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At a meeting of the Federal Reserve Board held in the office of the Board on March 5, 1919, at 11 A.M., PRLSENT: The Mr. Mr. Mr. Yr. Governor Miller Hamlin Williams Broderick, Secretary. Morning business was presented and disposed of as follows: The Governor reported the following rediscount transactions pursuant to authority heretofore vested in him: March 4th,by the Federal Reserve Banks of Chicago, St. Louis and Kansas City, for the Federal Reserve 3ank of Richmond, 440,000,00u eleven to fifteen day member bank collateral notes secured by Government obligations, rate 4, as follows: Federal Reserve Bank of Chicago,5,000,000 2,500,000 Federal Reserve Bank of St.Louis, Federal Reserve Bank of Kansas City,2,500,000. Noted. Letter dated February 28th from Assistant Federal Reserve Agent Itevin, at Cleveland, re withdrawal from the System of the Exchange Bank of Kentucky, Mt. Sterling, Kentucky. The'.overnor submitted for approval draft of reply by him, dated March 4th. Approved. Memorandum by General Counsel dated February 28th, re opposition of State authorities in New York to exercise of trust powers by National banks. - 6.3 1 -2Referred to the Chairman of the Law Committee for report. Memorandum by General Counsel dated February 28th, re eligibility for membership in the Federal Reserve System of banks organized under bill pending before the North Dakota Legislature. Referred to the Chairman of the Law Committee for report. Memorandum by General Counsel dated February 26th, in re policy as to publication in the Federal Reserve Bulletin of opinions of Counsel. After discussion (during the course of which Mr. Williams joined the meeting), it was voted that, effective with the Marah 1st issue of the Bulletin, the practice shall be pursued of publishing decisions of the Board under the heading "Rulings of the Board"; and that in any case where it be deemed desirable, reference shall be made at the foot of ruling to the opinion of Counsel upon which the decision is based, in which event such opinion, or parts thereof, shall be published under the heading "Law Department". Memorandum by the Secretary dated March 4th, recommending, (1) that General Counsel be instructed to prepare letters in response to inquiries addressed to the Board when responses are based on opinions of Counsel; and (2) that General Counsel be instructed to prepare and submit before publication forms of rulings of the Board to be published in the Bulletin and in the public press. -3Approved. Mr. Hamlin stated that he had discussed with General Counsel Harrison the 4uestion of the appointment of an Assistant General Counsel, and after reviewing the situation with respect to compensation paid to junior counsel by other departments, he recommended that General Counsel be authorized to employ an assistant at a salary of 45,000 per annum. Voted that the question of the appointment of an Assistant General Counsel be referred to the Executive Committee with full power, upon the condition that the salary fixed shall be at a rate not in excess of 45,000 per annum. The minutes of the meeting of the Board held on March 3d, were read and on motion approved as amended. The minutes of the meetings of the Gold Export Committee held on March 3d, 4th and 5th were presented and approved, and the action therein set forth ratified. Memorandum by General Counsel dated March 5th, in re amendment of March 3, 1919, of the Federal Reserve Act, affecting the rediscount of paper secured by Government obligations. Voted that General Counsel be instructed to prepare and submit for approval by five members of the Board, in accordance with the provisions of the amendment, a regulation in line with the recommendations made in his memorandum to the Board under date of March 5th. -4(At this point Mr. Williams withdrew from the meeting). The Governor stated that he had not as yet received a response to his letter of February 19th addressed to Mr. Richard H. Malone, inquiring as to his responsibility for certain announcements made regarding the stock of the Western Oil Fields Corporation. voted that the Governor be authorized to telegraph Mr. Malone, requesting immediate reply to the Governor's letter to him under date of February 19th. REPORTS OF COMMITTEE NO. 1: Dated Larch 5th, recommending admission of State institutions as set forth in the auxiliary minute book as of this date, subject to the conditions stated in the individual reports attached to each application. Approved. Dated March 4th, recommending approval of application of P. E. McPhail for permission to serve at the same time as director of the First National Bank, Last Rochester, New York, and as director and president of the Merchants Bank, Rochester, New York. Approved. Dated March 4th, recommending approval of application of Alexander C. Brown for permission to serve at same time as director of the Union Commerce rational Bank, the Garfield Savings Bank Company, and the Morris Plan Bank, all of Cleveland,Ohio. Approved. Dated February 26th,recommending approval of a salary of 4200 per month, effective March 1, 1919, -5for Jr. E. H. Tucker, Assistant to the Federal Reserve Agent at San Francisco. Approved. Other business was presented and disposed of as follows: The Governor reported the reserve positions of the several Federal Reserve banks. The Secretary reported that all Federal Reserve banks had agreed to make no change in the schedule affecting availability of proceeds of acceptances, except upon thirty days' advance notice. On motion duly seconded it was voted that the Secretary be instructed to purchase for the use of the Board "United States Compiled Statutes" in twelve volumes, at a net cost to the Board of 4)62.50. The Governor stated that he had conferred with the Secretary of the Treasury respecting the forthcoming conference with Governors of Federal Reserve banks, to be held during the three days beginning March 20th, and that the Secretary had concurred with him in the belief that, in view of the importance of the questions coming before the Conference, it would be well to invite the Executive Committee of the Advisory Council to attend such Conference, for the discussion of questions affecting discount rates and 166 -6policies of Federal Reserve banks. Voted that the Governor be authorized to invite the Zaecutive Committee of the Federal Ldvisory Council, and such other members of the Council as may care to attend, to be present at the Conference with Governors of Federal Reserve banks on Thursday, March 20th, for tho discussion of questions affecting discount rates and policies of Federal Reserve banks. At 12:30 P.2., the meeting adjourned. Approved: Governor
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