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204 At a regular meeting of the Federal Reserve Board held in the office of the Board on Wednesday, ' March 10 at 3.00 P. PRESEINT: Er. McAdoo, presiding, . Warbur Mr. Er. Hamlin Mr. Harding Mr. Delano Mr. Miller Mr. 7illiams mr. Willis, Secretary. The minutes of the meeting of 11.15 a. in. I:onday. March 8th, 11.15 a. in. Tlesday, March 9th.and 3.15 Tuesday March 9th were read and approved, with corrections. Data collected by Mr. Harding with reference to exchange charges at Beatrice, Nebraska were presented to the Board, and on motion referred to Er. Williams and Er. Harding with power to take such action as conditions might demand. On motion of Mr. Harding it was voted to 'reconsider action taken at the afternoon meeting of Tuesday, March 9th, relative to rates of rediscount between Federal reserve ban0 and to take up the subject afresh. Mr. Miller thereupon offered the following motion: "Section II, paragraph b, authorizes and empowers the Federal Reserve Board: 205 To permit, or, on the affirmative vote of at least five members of the Reserve Board, to require Federal reserve banks to rediscount the discounted paper of other reserve banks at rates of interest to be fixed by the Federal Reserve .Board. In accordance with the authority hereby granted, the Federal Reserve Board will remit any Federal Reserve Bank to rediscount the discounted paper of any other Federal reserve bank at the same rates of interest for the same classes of paper at which it discounts for its own member banks. Federal Reserve banks desiring to engage in rediscount transactions with other Federal reserve banks shall inform the Federal Reserve Board, which will serve as a medium of communication among Federal Reserve banks for this purpose. Discussion of the motion ensued. nr. Delano having suggested for consideration a substitute for Miller's pending motion, flr. Hamlin pre- sented it formally as follows: "The Federal Reserve Board has ruled that it will not at present name rates for the rediscount of com,ercial paper by one Federal reserve bank for another. Appli- cations for rediscounts shall be filed with the Federal Reserve Board and loans shall be offered and apportioned to the other Federal reserve banks by the Federal Reserve Board." The vote on this motion resulted as follows; Af2irmative: Messrs. LeAdoo, 7illiams and Hamlin; regative, Hardin;, Warburg, Miller and Delano, so the substi- 206 tute was defeated. Wrburg offered as an amendment in the nature of a substitute, the same to take the place of the pending resolution of' Mr. Miller, the following: "The Federal Reserve Board will today fix a rate of rediscount for the present between Federal reserve banks of three and one-half percent for paper up to thirty days and four percent for paper of maturities over thirty days and up to ninety days. All applications for rediscounts are to be filed with the Federal Reserve Board, the Board reserving the right to apportion the applications for rediscount among other Federal reserve banks." On being put to a vote the substitute for Mr. :Aller's motion was unanimously carried. The Secretary was instructed to send out the decision of the Board as a telegram to all Federal reserve ac-mts and to give the same to the press. several members of the Board having filed statements descriptive of their position and action in regard to the question of rediscounts between Federal reserve banks, the same are hereto attached as an addendum, companied by other documents on the same subject. Discussion of the ( uestion of appeals from the Organization Jo:.,mittee decision was next taken up and a tentative understanding that prompt action should be had was arrived at. 207 The report of the examination of the Federal Reserve Bank of Richmond was referred to the Committee on Audit and Examination. Applications for reduction surrender and in- crease of capital stock were approved, as follows: Surrender. National Mahaiwe Bank First National Bank First National .Bank First National Bank First National Bank First National Bank Grange Nat'l Bank, Susquehana Co. First National Bank Dillsburg National Bank First National Bank First National Bank First National Bank Broad & Market National Bank Farmers & Merchants Nat'l Bank Exchange National Bank Farmers National Bank Grange National Bank First National Bank First National Bank First National Bank First National Bank First National Bank Butler County National Bank Shelby National Bank American National Bank First National Bank City National Bank Citizens National Bank First National Bank Shares Great Barrington, Mass. 60 12 Islip, N. r. 9 Edgewater, N. J. 1 Sea Bright, N. J. 1. Delmar, Del. 1 McAdoo, Pa. 1 New Milford, Pa. 3 Three Springs, Pa. 12 Dillsburg, Pa. 1 Pa. dge, •Bainbri 3 Pa. ro, Goldsbo 90 Carbondale, Pa. 18 Newark, N. J. 2 Pa. d, Rockwoo 9 Ohio Lodi, 3 n, Pa. Emlento 2 Spartansburg, Pa. 3 Bridgeville, Pa. 3 Sutersville, Pa. 100 McKeesport, Pa. 12 Indiana, Pa. 3 Rochester, Pa. 150 Butler, Pa. 6 Shelby, N. C. 45 Ky. Louisville, 3 Salem, S. D. 6 Okla. McAlester, 9 Texas. Stamford, 3 Hallettsville, Texas 208 Increases Shares DISTRICT No. 4. Bell National Bank Dresden National Bank Citizens National Bank First National Batik Peoples National Bank Pineville, Ky Dresden, Ohio McConnelsville, Ohio Mingo Junction, Ohio Steubenville, Ohio 15 1 1 3 3 St. Petersburg, Fla. 9 Ellsworth, Minn. Hancock, Minn. Warren, Minn. 3 • DIUTRIOT No. 6. First National Bank DISTRICT No. 9. First National Bank First National Bank First National Bank 3. 6 DISTRICT No. 11. First National Bank Olyde National Bank City National Bank First National Bank First National Bank First National Bank First National Bank Groos National Bank Homo National Bank Yoakum National Bank First State Bank Blossom, Texas Clyde, Texas Decatur, Texas Lewisville, Texas Lockhart, Texas McKinney, Texas Rhome, Texas San Antonio, Texas Stanton, Texas Yoakum, Texas Dallas, Texas 18 3. 6 3. 4 1 3 4 DISTRICT No. 12. Halley National BankFirst National Bank Halley, Idaho Malad, Idaho 3. 2 269 The following applications for stock in Federal Reserve banks have been found in proper form and have been approved by the Federal Reserve Board: First National Bank First National Bank Exchange National Bank Lebanon, Mo. Atmore, Ala. Marietta, Pa.• 19 12 90 On motion, at 5:45 p. m. the Board adjourned to meet at 11:00 a. in. Thursday, March 11. Secretary. APE:101TM: Chairman. 210 In accordance with an understanding to that effect, members of the Board filed . stataTentlexplanatory of their position with reference to the question of rates of rediscount between Federal reserve banks. These statements together with correspondence bearing upon the same subject, will be found in the files of the Board as an "addendum" to the minutes of March 10, 1915.
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