119-s2817

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 2817 Introduced in Senate

    (IS) ]

<DOC>

119th CONGRESS
 1st Session
 S. 2817

 To amend the Federal Reserve Act to prohibit dual appointments of 
 employees of the Federal Reserve System, and for other purposes.

_______________________________________________________________________

 IN THE SENATE OF THE UNITED STATES

 September 16, 2025

Mr. Gallego (for himself, Mr. Kim, Ms. Warren, Ms. Alsobrooks, Mr. Van 
 Hollen, Ms. Cortez Masto, Ms. Blunt Rochester, and Mr. Warnock) 
introduced the following bill; which was read twice and referred to the 
 Committee on Banking, Housing, and Urban Affairs

_______________________________________________________________________

 A BILL

 To amend the Federal Reserve Act to prohibit dual appointments of 
 employees of the Federal Reserve System, and for other purposes.

 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 ``Fed Integrity and Independence Act 
of 2025''.

SEC. 2. SENSE OF CONGRESS.

    (a) Sense of Congress.--It is the sense of Congress that--

    (1) the Federal Reserve System plays a critical role in 
 maintaining the stability of the economy of the United States 
 by conducting monetary policy, supervising and regulating 
 financial institutions, and supporting the payments system;

    (2) historically, the insulation of the Federal Reserve 
 System from political interference has been essential in 
 preventing an electoral consideration or partisan agenda from 
 driving any monetary policy decision;

    (3) the credibility and effectiveness of the Federal 
 Reserve System depend on the ability of the Federal Reserve 
 System to operate independently of any short-term political 
 pressure, particularly from an elected official or individual 
 in a position of public trust;

    (4) the presence of a current government official, Member 
 of Congress, or other politically affiliated individual in a 
 role within the Federal Reserve System raises legitimate 
 concerns about conflict of interest and undue influence; and

    (5) the purpose of this Act, and the amendments made by 
 this Act, is to strengthen the institutional integrity and 
 independence of the Federal Reserve System by more 
 categorically prohibiting dual appointments, preventing 
 conflicts of interest, and ensuring a clear separation between 
 a political actor and a monetary policy decision.

SEC. 3. PROHIBITION OF DUAL APPOINTMENT.

    (a) Board of Governors.--The fourth sentence of the first 
undesignated paragraph of 

section 10 of the Federal Reserve Act (12 
U.S.C. 241) is amended by striking ``business of the Board and shall 
each receive'' and inserting ``business of the Board, may not 
simultaneously hold any other office, position, or employment for which 
the member is appointed by the President, including under a leave of 
absence from such other office, position, or employment, and shall each 
receive''.

    (b) Federal Reserve Bank Presidents, Vice Presidents, Officers, and 
Employees.--The fifth subparagraph of the fourth undesignated paragraph 
of 

section 4 of the Federal Reserve Act (12 U.S.C. 341) is amended by 
adding at the end the following: ``A president, vice president, 
officer, or employee of the bank may not simultaneously hold any other 
office, position, or employment for which the president, vice 
president, officer, or employee is appointed by the President, 
including under a leave of absence from such other office, position, or 
employment.''.
            (c) Federal Reserve Bank Board of Directors.--The ninth 
undesignated paragraph of 

section 4 of the Federal Reserve Act (12 
U.S.C. 302) is amended by adding at the end the following: ``A member 
of such board of directors may not simultaneously hold any other 
office, position, or employment for which the member is appointed by 
the President, including under a leave of absence from such other 
office, position, or employment.''.
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