The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1905-02-09
KELLYS FINAL STAND.
His Friends in Senate Open War on
Depository Bill.

When the state depository bill pre-
pared by the senate's committee on
banks and banking was reached on the
! calendar Wednesday afternoon there
was some Jockeying at the start for
place.
The majority of the senate wished to
recognize the depository bill passed by
the house but at the same time did not
wish to knuckle under to the lower
branch of the legislature by accepting
that bill so when the senate bill was
called up the house bill was substituted
Tor consideration in committee of the
whole and after the reading clerk had
read the title and enacting clause and
part of the first section Senator Du-
mont Smith moved to amend the house
bill by striking out all after the enact
ing clause and substituting the senate
committee bill. The senate committee
passing on the house bill had decided
on this change.
The house bill makes May 1, 1905, as
the date for the state depository fea-
ture to go into effect and the senate
bill sets the date for September 1, 1905.
State Treasury Kelly has been fighting
to have the date made May 1, 1906. It
is on the date when the depository
measure shall go into effect that the
principal hight over the bill is made.
Another difference is over the man
ner in which the banks to be state de-
positories shall be chosen. The house
bill provided that the state funds
should be deposited in the banks offer
ing the highest rate of interest. The
senate bill, as amended, eliminates this
feature of the highest bidder and leaves
the disposition of the funds to the de-
cision of the board of treasury examin-
ers consisting of the governor, the sec
rotary of state and auditor of state.
A clash came whc enator Fitzpat-
rick moved to amend the second sec
ton of the BILL providing that the
board of treasury examiners shall re-
ceive sealed proposals from banks, every
two years. This section provided that;
said proposals shall state the amount
of funds such bank desires, and the
rate of interest it will pay on daily bal
ances, and that said bank will qualify
and deposit the necessary securities and
faithfully perform the duties required
of it, provided the award is made to
such bank, said board of treasury ex
aminers reserving the right to limit
the amount of funds deposited and to
reject any and all proposals for such
funds; but in any event the bank or
banks offering the highest rate of in
terest shall be the repositories first des-
ignated."
Senator Fitzpatrick moved to amend
by striking out but in any event the
bank or banks offering the highest "a tie
of interest shall be the repositories first
designated"
Z Senator Quincy. a member of the
committee on banks and banking, said:
II don't think that the senator is CT
fering an amendment that is his own
but one that comes from the state
trea surer.'
Senator Fitzpatrick replied: 1.-THE
senator impugns me and says, that an
officer elected and placed under a
heavy bond has no right to make suS-
gestions. I am not one who thinks that
but one man. who has been at the
head nominally in the campaign, is the
only one who has a right to make sug-
gestions. I want to say that this sug-
gestion was not made to me by the
state treasurer. You have, in your
craftsmanship and frenzy, made it i'm
possible for him to say anything about
the funds in the state treasury and you
would place them in other hands"
The amendment offered by Senator
was adopted.
Then Senator Lower, another banker
and another member of the committee
on banks and banking, offered as an
that the date September !, |
1905, be stricken out and that May !, |
1905, be substituted.
This is one of the questions fought
out in the committee said Senator |
Fulton, chairman of the committee. /,
This question was settled there and it |
was thought proper to give a reason |
able time for the adjustment of the
business of the banks now holding the
state funds on deposit
Some other matters were also settled |
in the committee ROOM" said Senator
Quincy Il consented to this date to J
appeaSe the state treasurer, but now l /
ind that other changes are desired so
favor the amendment and do not see
why this should not go into effect at
0nce."
Senator F. Dumont Smith said:
when the examiners meet in Septem-
Der the state moneys now on deposit
will have been about paid out in the
usual course of business and the banks
will have adjusted themselves to this
new order of business"
Il did not agree to this report of the
committee to make the date Septem-
per-" said Senator Lower. Il was sent
aere to legislate for my people and in
heir interests. If this bill is a good
measure it should go into effect as soon