Sen. Phil Gramm, chairman of the Senate Committee on Banking, Housing and Urban Affairs, has announced that Federal Reserve Chairman Alan Greenspan will appear before the full committee to report on monetary policy at 10 a.m. on Thursday, July 20, in Room 216 of the Senate Hart Building.

Gramm said the scheduling of the hearing was made possible by the achievement of consensus among members of the Senate and House banking committees, as well as the Federal Reserve Board of Governors. The consensus would – for the first time – place in the Federal Reserve Act a formal procedure for the chairman of the Federal Reserve to testify before Congress about the conduct of monetary policy. Under the lapsed reporting provisions of the 1978 Humphrey-Hawkins Act, the Federal Reserve was simply required to "consult" with the Senate and House banking committees.

"I am pleased that we have reached this agreement that will create an important new requirement for the Federal Reserve chairman to come before Congress and report on the conduct of monetary policy," Gramm said. "This requirement will ensure that Congress has the information it needs to exercise its proper oversight of the Federal Reserve."

Note to Reporters: A separate advisory will provide details of plans for the secure release of Greenspan's prepared testimony prior to his appearance before the committee.