DODD STATEMENT ON FEDERAL RESERVE GOVERNOR NOMINATIONS AND INSPECTOR GENERAL NOMINATIONS

WASHINGTON – Today Senate Banking Committee Chairman Chris Dodd (D-CT) held an executive session meeting where the committee approved three Federal Reserve Governor nominations and two Inspector General nominations.  The nominations will now be sent to the Senate floor for a final confirmation vote.

 

The Banking Committee approved the nominations of Janet L. Yellen for Vice Chair and a member of the Federal Reserve Board of Governors, Peter A. Diamond and Sarah Bloom Raskin for membership on the Federal Reserve Board of Governors, Osvaldo Luis Gratacós Munet for Inspector General of the Export-Import Bank, and Steve A. Linick for Inspector General of the Federal Housing Finance Agency.

 

“The members of the Board will clearly have their hands full in the coming years.  We ask much of them – but circumstances demand that we do,” said Chairman Dodd at today’s meeting.

 

“Fortunately I believe our nominees will rise to meet the challenges they will surely face as Governors.  As we learned during the nomination hearing, each brings a remarkable combination of skills and experience, and each has the judgment that is essential to taking on significant questions of policy.  I believe they have the potential to make important contributions to the Federal Reserve in the years ahead.  

 

“I enthusiastically support these nominees to the Federal Reserve Board as well as the two nominees for Inspector General and urge my colleagues the vote for them.”

 

Below is Chairman Dodd’s statement as prepared for delivery:

“The Committee will come to order.

 

“The Committee will vote today on three nominees to serve on the Board Governors of the Federal Reserve System, as well as two nominees to serve as Inspectors General in their respective agencies. 

 

“Peter Diamond and Sarah Bloom Raskin have been nominated to serve as Governors, and Janet Yellen has been nominated to the Board and to serve as its Vice Chair.

 

“These positions are important because of the central role the Federal Reserve plays in our economy.  We rely on the Federal Reserve to manage monetary policy in a manner that promotes full employment and a stable price level.  We know that administering monetary policy in times like these is extremely challenging.

 

“We also ask the Federal Reserve to play a key role in supervising banks and bank holding companies.  We all realize that the successful supervision of complex banking entities also entails great skill.  

 

“The recently passed financial form bill has augmented the Federal Reserve’s responsibilities even more.  The Federal Reserve is now responsible for setting heightened prudential standards for large bank holding companies and designated nonbank financial companies.  It will help to enforce the Volcker rule, which is intended to limit the presence of speculative activity by insured depositories.  It will help oversee systemically important financial utilities that are key components of payments and market systems.  And it will play a major role in the Financial Stability Oversight Council, which will have the job of identifying and limiting threats to our financial stability.

 

“The members of the Board will clearly have their hands full in the coming years.  We ask much of them – but circumstances demand that we do. 

 

“Fortunately I believe our nominees will rise to meet the challenges they will surely face as Governors.  As we learned during the nomination hearing, each brings a remarkable combination of skills and experience, and each has the judgment that is essential to taking on significant questions of policy.  I believe they have the potential to make important contributions to the Federal Reserve in the years ahead.  

 

“Osvaldo Luis Gratacós is currently the Acting Inspector General of the Export-Import Bank and he has been formally nominated to serve as Inspector General of the Export-Import Bank.

 

“Steven Linick is currently serving as the Deputy Chief of the Fraud Section, Criminal Division of the Department of Justice and he has been nominated to serve as the Inspector General of the Federal Housing and Finance Agency.

 

“I enthusiastically support these nominees to the Federal Reserve Board as well as the two nominees for Inspector General and urge my colleagues the vote for them.”

 

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