118 HR 8337 RH: Bank Resilience and Regulatory Improvement Act
U.S. House of Representatives
2024-12-03
text/xml
EN
Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain.
1.Short title; table of contents(a)This Act may be cited as the Bank Resilience and Regulatory Improvement Act
. (b)The table of contents for this Act is as follows:Sec. 1. Short title; table of contents.Title I—Financial Institution Regulatory Tailoring EnhancementSec. 101. Increased asset thresholds.Title II—Bank Failure PreventionSec. 201. Complete record on an application.Title III—Stress Testing Accountability and TransparencySec. 301. Rulemaking related to stress capital buffer requirements.Sec. 302. Rulemaking relating to stress testing.Sec. 303. GAO report.Title IV—Bank Supervision Appeals ImprovementSec. 401. Timeliness of examinations and required permission, regulatory, and reporting guidance.Sec. 402. Update of independent intra-agency appellate process for reviewing material supervisory determinations.Sec. 403. Review of resolution actions resulting in a material loss.Title V—Review of Discount Window OperationsSec. 501. Review of discount window operations.Title VI—Small Bank Holding Company ReliefSec. 601. Changes required to the Small Bank Holding Company and Savings and Loan Holding Company Policy Statement.<enum>I</enum><header>Financial Institution Regulatory Tailoring Enhancement</header><section id="H3E61EFE110274248B8298F55D29DADFC"><enum>101.</enum><header>Increased asset thresholds</header><subsection id="HAB4464688A8E46C8BEFF36588ABBCCE3" display-inline="no-display-inline"><enum>(a)</enum><header>Bureau Supervision</header><text display-inline="yes-display-inline">Section 1025(a) of the Consumer Financial Protection Act of 2010 (<external-xref legal-doc="usc" parsable-cite="usc/12/5515">12 U.S.C. 5515</external-xref>) is amended by striking <quote>$10,000,000,000</quote> each place it occurs and inserting <quote>$50,000,000,000</quote>.</text></subsection><subsection id="H22D0FCDD615D404A859AEE0AF8B957C6"><enum>(b)</enum><header>Durbin Amendment requirements</header><text display-inline="yes-display-inline">Section 921(a)(6) of the Electronic Fund Transfer Act (<external-xref legal-doc="usc" parsable-cite="usc/15/1693o-2">15 U.S.C. 1693o–2(a)(6)</external-xref>) is amended by striking <quote>$10,000,000,000</quote> and inserting <quote>$50,000,000,000</quote>.</text></subsection><subsection id="H573E5EC2C2604263B5AE0D94E58DB827"><enum>(c)</enum><header>Volker rule requirements</header><text display-inline="yes-display-inline">Section 13(h)(1)(B)(i) of the Bank Holding Company Act of 1956 (<external-xref legal-doc="usc" parsable-cite="usc/12/1851">12 U.S.C. 1851(h)(1)(B)(i)</external-xref>) is amended by striking <quote>$10,000,000,000</quote> and inserting <quote>$50,000,000,000</quote>.</text></subsection><subsection id="HBB98A99CDCFC4DE4951B28D8581325F9"><enum>(d)</enum><header>Qualified mortgage requirements</header><text display-inline="yes-display-inline">Section 129C(b)(F)(i) of the Truth in Lending Act (<external-xref legal-doc="usc" parsable-cite="usc/15/1639c">15 U.S.C. 1639c(b)(F)(i)</external-xref>) is amended by striking <quote>$10,000,000,000</quote> and inserting <quote>$50,000,000,000</quote>.</text></subsection><subsection id="H373F8D8B0D064080936B0F58CA598292" display-inline="no-display-inline"><enum>(e)</enum><header>Leverage and risk-Based capital requirements</header><text display-inline="yes-display-inline">Section 201(a)(3)(A) of the Economic Growth, Regulatory Relief, and Consumer Protection Act (<external-xref legal-doc="usc" parsable-cite="usc/12/5371">12 U.S.C. 5371</external-xref> note (a)(3)(A)) is amended by striking <quote>$10,000,000,000</quote> and inserting <quote>$50,000,000,000</quote>.</text></subsection></section><enum>II</enum><header>Bank Failure Prevention</header><section id="H9BCE6B267AEE467D853F8B6C0B8D8A5B"><enum>201.</enum><header>Complete record on an application</header><subsection id="HF06C0C4E72C349E7A8965CCA14F4A406"><enum>(a)</enum><header>Bank holding companies</header><text display-inline="yes-display-inline">Section 3(b)(1) of the Bank Holding Company Act of 1956 (<external-xref legal-doc="usc" parsable-cite="usc/12/1842">12 U.S.C. 1842(b)(1)</external-xref>) is amended—</text><paragraph id="HB038B1CA3C6F46AEAB1E450F5CBC268E"><enum>(1)</enum><text>by striking <quote>Upon receiving</quote> and inserting the following:</text><quoted-block style="OLC" id="H4D51102CD2794FA597B8058F88F9A7F7" display-inline="no-display-inline" changed="added" reported-display-style="italic" committee-id="HBA00"><subparagraph id="HC25E491D86964F2A90AA1A520FFBECAA" indent="up1"><enum>(A)</enum><header>In general</header><text display-inline="yes-display-inline">Upon receiving</text></subparagraph><after-quoted-block>;</after-quoted-block></quoted-block></paragraph><paragraph id="HD2A341B5E47E433BA2B3515A33F8AEAA"><enum>(2)</enum><text>by striking <quote>required</quote> and inserting <quote>acquired</quote>;</text></paragraph><paragraph id="HA3091DE8E7D54A3EBDCEDEFB2ADFB630"><enum>(3)</enum><text>by striking <quote>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.</quote>; and</text></paragraph><paragraph id="H6AEB2BEE4E394DB29FCF6CD40A205B56"><enum>(4)</enum><text>by adding at the end the following:</text><quoted-block style="OLC" id="H086C983C437E4A7B812CB0CDADF8667F" display-inline="no-display-inline" changed="added" reported-display-style="italic" committee-id="HBA00"><subparagraph id="H6E66CDE53A84496D92451865BCB50A18" indent="up1"><enum>(B)</enum><header>Complete record on an application</header><clause id="HA8AC3E594D434C6F957ABB6A99955CE2"><enum>(i)</enum><header>Notice to applicant</header><text display-inline="yes-display-inline">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—</text><subclause id="H6C1408CA2FFF41CAA2390F9EA49619BC"><enum>(I)</enum><text>confirms the record on the application is complete; or</text></subclause><subclause id="H4C117D6DB97548F883155B7F1C51E388"><enum>(II)</enum><text>details all additional information that is required for the record on that application to be complete.</text></subclause></clause><clause id="HE60C4CD083A24A42A45A520B95437B28"><enum>(ii)</enum><header>Extension of notice</header><text display-inline="yes-display-inline">Notwithstanding clause (i), the Board may, if an application is complex, extend the 30-day period described under clause (i) for an additional 30 days.</text></clause><clause id="H1981994FEE1F45E886BDCA3BF7EBF696"><enum>(iii)</enum><header>Receipt of response; deeming of complete record</header><text display-inline="yes-display-inline">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—</text><subclause id="H973D16EC61E849A8BE454AAE74CF6F9B"><enum>(I)</enum><text>determines that the applicant’s response was materially deficient; and</text></subclause><subclause id="HE6875B94619742ED92C50255F087929A"><enum>(II)</enum><text>not later than 30 days after the date on which the Board received the response, provides the applicant a detailed notice describing the deficiencies.</text></subclause></clause><clause id="H4321044666D749DF883CCC94663E667D"><enum>(iv)</enum><header>Treatment of third-party information</header><text display-inline="yes-display-inline">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.</text></clause></subparagraph><subparagraph id="HF96EDBEBFA664E5A8A825DFB13424854" indent="up1"><enum>(C)</enum><header>Deadline for determination</header><clause id="HAB7060B3B1004C1B8A7194D1DA27684A"><enum>(i)</enum><header>In general</header><text>Notwithstanding subparagraphs (A) and (B), the Board shall grant or deny an application submitted under this section not later than 90 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.</text></clause><clause id="HF3358641D08D4B169CDDDD2D42E3A8C9"><enum>(ii)</enum><header>Failure to make a determination</header><text>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.</text></clause><clause id="H52C14277863D4919AFD85E2F1353F6CB"><enum>(iii)</enum><header>Tolling of period</header><text display-inline="yes-display-inline">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).</text></clause></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection><subsection id="H68CE43AE6AC94D99BCB678059B27FFC2" commented="no"><enum>(b)</enum><header>Savings and loan holding companies</header><text display-inline="yes-display-inline">Section 10(e) of the Home Owners’ Loan Act (<external-xref legal-doc="usc" parsable-cite="usc/12/1467a">12 U.S.C. 1467a(e)</external-xref>) is amended—</text><paragraph id="H3F8D96AFBAFE4D7092759400BF6DED45" commented="no"><enum>(1)</enum><text>in paragraph (2), by striking <quote>, and shall render a decision within 90 days after submission to the Board of the complete record on the application</quote>; </text></paragraph><paragraph id="HE24D7B5EB55645F9A3EFEC27AB383534" commented="no"><enum>(2)</enum><text>by redesignating paragraph (7) as paragraph (9); and</text></paragraph><paragraph id="H13801059689F4B439C325DF1C57EB2B2" commented="no"><enum>(3)</enum><text>by inserting after paragraph (6) the following:</text><quoted-block style="OLC" id="HFFEAC66E64EE4472AEC8E8547AED6E51" display-inline="no-display-inline" changed="added" reported-display-style="italic" committee-id="HBA00"><paragraph id="H32426F78BF3A4BD3A327D9B78845B77B" commented="no"><enum>(7)</enum><header>Complete record on an application</header><subparagraph id="HF2C15A8AED54405588930E820983D0F6" commented="no"><enum>(A)</enum><header>Notice to applicant</header><text display-inline="yes-display-inline">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—</text><clause id="H132B4FBF96904207AB40DE6D4CAB72F8" commented="no"><enum>(i)</enum><text>confirms the record on the application is complete; or</text></clause><clause id="H258FD8A804504CC588F298D851BC93B6" commented="no"><enum>(ii)</enum><text>details all additional information that is required for the record on that application to be complete.</text></clause></subparagraph><subparagraph id="HE3BF36EF46D943D391DF58B891DF8109" commented="no"><enum>(B)</enum><header>Extension of notice</header><text display-inline="yes-display-inline">Notwithstanding subparagraph (A), the Board may, if an application is complex, extend the 30-day period described under subparagraph (A) for an additional 30 days.</text></subparagraph><subparagraph id="H0E722C349A7D4ED3ADCAF4A00B88A683" commented="no"><enum>(C)</enum><header>Receipt of response; deeming of complete record</header><text display-inline="yes-display-inline">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—</text><clause id="H1BC89594E3BA4B62AED6D1C6C0D7389C" commented="no"><enum>(i)</enum><text>determines that the applicant’s response was materially deficient; and</text></clause><clause id="H3463B4778E3E42DBBB881A33DC4268EC" commented="no"><enum>(ii)</enum><text>not later than 30 days after the date on which the Board received the response, provides the applicant a detailed notice describing the deficiencies.</text></clause></subparagraph><subparagraph id="H7F173C4545E941B8802D3D454134EC87" commented="no"><enum>(D)</enum><header>Treatment of third-party information</header><text display-inline="yes-display-inline">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.</text></subparagraph></paragraph><paragraph id="H03B20F70FDF14F4894525E2A8045C233" commented="no"><enum>(8)</enum><header>Deadline for determination</header><subparagraph id="H6A0CDDF077AD42368DA3B01451DC06D9" commented="no"><enum>(A)</enum><header>In general</header><text>Notwithstanding any other provision of this subsection, the Board shall grant or deny an application submitted under this subsection not later than 90 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.</text></subparagraph><subparagraph id="HCDF039688B914B2BAF5DA9419F03A8E9" commented="no"><enum>(B)</enum><header>Failure to make a determination</header><text>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.</text></subparagraph><subparagraph id="HC68A0822F0A34BF3B9A6B0742E72C908"><enum>(C)</enum><header>Tolling of period</header><text display-inline="yes-display-inline">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).</text></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection><subsection id="HCE4CC794FB944A4DB9F15FDECF67884E"><enum>(c)</enum><header>Insured depository institutions</header><text display-inline="yes-display-inline">Section 18(c) of the Federal Deposit Insurance Act (<external-xref legal-doc="usc" parsable-cite="usc/12/1828">12 U.S.C. 1828(c)</external-xref>) is amended by adding at the end the following:</text><quoted-block style="OLC" id="H291173AA1D9148239BEA09B1867C9B14" display-inline="no-display-inline" changed="added" reported-display-style="italic" committee-id="HBA00"><paragraph id="H5E5103F5D61A47ED9451879ABFA77AF3" commented="no" indent="up1"><enum>(14)</enum><header>Complete record on an application</header><subparagraph id="H782DD23AE8D347ACAF1EC5BDAE30C3C9" commented="no"><enum>(A)</enum><header>Notice to applicant</header><text display-inline="yes-display-inline">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—</text><clause id="HAFE21B738C9048A083F0A303ECBCFC9D" commented="no"><enum>(i)</enum><text>confirms the record on the application is complete; or</text></clause><clause id="HA8B3EC03247E406F981830F93192F2E2" commented="no"><enum>(ii)</enum><text>details all additional information that is required for the record on that application to be complete.</text></clause></subparagraph><subparagraph id="H8F0C39479AE6496EB702F2D86DF1A933" commented="no"><enum>(B)</enum><header>Extension of notice</header><text display-inline="yes-display-inline">Notwithstanding subparagraph (A), the responsible agency may, if an application is unusually complex, extend the 30-day period described under subparagraph (A) for an additional 30 days.</text></subparagraph><subparagraph id="H137FB89E81E8460F9DC44F604DFB01DB" commented="no"><enum>(C)</enum><header>Receipt of response; deeming of complete record</header><text display-inline="yes-display-inline">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—</text><clause id="H3DFE01EF423E45F09AAACC2EF9E3189E" commented="no"><enum>(i)</enum><text>determines that the applicant’s response was materially deficient; and</text></clause><clause id="H5B0CF65DAC0740858DD4948CC93F6C7C" commented="no"><enum>(ii)</enum><text display-inline="yes-display-inline">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.</text></clause></subparagraph><subparagraph id="HBEB29C34D2D54DF2B6BFF127E1DF114F" commented="no"><enum>(D)</enum><header>Treatment of third-party information</header><text display-inline="yes-display-inline">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.</text></subparagraph></paragraph><paragraph id="H95F708EC1DB5432585CCB6377CA425C0" commented="no" indent="up1"><enum>(15)</enum><header>Deadline for determination</header><subparagraph id="H869FBEAE6F2648E18F097142D5E488AA" commented="no"><enum>(A)</enum><header>In general</header><text display-inline="yes-display-inline">Notwithstanding any other provision of this subsection, the responsible agency shall grant or deny a merger application submitted under this subsection not later than 90 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.</text></subparagraph><subparagraph id="H5A606A706B814790910CABF1A0E61F4B" commented="no"><enum>(B)</enum><header>Failure to make a determination</header><text display-inline="yes-display-inline">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.</text></subparagraph><subparagraph id="H9C85821C26264525B754A3F136022267"><enum>(C)</enum><header>Tolling of period</header><text display-inline="yes-display-inline">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).</text></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></subsection></section><enum>III</enum><header>Stress Testing Accountability and Transparency</header><section id="H520E467A1E4242A6A1E320F334B1DBE4"><enum>301.</enum><header>Rulemaking related to stress capital buffer requirements</header><subsection id="HA1F67C6AED3D44A0839DF85F7225096A"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Not later than 90 days after the date of the enactment of this section, the Board of Governors of the Federal Reserve System (in this title referred to as the <quote>Board</quote>) shall issue a rule to establish any models, assumptions, formulas, or other decisional methodologies that are used to determine any component or subcomponent of the stress capital buffer requirement for a bank holding company.</text></subsection><subsection id="H2C4B7C649FC04A88B08AB80D49150891"><enum>(b)</enum><header>Changes</header><text display-inline="yes-display-inline">The Board may only make changes to the rule issued under subsection (a) through notice and comment rulemaking.</text></subsection><subsection id="H2CB94E09B69B423A8EE49A2CCC29BF18"><enum>(c)</enum><header>Stress capital buffer requirement defined</header><text>The term <quote>stress capital buffer requirement</quote> has the meaning given the term in section 225.8(c) of title 12 of the Code of Federal Regulations.</text></subsection></section><section id="H5F9A4EB01F1C4E8DAE97C8322E15EE70"><enum>302.</enum><header>Rulemaking relating to stress testing</header><subsection id="HF73D130DD7614207B564EEE5F1B99DB1"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Beginning in the first calendar year beginning after the date of the enactment of this section, the Board shall, not less than 30 days before conducting a stress test pursuant to section 165(i) of the Financial Stability Act of 2010, issue a rule to establish each scenario to be used in such stress test. </text></subsection><subsection id="HB8DFC3F21E0045EDB163A6402A9C92BD"><enum>(b)</enum><header>Prohibition</header><text display-inline="yes-display-inline">The Board may not, by rule or otherwise, subject any nonbank financial company to a climate-related stress test using the authority provided in section 165(i) of the Financial Stability Act of 2010.</text></subsection></section><section id="H78238854883A4C0A808D8ACA0259DB90"><enum>303.</enum><header>GAO report</header><subsection id="H44667C32BD634C648C41E0D44B0E53D2"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">The Comptroller General of the United States shall, every 3 years, conduct a study and submit a report to the Congress with respect to the stress tests conducted by the Board under section 165(i) of the Financial Stability Act of 2010 in the 3 most recent calendar years.</text></subsection><subsection id="HEAD8E5A2934F49EDA065F176D1777ED7"><enum>(b)</enum><header>Contents</header><text>The report submitted to the Congress under subsection (a) shall consider the effectiveness of the stress tests in evaluating—</text><paragraph id="H445F80E41AAD46168020E566D88A2FAE"><enum>(1)</enum><text>the safety and soundness of the nonbank financial institutions subjected to stress tests;</text></paragraph><paragraph id="H8CF5437602194C958701574952F9AF58"><enum>(2)</enum><text>the stability of the United States financial system.</text></paragraph></subsection></section><enum>IV</enum><header>Bank Supervision Appeals Improvement</header><section id="HAF60532FEC5143EB9CC7B12218352B31"><enum>401.</enum><header>Timeliness of examinations and required permission, regulatory, and reporting guidance</header><subsection id="HD6A266B349374BA18A250A5BF5B3054E"><enum>(a)</enum><header>Exit interview requirement; timeliness of examinations</header><paragraph id="HA201DB38E7A246A9A82B98F5E9794800"><enum>(1)</enum><header>Insured depository institutions</header><text>Section 10(d) of the Federal Deposit Insurance Act (<external-xref legal-doc="usc" parsable-cite="usc/12/1820">12 U.S.C. 1820(d)</external-xref>) is amended by adding at the end the following:</text><quoted-block id="H8B5351A6B86E4A2FA868CD885FCEA109" style="OLC" changed="added" reported-display-style="italic" committee-id="HBA00"><paragraph id="H956E0303C3CC4FB6A0A70D125F6DA42C"><enum>(11)</enum><header>Examination timeliness</header><text display-inline="yes-display-inline">The appropriate Federal banking agency shall complete any examination of an insured depository institution within 270 days of commencing the examination, except that such period may be extended by the appropriate Federal banking agency by providing written notice to the insured depository institution describing with particularity the reasons that a longer period is needed.</text></paragraph><paragraph id="H6246BF66642B469EA9337A1823DB9008"><enum>(12)</enum><header>Exit interview requirement</header><text display-inline="yes-display-inline">Within 30 days of completing an examination, the appropriate Federal banking agency shall conduct an exit interview with the insured depository institution’s senior management and board of directors.</text></paragraph><paragraph id="H1FB96FA26E8E4CDDA25CD0E02CB2168F"><enum>(13)</enum><header>Timeliness of examination reports</header><subparagraph id="HF23F72A31FC741C68145643BD1BE6CA5"><enum>(A)</enum><header>Final examination report</header><text display-inline="yes-display-inline">With respect to an examination of an insured depository institution by an appropriate Federal banking agency, the appropriate Federal banking agency shall provide a final examination report to the insured depository institution not later than 60 days after the later of—</text><clause id="H70741BB4F0BE4027B0B8EB906B52315F"><enum>(i)</enum><text>the exit interview for the examination; or</text></clause><clause id="H85607387E2764655A7AA57866244C40C"><enum>(ii)</enum><text>the provision of additional information by the insured depository institution relating to the examination.</text></clause></subparagraph><subparagraph id="H16400A655B514702A8BC46236C4BEB22"><enum>(B)</enum><header>Examination materials</header><text display-inline="yes-display-inline">Upon the request of an insured depository institution, the appropriate Federal banking agency shall include with a final examination report an appendix listing all materials relied upon by the agency in support of all material supervisory determinations.</text></subparagraph><subparagraph id="HD2B5FE26299042CC9286BC32887CF28E"><enum>(C)</enum><header>Material supervisory determination defined</header><text display-inline="yes-display-inline">In this paragraph, the term <quote>material supervisory determination</quote> has the meaning given such term in section 309(i) of the Riegle Community Development and Regulatory Improvement Act of 1994.</text></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph><paragraph id="HDC49E268C1B045119D50CA702E6BA17E"><enum>(2)</enum><header>Insured credit unions</header><text display-inline="yes-display-inline">Section 204 of the Federal Credit Union Act (<external-xref legal-doc="usc" parsable-cite="usc/12/1784">12 U.S.C. 1784</external-xref>) is amended by adding at the end the following:</text><quoted-block style="OLC" id="H9CB9610F7D9943D796E15A8EF059C82E" display-inline="no-display-inline" changed="added" reported-display-style="italic" committee-id="HBA00"><subsection id="HA4E394E8701A4033887C14C6DD42E235"><enum>(h)</enum><header>Exit interview requirement; timeliness of examinations</header><paragraph id="HD04552AA95254D8AB2F0FAA276CBE898" display-inline="no-display-inline"><enum>(1)</enum><header>Examination timeliness</header><text display-inline="yes-display-inline">The Board shall complete any examination of an insured credit union within 270 days of commencing the examination, except that such period may be extended by the Board by providing written notice to the insured credit union describing with particularity the reasons that a longer period is needed.</text></paragraph><paragraph id="H1D7E8DDA5B4D41C8A962668603FBD5A9"><enum>(2)</enum><header>Exit interview requirement</header><text display-inline="yes-display-inline">Within 30 days of completing an examination, the Board shall conduct an exit interview with the insured credit union’s senior management and board of directors.</text></paragraph><paragraph id="H0551ECAD3AE64629BC14DA8BF346ED7D"><enum>(3)</enum><header>Timeliness of examination reports</header><subparagraph id="H4AF423B534A947C895A3F9988A2C9A01"><enum>(A)</enum><header>Final examination report</header><text display-inline="yes-display-inline">With respect to an examination of an insured credit union, the Board shall provide a final examination report to the insured credit union not later than 60 days after the later of—</text><clause id="H7AEBCA853EAD409795DAD2889C9B3113"><enum>(i)</enum><text>the exit interview for the examination; or</text></clause><clause id="HCB693619969F466BBE16290F2C2D1171"><enum>(ii)</enum><text>the provision of additional information by the insured credit union relating to the examination.</text></clause></subparagraph><subparagraph id="H34395A2D71694E42B45FFE4E020B3AF4"><enum>(B)</enum><header>Examination materials</header><text display-inline="yes-display-inline">Upon the request of an insured credit union, the Board shall include with a final examination report an appendix listing all materials relied upon by the Board in support of all material supervisory determinations.</text></subparagraph><subparagraph id="HB0F5305062E44131990BE5800AE2AE8E"><enum>(C)</enum><header>Material supervisory determination defined</header><text display-inline="yes-display-inline">In this paragraph, the term <quote>material supervisory determination</quote> has the meaning given such term in section 309(i) of the Riegle Community Development and Regulatory Improvement Act of 1994.</text></subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection><subsection id="H10E8F27397484B7A81DEB4067BE11877"><enum>(b)</enum><header>Timeliness of required permission, regulatory, and reporting guidance</header><paragraph id="H1EDE43F15C5245D5A3CACCC14988F309"><enum>(1)</enum><header>Insured depository institutions</header><text>Section 10 of the Federal Deposit Insurance Act (<external-xref legal-doc="usc" parsable-cite="usc/12/1820">12 U.S.C. 1820</external-xref>) is amended by adding at the end the following:</text><quoted-block id="H8BCAF65EA817419AA46D93308FC5793A" style="OLC" changed="added" reported-display-style="italic" committee-id="HBA00"><subsection id="H04B25B06E08C4684AF0B384BCB093061"><enum>(l)</enum><header>Timeliness of required permission, regulatory, and reporting guidance</header><paragraph id="HD4B3528B2D84458A830877CF715D5E43"><enum>(1)</enum><header>Request for permission or guidance</header><text>An insured depository institution may request a written determination by the appropriate Federal banking agency of—</text><subparagraph id="H842AB301A20E45A2B2E250017EEC754A"><enum>(A)</enum><text>the agency’s permission to take a particular action;</text></subparagraph><subparagraph id="H6E0EF9BDBDC549C486C3546F36C5BA81"><enum>(B)</enum><text>the agency’s interpretation of a law or regulation; and</text></subparagraph><subparagraph id="HFCAD1F81DE754123AD3BECC2200AA941"><enum>(C)</enum><text>the agency’s interpretation of generally accepted accounting principles or accounting objectives, standards, and requirements under section 37.</text></subparagraph></paragraph><paragraph id="H0F23C96E6C8943CBB2F0CB3E5E9D8506"><enum>(2)</enum><header>Contents of request</header><text>A request made under paragraph (1) shall be in writing and contain—</text><subparagraph id="H2D83E1A29A234953BED07BAF1F77CB25"><enum>(A)</enum><text>the nature of the request;</text></subparagraph><subparagraph id="HCC834608AC6046759BE21F2C30AE46B7"><enum>(B)</enum><text>applicable facts relating to the matter;</text></subparagraph><subparagraph id="HCB94DAD0D24D4D16B4E353512781CD5C"><enum>(C)</enum><text>applicable law, regulation, or generally accepted accounting principles relating to the matter; and</text></subparagraph><subparagraph id="HB6E97EFC0C9643DCA3FC3A89E5C9315D"><enum>(D)</enum><text>a summary of the request.</text></subparagraph></paragraph><paragraph id="HFE2441A00A114445AF770B421AF9F0FF"><enum>(3)</enum><header>Response to request</header><text display-inline="yes-display-inline">A Federal banking agency receiving a request under paragraph (1) shall, not later than 30 days after receiving the request—</text><subparagraph id="H99170D2E96F849DBAECF7E78DF4FB1E9"><enum>(A)</enum><text>provide the insured depository institution making the request with written notification that the agency received the request and stating whether the request contains the information required under paragraph (2); and</text></subparagraph><subparagraph id="HBA9C09981CD74EE79B998F9481EFF767"><enum>(B)</enum><text display-inline="yes-display-inline">if the request does not contain the information required under paragraph (2), provide the insured depository institution with an explanation of what information is missing.</text></subparagraph></paragraph><paragraph id="H41607F519F444AAD8F4FC413D1C0052B"><enum>(4)</enum><header>Providing missing information</header><text display-inline="yes-display-inline">If a Federal banking agency informs the insured depository institution under paragraph (3) that the request does not contain all the information required under paragraph (2), the insured depository institution may provide the missing information to the Federal banking agency during the 30-day period beginning on the date the insured depository institution receives the explanation of the missing information under paragraph (3).</text></paragraph><paragraph id="HE38598A887E145E4AA5D6797B1D3B8A0"><enum>(5)</enum><header>Determination</header><text display-inline="yes-display-inline">A Federal banking agency receiving a request under paragraph (1) shall make a determination on the request and provide the insured depository institution with a written notice of such determination—</text><subparagraph id="HB17258817FA1461DB9399EB7698BC6CC"><enum>(A)</enum><text display-inline="yes-display-inline">if the initial request contains the information required under paragraph (2), not later than the end of the 60-day period beginning on the date the Federal banking agency notifies the insured depository institution of the receipt of the request under paragraph (3); or</text></subparagraph><subparagraph id="H322CCD8593614D8998B88B8BB3443DED"><enum>(B)</enum><text display-inline="yes-display-inline">if the initial request does not contain the information required under paragraph (2)—</text><clause id="H7C0E29BC4279453193BB1D18C9022F2C"><enum>(i)</enum><text>not later than the end of the 60-day period beginning on the date that the insured depository institution provides the Federal banking agency with the missing information under paragraph (4); or</text></clause><clause id="H06518E37BF87494D8A9A126ED8CA7920"><enum>(ii)</enum><text display-inline="yes-display-inline">if the insured depository institution does not provide the Federal banking agency with the missing information within the 30-day period described under paragraph (4), not later than the end of the 60-day period beginning on the end of such 30-day period.</text></clause></subparagraph></paragraph><paragraph id="H96134DEC75934D05B58E266E0A5963DE"><enum>(6)</enum><header>Reports and publication</header><text display-inline="yes-display-inline">Each Federal banking agency shall, within 120 days after making a determination under paragraph (5), publish a summary of the determination on the public website of the Federal banking agency. Each Federal banking agency shall redact any confidential supervisory information about the insured depository institution, any identifying facts about the institution, and any sensitive personally identifiable information.</text></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></paragraph><paragraph id="H98DA31F22E6C4574BA109543F1521FD6"><enum>(2)</enum><header>Insured credit unions</header><text display-inline="yes-display-inline">Section 209 of the Federal Credit Union Act (<external-xref legal-doc="usc" parsable-cite="usc/12/1789">12 U.S.C. 1789</external-xref>) is amended by adding at the end the following:</text><quoted-block style="OLC" id="H5C06ED56F9024291BC378B0C9317959C" display-inline="no-display-inline" changed="added" reported-display-style="italic" committee-id="HBA00"><subsection id="H33B2C51640DE45D3B6254F756A0B4EEC"><enum>(c)</enum><header>Timeliness of required permission, regulatory, and reporting guidance</header><paragraph id="H9126E770B514433D99EA6E39B846E212"><enum>(1)</enum><header>Request for permission or guidance</header><text>An insured credit union may request a written determination by the Board of—</text><subparagraph id="HA621EC8711004B94980FA1FFA8255843"><enum>(A)</enum><text display-inline="yes-display-inline">the Board’s permission to take a particular action;</text></subparagraph><subparagraph id="H4D9A964A37A544A28134A8B7BA9B0FCD"><enum>(B)</enum><text display-inline="yes-display-inline">the Board’s interpretation of a law or regulation; and</text></subparagraph><subparagraph id="HDB96A0A3FE4148599ACE36F145BD53D3" commented="no"><enum>(C)</enum><text display-inline="yes-display-inline">the Board’s interpretation of generally accepted accounting principles or other accounting objectives, standards, and requirements.</text></subparagraph></paragraph><paragraph id="HDDAC9A6F8ECD4EAE87E0626C6C2DD272"><enum>(2)</enum><header>Contents of request</header><text display-inline="yes-display-inline">A request made under paragraph (1) shall be in writing and contain—</text><subparagraph id="HDBDE2F6C69E6493B99584BD66FF50955"><enum>(A)</enum><text>the nature of the request;</text></subparagraph><subparagraph id="H8EF8CFA82CB6457CA1155B784AD1371B"><enum>(B)</enum><text>applicable facts relating to the matter;</text></subparagraph><subparagraph id="HB258658E26524D238C77B115399C412B"><enum>(C)</enum><text>applicable law, regulation, or generally accepted accounting principles relating to the matter; and</text></subparagraph><subparagraph id="H48D4A01011EE4F61859A8D87BBB6E02E"><enum>(D)</enum><text display-inline="yes-display-inline">a summary of the request.</text></subparagraph></paragraph><paragraph id="H8F92C9D1DE924DAB9B43B8836BEADABC"><enum>(3)</enum><header>Response to request</header><text display-inline="yes-display-inline">The Board, upon receiving a request under paragraph (1) shall, not later than 30 days after receiving the request—</text><subparagraph id="HFD0878545E33428A8108067AA0C2B9E0"><enum>(A)</enum><text>provide the insured credit union making the request with written notification that the Board received the request and stating whether the request contains the information required under paragraph (2); and</text></subparagraph><subparagraph id="HC60FAC3BD7E54AA99BC85A4211E7CBB8"><enum>(B)</enum><text display-inline="yes-display-inline">if the request does not contain the information required under paragraph (2), provide the insured credit union with an explanation of what information is missing.</text></subparagraph></paragraph><paragraph id="H97AF65A8E09E41D5980F265830F40A89"><enum>(4)</enum><header>Providing missing information</header><text display-inline="yes-display-inline">If the Board informs the insured credit union under paragraph (3) that the request does not contain all the information required under paragraph (2), the insured credit union may provide the missing information to the Board during the 30-day period beginning on the date the insured credit union receives the explanation of the missing information under paragraph (3).</text></paragraph><paragraph id="HDD73649C7BC74E60A27E0F1A10D98D94"><enum>(5)</enum><header>Determination</header><text display-inline="yes-display-inline">The Board shall make a determination on a request made under paragraph (1) and provide the insured credit union with a written notice of such determination—</text><subparagraph id="HA6D32B194DCF402BA8309B7167F9F1DF"><enum>(A)</enum><text display-inline="yes-display-inline">if the initial request contains the information required under paragraph (2), not later than the end of the 60-day period beginning on the date the Board notifies the insured credit union of the receipt of the request under paragraph (3); or</text></subparagraph><subparagraph id="H408E28761A05462C88F9052F386A2841"><enum>(B)</enum><text display-inline="yes-display-inline">if the initial request does not contain the information required under paragraph (2)—</text><clause id="HFDB69DA296B246A28BFC343D57D89C28"><enum>(i)</enum><text display-inline="yes-display-inline">not later than the end of the 60-day period beginning on the date that the insured credit union provides the Board with the missing information under paragraph (4); or</text></clause><clause id="H565B14C3F7224195AC64954E9EF7460B"><enum>(ii)</enum><text display-inline="yes-display-inline">if the insured credit union does not provide the Board with the missing information within the 30-day period described under paragraph (4), not later than the end of the 60-day period beginning on the end of such 30-day period.</text></clause></subparagraph></paragraph><paragraph id="H02269DC097554207BF649ED80D8BAB9D"><enum>(6)</enum><header>Reports and publication</header><text display-inline="yes-display-inline">The Board shall, within 120 days after making a determination under paragraph (5), publish a summary of the determination on the public website of the Board. The Board shall redact any confidential supervisory information about the insured credit union, any identifying facts about the credit union, and any sensitive personally identifiable information.</text></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection></section><section id="H8287859C8B25476DB72FC3459420632D"><enum>402.</enum><header>Update of independent intra-agency appellate process for reviewing material supervisory determinations</header><subsection id="H0F2D86FCD65B43DD85245C1DEBA0D70A"><enum>(a)</enum><header>Update of independent intra-Agency appellate process</header><text display-inline="yes-display-inline">Not later than 180 days after the date of enactment of this Act, the Board of Governors of the Federal Reserve System, the Comptroller of the Currency, the Federal Deposit Insurance Corporation Board, and the National Credit Union Administration Board shall revise the independent intra-agency appellate process required under section 309(a) of the Riegle Community Development and Regulatory Improvement Act of 1994 (<external-xref legal-doc="usc" parsable-cite="usc/12/4806">12 U.S.C. 4806(a)</external-xref>).</text></subsection><subsection id="H2FB397CB54E2428E992870CBC02C84F3"><enum>(b)</enum><header>Office of Supervisory Appeals; appeals process</header><text display-inline="yes-display-inline">Section 309 of the Riegle Community Development and Regulatory Improvement Act of 1994 (<external-xref legal-doc="usc" parsable-cite="usc/12/4806">12 U.S.C. 4806</external-xref>) is amended—</text><paragraph id="H2F6C261E083346DB9907236B1F88DEE4"><enum>(1)</enum><text>by redesignating subsection (f) as subsection (i); and</text></paragraph><paragraph id="H7AFD423CBB304063BFEB0EA4B3E64FF1"><enum>(2)</enum><text>by inserting after subsection (e) the following:</text><quoted-block style="OLC" id="HCAAD71746FA1465EBA13ABBAEF97ACD7" display-inline="no-display-inline" changed="added" reported-display-style="italic" committee-id="HBA00"><subsection id="HAD9FA387333146BF8CEEB85C9399524A"><enum>(f)</enum><header>Office of Supervisory Appeals</header><text display-inline="yes-display-inline">The Federal banking agencies and the National Credit Union Administration shall each establish an Office of Supervisory Appeals to carry out the independent intra-agency appellate process required under this section.</text></subsection><subsection id="HAB5623BA48524510999EBE4E5247123E"><enum>(g)</enum><header>Appeals officials</header><paragraph id="H90C4FC9885A541EE8EF00EA654C11D38"><enum>(1)</enum><header>Appointment</header><text display-inline="yes-display-inline">The head of each of the Federal banking agencies and the National Credit Union Administration shall appoint appeals officials, in a number sufficient to fully staff the panels described under subsection (h), from among the following classes of individuals:</text><subparagraph id="H0290A86792E7445CABD7E2A820290053"><enum>(A)</enum><text display-inline="yes-display-inline">Individuals who have financial institutions regulatory agency experience.</text></subparagraph><subparagraph id="H9068419A4DC2408CB72FED948165FC4F"><enum>(B)</enum><text display-inline="yes-display-inline">Individuals who—</text><clause id="HAB4F67F1080A4690A20A7D64174FDBF6"><enum>(i)</enum><text display-inline="yes-display-inline">are a licensed attorney or a certified public accountant authorized to practice under the laws of a State, the District of Columbia, or a territory of the United States;</text></clause><clause id="H9F04E54F25E64EA2AE2CA6BF46839103"><enum>(ii)</enum><text>have either academic or private sector experience;</text></clause><clause id="H4685A3B8FE5349AAAD86D9B4EB475B92"><enum>(iii)</enum><text display-inline="yes-display-inline">have relevant subject matter knowledge or work-related experience in the financial services sector, as determined by the agency making the appointment; and</text></clause><clause id="HF988CC940DFE47F481369F9C57D46705"><enum>(iv)</enum><text>are not, and were not during the previous 10-year period, employed by a Federal banking agency, a Federal reserve bank, or the National Credit Union Administration.</text></clause></subparagraph><subparagraph id="HC05C7E8192354A30A0B85AE62E2BC1E2"><enum>(C)</enum><text display-inline="yes-display-inline">Individuals—</text><clause id="HC939332ADD5B4FF1A068DA73839B63C7"><enum>(i)</enum><text>with at least 10 years private sector financial services senior management-level experience; and</text></clause><clause id="HC9D0D2B35E4A4C0095D0CE743577A166"><enum>(ii)</enum><text>recommended by—</text><subclause id="H90D1377A8B804B87824417B222AB96E7"><enum>(I)</enum><text>an insured depository institution;</text></subclause><subclause id="HF1D275DB57944A0EB21732ED67A17B80"><enum>(II)</enum><text>an insured credit union; or</text></subclause><subclause id="HF4F518A3D00B429A978B8E6EA73D605A"><enum>(III)</enum><text>a trade association for such institutions or credit unions.</text></subclause></clause></subparagraph></paragraph><paragraph id="H63685D8F4449442EA9F7C0868309B75C"><enum>(2)</enum><header>Term</header><subparagraph id="H7CD0BD5DF611484A9DE103139135BF0E"><enum>(A)</enum><header>In general</header><text>Each appeals official appointed under paragraph (1) shall serve for a term of 3 years.</text></subparagraph><subparagraph id="HCD3D7CDD3BDF44FA8155C3CE8C8F29BA"><enum>(B)</enum><header>Term limitation</header><text>No individual may be appointed under paragraph (1) to serve more than 2 full terms.</text></subparagraph><subparagraph id="H591F61E7EAEE4029B271CFF00B455E2F"><enum>(C)</enum><header>Dismissal</header><text display-inline="yes-display-inline">An appeals official appointed under paragraph (1) may be removed at any time by the appointing agency.</text></subparagraph></paragraph></subsection><subsection id="H6F477C72B82C44A2932FEEDDF34DA0CC"><enum>(h)</enum><header>Appeals process and panel hearing of material supervisory determinations</header><paragraph id="H4BCFE100AA594A528BAE5E664D56C016"><enum>(1)</enum><header>Appeal to the head of supervision</header><subparagraph id="H5F15F0BEBCE64931A17649C2D36B607F"><enum>(A)</enum><header>In general</header><text>An institution seeking an appeal of a material supervisory determination shall—</text><clause id="H9CA771662D0642BA9DC6387641583BC5"><enum>(i)</enum><text display-inline="yes-display-inline">file a written appeal to the head of supervision for the agency not later than 30 days after receiving the material supervisory determination from the agency; and</text></clause><clause id="H121195D674294ED2AB98E7215AAFB426"><enum>(ii)</enum><text display-inline="yes-display-inline">include in the appeal—</text><subclause id="HE84919B3F8914448A6553928A6746FA6"><enum>(I)</enum><text>a clear and complete statement of all relevant facts and issues;</text></subclause><subclause id="H28ABEE3C205E4E17AB1F4FEDF8F6FCCE"><enum>(II)</enum><text>all arguments that the institution wishes to present; and</text></subclause><subclause id="H8CE6FA9053F44CB8BBB61BDFD89AEF16"><enum>(III)</enum><text>all relevant and material documents that the institution wishes to be considered.</text></subclause></clause></subparagraph><subparagraph id="H35EB56323C9E41DCB7BC12FAE5EB34BC"><enum>(B)</enum><header>Extension</header><text display-inline="yes-display-inline">The institution may file a written request with the head of supervision for an extension of the 30-day time period described under subparagraph (A)(i), which shall state good cause for granting the extension. Such request shall be granted in the sole discretion of the head of supervision.</text></subparagraph><subparagraph id="H5BE5FE8343B7489B935C7AF3D47BCA70"><enum>(C)</enum><header>Information made available to institution</header><text display-inline="yes-display-inline">An institution seeking an appeal of a material supervisory determination may, not later than 7 days after receiving the material supervisory determination, request that the agency provide the institution with any information relied upon by the agency in making the material supervisory determination. The agency shall provide that information to the institution not later than 14 days after receiving the request.</text></subparagraph></paragraph><paragraph id="HABF52307466B4BC7B13F5D51394B598F"><enum>(2)</enum><header>Consideration of appeal by the head of supervision</header><subparagraph id="H37F32849D20E4EB086DFC1BB917885DE"><enum>(A)</enum><header>In general</header><text>A head of supervision receiving an appeal under paragraph (1) shall, after reviewing the information provided by the institution in such appeal—</text><clause id="H93269F400EED45EFABB7DEA3FF0BFEF2"><enum>(i)</enum><text>grant the appeal;</text></clause><clause id="H5F29FB7AEF5F4EA29311097161C68946"><enum>(ii)</enum><text>refer the appeal to a panel appointed under paragraph (3) for a recommendation; or</text></clause><clause id="H21DB57D621C841F796B67585856F4B33"><enum>(iii)</enum><text>deny the appeal.</text></clause></subparagraph><subparagraph id="H1260E34E565B4656BFD4FD2738BABE65"><enum>(B)</enum><header>Notification</header><text display-inline="yes-display-inline">A head of supervision shall promptly inform the institution and the head of the agency after granting, referring, or denying an appeal under subparagraph (A).</text></subparagraph><subparagraph id="H70F80EE0DA4A45DCA3819AD7182E09F6"><enum>(C)</enum><header>Right to appeal denial</header><text display-inline="yes-display-inline">An institution that has an appeal denied by the head of supervision under subparagraph (A) may appeal such denial directly to a panel appointed under paragraph (3). </text></subparagraph></paragraph><paragraph id="H5881141B71A44C1DB86BF14F5A43DF96"><enum>(3)</enum><header>Appointment of panel</header><subparagraph id="H3ED9136CBEB64392B3B6DD7E9673321E"><enum>(A)</enum><header>In general</header><text display-inline="yes-display-inline">With respect to each appeal referred by a head of supervision under paragraph (2)(A)(ii) or appealed by an institution after a denial under paragraph (2)(A)(iii), the agency shall appoint a panel of 3 appeals officials to provide a recommendation on such appeal, with 1 of the 3 appeals officials being appointed to the panel from individuals in each of the classes described under subparagraphs (A), (B), and (C) of subsection (g)(1).</text></subparagraph><subparagraph id="H074BF5967DFB47A5872A936A83E64134"><enum>(B)</enum><header>Reporting prohibition</header><text>An appeals official may not be appointed to a panel under subparagraph (A) if the appeals official is reporting, or has reported, directly or indirectly in the past 5 years, to the agency official who made the material supervisory determination under review.</text></subparagraph></paragraph><paragraph id="H59B027254DC44FF8AEBCA754481505D5"><enum>(4)</enum><header>Panel hearings</header><subparagraph id="H26501F6D1C92422DAE75A04B64CB6001"><enum>(A)</enum><header>Request for hearing</header><text display-inline="yes-display-inline">An institution may request a hearing with the panel on the institution’s appeal by—</text><clause id="H4147796ECEF14CB3ACD62326879F4B37"><enum>(i)</enum><text>making such request not later than 7 days after the date on which the institution is informed that the head of supervision referred an appeal to a panel under paragraph (2); or</text></clause><clause id="HBDE87B5331F34C6996283CF818279F55"><enum>(ii)</enum><text display-inline="yes-display-inline">including the request in the institution’s appeal of a denial under paragraph (2).</text></clause></subparagraph><subparagraph id="HDB4305852D5643BF818970BB692136C1"><enum>(B)</enum><header>Timing of hearing</header><text display-inline="yes-display-inline">If an institution requests a hearing, as described under subparagraph (A), the panel shall provide the institution with a hearing on the institution’s appeal not later than 30 days after the date the hearing is requested, except the panel may, in the discretion of the panel or upon good cause shown, extend such deadline by up to 15 days.</text></subparagraph><subparagraph id="H431A41CF33F9487B8B5ED374C0A413BC"><enum>(C)</enum><header>Rulemaking</header><text>The Federal banking agencies and the National Credit Union Administration shall each issue rules to establish procedures for panel hearings described under this paragraph, including that—</text><clause id="H3C3FFC953B094752872731D7D42136FC"><enum>(i)</enum><text display-inline="yes-display-inline">the institution may appear at the hearing personally or through counsel;</text></clause><clause id="HCBD69A3CE8CC4FE4A9EF697E6410B425"><enum>(ii)</enum><text>the institution may provide an oral and written presentation at the hearing;</text></clause><clause id="H0F02A7E1D0A24373B1012C3DB3D3050E"><enum>(iii)</enum><text>the panel may ask questions of any person participating in the hearing;</text></clause><clause id="H166A2E344E854C6EA86352D6466419CC"><enum>(iv)</enum><text>the hearing may not involve—</text><subclause id="H55C715806E794D14B1B3922272CC1CBF"><enum>(I)</enum><text>taking testimony;</text></subclause><subclause id="H530FDFC4F0E640208EE485A988918A2F"><enum>(II)</enum><text>a cross-examination; and</text></subclause><subclause id="HB979881CD426414F891C7395AC1BA20F"><enum>(III)</enum><text>discovery;</text></subclause></clause><clause id="H6FC11CD485C348EBB88C7580FD8AAC6E"><enum>(v)</enum><text>the hearing shall not be governed by formal rules of evidence; and</text></clause><clause id="H5F41B8063A4F4BE08334CC14FBD3F846"><enum>(vi)</enum><text>the panel shall have a verbatim transcript of the hearing prepared.</text></clause></subparagraph></paragraph><paragraph id="H16F744103F8542AC9D61CBCBDDD9E010"><enum>(5)</enum><header>Recommendation by panel</header><subparagraph id="H95A4FFFCBB6B429F9BEA55779BDA8C29"><enum>(A)</enum><header>In general</header><text display-inline="yes-display-inline">A panel making a recommendation on an appeal under this subsection shall make the recommendation not later than—</text><clause id="H31A157C07FE14330982AAEC37040544C"><enum>(i)</enum><text display-inline="yes-display-inline">90 days after the date on which the appeal was referred by a head of supervision under paragraph (2)(A)(ii) or appealed by an institution after a denial under paragraph (2)(A); or</text></clause><clause id="HDD25E81476024FDDBF33AC06749E0850"><enum>(ii)</enum><text>if the institution requested a hearing under paragraph (4), 60 days after the date on which the hearing concluded.</text></clause></subparagraph><subparagraph id="H31374E0E47AA416EBCD5B29C147CB524"><enum>(B)</enum><header>Form of recommendation</header><text display-inline="yes-display-inline">The panel may recommend—</text><clause id="HCEC0D15553404455B7F4268643CB707B"><enum>(i)</enum><text>that the material supervisory determination be continued, terminated, or otherwise modified; or</text></clause><clause id="HD68F1ECD94874DE49BBAC514E8C5AFDC"><enum>(ii)</enum><text display-inline="yes-display-inline">that the material supervisory determination be remanded to the examiners to allow the examiners to consider additional information presented in connection with the appeal.</text></clause></subparagraph><subparagraph id="H6E3A0711F685451AA139DAAA65D31983"><enum>(C)</enum><header>Notice</header><text>After a recommendation is made under subparagraph (A), the panel shall promptly notify the institution, the head of supervision of the agency, and the head of the agency of the recommendation, which shall contain a statement of the basis for the panel’s recommendation and identify the information on which the panel relied in reaching the recommendation.</text></subparagraph><subparagraph id="H8996EBB0E523455A9F7DE54894B5BCFD"><enum>(D)</enum><header>Publication</header><text display-inline="yes-display-inline">A copy of each panel recommendation shall be posted on the agency’s public website as soon as practicable, with exempt information redacted. If the panel determines that redaction is insufficient to prevent improper disclosure, the recommendation may be presented in summary form.</text></subparagraph><subparagraph id="H1A7C26028FD0440B9FE9B912C6355A8C"><enum>(E)</enum><header>Standard of review</header><text display-inline="yes-display-inline">A panel’s review of a material supervisory determination being appealed under this subsection shall be de novo.</text></subparagraph><subparagraph id="HAAA409FA4CB540BAAB9CED725E3773E8"><enum>(F)</enum><header>No authority to delay or stay orders</header><text display-inline="yes-display-inline">A panel shall have no authority to delay or stay the implementation of any formal order from the applicable agency.</text></subparagraph></paragraph><paragraph id="HDF83C8188D24421EB7ED753B4A21B3DF"><enum>(6)</enum><header>Review by the head of the agency</header><subparagraph id="H48ED1B311DDB4CDCA46419A2A774CB72"><enum>(A)</enum><header>Response by institution</header><text display-inline="yes-display-inline">Not later than 15 days after receiving a notice of a recommendation under paragraph (5)(C), the institution may submit to the head of the agency written exceptions to the recommended decision.</text></subparagraph><subparagraph id="HDC46ED5AB82A47BF9FC2B2EDBB6EE6B5"><enum>(B)</enum><header>Review by head of the agency</header><text display-inline="yes-display-inline">Not later than 45 days after receiving a notice of a recommendation under paragraph (5)(C), the head of an agency shall review such decision and either ratify or reject the panel’s decision.</text></subparagraph><subparagraph id="HA6A1AC8DD47742619DC19E9B891A542A"><enum>(C)</enum><header>Review may not be delegated</header><text>A review by the head of an agency under this paragraph may not be delegated to any other employee of the agency and, in the case of an agency that is headed by a body made up of multiple individuals, all such individuals shall participate in the review.</text></subparagraph><subparagraph id="H896783F859EF4096944317515444803B" display-inline="no-display-inline"><enum>(D)</enum><header>Reports to Congress</header><text display-inline="yes-display-inline">The Federal banking agencies and the National Credit Union Administration shall each, not later than 90 days after the end of each calendar year, 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 describing the actions taken by the agency under this paragraph during such calendar year, including information on each of the panel decisions reviewed, after redacting any confidential supervisory information.</text></subparagraph><subparagraph id="H51799F49DA1740159497B1DA8810A272" display-inline="no-display-inline"><enum>(E)</enum><header>Publication</header><text display-inline="yes-display-inline">A copy of each decision by the head of the agency under this paragraph shall be posted on the agency’s public website as soon as practicable, with any information identifying the appealing institution redacted. If the head of the agency determinates that redaction is insufficient to prevent improper disclosure, the decision may be presented in summary form.</text></subparagraph></paragraph><paragraph id="H2B2550A28B1441868761E4256D0A50C4"><enum>(7)</enum><header>Right to judicial review</header><text display-inline="yes-display-inline">An institution shall have the right to petition for review of an agency head’s decision under paragraph (6) by filing a petition for review not later than 60 days after the date on which the decision was made in the United States Court of Appeals for the District of Columbia Circuit or the circuit in which the institution is located.</text></paragraph><paragraph id="HA66A102054B94ABBA8EB99A94C9C68C2"><enum>(8)</enum><header>Retaliation prohibited</header><text display-inline="yes-display-inline">The Federal banking agencies and the National Credit Union Administration may not—</text><subparagraph id="HCF945AD88B9248D6A4DFB6BA5FA93BB0"><enum>(A)</enum><text display-inline="yes-display-inline">retaliate against an insured depository institution or insured credit union, or a service provider or institution-affiliated party of an insured depository institution or insured credit union, for exercising rights under this subsection; or</text></subparagraph><subparagraph id="H748CB2BB019F477099AB0190FB8E825B"><enum>(B)</enum><text display-inline="yes-display-inline">delay or deny any agency action that would benefit an insured depository institution or insured credit union, or a service provider or institution-affiliated party of an insured depository institution or insured credit union, on the basis that a matter under this section is pending under this section.</text></subparagraph></paragraph><paragraph id="H670DC537A5944CD182C924B67A4BB098"><enum>(9)</enum><header>Definitions</header><text display-inline="yes-display-inline">With respect to the appeal of a material supervisory determination under this subsection:</text><subparagraph id="HB150D089982D439B902DDC5913DD419F"><enum>(A)</enum><header>Agency</header><text display-inline="yes-display-inline">The term <quote>agency</quote> means the Federal agency, either a Federal banking agency or the National Credit Union Administration, that made the material supervisory determination.</text></subparagraph><subparagraph id="HBFFA66B0978D46D69C2611122315F331"><enum>(B)</enum><header>Institution</header><text display-inline="yes-display-inline">The term <quote>institution</quote> means the company, either an insured depository institution or an insured credit union, with respect to which the material supervisory determination was made.</text></subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection></section><section id="H668A975E084A49C38A28D35132534B36"><enum>403.</enum><header>Review of resolution actions resulting in a material loss</header><text display-inline="no-display-inline">Section 38(k) of the Federal Deposit Insurance Act (<external-xref legal-doc="usc" parsable-cite="usc/12/1831o">12 U.S.C. 1831o(k)</external-xref>) is amended by adding at the end the following:</text><quoted-block style="OLC" id="H8F92A17DA9BF4151BA12B834FC8B7F24" display-inline="no-display-inline" changed="added" reported-display-style="italic" committee-id="HBA00"><paragraph id="H4E24D7A9B7A74D2C8F2CEE34D461534E"><enum>(7)</enum><header>Review of resolution actions by Corporation inspector general</header><subparagraph id="H4128FA65F01D4EAFAAC118140350D775"><enum>(A)</enum><header>In general</header><text display-inline="yes-display-inline">If the Deposit Insurance Fund incurs a material loss with respect to an insured depository institution, the inspector general of the Corporation shall—</text><clause id="H93DB3856B8E94FF49FBE25633701335D"><enum>(i)</enum><text display-inline="yes-display-inline">review the Corporation’s resolution of the institution to determine whether the material loss to the Deposit Insurance Fund could have been avoided by the Corporation when resolving the institution; and</text></clause><clause id="H198BA1E55C6F47D6AC121FECB7488468"><enum>(ii)</enum><text display-inline="yes-display-inline">make a written report to the Corporation and the Congress containing the results of such review and any recommendations for preventing a material loss to the Deposit Insurance Fund in the future when resolving an institution.</text></clause></subparagraph><subparagraph id="HBBA3F034A8824B16BDF487EE787DE396" display-inline="no-display-inline"><enum>(B)</enum><header>Testimony to Congress</header><text display-inline="yes-display-inline">If the inspector general of the Corporation determines, in a review carried out under subparagraph (A) that the Corporation’s resolution of an institution caused a material loss to the Deposit Insurance Fund, but such resolution could have been carried out in a manner to avoid such a material loss, the Chairperson of the Corporation shall testify before the Committee on Financial Services of the House of Representatives and the Committee on Banking, Housing, and Urban Affairs of the Senate to explain why the material loss occurred.</text></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></section><enum>V</enum><header>Review of Discount Window Operations</header><section id="H9D33525A0A7D429F811B036600CC1AC7" section-type="subsequent-section"><enum>501.</enum><header>Review of discount window operations</header><text display-inline="no-display-inline">Section 10 of the Federal Reserve Act (<external-xref legal-doc="usc" parsable-cite="usc/12/241">12 U.S.C. 241 et seq.</external-xref>) is amended—</text><paragraph id="HEDD657A10430444BA1BE97AB6E22F953"><enum>(1)</enum><text>by redesignating paragraph (12) as paragraph (11); and</text></paragraph><paragraph id="HC029BD4EAC10418FB2F0E0196F106E70"><enum>(2)</enum><text>by adding at the end the following:</text><quoted-block style="OLC" id="H253D47E4DF354114B7D09CA8D959E6A6" display-inline="no-display-inline" changed="added" reported-display-style="italic" committee-id="HBA00"><paragraph id="H0F13E26FB2C149C8A7826E382F434547"><enum>(12)</enum><header>Review of discount window operations</header><subparagraph id="H21EFB9621A6845DB9149A54015BA3599"><enum>(A)</enum><header>In general</header><text display-inline="yes-display-inline">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 <quote>discount window</quote>), and shall complete such review not later than 240 days after the date of enactment of this paragraph.</text></subparagraph><subparagraph id="H51FB804EEECA4AC1989DA03540934B0A"><enum>(B)</enum><header>Contents</header><text>The review required by subparagraph (A) shall include a consideration of—</text><clause id="H09F552420D754EB5ADF513BC07832F95"><enum>(i)</enum><text display-inline="yes-display-inline">the effectiveness of the discount window in providing liquidity to financial institutions, including in times of financial stress;</text></clause><clause id="H3E0DF195477F4471AB8C00DFADE734C0"><enum>(ii)</enum><text>whether the technology infrastructure, including means of communications, are sufficient to support the timely provision of liquidity, including in times of financial stress;</text></clause><clause id="HF1E7EC7B14B5493299D7F56FA179A90B"><enum>(iii)</enum><text>the effectiveness of cybersecurity measures;</text></clause><clause id="H64FBEBB4B5A144D2836D89773A1FBA98"><enum>(iv)</enum><text>the effectiveness of communications between Federal reserve banks regarding discount window operations;</text></clause><clause id="H1CCE1591B5784AE4A2A4FB00D4CBAF5F"><enum>(v)</enum><text display-inline="yes-display-inline">the effectiveness of the Board of Governors in providing oversight of the discount window;</text></clause><clause id="H78B4D887AFB743329AFB51D4FA208FF7"><enum>(vi)</enum><text display-inline="yes-display-inline">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; and</text></clause><clause id="H2617548B81714653A18F5E3E6EEF6ECE"><enum>(vii)</enum><text display-inline="yes-display-inline">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 Board of Governors and Federal reserve banks, such as FedWire and FedNow.</text></clause></subparagraph><subparagraph id="H62127E1D75C9497F93E47E9D701C4F21"><enum>(C)</enum><header>Public comment</header><text display-inline="yes-display-inline">In carrying out the review required by subparagraph (A), the Board of Governors shall provide the public with an opportunity to comment on the effectiveness of discount window operations and to offer suggestions for improving operations.</text></subparagraph><subparagraph id="HD6986F4D95A949E19F86AFDDD60309A1"><enum>(D)</enum><header>Remediation plan</header><text display-inline="yes-display-inline">After completing the review required by subparagraph (A) and considering any public comments received pursuant to subparagraph (C), the Board of Governors shall develop, and approve by a vote of the Board of Governors, a written plan to remediate any identified deficiencies or areas for enhancing effectiveness of the discount window, which shall include—</text><clause id="H4578D443597147219B127B78A8656BBD"><enum>(i)</enum><text>an identification of actions that the Board of Governors will take to remediate those deficiencies;</text></clause><clause id="H34C76AECF17E44AF9ACFDE3A68EBA328"><enum>(ii)</enum><text display-inline="yes-display-inline">timelines and milestones for implementing the plan and measures to demonstrate how the Board of Governors will maintain implemented improvements on an ongoing basis; and</text></clause><clause id="H4AF079BD593E411A85383AA00B7B19A6"><enum>(iii)</enum><text display-inline="yes-display-inline">measures of managing and controlling deficiencies until the plan is implemented in full.</text></clause></subparagraph><subparagraph id="H48A41570F41A4CC09E66296F1811F893"><enum>(E)</enum><header>Report to Congress on review and plan</header><clause id="H6CC40E174DE0410D93E6FBF41420BFEC"><enum>(i)</enum><header>In general</header><text>Not later than 365 days after the date of enactment of this paragraph, the Board of Governors shall, after approval by a vote of the Board of Governors, 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—</text><subclause id="HCBE9F966C3F74B76B29CD0547987AB4F"><enum>(I)</enum><text display-inline="yes-display-inline">the findings of the review required by subparagraph (A); and</text></subclause><subclause id="HD95F754669EB431DB6886E276375C53B"><enum>(II)</enum><text>the remediation plan required by subparagraph (D).</text></subclause></clause><clause id="H8F054023B48349D39BA6481D04479CEE"><enum>(ii)</enum><header>Consultation</header><text display-inline="yes-display-inline">Before submitting the report required by clause (i), the Board of Governors shall—</text><subclause id="H819E598C956344F4AA5D9DF3E54B8C37"><enum>(I)</enum><text>provide a copy of the proposed report to the Comptroller General of the United States and the Inspector General of the Board of Governors of the Federal Reserve System and the Bureau of Consumer Financial Protection; and</text></subclause><subclause id="H9C3735ECB6F049089FA0A5CF6DDF237F"><enum>(II)</enum><text>provide the Comptroller General and Inspector General with an opportunity to provide feedback on the report.</text></subclause></clause><clause id="H786BEEFDCBBF445DA5E6E7AB46C366F0"><enum>(iii)</enum><header>Testimony</header><text display-inline="yes-display-inline">The Chairman of the Board of Governors shall testify before the Committee on Financial Services of the House of Representatives and the Committee on Banking, Housing, and Urban Affairs of the Senate with respect to the contents of the report required under this subparagraph.</text></clause></subparagraph><subparagraph id="H2DD8356DD5724D6998936E5B46F651CE"><enum>(F)</enum><header>Annual reports to Congress</header><clause id="H7C50F8E85F2C4727A46D9E72AB2A0B44"><enum>(i)</enum><header>Reports by the Board</header><text>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.</text></clause><clause id="H407819B5ABE249958E0A334A9AA89123"><enum>(ii)</enum><header>Reports by the Inspector General</header><text display-inline="yes-display-inline">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 (D).</text></clause></subparagraph><subparagraph id="H127BB06D65C04403B76DD8C01623DA70"><enum>(G)</enum><header>Confidential report information</header><text display-inline="yes-display-inline">Any report required under this paragraph may contain a confidential annex containing information that details any cybersecurity deficiencies or any deficiencies which, if made public, could cause financial instability.</text></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></section><enum>VI</enum><header>Small Bank Holding Company Relief</header><section id="HE5EDE5944F974256BA6C0A8FA2D70D7D" section-type="subsequent-section"><enum>601.</enum><header>Changes required to the Small Bank Holding Company and Savings and Loan Holding Company Policy Statement</header><text display-inline="no-display-inline">Not later than 180 days after the date of enactment of this Act, the Board of Governors of the Federal Reserve System shall revise appendix C to part 225 of title 12, Code of Federal Regulations (commonly known as the <quote>Small Bank Holding Company and Savings and Loan Holding Company Policy Statement</quote>), to raise the consolidated asset threshold under that appendix to $10,000,000,000 for any bank holding company or savings and loan holding company.</text></section>December 3, 2024Reported with an amendment, committed to the Committee of the Whole House on the State of the Union, and ordered to be printed