Congressman Charles Bass

July 25, 2012

WASHINGTON – Congressman Charles F. Bass (NH-02) supported bipartisan legislation in the House of Representatives today that will bring greater transparency and accountability to the operations of the Federal Reserve.

The Federal Reserve Transparency Act (H.R. 459), which passed the House by an overwhelming majority of 327 to 98 this afternoon, would direct the Government Accountability Office (GAO) to conduct a full audit of the Federal Reserve and submit a report to Congress. Currently, the GAO cannot audit Federal Reserve monetary policy operations, emergency lending, or operations with foreign banks.

Since 2008, the Federal Reserve has tripled its balance sheet to $3 trillion, which is roughly 20 percent of the economy, through bailouts and economic interventions.

Bass, a cosponsor of the bill, said:

"While the Federal Reserve plays a very important and appropriate role in setting our nation's monetary policy, it should be transparent and subject to review by the American people and Congress. Given the tremendous and unprecedented actions of the Federal Reserve in the last few years in response to the economic crisis, it is right for Congress to exercise proper review of an entity whose policy decisions affect every individual American and business. I encourage the Senate to pass it without delay to improve transparency and ensure the soundness of our nation's money supply."

The legislation now awaits action in the Senate.

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