TD27-07 Organization and Functions of the Office of the Assistant Secretary (Domestic Finance)

TREASURY DIRECTIVE: 27-07

Date: February 26, 1992

Sunset Review: TBD

Expiration Date: TBD

SUBJECT: Organization and Functions of the Office of the Assistant Secretary (Domestic Finance)

1. PURPOSE. This directive describes the organization and functions of the Office of the Assistant Secretary (Domestic Finance).

2. THE ASSISTANT SECRETARY (DOMESTIC FINANCE) reports through the Under Secretary for Finance and the Deputy Secretary to the Secretary. The incumbent is responsible for the following functions.

a. Advises and assists the Secretary and Deputy Secretary of the Treasury and the Under Secretary for Finance on debt management, Federal financing affairs, financing of non-Federal sectors of the economy, and general financial markets policy.

b. Exercises policy direction and control over Treasury's activities that relate to:

(1) the Federal Financing Bank;

(2) the development of legislative and administrative policies and principles for Federal credit programs;

(3) the determination of interest rates for various Federal borrowing, lending, and investment purposes under pertinent statutes;

(4) Treasury's role as prescribed by the Government Securities Act of 1986;

(5) staff work on the substance of proposed legislation relating to the general activities and regulation of private financial intermediaries;

(6) the Secretary's direct responsibilities related to the Oversight Board of the Resolution Trust Corporation, the Office of Thrift Supervision, and the Office of Comptroller of the Currency; and

(7) Treasury activities relating to other Federal regulatory agencies.

c. Manages the Office of Synthetic Fuels Projects.

3. ORGANIZATION STRUCTURE. The Assistant Secretary (Domestic Finance) supervises the Deputy Assistant Secretary (Federal Finance), the Deputy Assistant Secretary (Financial Institutions Policy), the Deputy Assistant Secretary (Corporate Finance), and the Director, Office of Synthetic Fuels Projects.

4. THE DEPUTY ASSISTANT SECRETARY (FEDERAL FINANCE) supervises the following organizations: the Office of Government Financing, the Office of Market Finance, and the Office of Federal Finance Policy Analysis.

a. The Office of Government Financing is responsible for the following functions.

(1) Provides the Assistant Secretary (Domestic Finance) with technical assistance and background briefings on matters related to Government financing.

(2) Provides analyses of Federal credit program principles and standards and legislative and other proposals related to Government borrowing, lending, and investment activities to assure consistency with Treasury policies.

(3) Provides actuarial and mathematical analyses and computations as required for Treasury market financing, the Federal Financing Bank, the U.S. Savings Bonds program, and other Government agencies.

(4) Supports the data collection, processing, computer programming, and automated equipment requirements of this and the other offices under the Assistant Secretary (Domestic Finance).

(5) Develops policy for, and administers the operations of, the Federal Financing Bank.

b. The Office of Market Finance is responsible for the following functions.

(1) Provides the Assistant Secretary (Domestic Finance) with technical assistance and economic analyses on matters related to Treasury debt management policy, marketing of Treasury and Federally-related securities, and regulating the Government securities market.

(2) Analyzes current economic and securities market conditions and maintains data on allotments of Treasury securities in auctions and ownership of Treasury securities.

(3) Monitors the volume of funds raised and supplied in the credit markets and prepares flow-of-funds projections.

(4) Provides financial analysis and other technical assistance to support policy development in the area of Government-related entities, including Government-sponsored enterprises.

(5) Coordinates and approves market borrowing of Federal agencies and Government-sponsored agencies.

(6) Determines interest rates, including pricing of late payments or prepayments, to be used in Federal borrowing and lending programs.

c. The Office of Federal Finance Policy Analysis provides the Assistant Secretary (Domestic Finance) with analyses, evaluation, and technical assistance with respect to economic and financial developments, problems, and proposals in the areas of Treasury financing, public debt management, and related economic matters which include:

(1) regulatory issues involving the Government securities markets, futures markets, and related markets;

(2) alternative financing techniques;

(3) clearing and settlement issues;

(4) proposed changes in tax provisions that may affect the market for Treasury securities; and

(5) foreign investment in Treasury securities.

5. THE DEPUTY ASSISTANT SECRETARY (FINANCIAL INSTITUTIONS POLICY) supervises the Office of Financial Institutions Policy and the Office of Thrift Institutions Oversight and Policy.

a. The Office of Financial Institutions Policy is responsible for the following functions.

(1) Coordinates the Department's legislative efforts with regard to financial institutions, other than thrift institutions, and legislation affecting the agencies of the Federal Government that regulate financial institutions, other than thrift institutions.

(2) Reviews regulations, testimony, policy statements, and other issuances of the Office of the Comptroller of the Currency prior to their release.

(3) Provides staff support to carry out the Department's responsibilities regarding the Securities Investor Protection Corporation, Farm Credit Assistance Board, and the Pension Benefit Guarantee Corporation.

(4) Coordinates the Department's legislative and other efforts with regard to securities markets legislation and corporate financial activities.

b. The Office of Thrift Institutions Oversight and Policy is responsible for the following functions.

(1) Provides the Assistant Secretary (Domestic Finance) with assistance related to legislative initiatives regarding the thrift industry.

(2) Provides support to the Secretary in the role as Chairman of the Oversight Board for the Resolution Trust Corporation.

(3) Reviews regulations, testimony, policy statements, and other issuances of the Office of Thrift Supervision prior to their release.

(4) Manages special projects, such as congressionally mandated, interagency and Treasury studies related to thrift and other financial institutions.

6. THE DEPUTY ASSISTANT SECRETARY (CORPORATE FINANCE) supervises the Office of Corporate Finance, which is responsible for the following functions.

a. Coordinates the Department of the Treasury's legislative efforts with regard to corporate financial and economic activities, and securities and capital markets issues. Manages and coordinates interagency review of the insurance industry.

b. Monitors trends in the international market which impact the ability of U.S. business, financial institutions, and capital markets to compete effectively in the global economy, including:

(1) coordinating the Department of the Treasury's response on legislation in these areas; and

(2) providing the Assistant Secretary (Domestic Finance) with analyses and evaluations in the development of Department of the Treasury initiatives.

7. THE OFFICE OF SYNTHETIC FUELS PROJECTS is responsible for the functions described in Treasury Directive (TD) 11-01, "Office of Synthetic Fuels Projects," dated August 6, 1986.

8. COORDINATION OF LEGISLATIVE AND REGULATORY MATTERS.

a. Nothing in this directive shall be interpreted to apply to the conduct of the congressional relations program as described in Treasury Directive (TD) 27-09.

b. The legislative and regulatory functions assigned in this directive shall be subject to the requirements of TD 28-01 and TD 28-02.

9. CANCELLATION. Treasury Directive 27-07, "Organization and Functions of the Office of the Assistant Secretary (Domestic Finance)," dated October 31, 1989, is superseded.

10. REFERENCES.

a. TD 11-01, "Office of Synthetic Fuels Projects."

b. TD 13-01, "Delegation of Authority to Assistant Secretary (Domestic Finance) to Implement the Government Securities Act of 1986."

c. TD 27-09, "Organization and Functions of the Office of the Assistant Secretary (Legislative Affairs)."

d. TD 28-01, "Preparation and Review of Regulations."

e. TD 28-02, "Legislative Procedures."

11. OFFICE OF PRIMARY INTEREST. Office of the Assistant Secretary (Domestic Finance).

Jerome H. Powell

Assistant Secretary (Domestic Finance)

Attachment

Attachment: Office of Domestic Finance - Organization Chart (2/26/92)