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� � he submit suitable recommendation of �i�her means of approach to the problem and as will permit an early and proper determination and action to resolve this question once and for all. Gouncilman Stout seconded the motion because he stated that there were a couple of questions he would like to have answered. He was of the �"" opinion that the City Attorney should check into this rnatter and make a report as r. � �, suggested by Councilmen Weiss. The City �ttorney stated that this same motion was turned down twice before by the Council and until such time as he is instructed by the Council to make an investi- gation:; analysis and .report he doesn� t feel authorized to take any action in regard � �` to the matter. Councilman Herkner raised the question of what would happen if they � found there was anything wrong with the court �udgement. The City Attorney stated that he eould not determine at this time what action, if any, the City eould take without an analysis and review of the matter. This was followed by discussion. Couneilman Gran�er stated that he di d not beliene they should question the 3.udgement of t�ie oourt espeeially when this had the approval of the City 1�ttorney at that time , and for that reason he was going to vote Nv. This was followed by discussion in ' regard to the $300,000 indebtedness . City Auditor Brophy stated that there is a ehance that t�ere is some change to bemade on the books and if this is done there is ', a good chance the indebtedness will be charged off within the next ten years. The �I motion lost on roll call with Councilmen Granger, Herkner, �pillers, Weymouth �and , Mayor Royer voting No snd Councilmen Stout and Weiss voting Yes. ' R£PORT ON INTEREST RATES, 94 DAY TIME DEPOSIT. The City Treasurer stated that he con- s I �"' tacted the banks as requested by the Council at the previous council meeting. He I reeeived letters from all five banks and they all bid the same interest rate. Coun- ', cilman Gran�er asked if Wells Fargo was going to ask for another portion of the money since they are now goin� to have two banks in Redwood City the same as the Bank of !, America. The Clerk read the letter from P. N. Jubchenko, Manager of the Bank of America on Broadway at Jefferson Avenue. Mr. Lubchenko asked the Council in con- sidering the proportionate amounts to be deposited in each b ank to give consideration ' to the following factors: ', In times when the city had surplus f�znds, their bank always was willing to pay j " interest on inactive aecounts. In addition, they have always provided market for bonds whenever the city required money for improvements of whatever nature. In con- ' �r.-• sidering the allocation of inactive funds, thought should be given to placing these '! � � funds in banks that are not only interested in a depositary relationship, but that ' consistently welcome the borrowings as well. !, They have always invited the City to use services of their Bond Depa rtment, results , of which have provided savings to the taxpayers. They would appr� eciate it if the , � deposits placed in their bank at the prssent time would remain intact. ' � ' Councilman 3tout was of the opinion that the money should be divided between the banks and not between the branches of the banks. Councilman Spillers wanted to know why they' nesded to change the syatem they are now following. The Mayor stated that the other banks asked for a chance for some Gity money. He stated that when times were bad the , , two banks that are handling the money now were the only ones who �ould give the City any consideration. This was followed by discussion. Councilman Stout was of the :��...�,�.-� , �..�.