Directors of Federal Reserve
Banks and Branches
Under the Federal Reserve Act, each of the twelve Reserve Banks is separately incorporated with its own board of directors. In each Reserve District, commercial banks that are members of the Federal Reserve System own the stock of their District's Reserve Bank and elect the majority of the Reserve Bank's board of directors; the remainder of the directors are appointed by the Federal Reserve Board.
About the Directors
As the central bank of the United States, the Federal Reserve System conducts the nation's monetary policy and helps to maintain a stable financial system. Three key components of the Federal Reserve System--the Federal Reserve Board of Governors (Board of Governors), the Federal Reserve Banks (Reserve Banks), and the Federal Open Market Committee (FOMC)--interact to accomplish these goals.
Each of the 12 Reserve Banks is subject to the supervision of a ninemember board of directors (board). Six of the directors are elected by the member banks of the respective Federal Reserve District (District), and three of the directors are appointed by the Board of Governors. Most Reserve Banks have at least one Branch, and each Branch has its own board of directors. A majority of the directors on a Branch board are appointed by the Reserve Bank, and the remaining Branch directors are appointed by the Board of Governors.
Directors play an important role in the effective functioning of the Federal Reserve. All directors are expected to participate in the formulation of monetary policy and to act as a link between the System and the public. In addition, head-office directors are responsible for supervising the administration of their Reserve Bank's operations, overseeing the Reserve Bank's corporate governance function, and maintaining an effective system of internal auditing procedures and controls. Directors are not involved, however, in any matters related to banking supervision, including specific supervisory decisions.
For more detailed information, see: Roles and Responsibilities of Directors (PDF)