Historical Society St. Johns is Calling You la second in number of Industries. I seventh in population. Cars to Cortland every 6 min, I las navigable water on 3 sitics. Mm fine.it gas ni.l electricity. Has two strong banks. Has five large acliool houaea. I las abundance of purest water. Mas hard surface streets. Mas extensive sewerage system. Mas fine, modern brick, city bull. Mas payroll of fW.OOO montlily. Ships monthly 2,000 cars freight. All railroads have access to it. Is gateway to Portland harbor. Climate ideal nnd healthful. St. Johns is Calling You Mas seven churches. Mas a most promising future. Distinctively n manufacturing city Adjoins the city of Portland, I las nearly 6,000 population. 1 las n public library. Taxable property, 4,500.000. I las largo dry docks, saw mills Woolen mills, iron works, Stove works, asbestos factory, Ship building plant, Veneer nnd excelsior plant, Flour mill, planing mill, Box factory, and others. More industries commit. St. Johns is the place for YOU, ST. JOHNS REVIEW Devoted to thn Interests of the Peninsula, (he Manufacturing Center of the Northwest VOL. 10 ST. JOHNS, OREGON, FRIDAY, NOVUM BUR 23. 1913. NO. 3 A BOY KILLED And Two Injured By a Cavein Sunday Roy Mugrow. 12 years old. died under tons of sand, and two other boys were rescued Sunday morning only by tho work of a man and a woman who rapidly dug with bare huiuw in the nam of a cut of the 0. W. 11. nnd N. Company near the Cochran farm ut North at. Johns. Tho tragedy was due to the caving in of the roof of a 'robbers' den four boys hud dug in the sand. The Magrew boy, Olin Haynes, lii years old, son ol U. b. Haynes, of 8311 North Leonard street: 01 in's little brother, Albert, and Clarence Ford, the 15 year old son of G. W. Ford, of 837 North Leonard street, dug tho cave. . They Intended to play "robber" Mind incidentally to shelter them--selves from u misty rain which was falling. Albert Haynes, the youngest of the four, was outside when he heard the sand cave in. He turned about to find Ills play mates buried. For five minutes he tried with his hands to dig thorn out. Then he ran to the top of the lull and called Mr. and Mrs. Robert Hoslowski, who live at 1022 North Edison street. They did not understand his oxeitcd words, but ran with him to the cavein. There the boy mad j them understand, and they started to dig with their hands. The first boy uncovered was Clarence Ford, whoso face was black and who almost iiad ceased breathing. With tho little Haynes boy crying at his shoulder that the lad found was not his brother and that his brother was still in tho drift, Mr. and Mrs. Rostowski wor.ke.d over tho Ford boy until ho revived. '" In the meantime the little Haynes boy had uncovered a part of his brother's clothing, and all three dug him out. He was severely bruised about tho back and was unable to stand. He was taken home, and Mr. and Mrs. Hostowski hurried up the hill and got 0. Larson of 1010 North Edison streot to bring two shovels to the scene. With tht'so they searched for Roy Mngrew, and finally uncovered liiB body. Twenty minutes had passed Wore it was found. The boy evidently had died a few seconds after lie was buried, for his mouth was open and filled with sand. Tho Postowkis and others who had gathered tried in vain to restoro respiration. Tho body was taken to the homo of John Messner, near by, and later was taken to tho undertaking establishment of Dunning and McEntee, Portland, by what is said to bo an arbitrary order without tho consent of tho par ents, Tho body was later re moved to Blackburn's Undertak ing Parlors here, where tho fu neral took place Tuesday morn ing at 11 o'clock; interment in Columbia cemetery. The parents of the dead boy are in destitute circumstances and a subscription paper was circulated and funds raised to pay the funeral expenses. W. R. C. Progressing The Gen. Compson W. R. C. of St. Johns was organized in October, 190G, with just enough members to fill tho chairs, and for several years it just barely existed, but is now in a very se cure position - - Soventy-three members whoso ambition is to help the old soldiers and make them a little happier while they live, aiuhlook after their families when they are gone. The last year has been an un usually" harmonious one. All business meetings have been well attended and the semi-monthly socials have united the members closer in the bonds of friendship. Their birthday parties have been especially enjoyable ; that of their adopted child, James Chaney, surpassing all previous occasions. James, though ony four years old, realizes that he is not only loved for his mother's sake, but for his own sake. The first regular meeting the first Saturday in December is election day, and it is hoped that every member will be present and vote for the ones they think will make the best officers. Press Cor, OUNCIL MEET! Matters of Importance Receive Attention All members were present at the regular meeting of the city council Tuesday evening, witii Mayor Brodeson presiding. A petition for an arc light at the corner of Oswego street and Smith avenue was referred to the water and light committee. 1 he same committee was also instructed to consider tho ndvis ibility of placing an arc light at the public library at the corner of Kellogg and Charleston streets, upon suggestion of tho mayor. The owner of tho Peninsula National Dank building asked for permission to erect a glass awning over the doorway at the Dank entrance, which was refer red to the street committee. Mrs. Nnnc.v Canlcs remonstrat ed against being assessed for payment of corrugated iron gut ters on the Polk streot improve ment, which was referred to the city engineer. J. Halm asked for an exten sion of (10 days' time on the im provement of Crawford street, and was granted 30 days. A communication from P. II. Edlofson, manager of the water company, asked that all com- )lamts of the lire dcimrlmonl concerning hydrants that needed attention come to tho company direct in order to eliminate de ny on what might prove to be a soripus matter in case of fire. Mr. Edlofsen also agreed to put n pipes and valves necessary lor converting water direct from the mmps in case of fire, increas ng the pressure about 3d pounds. provided the improvement of Willamette boulevard by side walk nnd erode butween Rich mond and -Ihlriiilgton-Htreets-bc made. The committee appointed to ntorviow the county commis sioners with reference to ascer taining how much the county was willing to donate toward the improvement of Columbia boulevard, which is a county oad. reported that tho commis sioners dosirod further informa tion of a definite nature beforo they would commit themselves to any specified amount. Tho city attorney and engineer woro directed to furnish tho dosirod data. Tho improvement of Tyler streot petitioned for last week was hold up, owing to tho fact that a clear titlo to this streot iad not yet been obtained by the city. An ordinance establishing the grade of Willametto boulevard batwoon Burlington street and St. Johns avenue was passed. The council practically decided that all petitions for street im provements hereafter must con tain the signatures of not loss than one third of tho property owners interested ueiore tney would be considered by the coun cil. An ordinance assessing tho cost of improving Burlington street between Jersey and Con trol avenuo passed first and sec ond readings. Air. Hunter objected to the proposed removal of an arc light from Jersey and Trumbull streets to. northwest of Catlin street on ellogg. stating that such a move was contrary to the wishes of the people in that neighbor- lood. It was finally decided to lave the light removed to Kellogg street one block east of Trum- iuill. A rosolution directing tho city engineer to prepare tho neces sary data for the improvement of Hartman street between Cen tral avenue and Myers by side walk and grade was adopted. D. C. Lewis urged that a sys tem of sewers be constructed in the southwest portion of the city, and a resolution directing the engineer to prepare plans for same was ordered drafted. A representative of A. G.Long of Portland stated that a demon stration of their fire 'trucks would take place in St. Johns Saturday afternoon at 2 o'clock. Tho following bills were allow ed and ordered paid: George Skaar, street work and inspect ing, $10.50; Bert Olin, street work and inspecting, $10.50; E. 0. Gensman, wiring city dock, $17.05; total, $50.05. CurrinSays: The one BEST gift is a Kodak. Kodaks and Brownies, $1.00 and up. adv. - THE LIBRARY Interesting Notes for the Library Patrons Hours 1 to 5:30 and 7 to 9 p. m. About 200 people listened to the opening program at tho new library. Saturday evenimr. Dur ing the afternoon over 250 child ren were entertained with stories told by Miss Gatch of the Cen tral library. Monday, the first day that tho new library opened for regular business 237 books were given out. Of these M2 wore adult and 95 juvenile. Tho attendance was 313. The now library building on West Charleston and Kellogg streets was thrown open to the inspection of the public Saturday afternoon, when a Inriro number, of people visited the building. I Story hours were held in the afternoon at 3 o'clock for small children and at 1 for the larger children. At 8 o'clock a public reception was hold in the library, which was largely attended. There was a short program of addresses. it r c.i.: i.i-.i i iv. u. ouum piuaiiicu, mm con gratulated the people of St. Johns on the completion of the fine branch library. Robert Holman. county com missioner, spoke of tho work of the county department in es tablishing branch libraries in the county, where they would bring the advantages of tho central library close to the people. Mayor Brodeson, Prof. C. A. Fry and others spoke briefly. Tho now public library build ing is a magnificent structure, and an ornament as well as im portant adjunct to the city of St. Johns. It is centrally situated Tmjiits. The ground was donated by M. L. Holbrook, the money for construction came from the Carnegie fund, nnd it will bo maintained by the county of Multnomah. The main part at the front entrance, which is a particularly largo, well lighted and attractively finished room, is devoted to the library and li brarian's desk. Tables for read ing purposes aro conveniently placed around in the room, and tho numerous shelves are well filled with books of almost every variety and description. An other principal room is tho aud itorium, with a rostrum and seating capacity of 75 or more. It is the purpose of tho library iissociation that this room be used for meetings of all kinds, and Miss Rundall, the faithful and proficient librarian, gives tho assuranco that public meet ings of almost any naturo thoro in will bo most hoartily welcom ed. It is most conveniently ar ranged and fitted for tho purpose, A neat and most attractive little kitchenette with gas appliances, dishes, etc., for tho serving of tea for small partios is an inter esting featuro of tho structure. A private room for consultations of a business naturo is another convenience. Lavatories ore pro vided, and a commodious base ment lies underneath the build ing. Tho structure throughout is well lighted, well planned and skilfully constructed of brick, costing $15,000. It is something tho city may well feel proud of. Bit Off Her Nose Biting otf tho end of her nose is the novel revenge at Paris by an Italian, Gretano Sangiori, on a young woman who had jilted him. The girl incautiously accepted an invitation from the young man to take dinner at a restaurant and there ho pleaded his suit the last time. As she remained adamantine, he threw his arms around her and drew her to him as if to kiss her. She did not resist. But instead of pressing his lips against hers, he sudden ly bit off the tip of her nose. bangion has just been sentenc ed to a year's imprisonment for his barbarous act. Who is your prescription com pounder? Have you used care in his selection? Remember we use one kind of drugs and give you ono kind of service in this departmentTHE BEST. Get it at Currins. adv. Start Something! CURRENCY BILL, Interesting Discussion by John N. Edlefsen Th i following address on the most momentous subject of the day, the currency question, was delivered by J. N. Edlefsen of tho Peninsula National Bank be fore tho Commercial ,Club at its monthly meeting on Wednesday levelling. Mr. Udioison goes 'deep into tho subject and dis cusses it in its various phases in a logical, concise and instruc I tivo manner. It shows earnest thought and nroioumi study on the part of tho speaker, and im parts a volume of information on this important subject that should be carefully read and deeply appreciated by every citizen. It follows: I Mr. President and members of tho Commercial Club: In my address tonight 1 am supposed to talk to you on the proposed Currency Bill which has already passed the House, and is now under consideration in the Senate. Undoubtedly you have all fol lowed the press reports and know more or less about this question; at least you will know that the bankers of this country aro try ing to get hold of all the loose etirrency. so that the people will have none at all. This is also according to some press reports and some politicians, but rather deviating from the truth. 1 shall endeavor to present to you a few facts in as clear a man ner as possible, so you may un derstand more fully the underly ing principles of currency re form. The subject ifl, however, of such magnitude and of such economic importance, that I do not Jeel able to do full justice to Banfo. 'Some 6f our biggest men in brains and finance have studied this problem for years, and have written books on it. A few years ago a monetary com mission wnsfcreatcd by Congress. This Commssion studied banking conditions at home and also the methods of banking of tho lead ing countries of Europe, and I understand they have written in tho neighborhood of 30 volumes on lliis subject, and nut of their findings the nv.'ch talked of Aid rich plan was born. For your pacification I will state that 1 have not written as many volumes for fear tho read ing of them would tiro you. When wo speak of Curroncy, tho first question we are apt to ask oursolves is what is Currency? Webster s definition is as fol lows: "Currency is that which is in circulation. or is given and taken as having value, or as rep. resenting value." You will observe that Curroncy may have value in itself, as il lustrated by our gold coin or may only represont value, as is illus trated by our Gold Certificates and bank notes. Our Currency consists of tho following things: First: Gold Coin, which is generally accepted and has actual value. Second: Gold Certificates, which aro generally acceptod, but have no actual value. Third: All subsidiary coins,' including tho silver dollar. Fourth: Silver Certificates. Fifth: United States notes. Sixth: National Bank notes. The foregoing is our currency system and it has been pro nounced the poorest currency system in the world, if you in clude the leading commercial nations. In round figures the United States has one billion eight hun dred million in gold; seven hun dred ten million in silver pieces; three hundred fifty million U. S. notes; seven hundred fifty mil lion in National Bank notes. I shall refer later on to the Na tional Bank notes more particu larly. The chief fault which has been found with our banking and cur rency system is that in times of stringency, caused either by un usual activities in commercial and industrial life and heavy crops as well as in times of a depression, it has been too rigid and not elastic so it would expand and' contract with tho activities of the country. This has frequently been demonstrat ed and not later than during the year of 1907. There are in the United States about 25, 000 banks, National and State combined. According to their location they are required by law to carry a certain per cent of their deposits in their vaults, and with approved reserve agents. Tho National Bank Act re quires that National Banks, lo cated in reserve cities, shall carry 2o per cent, and banks lo cated outside such cities shall carry 15 per cent in cash against their demand ob titrations. In most of the states the State Banks have a very sum bar roiru lation. You will clearly see tiiat inasmuch as you Iiavo 25,000 Banks you will have 25,000 re serves. In times of unusual aclivity in 4;i icuiLiuv, cuiumurciiii unci in dustrial life, it has been found till III M . t mat tne credit ot tho country is being severely strained and the demands for sucli credits at the banks is far greater than they win uipiy, owing to inu rigidly of our bank reserves. Or, let us say a time of de pression or re-adjustment come along, people losing confidence and wanting their money; we have another side of it. Per haps in some locality the strain on some banks in so great that their reserves aro exhausted, so that they will either have to call in their loans in which event the situation only grows worse in that particular locality-or else sell sonic of its assets to other banks in order to satisfy the de mands of its depositors, or else close its doors. Now that in stitution may be absolutely sound and still be forced to suspend business, and consequently have a deadening effect on the busi ness in general in the community, all by reason of our banking laws. Where such a condition arises in a local community, a well managed and sound bank can usually obtain all necessary help from its correspondent banks, but in time of universal depression or high activity near ly all the banks in tho country are protecting their own ends, as for instance, in the year of 1907. During such a time you will find that every bank in the country is not only trying to maintain its legal reserve, but to build it up and fortify itself, so to speak, and when 25,000 banks all prac tically do the same thing, caus ing by so doing a contraction in credit instead of expansion, it is not difficult to figure out the effect it will have on the bus iness of tho country. i wish to state right here that believe, taking the banks as a body, they have done their 'it- most in complying with the de mands made and to preserve the business of the country, but thoy can only go so far, for thoro is a limit. They must, under tho law, keep so much cash on hand, come what may. If they do not, they stand a good chance of hav ing their charters forfeited. ihoro you have tho spoctac e of 25,000 banks in tho country hold- ing millions ot gold in their vaults, lying there absolutely useless and dormant, and the country in tho moantimo crying for holp, You havo a very simi lar condition almost annually during tho groat crop season, bo it cotton or gram. Right hero in our Northwest it is a task of no small dimensions to finance the wheat crop yearly, Thoro is not sufficient money to handle these crops properly; tho result is that money is sought wherevor thoro Is a chance of obtaining it, lead ing toexcossivo high rates of in terest, winch is a burdon to tho farmer, and must in tho oik bo a burden to tho consumer. Tho same condition prevails in tho South during tho cotton season, or in the corn bolt states during tho corn harvest. Horo it is where a true bank note and an elastic currency systom could make itself useful, and here it is where a mobilization of bank reserves would work wonder. Supposing we had a Central Bank. I simply call it such for convenience sake, supposing all the banks, or a majority of them, had a part of their re serves in ono great institution, would it not pile up an immonso amount of coin? Ten per cont reservo on all deposits of the National banks.only would create a fund of over $700,000,000, in addition to which it would have the Government deposits and the cash capital of this great institu tion, and in further addition could be brought into play the note issuing power of this same institution. Supposing that tho banks in one section or other having un usual demands by reason of crops or other causes should find thorn selves running low in thoir re serve could take out of thoir port folios papers and sccuritioa'and go to this big central institution and rediscount these papers and immediately receive ensh for same, there would hardly bo any more trouble in moving our crops and in satisfying the legitimate wants of our commerce and in dustries. Does it not follow that such organization could im mediately restore public con fidence where it had been shak en? When I speak of redis- counting I take it as matter of course that the rediscounting may become a member of a Fed bank would have to be sound and oral reserve bank, providing it its paper good, as otherwise it! complies with llle r0KUlations would not receive the privilege .prescribed for National Banks, from tho central, organization, land subjects itself to the same Such an organization could bring regulations and supervisions help and relief wherever needed , which is exercised over National by reason of its immense reserve ' Bapks. fund and nolo issuing power, i All government deposits and juai, ii uiuau biiMiu niaiiiuumiH uriii ruuui in ine leaning imi- ropoan countries, and where real .... - j ..I i i money panics are practically un known. When the monetary commission was in France it visited one of the great banking institutions, i believe it was tho Credit Ir LyonniHsc. If I re member correctly, this instuti Lion had liabilities somewhere around 300.000.000 francs. Ono of the Commission, in question ing the managing officer about French banking methods, in quired how much reserve his bank kept airatnst such amount of liabilities. The officer at first did not quite understand what he meant by keening a reserve until it was explained to him that what tho commission desir ed to know was how much cash n their vaults his bank kept to satisfy the demands that might be made by the clients of the bank. "Why," he exclaimed, we simply keep enough money on hand to run our daily bus- ness, till money, so to sneak. and if any unusual demand should be made. I can take anv amount of my assets and go to the Hank of I-ranee and receive cash for same. Our people know this. and we never havo such unusual demands." As you know, a similar oriran- Izaton is- now-proposed for-thia. country. In fact, the bill pro- idingfor I'cdernl reserve banks ii this country has passed the louse, and is now in the Senate Currency Committee. Ihoro seems to lie an impres sion among a good many people that tho banks of the country are strenuously opposing this bill, and I want to say riglit here, they are not. As n body they are favoring it. In fact, they have kept this question before the public and various administra tions for many veal's. They are chiefly responsible that Currency! legislation is being considered at this time. But while we are making Curroncy laws the bank ers are deeply interested that we receive a workable system, some thing which experience has shown us we must have, some thing which other great nations have used for many years, and aro using today. There are some features in the House bill which are considered unsound and un scientific, and which business men, bankers and thinking peo ple in general wish to huve rec tified before the bill becomes a law. For my part, 1 want to say that if the lull should become a law as it stands today, although there is no likelihood that it will, I would consider it a great improvement over our present system, but I also believe, since wo aro about to make a new cur roncy law, lot us have the best that can possibly be had. You are, no doubt, more or less fami lar witli the provisions of the House Bill. Some of the import ant features which are: The creation of 12 Federal reserve banks to be located in different cities of tho country, not to have a capital of less than $5,000,000 each, which shall be furnished by the National banks of a given district up to 20 per cent of their paid-in capital, ten per cent of which to be paid as soon as tho law is in effect. Every Federal reserve bank shall be organized and conducted under tho oversight and control of a board of directors, consisting of nine members and divided into three classes- A, B and C. Class A shall consist of throe members, who shall be chosen by the stock holding bunks. Class B shall consist of three members who shall boreprosont ativo of the industrial and ag ricultural interests of tho reserve district. Class C shall consist of three members who shall be designated by the Federal. resorve ooard. Of this board I shall speak later. The stock holding banks cannot rocoivo more than five per cont return on thoir shares in tho Fedora! reserve bank, after all expenses, etc., have boon paid, and thoy may receive loss. All excess earnings shall go into surplus fund until the same is equal to 20 per cent of the paid in capital of the respective re servo bank, nnd after that all excess goes to the Government. Tho shares of the Federal ro sorve bank carry no voting pow er, and neither are thoy assign able. It is further provided that any state bank or Trust Comnanv ' nil money belonging to the gov ornmcnt s in be denos tei tited with i . i ... . . the Federal reserve bank. It shall havo the power to issue treasury notes, but they shall bo the obligation of the United States. It shall have power to rediscount upon endorsement of a member bank notes and bills of exchange arising out of com mercial transaction. That is, notes and bills of exchange drawn for agricultural, industrial or commercial purposes of not more than 15 days maturity. Tho Federal Reserve Board to deter mine or define the character of the paper thus eligible for dis count. There are various other pro visions as to rediscounts, in a way guarding against inllation, but lime will not permit me to go too much into details. The bill provides, further, for the refunding of two per cent bonds, which the National Banks now hold, for three per cent bonds within 20 yelp's, in which timu the National Bank notes shall bo entirely eliminated. All member banks shall carry a certain per cent of their legal reserves with the Federal Re serve Hank of their district on which they shall receive no in terest, and henceforth this pro vision will mean a loss to the mum bcRKtbo nlcsssl tf ur t h cvxpro .. vidosfor loans or, farm lands, for the establishment of foreign branches, for bank examination. supervision and so on. The most imixirtant feature of tliis bill, however, is the crea tion of the "Federal Reserve Board of seven members, which will include the Secretary of the 1 reasury, the Secretary ot Air- rk'ulture and the Comptroller of tho Currency, the remaining four to be apiaiinted by the President of the United States. You. will notice that the thro first named will lie members of the President's receiving their poinlment, and oflieial family, office by nj. the bill pro shall vidos that the other four also be appointed by the Presi dent, and henceforth the entire board, witli its great powers, is appointed by the President. By the terms oi tins mil one, only one, oi this board shall have wide experience in banking, hi other words, the so owners of the Federal Reserve Bank, from the right of representation, nr excluded from any iwrticipation in tho deliberations of the Board. This is regarded at a moat revolutionary measure and apt to place the whole system of banking under the control of a political board. 1 have no fear that none but high class men of knowledge ami honor will be appointed to these o:Tices, but nevertheless the dsn ger exists, and it looks to mo like a big railway system em ploying, say, merchants drug gists, printers, etc., for the head of its departments and deli her- atoly excluding experienced rail way men. while the former may be very able in their linos in which thoy have experience and honorable beyond a doubt, I cannot conceive, however, how such a railway system could b very successful, even though thoy were permitted to have one real railway man amongst them. You will remember it is made obligatory upon the National Banks to become subscribers to tho Federal Reserve Banks; they will be compelled to subscribe two hundred million dollars. One half or ono hundred million dollars which thoy will have to in cash and in addition they in accordance with the re. will servo requirements be compelled to carry somewhere around five hundred and fifty million dollars of thoir reservo with the Federal Reserve Banks, over which the Fedoral Reserve Board would oxercise a controlling power. Some of the powers or the Fedor al Rosorvo Board are as follows: Tho power to suspend further operations of any or nil of the Federal Reserve Banks. Concluded on Inst page.