The Federal Reserve Bank of Boston announced on Oct. 2 that First Vice President and Chief Operating Officer Kenneth C. Montgomery plans to retire in spring 2024 after 40 years of service to the Federal Reserve System.
In keeping with U.S. law and the Bank’s bylaws, the Boston Fed’s Board of Directors has formed a search committee consisting of directors who are not members of the banking industry. The committee is conducting a nationwide search with support from the executive search firm Bridge Partners to identify a broad and diverse pool of highly qualified candidates.
After interviewing candidates, the Bank’s Class B and C directors will appoint the new first vice president, subject to approval by the Board of Governors of the Federal Reserve System.
Corey E. Thomas, chairman and CEO of Rapid7 and chair of the Bank’s Board of Directors, will also chair the search committee, which includes Roger Crandall, Lizanne Kindler, Kimberly Sherman Stamler, Lauren A. Smith, and Susan M. Collins.
The current version of the First Vice President job description is available in the attached document.
Frequently Asked Questions
What is the role of a Federal Reserve Bank first vice president?
The first vice president and chief operating officer works closely with the president and chief executive officer to establish strategic direction for the Bank and ensure coordination with other Reserve Banks and Federal Reserve System-wide efforts. He or she is charged with overseeing the operations and activities of many functional areas of the Bank and other national responsibilities on behalf of the Federal Reserve System. The first vice president works directly with the Board of Directors, as well as business, civic, community, and other public constituencies. In the absence of the Bank's president, the first vice president serves as chief executive officer.
What is the term length of a Federal Reserve Bank first vice president?
The first vice president of a Federal Reserve Bank is appointed for a term of five years. The terms of all 12 Reserve Bank presidents and first vice presidents run concurrently, ending on the last day of February of years numbered 6 and 1 (for example, 2021 and 2026). Presidents and first vice presidents who take office in intervening years are initially appointed for the remainder of the current term.
How is the Federal Reserve first vice president selected?
The process for selecting a Federal Reserve Bank first vice president is set forth in Section 4 of the Federal Reserve Act. The first vice president is appointed by the Reserve Bank's Class B and C directors (those directors who are not affiliated with a supervised entity), subject to the approval of the Federal Reserve Board of Governors.
To conduct the search, the Reserve Bank's Board of Directors forms a search committee, which hires a search firm to help identify a broad, diverse, highly qualified candidate pool. The committee will make its selection from a large, nationwide pool of candidates, from both within and outside the Federal Reserve System, who meet the position's qualifications.
What financial restrictions are potential candidates subject to?
The search committee will ensure that potential candidates are informed, prior to being interviewed, of restrictions concerning financial holdings, compensation, outside activities, and other matters that may influence their interest in the position. The Boston Fed's Code of Conduct outlines its principles and standards for employee conduct, including rules for avoiding actual and apparent conflicts of interest. The Federal Reserve System is committed to upholding the highest ethical principles to strengthen public confidence in the impartiality of its decision-making processes.
What kind of work experience is the Boston Fed's search committee looking for in the ideal candidate?
As described in the position description: The search committee seeks candidates who have extensive experience in leading and managing large teams and budgets in a complex matrix organization; the attributes, skills, and vision to assist the Bank in executing and enhancing the Bank's role as an innovative thought leader, policymaker, payments services provider, and community leader; and demonstrated people management, collaboration, and communication skills, among other attributes.
What is the timeline for selecting the Boston Fed's next first vice president?
There is no predetermined timeline. The search committee plans to choose the right person from a deep pool of candidates with diverse experiences and backgrounds.
Mission and Values
At the Boston Fed, our mission is to promote a strong, resilient, and inclusive economy and financial system for New England. We strive to do the right things in the right ways and take appropriate risks to achieve our goals.
Here’s what we value:
We always put the public interest first, and partnering with our Bank colleagues, do the right things in the right
We make leadership contributions that advance the Federal Reserve’s mission and significantly impact the System and our communities. We value leadership skills and behaviors across the organization.
Diversity, Equity, and Inclusion
We strive to create a culture of equity and inclusion that values and maximizes the benefits of our diversity of background and perspectives. We believe this encourages the best contributions from all employees and improves our effectiveness.
We invite different perspectives, embrace change, explore and experiment with new ideas, and continually pursue creative ways to accomplish our goals.