A group of nine senators, led by Alaska U.S. Sen. Dan Sullivan penned a letter to Federal Reserve Chair Jerome Powell, expressing concerns over the Fed’s involvement in climate activism and calling for a return to addressing pressing economic issues affecting the American people.
The senators cautioned against the Fed’s deviation from its statutory authority and emphasized the need for a focus on matters such as record inflation and the recent regional banking collapse that has shaken confidence in the banking system.
Sullivan underscored the consequences that arise when federal regulators prioritize activist-driven environmental, social, and governance (ESG) principles over their mandated responsibilities.
He criticized the infiltration of far-left environmental activism in various government offices and agencies, including the Securities & Exchange Commission, the Defense Department, and the Federal Reserve, under the Biden administration, and pledged to hold federal officials accountable and ensure compliance with the law.
The senators highlighted that Chairman Powell himself acknowledged during his confirmation process that the Fed is not a “climate policymaker.”
But under Powell’s leadership, the Fed has begun implementing ESG principles into the risk analysis required of banks, using what is increasingly known as a “climate-stress test.”
Describing this as policy disguised as risk analysis, the letter contended that the Fed’s signaling implies that activities by banks not aligned with net-zero goals by 2050 are inherently risky and unfavorable.
The senators argued that this approach diverts capital away from traditional energy development at a critical time for the nation’s economic and national security, while inadvertently empowering America’s adversaries. They attributed the climate stress test as the logical outcome of the Fed’s growing track record of climate activism.
“We are growing increasingly frustrated with the Federal Reserve’s … engagement on environmental policymaking and research far outside of its statutory mandate, all while there is persistent inflation and a crisis of confidence in the banking sector,” the senators, wrote in the May 17 letter.
The senators emphasized the urgency of addressing issues well within the Fed’s statutory authority, citing recent failures in inflationary policy and oversight that contributed to the regional banking collapse. They stressed the importance of preserving the central bank’s independence as a safeguard against partisan interests and warned that the Fed’s persistent entry into the political arena, particularly on climate change, has undermined its legitimacy.
“We urge you to rein in the Fed’s regional banks and its economists who are seemingly ignoring your leadership. The Fed’s credibility hangs in the balance, and without a course correction, history will find you either complicit or ineffective as Chairman,” Sullivan wrote.
Joining Sullivan in signing the letter were Senators Mike Crapo (R-Idaho), Kevin Cramer (R-ND), Joni Ernst (R-Iowa), Mike Braun (R-IN), Roger Marshall (R-KS), Ted Budd (R-NC), Mike Lee (R-IN), and James Risch (R-Idaho). Their collective efforts reflect a commitment to holding federal officials accountable and maintaining the integrity of the central bank.
During Powell’s confirmation in 2022, Sen. Sullivan voted against him because the Biden Administration was forcing climate change mission-creep into the Fed, and Powell had done little to stop it.
“The Federal Reserve has a dual mandate from Congress: maintaining price stability while keeping unemployment low. During Chairman Powell’s first term as chair, the Fed has failed dramatically on the first. There are many reasons for this, but one clear cause is the Fed’s decision to take its eye off the ball of these statutory mandates required by Congress,” Sullivan wrote in a statement explaining his vote in 2022.
“The citizens of Alaska who I represent are hurting badly from high inflation. They are also well aware of the federal government’s and federal regulators’ attempts to choke off capital to energy producers in Alaska and other states by shoehorning climate policies into areas that are inconsistent with statutory mandates from Congress. A number of Biden administration finance nominees have been focused on doing this—both those who have been confirmed and rejected by the Senate—including nominees to the Fed, the SEC, the Treasury, and the Office of the Comptroller of the Currency,” he wrote.
Stay in your lane, Powell and Yellen. Your job is to Keep our financial system stable. Leave the global warming scamming to the liberal politicians.
Last I checked temperatures were off the charts world wide. Are the clouds scamming us? Who is scamming us? The sun?
The parasites that fly into Davos every year and discuss how people should all eat bugs, and forgo travel (and heat) so that they can continue to enjoy their elitist lifestyle. That is who is scamming us.
Or, do you not realize that every time a climate conference goes down, the discussion is not about climate, but about controlling the population?
Really Loren? Off the charts? I doubt that. BTW, how warm was it in the middle ages , you know when Greenland was GREEN, Norsemen sailed across the arctic and the French suffered economic unrest because there wasn’t a market for their wine since wine was being made as far north as York.
Just sayin…
it is literally a known historical joke that it was Iceland that was called “Ice”land but was green and Greenland called “Green”land but was ice during the Viking expansion…
Kara, I’ve heard that old story, it remains true however that the Norsemen did colonize Greenland ( it failed) and that the climate was considerably warmer during that medieval time frame than it is presently.
Loren, This planet has been changing since day one, ice age, volcanic age and as a matter of fact I’m not seeing anything to radical. There are tropical dinosaurs under 600’ of dirt in northern Alaska.
ESG. Another heinous 3 letter acronym that deserves to, and will be relegated to the trash heap along with all the others.
Bankers bank. Banksters go the extra mile. Risky business…
Thank you, Senator.
China and Russia must be LTFAO watching America implode.
You think China and Russia are laughing at us? Why?
Because we are destroying our nation’s economy, military, and population under the guise of “saving it” from climate change. (Or incorrect pronouns.)
Russia i see don’t appear to be laughing at america. Its leaders appear more concerned about america ability and gaffes.
Our Delegation is a complete Disgrace! House Rep & Both Senators.
Thank you Senator Sullivan. And Suzanne for bringing this to light. The climate cult has crept all through our national leadership and our culture, propagated by the globalist agenda as another tool to further weaken and destabilize our country.
And nothing will happen as congress has no power. They sit up there and talk big but we are still being taken over by the elites, who think they know better than us. He is just blowing hot air. When I see results then he can have a pat on the back for doing what’s best for the country.
The Fed is in lock-step with its masters: the WEF, anti-Christian leftists, and the elitists of the world that would love to see the population lowered by 3/4. Individuals surviving will be firmly under the jack-boot control of their masters.
Thank you Senator!
More ralk talk from Swampy Dan. How about DOING something about it, sullivan??
I just hope they are ready for the trauma our fighting forces will endure when China starts deliberately misgendering them.
Hard to fight when you’re searching for a safe space with puppies.
The climate crisis is just another sham the Democrats are using to fill their cronies pockets with kickback cash under the table and other “favors” as they “jetset” around the globe preaching to everyone how they are going to rescue the planet from imminent disaster. The sky is falling again. The Scamdemic has fizzled out so now they need another big money scheme besides war and drugs.
A very wise man once said:
“It is a luxury of a wealthy nation to care about the environment. When that nation puts caring about the environment before maintaining and growing that wealth, that nation will lose both.”
Climate clowns are all indoctrinated, even the supposed independent-thinking adults. It’s a trap for the mentally weak. They think it’s science. It’s really the cult of Marxism, disguised as a religion. Climate action is for the weak-minded, the feable, the brainwashed, and the gullible. It’s becoming the 8th deadly sin of our times.
He needs to send a letter to Dunleavy because he’s promoting big time!
It’s good that he’s seemingly in-the-know re: the ESG mess. Silicone Valley Bank, in part, imploded when applying that criteria to investor’s money. Money that was handed over in exchange for the best possible return on their investments only to be pissed away via ESG. Add to that EO #14067 followed by FedNow and the fix is in. FedNow has their soft rollout in July of this year with its main goal being: access to your bank accounts – under the guise of authorizing expenditures faster than Venmo, Paypal and the like. They’ll apply the ESG formula to citizen’s purchases and, voila’, they control the spigot. (Note: In 2021, Dems proposed legislation to monitor any bank account where payments exceeded $600.00. That was soundly squashed but now… EO 14067 followed by FedNow). “Don’t attempt to adjust your set; we control the horizontal and the vertical.”
so short sighted to think that climate change is not an economic issue. the costs to insurance agencies to deal with climate change damages is billions each year. not to mention that people who die from climate change events can’t work and contribute to the economy. and when people are displaced due to climate change migration, they can’t work, thereby not contributing to the economy and also using public assistance.
that is absolutely an economic issue.
Dan Dan makes me sleepy.
Sullivan articulates public concerns which require action, well done Dan.
What does Peltola accomplish aside from purple wardrobe selfies and nefarious grins whilst licking the arses of democrats, aligning with ‘the squad’?
Yesterday a climate thought creeped across my mind. I told mylittle one anchorage use to be
a glacier with all alaska, its a good there being no climate activitists alive during the
ice age melt. Hahaha.
If they really want to be useful they’d bust open mega dams that is the culprit flushing all that warm fresh water unto the north and
south pole.
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