The organization and selecting of the Federal Reserve Cities was left in the hands of the Secretary of the Treasury, Secretary of Agriculture and the Comptroller of the Currency, this committee to designate not fewer than eight nor more than twelve cities to be known as Federal Reserve Cities. The continental United States to be divided into districts, each district to contain only one of such Federal Reserve Cities, Alaska being excluded.

Each Reserve Bank must have a subscribed capital of not less than $4,000,000.00.

Each Federal Reserve Bank may establish branch banks within the district in which it is located. Such branches shall be operated by a Board of Directors under rules and regulations prescribed by the Federal Reserve Board.