Iowa League Meeting. The annual meeting of the Iowa Building and Loan League was held at Cedar Rapids, Iowa, October 18, 1922. While the sessions of this meeting were limited to only one day, it is hard to conceive how it would be possible to compress more of value within that time limit than was presented on this occasion. Every number on the program showed unusual grasp of the topic assigned and the interest was sustained throughout. President C. B. Minnis, of Des Moines, in his address touched briefly on a number of subjects, saying: It is my special privilege as well as great honor to preside over this, the thirty-first annual convention of the Iowa Building and Loan League. Our associations have looked with much pride upon Cedar Rapids, with her beautiful homes, parks and boulevards; but above all of these have we been impressed particularly with the growth of her building and loan associations, living examples to us all of what can be done for a people by energetic, clean-cut men without a selfish interest, having in mind the helping of their weaker or more unfortunate brother in securing a home, that was made possible by teaching people to live within their means, encouraging thrift, moulding character and earning an honest living. It is a matter of great pride to the building and loan associations of our state that you have succeeded in demonstrating what can be done and permit us to congratulate you upon your splendid achievement. We hope to carry home from this convention some of the inspiration that has built one of your associations up with more than $4,000,000.00 assets, another with $2,000,000.00 and still another very successful one conducted and supported largely by that thrifty class of Bohemians. Our state has shared with our nation the effects of a bitter strife between capital on one side and labor on the other. In my judgment both are to blame. History will record this as one of the most extravagant periods of the world, wasting energy, destroying property and shedding innocent blood. God grant that the day may speedily come when strikes will be no more, when loyalty to our flag, country, church and schools will become universal. Recently I received a letter from our former President, Mr. Denlinger, saying that "The building and loan movement is by far the best vehicle that exists for the inculcation of savings, thrift and home-ownership and knowing this to be the best antidote for extreme socialism, bolshevism and sovietism it is our plain duty to push it along with every ounce of power that is in us as individual associations and as a League." After reading this, I could not help but think, "Well, Frank Denlinger, that is one of the things that has made the Perpetual Savings and Loan Association of Cedar Rapids such a success." One of the most interesting topics for this convention is "How to increase its membership?" You will all agree with me that to create interest in your own association you must have the members. We have seventy associations in Iowa and yet we have only a small percentage that take part in these annual conventions. If every association in Iowa were to unite with us what a force it would be in supporting our legislative committee in having laws passed that would be helpful and to prevent laws being enacted that would be disastrous to us. I wish to take this opportunity of thanking our legislative committee for their report that was made at our last annual meeting at Dubuque. We are indebted to them for the manner in which they presented our needs for the enacting of laws that will be helpful to all of us. As we continue to grow it becomes more necessary that this committee continue its activity and especially during the sessions of the legislature. Thus far our fair state has succeeded in keeping out what are commonly known as the 3% companies, though they have been persistent in trying to get a foothold here. When I learned of their application for a rehearing before the Executive Council and by two very able attorneys acting for them, I got busy immediately by advising the Executive Council before they granted them permission to do business in Iowa that they investigate the methods these companies had used in Texas, California, Oklahoma, Arkansas and Missouri. I advised our legislative committee what I had done by sending each of them a copy of my letter to the Executive Council, suggesting that they also take it up with them. I am pleased to report to you that the State of Iowa has again refused to permit them to do business in Iowa. We have no quarrel with any legitimate means used to help our people secure homes, and we stand ready to assist any worthy institution that has for its ideals the helping of the housing situation. We are the one institution that invites and encourages competition that comes to our people with clean hands. All of you no doubt have observed the success and growth of building and loan associations all over our country, but especially in Ohio, New Jersey, Oklahoma and our neighbor on the west, Nebraska. The question arises, "What can we do in Iowa to interest more of our people in building and loan associations?" In short let me suggest: first, to increase our membership that all may be united in building up our association; our strength largely consists of membership and with a large membership we can the more easily raise the necessary finances and accomplish results that strengthens our association; second, let us attend these league meetings that we may get from each other experiences that are valuable to us in our work; third, it is our duty to see that our law-makers are properly informed as to what building and loan means to our people we need publicity; fourth, let us get better acquainted with our own business and let me suggest here that I have found the AMERICAN BUILDING ASSOCIATION NEWS a most helpful medium and I do not think any building and loan association in Iowa can afford not to take it, and then it should be read religiously. By following up these suggestions we will get the inspiration that will cause our individual associations to grow and those in turn will help our League. Among the many interesting and valuable papers read at our last annual meeting in Dubuque, was one by W. R. Boyd, President of the Perpetual Savings and Loan Association, of Cedar Rapids, on tax exemption. You no doubt will recall that he suggested we bring to the attention of our representatives at Washington what building and loan associations are doing and what they can do if given proper encouragement. Immediately upon my return home from that convention I wrote each of our Senators and Representatives in Washington, urging upon them the great needs of our people in housing and what the building and loan associations had been doing and what they could do if they had sufficient funds, and one of the ways to provide this and without harm to anyone was to pass the law exempting building and loan association's members' income derived from building and loan stock up to $500.00. This bill was referred to a conference committee that agreed upon $300.00 and even this is now in danger of being repealed so that it becomes necessary for us to defend our position. For this exemption, we are especially indebted to the United States League. Our state was ably represented by W. H. Brunn who attended the last annual convention of the United States League at Portland, Maine, served as a member of the finance committee and I know we all look forward with much pleasure to his report. In closing I want to thank you all for the honor I have received at your hands in selecting me as your president. I have enjoyed the privilege that comes to an office like this. While I questioned your wisdom in selecting me for this important office, feeling my inability, inexperience and weakness to fill this office, yet I would have failed entirely if it had not been for the kind words and help that I have received from your hands, and especially do I want to commend and thank our faithful secretary, C. H. Reynolds, for his efficient work and valuable services rendered to our associations. Professor H. L. Reitz, of Iowa University, speaking on the subject "Some Problems of the Young Building and Loan Association" made particular reference to the experience of his own association of Iowa City, evidencing the use of some profitable methods for selling shares, as a Chamber of Commerce drive; the use of Rotary, Lions' and Kiwanis Clubs; the circularization of literature and liberal use of local printed items and editorials. He particularly recommended and emphasized things of local application; the gathering up of loose ends, and such handling of the association's affairs as would insure a satisfied and enthusiastic membership, with co-operating in an ideal service to the community. Mr. A. L. Murray, editor of the Cedar Rapids Evening Gazette, gave an unusually eloquent address, entitled "The Home, the Order of America." We regret that we have not at hand a complete report of this address, which was replete with sound philosophy and beautiful tributes to the American Home. One phrase of particular significance as showing the importance of promoting the idea of home-owning was embodied in the statement "No Home, no Country; No Housing, no civilization." Mr. W. T. Jackson, President of the Linn County Abstract Company, Cedar Rapids, Iowa, gave a complete explanation in the matter of real estate titles. The Torrens system was discussed very ably, but with the conclusion that under present conditions it would be difficult to supersede any particular method of relying upon abstracts issued by responsible companies and examined by competent attorneys. "Property Value" was discussed by N. E. Yessler, Vice-President of the Cedar Rapids Building and Loan Association, who cautioned the members of the convention in the matter of excessive demands usually incident to easy money times, making necessary a sufficient degree of conservatism in appraising present value of property. An extremely friendly attitude of the State Department was evidenced in the discussion of "Iowa Laws and Iowa Building and Loan Associations," by George Gallarno, of the State Auditor's Office, Des Moines, Iowa. Mr. Gallarno pointed to the fact that during the twenty years of operation of building and loan associations in Iowa under state supervision, not a single failure had occurred. Mr. W. H. Brunn, of Waterloo, gave a very interesting and complete report of the United States League Meeting at Portland, Maine, which he attended as representative of the Iowa League. The next topic, "The New Building and Loan Movement," was presented by F. A. Chase, Manager of the Building and Loan Department of the Southwestern Lumbermen's Association, Kansas City, Mo. Mr. Chase gave a brief account of his work during the past nineteen months in the South-West in organizing and assisting building and loan associations at nearly two hundred points in that territory. He spoke of the proven soundness of Mr. Moorehead's idea relative to the necessity of such work being made general throughout the country and the success that attended the work in his department. He also pointed out that this necessity could only be met by securing a sufficient number of trained workers to do similar work in all the states, and in pursuance of that idea he presented the details of organization, scope and papers of the "American Savings Building and Loan Institute" recently incorporated under the laws of Missouri as a non-profit corporation, under the management of an executive committee, to be composed of a representative from each of the State Leagues affiliated with the United States League of Local Building and Loan Associations. He stated that the policy of the Institution would be to promote real educational work relating to every phase of the building and loan movement, somewhat along the lines of the American Institute of Banking, with the establishment of local chapters, where as many as thirty students can be enrolled for class instruction, with the intention that a correspondence course will be made available for individual students throughout the country to whom such class instruction is not available. In addition to this educational work, the Institute intends to provide assistance to all communities so far as possible who desire assistance in organizing these associations or increase the efficiency of its present organization. At the conclusion of this address a great deal of enthusiasm was manifested by the convention, which was later put in concrete form with the passage of a resolution directing its executive committee to appoint a representative of the Iowa League to act as a member of the executive committee of the American Savings, Building and Loan Institute. The final address of the convention, "Put the Light Under the Bed," was given in a pleasing manner by Mr. J. Leverett, Secretary of the Council Bluffs Mutual Building and Loan Association, Council Bluffs, Iowa. Mr. Leverett urged the members of the convention to do all in their power to bring to the knowledge of the public the actual benefits available through the building and loan associations of their communities. Proceeding to the election of officers, the convention by unanimous vote re-elected the following: C. B. Minnis, President, Des Moines, B. B. Shallenberger, Vice-President, Marshalltown, C. H. Reynolds, Secretary, Dubuque, H. H. Bennett, Treasurer, Cedar Rapids. President Minnis was selected as the delegate to the United States League meeting to be held at Tacoma, Washington, next year, and Des Moines was selected as the place of the next annual meeting of the Iowa League, to be held at such time as the executive committee might direct. Washington State League Meeting. The fourteenth annual convention of the Washington Savings and Loan League was called to order by President W. P. Bell, at the Davenport Hotel, Spokane, Washington, September 18, 1922, at 10 a. m. Registration of delegates showed eighteen associations represented and delegates and visitors present in the number of fifty-five. Mayor Chas. A. Fleming in welcoming the convention said: "I hope and trust that this convention will be guided not by what so often is the case when industrial and commercial bodies meet, the consideration of the problems which have but one object, the advancing of their own interest, without giving due consideration to the greater problem, the welfare of all of the people. You know that your business particularly must depend upon all of the people. The greater number of people who are able to save, the greater will your business be." The secretary, J. Vincent Roberts, reported that various commercial clubs in the state had written the League, requesting information leading to the formation of new associations; that there were new associations started at Wenatchee, Chehalis, Toledo, Hoquiam, Prosser and Bellingham. He urged, now that a greater number of new associations were organizing without charging membership fee, that the League turn attention to discouraging the charging of high commission rates, looking to their complete elimination wherever possible. The president's annual report was a scholarly address such as befitted a judge. His summary was: "The savings and loan associations are doing more to encourage home building than any other agency in the country, and the Government recognizes this fact when it exempts them from taxation as corporations and also exempts a certain portion of this class of investment from income tax; and in addition to this, these associations encourage saving and thrift in many who do not build homes, which encourages the individual to accumulate property and in so doing take his place in the community as a substantial, respected citizen and with a real interest in the community. So we should make every effort to build up our institutions and add wealth, not only to the individual, but to the state and nation. While I am not opposed to big fortunes, Í believe in a system of laws or business conduct that will give each indi vidual a chance to secure a competency, and not only make the individual ownership of property more general, but tend at least to reduce the vast fortunes that may otherwise become a menace to our best interests. "Lord Bacon, I think it was, said: 'Seek not proud riches, but such as thou mayest get justly, use carefully, distribute cheerfully, leave contentedly, yet have no friarly or abject contempt of them.' "And on this subject, Burns says: "To seek Dame Fortune's golden smile, And gather gear by every wile Clair E. Fulmer, secretary of the Peninsular Savings and Loan Association, of Bremerton, gave the address of the morning; subject, “Life Insurance and Savings and Loan Associations." His thesis was that every savings and loan association should explain and extend to their borrowers the facilities for obtaining insurance. Said service should also be extended to the investing members giving them correct life insurance advice; that we would not only be protecting the individuals, but in many cases would be stimulating the growth and prosperity of the associations. After luncheon, Mr. J. L. Farnsworth, Olympia, Wash., Director of Taxation and Banking, addressed the League on "Building Up a Reserve." R. Holtby Meyers, Los Angeles, Calif., who was scheduled for a talk on the "Savings and Loan Association Forward Movement of the Pacific Coast," was not able to attend the convention, but the League was very fortunate in getting Senator Miles Poindexter to address the convention at this point. James F. Leghorn Olympia, Wash., Deputy Supervisor of Banking, Savings and Loan Division, speaking on "Our New Associations," stated that eight were organized during the last fiscal year; that since June 30, 1922, two new associations had been organized and three other applications were pending. He next took up a review of the three and four per cent contract companies that were attempting to do business in the state. On this he said: "I noticed in the Spokesman-Review an editorial a few days ago, taken from the New York Journal, as to the so-called three and four per cent contract companies. It is a very good article, waking up the people of the community to the danger of these associations. There are spread around on your seats here these circulars showing the results of gambling in these associations. So far we have had five applications from these associations to come into the State of Washington, but we have barred them for two reasons: their name, and their method of business. I took the matter up with the Attorney-General and went over it very thoroughly with him, and he said under the decisions of the court, by Judge Rudkin and by one of the other judges, that they were doing a savings and loan business substantially, and that they had no right to enter the State of Washington, and with one exception they have withdrawn their applications, and those gentlemen are still corresponding, but not selling their stock. "They put up a new proposition now, that the agent bought the stock in his own name, it is his stock, and he thinks he has the right to go out and sell it. I told him I thought that situation was covered in the case of State vs. Merrill, in which the court held that he was the agent of the company and that was only a subterfuge, he having bought the stock, and I hope through the efforts of the Attorney-General's office that we will be able to keep these associations from pilfering the people of the State of Washington. They are making a great effort down through the central states, under the leadership of Mr. Chase, who used to be manager of a savings and loan association here, and at one time president of this association, to keep the field clear, and to clear out those that have crept in. |