supervision is key to our work. working with our juvenile stakeholders is essential to serve to the minors and provide victims with a voice and an opportunity for restoration and restitution in enhancing public safety. juvenile hall, we have an obligation to operate the facility, providing temporarily care of young people, facilitating their access to medical, mental health and dental care, and making sure their educational and recreation and enrichment needs are met. law cabin ranch is our long term rehabilitation facility. this facility focuses on providing educational and clinical services to young people as well as social rehabilitation, delivering vocational skills and making sure there's after care and services available. some of the major department initiatives that i'll talk about this afternoon, really focused a lot on building capacity for the department to function effectively and to serve the needs of the community. as we indicated in our prior year budget, we were fortunate to receive a second chance ac

more effective reentry into the community and ultimately better out comes for our clients under supervision. and chief still plans to come before this board in the near future to address additional issues related to electronic monitoring but specific to the adult claim population that we supervise. again, the adult probation department fully supports this ordinance, as currently proposed by the sheriff's department. thank you. >> thank you very much. >> and i mean, i have a great deal of respect for the chief and i think that she has been amazing in sort of being a neutral arbitro, in the criminal justice system here in san francisco. and the one question that i want to make sure that i get, you know, your department's perspective on is this issue, of it and you feel comfortable with that. >> we are in the business of risk assessment and risk management. and whether you work for the sheriff's department, or with the probation department. what we find is that the majority of the clients are high risk and what we are also able to find is if we are able to match services with this individual,

finally, a regulatory umbrella wide enough to cover previous gaps in the regulation and supervision of systemically important firms and markets can help prevent risks from migrating to areas where they are difficult to detect or address. in the united states, considerable progress has been made on each of these fronts. changes in bank capital regulations, which will include a surcharge for systemically important institutions, have significantly increased requirements for loss-absorbing capital at the largest banking firms. the federal reserves stress tests and comprehensive capital analysis and review process require that large financial institutions maintain sufficient capital to weather severe shocks, and that they demonstrate that their internal capital planning processes are effective, while providing perspective on the loss-absorbing capacity across a large swath of the financial system. the basel iii framework also includes liquidity requirements designed to mitigate excessive reliance by global banks on short-term wholesale funding. oversight of the u.s. shadow banking system al

they will be a good candidate for em to be able to be in the community, be supervised, be accountable and the concerns you have about future criminal behavior is going to be reduced. they'll be accountable to the court and sheriff's department and brought back into kus - >> i don't see how why released on em they're going to be more accountable than they were before. they're going to be released on recognizance, but initially it was talked about lowering our jail population. i understand that's a priority. again, given where we are as a city, what we experience -- the roster's full, so i'm going to stop with the time here, but as we hear from our residents and see in our neighborhoods, property theft up tick all the time, our da have grave concerns here, i'm struggling with this overall program, i'm struggling with all the sudden it popped up on our board calendar, but i certainly wasn't briefed on it and it came as a committee report last week which is generally something that's something that's been fully vetted and so i have grave concerns about it. i will seed my time right now to

tool and they have the compass tool that is validated to guide the decisions about what type of supervision someone should get and who should get electronic monitors and who should be in the programs and you go through the evaluation of the individual and the needs. >> simply the sheriff's department could develop a risk assessment tool or adopt one in existence and we are under going that process of under going our own and we have an obligation for dealing with the pretrial population. >> and, it is not be a... your office allows for the monitoring and you are basically able to allow for the individuals to be in the system, is that true? >> i am not sure that i understand the question. >> let's say now, can, your office offer an individual to be electronically monitored? >> well, in the bail proceedings. >> during the arraignment, the court ultimately makes the decision we make the argument and the defense council makes the argument about what we think is appropriate and you can imagine the scenario where the defense attorney will say this person is safe and he will come back to court and

they are brought into supervision by the fed, and then under title eight results and methodology for fsoc to make recommendations on system activities to that's money fund reforms. this is one area where the fsoc has identified this as a systemic problem and asked the sec to address it. so my view a lot of this is more activity than institution rated the license is if the execution is viewed as a naval to fail without disruption, the best answers to make them downsized until they can be, resolve and the bankruptcy process. i think the fittest and great work to get a lot on the plate already and just move more and more kind of accept their business and system and put them under federal provision under title i. if not that i think a lot of the issues for instance, the research grid quite a brouhaha recently and report identifying some issues that it is as potential for systemic problems with the asset management industry. there was a big overreaction i think to that report, but i do think the issues that identified if they need to be addressed should be through activity regulation and

finally, a regulatory umbrella wide enough to cover previous gaps in the regulation and supervision of systemically important firms and markets can help prevent risks from migrating to areas where they are difficult to detect or address. in the united states, considerable progress has been made on each of these fronts. changes in bank capital regulations, which will include a surcharge for systemically important institutions, have significantly increased requirements for loss-absorbing capital at the largest banking firms. the federal reserve's stress tests and comprehensive capital analysis and review process require that large financial institutions maintain sufficient capital to weather severe shocks, and that they demonstrate that their internal capital planning processes are effective, while providing perspective on the loss-absorbing capacity across a large swath of the financial system. the basel iii framework also includes liquidity requirements designed to mitigate excessive reliance by global banks on short-term wholesale funding. oversight of the u.s. shadow banking system a

no to people being put on em, it's happening anyway, a cottage industry has erupted that is not supervised by the sheriff's department and by state statute, all em for sentence population supervised by the sheriff's department. to allow somebody to be be put on,m even after we've rejected it, and we're trying to reign that practice in. if this detail is, you know, much too much to take in here on the fly, if you'd like to postpone or have it delayed and we're more than happy to give a complete and full briefing. of course we'd be happy to do that. >> i have more questions. i think with all your work you see the crime statistics that president chiu rattled off. i mean, there was a shooting 30 minutes ago at third and oakdale so i am representing a part of a constituency that is on edge when it comes to public safety and we need to look at this from a very broad perspective, so i am not prepared to vote on it, or if we do call the vote today i think that i would be voting no because i just don't have enough information and i'm happy to continue this conversation, sheriff, and i am a little s

prognosis for such fragile infants is far better today than it was about a decade ago, says the unit's supervising doctor ngoc diep pham. >> ( translated ): before 2000, the mortality rate in of the neonatal intensive care unit was 15%. last year it was less than 2%. >> reporter: anti-biotics and have helped as has staff training but a big reason she says is that in recent years they've been able to install reliable new equipment to help babies breathe called continuous

this is the exception to the rule so those people who have proven in custody over the period of supervision time that they don't have behavior problems, their history, violence history is not something that would preclude them from em. understand that all em criteria which indicates who can and cannot get on em is very strict. that's not going to change. that's still going to be held in place. what's going to be added to those restrictions is if a person in the legislation has a certain low level offense, they've proven themselves in custody, that might be something the court will want to look at to reevaluate their decision on bail or em the power is still with the judge. >> my understanding of the system, and this is from some of the my time working in the law enforcement system. when you have low level non violent offenders we have many programs where we do release those individuals without even em. at the end of the day, we have judges who make decisions based on what prosecutors brings to them, as well as the information that a public offender and criminal defense attorney brings to th

we supervise to make sure they're abiding with the requirements. but we're not prohibiting banks from serving the needs of these customers. it's a decision they make, whether or not they want to take these risks. and i know this isn't the only area where these risks come up. >> forgive me, because time is running short. i think one of the way is for some developed government like ours to engage with the somali government and help with their central banking system so it meets international standards. i think this will be good money, very well-spent to help them get things in order. every penny that somalian families send them is a penny we won't have to send them in aid. >> the chair would note for the record, he's aware of many accusations for my friend from minnesota, but sounding like a republican is not one of them. now, ms. barta. >> continuing on with the line of questions, my question for you, and thank you again for coming before this committee today, as of july 9th, my understanding is that the bank reserves of the federal reserve are somet

jail. >> narrator: direct supervision is a system where offices are stationed inside housing units 24/7. research shows it to be more effective in reducing violence than in facilities where remote supervision is used. >> you're trying to look like me today, right? >> [ laughs ] >> no. >> i see how it is. >> narrator: at louisville metro, officers frequently visit the housing units, but they are not designed to have an around-the-clock staff presence. >> this is more of an indirect, remote type of inmate supervision, architecture here. but what we can do is we can traverse the jail and get in and out of those housing units and really develop that community-policing model in the jail. >> unlock door, door, door. >> officer. >> narrator: so when a fight breaks out, response times are slower than those in direct-supervision facilities because officers are not already inside the housing units. officers have just broken up a fight between two inmates. to do so, they had to deploy o.c. gas, also known as pepper spray. >> let's go! >> narrator: one of the inmates is william mitchell. he's in

we simply have to expect that when we draw regulatory boundaries and supervise intensely within them that there is the prospect that activities will move outside those boundaries and we won't be able to detect them and if we can we don't have adequate regulatory tools. that will be a huge challenge to which i don't have an answer a. as we think about that. i think it is particularly useful to focus on those that they have the potential to control risks, not only among regulated institutions but also more broadly. that's when reason in the speech i gave i messenger margin requirements that can serve to limit leverage not only within the banking system but more broadly by any institution that would be borrowing short term to take on institutions. this might have more universal effect. i tell you also, we have developed as many as you have, as many central banks have very active monitoring programs to try to be on the look out for what will cause the next crisis. hopefully many, many years in the future. >> we will both be retired by those. >> i certainly hope so. >> what are the new th

and regulated in supervised by experts such as those at the occ and other bank regulators. but to think that we can solve serious financial and systemic problems is i believe a big mistake. the financial crisis of 2,000 teaches us that the banks in the fake holding company isn't the answer and that is one solution to the problem, but it's not. the affiliates got into trouble and the entire banking organization gets into trouble including the bang. as i mentioned, the other financial players don't work either. so where does this leave us? to my mind tha it suggests the following rules. one, the banks ought to be regulated by specialists and we are blessed to have in the organizations like the occ. number two, it suggests we shouldn't rely upon the walls between banking and non- big but will not solve the financial problems by over regulating and squeezing activities out to the unregulated sector. in my view, quite the contrary. number three, to the extent that an activity is risky it should be regulated in the financial system in an evenhanded way. again, i come back to what

that will process and other aspects of our supervision. we are trying to give these firms a feedback on ways in which they can alter their structure in order to enhance their results -- responsibility. >> the 11 -- the living will process for these largest firms. we really can address the issues of complexity over at the fdic. >> senator to me. >> thank you madam chair for joining us yet again. i think you know from our priebus conversations, i have been long of the view that the risks association with this experiment and monetary policy outweigh the meager benefits. so i have disclosed that upfront. better a understand different aspect of this. that is a movement towards normalization, which arguably is underway now. necessarily depends on the projections that the fed makes. we have discussed some of those inflation projections. -- theseerns me is things are very hard to project. the fed doesn't have a great track record of projecting these things. i don't think they anticipated the extent to which a decline in the workforce participation

they should be regulated and supervised and regulated and supervised by expert such at occ and other bank regulators but to think we can solve serious financial and systemic problems by walling banks off is i believe a big mistake. the financial crisis of 2000 itself teaches us walling banks off within bank holding companies is not the answer. that was viewed as, you know, one solution to the problem but it's not. where bank holding company affiliates got into trouble the entire banking organization gets into trouble including the bank. as i mentioned, walling them off from other financial players doesn't work either. so where does this leave us? to my mind it suggests the following rules. one, banks ought to be regulated and supervised by knowledgeable specialists which we're blessed to have in organizations like occ and importantly the occ. two, it suggests we should not rely upon artificial walls between banking and nonbanking. it will not solve our financial problems by overregulating banks and squeezing activities out to the unregulated sector. in my view quite the contrary. and

it will directly supervise the largest 130 banks and then it can call up any of the other 6,000 or so banks if they suspect there is a problem. the whole of the eu that is all 28 member states have the same regulations and rules for the banks supervision from the european agencies but it will make a further detailed handbook of supervision of its own but one suspects is that the european banking authority is also charged with looking at that handbook and the other handbooks that say these are code here and, so we have different things going on whether you are in or outside of the banking union. they have the pre- funded schemes we have attempts to mutual eyes that in the euro zone and that has failed at the moment. it has been concluded that doesn't matter because you have a common level of insurance and a common system of rules and it is all pre- funded. so, the money is there. when i say pre- funded it will be when they finish paying in. we have also created -- we have also created a resolution authority for the euro zone so that all of the resolutions will be done in a uniform way.

, and we are certainly trying to achieve that in the case of the insurance entities that we supervise. but there are constraints on our ability to take, tailor appropriate regulations and the collins constraint, the collins amendment does pose constraints, so i think it would be useful to increase flexibility to allow us greater latitude in tailoring appropriate regulations. >> in light of your recent speech -- how you envision the fed using macro prudential tools instead of monetary policy to maintain financial stability and build resilience in the financial system? >> well, i think most importantly, we have substantially strengthened the capital and liquidity positions of banking firms and financial firms that we supervise more generally. our objective is to make sure that these firms are on solid footing and to the extent that the financial system or the economy are buffeted with shocks, that these firms will be resilient, that they can continue to lend to support the credit needs of our economy, even under adverse circumstances, and i would say our stress tests are a very importan

so the statute repeated and prolonged lack of supervision. little if-ee. >> that's really blur. >> i that's right. >> answer my question, heather. what's the law in pennsylvania? >> the idea is, mike, it is similar in delaware and new jersey the idea judges, prosecutors, supposed to have the common sense to make these decisions, unfortunately what happens probably because of lawyers, there is a fear there. so if the police officer gets a report that a child is unattended, when in a park or walking down the street, there may and fear that if i don't do something, and later on this child is hurt, i'm going to face being fired, litigation, the department being sued. so oftentimes they err on the side of caution. >> okay, this is about the third, fourth case in the last throw weeks. i remember the woman who had to go to work, so she drops her nine year old at public park with cell phone, with bathroom facility there. she went to jail. how -- why the law so different? why are these people going to jail? >> again, these police officers, prosecutors

is in direct control of the entire building and supervises a wide variety of activities of the 400 members of the archives staff. for years, the vital papers and documents were scattered throughout the city of washington in basements and dead files of various buildings. under this haphazard system, no one knew for certain where anything was. finally congress stepped in and in 1934 passed legislation grading the national archives. the archives building became the consolidating force to bring order out of chaos. records shed the dust of their years and are preserved as a precious heritage. our bridal state papers take the first steps from obscurity -- are vital state papers take the first steps from obscurity. science making sure all organic life is destroyed. the documents are carefully removed from the fumigate in tanks, checked as to their condition, and passed on to the next step. experts remove every particle of dust and dirt which long years of neglect have deposited. separating brittle sheets more delicately than human hands. when the archives building was first opened, these men had

. >> we're joined by supervise reed as well. >> good afternoon. >> the defender office is mandated to provide legal reputation to anyone who is arrested in san francisco for a miss demeanor or felony crime and we represent those in the juvenile and the health courts and in san francisco we have now almost ten speciality courts where we provide legal reputations. we served 23 client in the last year and here you see a break down of the clients who we represent, ten percent are non engish speaking and five percent are undocumented. 15 percent are severely mentally ill, just in the criminal system, and as you're aware, supervisor farrell, we've had this discussion and we represent thousands of individuals in the mental health system and most are below the poverty level. as you see here, african americans and latinos are disproportionately represented. we started a region in our office and we're working with the university of pennsylvania law school to exam statistics relating to arrest, bail, plea bargaining and sentence nothing the system and expect we'll be able to have a greater impac

part i want to give you and our department is mult a facetted and we're known for our in custody supervision and management of our jails, but we also have 49 percent -- 51 percent of other duties that helps spell out our role in law enforcement. facilities and equipment services, administration fiscal division, courts did he vision, recruitment and training, security services, felleds and support services and programs division and 49 percent custody. that goes into what makes our department a substantial department, but more than just public safety, it shares the other omission of doing everything we can to try to keep people out of jail. the next slide, our jail population which is historically at the lowest point seen in in this city and the most crowded populated system. as a result of that ongoing result from our custody side and program did he vision in civilian staff side, it contributes some progress in where we're seeing traumatic changes with our jail population and how criminal justice is evolving in san francisco and thanks to our partnership with the criminal justice industry. th

this program will do an even better job than electronic monitoring for continuing to beneficially supervise this population, and so for all of these reasons we ask that the electronic monitoring be allowed that increasingly by, and released on the pretrial inversion. >> thank you. >> next speaker? >> good morning, my name is har rot davis and i am a member of the community and i guess that i am actually just reiterating what jessy stout just said is that in i think that the electronic monitoring is good, in that it does give alternatives to the people being incarcerated with the low level of offenses, and the people who are not a risk to committing more violent crimes, and in the society. but i think that there are other processes in place, and or, and that don't require people to get our economically disadvantaged to help to put out the money because with the electronic monitoring it also is maybe, not as cost effective for the people who are economically disadvantaged. over all i think that there are systems in place that allow these, and the deversion program, also, and i actually had a

they would not be supervised. there was never any suggestion that they would be exempt from the rules and your question i would say to mr. barr that i've lived up to my deal? >> intersected and mr. fine with him i made the deal would affirm that so no i don't think you and i would be talking about your bill. i wouldn't have my motive properly implant in suggesting i was not good am i word when there's absolutely no basis for it. as far as the bill is concerned to me the most important piece and one of the things i now worry about which is risk retention in mortgage lending. i really play the single biggest -- and innovation and it wasn't regulated because it was new. you had regulation of mortgage lending pretty good up to the 80s because most mortgages were made by banks and by regulators. even if we don't have qm, the fdic will still regulate the loans that mr. wilson's bank gives and i'm satisfied with that. there's a general need to be feasible but what happened was thanks to money coming in from outside the b

security of somebody who would be not in custody and required to be part of home detention and supervised. it's a tool that doesn't exist in the pretrial community. >> my understanding is that low level offenders who qualify for retrial diverse are usually allowed to go free and those seem to be the same -- not go free, but are usually fighting outside of the court system, they don't pay a fee for bail, they go through the process of dealing with their particular situation and i'm just -- i don't see the difference between the two populations that are being proposed here. >> well, the population that is put on pretrial is essentially put on there by the courts. the em does not exist so the courts would have an option for em pretrial electronic monitoring that currently does not exist. >> from my perspective we're saying low level, right? so they're all low level. so those two potentially can be put on ankle monitors or not >> we don't supersede the courts. we don't make that decision. the courts make the decision. we're instituting -- >> i understand that, but what i don't understand -- i

so you have to be subjective federal supervision even if your small or not systemically important. i also agree with sheila that there could be regular arbitrage which is unfortunate, right? i do think the solution is to impose the same regulatory regime on non-regulated institutions. there's certain advantages to being in the safety net which gives the banks and other regulated entities a competitive advantage. so it may even out. >> so let's shift gears. each of you have touched on this topic as well. asset bubbles. so over the last 50 years virtually every financial crisis has been associated with asset price bubbles as we all know. how can we distinct between asset bubbles that post systemic risk and those that do not such as the dot com bubble in the year 2000? >> well, you know, it's common to say nobody knows when there's an asset bubble and i don't buy the. i think it's very hard to know when it's going to pop, but i think anybody who didn't think there was a housing bubble prior to the crisis was just, you, my mother saw. she would comment about it. for heaven's sake, let'

. >> although they receive training really operate under no direct supervision. >> reporter: unlike police office hours answer to a chief, constables answer to themselves, that base they're elected officials. >> no elect official in the state of pennsylvania is supervised by anybody. >> reporter: report robert metzger pace of the fraternal order have of constables. he said thursday's incident could have been avoided if the constable where is in uniform much like the way he is here. but that can cost them. all of the tools that a constable uses to do his job are paid for completely by the constable himself from his actual vehicle to his uniform and that is, why you don't see many constableness uniform and don't see many constables driving around in mark cars. >>> everything that you see i have here, i bought. >> reporter: for the d.a. the main concern is still lack of regulation. but constable has been around since pennsylvania, and will take more from the judge just the d.a. to change the way they operate. noel mcclaren, cb136789 "eyewitness news". >>> still to come tonight, taking advanta

how as the role of banks evolved over the last 30 years and has bank supervision and risk management kept pace with this evolution? anyone can have a crack. >> i can't resist. >> go for it. of course. >> first of all, now, by any standard that you can think of including looking back at history for you know multiple millenniums the last 30 years has been pretty damn tough in terms of, you know, the incidents of serious, if not systemic financial shocks both here in the united states and around the world. and if you do, as i have, some comparisons, you look, for example, at the number of serious financial crises that occurred in the 30 years leading up to the panic of 1907, the fact of the matter is, we have had more in the last 30 years than they had in 30 years leading up to the panic of 2007, which by the way, it was that panic that ultimately created the federal reserve. so it's been, it has been a rough go. one of the things that nags at me is the following. did we do such a good job of managing all these crises that we created a false sense of security for market participants and

staff, supervise the youth and be able to do the maintenance programs, monitor the performance as well as the performance of their subcontractors, sort of a variety of factor. is there any particular area -- >> well, i understand what's in the staff report, but i'm just wondering if there's any experience or financial qualifications or anything -- i mean, how would this be monitored? how would that be evaluated? can any organization come up with 10 kids and two supervisors and apply for this contract? >> there is a scoring criteria in front of you, megan? >> i don't unfortunately. >> is it similar to the criteria that was used during the last selection process after the commission weighed in on some of the concerns i've had? >> yes, we definitely have been looking back at that process and trying to make sure that we're addressing those needs. it doesn't tend to go over much of the detail of the scoring criteria because the rfp hasn't been proposed -- hasn't been submitted. perhaps that's something we can share off line after, after the meeting as far as -- not wanting to disclose too m

. >> i'll tell you what, it is -- yeah, got to supervise and supervise in 70-degree water as opposedo 104-degree air. we told everybody it was coming but when you get outside it's still kind of stifling especially away from the water. >> careful of the dolphin in the water. [ laughter ] >> see you, paul. >>> how low can you go? it took some amazing flexibility for a 6-year-old boy from india to set a limbo skating world record wearing roller skates and collapse need a split he glided inches from the ground under 39 suvs and he did it in less than 30 seconds! he says his next goal is to make it underneath 100 cars. >> how does he do that? he must be double jointed. >> doesn't it hurt to do that? i could never do that. >>> sounds like a gem of a deal. you get free jewelry. >> i was just curious. all the ads seem to be too good to be true. >> oh, what you're really getting when you sign up. as a free lunch. but what ,,,,,,,,,,,, that free "jewelry" that's often advertised i >>> they say there's no such thing as a free lunch but what about that free jewelry that's often advertised in loc