Federal Reserve Independence Challenged Again: Selection of Atlanta Fed President Stalls, White House Seeks Opportunity to Intervene

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The search for a new president of the Federal Reserve Bank of Atlanta has stretched for seven months. The selection process was forced to restart after failing to reach consensus on the initial round of candidates. Meanwhile, White House advisers, who do not have formal authority to intervene, are attempting to influence the appointment, rekindling concerns about the Fed’s political independence.

Nick Timiraos of the “New Fed News Service” reports that the Atlanta Fed completed interviews with its first batch of final-round candidates in April, with an original plan to announce the result in May. The process, however, never advanced to the review of the Board of Governors in Washington, stalling the search.

At the same time, some White House advisers have begun exploring whether they might influence the Fed’s internal staffing, seeking to install a candidate more aligned with Trump administration policies—the Atlanta Fed president will have a rotating vote on the Federal Open Market Committee (FOMC) interest rate decisions next year.

This deadlock comes amid persistent pressure on the Fed’s independence. Trump has repeatedly sought to pressure Fed officials, including attempts to fire Governor Lisa Cook, though none have yet succeeded. The delay in the selection process also means newly-installed Fed Chair Walsh, who took office on May 22, will have a say in this appointment.

Process Stalled, Restart Now in Seventh Month

The Atlanta Fed's selection process typically involves two steps: the six directors of the regional Fed choose a candidate and then submit that choice for approval by the Washington Board of Governors. The two bodies traditionally coordinate, with the region recommending a candidate acceptable to the board.

The initial finalists included Rebecca Patterson, a former executive at hedge fund giant Bridgewater Associates and a graduate of the University of Florida, whose management experience and regional background fit the search committee’s standards—she was a preferred choice among the regional directors.

However, she never advanced to the next stage of interviews with the Board of Governors, and the reasons for the delay and her current status remain unconfirmed.

Another finalist, Marc Sumerlin, is an economic advisor and former adviser to the George W. Bush administration. Last year, he interviewed with Treasury Secretary Bensent for the Fed chair position, and the Trump administration considered nominating him to the Fed board in 2019. Still, the Atlanta Fed ultimately did not advance his candidacy, and he is no longer under consideration.

Gregory Haile, chairman of the Atlanta Fed board and head of the search committee, stated that the committee is conducting a "comprehensive and prudent search," focusing on "selecting the best candidate for the Sixth District while safeguarding the integrity of the process."

White House Advisers Seek to Promote Pro-Administration Candidates

Although the White House has no official role in regional Federal Reserve president appointments, the deadlock has given some presidential advisers an opening.

One of the candidates discussed among these advisers is Michael Faulkender, who was forced to leave a senior Treasury post last year. Currently, Faulkender’s progress in the Atlanta Fed selection process lags behind other candidates.

In Washington, formal oversight for the process comes from Fed Governor Christopher Waller, who has chaired the Board’s Committee on Regional Banks since 2022.

Waller has recently pressured regional Feds to cede more operational autonomy, but regional banks have resisted his efforts to centralize back-office functions. This administrative tension is intertwined with deeper issues over regional Fed leadership selection.

Behind Bostic's Departure: Ethics Issues Cast a Long Shadow

The immediate trigger for this selection crisis was the resignation in February of former Atlanta Fed president Raphael Bostic. Bostic, who led the Atlanta Fed from 2017 to early 2025, publicly disclosed in 2022 unintentional violations of Fed investment management rules.

A 2024 investigation by the Fed’s inspector general found no evidence he used inside information in his investments, but noted that his actions created the appearance of possible trading on confidential information, raising concerns about his impartiality.

What really worried the Fed Board last year was not these disclosures per se, but the political risks they carried.

At the time, multiple trading and ethics controversies had already led to the resignation of several Fed officials. If Bostic had been reappointed, the disclosures could have provided an excuse for the Trump administration to pressure or attempt to fire him in the future—a step that has never happened to a sitting regional Fed president. To some, it appeared safest to avoid this risk entirely by not extending his term from the start.

President Trump has continually looked for opportunities to remove Fed officials, such as attempts to fire Governor Lisa Cook, though he has so far failed.

Last year, Bostic stated his retirement was entirely a personal choice. In December, he told reporters his approaching end of term gave him "an opportunity for serious reflection," allowing him to reconsider "the natural transition points in life." He said:

"This is my decision, and it is an independent decision made by myself."

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