A Republican senator, concerned that the U.S. central bank is moving beyond its congressional mandate, is asking the Federal Reserve Bank of San Francisco for documents on its growing focus on climate and social issues.
In a letter to the regional Fed bank, Sen. Pat Toomey, (R., Pa.) said he is concerned that the new research focus of the bank risks destabilizing the central bank’s nonpolitical profile, which could affect its independence.
Some of the regional Fed banks, including San Francisco, “have increasingly been engaged in research on social policy topics reflective of the political and normative leanings of unelected Federal Reserve Bank officials,” wrote Mr. Toomey, the ranking member on the Senate Banking Committee. “This approach has inserted the Federal Reserve into the emotionally charged political arena—a place where the Federal Reserve seldom has ventured, and for good reason.”
Mr. Toomey wants the San Francisco Fed to provide him by April 9 documents detailing bank planning for coming public climate seminars, documents and emails related to shifts in the bank’s research focus, as well as expenses from the past decade related to research and community development work. He also seeks a briefing with Glenn D. Rudebusch, senior policy adviser to the bank.
A spokesman for the San Francisco Fed said, “we have received and are reviewing Sen. Toomey’s letter, and we look forward to discussing the contents with Sen. Toomey’s office.”
