How do you mean? I was only clarifying that "the Fed" means the Federal Reserve Bank, when the person I responded to originally mistook it to mean "the Feds," w

How do you mean? I was only clarifying that "the Fed" means the Federal Reserve Bank, when the person I responded to originally mistook it to mean "the Feds," which is a much more ambiguous term, but generally means some federal regulatory body or the political branches of the federal government as a whole. You're obviously correct though that the real motivation for a city owned licensed bank is to move pension liabilities and maybe some other assorted boondoggles from the city's balance sheet to the bank's balance sheet with the intention of strong-arming the Fed into acting as a backstop just as it did for commercial banks during the financial crisis.