Sept. 13 (Bloomberg) -- President Barack Obama sent his nomination of Massachusetts Institute of Technology economist Peter Diamond to the Federal Reserve Board back to the Senate after formal consideration of the appointment was rebuffed last month. The original nomination from April failed to carry over through the Senate’s summer recess to September because of objections from at least one lawmaker.
The former teacher of Fed Chairman Ben S. Bernanke rejoins Obama’s two other nominees pending confirmation in the chamber -
- San Francisco Fed President Janet Yellen for vice chairman and Sarah Bloom Raskin for a governor slot. The central bank has been operating with four governors since former Vice Chairman Donald Kohn retired Sept. 1 after a 40-year career.
Senate Banking Committee Chairman Christopher Dodd said earlier today that lawmakers should act quickly to confirm Obama’s nominees to the Fed before adjourning for the Nov. 2 midterm elections.
“It’s very important we get it done in this three-week period if we can,” the Connecticut Democrat said.
Diamond, 70, received the most opposition of the three Fed nominees in banking committee votes in July. The panel voted 16- 7 in favor of Diamond, 17-6 for Yellen and 21-2 for Raskin, Maryland’s commissioner of financial regulation. All of the opposition came from Republican members.
Shelby Questions
Alabama Senator Richard Shelby, the senior Republican on the banking committee, said in July that Diamond, while a “skilled economist,” may not be qualified to make decisions on monetary policy.
Obama also resubmitted the nomination of Donald Berwick as administrator of the Centers for Medicare and Medicaid Services, the agency that administers the health programs for the elderly and low-income Americans.
Obama put Berwick in the job on July 7 using a recess appointment, a procedure that lets the president fill positions without Senate confirmation when Congress isn’t in session. The nomination had been stalled since it was submitted in April because of opposition from some Republicans.
