HR 24 — Federal Reserve Transparency Act of 2019

Summary

Federal Reserve Transparency Act of 2019 This bill establishes requirements regarding audits of certain financial agencies performed by the Government Accountability Office (GAO). Specifically, the bill directs the GAO to complete, within 12 months, an audit of the Federal Reserve Board and Federal Reserve banks. In addition, the bill allows the GAO to audit the Federal Reserve Board and Federal Reserve banks with respect to (1) international financial transactions; (2) deliberations, decisions, or actions on monetary policy matters; (3) transactions made under the direction of the Federal Open Market Committee; and (4) discussions or communications among Federal Reserve officers, board members, and employees regarding any of these matters.

Bill Text

• Introduced Introduced in House Current html January 03, 2019

Compared against current U.S. Code AI-generated reading aid — verify against the official bill.

The bill mandates a full audit of the Federal Reserve and amends existing limitations on audits and reporting requirements.

• 31 U.S.C. § 714

  Under regulations of the Comptroller General, the Comptroller General shall audit an agency, but may carry out an onsite examination of an open insured bank or bank holding company only if the appropriate agency has consented in writing.

  Removes the requirement for the Comptroller General to obtain consent before auditing an open insured bank or bank holding company.

• 31 U.S.C. § 714(b)

  Audits of the Board and Federal reserve banks may not include—(1) transactions for or with a foreign central bank, government of a foreign country, or nonprivate international financing organization; (2) deliberations, decisions, or actions on monetary policy matters, including discount window operations, reserves of member banks, securities credit, interest on deposits, and open market operations; (3) transactions made under the direction of the Federal Open Market Committee; or (4) a part of a discussion or communication among or between members of the Board and officers and employees of the Federal Reserve System related to clauses (1)–(3) of this subsection.

  Eliminates the limitations on the scope of audits conducted by the Comptroller General of the Federal Reserve and its banks.

• 31 U.S.C. § 714(b)

  the second sentence.

  Removes specific limits on the authority of the Comptroller General related to auditing the Federal Reserve.

• 31 U.S.C. § 714(d)(3)

  or (f)

  Removes references to subsection (f) from the audit provisions.

• 31 U.S.C. § 714(e)

  the third undesignated paragraph of section 13 → section 13(3)

  Clarifies the reference to section 13 by switching to a more specific citation format.

• 31 U.S.C. § 714

  subsection (f)

  Completely removes subsection (f), further eliminating limitations on audit topics.

• 12 U.S.C. § 248(s)

  has the same meaning as in section 714(f)(1)(A) of title 31, United States Code → means a program or facility, including any special purpose vehicle or other entity established by or on behalf of the Board of Governors of the Federal Reserve System or a Federal reserve bank, authorized by the Board of Governors under section 13(3), that is not subject to audit under section 714(e) of title 31, United States Code

  Updates the definition in the Federal Reserve Act to specify what constitutes a program or facility exempt from audit.

• 12 U.S.C. § 248(s)

  or in section 714(f)(3)(C) of title 31, United States Code, the information described in paragraph (1) and information concerning the transactions described in section 714(f) of such title, → the information described in paragraph (1)

  Simplifies the language regarding information disclosures related to audits.

• 12 U.S.C. § 248(s)

  and section 13(3)(C), section 714(f)(3)(C) of title 31, United States Code, and → , section 13(3)(C), and

  Removes unnecessary references, streamlining the legislative text.

Action History

1. January 03, 2019

   Introduced in House

2. January 03, 2019

   Introduced in House

3. January 03, 2019

   Referred to the House Committee on Oversight and Reform.

Sponsors

• Thomas Massie · Primary

Subjects