A bill to require Presidential appointment and Senate confirmation of the Inspector General of the Board of Governors of the Federal Reserve System and the Bureau of Consumer Financial Protection.
Impact
If passed, the bill would affect the governance structure of both the Federal Reserve and the Bureau of Consumer Financial Protection by ensuring that the appointment of key oversight officials is subjected to the Senate confirmation process. This change aims to enhance the oversight and accountability of these entities, particularly in light of past criticisms regarding their operations and responsibilities. Supporters argue that requiring Senate confirmation adds a layer of scrutiny that is essential for organizations that wield significant influence over national monetary policy and consumer protection.
Summary
Senate Bill 915, introduced by Senator Scott and co-sponsored by Senator Warren, proposes a significant change regarding the appointment processes for the Inspector General of the Board of Governors of the Federal Reserve System and the Bureau of Consumer Financial Protection. The bill mandates that the Inspector General be appointed by the President and confirmed by the Senate, contrasting with any previous system that may have allowed for direct appointments without Senate oversight. This is seen as a step towards increasing accountability and transparency in financial regulatory bodies, which play crucial roles in the U.S. economy.
Contention
However, the bill could face opposition based on concerns about potential politicization of the Inspector General's role. Critics may argue that involving the Senate in the appointment process could compromise the independence of the Inspector General, allowing political biases to influence the selection of officials responsible for conducting impartial oversight. This contention raises questions about maintaining the integrity and objectivity required in these oversight positions, which are crucial in preventing abuse and ensuring compliance within financial institutions.
A bill to require Presidential appointment and Senate confirmation of the Inspector General of the Board of Governors of the Federal Reserve System and the Bureau of Consumer Financial Protection.
To amend the Federal Reserve Act to modify the goals of the Board of Governors of the Federal Reserve System, to eliminate class A and B directors from the board of directors of each Federal reserve bank, and to establish certain reporting requirements for the Board of Governors, and for other purposes.
CFPB Transparency and Accountability Reform Act Transparency in CFPB Cost-Benefit Analysis Act CFPB Dual Mandate and Economic Analysis Act CFPB Whistleblower Incentives and Protection Act Making the CFPB Accountable to Small Businesses Act of 2023 CFPB–IG Reform Act of 2023 Bureau of Consumer Financial Protection-Inspector General Reform Act of 2023 TABS Act of 2023 Taking Account of Bureaucrats’ Spending Act of 2023
Taking Account of Bureaucrats' Spending Act of 2025 or the TABS Act of 2025 This bill restructures the Consumer Financial Protection Bureau and renames it as the Consumer Financial Empowerment Agency. The new agency is established as an independent agency outside of the Federal Reserve System.The bill also changes the funding structure of the agency by prohibiting the transfer of funds to the agency from the Federal Reserve System and by authorizing congressional appropriations for FY2026-FY2027.