S. 2843: Federal Reserve Accountability for Major Expenditures Act

This bill, titled the Federal Reserve Accountability for Major Expenditures Act (FRAME Act), seeks to establish a requirement for congressional approval for significant capital expenditures made by the Federal Reserve. Here are the main points of the bill:

Key Provisions

• Capital Expenditures Threshold: The Federal Reserve is prohibited from making any capital expenditure over $100 million unless Congress approves it. This means any proposals to spend more than this amount must be reviewed and either approved or rejected by Congress.
• Joint Resolutions: Congress must respond to the Federal Reserve's request for capital expenditures within 60 days. If Congress enacts a joint resolution disapproving the expenditure, the Federal Reserve cannot proceed with that expenditure.
• Specific Requirements for Joint Resolution:
• Fast Track Procedures: The bill outlines expedited procedures for both the House of Representatives and the Senate to consider the joint resolutions.

Senate and House Coordination

If one House of Congress passes a joint resolution, the other House must consider it using expedited procedures. There are also provisions for handling companion measures, ensuring that the process is streamlined even when there are offers from both Houses.

Impact of the Bill

The bill aims to provide Congress more oversight and control over significant financial decisions made by the Federal Reserve, potentially influencing the overall financial stability and economic policies informed by such expenditures. The idea is to ensure that large spending actions align with the interests and priorities of Congress and, by extension, the public.

Additional Notes

The bill emphasizes legislative oversight and procedural efficiency, thereby aiming to create a system that is receptive to both accountability and timely action when it comes to major financial proposals from the Federal Reserve.

Relevant Companies

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