted to ap—
prove a salary of 43,180 for Mr. Meyer during the .
year 1925.
Frederick Greenwood, Manager, Portland Branch, present annual
aelA rY 460300, proposed annual salary 0,300.
Upon motion, it was voted to approve a salary of
0,300 for Mr. Greenwood during the year 1925.
BAJIA_Vgat, Assistant Manager, Portland Branch, present annual
ea a
A
1 rY f4,200, proposed annual salary 44,500.
12/23/24
-67•
Mr. Platt moved approval of a salary of 44,500 for
Mr. West during the year 1925.
Mr. Platt's motion being put by the chair
was lost, Messrs. Platt and Hamlin voting "aye".
Upon motion, it was then voted to approve a
salary of 44,200 for Mr. West during the year
1925.
J. P. Blanchard, Assistant Cashier, Portland Branch, present annual
Salary 43,600, proposed annual salary, 43,780.
Mr. Platt moved approval of a salary of 43,780
for Mr. Blanchard during the year 1925.
Mr. Platt's motion being put by the chair
was lost, Messrs. Platt and Hamlin voting "aye".
Upon motion, it was then voted to approve
a salary of 43,600 for Mr. Blanchard during the
year 1925.
R. B. Motherwell, Manager, Salt Lake City Branch, present annual
salary, 48,500; proposed annual salary, 48,500.
Upon motion, it was voted to approve a
salary of 48,500 for Mr. Motherwell during the
year 1925.
A. B. Nordlinri, Assistant Manager, Salt Lke City Branch, present
annual salary 45,100; proposed annual salary $5,100.
Upon motion, it was voted to approve a salary
of 45,100 for Mr. Nordling during the year 1925.
P. M. Lee, Assistant Cashier, Salt Lake City Branch, present annual
salary, 43,600; proposed annual salary 43,780.
Upon motion by Mr. Cunningham, it was voted
approve a salary of 43,600 for Mr. Lee, Messrs.
Hamlin and Platt voting "no".
J. M. Leisner, Assistant Cashier, Salt Lake City Branch, present
annual salary 43,600; proposed annual salary, 43,780.
Upon motion by Mr. Cunningham, it was voted
to approve a salary of )3,600 for Mr. Leisner during
the year 1925, Messrs. Hamlin and Platt voting "no".
12/23/24
-68-
C. R. Shaw, Manager, Seattle Branch, present annual salary, 46,300;
proposed annual salary , 46,300.
Upon motion, it was voted to approve a salary
of 46,300 for Mr. Shaw during the year 1925.
B. A. Russell, Assistant Cashier, Seattle Branch; present annual
salary, :3,600; proposed annual salary, 43,780.
Upon motion by Mr. Cunningham, it was voted to
approve a salary of .4;3,600 for Mr. Russell during the
year 1925, Messrs. Platt and Hamlin voting "no".
W. L. Partner, Manager, Spokane Branch, present annual salary
46,300; proposed annual salary, 46,300.
Upon motion, it was voted to approve a salary
of 46,300 for Mr. Partner during the year 1925.
D. L. Davis, Assistant Manager, Spokane Branch, present annual
salary 45,100; proposed annual salary, 45,100.
Upon motion, it was voted to approve a salary
of ,05,100 for Mr. Davis during the year 1925.
Evan Berg, Assistant Cashier, Spokane Branch, present annual
salary 43,600; proposed annual salary 43,780.
Upon motion by Mr. Cunningham, it was voted to
approve a salary of 43,600 for Mr. Berg during the
year 1925, Messrs. Platt and Hamlin voting "no".
The meeting adjourned at 4:40 p.m.
Secretary.
Approved:
@FedFRASER