I would urge the president to move forward on this so we can begin to restore America’s infrastructure and strengthen our economy for the long term.
SEC. 249. SENIOR MANAGEMENT
The senior management of the bank will be the Chief Financial Officer, the Chief Risk Officer, Chief Compliance Officer, Chief Operations Officer, Chief Lending Officer and General Council.
(b) Appointment of Senior Management- The chief executive officer shall appoint such senior managers as are necessary to carry out the purpose of AIFA, as approved by a majority vote of the voting members of the Board of Directors.
(c) Term- Each member of senior management shall serve at the pleasure of the chief executive officer and the Board of Directors.
(e) Senior Management-
(1) IN GENERAL- Each member of senior management shall report directly to the chief executive officer, other than the Chief Risk Officer, who shall report directly to the Board of Directors.
(A) CHIEF FINANCIAL OFFICER- The Chief Financial Officer shall be responsible for all financial functions of AIFA, provided that, at the discretion of the Board of Directors, specific functions of the Chief Financial Officer may be delegated externally.
I would like to see on paper exactly what can and cannot be delegated externally, the BUDGET for that capacity and cannot be changed without Legislative Oversight.
(B) CHIEF RISK OFFICER- The Chief Risk Officer shall be responsible for all functions of AIFA relating to--
(v) risk management and mitigation actions, including by reporting such actions, or recommendations of such actions to be taken, directly to the Board of Directors.
(F) CHIEF LENDING OFFICER- The Chief Lending Officer shall be responsible for--
(ii) the creation and management of--
(I) a Center for Excellence to provide technical assistance to public sector borrowers in the development and financing of infrastructure projects; and
(II) an Office of Rural Assistance to provide technical assistance in the development and financing of rural infrastructure projects.
As part of the function of the Chief Lending Officer (male or female) there will be education of the public sector and overall ACCESS to the process. ACCESS involves educating those using the bank as to the process. If local governments can't understand the process and the development of their hopes and plans there will be a barrier to the funding. A Chief Lending Officer has to be sure those most interested in the services of the bank have access, all inclusive access. Not just sufficient. Not just gratuitous. But, a complete understanding the process including the successful payment of the loan back to the bank without fault. Having this bank in place means the process of funding is self-contained. It will be like the Federal Credit Unions whom were immune from the 2008 global banking collapse.
(iii) the establishment of guidelines to ensure diversification of lending activities by region, infrastructure project type, and project size.
SEC. 250. SPECIAL INSPECTOR GENERAL FOR AIFA.
(a) In General- During the first 5 operating years of AIFA, the Office of the Inspector General of the Department of the Treasury shall have responsibility for AIFA.
(b) Office of the Special Inspector General- Effective 5 years after the date of enactment of the commencement of the operations of AIFA, there is established the Office of the Special Inspector General for AIFA.
c) Appointment of Inspector General; Removal-
(1) HEAD OF OFFICE- The head of the Office of the Special Inspector General for AIFA shall be the Special Inspector General for AIFA (in this Act referred to as the `Special Inspector General'), who shall be appointed by the President, by and with the advice and consent of the Senate.
(5) RULE OF CONSTRUCTION- For purposes of section 7324 of title 5, United States Code, the Special Inspector General shall not be considered an employee who determines policies to be pursued by the United States in the nationwide administration of Federal law.
(1) An employee described in paragraph (2) of this subsection may engage in political activity otherwise prohibited by subsection (a) if the costs associated with that political activity are not paid for by money derived from the Treasury of the United States.
I am still reading to find out whom has oversight of this capacity.
(3) ADDITIONAL DUTIES- In addition to the duties specified in paragraphs (1) and (2), the Inspector General shall also have the duties and responsibilities of inspectors general under the Inspector General Act of 1978.
The oversight lies in the reports submitted to the Congress if this provision is the law of which this position is developed.
(2) RETENTION OF SERVICES- The Special Inspector General may obtain services as authorized by section 3109 of title 5, United States Code, at daily rates not to exceed the equivalent rate prescribed for grade GS-15 of the General Schedule by section 5332 of such title.
(3) ABILITY TO CONTRACT FOR AUDITS, STUDIES, AND OTHER SERVICES- The Special Inspector General may enter into contracts and other arrangements for audits, studies, analyses, and other services with public agencies and with private persons, and make such payments as may be necessary to carry out the duties of the Special Inspector General.
Request for information should not be at a frequency that adds to the cost of the project. It should be spelled out the extent to which the Inspector General can impose such requests without a Grand Jury indictment. I know the work is important and necessary, but, to what extent will the project have to carry additional personnel to finance federal requests? There has to be a limit. There should be a mechanism that is required by the Board of Directors of every project to provide reporting to the Inspector General for review and if necessary audit and possible prosecution. At what point is 'sufficient' applied to prevent overbearing intrusion. A Governor as a Board of Director would be able to answer that question.
(4) REQUEST FOR INFORMATION-
(A) IN GENERAL- Upon request of the Special Inspector General for information or assistance from any department, agency, or other entity of the Federal Government, the head of such entity shall, insofar as is practicable and not in contravention of any existing law, furnish such information or assistance to the Special Inspector General, or an authorized designee.
(B) REFUSAL TO COMPLY- Whenever information or assistance requested by the Special Inspector General is, in the judgment of the Special Inspector General, unreasonably refused or not provided, the Special Inspector General shall report the circumstances to the Secretary of the Treasury, without delay.
Part of what needs in this reporting is a simple statement in regard to the financial solvency of the government entity that is funding the project. Example: The BOTTOM line of assets and liability.
Below is a nice extra layer of oversight. It also provides the Executive Branch with what is transpiring with infrastructure in the USA. I just don't want co-mingling of powers with Congress. I suppose the Congressional Committees have powers that the Executive Branch won't duplicate. Oversight by the Congressional Committees is the usual oversight of these functions, however, I am wondering whether reporting to the President presents an opportunity for oversight different from the Congress and if it would preempt Congress.
This bank has its own General Council. I believe there needs to be very clear and crisp borders to the definitions by the Board of Directors as to the INTEREST of the Federal Government in relation to the bank where the Inspector General reports are an official document that could contain actionable information. There seems to be plenty of safeguards, I am just wondering if there is duplication that may delay action if necessary. Who's on First, What's on Second, etc.
(1) ANNUAL REPORT- Not later than 1 year after the confirmation of the Special Inspector General, and every calendar year thereafter, the Special Inspector General shall submit to the President a report summarizing the activities of the Special Inspector General during the previous 1-year period ending on the date of such report.
(2) PUBLIC DISCLOSURES- Nothing in this subsection shall be construed to authorize the public disclosure of information that is--
There needs to be public disclosures of projects, but, not at this level. This is confidential. The Public Disclosure has to be at the federal, state and local level. The PROJECT itself is what is disclosed and for public comment as it is applied by any applicable law. The application can be publicly disclosed if the law requires it, however, the 'business' between the body seeking funding and the bank is confidential. It really isn't and should not be the business of a Governor to know what the local government is doing with their monies. THAT, unlike Governor Snyder that set up a central website so all the cities anywhere in the state could publish their information to each other. Go figure? I think that website was a ploy for Snyder to look for assets of which he'll covet some way or another to bail out is administration when it falls on its face without improving the economic distress in Michigan. As to the bank there is no reason for anyone to just simply know the business of any project application.
SEC. 251. OTHER PERSONNEL.
Except as otherwise provided in the bylaws of AIFA, the chief executive officer, in consultation with the Board of Directors, shall appoint, remove, and define the duties of such qualified personnel as are necessary to carry out the powers, duties, and purpose of AIFA, other than senior management, who shall be appointed in accordance with section 249.
In a short period of time it will be obvious how intensive the personnel structure needs to be and it is dependent on interest and use.
SEC. 252. COMPLIANCE.
The provision of assistance by the Board of Directors pursuant to this Act shall not be construed as superseding any provision of State law or regulation otherwise applicable to an infrastructure project.
The next section noted below begins on Page 51 and I'll cover that tomorrow.
PART II--TERMS AND LIMITATIONS ON DIRECT LOANS AND LOAN GUARANTEES
SEC. 253. ELIGIBILITY CRITERIA FOR ASSISTANCE FROM AIFA AND TERMS AND LIMITATIONS OF LOANS.