President Joe Biden on Friday announced three nominations to the Federal Reserve Board of Governors, including Sarah Bloom Raskin to serve as vice chairwoman for supervision.
No stranger to the Fed, Ms. Raskin was on the Fed board from 2010 to 2014. She was then second in command at the Treasury Department, serving as deputy secretary from 2014 to 2017. She is currently the Colin W. Brown Distinguished Professor of the Practice of Law at Duke University.
Mr. Biden also nominated Lisa Cook, a professor of economics and international relations at Michigan State University, and Philip Jefferson, vice president for academic affairs, dean of faculty and the Paul B. Freeland professor of economics at Davidson College, to serve on the Fed board.
"We are at a moment of historic economic progress alongside unique economic challenges as we work to drive our recovery forward," Mr. Biden said in a statement Friday. "This is a moment that calls for sound, independent leadership from the Board of Governors at the Federal Reserve. That is why I am proud to nominate Sarah Bloom Raskin, Lisa Cook and Philip Jefferson, who will bring a breadth of knowledge, experience and expertise to the board of governors."
The White House did not specify the term length for each of the nominees. The seven-member Fed board now has three vacancies as Richard H. Clarida, the Fed's vice chairman, announced Monday that he would step down Friday amid questions about his trading activity in early 2020. His term would have expired on Jan. 31.
Randal K. Quarles stepped down from the board in December after his four-year term as vice chairman for supervision expired in October. If confirmed, Ms. Raskin would be the second person to serve in the role; the position was created by the Dodd-Frank Wall Street Reform and Consumer Protection Act in 2010.
In recent months, Mr. Biden has also renominated Jerome Powell as Fed chairman and nominated current board member Lael Brainard as vice chairwoman. Both Mr. Powell and Ms. Brainard had confirmation hearings before the Senate Banking Committee this week.
If all Mr. Biden's nominees are confirmed, he will have nominated five of the Fed board's seven members. It's also a crucial time for the Fed as it aims curb decades-high inflation.
Whether the Senate confirms the nominees announced Friday remains to be seen. Sen. Pat Toomey, R-Pa., ranking member of the Senate Banking Committee, criticized Ms. Raskin's nomination in a statement Thursday. "I have serious concerns that she would abuse the Fed's narrow statutory mandates on monetary policy and banking supervision to have the central bank actively engaged in capital allocation," he said. "Such actions not only threaten both the Fed's independence and effectiveness, but would also weaken economic growth."
The nominees will appear before the Senate Banking Committee, but hearings have yet to be scheduled.