Right-size the Federal Reserve Act

The Federal Reserve Act is amended—

(1) in section 2B (12 U.S.C. 225b), by adding at the end the following:

The Board and each Federal reserve bank shall submit to Congress, on an annual basis, a report on how many foreign-owned banks and financial institutions the Board or the Federal reserve banks have paid on interest for reserves or in the lending facilities of the Board.

(1) ;

(2) in section 19(b) (12 U.S.C. 461(b))—

(A) in paragraph (2)(A), by striking solely for the purpose and all that follows through the period at the end and inserting, which shall be not lower than the reserve requirements in effect on March 25, 2020.; and

(B) in paragraph (12)(A), by inserting that are not in excess of the reserves required to be maintained under this subsection after institution; and

(3) by adding at the end the following:

The total aggregate assets of all Federal reserve banks shall be in an amount that is not more than 10 percent of the gross domestic product of the United States.

Subsection (a) shall take effect on the date that is 10 years after the date of enactment of this section.

(3) .

The Board of Governors of the Federal Reserve System—

(1) shall, not later than 1 year after the date of enactment of this Act, eliminate the Overnight Reserve Repurchase Facility; and

(2) may not create another facility similar to the facility eliminated under paragraph (1).

Not later than 1 year after the date of enactment of this Act, and every year thereafter, the Board of Governors of the Federal Reserve System shall submit to Congress a report on the plan and timeline of the Board for meeting the requirements under this section and the amendments made by this section.