Rounds and Gary Peters introduced the FSOC Improvement Act to enhance transparency and procedural fairness of the SIFI designation process, codify guidance requiring FSOC to determine whether systemic risks could be better addressed through means other than designating a financial institution as a SIFI, and require consultation with the primary regulator and the company on other means to address potential threats to financial stability.
Introduce and support legislation to increase transparency and accountability in the Financial Stability Oversight Council's SIFI designation process by requiring consideration of alternatives and consultation with regulators and affected companies before designation.
Occurrences
Evidence
Congress.gov lists S.3578 as sponsored by Sen. Mike Rounds, introduced on December 18, 2025, referred to Senate Banking, and still at the Introduced stage. The bill would require FSOC to consider alternative approaches before nonbank Federal Reserve supervision and to consult with the company and primary financial regulator.
Rounds's Congress.gov member page includes S.3578, titled Financial Stability Oversight Council Improvement Act of 2025, with Rounds as sponsor, three cosponsors, and the latest action reading twice and referral to Senate Banking on December 18, 2025.
Assessments
Rounds personally sponsored S.3578, the Financial Stability Oversight Council Improvement Act of 2025, introduced on December 18, 2025. The bill directly matches the promise by requiring FSOC to consider alternative approaches and consult with the affected company and primary financial regulator before a nonbank SIFI determination. Because the promise was to introduce and support legislation, not necessarily enact it, introduction satisfies the promised action even though the bill remained only at the introduced/referred stage. The action occurred in a later Senate term.