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DALLAS
Federal Reserve Bank of Dallas

January 1986

Volume 5, Number 1

T-DAB implementation scheduled
The Department of the Treasury will
be implementing a new Treasury
Direct Access Book-Entry System
(T-DAB) in July. Implementation of
this system will complete the
Treasury’s goal of issuing all
marketable securities in book-entry
form. It will also directly effect the
Federal Reserve Banks since we
serve as agents for the Department
of the Treasury and process and
maintain government security
transactions.
Totally eliminating the issuance of
paper (definitive form) securities, the
new system known as Treasury
Direct, will allow investors to obtain
new issues of Treasury bonds and
notes in book-entry form only.
Treasury bills are already being
issued this way.
With the July implementation of
full book-entry, individuals will be pro­
tected against the possibility of lost
or stolen securities. This change
should help both investors and those
issuing and maintaining records of
government securities.
In addition to being better pro­
tected, payments of interest and prin­
cipal will be made through the elec­
tronic funds transfer system. Also,
investors will only need one single
account for all of their government
security transactions. Thus, adding
securities to an individual account
will allow investors to better monitor
their investments.
The accounts will have special
features. They will create ownership
rights through the form of registration

in which securities are held. They will
require designation of a financial in­
stitution to receive direct deposit for
payments on securities held at
T-DAB. Therefore, the investors must
select financial institutions at which
to establish an electronic funds
transfer account at or before the pur-

chase of the first security.
Institutions wishing to receive
Treasury Direct Information Bulletins
for on-site needs regarding T-DAB
should write Treasury Direct Informa­
tion Bulletins, Stephen G. Hartburn,
Ten Independence Mall, Philadelphia,
PA 19106.

Directors announced
The board of directors at the
Federal Reserve Bank of Dallas and
its Branches have announced director
changes for 1986. Changes are as
outlined.
Robert D. Rogers, president and
chief executive officer of Texas In­
dustries, Inc., was reappointed a
director and also redesignated chair­
man of the Head Office board.
Admiral Bobby R. Inman, president
and chief executive officer of
Microelectronics and Computer
Technology Corporation, was
redesignated deputy chairman of the
Head Office board.
Charles T. Doyle, chairman and
chief executive officer of Texas In­
dependent Bancshares in Texas City,
was elected a Head Office director.
Robert Ted Enloe, III, president of
Lomas & Nettleton Financial Corpora­
tion, was reelected a Head Office
director.
Nat S. Rogers, chairman of First
City Bancorporation of Texas, Inc.,
was reappointed to represent the
Dallas Fed on the Federal Advisory
Council for 1986.

Hector Holguin, founder and chair­
man of the board of Holguin &
Associates, and Peyton Yates, presi­
dent of Yates Drilling Company, were
reappointed directors at the El Paso
Branch.
Jeff Austin, Jr., president of the
First National Bank in Jacksonville,
and Leo E. Linbeck, Jr., chairman and
chief executive officer of Linbeck
Construction Company, were ap­
pointed directors at the Houston
Branch.
Jane Flato Smith, rancher, was
appointed a San Antonio Branch
director.
Robert F. McDermott, chairman and
chief executive officer of United Ser­
vices Automobile Association, was
reappointed a San Antonio Branch
director.
(continued on page 4)

INSIDE___________
■

COMMUNITY AFFAIRS

■

SALARY SURVEYS

■

NEW CHECKS

This publication was digitized and made available by the Federal Reserve Bank of Dallas' Historical Library (FedHistory@dal.frb.org)

Fed addresses community concerns
Mirroring the
Federal Reserve
System’s interest
in local and
regional concerns,
the Federal
Reserve Bank of
Michon W. Fulgham
Dallas has estab­
lished a Community Affairs program.
The objective of this program is to
provide information to the public and
lending institutions which will help
financial institutions meet their com­
munities’ credit and financial service
needs.
Andrew W. Hogwood, Jr., assistant
vice president and community affairs
officer, and Michon W. Fulgham, com­
munity affairs representative,
endeavor to learn community needs,
thus, bringing the interests of finan­
cial institutions, business, govern­
ment, and consumer and community
organizations together.

“ In addition to learning
more about develop­
ment activities our­
selves, we must rely on
the examiners as our
eyes and ears...”
In general, community affairs of­
fices are responsible for sharing in­
formation about successful and
creative programs for community in­
vestment, reinvestment, small
business lending, and economic
development to the public and lend­
ing institutions.
“We don’t claim to have all the
answers to community development
concerns, but we certainly have ac­
cess to some of the most competent
and innovative advice available,”
stressed Hogwood.
The passage of the Community
Reinvestment Act (CRA) in 1977 for­
malized the need for financial institu­
tions to conduct business consistent
with the broad markets they set forth
to serve. The CRA also required each

Federal financial supervisory agency
to encourage financial institutions to
help meet credit needs of the com­
munities in which they are chartered.
Fulgham, upon joining the Federal
Reserve in February 1985, focused her
attention on formulating strategies of
outreach and information dissemina­
tion that promote private/public part­
nerships. In addition, she has
familiarized herself with the most
successful elements of other Com­
munity Affairs programs within the
Federal Reserve System.
“Translating the System’s mode of
operation into community affairs of­
fices’ activities is crucial. One major
asset has been to develop a strong
network system with various organ­
izations and individuals,” stated
Fulgham.
“ In addition to learning more about
development activities ourselves, we
must rely on the examiners as our
eyes and ears. They are constantly
out with our state member banks and
hear the needs and concerns of both
the banks and the communities they
serve. The growth of our examiners’
awareness of viable alternatives to
conventional bank lending and finan­
cial service programs can be a posi­
tive means of helping banks and

holding companies serve community
needs better,” Fulgham added.

“ ...we certainly have
access to some of the
most competent and
innovative advice
available.”
Some of Fulgham’s duties include
discussing needs and solutions with
persons representing banks, busi­
nesses, governmental entities and
community interest groups through­
out the Eleventh District, digesting a
wide variety of publications to keep
abreast of community affairs ac­
tivities, attending meetings both as
an observer and a participant, and
hosting workshops and seminars that
attempt to identify and address com­
munity issues.
Fulgham holds a bachelor’s degree
in urban law from Stanford University
in Palo Alto, California. Before joining
the Fed she was a field service of­
ficer for the Neighborhood Reinvest­
ment Corporation, and had been on
the urban affairs staff of Bank of
America.

A presentation on the Federal Home Loan Mortgage Corporation’s multi-family loan pro­
gram was the topic at a recent community affairs seminar which was hosted by the
Dallas Fed.

Salary surveys conducted
As a service to the financial institu­
tion community in the Eleventh
District, the Dallas Fed’s Corporate
Banking Department conducts annual
salary surveys. Both member and non­
member banks within the Eleventh
District are eligible for participation
in the survey. Information is compiled
according to nine geographic areas
and six deposit-size categories (see
map).
The survey contains information on
minimum, maximum and average
salaries for 31 official and 28
employee positions. Results reported
in the 1985 survey include data from
approximately 430 banks, up 30 from
the survey conducted last year.
For those banks participating in
1985, the average chief executive of­
ficer’s salary was $74,636, compared
to $67,950 reported for the same posi­
tion in 1984. Chief executive officers’
salaries ranged from a minimum of
$23,000 to a maximum of $245,000.
Persons in these positions had an
average of 19 years banking ex­
perience, with six years in the chief
executive position.
An average bonus of $11,999,
average profit sharing of $6,446, and
average retirement benefits of $5,853,
were reported for the position also.
In addition to the chief executive
officer position, the Officer’s Salary
Survey provides data on loan officers,
trust officers, planning officers, con­
trollers and branch managers among
others. The Employees’ Salary Survey
provides information on positions
such as paying and receiving tellers,
clerks, machine operators, book­
keepers, programmers, custodians,
and others.
Copies of the salary surveys may
be obtained from the Corporate Bank­
ing Department (214) 651-6261 or (214)
651-6370 at the Federal Reserve Bank
of Dallas. Written inquiries should be
sent to Corporate Banking, Dallas
Fed, Station K, Dallas, Texas 75222.

Chief Executive Officer Average Salaries
By Geographic Area (1985)

Officers’ Average Salary Results
Officer Position

1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.
14.
15.
16.
17.
18.
19.
20.
21.
22.
23.
24.
25.
26.
27.
28.
29.
30.
31.

_____________________

Average
Salary

Chief Executive O ffic e r................................................... $74,636
Second Ranking O fficer................................................... 54,325
Auditing Officer-Senior................................................... 29,754
Auditing O fficer-A ssistant............................................. 24,596
Business Development O fficer-S enio r......................... 31,813
Business Development O fficer-Assistant..................... 23,214
Controller-Senior............................................................ 37,882
Deputy Controller............................................................ 31,608
Controller-Assistant....................................................... 23,120
Credit Card O fficer-S enior............................................. 28,189
Credit Card Officer-Junior ............................................. 23,815
Data Processing O fficer-Senior..................................... 31,688
Data Processing O fficer-A ssistant............................... 24,743
Installment Loan Officer-Senior..................................... 34,625
Installment Loan Collection O fficer............................... 22,335
Installment Loan O fficer-Junior..................................... 25,536
Investment Officer-Senior............................................... 37,013
Investment O fficer-Assistant......................................... 26,482
Commercial Loan Officer-Senior................................... 45,629
Commercial Loan O fficer-Junior................................... 34,450
Mortgage Loan O fficer-Senior....................................... 41,237
Mortgage Loan O fficer-Junior....................................... 28,028
Operations Officer-Senior ............................................. 33,235
Operations O fficer-Assistant......................................... 21,253
Personnel Officer-Senior ............................................... 28,614
Personnel O fficer-Assistant........................................... 21,198
Planning Officer-Senior ................................................. 33,552
Planning O fficer-Assistant............................................. 20,160
Trust Officer-Senior......................................................... 48,287
Trust O fficer-A ssistant................................................... 29,816
Branch Manager.............................
26,711

Directors, cont.
Each Reserve Bank has three
classes of directors, with each class
having three members. The first two
classes of directors are elected by
district member banks and a third
class is appointed by the Board of
Governors in Washington, D.C.
Members of the banking community
make up the first class, while the sec­
ond and third classes generally repre­
sent the interests of agriculture, com­
merce, industry, services, labor, and
consumers. Directors serve three-year
terms.

i

New checks introduced by Treasury
The U.S. Treasury recently in­
troduced a new look to govern­
ment checks. The new multi­
colored paper checks replace
the old, green punched-card
checks that have been in use for
40 years.
A full-length reproduction of
the Statue of Liberty on the left
and a muted close-up of her
head and torch on the right are
the features on the new design.
The check’s colors range from
light blue to pale peach with the
letters “ USA” creating a pale
background pattern.
Once this change is imple­

mented, taxpayers will save an
estimated $6 million per year be­
cause of less paper stock and
storage space cost cuts. The
paper check is more difficult to
alter or counterfeit, also. Be­
tween the ink, paper and design,
it has more than a dozen secur­
ity features.
The Treasury introduced the
new checks with Social Security
payments in December and will
phase them into other payrolls
during 1986. The government
issues more than 600 million
checks annually.

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