H.R. 7132 — Enhancing Financial Stability Research and Oversight Act

This section revises funding and staffing authorities for the Office of Financial Research (OFR) (i.e., the independent entity supporting the Financial Stability Oversight Council with financial research and data analysis) as follows: (1) grants the OFR Director sole discretion to establish the annual budget at a minimum of $124,627,000, adjusted annually by the employment cost index for total compensation for state and local government workers; (2) requires the Director to ensure at least 231 full-time equivalent positions and eliminates consultation requirements with the FSOC Chairperson in subsections 152(c), (d), (h), and (i); (3) specifies that OFR funding under section 155(d) is at the sole discretion of the Director and not subject to review by the House and Senate Appropriations Committees; and (4) prohibits the Treasury Secretary from influencing the OFR budget or the number or compensation of its employees.

This section establishes minimum staffing and budget levels for the Financial Stability Oversight Council (FSOC), the interagency body established under the Dodd-Frank Act to identify risks to U.S. financial stability, promote market discipline, and respond to emerging threats to the financial system. (1) It requires the FSOC Chairperson to ensure the Council maintains at least 48 full-time equivalent positions (excluding detailees under subsection (j)); and (2) it requires the Office of Financial Research to transfer at least $15,287,000 annually to the FSOC for staffing and other expenses—including for the office of the independent member—with the amount adjusted yearly by any increase in the employment cost index for state and local government workers.