To enhance Federal Reserve transparency.

Bill: 118-hr-3467
Sponsor: full_name: Rep. Barr, Andy [R-KY-6]
Introduced: 2023-05-18
Policy area: Finance and Financial Sector
Latest action: action_date: 2023-05-18
text: Referred to the Committee on Financial Services, and in addition to the Committee on Oversight and Accountability, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.

Summaries:
action_date: 2023-05-18
action_desc: Introduced in House
text: <p>This bill requires the Federal Reserve Board to disclose on a more frequent basis information about emergency credit facilities, discount window lending programs, and open market operations. It also moves up the termination date of board-authorized credit facilities. The bill requires certain nonpublic data related to credit facilities be made available, with some limitations, to the appropriate congressional committees. </p> <p>The bill revises the definition of a liquidity event. Currently, a liquidity event is defined as (1) an exceptional and broad reduction in the ability of financial market participants to sell financial assets without an unusual and significant discount or to borrow using financial assets as collateral without an unusual and significant increase in margin, or (2) an unusual and significant reduction in the ability of financial market participants to obtain unsecured credit. The bill eliminates this definition and instead requires the board, the Federal Deposit Insurance Corporation (FDIC), and the Department of the Treasury to define the term through a joint rulemaking. </p> <p>Under the bill, Congress must be notified when the board or the FDIC makes a determination as to whether a liquidity event exists that warrants the use of a guarantee program (a program to guarantee obligations of insured depository institutions or holding companies during times of severe economic distress). The bill also requires congressional notification of the cost to the taxpayer of such guarantee program.</p>

tv_txt: I 118th CONGRESS 1st Session H. R. 3467 IN THE HOUSE OF REPRESENTATIVES May 18, 2023 Mr. Barr (for himself and Mr. Loudermilk ) introduced the following bill; which was referred to the Committee on Financial Services , and in addition to the Committee on Oversight and Accountability , for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned A BILL To enhance Federal Reserve transparency.

1. Federal Reserve transparency (a) Federal Reserve Act The Federal Reserve Act ( 12 U.S.C. 221 et seq. ) is amended— (1) in section 13(3), by adding at the end the following: (F) Congressional access to information (i) In general The Board shall make available to the Committee on Financial Services of the House of Representatives and the Committee on Banking, Housing, and Urban Affairs of the Senate information requested by such committees related to any credit facility established by or on behalf of the Federal Reserve System or a Federal reserve bank and authorized by the Board under this paragraph. (ii) Confidentiality With respect to a request described under clause (i), if the Chairman of the Board determines that any part of the requested information needs to remain confidential and provides written notice of such determination to the committee making such request, the Board shall only make that part of the requested information available to the chair and ranking member of the committee. ; and (2) in the first subsection (s) (related to Federal Reserve Transparency ) of section 11— (A) in paragraph (2)(B), by striking eighth and inserting fourth ; (B) in paragraph (5), by striking 24-month and inserting 12-month ; and (C) in paragraph (7)— (i) by striking This subsection and inserting the following: (A) In general This subsection ; (ii) by inserting public before disclosure ; and (iii) by adding at the end the following: (B) Congressional access to information (i) In general The Board shall, upon request, make the nonpublic personal information described under subparagraph (A) available to the Committee on Financial Services of the House of Representatives and the Committee on Banking, Housing, and Urban Affairs of the Senate. (ii) Confidentiality With respect to a request described under clause (i), if the Chairman of the Board determines that any part of the requested information needs to remain confidential and provides written notice of such determination to the committee making such request, the Board shall only make that part of the requested information available to the chair and ranking member of the committee. . (b) Dodd-Frank Wall Street Reform and Consumer Protection Act Title XI of the Dodd-Frank Wall Street Reform and Consumer Protection Act is amended— (1) in section 1104 ( 12 U.S.C. 5611 )— (A) in subsection (a)(2)— (i) in subparagraph (A), by striking and at the end; (ii) by redesignating subparagraph (B) as subparagraph (C); and (iii) by inserting after subparagraph (A) the following: (B) be transmitted to the chair and ranking member of the Committee on Financial Services of the House of Representatives and the chair and ranking member of the Committee on Banking, Housing, and Urban Affairs of the Senate; and ; (B) in subsection (b), by inserting after consent of the Secretary the following: and notification to Congress ; (C) in subsection (c)(2), in the heading, by inserting Congressional review and before GA O ; and (D) by striking subsection (d); (2) in section 1105 ( 12 U.S.C. 5612 )— (A) in subsection (c)— (i) in paragraph (1)— (I) by inserting and upon notification to Congress after with the President ; (II) by striking President may and inserting President shall ; and (III) by striking amount and a request and inserting amount, and include in such report the expected cost to taxpayers and a detailed description of the assumptions made and analytical tools used to calculate such expected cost, and a request ; and (ii) in paragraph (2), by inserting and upon notification to Congress after with the President ; and (B) in subsection (g), by amending paragraph (3) to read as follows: (3) Liquidity event The term liquidity event shall have the definition given such term, jointly, by the Board of Governors, the Corporation, and the Secretary, by rule pursuant to notice and comment. . (c) Title 31 Section 714(f)(3) of title 31, United States Code, is amended— (1) in subparagraph (B), by striking legislative or ; and (2) in subparagraph (C)(i), by striking , including to Congress, .