bank shall include representatives of agriculture,
small business, labor, consumer and community or-
ganizations, women, and minorities.
‘‘(4) ELIGIBILITY
PROVISION.—No individual
may be appointed by the Board as a member of the
board of directors of a branch of a Federal reserve
bank who—
‘‘(A) has resided in such bank’s district for
less than 2 years; or
‘‘(B) has been a director, officer, employee,
or controlling shareholder of a depository insti-
tution (as defined in section 19(b)(1)(A)) or
any affiliate of a depository institution at any
time during the preceding 2-year period.
‘‘(5) INELIGIBILITY OF DIRECTORS APPOINTED
BY THE BOARD FOR OTHER OFFICES.—No member
of the board of directors of a branch of a Federal
reserve bank who was appointed to such position by
the Board may be a director, officer, employee, or
shareholder of any depository institution (as defined
in section 19(b)(1)(A)) or depository institution
holding company (as defined in section 3(w)(1) of
the Federal Deposit Insurance Act).’’.
SEC. 6. FEDERAL RESERVE DISTRICT ADVISORY COUNCILS.
Section 4 of the Federal Reserve Act (as amended
by section 2) is amended by adding after subsection (k)
(as added by section 2 of this Act) the following new sub-
section:
‘‘(l) FEDERAL RESERVE DISTRICT ADVISORY COUN-
CILS.—
‘‘(1) ESTABLISHMENT.—Each Federal reserve
bank shall establish at least 1 advisory council con-
sisting of representatives of agriculture, small busi-
ness, labor, consumer and community organizations,
women, and minorities to advise the bank on issues
relating to the bank.
‘‘(2) MEETINGS.—Each council established
under paragraph (1) for any Federal reserve district
shall meet at least once during the 1st 6-month pe-
riod and once during the 2d 6-month period of each
year.
‘‘(3) BANK DIRECTOR ATTENDANCE AT ADVI-
SORY COUNCIL MEETINGS.—At least 1 member of
the board of directors of any Federal reserve bank
shall attend each meeting of each advisory council
established by such bank.
‘‘(4) RECOMMENDATIONS OF COUNCIL.—Each
advisory council established by any Federal reserve
bank shall promptly submit to the bank any rec-
ommendation which the council determines is appro-
priate.’’.
SEC. 7. REPEAL OF EXEMPTION OF FEDERAL RESERVE
BOARD AND FEDERAL RESERVE BANKS FROM
TITLE VII OF THE CIVIL RIGHTS ACT OF 1964.
Section 701(b) of the Civil Rights Act of 1964 (42
U.S.C. 2000e(b)) is amended by adding at the end the
following new sentence: ‘‘The term ‘employer’ includes the
Board of Governors of the Federal Reserve System and
each Federal reserve bank.’’.
SEC. 8. FEDERAL RESERVE ACCOUNTABILITY COMMISSION.
(a) ESTABLISHMENT.—There is hereby established
the Federal Reserve Accountability Commission (hereafter
in this Act referred to as the ‘‘Commission’’).
(b) DUTIES OF THE COMMISSION.—The Commission
shall conduct studies on the following issues:
(1) APPROPRIATENESS OF EXISTING FEDERAL
RESERVE
DISTRICTS.—The appropriateness of the
designation of Federal reserve cities and the bound-
aries of the Federal reserve districts as of the date
of the enactment of this Act, taking into account
personal income in each of the districts and the per-
centage of gross domestic product which is attrib-
utable to each district, population distribution and
other demographic patterns and trends, the needs of
the business community (including small businesses)
and consumers and other retail users of financial
services, and evolving methods and patterns of com-
munication.
(2) APPROPRIATENESS
OF
STOCK
PURCHASE
REQUIREMENTS
AND
DIVIDEND
PAYMENTS.—The
appropriateness of—
(A) the requirement that national banks
and State member banks purchase stock in
Federal reserve banks; and
(B) the rate of dividends paid by Federal
reserve banks to shareholders.
(3) VALUATION
OF
AND
FEASIBILITY
OF
TRANSFERRING
CHECK
CLEARING
SERVICES.—An
assessment of the fair market value of the check
clearing system of the Board of Governors of the
Federal Reserve System and the feasibility of divest-
ing a portion of the check clearing system, taking
into account the economic benefits to be derived
from, and efficiencies to be achieved as a result of,
the divestment.
(4) EFFECT OF FED OPERATIONS ON LOW- AND
MODERATE-INCOME FAMILIES.—The extent to which
the regulations of the Board of Governors of the
Federal Reserve System and the operations of the
Board and the Federal reserve banks have—
(A) reduced or otherwise affected the avail-
ability of credit to low- and moderate-income
families, including residential mortgage loans;
(B) reduced or otherwise affected the
availability of financial services (other than
credit) for low- and moderate-income families
and neighborhoods; and
(C) increased or otherwise affected the cost
to low- and moderate-income families for ob-
taining financial services, including credit.
(5) APPROPRIATENESS
OF
ABOLISHING
SWAP
FUND.—The appropriateness of prohibiting the
Board of Governors of the Federal Reserve System
from engaging in reciprocal currency exchanges (so
called ‘‘swap’’ operations) or maintaining any fund
or account for such exchanges other than by direc-
tion of the Secretary of the Treasury.
(6) APPROPRIATENESS OF SALARY AND CLASSI-
FICATION STRUCTURE.—The appropriateness of the
salary and classification structure for employees of
the Board of Governors of the Federal Reserve Sys-
tem and the Federal reserve banks.
(c) MEMBERSHIP.—
(1) NUMBER AND APPOINTMENT.—The Com-
mission shall consist of 9 members appointed as fol-
lows:
(A) 3 appointed by the President.
(B) 3 appointed by the Speaker of the
House of Representatives, 2 of whom shall be
appointed from among individuals proposed by
the majority leader and 1 of whom shall be ap-
pointed from among individuals proposed by the
minority leader.
(C) 3 appointed by the President pro tem-
pore of the Senate, 2 of whom shall be ap-
pointed from among individuals proposed by the
majority leader and 1 of whom shall be ap-
pointed from among individuals proposed by the
minority leader.
(2) POLITICAL AFFILIATION.—Not more than 2
members appointed by the President may be of the
same political party.
(3) TERMS.—Each member shall be appointed
for the life of the Commission.
(4) BASIC PAY.—
(A) RATES OF PAY.—Members shall serve
without pay.
(B) TRAVEL
EXPENSES.—Each member
shall receive travel expenses, including per diem
in lieu of subsistence, in accordance with sec-
tions 5702 and 5703 of title 5, United States
Code.
(C) QUORUM.—5 members of the Commis-
sion shall constitute a quorum but a lesser
number may hold hearings.
(D) CHAIRPERSON; VICE CHAIRPERSON.—
The Chairperson and Vice Chairperson of the
Commission shall be designated by the Presi-
dent from among the members appointed by the
President at the time of the appointment.
(E) MEETINGS.—The Commission shall
meet at the call of the Chairperson or a major-
ity of the members.
(d) DIRECTOR
AND STAFF
OF COMMISSION; EX-
PERTS AND CONSULTANTS.—
(1) DIRECTOR.—The Commission shall have a
Director who shall be appointed by the Chairperson
with the approval of the Commission.
(2) STAFF.—With the approval of the Commis-
sion, the Director may appoint and fix the pay of
such personnel as the Director considers appro-
priate.
(3) APPLICABILITY OF CERTAIN CIVIL SERVICE
LAWS.—The Director and staff of the Commission
may be appointed without regard to the provisions
of title 5, United States Code, governing appoint-
ments in the competitive service, and may be paid
without regard to the provisions of chapter 51 and
subchapter III of chapter 53 of that title relating to
classification and General Schedule pay rates, except
that an individual so appointed may not receive pay
in excess of the annual rate of basic pay payable for
level V of the Executive Schedule.
(4) EXPERTS
AND
CONSULTANTS.—With the
approval of the Commission, the Director may pro-
cure temporary and intermittent services under sec-
tion 3109(b) of title 5, United States Code.
(5) STAFF OF FEDERAL AGENCIES.—Upon the
request of the Chairperson, the head of any Federal
department or agency may detail, on a reimbursable
basis, any of the personnel of that department or
agency to the Commission to assist the Commission
in carrying out the Commission’s duties under this
Act.
(e) POWERS OF COMMISSION.—
(1) HEARINGS AND SESSIONS.—The Commis-
sion may, for the purpose of carrying out this sec-
tion, hold hearings, sit and act at times and places,
take testimony, and receive evidence as the Commis-
sion considers appropriate.
(2) POWERS OF MEMBERS AND AGENTS.—Any
member or agent of the Commission may, if author-
ized by the Commission, take any action which the
Commission is authorized to take by this section.
(3) OBTAINING OFFICIAL DATA.—
(A) IN GENERAL.—The Commission may
secure directly from the Board of Governors of
the Federal Reserve System and any other de-
partment or agency of the United States infor-
mation necessary to enable the Commission to
carry out this Act.
(B) REQUEST.—Upon the request of the
Chairperson or Vice Chairperson of the Com-
mission, the Board of Governors of the Federal
Reserve System and the head of any other de-
partment or agency referred to in subparagraph
(A) shall furnish the requested information to
the Commission.
(4) MAILS.—The Commission may use the
United States mails in the same manner and under
the same conditions as other departments and agen-
cies of the United States.
(5) ADMINISTRATIVE
SUPPORT
SERVICES.—
Upon the request of the Commission, the Adminis-
trator of General Services shall provide to the Com-
mission, on a reimbursable basis, the administrative
support services necessary for the Commission to
carry out the Commission’s responsibilities under
this section.
(f) FINAL REPORT.—
(1) REQUIRED.—The Commission shall trans-
mit a final report to the President, the Board of
Governors of the Federal Reserve System, and the
Congress before the end of the 18-month period be-
ginning on the date of the enactment of this Act.
(2) CONTENTS.—The final report shall contain
a detailed statement of the findings and conclusions
of the Commission, together with the Commission’s
recommendations for legislative and administrative
actions as the Commission considers appropriate.
(g) TERMINATION.—
(1) IN GENERAL.—The Commission shall termi-
nate not later than 30 days after submitting the
final report pursuant to subsection (e).
(2) APPLICABILITY
OF
FEDERAL
ADVISORY
COMMITTEE ACT.—The Federal Advisory Committee
Act shall not apply to the Commission.
(h) AUTHORIZATION OF APPROPRIATIONS.—
There is authorized to be appropriated for fiscal years
1994 and 1995 a total of $1,000,000 to carry out this
section.
SEC. 9. RECESS APPOINTEES AND ACTING PRESIDENTS OF
FEDERAL 
RESERVE 
BANKS 
PROHIBITED
FROM PARTICIPATING IN DECISIONS OF THE
FEDERAL OPEN MARKET COMMITTEE.
(a) IN GENERAL.—Section 12A of the Federal Re-
serve Act (12 U.S.C. 263) is amended by adding after sub-
section (d) (as added by section 4 of this Act) the following
new subsection:
‘‘(e) VOTING ELIGIBILITY REQUIREMENT.—No indi-
vidual may vote in any meeting of the Committee or other-
wise participate in making any final determination of the
Committee or approving any directive or instruction sent
to any Federal reserve bank or Federal reserve agent in
connection with any open market operation unless such
individual votes or otherwise participates by virtue of a
position held by such individual to which the individual
has been appointed by the President, by and with the ad-
vice and consent of the Senate.’’.
(b) TECHNICAL AND CONFORMING AMENDMENTS.—
Section 12A(a) of the Federal Reserve Act (12 U.S.C.
263) is amended—
(1) in the 1st sentence, by striking ‘‘or first vice
presidents’’; and
(2) in the 3d sentence, by striking ‘‘or first vice
president’’.
SEC. 10. FEDERAL RESERVE BANKS TREATED AS AGENCIES
FOR PURPOSES OF FREEDOM OF INFORMA-
TION ACT.
Section 552(f) of title 5, United States Code, is
amended by inserting ‘‘Federal reserve bank,’’ after ‘‘Gov-
ernment controlled corporation,’’.
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