Changes in board staff.

The Board of Governors on July 27, 2004, approved the following officer promotions and appointments in the Division of International Finance, effective October 3, 2004.

* Thomas Connors promoted to senior associate director

* Richard Freeman promoted to associate director

* Steven Kamin promoted to associate director

The Board also announced the reassignment of responsibilities for Joseph Gagnon, Michael Leahy, and Nathan Sheets.

Thomas Connors will continue to oversee the Advanced Foreign Economies and Emerging Market Economies sections, as well as the Administrative Office. Mr. Connors joined the Board's staff in 1977 and was named section chief in 1987. He was appointed to the official staff in 1994. From 1982-83, he was on leave as an adviser to the U.S. executive director at the International Monetary Fund. Mr. Connors received his PhD from the University of Michigan.

Richard Freeman will continue to oversee the Financial Markets and International Banking and Finance sections. Mr. Freeman joined the Board in 1977 and was named section chief in 1988. He was appointed to the official staff in 1999. In 1984 Mr. Freeman was on leave as senior staff economist at the Council of Economic Advisers. Before joining the Board's staff, he was on the faculty of Cornell University. Mr. Freeman received his PhD from Stanford University.

Steven Kamin will continue to oversee the Trade and Quantitative Studies and International Financial Transactions sections. He joined the Board in 1987 and was named section chief in 1997. He was appointed to the official staff in 1999. Mr. Kamin was a senior staff economist at the Council for Economic Advisers in 1992. He also visited at the Bank for International Settlements in 1996. Mr. Kamin received his PhD from the Massachusetts Institute of Technology.

Joseph Gagnon, assistant director, will assume oversight responsibilities of the Financial Markets and International Banking and Finance sections. He joined the Board in 1987. Mr. Gagnon joined the U.S. Department of the Treasury in 1997 as an office director. He returned to the Board in 1999 as section chief. He was appointed to the official staff in 2001. In 1990 Mr. Gagnon taught at the University of California, Berkeley. He received his PhD from Stanford University.

Michael Leahy, assistant director, will assume oversight responsibilities of the Advanced Foreign Economies and Emerging Market Economies sections. He joined the Board in 1986 and was named section chief in 1997. He was appointed to the official staff in 2001, after returning from a two-year visit to the Organization for Economic Cooperation and Development. Mr. Leahy received his PhD from the University of Wisconsin.

Nathan Sheets, assistant director, will assume oversight responsibilities of the International Financial Transactions and Trade and Quantitative Studies sections. He joined the Board in 1993 and was named section chief in 1999. Mr. Sheets was appointed to the official staff in 2001. In 1996 he taught at Brigham Young University. Mr. Sheets received his PhD from the Massachusetts Institute of Technology.

The Board of Governors on September 27, 2004, approved the appointment of Deborah J. Danker as special assistant to the Board in the Division of Monetary Affairs and the FOMC Secretariat. Ms. Danker is returning to the Board after eleven years at the World Bank. During her time at the World Bank, she was engaged in its capital market funding activities and in financial policy formulation and risk management. Recently, she served as senior adviser to the managing director and chief financial officer.

Ms. Danker began her career in 1979 at the Federal Reserve Bank of New York, where she worked in both the International Research and Foreign Exchange departments. In 1984 she joined the Board's staff, working in what became the Division of Monetary Affairs and rising to the level of assistant director. During her years with the Board, she was also detailed to the Council of Economic Advisers as a senior staff economist from 1987-88 and to the U.S. Treasury as deputy assistant secretary for Federal Finance from 1992-93. Ms. Danker received an AB from Princeton University and a PhD in economics from Yale University.

Ms. Danker will have general oversight responsibility for the work of the FOMC Secretariat, which includes the preparation of the agenda, minutes, and transcripts for each meeting, and contribute to the policy advice prepared in the Division of Monetary Affairs.

The Management Division has announced a new structure to help meet its responsibilities, which have expanded since September 11, 2001. The changes are intended to fully integrate the diverse functions of the division to improve service to the Board. The division will also emphasize the strategic deployment of information technology to automate, simplify, and improve business processes. The changes will strengthen risk management and address succession-planning issues facing the division as well.

The Board of Governors approved on September 30, 2004, the following officer promotions and appointments in the Management Division.

* Darrell Pauley, associate director, promoted to deputy director, Human Resources and Facilities

* Steve Clark, associate director, promoted to senior associate director, Financial Services

* Christine Fields, assistant director, promoted to associate director and personnel security officer, Employee Services

* Donald Spicer, assistant director, promoted to associate director, Facilities Services

* Billy Sauls, assistant director, promoted to associate director and chief, Security Services

* Marsha Reidhill, transfer from the Division of Reserve Bank Operations, promoted to associate director, Corporate Services

* James Riesz, appointed assistant director, Technology and Compliance

* Charles O'Malley, appointed assistant director, Security Services

Darrell Pauley joined the Board in 1975 as an accountant in the Office of the Controller and was promoted to head the Finance and Accounting section in 1981. Mr. Pauley was appointed to the official staff in 1987 as assistant controller for Finance. From July 1993 to March 1994, he was assigned to the Division of Human Resources Management as part of an officer rotation program. During this time he served in the capacity of assistant director in charge of Human Resources operations.

Steve Clark will be responsible for the Planning and Budgeting and Accounting sections in Financial Services and will continue to serve in his role as the Board's emergency evacuation coordinator. Mr. Clark joined the Board in 1979 as a program and budget analyst in the Office of the Controller and in 1983 was promoted to head the Program Analysis and Budgets section. He was appointed to the official staff in 1987 as assistant controller for budgeting.

Christine Fields will be responsible for Employee Services and will serve as the personnel security officer for the Federal Reserve System. Ms. Fields joined the Board in 1987 and was promoted to manager in 1990 and to assistant director in 2001.

Donald Spicer will have oversight responsibility for Space Planning, Engineering and Facilities, and General Services, which includes the mail, postal, supply, motor transport, and cafeteria operations. Mr. Spicer came to the Board in 1987 as a program analyst in Support Services and was promoted to program manager in 1996, chief in 2001, and assistant director in 2002.

Billy Sauls will have oversight responsibility for the overall security program. Mr. Sauls came to the Management Division in January 2002 as chief of Security. Before coming to the Board, he spent four years as assistant inspector general for the U.S. Postal Service and twenty-two years with the U.S. Secret Service.

Marsha Reidhill will oversee the Corporate Services unit, including Procurement, Fine Arts, Travel, and special projects. Ms. Reidhill recently completed a twelve-month rotational assignment in the Management Division working primarily with the staff director and division director on several special projects. She has been at the Board since November 1992, first in the Division of Banking Supervision and Regulation as manager of the Surveillance section and since November 1996, in the Division of Reserve Bank Operations and Payment Systems as assistant to the director and then as the assistant director for Cash and Fiscal Agency functions.

James Riesz will oversee the Information Systems, Compliance and Records, and the Administrative Systems Automation Project (ASAP) functions. Mr. Riesz joined the Board in 1992. He was manager of ASAP and spent the last twelve months on a rotational assignment in Human Resources.

Charles O'Malley will be responsible for the operational and administrative management of the Security unit. Before joining the Board in 2001, Mr. O'Malley spent more than twenty-seven years with the U.S. Secret Service.