The great West. [volume] (St. Paul, Minn.) 1889-18??, 1890-08-08
The Town Bank Bill.

The Town Bank Bill.
Mr.. Dunnell Thy request) intro
duced a bill to enable certain munich
pal corporations to engage in bank
ing.
Be it enacted by the Senate and
House of Representatives of the
United States Of America in Congress
assembled, That any organized
township or town organized for
municipal purposes under the laws of
any State, may engage in banking
and have conferred upon it all the
franchises, powers, and privileges
now conferred upon any national
bank now doing business under the
laws OF the United States, not in
compatible with the rights, privi-
leges, and duties pertaining to such
municipal corporations, by comply
ing with the provisions of this act, us
hereinafter provided.
Sec. 2. That any such municipal
corporation may call a special meet
ind. as provided by the law creating
such municipal corporation, and to
the legal voters thereof at said spe-
cial meeting shall be submitted the
following. to wit:
Shall the town of be
bonded to the United States in a
sum not to exceed one-fourth of it's
assessed valuation as security for
bank-notes not to exceed one-fifth of
said assessed valuation?
Said question shall be written or
printed on each ballot, and vote
thereon shall be either Yes or No,
and if majority of said votes cast
and counted shall be Yes, then it
shall be deemed that said town has
decided to engage in banking, and
the meeting may, then and there,
designate any five OF it's town officers,
or five or more persons, as directors
OF said bank to perfect it's organiza-
ton.
Sec. 3. That the Directors shall
meet and make a complete copy of
each and every proceeding required
by law for calling said special meet
ing. copy of last assessment roll of
said town as equalized by the State
board of equalization, which shall be
acknowledged and signed by all the
directors before a Judge of some
court of record and to which shall al
so be attached the certificate of the
secretary OF said State to the effect
that the town of is duly
organized according to law. is stu
ated in the county of in the State
OF THAT the copy of said
assessment-roll attached in court.
and that under the laws of said State
said town can issue it's bond in a sum
of dollars. Said certificate
shall be duly authenticated by the
State seal. The papers thus pre-
pared shall be transmitted to the
Comptroller of the Currency, who
shall record and carefully preserve
the same in his office.
Sec. 4. That upon making and fl
ing the papers above mentioned said
town shall become empowered, in it's
municipal capacity. to exercise all
the powers conferred upon banking
ass ociations by sections five thous-
and one hundred and thirty-six and
five thousand and one hundred and
thirty-seven of the Revised Statutes
of the United States. and such other
powers as Congress may have
granted since to such banking asso-
cations; but no power thus granted
incompatible with provisions of this
act, or inconsistent with the corpor-
ate rights OF said town, shall be ex-
ercised by said town bank.
Sec. 5. That the town, after having
complied with the provisions of the
foregoing sections of this act, before
it shall commence business, shall ex-
ecute, transfer. and deliver to the
Treasurer of the United States the
bond of said town conditioned as
shall be prescribed by said Treasurer,
bearing interest at a rate of one per
cent per annum, to an amount not
less than ten thousand dollars, which
shall be received bv the Treasurer on
deposit, who shall collect and cover
into the Treasury the interest as it
falls due, in full payment for the cir
culating notes issued to said town
by the United States. Any town
shall have power to increase it's cir
culation whenever it's assessment-rol
shows that the increase petitioned
for will not exceed one-firth of it's as
sessed valuation, but no increase
shall be granted in a sum less than
five-thousand dollars.
Sec. 6. That the Comptroller of the
Currency shall, under the direction of
the Secretary of the Treasury, furnish
notes for town banks-one dollar,
two dollars, and of such sums as
now are prepared and furnished to
national banks, with the same de-