H.R. 5499

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5499 Introduced in House (IH)]

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119th CONGRESS
1st Session
H. R. 5499

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

_______________________________________________________________________

IN THE HOUSE OF REPRESENTATIVES

September 18, 2025

Mr. Vargas introduced the following bill; which was referred to the 
Committee on Financial Services

_______________________________________________________________________

A BILL

To amend the Federal Reserve Act to prohibit dual appointments of 
certain 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. FINDINGS; SENSE OF CONGRESS.

(a) Findings.--Congress finds the following:
(1) The independence of the Federal Reserve System from 
political interference from the President is fundamental to the 
effective operation of the central bank.
(2) Congress structured the Federal Reserve System to 
ensure that its monetary policy decisions focus on achieving 
long-run goals and do not become subject to political pressures 
from the President that could lead to undesirable outcomes.
(3) To protect this independence, Congress made it so 
members of the Board of Governors of the Federal Reserve System 
are appointed for staggered 14-year terms, and the Chairman of 
the Board of Governors is appointed for a four-year term.
(b) Sense of Congress.--It is the sense of Congress that it is not 
appropriate for any employee appointed by the President--whether they 
are on leave or not--to serve as a member of the Board of Governors of 
the Federal Reserve System.

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; First Vice President of the 
Federal Reserve Bank of New York.--The fifth subparagraph of the fourth 
undesignated paragraph of section 4 of the Federal Reserve Act (12 
U.S.C. 341) is amended--
(1) by inserting after the second sentence (relating to 
presidents of Federal reserve banks) the following: ``A 
president of the bank may not simultaneously hold any other 
office, position, or employment for which the president is 
appointed by the President, including under a leave of absence 
from such other office, position, or employment.''; and
(2) by inserting after the third sentence (relating to 
first vice presidents of Federal reserve banks) the following: 
``The first vice president of the Federal Reserve Bank of New 
York may not simultaneously hold any other office, position, or 
employment for which the first vice president is appointed by 
the President, including under a leave of absence from such 
other office, position, or employment.''.
(c) Rule of Application.--An individual serving as a governor of 
the Board of Governors of the Federal Reserve System, the president of 
a Federal reserve bank, or the first vice president of the Federal 
Reserve Bank of New York on the date of enactment of this Act and who 
is ineligible to serve in such position due to the amendments made by 
this section are hereby terminated from such position on the date of 
enactment of this Act.
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