S-792                 _______________________________________________

                                                   SENATE BILL NO. 3555

                        _______________________________________________

State of Washington                              49th Legislature                              1985 Regular Session

By Senators Moore, Metcalf, Rasmussen and Barr

Read first time 2/4/85 and referred to Committee on Financial Institutions.

AN ACT Relating to the federal reserve system; creating new sections; and providing for submission of this act to a vote of the people.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION. Sec. 1.     (1) A sound money system is absolutely vital to a free people, and the rampant inflation and exorbitant interest rates recently in the American economy are a clear and present danger to the people, and to the governments of the state of Washington and the United States of America.

          (2) The Federal Reserve Act of 1913, and other acts of Congress purport to delegate to a federally chartered private banking consortium, the authority to create money, and to control interest rates whereas the United States Constitution nowhere authorizes Congress to delegate such power.

NEW SECTION. Sec. 2.     It is hereby the declared intent of the state of Washington, and the attorney general is hereby directed, to cause to be filed in the original jurisdiction of the supreme court of the United States:  (1) An action challenging the constitutionality of the delegation to the federal reserve system of the power to create money; and (2) an action requiring a complete independent audit of the federal reserve system.

NEW SECTION. Sec. 3.     This act shall be submitted to the people for their adoption and ratification, or rejection, at the next succeeding general election to be held in this state, in accordance with Article II, section 1 of the state Constitution, as amended, and the laws adopted to facilitate the operation thereof.