Bill · S. 1647· Senate(119-S-1647)
ROI of the Federal Reserve Act
- Introduced
- 5/7/2025
- Last activity
- 5/7/2025 — Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.
- Sponsored by
- Rick Scott
- Cosponsors
- None
- Introduced
- In Committee
What this bill would do
This bill, known as the "Regular Order for Investments of the Federal Reserve Act," seeks to change how the Federal Reserve operates. It places limits on what Federal reserve banks can purchase, specifically banning certain Treasury bills, mortgage-backed securities, and common stock. The Act also requires new annual reports to be submitted to Congress regarding the middle class and small business lending. Additionally, it mandates that accounting principles used by the Board and Federal reserve banks must follow generally accepted accounting principles. Finally, it requires the use of mark-to-market valuations for specific financial estimates.
Yes· 3 of 5
Does this make what the government does easier for the public to see?+4
The bill mandates annual reports on the middle class and small business lending to increase transparency.
Does this make the government pay for what it commits to?+3
The bill enhances financial transparency through mandatory GAAP and mark-to-market valuation standards.
Does this make it easier to run a small business?+2
The bill increases oversight on how Federal Reserve actions affect small business lending and credit availability.
The opposite
Does this give the federal government more power?-2
The bill limits the purchasing authority of Federal reserve banks, potentially reducing central banking flexibility.
Who it would affect, and how
Potential Positive Impacts for People
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Increased Transparency for the Middle Class: The Board and each Federal reserve bank would be required to submit an annual report regarding the status and health of the middle class, including how their policies impacted middle-class growth (Section 2(1)).
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Insight into Small Business Lending: The bill requires a report on how the actions of the Board and Federal reserve banks have impacted the availability of small business lending and lines of credit since 2000 (Section 2(1)).
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Standardized Accounting: The Act requires that any filings made by the Board, the Federal Open Market Committee, or a Federal reserve bank be consistent with generally accepted accounting principles (Section 3(a)).
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Specific Valuation Standards: The Board, the Federal Open Market Committee, and each Federal reserve bank must use mark-to-market valuations for certain financial estimates described in specific sections of the Federal Reserve Act (Section 3(b)).
Potential Negative Impacts for People
- Restrictions on Federal Reserve Purchases: Under this bill, a Federal reserve bank would be prohibited from purchasing Treasury bills with a maturity longer than 3 years, purchasing mortgage-backed securities, or holding certain shares of common stock (Section 2(2)).
Groups and Interests Ranking
Every group the model scored this bill for, from -10 to +10. Hover a score for the reason it gave.
- Economy And Finance
- Improves Fiscal Responsibility+3Improves Small Business Support+2
- Demographic And Interest Groups
- Good For Business Owners+2Good For Middle Class Households+2
- Governance And Ideology
- Improves Government Transparency+4Increases Federal Power-2
- 5/7/2025
- Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.
- Introduced in Senate