Radical Reform of the Fed Needed

In a news article in the WaPo today about Tim Geithner and the New York Fed, which he headed before becoming Treasury Secretary, we find this:

Geithner, 47, adopted the diplomatic approach to supervision that had long held sway at the New York Fed, a hybrid institution that is owned by the banks but implements monetary policy for the Federal Reserve. Like the other regional Feds, it also shares supervisory authority with the central bank. Six of its nine board members are chosen by the commercial banking companies it supervises. The board plays a role in the selection of the New York Fed president.

Surely this points up the need for radical reform of the Fed. How can you expect the Fed to supervise those who own it? I refer you to the reform recommendations in a previous post here.