The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1913-12-27
Then to Decide Location
of New Federal Re-
serve Banks.
NEXT TWO MONTHS
FOR THIS WORK
McAdoo and Houston Will De-
vote Practically All Their Time
to Studying Advantages of
Various Places-Applica-
tons for Membership
Continue to Pour In.

NaShinyton December 2e.-The or
Eanization committee. which is TO
launch the new Federal reserve bank
ing system, tonight announced its
plan for marking out boundaries OF
reserve districts. and the selection of
reserve cities. Public hearings will DO
held in fourteen large cties-New
York, Boston Chicago, St. Louis, Den
yer Seattle Portland Oregon; San
Francisco. Los Angeles. Houston. Ten;
New Orleans Atlanta. Cincinnati. and
Cleveland.
Although these cities are the only
ones to be visited. the advantages Of
inany others will be considered. and
bankers and others interested in cities
not named in it's list viii be heard.
The TWO Cabinet officers composing the
committee VIII spend practically all OF
the next TWO months in this work.
They expect TO conclude their labors
about the end OF the period allowed
national banks TO announce their in
tention Of becoming members of the
system
secretary McAdoo left his Office to-
day. suffering from slight fever. and
the other committeeman. Secretary
houston. decided TO abandon the task
until MI. McAdoos recovery. 1t was
said the hard work Mr. McAdoo did to
aid in perfecting the currency law has
told upon him. His illness is not be-
lieved 10 be serious. but he is not en-
pccted to return TO his desk for sew
eral days
Statement by Committee.
a statement from tho committee TO-
DAY said
The committee has decided to for
ward Immediately to every national
and State bank and trust company "a
copy OF the Federal reserve act to-
fye ta ytIf,N ha - IT.
for membership in the Federal re-
serve system
Under the provisions OF the act all
national banks are required to signify
their acceptance OF its terms and pro-
visions on or before February H. 1919
and all eligible State banks and trust
companies are permitted TO signify
their acceptance within the same time
1T was determined that the organiza-
ton committee Will have hearings in
various important cities for the pur-
pose Of securing the views OF bank
ers and business men "a TO the divi-
sion OF the country into Federal re-
serve districts, and the location in each
district OF the head Office OF the Fed
eral reserve banks.
1T will not be possible for the com
mittcc TO hold sessions in any other
cities. but ample opportunity will bc
given for representatives OF various
sections of the country contiguous to
those cities TO appear before the COM
mittce and present their views. 1t
must not be inferred that the COM
nittec has determined upon any one
Of these cities as location for the
Federal reserve banks: they have been
chosen as places for holding sessions
OF the committee solely because OF
their accessibility and convenience.
Dates of Hearings.
The committee will sit at the GUS
tom house in New York on January
. and ,; in Boston on January and s:
and return 10 New York for additional
sessions January S and .. The com
mittee will sit in Washington from
January II to II; in Chicago. Jan
uary 10. 90 and 2l; St. Louis. January
%. % and "a: Denver, January o6.
Hearings for the other cities will he
held between January 2s and March l.
The committee desires to be In
formed particularly upon the follow
ing points, which are considered pri-
mary factors in determining the boun-
daries OF the proposed 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.
80. Industrial and commercial de-
Vclopment and needs OF each section
which involves consideration Of the
general movement of commodities and
of business transactions within the dis
tricts. and the transfer OF funds and
exchanges of credits arising there
from.
'3. The established custom and trend
of business as developed by the present
system of bank reserves and checking
accounts. III laying out the districts
q oct '. ltStNI L..
reserve banks. every effort will be
made to promote business convenience
and normal movements Of trade and
commerce.
political considerations will not be
permitted 10 influence the committee in
determining these important questions.
| While the committee appreciates local
pride and sentiment. which are prompt
| ing many cities to urge their claims.
the committee. nevertheless must .ap-
peal to the patriotism OF the country
to assist IL in arriving at sound con-
clusions through consideration OF fun
damental and vital factors. Purely To-
cal sentiment and pride must Yield to
the common good in order that the
system may accomplish the purposes
for which 1T was designcd-namcly. to
secure to the business OF the country
the elastic system of credits and the
stability of conditions SO long impcro-
lively demanded
BusinessIike Undertaking.
THE committee will not. therefore,
be able to receive delegations urging
the claims of particular cities for pre-
ference 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 he
developed through the Investigations.
The purpose OF the committee is to go
about tho work in thoroughly prac-
Continued On Fifth Pase)