Sponsors
The bill increases public transparency and accountability over Federal Reserve spending and research priorities but does so at the cost of added administrative burden, potential exposure of sensitive international activities, and near-term staff diversion from supervisory work.
Taxpayers will gain clearer transparency into how each Reserve Bank and the Board spend funds and staff time across core functions.
Taxpayers and financial institutions will see improved accountability for regulatory and guidance costs because expenditures must be reported tied to each proposed or finalized rule, guidance, and policy statement.
Researchers and policymakers will be able to identify the Board's and Reserve Banks' top research priorities via the required top-three research-area disclosure.
Board and Reserve Banks will face increased administrative reporting costs to produce the new disclosures, costs that could be passed on to banks or ultimately consumers.
State governments and financial institutions could face complications from disclosing granular spending on international engagements (BIS, Basel Committee, NGFS), which may hinder sensitive diplomatic or policy coordination and impose extra segregation burdens.
Board and Reserve Bank staff may need to be reallocated for up to two years to prepare disclosures, potentially diverting resources from supervisory or operational activities in the near term.
Based on analysis of 2 sections of legislative text.
Introduced May 1, 2025 by Roger Williams · Last progress May 1, 2025
Requires the Federal Reserve Board’s annual report to include detailed, bank-level breakdowns of annual expenditures and full-time-equivalent (FTE) employees by specified activity categories, the top three research areas (by spending and FTEs) for the Board and each Reserve Bank, and the prior year’s spending on each proposed or finalized rule, guidance, or policy statement. The new reporting requirements take effect two years after the Act is enacted.