To: The United States House of Representatives and The United States Senate

Monetary Reform

We the people do petition the Congress to create and issue money and loan it to the private banks.
a. Create money using Article 1 Section 8 Congress has the Power to Coin Money and regulate the value thereof"
b. Amend the Federal Reserve Act of 1913 where the only shareholder is the US Treasury
c. Cancel all forms of expanding capital except as acts initiated by Congress

This Petition is algned with the following analysis:

July 17, 2011
A message and analysis from:
Bill Loftus
651 NE 138th Ave.
Williston Florida, 32696
(352) 528 – 0584
Subject – Using the Constitutional power granted to Congress in Article 1 section 8 thereby restoring our country’s financial health. Use this issuing power to not just to get us out of this current debt ceiling mess but once and for all. Amend the 1913 Federal Reserve Act to reform banking and nationalize the Fed.
Dear Representative,
I know you will probably say – No this is too simple - when I say we just have to reverse the positions:
Congress creates money by coining gold and silver coins with whatever face value needed by Congress using the issuing power granted to Congress in Article 1 section 8 of the Constitution and then loans this money to the banks. (North Dakota does something like this NOW) The received interest and principal payments back from the banks would supply the Treasury with ample funds. Right now it’s the other way around and we are in a pickle.
(Of course you know you can create $1000 worth of coins with $30 worth of silver. Don’t forget we coin money now this way but use other metals. Congress per the Constitution is to use gold or silver only. The fair market value of these metals is not relevant. While this is getting reviewed you can have Congress create a coin for the amount we need to keep the doors open. Deposit this into the Fed and get a credit on our checking account. The Fed must give us the full face value for the coin. Yes you will make history. )
Lincoln said it best:
"The government should create, issue, and circulate all the currency and credit needed to satisfy the spending power of the government and the buying power of consumers. The privilege of creating and issuing money is not only the supreme prerogative of government, but it is the government's greatest creative opportunity. The financing of all public enterprise, and the conduct of the treasury will become matters of practical administration. Money will cease to be master and will then become servant of humanity."
I have a more detailed proposal that goes into all aspects of this. About 10 pages. If you want to see it. Just send me an email. I understand you are busy and need just a summary for now.
1. Most people don’t understand the workings of the Federal Reserve Bank and their Chartered Banks (Most of the commercial banks and one State Bank – Bank of North Dakota are charted by the Fed) Please don’t get frustrated trying to understand how banks work. Basically all money is created out of thin air according to the rules of The Federal Reserve Bank. This is called fractional reserve banking. Banks can create loans with no money based on the deposits. Something like 10x. All money comes into existence only because someone borrowed it into existence. There is nothing wrong with that except the banks charge interest so there is never enough money in circulation (EVER) to pay the loans back. New loans have to come into existence to supply the people’s general money supply that is our economy with additional funds to pay the interest. This bubble eventually breaks. (you can’t keep this up forever)
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2. In 1919 North Dakota established a State bank and they in partnership with the private sector banks have been mutually enjoying a beneficial relationship. The State of North Dakota receives interest (in partnership with the private banks) and spends this back into circulation as part of their general revenues. Last year the State had to decide what to do with the extra revenues and decided to lower taxes. North Dakota is the only State in the black. Congress can do a similar thing.
3. The Congress of 1913 was most likely unaware that eventually the Federal Reserve Banking system would have to dramatically inflate America’s money supply or the people and the government would go in default. New loans on top of the existing loans have to be done to keep the game going just to pay the principal and interest. Eventually after years of use, there is a crash through hyper- inflation or else there is a default. These bleak outcomes are solely due to this design error in the banking system itself. Remember only the principal amount is borrowed and in circulation. The moment the housing bubble popped for example the defects in the banks’ lending policies where people were refinancing the debt when their incomes were insufficient to service the loans are self-evident.
4. The Federal Reserve Act of 1913 needs to be amended and the existing sharehol...

Why is this important?

We should not have to borrow money from a bank that does not have any money. A well thought out plan to make the Treasury the source for our Nations economy is available and has workabilty withe precedence in North Dakota's State woned Banking system. They enjoy the mutually beneficial relationship with the private banks and share profits.