Richmond times-dispatch. [volume] (Richmond, Va.) 1914-current, 1916-12-28
BOARD GUIDED CHIEFLY BY
NEEDS or RURAL SE.(.rInSs

in designating locations for tho
banks. the board was guided chiefly
oE the needs of rural sections This
mas resulted in placing only two of
'he twelve banks In New England ard
H'daie Atlantic States tho chief cen.
ters or population. Three go to the
So"'h. I'VE 10 the farming states Of
tn" Middle West and West and Two 10
the Pacific Coast
me i""iv" districts into which the
country is divided were announced nv
the Farm-Loan Board to-day as FOL
lows:
District No. Maine. New Hamo-
shlre, Vermont, Massachusetts. Rhode
island. Connecticut. New York and New
Jersey
District No. 2-Pennsylvania. Della
ware Maryland. Virginia. West vir-
E'nia and the District of Columbia
District No. s-North Carolina, South
carolina Georgia and Florida.
district No. 4-ohio. Indiana, Ken
lucky and Tennessee
District No. 5--Aiahama. Mississjpn,
and Louisiana.
District No. G--Illinois. Missouri and
Arkansas
District No. 7-Michgan. Wiscons;,
pistric, No. S-Iowa, Nebraska. Sou,h
Dakota and Wyoming.
District No. 9-Oklahoma E,ne,.
Colorado and New Mexico.
District No. l0-Tcyas
District No. i1-California. Nevada
Utah and Arizona
District No. lo-washington. Orc
Gon. Montana and Idaho
tANEElI. CONSUMER .,rInS
TO FARM-I.OAN NEEDS
In determining tho Federal land
"ank districts and in designating IN.
cities within such districts where Fed
eral land banks shall be located. tho
official announcement says: THE Fed.
crai Farm Loan Board has given care
tNl consideration TO the farm loan
needs OF the country. The board held
puhIic hearings in nearly every state
IN the Union. and in this manner col
'ected information Of great value in
determining its decision.
Every reasonable opportunity has
neen anoFded applicant cities to fur
hish evidence 20 support their claim as
locations of Federal land banks. More
'han seventy-fve cities applied to he
designated AS the headquarters of a
bank and We're heard through repre
sentative committees and individuals"
The banks will he established as soon
AS practicable. Each will have a cana
city Of $4,000. Application for loans
have been pouring into the board in
great volume recently. and it is es,i-
mated that sum more than twenty
times in excess Of the combined capi-
tai stock could he used in making
loans.
Almost the first work OF the banks,
after approving and issuing loans. will
be the issuance OF farm-loan bonds n
new form "f security in this country
The bonds will be issued In dcnomina-
tions as small as s25. 1t is expected
and will bear interest at a rate Of
l per cent less than the intcrcs, rate
charged farmers on their loans.
INTEREST RATE NOT
DEFINITELY DETER MINED
What this interest rate will be has
not definitely been determined II is
limited by law to maximum Of
per cent. The expectation is that il
VIII not exceed l-2 per cent AT first
and subsequently, may be lowered
Loans on farming land are limited
by the law 10 30 per cent Of the value
OF the land. and may be payable in
'''"' "Ne |" i"rlH years. AS faSt as
loans are made, bonds will be issued
to cover them so that at no time un-
der the present plan, will a banks en-
tire capital be tied up in loans to the
detriment OF other applicants
One OF the chief tasks now con-
fronting the board is to find cx-
perienced employees for the new
banks. More than 5000 applications
for positions have been received. The
appointments will be exempt from
civil service regulations, but the board
intends to assemble n corps OF men
experienced In banking.
The head OF each bank will be de-
siEnated as the registrar. They prob
ably will be only residents OF the dis
tricts Involved and preferably attor-
ncys.