GOP Senator Open to Compromise on Trump's Fed Chair Nominee

Tillis suggests Senate Banking Committee could investigate Fed renovation costs instead of Justice Department

Published on Feb. 13, 2026

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Republican Sen. Thom Tillis of North Carolina indicated he could support a compromise that would allow the Senate Banking Committee to hold hearings on President Trump's nominee to chair the Federal Reserve, Kevin Warsh. Tillis had previously said he would block any consideration of Warsh or other Trump nominees to the Fed until the Justice Department dropped a criminal investigation into Fed Chair Jerome Powell over his testimony about a $2.5 billion renovation of two Fed office buildings in Washington, D.C.

Why it matters

The standoff between Tillis and the Trump administration over the Fed nomination and investigation has threatened the Fed's traditional independence from politics. A compromise that shifts the investigation to the Senate Banking Committee could help resolve the impasse and allow the confirmation process to move forward.

The details

Tillis said he heard a "trial balloon" idea from Treasury Secretary Scott Bessent to have the Senate Banking Committee, rather than the Justice Department, investigate the cost overruns on the Fed's office renovation. Tillis reiterated his view that "vindictive prosecution is wrong" and said he had a list of seven GOP senators on the banking committee who did not think Powell committed a crime during his testimony. Tillis supports Trump's nomination of Warsh, calling him a "great nominee".

  • On February 13, 2026, Sen. Thom Tillis suggested he could support a compromise on Trump's Fed chair nominee.

The players

Thom Tillis

Republican senator from North Carolina who has been blocking consideration of Trump's Fed chair nominee.

Kevin Warsh

President Trump's nominee to chair the Federal Reserve.

Jerome Powell

Current chair of the Federal Reserve who is under criminal investigation by the Justice Department over his testimony about a Fed office renovation.

Scott Bessent

U.S. Treasury Secretary who suggested the Senate Banking Committee could investigate the Fed's office renovation costs instead of the Justice Department.

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What they’re saying

“What I heard being floated could be an off-ramp.”

— Thom Tillis, U.S. Senator (Nashville Ledger)

“I will not allow any board member for the Federal Reserve to go through the banking committee, for chair or replacement of expired terms, until this matter is settled.”

— Thom Tillis, U.S. Senator (Nashville Ledger)

“Vindictive prosecution is wrong, period.”

— Thom Tillis, U.S. Senator (Nashville Ledger)

What’s next

The Senate Banking Committee could begin hearings on Trump's Fed chair nominee Kevin Warsh if a compromise is reached to have the committee investigate the Fed's office renovation costs instead of the Justice Department.

The takeaway

The standoff between the Trump administration and Sen. Tillis over the Fed nomination and investigation has threatened the Fed's independence, but a compromise to shift the investigation to the Senate Banking Committee could help resolve the impasse and allow the confirmation process to move forward.