,,ii  #aac? ,,congress  #a/ ,session    
,s4 #ajah  ,,9 ,,! ,,s5ate ,,( ,,!      
,,unit$ ,,/ates  ,may #bb1 #bjac ,mr4   
,s&]s 7= himself1 ,mrs4 ,box]1 & ,mr4   
,begi*7 introduc$ ! foll[+ bill2 :i* 0  
read twice & ref]r$ to ! ,committee on  
,bank+1 ,h\s+1 & ,urban ,affairs  ,a    
,,bill  ,to re/rict conflicts ( int]e/  
on ! bo>ds ( directors ( ,f$]al res]ve  
banks1 & = o!r purposes4  #a4 ,%ort     
title ,?is ,act may be cit$ z ! ,f$]al  
,res]ve ,indep5d5ce ,act4  #b4 ,f9d+s   
,congress f9ds ! foll[+3  7#a7 ,9       
,octob] #bjaa1 ! ,gov]nm5t              
,acc\ntability ,(fice f\nd t--  7,a7    
all[+ memb]s ( ! bank+ indu/ry to bo?   
elect & s]ve on ! bo>ds ( directors (   
,f$]al res]ve banks poses reputational  
risks to ! ,f$]al ,res]ve ,sy/em2  7,b7 
#ah =m] & curr5t memb]s ( ! bo>ds (     
directors ( ,f$]al res]ve banks 7       
affiliat$ ) banks & companies t receiv$ 
em]g5cy loans f ! ,f$]al ,res]ve ,sy/em 
dur+ ! f9ancial crisis2  7,c7 _m ( !    
memb]s ( ! bo>ds ( directors ( ,f$]al   

res]ve banks own /ock or "w directly =  
banks t are sup]vis$ & regulat$ by !    
,f$]al ,res]ve ,sy/em4 ,^! bo>d memb]s  
ov]see ! op]ations ( ! ,f$]al res]ve    
banks1 includ+ sal>y & p]sonnel         
decisions2  7,d7 "u curr5t regulations1 
memb]s ( a bo>d ( directors ( a ,f$]al  
res]ve bank :o are employ$ by ! bank+   
indu/ry or own /ock 9 f9ancial          
in/itutions c p>ticipate 9 decisions    
involv+ h[ mu* int]e/ to *>ge to        
f9ancial in/itutions receiv+ loans f !  
,f$]al ,res]ve ,sy/em1 & ! approval or  
disapproval ( ,f$]al ,res]ve cr$it to   
heal?y banks & banks 9 haz>d\s          
condition2  7,e7 #ba memb]s ( ! bo>ds ( 
directors ( ,f$]al res]ve banks 7       
involv$ 9 mak+ p]sonnel decisions 9 !   
division ( sup]vision & regulation "u ! 
,f$]al ,res]ve ,sy/em2 &  7,f7 ! ,f$]al 
,res]ve ,sy/em does n publicly disclose 
:5 x grants a waiv] to its conflict (   
int]e/ regulations4  7#b7 ,all[+        
curr5tly employ$ bank+ indu/ry          
executives to s]ve z directors on !     

bo>ds ( directors ( ,f$]al res]ve banks 
is a cle> conflict ( int]e/ t mu/ be    
elim9at$4  7#c7 ,no "o :o works = or    
inve/s 9 a firm receiv+ direct f9ancial 
assi/ance f ! ,f$]al ,res]ve ,sy/em %\ld
 be all[$ to sit on any bo>d ( directors
 ( a ,f$]al res]ve bank or be employ$ by
 ! ,f$]al ,res]ve ,sy/em4  #c4 ,end+    
conflicts ( int]e/  7a7 ,class ,a memb]s
 ,! t5? undesignat$ p>agraph ( section  
#d ( ! ,f$]al ,res]ve ,act 7#ab         
,u4,s4,c4 #cjb7 7relat+ to ,class ,a7 is
 am5d$ by /rik+ *os5 by & be            
repres5tative ( ! /ockhold+ banks &     
ins]t+ designat$ by ! ,bo>d ( ,gov]nors 
( ! ,f$]al ,res]ve ,sy/em1 f among      
p]sons :o are n employ$ 9 any capacity  
by a /ockhold+ bank4  7b7 ,class ,b ,!  
elev5? undesignat$ p>agraph ( section #d
 ( ! ,f$]al ,res]ve ,act 7#ab ,u4,s4,c4 
#cjb7 7relat+ to ,class ,b7 is am5d$ by 
/rik+ be elect$ & ins]t+ be designat$ by
 ! ,bo>d ( ,gov]nors ( ! ,f$]al ,res]ve 
,sy/em4  7c7 ,limitations on bo>ds (    
directors ,! f\rte5? & fifte5?          

undesignat$ p>agraphs ( section #d ( !  
,f$]al ,res]ve ,act 7#ab ,u4,s4,c4 #cjc7
 7relat+ to ,class ,b & ,class ,c1      
respectively7 are am5d$ to read z       
foll[s3  ,no employee ( a bank hold+    
company or o!r entity regulat$ by !     
,bo>d ( ,gov]nors ( ! ,f$]al ,res]ve    
,sy/em may s]ve on ! bo>d ( directors ( 
any ,f$]al res]ve bank4  ,no employee ( 
! ,f$]al ,res]ve ,sy/em or bo>d memb] ( 
a ,f$]al res]ve bank may own any /ock or
 inve/ 9 any company t is regulat$ by ! 
,bo>d ( ,gov]nors ( ! ,f$]al ,res]ve    
,sy/em1 )\t exception4  4  #d4 ,reports 
to ,congress ,! ,comptroll] ,g5]al ( !  
,unit$ ,/ates %all report annually to   
,congress beg9n+ #a ye> aft] ! date (   
enactm5t ( ?is ,act to make sure t !    
provisions ( ?is ,act are foll[$4