History of Sacramento County, California, with biographical sketches of the leading men and women of the county who have been identified with its growth and development from the early days to the present, 1923, Part 50

Author: Reed, G. Walter
Publication date: 1923
Publisher: Los Angeles : Historic Record Co.
Number of Pages: 1026

USA > California > Sacramento County > History of Sacramento County, California, with biographical sketches of the leading men and women of the county who have been identified with its growth and development from the early days to the present, 1923 > Part 50

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In 1893 the Southern Pacific Company and the counties of Yolo and Sacramento built a bridge jointly at the foot of H Street. This bridge differed from the others in having two stories, the lower one on the street level, for the railroad trains, and the upper one for foot passengers and wagon traffic, elevated above the railroad tracks and with an inclined plane as an approach on the Sacramento side, run- ning from Second Street to the top of the bridge, and a similar approach on the Yolo side. A third approach ran from the top of the bridge, joining the Sacramento approach at that point and running down to the Pioneer Mill, thus enabling teams to get to the mill without crossing the network of tracks. in the railroad company's yard. When the Pioneer Mill went out of business this approach was taken down. This bridge stood until 1912. but as it had outlived its usefulness, a new bridge of steel was constructed by the South- ern Pacific Company. The old bridge was to have been built of steel, and . the coun-

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ties contributed to its cost with that under- standing. The fact of its being constructed of wood was the cause of a long controversy and litigation between the counties and the company. One-half of the $30,000 which the county had agreed to pay was paid at first, but the second half was refused, on the ground stated. The supreme court, however, held that as the county had used the bridge, it must pay for it, and the case was finally set- tled by payment in full.

This bridge was completed in December, 1895, the total cost being $261,000, to which Sacramento County contributed, as stated, $30,000, and Yolo County, $10,000.

The new steel bridge constructed near the site of the one built in 1869, is said to be one of the finest pieces of construction of its kind. Its cost is $786,000, which includes $161,671 for overhead construction of a highway for communication between Sacramento and Yolo Counties, and the structure and approach thereto. The width of the draw, when opened, is 170 feet, and the total weight of the bridge is 3,389 tons.

During the year 1910 the Northern Electric and Vallejo Northern electric roads combined to build a bridge across the river. There was much discussion in relation to the site, as the river transportation companies claimed that if it were placed too close to the existing bridge there would be great danger of wreck to the boats plying on the river when it was at flood height. The board of supervisors de- bated the question at considerable length, but the war department, which controls the river, finally granted permission to the companies to build the bridge at the foot of M Street, instead of P Street, as desired by the trans- portation companies. The cost of the bridge, which is of steel construction, was $400,000. The draw is 170 feet in width. Of the cost, it was agreed that Sacramento County should pay $118,668, and Yolo County $33,333.33. Under a later agreement, the Sacramento and Woodland road pays a certain proportion, and since 1912 the Antioch road has paid $500 an- nually on the 15th of August, lessening the expense to the county.

CHAPTER XXXVIII BANKS AND BANKERS

S ACRAMENTO'S march of progress and substantial growth during the past decade has been attended and supported by the backing and assistance of her group of banks, which rank high in the financial world and are a veritable Gibraltar of strength through their steadying influence, which is felt not only in this city and county, but throughout north- ern California.

On September 6, 1921, the deposits of the banks of Sacramento aggregated $68,464,- 854.23, and the combined resources were given at $79,846,854.23. The deposits of the banks were given as follows :

Deposits: California National Bank, $10,- 484,055.96; Capital National Bank, $7,379,- 325.07 ; Farmers & Merchanics Bank, $4,879,- 549.61 ; National Bank of D. O. Mills & Com- pany, $7,418,808.89; People's Bank, $7,052,- 210.25; Sacramento-San Joaquin Bank and branches, $16,227,152.08; California Trust & Savings Bank, $9,780,595.98; Citizens Bank of Oak Park, $466,993.75; Merchants National Bank, $1,053,979.55 ; Bank of Italy, $1,539,- 003.41 ; Nippon Bank (Japanese), $182,860.69.

Sacramento today boasts of banking institu- tions second to none in the state in growth and stability. Nowhere do the banks in Cali- fornia stand higher in these respects or receive more favorable reports from the bank com- missioner. The clearing house, established some years ago, does a yearly increasing amount of business, facilitating the transac- tions of the banks materially.

The bank of D. O. Mills & Company, now the National Bank of D. O. Mills & Company, was founded in 1850 by D. O. Mills, who in 1855 took in as partners Edgar Mills and Henry Miller. D. O. Mills, James Mills, and Edgar Mills, three brothers, came to Califor- nia in 1849, James dying soon after his arrival. D. O. Mills had had some banking experience in New York, but at first engaged in mer- chandising, in connection with his brother. W. O. Mills, who remained in New York City. He soon turned his attention to banking. how- ever, and accounts of many of his deals, as early as 1849, are still to be seen in the records of the bank, although the bank proper was not formally established until 1850. Among the

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HISTORY OF SACRAMENTO COUNTY

relics preserved is a bill of exchange, the "third," signed by him and dated January 13, 1851. The original bank building was located on the south side of J Street, about sixty feet from the corner of Third. It was a small, one-story frame building with a stone front, and a picture of this was for a long time used on the checks of the bank; in fact, until 1865, when the bank was removed to its later loca- tion on the southwest corner of Second and J Streets. Although it passed through one of the greatest conflagrations in the city, the same old regulator clock, bearing the date of 1850 on its face, still ticks off the seconds as on the day when the bank was established, more than seventy years ago, proving that the bank is the oldest institution of the kind in the state.

The early business of the bank consisted mainly in selling exchange on New York and buying gold dust. As compared with those of the express and other companies, the deposits in the bank were not large, but as one after another of the companies failed, their business naturally fell to the bank-a case of the sur- vival of the fittest. In the year 1855 the firm consisted of D. O. Mills, under the title of D. O. Mills & Company ; that year he took in Edgar Mills and Henry Miller as partners, and they so continued till July 19, 1874, when the bank incorporated under the style of "The National Gold Bank of D. O. Mills & Com- pany." In September, 1883, the word "Gold" was dropped, under a general law of con- gress. The officers and directors (1921) are : C. F. Dillman, president; Wm. R. Pentz, vice-president; F. H. Pierce, cashier ; C. C. Cutter. T. D. Littlefield, A. S. May, assistant cashiers; C. M. Adams, trust officer. Direct- ors: C. F. Dillman, Wm. R. Pentz, Harris Weinstock, P. C. Drescher, William Schaw, Arthur E. Miller, Scott F. Ennis.

The new bank building was completed and the papers and money removed from the old bank on Second and J Streets to the new one at Seventh and J. October 12, 1912, and in con- nection with the removal, Frank Miller, a for- mer president of the bank, in a letter to the president, Charles F. Dillman, gave some in- teresting reminiscences. He states that Mr. Mills, previous to coming to California with a stock of flour in 1849, was cashier of a bank in Buffalo, N. Y. His office was on J Street, near Third, and later he built a one-story brick building on the same spot. The firm name at that time was Mills, Townsend & Company, but Townsend later went out of the firm and Edgar Mills and Henry Miller became partners, each taking one-third of the $100,- 000 capital. Three per cent per month was the current rate of interest in those days, and Mr. Mills' $50,000 capital swelled in the course of

a dozen years to $3,000,000. By 1865, when Frank Miller entered the bank, it had de- creased to two per cent. Later it was eighteen per cent per annum and still later twelve per cent. When fire swept the town Henry Miller spent the night on the levee with the books of the bank, and when the flood came the bank moved next door to the second floor of the Figg building. The pioneers' wives were heroic, and in the dark days of 1860, when Mr. Mills said to his wife: "Shall we go back East?" she replied: "No; we are both young. and California will be our home."

In 1865 the filling in of J and K Streets was begun, and in December of that year the bank was moved from J Street, between Second and Third, to Second and J Streets, which had been up to that time occupied by Wormser & Com- pany, afterwards bankers in New York City. The vault was a large iron box which had been used by another bank, and which is now the lower vault at Second and J Streets. Mr. Miller says he and another bank employee put two trays of $20 gold pieces into a clothes- basket, put a copy of the "Union" over them, and carried them down a few doors to the new bank.

The new bank building is constructed of granite and steel, costing $250,000, on a lot costing $150,000, and the interior of the build- ing is costly and beautifully furnished and fitted up, making it one of the finest bank buildings on the Coast.

From old directories we find the names of a number of other banks and bankers of the very early days :

1851: Hensley & Merrill (Samuel J. and Robert D.), 47 Second Street. between J and K; Sacramento City Bank (Rhodes, Sturges & Company), 53 Second Street, between J and K; B. F. Hastings & Company, 51 J Street, between Second and Third (failed in 1871).

1853 : Adams & Company, Granite Building. Second Street, between the Orleans Hotel and J Street ; Grim & Rumbler (A. K. and F. R.), 3 J Street ; Francis W. Page, agent Page, Ba- con & Company, of St. Louis, Mo.

1856: John M. Rhodes, Second Street, be- tween J and K.

1868: Sacramento Savings Bank, 89 J Street.

The Sacramento-San Joaquin Bank, a con- solidation of a chain of banks under the direct- ing head of J. M. Henderson, Jr., was for- merly the Sacramento Bank; and next to the National Bank of D. O. Mills & Company. it is the oldest in the city. By amalgamation, the parent bank took under its wing the Fort Sutter National Bank and a chain of financial institutions in the heart of the San Joaquin Valley. The original bank has been in exist- ence here for a period of fifty-four years. Its

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present capital is $3,000,000, and its resources are over $32,000,000. The deposits of the main bank, at Fifth and J Streets, and of its branches in the city alone, together exceed $16,000,000. The Sacramento-San Joaquin Bank and its branches have been deeply inter- ested in the agricultural development of the valley sections, particularly in the dairying in- terests. Mr. Henderson, in addition to being president of the chain of banks, also heads the Northern California Milk Producers' Associa- tion, the largest organization of its kind on the Coast. The main plant, located at Sacra- mento, manufactures and distributes butter. cheese, milk powder, and other products.

The bank is planning to erect an eighteen- story skyscraper home on the corner of Sev- enth and K Streets opposite the Post-Office Building. The building will be the tallest west of Chicago. It will house the bank, and the upper floors not used for banking purposes will be leased for offices and club rooms. The cost of the building will exceed $1,000,000. Plans and specifications have been ready for some time. The bank and its branches are operated under the control of the United Bank & Trust Company of California.

The officers are: J. M. Henderson, Jr., pres- ident; G. W. Kramer, cashier, secretary and treasurer ; A. P. Scheld, W. S. Kendall, Charles E. Virden, Charles B. Bills, A. A. DeLigne, R. H. Mayhood, F. L. Holland, A. J. Zitlau, and W. A. Harter, vice-presidents ; F. H. Conn, C. S. Shaw, A. J. Becker, D. W. Beatie, R. W. Cole, C. A. Baker, G. S. Finkborner, L. B. Car- penter, Eugene Rice, O. A. Buletti, J. M. Breien, D. S. Mooneyham, D. A. Browder, C. E. Wood, O. P. Miller, Jr., assistant cashiers. Directors : J. M. Henderson, Jr., C. E. Virden, George W. Kramer, Frank A. Guernsey, A. A. DeLigne, John M. Perry, E. C. Peck, W. E. Briggs, Will E. Morris, J. I. Lubin, W. S. Kendall, W. M. Bowers, A. P. Scheld, E. D. Heron, Will C. Wright, Frank Hickman, T. H. Kewin, C. R. Puckhaber, and Frank L. Helm.

The Capital Savings Bank opened about 1870, at the southwest corner of Fourth and J Streets. Julius Wetzlar was president and R. C. Woolworth, secretary. It withdrew from business on January 2, 1880.

The Odd Fellows' Savings Bank was insti- tuted in the seventies at the corner of Fourth and J Streets, but met with financial disaster and entered liquidation September 23, 1878.

The Dime Savings Bank, which was opened in July, 1873, failed in May, 1878.

The People's Savings Bank was organized by William Beckman and was incorporated on May 23, 1879, with a capital of $500,000. It opened for business on July 1, 1879, with a paid-up capital of $225,000. The board of direct- ors was composed of E. C. Atkinson, William

Beckman, J. L. Huntoon, William Johnston, E. J. Croly, George N. Hayton, Samuel Got- leib, and William R. Knights. Beckman was elected president and manager ; and Huntoon, vice-president. The veteran banker continued to hold the presidency and was active in the position until the time of his death in 1920. He then was the oldest bank president in con- tinuous service in this state. J. E. Huntoon was elected president of the institution after Beckman's death. The word "Savings" has been dropped, and the bank now does a gen- eral banking business. The capital and sur- plus total over $1,000.000. The directors are : J. E. Huntoon, S. E. Pope, L. W. Nickell, A. G. Folger, A. L. Hart, H. B. Green, and Clinton L. White. The bank building on the corner of Eighth and J Streets is a seven-story struc- ture, and has among the richest fixtures of any bank in the city.

The People's Bank was located, when it was opened, in what is known as the St. George Building, on the corner of Fourth and J Streets, and remained there for nearly thirty- two years, the bank being part owner of the building ; but in 1910 it began the erection of its class-A seven-story fireproof building, on the corner of Eighth and J Streets, at a cost of $280,000. The building was occupied for the first time on April 1. 1911.

The first examination by the bank commis- sioners was made on December 8, 1879, when the total assets were found to be $324,175.45. The first dividend was declared on December 31, 1879, at the rate of seven per cent per an- num to stockholders and on ordinary deposits.

In 1881 there were three banks in Sacra- mento: The National Gold Bank of D. O. Mills & Company, with total resources of $2,- 166,330.99; the Sacramento Bank, with total resources of $2,094,280.01; and the People's Savings Bank, with total resources of $393 .- 879.79.

California National Bank: The California State Bank was organized March 31, 1882, and the following were the original stockholders: N. D. Rideout, Fred Cox, C. W. Clarke, Albert Gallatin, George C. Perkins, J. R. Watson, Le- land Stanford, J. O. B. Gunn, E. W. Hopkins, A. Abbott, J. P. Brown, N. A. Rideout. A. N. Towne, W. R. S. Foye. The directors elected for the first year were: N. D. Rideout, presi- dent; Frederick Cox. vice-president; C. W. Clarke, J. R. Watson, Albert Gallatin ; A. Ab- bott, cashier. The authorized capital was $500,000, $100,000 of which was paid in at the time of the incorporation. The business of the bank was conducted at the southwest corner of Fourth and J Streets until 1890, when the new building erected by the bank on the north- west corner of Fourth and J Streets was com- pleted and occupied. As the business increased.

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the remaining $400,000 of the authorized cap- ital was called for and paid in by the stock- holders. The paid-up capital remained at $500,- 000 for some years thereafter, until it was decided to increase the capital to $1,000,000 to meet the requirements of the business of the bank. The additional stock was promptly sub- scribed and paid for, and the paid-up capital of the bank then stood at $1,000,000. During January, 1907, the California State Bank was nationalized under the name of the California National Bank of Sacramento. The capital and surplus now (1921) are given at $1,250,- 000. The corporation also owns the California Trust & Savings Bank, which it purchased in 1920. The officers are: W. E. Gerber, presi- dent; George W. Peltier, Fred W. Kiesel, E. L. Southworth, Fred L. Martin, J. I. Brun- schwiler, vice-presidents; A. B. Carter, cash- ier ; Charles S. King, F. A. Roblin, D. A. Sher- win, H. M. Weston, J. C. Haveley, assistant cashiers ; Roy W. Blair, trust officer. Direct- ors : Fred W. Kiesel, R. T. Devlin, C. J. Math- ews, E. H. Gerber, H. A. Heilbron, Alex Brown, E. L. Southworth, W. R. Fountain, W. E. Gerber, F. J. Ruhstaller, Wilbur F. George, George W. Peltier, James McGillivray, George H. Cutter.

The Farmers and Mechanics Savings Bank was organized as a savings bank in September, 1890, having for its sponsors Sol Runyon, Dwight Hollister, Leland Stanford, Mrs. Jane Stanford, Robert T. Devlin, and others. The healthy growth of the bank has been greatly accelerated since George W. Peltier and asso- ciates purchased a controlling interest, in July, 1910. Immediately thereafter the site of the new building on Oak Avenue and Eighth Street, between J and K, was purchased, and steps were taken toward the erection of one of the most modern buildings in the city. An evi- dence of the far-reaching plans for the enlarge- ment of the bank's business and prestige was seen in the increase of the capital to $350,000 and the association with the bank of many of Sacramento's best-known citizens as share- holders. The board of directors was increased to nineteen, only one or two of whom had their major interests outside of Sacramento County. The great majority were citizens who had done much to advance the cause of Sacramento in many different directions, and who could be depended upon to work with the officers of the institution to place it in the van of Cali- fornia's solid and enterprising banking con- cerns. The list of directors included George W. Peltier, R. M. Richardson, Marshall Diggs, Judge Peter J. Shields, J. C. Coffing, W. F. Geary, Thomas J. Cox, Mahlon Williamson, E. A. Gammon, John L. White, Adolph Schna- bel of Newcastle, J. L. Gillis, P. J. Harney, Henry Mitau, A. Van V. Phinney, W. F.

Gormley, Philip Wolf, Jr., Bonus Lightner and J. H. Arnold. The officers were as fol- lows: George W. Peltier, president; R. M. Richardson, first vice-president; P. J. Shields, second vice-president; Marshall Diggs, third vice-president ; and Montfort K. Crowell, cash- ier. The original board assumed charge of assets totaling about $2,000,000. The present officers and directors are: Robert M. Richard- son, president ; Peter J. Shields, Emerson W. Read, Marshall Diggs, Scott F. Ennis, and Philip Wolf, vice-presidents; E. A. Rafetto, cashier ; D. E. Mitchell, assistant cashier. Directors: Dr. Thomas J. Cox, Marshall Diggs, J. H. Dyer, Scott F. Ennis, E. A. Gam- mon, W. F. Geary, W. F. Gormley, George H. Menke, Henry Mitau, A. Van V. Phinney, Robert M. Richardson, Adolph Schnabel, Peter J. Shields, D. S. Watkins, A. D. Williams, M. N. Williamson, Philip Wolf, and H. C. Venter.

The Capital National Bank, which occupies the elegant seven-story office and bank build- ing on the corner of Seventh and J Streets, was formerly called the Capital Bank & Trust Company, which grew out of a small private bank started on Seventh Street by Smith & Bassett. In the year 1911 the institution changed to a national bank, with Alden Ander- son, former lieutenant-governor of California, as the president; Walter W. Bassett, cashier ; and W. E. Holmes, assistant cashier. In the year 1913 the bank erected its present massive home, costing $500,000 at a time when mate- rial and labor were considerably lower than at present. The bank has been very prosperous and is among the leading financial institutions of the city. Its capital stock and surplus ex- ceed $750,000 and the deposits at the close of business on September 6, 1921, amounted to $7,379,854. The officers are : Alden Anderson, president : F. W. Biewener, vice-president ; W. W. Bassett, cashier; W. E. Holmes, assistant cashier : G. E. Zoller, assistant cashier. Direct- ors: Alden Anderson, F. W. Biewener, W. W. Bassett, O. A. Robertson, G. W. Dufficy, H. C. Muddox, D. S. Wasserman, and S. S. Day.

The Sacramento Valley Trust Company, now a branch of the California National Bank, was opened for business on April 4, 1910, with Albert Bonnheim as president and with a cap- ital of $225,000. The institution changed its name to the Sacramento Valley Bank & Trust Company. It is in a very prosperous condition, and its savings deposits are growing exceed- ingly fast.

As a matter of record, an account is here given of the organization and history of the Fort Sutter National Bank, located on the corner of Seventh and J Streets and function- ing as a branch of the Sacramento-San Joaquin Bank, which in turn, with its branches, now operates under the ownership and control of

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the United Bank & Trust Company of Cali- fornia, whose central office is located in San Francisco.

In the summer of 1904 the Western National Bank of San Francisco was growing very rap- idly. The demand for its stock was so great that the price of shares rose very rapidly, and some of the larger stockholders discussed the advisability of organizing one or more banks in other cities. At that time the largest stock- holder in the Western National Bank was W. A. Schrock, a furniture manufacturer of San Francisco. Mr. Schrock and Mr. Holland, the assistant cashier of the bank, were espe- cially interested in the organization of such a bank, and the matter was left in their hands. After a careful survey of the field, including all of the large cities on the Pacific Coast, they decided that Sacramento offered the most fa- vorable location for organizing a new national bank. Mr. Holland made two or three prelin- inary trips to this city, and it was then de- cided to send a bank organizer to Sacramento. A. L. Darrow, at that time manager of the ex- change department of the Western National Bank, was chosen for this task. He arrived in Sacramento on November 10, 1904. Aided by Captain Frank Ruhstaller, George J. Bryte, E. A. Nicolaus, E. L. Southworth, F. J. Ruhstal- ler, W. O. Bowers, F. H. Krebs, and other local citizens, he secured a subscription of $200,000, and the bank was incorporated on January 17, 1905. Business was commenced on the 1st of July following. The first location was a small store room at 918 Seventh Street. The deposits at the close of business on the first day were $108,799.63. From that time to the present the growth of the bank has been very rapid. On January 1, 1907, the institu- tion moved to the Bryte Building, on the cor- ner of Seventh and J Streets, where it has one of the handsomest banking rooms in northern California. At the time the bank commenced business, the board of directors comprised the following men: F. Ruhstaller, G. J. Bryte, E. A. Nicolaus, A. L. Darrow, W. O. Bowers, F. H. Krebs, R. H. Hawley, R. M. Richardson, E. L. Southworth, and F. J. Ruhstaller. After the death of Capt. Frank Ruhstaller, bank president, his stock was sold with that of three other directors. George J. Bryte was thereupon elected president. A. L. Darrow, who had served as cashier, became first vice-president, and E. L. Southworth was chosen second vice- president. H. W. Conger was promoted from assistant cashier to cashier.

Two important new banks were established in Sacramento during 1921, the Merchants National Bank and the Bank of Italy. The Merchants National Bank secured its charter, and was opened for business in temporary quarters on J Street between Sixth and Sev-

enth on January 1, 1921, with J. H. Stephens, formerly vice-president of the Fort Sutter Bank, as president, and with resources amount- ing to $713,201. An indication of the rapid growth of this bank is found in the statement of August 11, 1921, seven months later, which showed the resources to be $1.695.121. Work immediately was started on an elegant new home on Seventh Street between J and K, to cost over $100,000. The building was occu- pied in the winter of 1921. The other officers of the new bank are: Norman De Vaux, vice- president ; H. H. Robinson, cashier ; and F. L. Bronner, assistant cashier. Directors: Dr. Gustave Wilson, Charles J. Heeseman, P. J. Huth, Lewis Moreing. E. L. Adams, Norman De Vaux, R. H. Black, J. H. Stephens, and T. J. Garvey.

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History of Sacramento County, California, with biographical sketches of the leading men and women of the county who have been identified with its growth and development from the early days to the present, 1923, Part 50

Author: Reed, G. Walter Publication date: 1923 Publisher: Los Angeles : Historic Record Co. Number of Pages: 1026

Author: Reed, G. Walter
Publication date: 1923
Publisher: Los Angeles : Historic Record Co.
Number of Pages: 1026