The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1913-12-27
FEDERAL RESERVE
BANKING SYSTEM
PLAN ANNOUNCED


tom house in New York on January
? and 3, In Boston on January s and
and return to New York for addi-
tional sessions January and g. The
committee viii sit in Washington from
January IL to II. in Chicago January
10. 20 and 81; st. Louis. January 22
23 and "a; Denver. January 26. Hear
ings for the other cities will be held
between January 2S and March l.
Wherever possible the hearings will be
held in government buildings.
The committee desires to be informed
particularly upon the following points
which are considered primary factors in
determining the boundaries of the pro-
posed districts and the location Of the
federal reserve banks:
Il. Geographical convenience. which
involves transportation facilities and
rapid and easy communication with all
parts of the district
''2. Industrial and commercial devel-
opment and needs of each section,
which involves consideration of the
general movement of comodities and Of
happiness transactions within the dis
tricts and the transfer of funds and eX-
changes of credits arising therefrom
g. The established custom and trend
of business as developed by the pres
ent system of bank reserve and check
ing accounts. In laying banks, every
effort will be made TO promote business
convenience, and normal movements of
trade and commerce.
No Political Consideration
Political considerations will not be
permitted to influence the committee in
determining these important questions.
While the committee appreciated local
pride and sentiment which are prompt
ing many cities to urge their claims,
the committee nevertheless must appeal
TO the patriotism of the country to as
sist it in arriving at sound conclusions
through consideration of fundamental
and vital factors Purely local senti-
ment and pride must yield to the COM
mon good, in order that the system
itself mfy accomplish the purposes for
which II was designed, namely, to Sc
cure e the business of the country the
elastic system of credits and the sta
bility of conditions so long imperatively
demanded.
The committee will not therefore.
be able to receive delegations urging
the claims of particular cities for pref-
erence as the headquarters of the re-
serve banks The claims of all cities
will be considered upon their merits
in view of all the facts which will be
developed through the Investigations
The purpose of the committee is to
go about this work in a thoroughly
practical and business like way, to ac-
complish 1t at the earliest possible mo-
ment, but without undue haste, and
only after full consideration of the
needs of every section of the country.
Arduous Work
THE work will of necessity be ar
duous and the committee has deter
mined upon these public hearings as
the quickest and most direct methods
of obtaining the necessary information
TO enable it to arrive at prompt and
satisfactory conclusions.
The committee will, from time to
time, make announcements concerning
its procedure.
Applications for membership in the
new system poured in with the regular
ity of clock ticks today, and the desk
of George r., Cooksey Mr.. MeAdoo,s
private secretary, was piled a foot high
with letters and kilograms from banks
The estimate tonight WAS that close to
1000 banks and trust companies have
applied for membership and there are
few sections and fewer large cities that
have not at least one representative
in the long list. If tile estimate is
correst. nearly ones seventh of the ma
tional banks have asked to become
members in the system. With the law
three statute books only few days,
and Christina day Intervening, Secre-
tarv MeAdov vas well pleased tonight
With sa esponse from the country.
Nee asa lications tonight included
|11isaeeth fow n, Ky, Denhani, n. C., Ath-
era Ga ,ome set. Ky. Coweta Okla.
Ma svilie. X. n Philadelphia, Hampton,
Va. ca4aabia. S. Z. !, and Gallatin, Mo.
-Four Hundred Apply
WasfunHtDn, December 26-More than
~ s4fioiai banks and trust companies
altsenl every state and almost every
4ffxe it the country, have applied for
UtH efH7o in the federal reserve system
~ Assliff according to an unofficial esti-
riats M today by the treasury depart
ncn-
griira ons have come so fastIthat offi-
q frl1ying them have been unable to
ke OF ie pace, but careful enumera-
II ~ allu record of the time when they
wte fsee.ved on desks will be made TO-
daf
:. anks ! New York, Chicago and ,3os-
'fsti haas not applied In great numbers ,or
inbel Up, but Secretary McAdoo is of
OPT on that their applications soon
WI lie orthcoming
", u sAdoo and Secretary of Asricul-
tee fe .ston. the organization commi, =,
9Flde for in the law. got down 20 nard
york day on plans for the dividing 5f
tae country into Reserve district and the
lacatior of reserve banks.
Al official announcement ~ the plan