FepEraL RESERVE AcT 
be fixed in advance by said board and shall be paid in the same manner as the salaries 
of the members of said board. All such attorneys, experts, assistants, clerks, and other 
employees shall be appointed without regard to the provisions of the Act of January 
sixteenth, eighteen hundred and eighty-three (volume twenty-two, United States 
Statutes at Large, page four hundred and three), and amendments thereto, or any rule 
or regulation made in pursuance thereof: Provided, That nothing herein shall prevent 
the President from placing said employees in the classified service. 
(m) Upon the affirmative vote of not less than five of its members, the Federal 
Reserve Board shall have power to permit Federal reserve banks to discount for any 
member bank notes, drafts, or bills of exchange bearing the signature or endorsement 
of any one borrower in excess of the amount permitted by section 9 and section 18 of 
this Act, but in no case to exceed 20 per centum of the member bank's capital and sur- 
plus: Provided, however, That all such notes, drafts, or bills of exchange discounted for 
any member bank in excess of the amount permitted under such sections shall be 
secured by not less than a like face amount of bonds or notes of the United States 
issued since April 24, 1917, for which the borrower shall in good faith prior to January 1, 
1921, have paid or agreed to pay not less than the full face amount thereof, or certifi- 
cates of indebtedness of the United States: Provided further, That the provisions of 
this subsection (m) shall not be operative after October 31, 1921. : 
Federal Advisory Council 
Sec. 12. There is hereby created a Federal Advisory Council, which shall consist 
of as many members as there are Federal reserve districts. Each Federal reserve bank 
by its board of directors shall annually select from its own Federal reserve district one 
member of said council, who shall receive such compensation and allowances as may 
be fixed by his board of directors subject to the approval of the Federal Reserve Board. 
The meetings of said advisory council shall be held at Washington, District of Colum- 
bia, at least four times each year, and oftener if called by the Federal Reserve Board. 
The council may in addition to the meetings above provided for hold such other meet- 
Ings in Washington, District of Columbia, or elsewhere, as it may deem necessary, may 
select its own officers and adopt its own methods of procedure, and a majority of its 
members shall constitute a quorum for the transaction of business. Vacancies in the 
Council shall be filled by the respective reserve banks, and members selected to fill 
vacancies shall serve for the unexpired term. 
The Federal Advisory Council shall have power, by itself or through its officers, 
(1) to confer directly with the Federal Reserve Board on general business conditions; 
(2) to make oral or written representations concerning matters within the jurisdiction 
of said board; (8) to call for information and to make recommendations in regard to 
discount rates, rediscount business, note issues, reserve conditions in the various dis- 
Uricts, the purchase and sale of gold or securities by reserve banks, open-market opera- 
tions by said banks, and the general affairs of the reserve banking system. 
Powers of Federal Reserve Banks 
: As amended by act approved Mar. 8, 1915 (38 Stat., 958, chap. 93); act approved 
gy 7, 1916 (39 Stat., 752, chap. 461); act approved June 21, 1917 (40 Stat., 232, chap. 
2); act approved Mar. }, 1923. 
1171.1] 
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