2005 News Releases

For immediate release:
October 27, 2005

Media contact:
James Hoard
Phone: (214) 922-5307
e-mail: james.hoard@dal.frb.org

Fed Opens New Houston Branch Building

HOUSTON—Three years after breaking ground on its new headquarters, the Houston Branch of the Federal Reserve Bank of Dallas officially opened today at 1801 Allen Parkway.

Keynote speaker was Federal Reserve Chairman Alan Greenspan, who said, “We, in what may seem like distant Washington, highly regard the work that goes on here. Your efforts contribute directly to the Fed’s reputation as a credible, efficient central bank that can be depended upon, not just daily, but in times of crisis as well.”

The building was dedicated to Houstonian and former Federal Reserve Governor Edward “Mike” Kelley.

The 280,000-square-foot building occupies 9 acres, previously occupied by Jefferson Davis Hospital. The Branch was constructed at a cost of $95 million.

No taxpayer funds were used to build the facility. Construction of Federal Reserve Bank buildings and their branches is funded with income the Fed earns from interest on Treasury securities, fees paid by financial institutions for Fed services and interest on loans made to commercial banks.

The Allen Parkway building will house 220 employees and contain a major currency operation for receiving and distributing cash and coins to financial institutions throughout southeast Texas. Additional functions in the building include banking supervision, economic research, economic education, community affairs, personnel and purchasing.

“This building will allow us to expand currency operations as well as enhance security,” said Robert Smith III, senior vice president in charge of the Houston Branch. “Considering Houston is the fourth largest city in the nation and Texas is the second most populous state, this branch will be a great asset in serving the growing financial and economic needs of this area.”

Design architect Michael Graves of Princeton, N.J., and Houston-based architectural firm Pierce Goodwin Alexander and Linville designed the building. Linbeck Construction Co. supervised construction.

The Federal Reserve established the Houston Branch in 1919. The branch had been located at 1701 San Jacinto since 1958.

The Dallas Fed—which has branches in Houston, San Antonio and El Paso—serves the Eleventh Federal Reserve District, which encompasses Texas, northern Louisiana and southern New Mexico.

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