“A bill to limit the total assets of Federal reserve banks, and for other purposes.”
No CRS summary available for this bill.
This section amends the Federal Reserve Act by (1) requiring the Board of Governors and each Federal Reserve Bank to submit an annual report to Congress on interest payments to foreign-owned banks and financial institutions on reserves and in lending facilities; (2) in section 19(b), limiting changes to reserve requirements such that they are not lower than levels in effect on March 25, 2020 (when ratios were effectively set to zero percent), and restricting interest payments to reserves that are not in excess of required reserves; (3) adding a new section 33 that caps total aggregate assets of all Federal Reserve Banks at 10% of U.S. gross domestic product, effective 10 years after enactment; (4) directing the Board to eliminate the Overnight Reverse Repurchase Facility (a liquidity-absorbing tool) within one year after enactment and prohibiting creation of a similar facility; and (5) requiring the Board to submit to Congress, within one year after enactment and annually thereafter, a report on its plan and timeline for compliance.