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IN ASSEMBLY.

ASSEMBLY CHAMBER,

Wednesday, November 20, 1907.

At ten o'clock A. M., pursuant to adjournment, the Assembly was called to order.

Hon. R. L. Beardslee, Speaker of the Assembly, in the chair. The roll was called, and the following members answered to their names: Messrs. Barry, Baxter, Beban, Beckett, Birdsall, Bishop, Boyle, Bush, Butler, Campbell, Case, Chandler, Cogswell, Coghlan, Collister, Cornish, Costar, Cullen, Cutten, Davis, Devlin, Drew, Eshleman, Estudillo, Finney, Fisher, Forbes, Fratessa, Hammon, Hans, Hartmann, Held, Higgins, John, Johnson of Sacramento, Johnson of San Diego, Jury, Kelly, Kohlman, Leeds, Lemon, Lucas, Ludington, Lynch, McClellan, McConnell, McGuire, McKeon, McMullin, O'Brien, Otis, Percival, Pierce, Pyle, Root, Sackett, Smith, Smyth, Snyder, Spalding, Stanton, Stetson, Strohl, Strobridge, Thompson of San Francisco, Thompson of Los Angeles, Toomey, Transue, Vogel, Weske, Wessling, Whitmore, Wilson, Wyatt, and Mr. Speaker-76.

Quorum present.

PRAYER.

By invitation of the Speaker, prayer was offered by the Rev. W. F. Reagor, of Sacramento, California.

READING OF THE JOURNAL.

During the reading of the Journal, its further reading was dispensed with, on motion of Mr. Leeds.

COMMUNICATION.

Upon instructions from the Speaker, the following communication was read:

QUINCY, CALIFORNIA, November 18, 1907.

HON. R. L. BEARDSLEE, Speaker of Assembly, Sacramento, Calif., U. S. A.: Sickness compels my absence. Am sorry. I love the boys of the Thirty-seventh and have defended them against all assailants.

REV. P. H. WILLIS, Chaplain.

REPORT OF STANDING COMMITTEE.

The following report of standing committee was received and read:

ON WAYS AND MEANS.

ASSEMBLY CHAMBER, SACRAMENTO, November 20, 1907. MR. SPEAKER: Your Committee on Ways and Means, to whom was referred Assembly Bill No. 6-An Act making an appropriation for the contingent expenses of the Governor's office for the fifty-ninth and sixtieth fiscal years, in addition to such sums as have been heretofore appropriated.

Also: Assembly Bill No. 7-An Act making an appropriation to pay the claims for services of the National Guard of California and other expenses incurred by the Adjutant-General, under direction of the Governor, arising and growing out of the labor troubles and strikes in the City of San Francisco in the months of May, June and July,

1907.

Have had the same under consideration, and respectfully report the same back and recommend that they do pass. ESTUDILLO, Chairman.

The above reported bills ordered on file for second reading.

RESOLUTION.

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The following resolution was offered by the Committee on Mileage:

Resolved, That the State Controller be and he is hereby directed and ordered to draw his warrant upon the proper fund in favor of the following named officers and members of the Assembly for the amounts set opposite each of their names; and the State Treasurer is hereby ordered and directed to pay the same:

Name.

Barry, D. W..
Baxter, E. N..
Beardslee, R. L..
Beban, D. J.
Beckett, S. H..
Bell, R. O...
Berry, T. J. T..
Birdsall, E. S..
Bishop, Clyde.
Boyle, P. J...
Bush, F. W..
Butler, E. I.

Campbell, P. C..
Case, G. S.

Chandler, W. F.
Cogswell, P. F.
Coghlan, N. C..

Residence.

San Francisco..
Wawona

Stockton

...San Francisco.

San Francisco
Napa

San Rafael
.Richmond..
Pasadena

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Collister, S. W..

Occidental..

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Cornish, N. A.

Alturas.

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Costar, W. J、.

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Cullen, J. A...

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Cutten, C. P.

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Lucas, H. C...

Davis, J. O...

Devlin, F. R.

Drew, A. M..

Eshleman, J. M..

Estudillo, M..

Finney, J. W.

Fisher, C. M..

Forbes, P. W.

Fratessa, P. F..
Hammon, P. V..
Hans, G. J..

Hartmann, F. Hugo.
Held, W. D. L..
Hewitt, A. H.
Higgins, J. T.
John, W. M..
Johnson, G. L.
Johnson, P. A..
Jury, R. H..
Kelly, P. J...
Kohlman, S. T.
Leeds. W. R.
Lemon, W. F.

Ludington, W. F.

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Lynch, E. J..

Walsh Station.

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McClellan, J. W..

Bridgeville

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McConnell, J. I..

Woodland

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McGuire, Wm. L.

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McKeon, John

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McMullin, H. W..
O'Brien, F. J.
Otis, Frank..
Percival, A. E.
Pierce, Fred E..

Pyle, É. M..
Root, G. W.
Sackett, G. L..
Smith, G. W.

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Smyth, F. H..

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Snyder, G. F.

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Spalding, C. C.

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Stanton, P. A.

Los Angeles.

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Stetson, J. W.

.Oakland..

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During the reading of the resolution, on motion of Mr. Transue, the further consideration of the same was made a special order, on call, for Thursday, November 21, 1907.

REQUEST FOR USE OF ASSEMBLY CHAMBER.

Mr. Johnson of Sacramento asked for and was granted leave to use the Assembly Chamber after adjournment for holding a meeting of the Committee on Judiciary.

INTRODUCTION OF BILLS.

By Mr. Estudillo: Assembly' Bill No. 8-An Act transferring money from the General Fund to the State Printing Fund, to defray the expenses of legislative printing for the extra session of the Thirtyseventh Legislature, and directing the State Controller and State Treasurer to make such transfer.

Bill read first time, and referred to Committee on Ways and Means.

RESOLUTIONS.

The following resolutions were offered:

By Mr. Finney:

WHEREAS, P. H. Willis, Chaplain of the Assembly, is unable to attend this special session on account of sickness; Resolved, That the name of Rev. W. F. Reagor of Sacramento be substituted as Chaplain.

Resolution read.

The roll was called, and the resolution adopted by the following vote: AYES-Messrs. Barry, Baxter, Beban, Beckett, Birdsall, Bishop, Boyle, Bush, Butler, Campbell, Case, Chandler, Cogswell, Coghlan, Collister, Cornish, Costar, Cullen, Cutten, Davis, Devlin, Drew, Eshleman, Estudillo, Finney, Fisher, Forbes, Fratessa, Hammon, Hartmann, Held, Higgins, John, Johnson of Sacramento, Johnson of San Diego, Jury, Kelly, Kohlman, Leeds, Lemon, Ludington, Lynch, McClellan, McConnell, McGuire, McKeon, McMullin, O'Brien, Otis, Percival, Pierce, Pyle, Root, Sackett, Smyth, Snyder, Spalding, Stanton, Stetson, Strohl, Strobridge, Thompson of San Francisco, Thompson of Los Angeles, Toomey, Transue, Vogel, Wessling, Whitmore, Wilson, Wyatt, and Mr. Speaker-72.

NOES-None.

By Mr. Held:

WHEREAS, In the message of His Excellency, Hon. J. N. Gillett, to this Assembly on

November 19, 1907, it is recommended that a committee be appointed to investigate the methods of doing banking business in this State, and to report thereon at the Thirtyeighth session of the Legislature, together with such recommendations and changes in the law as such committee may deem necessary; and

WHEREAS, It is advisable and necessary that such investigation be made; now, therefore, be it

Resolved, That the Speaker of the Assembly appoint a committee of five members of the Assembly to investigate the methods of doing banking business in this State, and to report thereon at the Thirty-eighth session of the Legislature, together with such recommendations and changes in the law as such committee may deem necessary; and be it further

Resolved, That the said committee be, and it hereby is authorized and empowered to do any and all things necessary to have a full and complete investigation of the matters hereinabove enumerated, and to that end to employ all necessary clerical and expert assistance; to send for persons and papers, and to take all necessary means to procure the attendance of witnesses and testimony. Members of said committee are, and each of them is, hereby authorized to administer oaths, and all the provisions of Article VIII, Chapter II, Title I and Part III of the Political Code, relative to the "attendance and examination of witnesses before the Legislature and committees thereof," applies to the committee appointed under this resolution, and the Sergeant-at-Arms of the Assembly is hereby authorized and directed to serve any and all subpoenas that may be issued by the chairman of said committee, when directed to do so by the chairman; and be it further

Resolved, That said committee report the result of its investigations and recommendations to the Thirty-eighth session of the California Legislature; and there is hereby appropriated out of the contingent fund of the Assembly the sum of $1,500, to pay the charges and costs to be incurred by said committee to be appointed hereunder, for clerical and other assistance and for fees of witnesses attending said investigation, and for other expenses connected with said investigation aside from the personal expenses of the members of said committee, and the Controller is hereby directed to draw his warrant for $1,500 in favor of the chairman of said committee when appointed, and the Treasurer is hereby directed to pay the same, for said purposes.

Resolution read.

SUBSTITUTE OFFERED.

The following concurrent resolution was offered by Mr. Stanton as a substitute for the above:

ASSEMBLY CONCURRENT RESOLUTION No. 1.

WHEREAS, Within the past month a condition of financial embarrassment has prevailed among the banks and banking houses doing business in the State of California, notwithstanding the fact that the people of this State in every walk of life have been particularly prosperous, and

WHEREAS, The said financial embarrassment of said banks and banking houses has resulted in widespread dissatisfaction among all classes and further resulted in a succession of holidays declared by the Governor, the result of which has been great inconvenience and injury to many business interests other than banking; and has impeded the progress of the courts in the disposition of all business, civil, criminal and probate, that was pending in said courts at the time of and during such holidays, and

WHEREAS, It is the opinion of many that the financial condition, as now existing, is attributable largely to the imperfection of the laws of the State of California governing banks and banking and trust companies and in the manner of conducting said business; and

WHEREAS, It is apparent to all that our banking and trust laws need to be amended so as to afford better protection to the depositor and the business world. Now, therefore, be it

Resolved, by the Assembly of the State of California, the Senate concurring, That a committee to consist of three Senators and three members of the Assembly be appointed by the President of the Senate and the Speaker of the Assembly respectively for the purpose of investigating into the business methods employed generally by the banks and banking houses in the State of California and to ascertain the average total cash on hand earned in proportion to the total deposits, the proportion to deposits loaned by such banks and banking houses outside of the State of California, the terms and average rate of interest on such loans and generally with other and such further information as will enable such committee to make a full and comprehensive report as to the methods of banking business usually employed by such banks and banking houses to the end that laws may be enacted that will or may in some degree prevent a recurrence of such conditions of financial embarrassment as exists at this time in this State.

That said committee be and it is hereby empowered to administer oaths and issue all necessary subpoenas directed to persons residing in this State, to appear before such committee at a time and place to be named therein, and such person so served, is required to appear and testify before such committee as to all matters and things which

he may be examined upon, bearing upon the subject-matter of this resolution and such persons shall be required to produce and submit to the inspection and examination by such committee of all books, papers and documents as may be in his possession or control.

That such committee shall have and is hereby given power and authority to incur all necessary expenses to enable it to perform the duties herein specified and that it make its report in writing to the Governor and the Legislature next to meet, and in such report it make such recommendations and prepare such laws as will carry out the purposes contemplated by these resolutions.

That the expenses to be incurred under authority of this resolution shall not exceed, in the aggregate, the sum of five thousand dollars ($5,000), and such amount shall be payable one-half out of the Contingent Fund of the Assembly and one-half out of the Contingent Fund of the Senate. The State Controller shall draw his warrants upon such funds on the presentation of claims audited by the committee and filed by the chairman of said committee, and the State Treasurer shall pay the same.

SPECIAL ORDER SET.

On motion of Mr. Drew, both resolutions were ordered printed and their further consideration made a special order for Thursday, November 21, 1907, immediately after the reading of the Journal.

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Resolved, That the Controller draw his warrant in favor of the Chief Clerk for $50, and the Treasurer is directed to pay the same, said amount being for postage, expressage, telegraphing, and incidental expenses of the Chief Clerk's office.

Resolution read.

The roll was called, and the resolution adopted by the following vote: AYES-Messrs. Barry, Baxter, Beban, Beckett, Birdsall, Bishop, Boyle, Bush, Campbell, Case, Chandler, Cogswell, Coghlan, Collister, Cornish, Costar, Cullen, Cutten, Davis, Devlin, Drew, Eshleman, Estudillo, Finney, Fisher, Forbes, Fratessa, Hammon, Hans, Hartmann, Held, Higgins, John, Johnson of Sacramento, Johnson of San Diego, Jury, Kelly, Kohlman, Leeds, Lemon, Lucas, Ludington, Lynch, McClellan, McConnell, McGuire, McKeon, McMullin, O'Brien, Otis, Percival, Pierce, Pyle, Root, Sackett, Smith, Smyth, Snyder, Spalding, Stanton, Stetson, Strohl, Strobridge, Thompson of San Francisco, Thompson of Los Angeles, Toomey, Transue, Vogel, Weske, Wessling, Whitmore, Wilson, Wyatt, and Mr. Speaker-74.

NOES-None.

By Mr. Leeds:

Resolved, That the Sergeant-at-Arms of the Assembly, or the Bookkeeper to the Sergeant-at-Arms, be and they are hereby authorized to receipt to the Controller for all warrants for payments to members, officers, and attachés of the Assembly.

Resolution read, and on motion adopted.

MESSAGE FROM THE SENATE.

The following message from the Senate was taken up

and read:

SENATE CHAMBER, SACRAMENTO, November 20, 1907. MR. SPEAKER: I am directed to inform your honorable body, that the Senate on this day passed the following:

Senate Concurrent Resolution No. 1-Relative to approving four certain amendments to the charter of the City and County of San Francisco, State of California, voted for and ratified by the electors of said City and County of San Francisco at a general municipal election held therein on the fifth day of November, 1907.

LEWIS A. HILBORN, Secretary of Senate.
By J. W. KAVANAGH, Assistant Secretary.

REFERENCE OF CONCURRENT RESOLUTION.

On motion of Mr. Coghlan, Senate Concurrent Resolution No. 1 was referred to the San Francisco Delegation.

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