Congressman Scott Garrett

Representing the 5th District of New Jersey

Garrett Introduces Bill to Hold FSOC Accountable to the American People

Sep 18, 2015
Press Release

WASHINGTON, D.C. – Rep. Scott Garrett (NJ-05), Chairman of the Financial Services Subcommittee on Capital Markets and Government-Sponsored Enterprises, today introduced H.R. 3557, the Financial Stability Oversight Council (FSOC) Transparency and Accountability Act, to bring much-needed transparency and accountability to the FSOC.

“The Financial Stability Oversight Council (FSOC) is one of the most notorious examples of the kind of secretive and unaccountable government bodies that could only be a creation of Washington, D.C.  The Dodd-Frank Act vested the FSOC with the authority to designate nonbank financial institutions as “too big to fail,” essentially giving them unprecedented authority over an entire sector of the U.S. economy without adequate checks and balances.

“The Council continues to hold closed-door meetings, refuses to publish substantive transcripts, and stonewalls requests from the people’s representatives when we need more information about its operations.  No agency should be allowed to operate above the law in this way, and my bill will shed some much-needed light on this shadowy government body.”

Garrett’s legislation would:

  • Subject the FSOC to the Government in the Sunshine Act
  • Subject the FSOC to the Federal Advisory Committee Act
  • At all FSOC meetings, allow for the participation of all members of the Commissions and Boards represented
  • Require that any vote taken by the principal of a Commission or Board represented must first be taken by that Commission or Board and the principal must then in turn vote that same decision at the Council
  • Allow for Members of Congress on the Congressional oversight committees of FSOC to be able to attend all FSOC meetings

A previous version of the legislation passed the House Financial Services Committee in June, 2014.