Profiles · Officials · Treasury
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- Pandemic-program role: Principal Deputy Assistant Secretary for Financial Markets at Treasury, the senior Office-of-Financial-Markets seat over the office that ran Treasury's side of the CARES Act Title IV / Exchange Stabilization Fund support for the Federal Reserve's 13(3) emergency facilities, including the Main Street Lending Program SPV that the Boston Fed funded against Treasury's equity.
- Institution · office: Treasury · Office of Domestic Finance, Office of Financial Markets — Principal Deputy Assistant Secretary, Financial Markets · Type: political (non-career SES, per the 2020 Plum Book)
- Tenure (relief-relevant): at Treasury since spring 2017; Principal Deputy Assistant Secretary for Financial Markets since approx. August 2019 through the end of the Trump administration (January 2021)
The job (role mechanics)
- Level / appointment: Principal Deputy Assistant Secretary: a political appointment, non-career SES (the 2020 Plum Book lists the Financial Markets PDAS as a non-career position). A notch senior to a Deputy Assistant Secretary and the principal deputy to the Assistant Secretary, but SES-level, not an Executive Schedule / PAS office. Note: Kranbuhl was separately nominated (received by the Senate Oct. 15, 2019; Finance Committee hearing Feb. 5, 2020) to the Senate-confirmed Assistant Secretary for Financial Markets post (a PAS, Executive Schedule role) vacated by Matthew Rutherford; he served as the Principal Deputy (performing the role) but the PAS confirmation is a distinct matter.
- Reports to: the Assistant Secretary for Financial Markets (the post was vacant/being filled in this period, so the Principal Deputy effectively led the office), and up through the Under Secretary for Domestic Finance and the Secretary. Kranbuhl described himself as a member of the Secretary's senior staff.
- Core responsibility: The Office of Financial Markets covers federal debt management and the financing of the federal government (Treasury's "original purpose"), federal finance, capital markets, public finance, housing finance / GSE policy, and financial-market stability. In Kranbuhl's own testimony the office works with "Treasury's teams from the Offices of Federal Finance, Capital Markets, and Public Finance" and is "responsible for the financing of the Federal Government and the management and issuance of Federal debt."
- Pay: A non-career SES position per the 2020 Plum Book; his pay is not in a first-party document.
- Expectations / mandate: lead the day-to-day operations that keep the federal government financed at lowest cost to the taxpayer; advise on capital-markets, housing-finance/GSE, and financial-stability policy; in 2020 this expanded to standing up and overseeing Treasury's participation in the emergency lending facilities.
- Tenure norm: Serves at the pleasure of the administration; political appointees of this type leave at a change of administration.
Who they are
Michael Kipp Kranbuhl, known professionally as Kipp Kranbuhl, is a career financial-markets and private-equity professional who spent roughly two decades in investment banking and private-equity/credit investing before joining Treasury in 2017.
Education
- A.B. in political science and economics, Duke University (per his SIFMA bio and Senator Portman's introduction at the nomination hearing).
- M.B.A., University of Michigan (per his SIFMA bio and Senator Portman's introduction at the nomination hearing).
Career before
- ~22 years in the financial markets and securities industry prior to / spanning his Treasury service (his own testimony: "For the past 22 years I have worked in the financial markets and securities industry").
- Early career in investment banking at Wheat First Butcher Singer / First Union Securities (per his SIFMA biography).
- Private equity and credit investing at Gladstone (Gladstone Management / Gladstone Investment Corporation) and Petra Capital Partners, leading control-equity and debt investments in leveraged buyouts of small-to-mid-sized industrial, manufacturing, and services businesses, and serving on portfolio-company boards (per SIFMA and secondary bios).
Role in the pandemic relief programs
- Office of Financial Markets and the CARES Act Title IV / ESF facilities. Kranbuhl led the Office of Financial Markets within Domestic Finance during 2020. That office handled Treasury's side of the CARES Act Title IV support for the Federal Reserve's Section 13(3) emergency lending facilities, funded through the Exchange Stabilization Fund (ESF). Title IV appropriated up to $500 billion through the ESF to backstop the Fed's facilities (corporate-credit, municipal, ABS/TALF, and Main Street). This is the Treasury policy-and-operations home for the relief programs' capital-markets/lending-facility leg (as distinct from the SBA-run PPP/EIDL grant-and-loan programs).
- Main Street Lending Program (MSLP) SPV equity. Under the MSLP, the Federal Reserve Bank of Boston lent to the Main Street SPV (MS Facilities LLC) against a Treasury equity investment made from the ESF; the SPV's wind-down has since returned Treasury equity (for example, $2.5 billion on May 17, 2024, per the Boston Fed's program page). The Office of Financial Markets was Treasury's responsible office for this equity/facility relationship.
- Housing finance / GSEs. Separately (and before the pandemic year), Kranbuhl was involved in Treasury's September 2019 housing-finance reform plan for Fannie Mae and Freddie Mac, as discussed in his nomination-hearing Q&A.
Documents written or signed
No relief-era public document we have is authored or signed by Kranbuhl individually; the Treasury–Fed facility agreements and the MS Facilities LLC documents are executed at the office or Secretary level.
Career after / where they are now
- Kranbuhl left Treasury at the January 2021 change of administration. His Assistant Secretary nomination, reported favorably by the Finance Committee on March 11, 2020, was never voted on by the full Senate and was returned to the President on January 3, 2021.
- He subsequently moved to Citi, where he is Global Head of Regulatory Strategy and Policy (per his SIFMA bio).
Sources held in this archive
Original source documents and archived captures
- ProPublica, Trump Town staffer record — Michael Kipp Kranbuhl
- Federal Reserve Bank of Boston — Main Street Lending Program facility agreements, vendors, program overview; home of...
- Federal Reserve Bank of Boston — Main Street Lending Program facility agreements, vendors, program overview; home of...
- Federal Reserve Board — Main Street Lending Program
- U.S. Senate Committee on Finance, Nomination Hearing Kipp Kranbuhl to be Assistant Secretary of the Treasury for Fina...
- 2020 GPO Plum Book — "United States Government Policy and Supporting Positions," Department of the Treasury section l...
- OPM, 2021 Executive & Senior Level pay tables — Salary Table No. 2021-ES SES range
- SIFMA — Kipp Kranbuhl bio education, prior firms: Wheat First/First Union, Gladstone, Petra Capital
Related profiles
- Steven T. Mnuchin — the secretary whose CARES-era Treasury he served.
- Justin G. Muzinich — deputy secretary coordinating the department's pandemic financial-markets work.
Sources (first-party)
- 2020 GPO Plum Book — "United States Government Policy and Supporting Positions," Department of the Treasury section (lists the Principal Deputy Assistant Secretary, Financial Markets, as a non-career position; basis for the Kranbuhl listing): Gpo Plumbook 2020 8 23 Pdf 5cf23443cf109f5a (original: govinfo.gov · stored capture)
- U.S. Senate Committee on Finance, Nomination Hearing (Kipp Kranbuhl to be Assistant Secretary of the Treasury for Financial Markets), Feb. 5, 2020, S. Hrg. 116-469 — title, Treasury start (spring 2017), prior Treasury roles, education, family, office responsibilities (debt management, capital markets, housing finance): U.S. Senate Committee on Finance, Nomination Hearing Kipp Kranbuhl to be Assistant Secretary of the Treasury for Fina... (original: govinfo.gov · stored capture)
- Kranbuhl opening statement (Senate Finance, Feb. 5, 2020): 02052020 Kranbuhl Testimony Dd3baff733e06ca5 (original: finance.senate.gov · stored capture)
- Federal Reserve Bank of Boston — Main Street Lending Program (facility agreements, vendors, program overview; home of the MSLP SPV equity / facility relationship and wind-down correspondence): Federal Reserve Bank of Boston — Main Street Lending Program facility agreements, vendors, program overview; home of... (original: bostonfed.org · stored capture) and Boston Fed, Main Street Lending Program page (original: bostonfed.org · stored capture)
- Federal Reserve Board — Main Street Lending Program: Federal Reserve Board — Main Street Lending Program (original: federalreserve.gov · stored capture)
- Congressional Research Service, "Treasury and Federal Reserve Financial Assistance in Title IV of the CARES Act (P.L. 116-136)," R46329 (Title IV / ESF backstop of 13(3) facilities): Congressional Research Service, "Treasury and Federal Reserve Financial Assistance in Title IV of the CARES Act P.L.... (original: congress.gov · stored capture)
- ProPublica, Trump Town staffer record — Michael Kipp Kranbuhl: ProPublica, Trump Town staffer record — Michael Kipp Kranbuhl (original: projects.propublica.org · stored capture)
- SIFMA — Kipp Kranbuhl bio (education, prior firms: Wheat First/First Union, Gladstone, Petra Capital): SIFMA — Kipp Kranbuhl bio education, prior firms: Wheat First/First Union, Gladstone, Petra Capital (original: sifma.org · stored capture)