J. French Hill
Representative for Arkansas · Republican · United States
“``(2) Selection of economic indicators.--Not later than 3 months after the date of enactment of this section, the Board of Governors shall-- ``(A) complete a study on the advantages and disadvantages of the use of either nominal United States gross domestic product (as published by the Department of Commerce) or the Consumer Price Index (…”
“``(2) Selection of economic indicators.--Not later than 3 months after the date of enactment of this section, the Board of Governors shall-- ``(A) complete a study on the advantages and disadvantages of the use of either nominal United States gross domestic product (as published by the Department of Commerce) or the Consumer Price Index (…”
“(B) Selection of economic indicators.--Not later than 3 months after the date of enactment of this Act, the Board of Governors of the Federal Reserve System shall-- (i) complete a study on the advantages and disadvantages of the use of either nominal United States gross domestic product (as published by the Department of Commerce) or the…”
“(B) Selection of economic indicators.--Not later than 3 months after the date of enactment of this Act, the Board of Governors of the Federal Reserve System shall-- (i) complete a study on the advantages and disadvantages of the use of either nominal United States gross domestic product (as published by the Department of Commerce) or the…”
“(2) Guidance.--The term ``guidance'' means a financial agency statement of general applicability, intended to have a future effect on the behavior of regulated parties, that sets forth a policy on a statutory, regulatory, or technical issue, or an interpretation of a statute or regulation, but does not include-- (A) a rule promulgated pur…”
“(2) Guidance.--The term ``guidance'' means a financial agency statement of general applicability, intended to have a future effect on the behavior of regulated parties, that sets forth a policy on a statutory, regulatory, or technical issue, or an interpretation of a statute or regulation, but does not include-- (A) a rule promulgated pur…”
The complete record
Every one of 768 lines we hold for J. French Hill, in date order, each linked to its source. Free to read, in full, without an account. Page 8 of 16.
“1823(c)(4)) is amended-- (1) in subparagraph (A)(ii), by inserting ``except as provided in subparagraph (I),'' before ``the total amount''; (2) in subparagraph (E)(i), by inserting ``and except as provided in subparagraph (I),'' after ``appropriate,''; and (3) by adding at the end the following: ``(I) Least cost resolution exception.-- ``(i) In general.--With respect to an exercise of authority by the Corporation described in subparagraph (A), the Corporation may, at the discretion of the Corporation, select an alternative method of exercising such authority that is not the least costly to the Deposit Insurance Fund, if-- ``(I) the Corporation determines that the selected alternative complies with the requirements of clause (iii); and ``(II) the Corporation and the Board of Governors of the Federal Reserve System, after consultation with the Secretary of the Treasury, determine that the potential additional risks to the Deposit Insurance Fund of the selected alternative are outweighed by the reasonably expected benefits of limiting further concentration of the United States banking system in global systemically important banking organizations.”
“``(B) Failure to make a determination.--If the responsible agency does not grant or deny an application within the time period described under subparagraph (A), such application shall be deemed to have been granted. ``(C) Tolling of period.--The responsible agency may at any time extend the deadline described under subparagraph (A) at the request of the applicant, but may not extend the deadline more than 30 days past the deadline described under subparagraph (A).''. TITLE VII--STRENGTHENING TRANSPARENCY AND INVOLVEMENT IN BANK RESOLUTIONS SEC. 701. LEAST COST EXCEPTION. (a) In General.--Section 13(c)(4) of the Federal Deposit Insurance Act (12 U.S.C.”
“``(D) Treatment of third-party information.--In determining whether the record on an application is complete, the responsible agency may take into account only information provided by the applicant, and may not base the determination of completeness on any information (including reports, views, or recommendations) provided by third parties. ``(15) Deadline for Determination.-- ``(A) In general.--Notwithstanding any other provision of this subsection, the responsible agency shall grant or deny a merger application submitted under this subsection not later than 120 days after the date on which the application was initially submitted to the responsible agency, regardless of whether the record on such initial application was complete.”
“``(C) Receipt of response; deeming of complete record.-- Upon receipt of a response from an applicant to a notice requesting additional information described under subparagraph (A)(ii), the record on the application shall be deemed complete unless the responsible agency-- ``(i) determines that the applicant's response was materially deficient; and ``(ii) not later than 30 days after the date on which the responsible agency received the response, provides the applicant a detailed notice describing the deficiencies.”
“1828(c)) is amended by adding at the end the following: ``(14) Complete Record on an Application.-- ``(A) Notice to applicant.--Not later than 30 days after the date on which the responsible agency receives a merger application for approval under this subsection, the responsible agency shall transmit to the applicant a letter that either-- ``(i) confirms the record on the application is complete; or ``(ii) details all additional information that is required for the record on that application to be complete. ``(B) Extension of notice.--Notwithstanding subparagraph (A), the responsible agency may, if an application is complex, extend the 30-day period described under subparagraph (A) for a period not to exceed 60 days.”
“``(B) Failure to make a determination.--If the Board does not grant or deny an application within the time period described under subparagraph (A), such application shall be deemed to have been granted. ``(C) Tolling of period.--The Board may at any time extend the deadline described under subparagraph (A) at the request of the applicant, but may not extend the deadline more than 30 days past the deadline described under subparagraph (A).''. (c) Insured Depository Institutions.--Section 18(c) of the Federal Deposit Insurance Act (12 U.S.C.”
“``(D) Treatment of third-party information.--In determining whether the record on an application is complete, the Board may take into account only information provided by the applicant, and may not base the determination of completeness on any information (including reports, views, or recommendations) provided by third parties. ``(8) Deadline for determination.-- ``(A) In general.--Notwithstanding any other provision of this subsection, the Board shall grant or deny an application submitted under this subsection not later than 120 days after the date on which the application was initially submitted to the Board, regardless of whether the record on such initial application was complete.”
“``(B) Extension of notice.--Notwithstanding subparagraph (A), the Board may, if an application is complex, extend the 30-day period described under subparagraph (A) for a period not to exceed 60 days. ``(C) Receipt of response; deeming of complete record.-- Upon receipt of a response from an applicant to a notice requesting additional information described under subparagraph (A)(ii), the record on the application shall be deemed complete unless the Board-- ``(i) determines that the applicant's response was materially deficient; and ``(ii) not later than 30 days after the date on which the Board received the response, provides the applicant a detailed notice describing the deficiencies.”
“1467a(e)) is amended-- (1) in paragraph (2), by striking ``, and shall render a decision within 90 days after submission to the Board of the complete record on the application''; (2) by redesignating paragraph (7) as paragraph (9); and (3) by inserting after paragraph (6) the following: ``(7) Complete record on an application.-- ``(A) Notice to applicant.--Not later than 30 days after the date on which the Board receives an application for approval under this subsection, the Board shall transmit to the applicant a letter that either-- ``(i) confirms the record on the application is complete; or ``(ii) details all additional information that is required for the record on that application to be complete.”
“``(ii) Failure to make a determination.--If the Board does not grant or deny an application within the time period described under clause (i), such application shall be deemed to have been granted. ``(iii) Tolling of period.--The Board may at any time extend the deadline described under clause (i) at the request of the applicant, but may not extend the deadline more than 30 days past the deadline described under clause (i).''. (b) Savings and Loan Holding Companies.--Section 10(e) of the Home Owners' Loan Act (12 U.S.C.”
“``(iv) Treatment of third-party information.--In determining whether the record on an application is complete, the Board may take into account only information provided by the applicant, and may not base the determination of completeness on any information (including reports, views, or recommendations) provided by third parties. ``(C) Deadline for determination.-- ``(i) In general.--Notwithstanding subparagraphs (A) and (B), the Board shall grant or deny an application submitted under this section not later than 120 days after the date on which the application was initially submitted to the Board, regardless of whether the record on such initial application was complete.”
“``(ii) Extension of notice.--Notwithstanding clause (i), the Board may, if an application is complex, extend the 30- day period described under clause (i) for an additional period not to exceed 60 days. ``(iii) Receipt of response; deeming of complete record.-- Upon receipt of a response from an applicant to a notice requesting additional information described under clause (i)(II), the record on the application shall be deemed complete unless the Board-- ``(I) determines that the applicant's response was materially deficient; and ``(II) not later than 30 days after the date on which the Board received the response, provides the applicant a detailed notice describing the deficiencies.”
“1842(b)(1)) is amended-- [[Page H4719]] (1) by striking ``Upon receiving'' and inserting the following: ``(A) In general.--Upon receiving''; (2) by striking ``required'' and inserting ``acquired''; (3) by striking ``In the event of the failure of the Board to act on any application for approval under this section within the ninety-one-day period which begins on the date of submission to the Board of the complete record on that application, the application shall be deemed to have been granted.''; and (4) by adding at the end the following: ``(B) Complete record on an application.-- ``(i) Notice to applicant.--Not later than 30 days after the date on which the Board receives an application for approval under this section, the Board shall transmit to the applicant a letter that either-- ``(I) confirms the record on the application is complete; or ``(II) details all additional information that is required for the record on that application to be complete.”
“(4) Insured depository institution merger application.--The term ``insured depository institution merger application'' means an application with respect to the acquisition of an insured depository institution, its equity interests, its assets, or its deposits under-- (A) section 10(e) of the Home Owners' Loan Act (12 U.S.C. 1467a(e)); (B) section 205(b) of the Federal Credit Union Act (12 U.S.C. 1785(b)); (C) section 7(j) of the Federal Deposit Insurance Act (12 U.S.C. 1817(j)); (D) section 18(c)(2) of the Federal Deposit Insurance Act (12 U.S.C. 1828(c)(2)); (E) section 3 of the Bank Holding Company Act of 1956 (12 U.S.C. 1842); and (F) section 4 of the Bank Holding Company Act of 1956 (12 U.S.C. 1843). SEC. 604. BANK FAILURE PREVENTION. (a) Bank Holding Companies.--Section 3(b)(1) of the Bank Holding Company Act of 1956 (12 U.S.C.”
“(2) Federal depository institution regulatory agency.--The term ``Federal depository institution regulatory agency'' means the Board of Governors of the Federal Reserve System, the Comptroller of the Currency, the Federal Deposit Insurance Corporation, and the National Credit Union Administration. (3) Insured depository institution.--The term ``insured depository institution''-- (A) has the meaning given that term in section 3 of the Federal Deposit Insurance Act (12 U.S.C. 1813); and (B) means an insured credit union, as defined in section 101 of the Federal Credit Union Act (12 U.S.C. 1752).”
“(c) Agency Response.--In response to each report issued under subsection (a), the appropriate Federal depository institution regulatory agency shall submit to the Committee on Financial Services of the House of Representatives and the Committee on Banking, Housing, and Urban Affairs of the Senate and publish online a written response, including a plan to implement the recommendations in the report, to the extent such implementation is appropriate. (d) Definitions.--In this section: (1) Application.--The term ``application'' means an application, notice, or other similar request for permission submitted to a Federal depository institution regulatory agency.”
“(b) Report.--Each Inspector General described under subsection (a) shall, at the conclusion of each review required under subsection (a), issue a report to the Committee on Financial Services of the House of Representatives and the Committee on Banking, Housing, and Urban Affairs of the Senate containing all findings and determinations made in carrying out the review, and publish such report online.”
“The review shall-- (1) include an evaluation of relevant quantifiable metrics, including mean and median application processing times; (2) identify sources of delay that may hinder the timely consummation of proposals that meet the relevant statutory factors; (3) consider the benefits and risks of utilizing different merger review approaches and procedures in compliance with the law; (4) include an evaluation of the impact of such merger review procedures and resulting approved mergers on safety and soundness, financial stability, competition, and the availability of financial products and services offered by insured depository institutions; and (5) include specific recommendations to improve the merger review process, including timeliness and efficiency of application processing, consistent with the Federal depository institution regulatory agency's statutory responsibilities.”
“(a) Review.--Not later than 1 year after the date of enactment of this Act, and every 3 years thereafter, the Inspector General of each Federal depository institution regulatory agency shall review the Federal depository institution regulatory agency's merger review procedures, including record of timeliness and efficiency in reviewing and acting upon insured depository institution merger applications.”
“(4) Insured depository institution merger application.--The term ``insured depository institution merger application'' means an application with respect to the acquisition of an insured depository institution, its equity interests, its assets, or its deposits under-- (A) section 10(e) of the Home Owners' Loan Act (12 U.S.C. 1467a(e)); (B) section 205(b) of the Federal Credit Union Act (12 U.S.C. 1785(b)); (C) section 7(j) of the Federal Deposit Insurance Act (12 U.S.C. 1817(j)); (D) section 18(c)(2) of the Federal Deposit Insurance Act (12 U.S.C. 1828(c)(2)); (E) section 3 of the Bank Holding Company Act of 1956 (12 U.S.C. 1842); and (F) section 4 of the Bank Holding Company Act of 1956 (12 U.S.C. 1843). SEC. 603. MERGER PROCESS REVIEW.”
“(2) Federal depository institution regulatory agency.--The term ``Federal depository institution regulatory agency'' means the Board of Governors of the Federal Reserve System, the Comptroller of the Currency, the Federal Deposit Insurance Corporation, and the National Credit Union Administration Board. (3) Insured depository institution.--The term ``insured depository institution''-- (A) has the meaning given that term in section 3 of the Federal Deposit Insurance Act (12 U.S.C. 1813); and (B) means an insured credit union, as defined in section 101 of the Federal Credit Union Act (12 U.S.C. 1752).”
“(b) Report.--Not later than 1 year after the date of enactment of this Act, the Comptroller General shall issue a report to the Committee on Financial Services of the House of Representatives and the Committee on Banking, Housing, and Urban Affairs of the Senate containing all findings and determinations made in carrying out the study required under subsection (a). (c) Definitions.--In this section: (1) Application.--The term ``application'' means an application, notice, or other similar request for permission submitted to a Federal depository institution regulatory agency.”
“The study shall-- (1) include an evaluation of relevant quantifiable metrics; (2) review the extent to which the use of commitments and conditions has aligned with statutory requirements, including a review of whether the use of commitments and conditions has been influenced by extrastatutory issues or considerations; (3) consider the benefits and risks of utilizing different merger review approaches and procedures in compliance with the law; and (4) include an evaluation of the impact of such merger review procedures and resulting approved mergers on safety and soundness, financial stability, competition, and the availability of financial products and services offered by insured depository institutions.”
“SEC. 602. MERGER AGREEMENT APPROVALS CLARITY AND PREDICTABILITY. (a) Study.--The Comptroller General of the United States shall carry out a study on the use of commitments, conditions, and other aspects of merger review procedures by Federal depository institution regulatory agencies in connection with insured depository institution merger applications.”
“(c) For Savings and Loan Holding Companies.--Section 10(e) of the Home Owners' Loan Act (12 U.S.C. 1467a(e)), as amended by section 604(b), is further amended by adding at the end the following: ``(10) For proposed transactions resulting in companies with less than $10,000,000,000 in assets and that would not result in there being only one insured depository institution with a physical presence in any relevant metropolitan statistical area.--Notwithstanding subparagraphs (A) and (B) of paragraph (2), if a proposed transaction under this section would result in a company with less than $10,000,000,000 in assets and would not result in there being only one insured depository institution with a physical presence in any relevant metropolitan statistical area, then the Board shall not consider whether the transaction would-- ``(A) result in a monopoly, or would be in furtherance of any combination or conspiracy to monopolize or to attempt to monopolize the savings and loan business in any part of the United States; and ``(B) have the effect in any section of the country of substantially lessening competition, tending to create a monopoly, or in any other manner restraining trade.''.”
“(b) For Bank Holding Companies.--Section 3(c) of the Bank Holding Company Act of 1956 (12 U.S.C. 1842(c)) is amended by adding at the end the following: ``(8) For proposed transactions resulting in companies with less than $10,000,000,000 in assets and that would not result in there being only one insured depository institution with a physical presence in any relevant metropolitan statistical area.--Notwithstanding paragraph (1), if a proposed acquisition, merger, or consolidation under this section would result in a company with less than $10,000,000,000 in assets and would not result in there being only one insured depository institution with a physical presence in any relevant metropolitan statistical area, then the Board shall not consider whether such acquisition, merger, or consolidation would-- ``(A) result in a monopoly, or would be in furtherance of any combination or conspiracy to monopolize or to attempt to monopolize the business of banking in any part of the United States; and ``(B) have the effect in any section of the country of substantially lessening competition, tending to create a monopoly, or in any other manner restraining trade.''.”
“1828(c)), as amended by section 604(c), is further amended-- (1) in paragraph (4)(C)-- (A) in clause (i), by striking ``or'' at the end; (B) in clause (ii), by striking the period at the end and inserting ``; or''; and (C) by adding at the end the following: ``(iii) the proposed merger transaction would result in an entity with less than $10,000,000,000 in assets and would not result in there being only one insured depository institution with a physical presence in any relevant metropolitan statistical area.''; and (2) by adding at the end the following: ``(16) For Merger Transactions Resulting in Institutions With Less Than $10,000,000,000 in Assets and That Would Not Result in There Being Only One Insured Depository Institution With a Physical Presence in Any Relevant Metropolitan Statistical Area.--Notwithstanding paragraph (5), if a proposed merger transaction would result in an institution with less than $10,000,000,000 in assets and would not result in there being only one insured depository institution with a physical presence in any relevant metropolitan statistical area, then the responsible agency shall not consider whether such merger transaction would-- ``(A) result in a monopoly, or would be in furtherance of any combination or conspiracy to monopolize or to attempt to monopolize the business of banking in any part of the United States; and ``(B) have the effect in any section of the country of substantially lessening competition, tending to create a monopoly, or in any other manner restraining trade.''.”
“(3) Report.--Not later than 6 months after the date of enactment of this Act, the Federal Deposit Insurance Corporation shall issue a report to the Committee on Financial Services of the House of Representatives and the Committee on Banking, Housing, and Urban Affairs of the Senate containing all findings and determinations made in carrying out the study required under paragraph (1). [[Page H4718]] TITLE VI--PROMOTING BANK COMPETITION AND MERGER CLARITY SEC. 601. BANK COMPETITION MODERNIZATION. (a) In General.--Section 18(c) of the Federal Deposit Insurance Act (12 U.S.C.”
“(2) Contents.--The study required under paragraph (1) shall include-- (A) an analysis of how reciprocal deposits have performed since 2018, which shall include-- (i) the use of quantitative and qualitative data; (ii) a breakdown of the usage of reciprocal deposits by size of insured depository institution; (iii) the usage of reciprocal deposits during periods of stress; and (iv) an analysis, to the extent practicable, of end-user depositors, such as municipalities, businesses, and non- profit organizations, that drive demand for reciprocal products; (B) an analysis, to the extent practicable, of how reciprocal deposits compare to other deposit arrangements; and (C) an analysis of the benefits and potential risks of reciprocal deposits.”
“(c) Reciprocal Deposits Study.-- (1) In general.--The Federal Deposit Insurance Corporation, in consultation with the Board of Governors of the Federal Reserve System, shall carry out a study on reciprocal deposits.”
“1831f(i)) is amended-- (1) in paragraph (2)(A)-- (A) in clause (i), by striking subclause (I) and inserting the following: ``(I) when most recently examined under section 10(d) was assigned a CAMELS rating of 1, 2, or 3 under the Uniform Financial Institutions Rating System (or an equivalent rating under a comparable rating system); and''; (B) by redesignating clauses (ii) and (iii) as clauses (iii) and (iv), respectively; and (C) by inserting after clause (i) the following: ``(ii) has not yet been examined under section 10(d) and the deposits of which first became insured under this Act during the current calendar year or during the immediately preceding calendar year;''; and (2) by adding at the end the following: ``(3) Reservation of authority.--If an insured depository institution ceases to be an agent institution because it no longer satisfies any of the criteria in paragraph (2)(A), the Corporation may, on a case-by-case basis and upon application, provide a waiver to permit the institution to continue to consider some or all of the deposits previously subject to the exception under paragraph (1) as continuing to be subject to the exception under paragraph (1), for a specific or indefinite period of time, if the Corporation determines that failure to grant such a waiver would negatively impact the safety and soundness of the insured depository institution.''.”
“``(G) Repeal.--This paragraph shall be repealed on the date on which the Board of Governors notifies the Congress and publishes on a public website of the Board of Governors that the remediation plan required under subparagraph (C) has been fully implemented.''. SEC. 502. KEEPING DEPOSITS LOCAL. (a) Amount of Reciprocal Deposits That Are Not Considered To Be Funds Obtained by or Through a Deposit Broker.--Section 29(i)(1)(C) of the Federal Deposit Insurance Act (12 U.S.C. 1831f(i)(1)(C)) is amended by striking ``$96,333,333,333'' and inserting ``$250,000,000,000''. (b) Definition of Agent Institution.--Section 29(i) of the Federal Deposit Insurance Act (12 U.S.C.”
“``(ii) Reports by the inspector general.--The Inspector General of the Board of Governors of the Federal Reserve System and the Bureau of Consumer Financial Protection shall submit an annual report to the Committee on Financial Services of the House of Representatives and the Committee on Banking, Housing, and Urban Affairs of the Senate containing a report on the progress of the Board of Governors in implementing the remediation plan required by subparagraph (C). ``(F) Confidential report information.--Any report required under this paragraph may contain a confidential annex containing information that, if made public, could-- ``(i) impact monetary policy, financial stability, or cybersecurity; or ``(ii) significantly endanger the safety and soundness of any financial institution.”
“``(E) Annual reports to congress.-- ``(i) Reports by the board.--The Board of Governors shall submit an annual report to the Committee on Financial Services of the House of Representatives and the Committee on Banking, Housing, and Urban Affairs of the Senate containing a review of the effectiveness of discount window operations and a progress report on the actions taken to implement the identified enhancements described in subparagraph (C).”
“``(ii) Consultation.--Before submitting the report required by clause (i), the Board of Governors shall-- ``(I) provide a copy of the proposed report to the Comptroller of the Currency, the Federal Deposit Insurance Corporation, the National Credit Union Administration, and the Secretary of the Treasury; and ``(II) provide the Comptroller of the Currency, the Federal Deposit Insurance Corporation, the National Credit Union Administration, and the Secretary of the Treasury with an opportunity to provide feedback on the report. ``(iii) Testimony.--The Chairman of the Board of Governors shall, at the semi-annual hearing required under section 2B, testify with respect to the contents of the report required under this subparagraph.”
“``(D) Report to congress on review and plan.-- ``(i) In general.--Not later than 365 days after the date of enactment of this paragraph, the Board of Governors shall submit a report to the Committee on Financial Services of the House of Representatives and the Committee on Banking, Housing, and Urban Affairs of the Senate containing-- ``(I) the findings of the review required by subparagraph (A); and ``(II) the remediation plan required by subparagraph (C).”
“``(C) Remediation plan.--After the Board of Governors completes the review required by subparagraph (A), the Board of Governors, in consultation with the Federal reserve banks, shall-- ``(i) identify deficiencies with the discount window and areas for enhancing discount window effectiveness; and ``(ii) develop a written plan to remediate the identified deficiencies and implement the identified enhancements, which shall include-- ``(I) an identification of actions that will be taken to enhance discount window effectiveness and remediate identified deficiencies; ``(II) timelines and milestones for implementing the plan and measures to demonstrate how the implemented improvements will be maintained on an ongoing basis; and ``(III) measures of managing and controlling any deficiencies and current operations until the plan is implemented in full.”
“``(B) Contents.--The review required by subparagraph (A) shall include a consideration of-- ``(i) the effectiveness of the discount window in providing liquidity to financial institutions, including in times of financial stress; ``(ii) whether the technology infrastructure, including means of communications, are sufficient to support the timely provision of liquidity, including in times of financial stress; ``(iii) the effectiveness of cybersecurity measures implemented with respect to discount window operations; ``(iv) the effectiveness of communications between Federal reserve banks, financial institutions, the Board of Governors, the Federal Deposit Insurance Corporation, the Comptroller of the Currency, and the Secretary of the Treasury regarding discount window operations; ``(v) the effectiveness of the Board of Governors in providing oversight of the discount window and in ensuring consistent access to the discount window across the Federal Reserve System; ``(vi) how the discount window interacts with other providers of liquidity, including the Federal Home Loan Banks, during both normal operations and times of financial distress; ``(vii) the effectiveness of existing discount window operating hours and whether such hours should be expanded, taking into account the interaction between discount window operating hours and the operating hours of payment systems of the Federal reserve banks, such as the Fedwire Funds Service and FedNow Service; ``(viii) the impact of mobile banking and instant communications technology on depositor behavior and liquidity risk posed to financial institutions, including how the discount window can-- ``(I) help financial institutions better respond to rapid liquidity shortfalls; and ``(II) prevent broader financial instability; and ``(ix) the effectiveness of the discount window in light of the stigma associated with its usage, ways to reduce such stigma, and ways to improve access, operational efficiency, transparency, and timeliness of the process for financial institutions seeking advances, including on the pricing and other terms of such advances.”
“3302).''. TITLE V--STRENGTHENING LOCAL BANK FUNDING SEC. 501. BRINGING THE DISCOUNT WINDOW INTO THE 21ST CENTURY. Section 10 of the Federal Reserve Act (12 U.S.C. 241 et seq.) is amended by inserting after paragraph (10) the following: ``(11) Review of discount window operations.-- ``(A) In general.--Not later than 60 days after the date of enactment of this paragraph, the Board of Governors shall commence a review of the discount window lending programs of the Federal reserve banks (the `discount window'), and shall complete such review not later than 240 days after the date of enactment of this paragraph.”
“SEC. 403. REGULATORY EFFICIENCY, VERIFICATION, ITEMIZATION, AND ENHANCED WORKFLOW. Section 2222 of the Economic Growth and Regulatory Paperwork Reduction Act of 1996 (12 U.S.C. 3311) is amended-- (1) by striking ``appropriate Federal banking agency'' each place such term appears and inserting ``Federal financial institutions regulatory agency''; (2) by striking ``appropriate Federal banking agencies'' and inserting ``Federal financial institutions regulatory agencies''; (3) in subsection (a)-- (A) by striking ``represented on the Council''; and (B) by striking ``once every 10 years'' and inserting ``once every 8 years''; (4) in subsection (b)-- (A) by redesignating paragraphs (1) and (2) as subparagraphs (A) and (B), respectively (and adjusting the margins accordingly); (B) by striking ``In conducting'' and inserting the following: ``(1) Solicitation of public comment.--In conducting''; and (C) by adding at the end the following: ``(2) Internal review of cumulative impact.--Each Federal financial institutions regulatory agency shall conduct an internal review of the cumulative impact of regulations issued by the Federal financial institutions regulatory agency that-- ``(A) assesses the effects of such regulations on consumers' access to financial products and services; ``(B) assesses the effects of such regulations on the availability of financial products and services to financial and nonfinancial firms; ``(C) assesses the impact of such regulations on credit availability and financial market liquidity in United States financial markets; ``(D) assess the effects of such regulations on consumer protection; ``(E) assesses the balance of benefits and costs of such regulations with respect to the safety and soundness of the United States financial system and overall economic activity in the United States; ``(F) to the extent practicable, quantifies the direct and indirect economic costs imposed by such regulations; and ``(G) includes recommendations to streamline or eliminate duplicative, outdated, and unnecessarily burdensome regulations.''; (5) in subsection (c)-- (A) by striking ``subsection (b)(2)'' and inserting ``subsection (b)(1)(B), and the internal review under subsection (b)(2),''; and [[Page H4717]] (B) by striking ``once every 10 years'' and inserting ``once every 8 years''; (6) in subsection (e)-- (A) in paragraph (1), by striking ``and'' at the end; (B) by redesignating paragraph (2) as paragraph (3); (C) by inserting after paragraph (1) the following: ``(2) a summary of the findings and determinations of each Federal financial institutions regulatory agency of the internal review conducted by the Federal financial institutions regulatory agency under subsection (b)(2); and''; and (D) in paragraph (3), as so redesignated, by striking ``the regulatory burdens associated with such issues by regulation'' and inserting ``the regulatory burdens associated with the issues identified by public comments received by the Council and the Federal financial institutions regulatory agencies, as well as the regulatory burdens identified by each Federal financial institutions regulatory agency through the internal reviews conducted under subsection (b)(2), by regulation''; and (7) by adding at the end the following: ``(f) Federal Financial Institutions Regulatory Agency Defined.--The term `Federal financial institutions regulatory agency' has the meaning given that term in section 1003 of the Federal Financial Institutions Examination Council Act of 1978 (12 U.S.C.”
“(2) Guidance.--The term ``guidance'' means a financial agency statement of general applicability, intended to have a future effect on the behavior of regulated parties, that sets forth a policy on a statutory, regulatory, or technical issue, or an interpretation of a statute or regulation, but does not include-- (A) a rule promulgated pursuant to notice and comment under section 553 of title 5, United States Code; (B) a rule exempt from rulemaking requirements under section 553(a) of title 5, United States Code; (C) a rule of financial agency organization, procedure, or practice under section 553(b)(A) of title 5, United States Code; (D) a decision of a financial agency adjudication under section 554 of title 5, United States Code, or any similar statutory provision; (E) internal guidance directed to the issuing financial agency or other agency that is not intended to have a substantial future effect on the behavior of regulated parties; or (F) internal executive branch legal advice or legal opinions addressed to executive branch officials.”
“(c) Definitions.--In this section: (1) Financial agency.--The term ``financial agency'' means the following: (A) The Bureau of Consumer Financial Protection. (B) The Department of Housing and Urban Development. (C) The Department of the Treasury. (D) The Federal Deposit Insurance Corporation. (E) The Federal Housing Finance Agency. (F) The Board of Governors of the Federal Reserve System. (G) The National Credit Union Administration. (H) The Office of the Comptroller of the Currency. (I) The Securities and Exchange Commission.”
“SEC. 402. STOP AGENCY FIAT ENFORCEMENT OF GUIDANCE. (a) In General.--Each financial agency shall include a guidance clarity statement as described in subsection (b) on any guidance issued by that financial agency on and after the date of the enactment of this Act. (b) Guidance Clarity Statement.--A guidance clarity statement required under subsection (a) shall be displayed prominently on the first page of the document and shall include the following: ``This guidance does not have the force and effect of law and therefore does not establish any rights or obligations for any person and is not binding on the agency or the public. If this guidance suggests how regulated entities may comply with applicable statutes or regulations, noncompliance with this guidance does not conclusively establish a violation of applicable law.''.”
“1812) is amended-- (1) by striking ``Consumer Financial Protection Bureau'' each place such term appears and inserting ``Bureau of Consumer Financial Protection''; (2) by amending subsection (a)(1)(C) to read as follows: ``(C) 3 of whom shall be appointed by the President, by and with the advice and consent of the Senate, from among individuals who are citizens of the United States, 1 of whom shall have State bank supervisory experience, and separately 1 of whom shall have demonstrated primary experience working in or supervising depository institutions having less than $17,000,000,000 in total assets.''; and (3) in subsection (c)-- (A) in paragraph (1), by adding at the end the following: ``No individual may be appointed as a member for more than two terms.''; and (B) by adding at the end the following: ``(4) Maximum length of service.--Notwithstanding any other provision of this Act, no person shall serve as a member for more than twelve years in total.''.”
“(f) Reports.--Not later than 180 days after the date of enactment of this Act, each Federal banking agency shall submit to the Committee on Banking, Housing, and Urban Affairs of the Senate and the Committee on Financial Services of the House of Representatives a report that-- (1) confirms implementation of this section; and (2) describes any changes made to internal policies as a result of this section. TITLE IV--REGULATORY ACCOUNTABILITY AND TRANSPARENCY SEC. 401. FDIC BOARD ACCOUNTABILITY. Section 2 of the Federal Deposit Insurance Act (12 U.S.C.”
“(e) Prohibition.--If a Federal banking agency determines, under subsection (c), that the removal of reputational risk in the supervision of depository institutions would not threaten the safety and soundness of those depository institutions, the agency may not engage in rulemaking, the issuance of guidance, supervision activities, or enforcement activities related to the reputational risk of a depository institution or the managing of reputational risk by a depository institution, including-- (1) establishing any rule, regulation, requirement, standard, or supervisory expectation concerning or related to the reputational risk of a depository institution, or the management thereof, whether binding or not; (2) conducting any examination, assessment, data collection, or other supervisory exercise concerning or related to reputational risk of a depository institution, or the management thereof; (3) issuing any examination finding, supervisory criticism, or other supervisory or examination communication concerning or related to reputational risk of a depository institution, or the management thereof; (4) making any supervisory ratings decision or determination that is based, in whole or in part, on any matter concerning or related to reputational risk of a depository institution, or the management thereof; and (5) taking any formal or informal enforcement action that is based, in whole or in part, on any matter concerning or related to reputational risk of a depository institution, or the management thereof.”
“(d) Removal of Reputational Risk as a Consideration in the Supervision of Depository Institutions.--If a Federal banking agency determines, under subsection (c), that the removal of reputational risk in the supervision of depository institutions would not threaten the safety and soundness of those depository institutions, the Federal banking agency shall remove from any guidance, rule, examination manual, or similar document established by the agency any reference to reputational risk, or any term substantially similar, regarding the supervision of depository institutions such that reputational risk, or any term substantially similar, is no longer taken into consideration by the Federal banking agency when examining and supervising a depository institution.”
“(c) Study on Reputational Risk.--Not later than 1 year after the date of the enactment of this Act, each Federal banking agency shall-- (1) carry out a study to evaluate the use of reputational risk in the supervision of depository institutions; and (2) determine whether the removal of reputational risk in the supervision of depository institutions would threaten the safety and soundness of those depository institutions.”
“The previous sentence does not apply to negative publicity or negative public opinion regarding an institution's business practices where such practices involve unlawful transactions in connection with state sponsors of terrorism or foreign terrorist organizations. (5) State sponsors of terrorism.--The term ``state sponsors of terrorism'' means a country, the government of which has been determined by the Secretary of State to have repeatedly provided support for acts of international terrorism, for purposes of-- (A) section 1754(c)(1)(A)(i) of the Export Control Reform Act of 2018 (50 U.S.C. 4813(c)(1)(A)(i)); (B) section 620A of the Foreign Assistance Act of 1961 (22 U.S.C. 2371); (C) section 40(d) of the Arms Export Control Act (22 U.S.C. 2780(d)); or (D) any other provision of law.”
“(3) Foreign terrorist organization.--The term ``foreign terrorist organization'' means a foreign organization that is designated by the Secretary of State in accordance with section 219 of the Immigration and Nationality Act (8 U.S.C. 1189). (4) Reputational risk.--The term ``reputational risk'' means the potential that negative publicity or negative public opinion regarding a depository institution's business practices, whether true or not, will cause a decline in confidence in the institution or a decline in the customer base, costly litigation, or revenue reductions or otherwise adversely impact the depository institution.”