Phase III Coronavirus Package // Oversight Provisions
There are two main oversight provisions for the Title IV and the Exchange Stabilization Fund ($500b).
- Creates Treasury Department Special Inspector General for Pandemic Recovery to provide oversight of Treasury loans and a Pandemic Response Accountability Committee to protect taxpayer dollars.
- Creates a bipartisan congressional oversight commission (5 members) that must provide reports every 30 days on the exercise of authority under the Act. This creates a timely public reporting mechanism for transactions under the Act.
Other changes on oversight on the Fed already existed under current statute – that’s not something that Ds got added. This refers to loans made through the Federal Reserve under its 13(3) authority that are subject to very strict criteria:
- sufficient loan security
- timely program termination
- no loan forgiveness
- a demonstration that other credit from banks is not available
- employment retention
- the Federal Government’s compensation must account appropriately for risk (among others).