CT Lawmakers Split on Auditing the Fed

A bill requiring deeper audits of the U.S.’s central banking system passed the House of Representatives with by a 327-98 margin, but Connecticut’s representatives were split on whether to audit the Federal Reserve.

The bill, according to the Washington Post, allows government auditors to analyze the Fed's monetary policies. The Fed influences the nation’s money through several methods, such as purchasing U.S. securities and guiding the interest rate on money loaned by the Fed to banks.

Reps. Joe Courtney (D-2) and Chris Murphy (D-5) voted in favor of the bill. Reps. Rosa DeLauro (D-3), Jim Himes (D-4) and John Larson (D-1) were among the  98 people opposed to the bill.  All but one Republican voted for the bill, while Democrats were split with 89 voting yes and 97 no.

Last week, Fed chairman Ben Bernanke told Congress he was opposed to the bill because he believes it will politicize the central banking authority, which operates independently from Congress.

“It’s a mistake to eliminate the exemption for monetary policy and deliberations which would effectively, at least to some extent, create a political influence or a political dampening effect on the Federal Reserve’s policy decisions,” Bernanke said, according to MarketWatch.

He may get his wish, as some sources indicate the bill is unlikely to even be brought up for a vote in the Senate due to opposition from Democrats. The bill was championed by presidential candidate and outgoing Texas congressman Ron Paul.