2014: Schweikert Voted To Require An Audit Of All Federal Reserve Activities. In September 2014, according to Congressional Quarterly, Schweikert voted for the "Meadows, R-N.C., motion to suspend the rules and pass the bill that would require the GAO to conduct an audit of all activities of the the Federal Reserve System and the Federal Reserve banks within 12 months of enactment, and to report its findings to Congress within 90 days of completing the audit. It would also repeal certain limitations regarding what can be included in audits of the Fed." The vote was on passage. The House passed the bill by a vote of 333 to 92. [House Vote 504, 9/17/14; Congressional Quarterly, 9/17/14; Congressional Actions, H.R. 24]
2024: Schweikert Voted To Prohibit The Federal Reserve From Implementing A Central Bank Digital Currency Or A Similar Digital Asset Without Congressional Approval. In May 2024, Schweikert voted for , according to Congressional Quarterly, "the bill that would generally prohibit the Federal Reserve from issuing a central bank digital currency (CBDC), also known as a 'digital dollar,' either directly or indirectly to individuals, or from using any substantially similar digital asset to implement Fed monetary policy. It would prohibit the Fed from offering any products or services directly to an individual or maintaining an account on behalf of an individual, in particular a CBDC. It would stipulate that no similar digital asset could be offered by the Fed to individuals indirectly through a financial institution or other intermediary. It also would prohibit the Fed from issuing a CBDC without congressional approval, and the Treasury Department from directing the Fed to issue a CBDC without congressional approval. The bill's restrictions would not apply to 'any dollar-denominated currency that is open, permissionless, and private, and fully preserves the privacy protections of United States coins and physical currency.' As amended, it would prohibit the Fed from designing, building, developing or establishing a central bank digital currency unless otherwise authorized by Congress. It also would prohibit the Fed from carrying out a program to test the practicability of issuing such a digital currency." The vote was on passage. The House passed the bill by a vote of 216 to 192. [House Vote 230, 5/23/24; Congressional Quarterly, 5/23/24; Congressional Actions, H.R. 5403]
Democrats Worried The Bill Would Put The United States Behind Other Countries Developing A Digital Currency And Would Impede U.S. Research On Digital Currencies. According to Congressional Quarterly, "Ranking member Maxine Waters of California and other Democrats criticized the legislation, saying it would cause the U.S. to fall behind other countries moving forward in their consideration of a central bank digital currency and could threaten the dollar's position as the world reserve currency. 'We have learned that a CBDC has the potential to improve our payment system, including the ability to make quicker and safer cross border payments between institutions,' Waters said. 'However, I recognize that there are still several challenges that we must continue to explore, including with regard to consumer protection, national security, and financial inclusion.' The bill would have a chilling effect on research into those challenges, Waters said. 'It may ultimately restrict the Fed and Treasury from continuing their important research and testing. This bill would unnecessarily hinder innovation before we've had a chance to fully explore CBDCs' potential benefits and challenges,' Waters said." [Congressional Quarterly, 9/20/23]
Republicans Stated The Bill Was Needed To Protect Privacy, Individual Sovereignty, And Free Market Competitiveness. According to Congressional Quarterly, "'My bill ensures the United States digital currency policy is in the hands of the American people, not the administrative state, so that it reflects our American values of privacy, individual sovereignty, and free market competitiveness,' said House Majority Whip Tom Emmer, R-Minn., who introduced the legislation." [Congressional Quarterly, 9/20/23]
2024: Schweikert Voted To Prohibit The Federal Reserve From Implementing A Central Bank Digital Currency And To Prohibit The Treasury Department To Direct The Federal Reserve To Do So. In May 2024, Schweikert voted for , according to Congressional Quarterly, "amendment no. 3 that would prohibit the Federal Reserve Board of Governors from designing, building, developing, establishing or issuing a central bank digital currency. It also would prohibit the Treasury Department from directing the Federal Reserve Board of Governors for carrying out any of those actions." The vote was on the amendment. The House adopted the amendment by a vote of 212 to 195. [House Vote 229, 5/23/24; Congressional Quarterly, 5/23/24; Congressional Actions, H.Amdt.926; Congressional Actions, H.R. 5403]
2024: Schweikert Voted To Require Congressional Approval Prior To The Federal Reserve Implementing A Central Bank Digital Currency. In May 2024, Schweikert voted for , according to Congressional Quarterly, "amendment no. 2 that would prohibit the Federal Reserve Board of Governors and Federal Reserve Banks from establishing, carrying out or approving a program to test the practicability of issuing a central bank digital currency, unless otherwise authorized by Congress." The vote was on the amendment. The House adopted the amendment by a vote of 206 to 193. [House Vote 228, 5/23/24; Congressional Quarterly, 5/23/24; Congressional Actions, H.Amdt.925; Congressional Actions, H.R. 5403]
2024: Schweikert Voted To Prohibit The Federal Reserve From Implementing A Central Bank Digital Currency. In May 2024, Schweikert voted for , according to Congressional Quarterly, "amendment no. 1 that would express the sense of Congress that the Federal Reserve Board of Governors should not be permitted to develop, create or implement a central bank digital currency, or use any such tool to implement monetary policy." The vote was on the amendment. The House adopted the amendment by a vote of 204 to 106. [House Vote 227, 5/23/24; Congressional Quarterly, 5/23/24; Congressional Actions, H.Amdt.924; Congressional Actions, H.R. 5403]
2017: Schweikert Voted For Legislation That Would Have Repealed Significant Portions Of Dodd-Frank, Including Requiring The Federal Reserve To Create A Mathematical Formula Dictating Policy. In June 2017, Schweikert voted for the Financial Choice Act. According to NPR, "House Republicans voted Thursday to deliver on their promise to repeal Dodd-Frank --- the massive set of Wall Street regulations President Barack Obama signed into law after the 2008 financial crisis. In a near party-line vote, the House approved a bill, dubbed the Financial Choice Act, which scales back or eliminates many of the post-crisis banking rules." The vote was on passage. The House passed the bill by a vote of 233 to 186. The Senate took no substantive action on the legislation. [House Vote 299, 6/8/17; NPR, 6/8/17; Congressional Actions, H.R. 10]
Legislation Required The Federal Reserve Create A Mathematical Formula To Dictate Policy. According to Congressional Quarterly, "The bill requires the FOMC to develop a mathematical rule --- the Directive Policy Rule (DPR) --- to direct its decision making on monetary policy to achieve its dual mandate. The DPR must provide a strategy to achieve specified goals, identifying which interest rate is targeted and describing the strategy for systematic adjustment of the target through response to changes in inflation, estimates of GDP, estimates of the monetary aggregate and any other variable that the FOMC determines to be relevant. The DPR must state whether variables used are historical, current or a forecast and must include the method of calculating the variable. It must include a mathematical function and a formula that predicts a range of future values for the targeted interest rate based on changes to inflation, GDP, the monetary aggregate and the other relevant variables, and describe how bank reserves will be adjusted to achieve the target interest rate. It must also include a calculation that describes with mathematical precision the expected annual inflation rate over a five-year period." [Congressional Quarterly, 6/7/17]
Legislation Reduced The Number Of "Stress Tests" On Large Banks. According to Congressional Quarterly, "The bill directs the Fed to reduce the frequency of 'stress tests' it conducts on banks with assets of $50 billion or more to determine whether the banks have sufficient capital to continue operations in times of economic and financial stress --- providing that such tests be conducted every two years rather than annually." [Congressional Quarterly, 6/7/17]
2015: Schweikert Voted To Audit The Federal Reserve's Monetary Policy Conduct And For Changing The Way That The Fed Creates Monetary Policy. In November 2015, Schweikert voted for a bill that would have required the Federal Reserve to set GAO reviewable strategies for monetary policy, limit the Federal Reserve's emergency lending power and would allow the GAO to audit the Federal Reserve's monetary policy deliberations. According to Congressional Quarterly, the legislation would "require the Federal Reserve to develop detailed strategies for monetary policy that would be reviewed by the Government Accountability Office (GAO), require the Fed chairman to testify before Congress if GAO determines that the strategy does not comply with bill requirements, and provide for GAO audits of all Fed activities, including its deliberations over monetary policy." The vote was on passage. The House passed the bull by a vote of 241 to 185. The Senate took no substantive action on the legislation. [House Vote 641, 11/19/15; Congressional Quarterly, 11/19/15; Congressional Actions, H.R. 3189]
The Legislation Also Required The Federal Reserve To Conduct Cost-Benefit Analysis For All Rules, Limits Its Emergency Lending Powers, Established A Centennial Monetary Commission And Would Require All FOMC Meetings Transcripts To Be Publically Available. According to Congressional Quarterly, "Further, the bill would require that the Fed conduct cost-benefit analyses of all proposed rules, provide greater public disclosure, and limit its emergency lending powers, only allowing these powers to be used if a supermajority of Fed governors and Federal Reserve Bank presidents agree. The bill would establish a Centennial Monetary Commission to study monetary policy in the United States since the creation of the Federal Reserve System and to consider the proper mandate for the Fed in the 21st century. Lastly, the bill defines the Reference Policy, or Taylor, Rule as a specific calculation of the nominal federal funds interest rate. As amended, the bill would ensure that the Federal Open Market Committee uses the most up-to-date and accurate data for the Directive Policy and Reference Policy Rules. Further, the bill, as amended, would make the Federal Reserve's audit annual. Lastly, the bill, as amended, would require the Federal Open Market Committee's meeting transcripts to be available to the public." [Congressional Quarterly, 11/19/15]
Janet Yellen: Provisions From The Bill Would Remove The Federal Reserve's Insulation From Politics. According to a letter written by Janet Yellen, "Most importantly, the provisions effectively cast aside the bipartisan approach toward monetary policy oversight developed by the Congress in the late 1970s. Under that approach, the Congress establishes the long-run objectives for monetary policy but affords the Federal Reserve a considerable degree of independence in how it goes about achieving those statutory goals, thus ensuring that the conduct of monetary policy is insulated from political influence. This framework is now recognized as a fundamental principle of central banking around the world. The provisions of the FORM Act, in contrast, would effectively put the Congress and the GAO squarely in the role of reviewing short-run monetary policy decisions and in a position to, in real time, influence the monetary policy deliberations leading to those decisions." [Janet Yellen, 11/16/15]