Duval Times

Senator Rick Scott has called for accountability from Federal Reserve Chair Jerome Powell, accusing him of failing to meet targets and fueling inflation. In a letter sent to Chair Powell, Senator Scott emphasized the need for the Fed to address its massive failure to reduce its balance sheet and misallocate capital.

Since his election to the Senate, Senator Scott has been vocal about the importance of holding the Federal Reserve accountable to its goals. He criticized Chair Powell for overseeing an unaccountable Fed that has mismanaged U.S. monetary policy and allowed its balance sheet to grow to an unsustainable $7.7 trillion.

"In May 2022, you stated your plans to reduce the balance sheet by up to $95 billion per month. This means your balance sheet should have dropped by at least $1.7 trillion since June 2022. Unfortunately, you have failed to meet your goals and have only rolled off about $1.3 trillion of balance sheet assets. This is a $400 billion miss," Senator Scott wrote in his letter.

Highlighting the impact on the American people, Senator Scott also criticized the Federal Reserve's handling of inflation. He pointed out that under Chair Powell's leadership, there have been almost three years of inflation above two percent, indicating a consistent failure to meet the Fed's own inflation targets since 2021.

To address these issues and ensure accountability, Senator Scott introduced a legislative package aimed at reforming the Federal Reserve. The package includes the Regular Order for Investments (ROI) of the Federal Reserve Act, which seeks to end the Fed's bad practices and force considerations of the impact on American families. Additionally, the Right-Size the Federal Reserve Act mandates an unwinding of the Fed's balance sheet to remain at or below 10% of U.S. GDP, while the Rein in the Federal Reserve Act establishes a statutory process for more strict oversight by Congress.

Senator Scott's efforts to force accountability at the Federal Reserve have garnered attention and support. He has been demanding that Chair Powell address the Fed's balance sheet and has been pushing for accountability from new Federal Reserve appointees.

The Senator's call for accountability stems from his concerns about the Fed's trillion-dollar loss and what he calls "disgraceful leadership" under Chair Powell. Senator Scott's Quarterly Economic Snapshot provides further insight into his stance, and readers can learn more about his proposals in a Washington Examiner op-ed.

As Senator Rick Scott continues to advocate for accountability and reform at the Federal Reserve, the American people are watching closely to see how Chair Powell and the Fed address these concerns.