Hudson Valley Banker Michael Gilfeather Tapped for New York Fed Board

MIDDLETOWN, N.Y. – January 28, 2026 – Michael J. Gilfeather, the President and CEO of Orange Bank & Trust Company, has been elected to the prestigious Board of Directors of the Federal Reserve Bank of New York. The appointment places a seasoned regional banker in a key advisory role within the nation's central banking system, a move seen as a significant recognition of both Gilfeather’s leadership and the growing economic influence of the Hudson Valley.

Gilfeather will serve as a Class A Director, a position elected by member banks to represent their interests. His three-year term, running through December 31, 2028, will see him representing financial institutions in the Second Federal Reserve District with capital and surplus between $40 million and $2 billion. This role is designed to ensure that the voices of regional and community banks are integrated into the monetary policy discussions that shape the U.S. economy.

“I am honored to join the Board of Directors of the Federal Reserve Bank of New York,” Gilfeather stated in the official announcement. “As a locally focused, independent bank serving businesses across the Hudson Valley and the greater New York metropolitan region, Orange Bank & Trust brings a unique regional perspective. I look forward to contributing insights from our markets and helping support the New York Fed’s mission to promote a strong and stable financial system.”

A Profile of Growth and Leadership

Gilfeather’s appointment is widely viewed as a direct result of his successful tenure at the helm of Orange Bank & Trust. Since taking on the role of President and CEO, he has orchestrated a period of strategic and substantial growth for the 133-year-old institution. Under his guidance, the bank has expanded its footprint to 16 branches across Orange, Westchester, Rockland, and Bronx counties, growing its team to more than 200 employees.

The bank's financial trajectory mirrors this physical expansion. It has evolved into a regional economic powerhouse with total assets now reaching $2.7 billion. This growth was fueled by a clear strategy focused on commercial lending, business banking, and wealth management, including the successful 2012 acquisition of Hudson Valley Investment Advisors (HVIA) and a public listing on the NASDAQ exchange in August 2021. Recent financial reports from 2025 showed continued strength, with net income rising to $19.2 million in the first half of the year, up from $17.5 million in the same period of 2024, supported by a growing deposit and loan base.

Jonathan Rouis, Board Chair of Orange Bank & Trust Company, lauded the appointment as a validation of Gilfeather's strategic vision. “Michael’s appointment to the New York Fed Board is a tremendous recognition of his leadership, integrity, and deep understanding of regional banking and economic development,” Rouis commented.

A Regional Voice on a National Stage

The Federal Reserve System is intentionally decentralized, with twelve regional banks designed to provide a granular, on-the-ground understanding of the nation’s diverse economic landscapes. Directors like Gilfeather are a critical component of this structure, acting as a conduit between their local communities and the policymakers in Washington, D.C.

As a Class A Director, Gilfeather will participate in overseeing the New York Fed’s management and contribute to the formulation of national monetary policy. His primary responsibilities will include providing economic intelligence gathered from his bank’s operations and its clients—the small and medium-sized businesses that form the backbone of the Hudson Valley and New York metro economy. This firsthand information is a vital input for the Fed’s “Beige Book,” a summary of anecdotal economic conditions, and informs the board’s recommendations on the discount rate.

This role brings the realities of Main Street directly to the attention of an institution often associated with Wall Street. Gilfeather's insights into local credit conditions, hiring trends, and business investment sentiment will provide a crucial layer of qualitative data that complements the broad macroeconomic models used by the Federal Open Market Committee (FOMC), of which the New York Fed President is a permanent voting member.

Governance, Integrity, and Local Impact

While the appointment of a sitting bank CEO to a Fed board is part of the system's design, it operates within a stringent ethical framework. Federal Reserve Bank directors are bound by a strict code of conduct and federal statutes designed to prevent any actual or perceived conflicts of interest. The rules are clear: directors are not involved in matters of banking supervision, specific supervisory decisions, or lending actions.

Furthermore, Class A directors are explicitly prohibited from participating in the appointment of the Reserve Bank’s president and first vice president or in decisions regarding their compensation. These safeguards are in place to ensure the integrity of the board’s functions and maintain public confidence in the impartiality of the Federal Reserve's mission.

For the communities served by Orange Bank & Trust, from the burgeoning tech hubs in Westchester to new commercial developments in the Bronx, Gilfeather's presence on the board is more than symbolic. It ensures that the unique economic challenges and opportunities of their region have a direct line to one of the most powerful financial institutions in the world. His appointment reinforces the vital role that strong, well-managed regional banks play not just as local economic engines, but as essential contributors to the stability and health of the entire national financial system.