Council Budget Information

1

FY2021 Projected Actual Expenses and Proposed FY2022 Budget 

for the Financial Stability Oversight Council (Council) Secretariat and 

the Office of the Independent Member

Funding and Governance of Council Budget 

Under Section 118 of the Dodd-Frank Wall Street Reform and Consumer Protection Act (the Dodd-Frank Act), “Any 

expenses of the Council shall be treated as expenses of, and paid by, the Office of Financial Research.” Under Section 

155 of the Dodd-Frank Act, expenses of the OFR, and therefore of the Council, are funded through assessments applicable 

to certain bank holding companies and nonbank financial companies supervised by the Board of Governors of the Federal 

Reserve System. The Treasury Secretary has established, by regulation, and with the approval of the Council, an 

assessment schedule. 

Pursuant to section 3(a)(3)(B)(ii) of the Council’s Rules of Organization, the Chairperson shall propose an annual budget 

for the Council, which upon an affirmative vote of a majority of the voting members then serving shall be adopted as the 

annual budget of the Council. Under section 3(a)(3)(A) of the Council’s Rules of Organization, the Council shall 

periodically review the expenses of the Council, and the Chairperson shall provide a report of expenses to the Council no 

later than September 1 of each year.

Council Secretariat and Office of the Independent Member Budget

Category

FY 2021

Approved Budget

FY 2021

Projected Actuals

FY 2022

Proposed Budget

Council Secretariat and Office of the Independent 

Member

 Labor Costs $3,523,619 $3,022,283 $4,612,069

Salary & Benefits $3,523,619 $3,022,283 $4,612,069

 Non-Labor Costs $2,476,091 $2,195,044 $2,954,740

Other Support $1,909,603 $1,758,000 $2,226,090

Data/Records System/General IT/Website $514,738 $426,258 $613,900

General Administrative Costs $51,750 $10,786 $114,750

Total $5,999,710 $5,217,326 $7,566,809

Note: Labor costs in this table include expenses of the Office of the Independent Member totaling approximately $792,945 in 

projected actual spending in FY2021 and approximately $807,707 in the FY2022 proposed budget. Certain non-labor costs 

attributable to the Office of the Independent Member are also included in this table.

Fiscal Year 2021 Highlights

• FY2021 actual expenses are forecasted to be approximately $782,000 under budget.

• The labor shortfall is comparable to the prior year and is primarily due to staff attrition offset by hiring actions, 

resulting in reduced direct labor expenses. The non-labor shortfall was primarily due to unused funds for external 

detailees, lower than anticipated contracting needs, and reduced travel and training expenses.

Fiscal Year 2022 Highlights

• The FY2022 proposed budget for the Council Secretariat and the Office of the Independent Member includes an

increase of approximately $1.6 million, or 26 percent, from the FY2021 budget. 

• The Council Secretariat intends to hire additional staff in FY2022, bringing total Secretariat and Office of the 

Independent Member staff from its current level of 15 FTEs to 27 FTEs, an increase of 6 FTEs from the level sought 

in the FY2021 budget. The 6 additional FTEs will support increased Council work on priorities including risks 

related to climate change, nonbank financial intermediation, and Treasury market resilience. 

• Additional administrative expenses have been included in the FY22 proposed budget arising from the proposed 

increase in staff, such as expenses for software and training.
2

FDIC Reimbursement Under Section 210(n)(10) of the Dodd-Frank Act

Category

FY2021

Approved Budget

FY2021 

Actual Expenses

FY2022

Proposed Budget

FDIC Reimbursement Under Section 210(n)(10) 

Policies, Procedures, Rules, and Regulations to 

Implement Title II

$4,463 $4,463 $0

Institution-Specific Resolution Planning for Title II 

Implementation

Non-Institution Specific Resolution Planning for Title II 

Implementation

$337,508

$4,109,106

$337,508

$4,109,106

$132,119

$3,122,063

Total $4,451,077 $4,451,077 $3,254,182

Section 210(n)(10) of the Dodd-Frank Act provides that reasonable implementation expenses of the FDIC relating to its 

responsibilities under Title II for the resolution of systemically important financial companies shall be treated as expenses 

of the Council. The FDIC must periodically submit requests for reimbursement of these expenses to the Chairperson of 

the Council, who shall arrange for prompt reimbursement of these expenses to the FDIC. Reimbursable FDIC expenses 

include those related to the development and adoption of Title II rules and regulations and Title II resolution planning 

activities, both institution-specific and non-institution-specific. Non-institution-specific resolution planning activities 

primarily involve the development of operational procedures for a Title II receivership, such as those related to 

receivership management, accounting and reporting, non-deposit claims, and cross-border coordination.

Fiscal Year 2021 Highlights

• The FY2021 budget was based on the FDIC’s request for reimbursement of expenses incurred from July 1, 2019,

through June 30, 2020. Actual FY2021 expenses were identical to the FY2021 budget, since the reimbursement

request was submitted to the Chairperson for review prior to the adoption of the Council’s FY2021 budget.

• FY2021 expenses primarily covered the cost of FDIC staff time for employees who worked on reimbursable activities. 

Actual expenses for Title II rulemaking were lower than projected because some rules and regulations were finalized 

earlier than anticipated and work on expected new regulations was postponed. Resolution planning expenses increased 

by approximately $1.5 million from FY2020 due to various new initiatives, including bridge bank simulations, 

Treasury work streams to operationalize Orderly Liquidation Authority, and other Title II planning projects. 

Fiscal Year 2022 Highlights

• The proposed FY2022 budget is based on actual expenses incurred by the FDIC for the period from July 1, 2020, 

through June 30, 2021.

• As in prior years, the proposed FY2022 budget largely covers the cost of FDIC staff time for employees working on 

reimbursable Title II activities. These included the continued development of operational procedures for a Title II 

receivership and the development of resolution strategies for financial market utilities, particularly central 

counterparties. The FDIC also continued to engage with foreign authorities to deepen mutual understanding of the 

complex legal and operational issues related to a potential cross-border resolution. The FDIC’s reimbursable expenses 

decreased from FY2021 to FY2022 primarily because FDIC staff resources were shifted from Title II resolution 

planning activities to planning for the possible resolution under the Federal Deposit Insurance Act of certain large 

insured depository institutions with heightened risk profiles as a result of the COVID-19 pandemic.