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United States Bullion Depository

The United States Bullion Depository, often known as Fort Knox, is a fortified vault building located next to the United States Army post of Fort Knox, Kentucky. It is operated by the United States Department of the Treasury. The vault is used to store a large portion of the United States' gold reserves as well as other precious items belonging to or in custody of the federal government. It currently holds 147.3 million troy ounces of gold bullion, a little over half the total gold presently held by the federal government. The United States Mint Police protect the depository.

History
The building was listed on the National Register of Historic Places in 1988 for its status as a "well-known landmark that is referred to frequently in factual and fictitious contexts" and its "exceptional significance" in the "nation's economic history". The site is located on what is now the intersection of Bullion Boulevard and Gold Vault Road. Planning and completion In June 1935, the U.S. Treasury announced its intention to quickly build a gold depository on the grounds of Fort Knox, Kentucky. Its purpose was to store gold then kept in the New York City Assay Office and the Philadelphia Mint. This intent was in keeping with a policy previously announced to move gold reserves away from coastal cities to areas less vulnerable to foreign military invasion. This policy had already led to the shipment of nearly of gold from the San Francisco Mint to the Denver Mint. The initial plans were to be completed by August and called for a building costing no more than $450,000 (). Cited were several military advantages of the location. An army attacking from the Eastern Seaboard would have to fight through the Appalachian Mountains, which were considered a reasonable impediment to military forces of the time. It was also isolated from railways and highways which would further hinder an attacking power. Even air travel to the location across the mountains was considered dangerous for a pilot unfamiliar with the territory. Finally, the Army's only completely mechanized cavalry unit was stationed at the adjacent Fort and could readily be deployed to defend the depository. The gold was transported from the New York Assay Office and the Philadelphia Mint onto trains using postal trucks and municipal police escorts. Decoy trains were employed. The Post Office Department billed the Treasury Department for transporting the weight of the crates and gold using the fourth-class postage rate with added insurance fees. It took over five months and required 39 trains consisting of 215 cars. This wave of shipments began in July of the previous year and was also overseen by the Post Office. It took seven months and required 45 trains consisting of 337 cars. Accumulation of reserves The building and early operation of the depository occurred at the same time total gold reserves in the United States experienced unprecedented growth. These reserves, which were at the end of 1933, jumped to by the end of 1939. Factors driving this growth included the gold price revaluation (dollar devaluation) in 1934 spurring a rise in global gold production, political uncertainties in Europe causing a capital flight to the United States, and re-armament programs in Europe which increased U.S. net merchandise exports. By the end of 1940, total Treasury reserves stored at all locations rose to . This accounted for around 80 percent of the entire world's gold reserves. Total U.S. gold reserves stored at all locations peaked in October 1941 at and ended the year at . Historic documents and US Constitution after arriving back to the Library of Congress in October 1944 after having been stored at Fort Knox Librarian of Congress Archibald MacLeish expressed concern with the safety of the library's precious artifacts as soon as he took office in 1939. As the Battle of Britain was fought during the summer and fall of 1940, MacLeish asked the U.S. Geological Survey about locating underground storage for "valuable paintings and books" and "within reasonable distance of Washington." In December 1940, he directed his staff to create a detailed catalog of the Library of Congress's most "irreplaceable" assets, and the space required to store them. Primary attention was given to those items "considered most important for the history of democracy." When it became clear that Congress would not fund the building of a separate facility, Macleish sought other options. On April 30, 1941, he requested of the Treasury Secretary some thousands of cubic feet at Fort Knox for the most notable items in the library. The secretary replied, offering the librarian ten cubic feet. In July, when the inventory was complete, and it had been determined that some 40,000 cubic feet would be required for the storage of all unique and irreplaceable materials of the library, the original ten cubic feet offer was raised to 60.3 cubic feet. MacLeish prioritized items to be sent to Fort Knox. which had been on loan to the United States for the 1939 New York World's Fair. The items were packed in four crates and then shipped by train to the depository on December 26, 1941. An air conditioning unit and calcium chloride dryers were installed in the vault. Frequent inspections were made. In May 1942, repairs were made to the Declaration. In April 1943, the Declaration and the Constitution were removed from and then taken back to the depository so they could be displayed at the opening of the Jefferson Memorial. On October 1, 1944, all items were returned to the Library of Congress. The copy of Magna Carta was returned to England after the war in January 1946. Other artifacts After World War II, the depository held the Crown of St. Stephen, as well as other Hungarian crown jewels including a gold scepter and orb and a gold‐encrusted mantle. They were given to U.S. military authorities by members of the Royal Hungarian Crown Guard who feared that they would otherwise fall into Soviet hands. The items were kept in Germany under U.S. custody for several years before being transferred to Fort Knox. They were returned to Hungary in 1978. In 1955, the Defense Logistics Agency began storing opium and morphine at the depository and the West Point Mint. This was done to ensure the nation had adequate supplies in case of war or supply disruptions from the limited number of poppy exporters. The stockpile grew to , enough to meet the legal painkiller needs of the entire United States for one year if supplies were cut off. As the Cold War ended, and more nations began exporting concentrated poppy straw, concerns about supply disruptions abated. But the agency could not legally sell its opium or morphine stock without congressional approval. So, in 1993, it converted its remaining opium reserves into morphine sulfate. This was done to extend the life of the stock since morphine has a longer shelf-life than opium. Morphine is no longer stored at the depository. ==Construction and security==
Construction and security
The building measures by and is above ground level. Materials used to construct the building include of granite), of concrete, of reinforced steel and of structural steel. The outer wall is made of granite-lined concrete. There are guard boxes at each of the four corners of the structure. Sentry boxes are located at the entrance gate. The words "United States Depository" are inscribed over the marble front entrance. Above the inscription is the seal of the Department of the Treasury, in gold. Offices of the Officer in Charge and the Captain of the Guard open upon the entrance lobby. At the rear of the building is another entrance used for receiving bullion and supplies. Below the fortress-like structure lies the gold vault. The vault is made of steel plates, steel I-beams and steel cylinders laced with hoop bands and encased in concrete. The vault door is set on a 100-hour time lock and is rarely opened. The facility is surrounded by fences and is guarded by the United States Mint Police. Between the outer perimeter and the depository walls lie rings of razor wire. These grounds are monitored by high-resolution night vision video cameras and microphones. The depository is equipped with its own emergency power and water systems. For security reasons, visitors are not allowed inside the depository grounds. There have been only three reported occasions when guests outside the Treasury Department have made inspection tours of the vault. The first was by President Franklin Roosevelt in 1943. A second inspection was made by members of the United States Congress and the news media on September 23, 1974, led by the Director of the United States Mint, Mary Brooks. The tour was in response to a conspiracy theory, circulated by Peter Beter, that elites had secretly removed the gold in the depository and that the vaults were empty. ==Current holdings==
Current holdings
Fort Knox holds of gold reserves with a market value of US $ billion, representing of the gold reserves of the United States. the U.S. gold reserves total 8,134 metric tons. The next highest holdings were Germany's, whose gold reserves were 3,364 metric tons. The gold bars held in the depository are approximately seven inches long, three and a half inches wide, and one and three-quarters inches thick. While each of these bars contains the equivalent of about of pure gold, they differ in their composition. Mint gold bars are a minimum of 99.5% fine gold, while coin bars, which were made from melted gold coins, are the same composition as the coins from which they were made. The 1934 London Good Delivery List, published by the London Gold Market (a precursor of the London Bullion Market Association), defined coin bars as "bars assaying 899 to 901 per mille or 915 to 917 per mille and containing between 350 and 420 ounces of fine gold". These two different levels of fineness reflected the composition of gold coins of the day. U.S. coins produced from 1838 through 1933 were made with 90% gold alloyed with 10% copper, while U.K. crown gold coins were minted with a gold proportion of 22 parts to 24 (%). These lower gold ratios contrast to many 99.9% fine gold bullion coins minted in modern times since older coins were intended for circulation while newer coins are not. In 2011, the U.S. Treasury's full detailed schedules of gold bars were published by the U.S. House Committee on Financial Services as part of submissions for its hearing titled "Investigating the Gold: H.R. 1495, the Gold Reserve Transparency Act of 2011 and the Oversight of United States Gold Holdings". From the schedule, it can be seen that roughly 64% of the gold bars at Fort Knox have a fineness between 899 and 901, 2% have a fineness between 901.1 and 915.4, 17% have a fineness between 915.5 and 917, and 17% have a fineness greater than or equal to 995. The average fineness is 916.7. Under the currency reforms enacted by Roosevelt, the federal government owns the gold and holds it as security for $11 billion in gold certificates issued, in book-entry form, to the Federal Reserve Banks. The Federal Reserve Banks use these certificates as a small fraction of the collateral for Federal Reserve Notes. In addition to the gold, the depository currently holds ten 1933 Double Eagle gold coins, a 1974-D aluminum cent, and twelve gold (22-karat) Sacagawea dollar coins that flew on the Space Shuttle. ==Reputation==
Reputation
'' The term "safe as Fort Knox" has become a simile for safety and security in popular vernacular. As an example, 2020 Democratic Party presidential primary candidate Elizabeth Warren, when outlining in a Medium post a plan to make voting machines secure, stated "Our elections should be as secure as Fort Knox. But instead, they're less secure than your Amazon account." Samsung Knox, part of Samsungs SAFE (Samsung For Enterprise) initiative, was named after Fort Knox, connoting a sense of security. ==In popular culture==
In popular culture
Given its reputation for securely holding large amounts of gold, breaking into the depository has been featured in many popular books, movies, games, and television shows. in which the eponymous villain attempts to steal the gold, but in the 1964 film adaptation instead executes a convoluted scheme of irradiating all the gold in the vault in order to drive up the price of gold. The 1937 film Behind the Headlines, released the same year as the first wave of gold shipments to Fort Knox, was about gangsters stealing gold from an armored car en route to the depository. In the 1951 comedy ''Comin' Round the Mountain, Abbott and Costello follow a treasure map and unwittingly dig into the vault at Fort Knox, where they are immediately arrested. In the 1952 animated cartoon 14 Carrot Rabbit'', Bugs Bunny tricks Yosemite Sam into digging into the vault, where he too is immediately arrested. ==See also==
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