Upcoming Changes at the Federal Reserve

President Joe Biden has appointed four new governors to the seven-member Federal Reserve Board, a significant move that reshapes the leadership of the central bank. The appointments come as part of the president's authority to nominate a Fed chair and two vice chairs for four-year terms, which require Senate confirmation. Jerome Powell was confirmed for a second term as chair on May 12, 2022, while Lisa Cook and Adriana Kugler were confirmed for their respective terms in 2022 and 2023. In addition to the new governors, several regional Federal Reserve banks have also seen changes in leadership. The presidents of these banks are selected by their private sector boards, with the Fed Board of Governors providing final approval. Notably, Esther George of the Kansas City Fed retired in early 2023, and her successor, Jeffrey Schmid, has since taken over. The Boston Fed and Dallas Fed also appointed new presidents, Susan Collins and Lorie Logan, respectively, following the early retirements of Eric Rosengren and Rob Kaplan amid scrutiny over their financial disclosures. The presidents of the regional Fed banks serve until the age of 65, unless appointed after 55, in which case they can serve a maximum of 10 years or until 75. The current leadership landscape reflects a mix of new appointments and ongoing terms, with regional presidents up for reappointment every five years. The structure of the Fed Board allows for staggered 14-year terms, with governors able to serve longer if they fill unexpired terms.