Congresswoman Vicky Hartzler (MO-4) and her colleagues in the U.S. House have voted overwhelmingly to remove restrictions that stand in the way of the Government Accountability Office (GAO) conducting a full audit of the Federal Reserve. Under current regulations, the GAO cannot audit transactions for or with foreign central banks, governments and international organizations; deliberations, decisions, or actions on monetary policy matters; transactions made under the direction of the Federal Open Market Committee; and various discussions or communications.
"The Fed should be accountable to the American people and to Congress," said Hartzler. "But while Congress has constitutional authority over the nation's money, lawmakers are prohibited from looking into how the Fed decides and carries out monetary policy. Our legislation requires a one-time GAO audit of the Fed to be completed and submitted to Congress within 12 months. Additional GAO audits could then be performed without restriction."
"The Federal Reserve and the U.S. Treasury have been behind more than $16 trillion in bailouts and loans, with the Fed continuing to refuse to fully disclose the details of its emergency lending," added Hartzler. "Allowing the Fed to operate in secrecy is not wise. Congress has a responsibility to conduct oversight and to hold the Fed accountable as its monetary policy affects every American."
Having passed the House, the audit the Fed legislation now moves to the Senate for its consideration.
Vicky Hartzler was elected to Congress in 2010. She serves on the House Armed Services Committee and the House Agriculture Committee.