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) A meeting of the Federal Reserve Board was held in the office Of the Governor on Monday, March 20, 1922, at 11:00 a.m. PRESENT: Governor Harding Mr. Platt Mr. Harn1 in Mr. Miller Mr. Mitchell Mr. Cris singer Mr. Hoxton, Secretary. PRESENT ALSO: Mr. Logan, General Counsel. Minutes of the meeting of the Board held March 17th were read and on motion approved. The Governor reported the reserve positions of the several Federal Reserve banks as at close of business March 17th and 18th. Letter dated March 18th, from the Commissioner of the Public Debt, Mr. W. S. Broughten, suggesting that the Board request the Federal Reserve Banks of New York, Boston and Chicago to send representatives to Washington in order to consult with the Currency Committee of the Treasury Department. Approved. Letter dated March 13th, addressed to Mr. Miller, from T.'r. Julius Klein, Director of the Bureau of Domestic and Foreign Commerce of the DePartment of Comworce, requesting permission to remove the Chicago District Office of the Bureau to qtarters in the new Federal Reserve Baak of Chicago. Referred to Mr. Miller for reply, it being the sense of the meeting that the Department of Commerce should take the matter 1.4) direct with the Federal Reserve Bank of Chicago. 17:-J -2- Letter dated March 13th, from the Inter American High Commission, addressed to Mr. Miller, requesting that the Board furnish the Inter American High Commission each month with twenty copies of the Federal Reserve Bulletin, in addition to the one copy now being mailed to that Commission. Approved. Referred to Mr. Miller for reply. Application of the New Bedford Safe Deposit & Trust Company, New Bedford, Mass., to broaden its functions through the absorption of the Textile Trust Company of New Bedford. Approved. Upon motion, the Board approved the bond of Assistant Federal Reserve Agent Thomas M. Jones, of the Pittsburgh Branch of the Federal Reserve Bank of Cleveland. The Governor announced that he had been advised by the President Of the Federal Advisory Council that the Council will hold its next meeting on April 27th, it being found necessary to change the date of the meeting from April 24th. The Governor submitted a letter from the Chairman of the Federal Reserve Bank of Atlanta, stating the reasons why the Board of Directors Of that Bank desired to pay t2300. per month to Mr. W. H. Hartford for supervision of the building operations of the Nashville Branch. Upon motion, the request of the Federal Reserve Bank of Atlanta for authority to compensate Mr. Hartford was not approved. -3- Draft of letter prepared for the signature of Governor Farding and addressed to the Chairman of the Senate Committee on Banking and Currenzy, setting forth the views of the Federal Reserve Board with respect to Senate Bill 3255, providing for perpetual charters to national banks. Approved. After discussion of the reorganization of personnel made necessary by the removal to Washington of the Division of Analysis & Researc h, it was voted that Mr. W. H. Steiner shall be designated as Acting Chief of the Division of Analysis & Research, effective July 1, 1922, and that Dr. H. Parker Willis shall continue as Director of the Division until July 1st, 1922, and that thereafter he shall be designated Consult in 7 conom- ist in charge of the Federal .heserve Bulletin, with a salary after ,'uly 1st at the rate of !t.3600 a year. It was further voted that Dr. Willis shall be authorized to maintain an office at 50 Broad Street, New York, until July 1, 1922, in the event that this can be done without prejudice to the present lease. It was further voted that all existing employes Who shall be found necessary to complete the work of the Division up to July 1, 1922, shall be retained on the pay-roll until that date, in addition to such new employes as it may be necessary to obtain on account Of the removal of the Division to Washington. The Governor submitted a pamphlet upon the 2ederal Reserve System Prepared by the ChairiOn of the Federal Reserve Banks of New York and Cleveland, designed for educational purposes and for distribution by Federal Reserve banks and member banks. Approved. -4- The Governor submitted a letter from the Under Secretary of the Treasury, with reference to the retirement of national bank notes in circulation. Upon motion, ordered referred to the next conference of the Federal Advisory Council. The Governor stated that the next order of business would be the matter placed upon the docket by action of the Board at its meeting on March 17th, and having reference to the revision of the Regulations of the Federal Reserve Board covering eligibility and procedure in the matter of bankers acceptances representing import and export transactions. Upon request of the Board, the General Counsel read Section 8 of the proposed Revised Regulations, which was upon motion approved. The Governor submitted to the Board a letter of transmittal addressed to the Federal Reserve banks and designed to accompany the Regulation as wended. After discussion, this letter was tentatively approved, it being the sense of the Board that the letter should contain a reference to the statutory requirements as to 10% limitation, and advice that each Federal Reserve Bank may consider itself at liberty to adopt its own rules and requirements for the purpose of determining the eligibility for discount or purchase of bankers acceptances representing import and export transactions. The Governor submitted a letter from Senator Spencer of Missouri, urging the necessity for beginning work upon the proposed new building for the Federal Reserve Bank of St.Louis. Noted. 154 -6- Ra3OR1E OF COMITlizE NO. 1: Dated March lath, Recommending changes in stock at Federal Reserve Banks, as set forth in the auxiliary minute book as of this date. Approved. Dated March 16th, Recomrending action on applications for fiduciary powers, as set forth in the auxiliary minute book as of this date. Approved. Dated March 16th, Recommending admission of state bank, subject to the conditions stated in the individual report attached to the application, as set forth in the auxiliary minute book as of this date. Approved. Dated March 14th, Recommending that the application of Mr. Albert Carry to serve at the same time as director of the Commercial National Bank, the National Capital Bank, and the American Security Re Trust Co., all of Washington, D.C., be approved as to 1 and 2 and refused as to 1 and 3. Approved. At one o'clock a recess was taken until three o'clock. Pursuant to the terms of adjournment, the Board met at three o'clock. PRENT: Governor Harding Mr. Platt Mr. Hamlin Mr. Miller Mr. Mitchell Mr. Cr is s inger Mr. Hoxton, Secretary. The afternoon session consisted of hearings with reference to the buildings for the branch banks at Little Rock, Arkansas and Oklahoma ) -a_ City, Oklahoma. The Board first heard the representations made by the Arkansas delegation, composed of the following: Senators Robinson and Carraway, Messrs. H. L. Rommel, J. M. Davis, Lloyd and Brady Miller. ngland, Fred Heiskell These gentlemen urged the necessity for proceeding at once with the construction of the new branch bank building at Little Rock, and Senators Robinson and Carraway expressed the opinion that in view of the fact that .after a considerable lapse of time no action has been taken by the House upon the Harris Amendment, the Board would not be submitted to any criticisms should it authorize the Federal Reserve Bank of St.Louis to proceed with the construction of the building for the Little Rock Branch. After withdrawal of the delegation from Arkansas, the Dollawing gentlemen from the Tenth Federal Reserve District entered the room: Messrs J. Z. Miller, Jr., Repre'sentative Swank, Hugh Johnson, Dan Hogan, Walter Ferguson. The delegation from the Tenth District presented a let- ter from Senator Harreld, urging that the Board authorize the Federal R serve Bank of Kansas City to proceed to advertise for bids and begin the construction of the branch bank at Oklahoma City. It was estimated by Governor Miller that the building will cost t350,000 and the vaults t100,000, although he expressed the opinion that this expenditure will probably be reduced through the use of vault construction developed as a result of the Sandy Hook tests. The Board agreed to take under advisement the matters pertaining to the branch bank buildings at Oklahoma City and Little Rock. At 4:15 p.m. the meeting adjourned. Approved: Secretary.
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