[Congressional Record Volume 165, Number 43 (Monday, March 11, 2019)]
[House]
[Pages H2620-H2621]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




        FEDERAL RESERVE SUPERVISION TESTIMONY CLARIFICATION ACT

  Ms. WATERS. Mr. Speaker, I move to suspend the rules and pass the 
bill (H.R. 974) to amend the Federal Reserve Act to require the Vice 
Chairman for Supervision of the Board of Governors of the Federal 
Reserve System to provide a written report, and for other purposes, as 
amended.
  The Clerk read the title of the bill.
  The text of the bill is as follows:

                                H.R. 974

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Federal Reserve Supervision 
     Testimony Clarification Act''.

     SEC. 2. VICE CHAIRMAN FOR SUPERVISION REPORT REQUIREMENT.

       Paragraph (12) of section 10 of the Federal Reserve Act (12 
     U.S.C. 247b) is amended--
       (1) by redesignating such paragraph as paragraph (11); and
       (2) in such paragraph--
       (A) by striking ``shall appear'' and inserting ``shall 
     provide written testimony and appear''; and
       (B) by adding at the end the following: ``If, at the time 
     of any appearance described in this paragraph, the position 
     of Vice Chairman for Supervision is vacant, the Chairman or 
     their designee shall appear instead and provide the required 
     written testimony.''.

     SEC. 3. DETERMINATION OF BUDGETARY EFFECTS.

       The budgetary effects of this Act, for the purpose of 
     complying with the Statutory Pay-As-You-Go Act of 2010, shall 
     be determined by reference to the latest statement titled 
     ``Budgetary Effects of PAYGO Legislation'' for this Act, 
     submitted for printing in the Congressional Record by the 
     Chairman of the House Budget Committee, provided that such 
     statement has been submitted prior to the vote on passage.

  The SPEAKER pro tempore. Pursuant to the rule, the gentlewoman from 
California (Ms. Waters) and the gentleman from Missouri (Mr. 
Luetkemeyer) each will control 20 minutes.
  The Chair recognizes the gentlewoman from California.


                             General Leave

  Ms. WATERS. Mr. Speaker, I ask unanimous consent that all Members

[[Page H2621]]

may have 5 legislative days within which to revise and extend their 
remarks on this legislation and to insert extraneous material thereon.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentlewoman from California?
  There was no objection.
  Ms. WATERS. Mr. Speaker, I yield myself such time as I may consume.
  Mr. Speaker, this is a very straightforward piece of legislation.
  It clarifies that the Vice Chairman for Supervision is required to 
provide testimony along with his appearance before the committee.
  Additionally, if the position is vacant, the bill makes clear that 
the Chair of the Board shall appear and provide testimony on 
supervision and regulation efforts.
  I think it makes good sense to codify who at the Board will testify 
before Congress on the status of the Fed's supervisory efforts 
regardless of whether there is a person confirmed for the Vice Chairman 
for Supervision or not.
  When Congress passed the Dodd-Frank Wall Street Reform and Consumer 
Protection Act, it created the position of Vice Chairman for 
Supervision so that there was one Fed Board Governor who was 
responsible for ensuring robust rules for the Nation's largest 
financial institutions.
  We now have a Vice Chairman for Supervision at the Fed, but the 
position had previously been vacant since its creation in 2010, so it 
is helpful to clarify how Congress will continue to be informed about 
developments at the Fed.
  This bill already passed the House last year on a voice vote.
  I thank the gentleman from New Jersey (Mr. Gottheimer) and the 
gentleman from Oklahoma (Mr. Lucas) for introducing this legislation.
  I urge all Members to vote ``yes'' on H.R. 974.
  Mr. Speaker, I reserve the balance of my time.
  Mr. LUETKEMEYER. Mr. Speaker, I yield myself such time as I may 
consume.
  Mr. Speaker, I rise in support of H.R. 974, the Federal Reserve 
Supervision Testimony Clarification Act, an important bipartisan bill 
that will provide Congress greater oversight of regulation and 
supervision at the Federal Reserve.
  The Vice Chairman for Supervision of the Federal Reserve exercises 
and oversees the Board's supervisory and regulatory authority over a 
variety of financial institutions and activities. This role is 
imperative to promote a safe, sound, and stable financial system that 
supports the growth and stability of the U.S. economy.
  This bill before us today will ensure that the Federal Reserve will 
come forth and testify before Congress on issues relating to the 
supervision of financial institutions, giving added transparency to the 
American people, as well as increasing the Fed's accountability.
  The issues overseen by this position are of high importance to the 
American people and our financial system. It is crucial that we have 
the ability to hear testimony and ask questions of the Federal Reserve 
on these complicated issues.
  I would like to thank Congressman Gottheimer for sponsoring and 
Congressman Lucas for cosponsoring this much-needed legislation.
  Mr. Speaker, I urge my colleagues to support this legislation.
  Mr. Speaker, I yield 3 minutes to the gentleman from Oklahoma (Mr. 
Lucas).
  Mr. LUCAS. Mr. Speaker, I am here today to tell my colleagues about 
H.R. 974 and urge they pass it.
  This is a bill about congressional oversight, pure and simple. As 
this body knows, Dodd-Frank gave the Federal Reserve greater regulatory 
authority and established the Vice Chairman for Supervision position to 
oversee those efforts; but the first confirmed appointee to that 
position took office in 2017, a full 7 years after Dodd-Frank.
  During that time, Congress received minimal testimony on regulatory 
issues from the Fed. Typically, other officials who didn't oversee the 
regulatory efforts gave testimony in this regard. But the key point is, 
Dodd-Frank requires only the Vice Chairman for Supervision to give that 
testimony.
  While we are grateful that other Federal officials decided to speak 
to Congress on regulatory issues, they didn't have to, under the law.
  I introduced this bill last Congress as a way to prevent that 
situation from arising ever again. Under the bill, if there is no Vice 
Chairman for Supervision, either the Fed Chair or their designee will 
be required to give annual testimony on regulatory matters. It is that 
simple. As a result, this bill passed unanimously out of the Financial 
Services Committee last Congress.
  As I said, this bill is about the oversight authority of Congress and 
the other constituents we represent.
  It remains vitally important that we and our Senate friends hear from 
knowledgeable regulatory officials at these agencies, particularly when 
these regulations have a large effect on the capital money markets; 
otherwise, our constituents will become even more distrustful of 
government.
  Transparency is key. In fact, it is one of the largest 
responsibilities of the Members of Congress. This promotes that 
responsibility and, thus, deserves to be passed.
  Mr. Speaker, I appreciate Mr. Gottheimer's willingness to bring this 
bill to the floor. I thank the chairwoman and the ranking member for 
supporting this bill. I hope my colleagues will follow this example and 
vote in favor.
  Mr. LUETKEMEYER. Mr. Speaker, I yield back the balance of my time.
  Ms. WATERS. Mr. Speaker, I am pleased with the bipartisan cooperation 
shown by this legislation and fully support the efforts of the sponsors 
to increase accountability and transparency.
  I want to thank the gentleman from Missouri (Mr. Luetkemeyer) for his 
engagement on the bill and, again, urge my colleagues to join me in 
supporting this important legislation, H.R. 974.
  Mr. Speaker, I yield back the balance of my time.
  The SPEAKER pro tempore. The question is on the motion offered by the 
gentlewoman from California (Ms. Waters) that the House suspend the 
rules and pass the bill, H.R. 974, as amended.
  The question was taken; and (two-thirds being in the affirmative) the 
rules were suspended and the bill, as amended, was passed.
  A motion to reconsider was laid on the table.

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