[Congressional Bills 103th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3841 Enrolled Bill (ENR)]

        H.R.3841

                       One Hundred Third Congress

                                 of the

                        United States of America


                          AT THE SECOND SESSION

          Begun and held at the City of Washington on Tuesday,
 the twenty-fifth day of January, one thousand nine hundred and ninety-
                                  four


                                 An Act

  
 
  To amend the Bank Holding Company Act of 1956, the Revised Statutes of 
the United States, and the Federal Deposit Insurance Act to provide for 
interstate banking and branching.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Riegle-Neal 
Interstate Banking and Branching Efficiency Act of 1994''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

                TITLE I--INTERSTATE BANKING AND BRANCHING

Sec. 101. Interstate banking.
Sec. 102. Interstate bank mergers.
Sec. 103. State ``opt-in'' election to permit interstate branching 
          through de novo branches.
Sec. 104. Branching by foreign banks.
Sec. 105. Coordination of examination authority.
Sec. 106. Branch closures.
Sec. 107. Equalizing competitive opportunities for United States and 
          foreign banks.
Sec. 108. Federal Reserve Board study on bank fees.
Sec. 109. Prohibition against deposit production offices.
Sec. 110. Community Reinvestment Act evaluation of banks with interstate 
          branches.
Sec. 111. Restatement of existing law.
Sec. 112. GAO report on data collection under interstate branching.
Sec. 113. Maximum interest rate on certain FMHA loans.
Sec. 114. Notice requirements for banking agency decisions preempting 
          State law.
Sec. 115. Moratorium on examination fees under the International Banking 
          Act of 1978.

                      TITLE II--GENERAL PROVISIONS

Sec. 201. Amendments to Federal Deposit Insurance Act and Federal Home 
          Loan Bank Act.
Sec. 202. Sense of the Senate concerning multilateral export controls.
Sec. 203. Amendments relating to silver medals for Persian Gulf 
          veterans.
Sec. 204. Commemoration of 1995 Special Olympic World Games.
Sec. 205. National Community Service Commemorative Coins.
Sec. 206. Robert F. Kennedy Memorial Commemorative Coins.
Sec. 207. United States Military Academy Bicentennial Commemorative 
          Coins.
Sec. 208. United States Botanic Garden Commemorative Coins.
Sec. 209. Mount Rushmore Commemorative Coins.
Sec. 210. Study and report on the United States financial services 
          system.
Sec. 211. Flexibility in choosing boards of directors.

               TITLE I--INTERSTATE BANKING AND BRANCHING

SEC. 101. INTERSTATE BANKING.

    (a) In General.--Section 3(d) of the Bank Holding Company Act of 
1956 (12 U.S.C. 1842(d)) is amended to read as follows:
    ``(d) Interstate Banking.--
        ``(1) Approvals authorized.--
            ``(A) Acquisition of banks.--The Board may approve an 
        application under this section by a bank holding company that 
        is adequately capitalized and adequately managed to acquire 
        control of, or acquire all or substantially all of the assets 
        of, a bank located in a State other than the home State of such 
        bank holding company, without regard to whether such 
        transaction is prohibited under the law of any State.
            ``(B) Preservation of state age laws.--
                ``(i) In general.--Notwithstanding subparagraph (A), 
            the Board may not approve an application pursuant to such 
            subparagraph that would have the effect of permitting an 
            out-of-State bank holding company to acquire a bank in a 
            host State that has not been in existence for the minimum 
            period of time, if any, specified in the statutory law of 
            the host State.
                ``(ii) Special rule for state age laws specifying a 
            period of more than 5 years.--Notwithstanding clause (i), 
            the Board may approve, pursuant to subparagraph (A), the 
            acquisition of a bank that has been in existence for at 
            least 5 years without regard to any longer minimum period 
            of time specified in a statutory law of the host State.
            ``(C) Shell banks.--For purposes of this subsection, a bank 
        that has been chartered solely for the purpose of, and does not 
        open for business prior to, acquiring control of, or acquiring 
        all or substantially all of the assets of, an existing bank 
        shall be deemed to have been in existence for the same period 
        of time as the bank to be acquired.
            ``(D) Effect on state contingency laws.--No provision of 
        this subsection shall be construed as affecting the 
        applicability of a State law that makes an acquisition of a 
        bank contingent upon a requirement to hold a portion of such 
        bank's assets available for call by a State-sponsored housing 
        entity established pursuant to State law, if--
                ``(i) the State law does not have the effect of 
            discriminating against out-of-State banks, out-of-State 
            bank holding companies, or subsidiaries of such banks or 
            bank holding companies;
                ``(ii) that State law was in effect as of the date of 
            enactment of the Riegle-Neal Interstate Banking and 
            Branching Efficiency Act of 1994;
                ``(iii) the Federal Deposit Insurance Corporation has 
            not determined that compliance with such State law would 
            result in an unacceptable risk to the appropriate deposit 
            insurance fund; and
                ``(iv) the appropriate Federal banking agency for such 
            bank has not found that compliance with such State law 
            would place the bank in an unsafe or unsound condition.
        ``(2) Concentration limits.--
            ``(A) Nationwide concentration limits.--The Board may not 
        approve an application pursuant to paragraph (1)(A) if the 
        applicant (including all insured depository institutions which 
        are affiliates of the applicant) controls, or upon consummation 
        of the acquisition for which such application is filed would 
        control, more than 10 percent of the total amount of deposits 
        of insured depository institutions in the United States.
            ``(B) Statewide concentration limits other than with 
        respect to initial entries.--The Board may not approve an 
        application pursuant to paragraph (1)(A) if--
                ``(i) immediately before the consummation of the 
            acquisition for which such application is filed, the 
            applicant (including any insured depository institution 
            affiliate of the applicant) controls any insured depository 
            institution or any branch of an insured depository 
            institution in the home State of any bank to be acquired or 
            in any host State in which any such bank maintains a 
            branch; and
                ``(ii) the applicant (including all insured depository 
            institutions which are affiliates of the applicant), upon 
            consummation of the acquisition, would control 30 percent 
            or more of the total amount of deposits of insured 
            depository institutions in any such State.
            ``(C) Effectiveness of state deposit caps.--No provision of 
        this subsection shall be construed as affecting the authority 
        of any State to limit, by statute, regulation, or order, the 
        percentage of the total amount of deposits of insured 
        depository institutions in the State which may be held or 
        controlled by any bank or bank holding company (including all 
        insured depository institutions which are affiliates of the 
        bank or bank holding company) to the extent the application of 
        such limitation does not discriminate against out-of-State 
        banks, out-of-State bank holding companies, or subsidiaries of 
        such banks or holdingP companies.
            ``(D) Exceptions to subparagraph (b).--The Board may 
        approve an application pursuant to paragraph (1)(A) without 
        regard to the applicability of subparagraph (B) with respect to 
        any State if--
                ``(i) there is a limitation described in subparagraph 
            (C) in a State statute, regulation, or order which has the 
            effect of permitting a bank or bank holding company 
            (including all insured depository institutions which are 
            affiliates of the bank or bank holding company) to control 
            a greater percentage of total deposits of all insured 
            depository institutions in the State than the percentage 
            permitted under subparagraph (B); or
                ``(ii) the acquisition is approved by the appropriate 
            State bank supervisor of such State and the standard on 
            which such approval is based does not have the effect of 
            discriminating against out-of-State banks, out-of-State 
            bank holding companies, or subsidiaries of such banks or 
            holding companies.
            ``(E) Deposit defined.--For purposes of this paragraph, the 
        term `deposit' has the same meaning as in section 3(l) of the 
        Federal Deposit Insurance Act.
        ``(3) Community reinvestment compliance.--In determining 
    whether to approve an application under paragraph (1)(A), the Board 
    shall--
            ``(A) comply with the responsibilities of the Board 
        regarding such application under section 804 of the Community 
        Reinvestment Act of 1977; and
            ``(B) take into account the applicant's record of 
        compliance with applicable State community reinvestment laws.
        ``(4) Applicability of antitrust laws.--No provision of this 
    subsection shall be construed as affecting--
            ``(A) the applicability of the antitrust laws; or
            ``(B) the applicability, if any, of any State law which is 
        similar to the antitrust laws.
        ``(5) Exception for banks in default or in danger of default.--
    The Board may approve an application pursuant to paragraph (1)(A) 
    which involves--
            ``(A) an acquisition of 1 or more banks in default or in 
        danger of default; or
            ``(B) an acquisition with respect to which assistance is 
        provided under section 13(c) of the Federal Deposit Insurance 
        Act;
    without regard to subparagraph (B) or (D) of paragraph (1) or 
    paragraph (2) or (3).''.
    (b) State Taxation Authority Not Affected.--Section 7 of the Bank 
Holding Company Act of 1956 (12 U.S.C. 1846) is amended--
        (1) by striking ``No provision'' and inserting ``(a) In 
    General.--No provision''; and
        (2) by adding at the end the following new subsection:
    ``(b) State Taxation Authority Not Affected.--No provision of this 
Act shall be construed as affecting the authority of any State or 
political subdivision of any State to adopt, apply, or administer any 
tax or method of taxation to any bank, bank holding company, or foreign 
bank, or any affiliate of any bank, bank holding company, or foreign 
bank, to the extent that such tax or tax method is otherwise 
permissible by or under the Constitution of the United States or other 
Federal law.''.
    (c) Definitions.--Section 2 of the Bank Holding Company Act of 1956 
(12 U.S.C. 1841) is amended by adding at the end the following new 
subsections:
    ``(n) Incorporated Definitions.--For purposes of this Act, the 
terms `insured depository institution', `appropriate Federal banking 
agency', `default', `in danger of default', and `State bank supervisor' 
have the same meanings as in section 3 of the Federal Deposit Insurance 
Act.
    ``(o) Other Definitions.--For purposes of this Act, the following 
definitions shall apply:
        ``(1) Adequately capitalized.--The term `adequately 
    capitalized' means a level of capitalization which meets or exceeds 
    all applicable Federal regulatory capital standards.
        ``(2) Antitrust laws.--Except as provided in section 11, the 
    term `antitrust laws'--
            ``(A) has the same meaning as in subsection (a) of the 
        first section of the Clayton Act; and
            ``(B) includes section 5 of the Federal Trade Commission 
        Act to the extent that such section 5 relates to unfair methods 
        of competition.
        ``(3) Branch.--The term `branch' means a domestic branch (as 
    defined in section 3 of the Federal Deposit Insurance Act).
        ``(4) Home state.--The term `home State' means--
            ``(A) with respect to a national bank, the State in which 
        the main office of the bank is located;
            ``(B) with respect to a State bank, the State by which the 
        bank is chartered; and
            ``(C) with respect to a bank holding company, the State in 
        which the total deposits of all banking subsidiaries of such 
        company are the largest on the later of--
                ``(i) July 1, 1966; or
                ``(ii) the date on which the company becomes a bank 
            holding company under this Act.
        ``(5) Host state.--The term `host State' means--
            ``(A) with respect to a bank, a State, other than the home 
        State of the bank, in which the bank maintains, or seeks to 
        establish and maintain, a branch; and
            ``(B) with respect to a bank holding company, a State, 
        other than the home State of the company, in which the company 
        controls, or seeks to control, a bank subsidiary.
        ``(6) Out-of-state bank.--The term `out-of-State bank' means, 
    with respect to any State, a bank whose home State is another 
    State.
        ``(7) Out-of-state bank holding company.--The term `out-of-
    State bank holding company' means, with respect to any State, a 
    bank holding company whose home State is another State.''.
    (d) Subsidiary Depository Institutions as Agents.--Section 18 of 
the Federal Deposit Insurance Act (12 U.S.C. 1828) is amended by adding 
at the end the following new subsection:
    ``(r) Subsidiary Depository Institutions as Agents for Certain 
Affiliates.--
        ``(1) In general.--Any bank subsidiary of a bank holding 
    company may receive deposits, renew time deposits, close loans, 
    service loans, and receive payments on loans and other obligations 
    as an agent for a depository institution affiliate.
        ``(2) Bank acting as agent is not a branch.--Notwithstanding 
    any other provision of law, a bank acting as an agent in accordance 
    with paragraph (1) for a depository institution affiliate shall not 
    be considered to be a branch of the affiliate.
        ``(3) Prohibitions on activities.--A depository institution may 
    not--
            ``(A) conduct any activity as an agent under paragraph (1) 
        or (6) which such institution is prohibited from conducting as 
        a principal under any applicable Federal or State law; or
            ``(B) as a principal, have an agent conduct any activity 
        under paragraph (1) or (6) which the institution is prohibited 
        from conducting under any applicable Federal or State law.
        ``(4) Existing authority not affected.--No provision of this 
    subsection shall be construed as affecting--
            ``(A) the authority of any depository institution to act as 
        an agent on behalf of any other depository institution under 
        any other provision of law; or
            ``(B) whether a depository institution which conducts any 
        activity as an agent on behalf of any other depository 
        institution under any other provision of law shall be 
        considered to be a branch of such other institution.
        ``(5) Agency relationship required to be consistent with safe 
    and sound banking practices.--An agency relationship between 
    depository institutions under paragraph (1) or (6) shall be on 
    terms that are consistent with safe and sound banking practices and 
    all applicable regulations of any appropriate Federal banking 
    agency.
        ``(6) Affiliated insured savings associations.--An insured 
    savings association which was an affiliate of a bank on July 1, 
    1994, may conduct activities as an agent on behalf of such bank in 
    the same manner as an insured bank affiliate of such bank may act 
    as agent for such bank under this subsection to the extent such 
    activities are conducted only in--
            ``(A) any State in which--
                ``(i) the bank is not prohibited from operating a 
            branch under any provision of Federal or State law; and
                ``(ii) the savings association maintained an office or 
            branch and conducted business as of July 1, 1994; or
            ``(B) any State in which--
                ``(i) the bank is not expressly prohibited from 
            operating a branch under a State law described in section 
            44(a)(2); and
                ``(ii) the savings association maintained a main office 
            and conducted business as of July 1, 1994.''.
    (e) Effective Date.--The amendments made by this section shall take 
effect at the end of the 1-year period beginning on the date of the 
enactment of this Act.

SEC. 102. INTERSTATE BANK MERGERS.

    (a) In General.--The Federal Deposit Insurance Act (12 U.S.C. 1811 
et seq.) is amended by adding at the end the following new section:

``SEC. 44. INTERSTATE BANK MERGERS.

    ``(a) Approval of Interstate Merger Transactions Authorized.--
        ``(1) In general.--Beginning on June 1, 1997, the responsible 
    agency may approve a merger transaction under section 18(c) between 
    insured banks with different home States, without regard to whether 
    such transaction is prohibited under the law of any State.
        ``(2) State election to prohibit interstate merger 
    transactions.--
            ``(A) In general.--Notwithstanding paragraph (1), a merger 
        transaction may not be approved pursuant to paragraph (1) if 
        the transaction involves a bank the home State of which has 
        enacted a law after the date of enactment of the Riegle-Neal 
        Interstate Banking and Branching Efficiency Act of 1994 and 
        before June 1, 1997, that--
                ``(i) applies equally to all out-of-State banks; and
                ``(ii) expressly prohibits merger transactions 
            involving out-of-State banks.
            ``(B) No effect on prior approvals of merger 
        transactions.--A law enacted by a State pursuant to 
        subparagraph (A) shall have no effect on merger transactions 
        that were approved before the effective date of such law.
        ``(3) State election to permit early interstate merger 
    transactions.--
            ``(A) In general.--A merger transaction may be approved 
        pursuant to paragraph (1) before June 1, 1997, if the home 
        State of each bank involved in the transaction has in effect, 
        as of the date of the approval of such transaction, a law 
        that--
                ``(i) applies equally to all out-of-State banks; and
                ``(ii) expressly permits interstate merger transactions 
            with all out-of-State banks.
            ``(B) Certain conditions allowed.--A host State may impose 
        conditions on a branch within such State of a bank resulting 
        from an interstate merger transaction if--
                ``(i) the conditions do not have the effect of 
            discriminating against out-of-State banks, out-of-State 
            bank holding companies, or any subsidiary of such bank or 
            company (other than on the basis of a nationwide reciprocal 
            treatment requirement);
                ``(ii) the imposition of the conditions is not 
            preempted by Federal law; and
                ``(iii) the conditions do not apply or require 
            performance after May 31, 1997.
        ``(4) Interstate merger transactions involving acquisitions of 
    branches.--
            ``(A) In general.--An interstate merger transaction may 
        involve the acquisition of a branch of an insured bank without 
        the acquisition of the bank only if the law of the State in 
        which the branch is located permits out-of-State banks to 
        acquire a branch of a bank in such State without acquiring the 
        bank.
            ``(B) Treatment of branch for purposes of this section.--In 
        the case of an interstate merger transaction which involves the 
        acquisition of a branch of an insured bank without the 
        acquisition of the bank, the branch shall be treated, for 
        purposes of this section, as an insured bank the home State of 
        which is the State in which the branch is located.
        ``(5) Preservation of state age laws.--
            ``(A) In general.--The responsible agency may not approve 
        an application pursuant to paragraph (1) that would have the 
        effect of permitting an out-of-State bank or out-of-State bank 
        holding company to acquire a bank in a host State that has not 
        been in existence for the minimum period of time, if any, 
        specified in the statutory law of the host State.
            ``(B) Special rule for state age laws specifying a period 
        of more than 5 years.--Notwithstanding subparagraph (A), the 
        responsible agency may approve a merger transaction pursuant to 
        paragraph (1) involving the acquisition of a bank that has been 
        in existence at least 5 years without regard to any longer 
        minimum period of time specified in a statutory law of the host 
        State.
        ``(6) Shell banks.--For purposes of this subsection, a bank 
    that has been chartered solely for the purpose of, and does not 
    open for business prior to, acquiring control of, or acquiring all 
    or substantially all of the assets of, an existing bank or branch 
    shall be deemed to have been in existence for the same period of 
    time as the bank or branch to be acquired.
    ``(b) Provisions Relating to Application and Approval Process.--
        ``(1) Compliance with state filing requirements.--
            ``(A) In general.--Any bank which files an application for 
        an interstate merger transaction shall--
                ``(i) comply with the filing requirements of any host 
            State of the bank which will result from such transaction 
            to the extent that the requirement--

                    ``(I) does not have the effect of discriminating 
                against out-of-State banks or out-of-State bank holding 
                companies or subsidiaries of such banks or bank holding 
                companies; and
                    ``(II) is similar in effect to any requirement 
                imposed by the host State on a nonbanking corporation 
                incorporated in another State that engages in business 
                in the host State; and

                ``(ii) submit a copy of the application to the State 
            bank supervisor of the host State.
            ``(B) Penalty for failure to comply.--The responsible 
        agency may not approve an application for an interstate merger 
        transaction if the applicant materially fails to comply with 
        subparagraph (A).
        ``(2) Concentration limits.--
            ``(A) Nationwide concentration limits.--The responsible 
        agency may not approve an application for an interstate merger 
        transaction if the resulting bank (including all insured 
        depository institutions which are affiliates of the resulting 
        bank), upon consummation of the transaction, would control more 
        than 10 percent of the total amount of deposits of insured 
        depository institutions in the United States.
            ``(B) Statewide concentration limits other than with 
        respect to initial entries.--The responsible agency may not 
        approve an application for an interstate merger transaction 
        if--
                ``(i) any bank involved in the transaction (including 
            all insured depository institutions which are affiliates of 
            any such bank) has a branch in any State in which any other 
            bank involved in the transaction has a branch; and
                ``(ii) the resulting bank (including all insured 
            depository institutions which would be affiliates of the 
            resulting bank), upon consummation of the transaction, 
            would control 30 percent or more of the total amount of 
            deposits of insured depository institutions in any such 
            State.
            ``(C) Effectiveness of state deposit caps.--No provision of 
        this subsection shall be construed as affecting the authority 
        of any State to limit, by statute, regulation, or order, the 
        percentage of the total amount of deposits of insured 
        depository institutions in the State which may be held or 
        controlled by any bank or bank holding company (including all 
        insured depository institutions which are affiliates of the 
        bank or bank holding company) to the extent the application of 
        such limitation does not discriminate against out-of-State 
        banks, out-of-State bank holding companies, or subsidiaries of 
        such banks or holding companies.
            ``(D) Exceptions to subparagraph (b).--The responsible 
        agency may approve an application for an interstate merger 
        transaction pursuant to subsection (a) without regard to the 
        applicability of subparagraph (B) with respect to any State 
        if--
                ``(i) there is a limitation described in subparagraph 
            (C) in a State statute, regulation, or order which has the 
            effect of permitting a bank or bank holding company 
            (including all insured depository institutions which are 
            affiliates of the bank or bank holding company) to control 
            a greater percentage of total deposits of all insured 
            depository institutions in the State than the percentage 
            permitted under subparagraph (B); or
                ``(ii) the transaction is approved by the appropriate 
            State bank supervisor of such State and the standard on 
            which such approval is based does not have the effect of 
            discriminating against out-of-State banks, out-of-State 
            bank holding companies, or subsidiaries of such banks or 
            holding companies.
            ``(E) Exception for certain banks.--This paragraph shall 
        not apply with respect to any interstate merger transaction 
        involving only affiliated banks.
        ``(3) Community reinvestment compliance.--In determining 
    whether to approve an application for an interstate merger 
    transaction in which the resulting bank would have a branch or bank 
    affiliate immediately following the transaction in any State in 
    which the bank submitting the application (as the acquiring bank) 
    had no branch or bank affiliate immediately before the transaction, 
    the responsible agency shall--
            ``(A) comply with the responsibilities of the agency 
        regarding such application under section 804 of the Community 
        Reinvestment Act of 1977;
            ``(B) take into account the most recent written evaluation 
        under section 804 of the Community Reinvestment Act of 1977 of 
        any bank which would be an affiliate of the resulting bank; and
            ``(C) take into account the record of compliance of any 
        applicant bank with applicable State community reinvestment 
        laws.
        ``(4) Adequacy of capital and management skills.--The 
    responsible agency may approve an application for an interstate 
    merger transaction pursuant to subsection (a) only if--
            ``(A) each bank involved in the transaction is adequately 
        capitalized as of the date the application is filed; and
            ``(B) the responsible agency determines that the resulting 
        bank will continue to be adequately capitalized and adequately 
        managed upon the consummation of theP transaction.
        ``(5) Surrender of charter after merger transaction.--The 
    charters of all banks involved in an interstate merger transaction, 
    other than the charter of the resulting bank, shall be surrendered, 
    upon request, to the Federal banking agency or State bank 
    supervisor which issued the charter.
    ``(c) Applicability of Certain Laws to Interstate Banking 
Operations.--
        ``(1) State taxation authority not affected.--
            ``(A) In general.--No provision of this section shall be 
        construed as affecting the authority of any State or political 
        subdivision of any State to adopt, apply, or administer any tax 
        or method of taxation to any bank, bank holding company, or 
        foreign bank, or any affiliate of any bank, bank holding 
        company, or foreign bank, to the extent such tax or tax method 
        is otherwise permissible by or under the Constitution of the 
        United States or other Federal law.
            ``(B) Imposition of shares tax by host states.--In the case 
        of a branch of an out-of-State bank which results from an 
        interstate merger transaction, a proportionate amount of the 
        value of the shares of the out-of-State bank may be subject to 
        any bank shares tax levied or imposed by the host State, or any 
        political subdivision of such host State that imposes such tax 
        based upon a method adopted by the host State, which may 
        include allocation and apportionment.
        ``(2) Applicability of antitrust laws.--No provision of this 
    section shall be construed as affecting--
            ``(A) the applicability of the antitrust laws; or
            ``(B) the applicability, if any, of any State law which is 
        similar to the antitrust laws.
        ``(3) Reservation of certain rights to states.--No provision of 
    this section shall be construed as limiting in any way the right of 
    a State to--
            ``(A) determine the authority of State banks chartered by 
        that State to establish and maintain branches; or
            ``(B) supervise, regulate, and examine State banks 
        chartered by that State.
        ``(4) State-imposed notice requirements.--A host State may 
    impose any notification or reporting requirement on a branch of an 
    out-of-State bank if the requirement--
            ``(A) does not discriminate against out-of-State banks or 
        bank holding companies; and
            ``(B) is not preempted by any Federal law regarding the 
        same subject.
    ``(d) Operations of the Resulting Bank.--
        ``(1) Continued operations.--A resulting bank may, subject to 
    the approval of the appropriate Federal banking agency, retain and 
    operate, as a main office or a branch, any office that any bank 
    involved in an interstate merger transaction was operating as a 
    main office or a branch immediately before the merger transaction.
        ``(2) Additional branches.--Following the consummation of any 
    interstate merger transaction, the resulting bank may establish, 
    acquire, or operate additional branches at any location where any 
    bank involved in the transaction could have established, acquired, 
    or operated a branch under applicable Federal or State law if such 
    bank had not been a party to the merger transaction.
        ``(3) Certain conditions and commitments continued.--If, as a 
    condition for the acquisition of a bank by an out-of-State bank 
    holding company before the date of the enactment of the Riegle-Neal 
    Interstate Banking and Branching Efficiency Act of 1994--
            ``(A) the home State of the acquired bank imposed 
        conditions on such acquisition by such out-of-State bank 
        holding company; or
            ``(B) the bank holding company made commitments to such 
        State in connection with the acquisition,
    the State may enforce such conditions and commitments with respect 
    to such bank holding company or any affiliated successor company 
    which controls a bank or branch in such State as a result of an 
    interstate merger transaction to the same extent as the State could 
    enforce such conditions or commitments against the bank holding 
    company before the consummation of the merger transaction.
    ``(e) Exception for Banks in Default or in Danger of Default.--If 
an application under subsection (a)(1) for approval of a merger 
transaction which involves 1 or more banks in default or in danger of 
default or with respect to which the Corporation provides assistance 
under section 13(c), the responsible agency may approve such 
application without regard to subsection (b), or paragraph (2), (4), or 
(5) of subsection (a).
    ``(f) Definitions.--For purposes of this section, the following 
definitions shall apply:
        ``(1) Adequately capitalized.--The term `adequately 
    capitalized' has the same meaning as in section 38.
        ``(2) Antitrust laws.--The term `antitrust laws'--
            ``(A) has the same meaning as in subsection (a) of the 
        first section of the Clayton Act; and
            ``(B) includes section 5 of the Federal Trade Commission 
        Act to the extent such section 5 relates to unfair methods of 
        competition.
        ``(3) Branch.--The term `branch' means any domestic branch.
        ``(4) Home state.--The term `home State'--
            ``(A) means--
                ``(i) with respect to a national bank, the State in 
            which the main office of the bank is located; and
                ``(ii) with respect to a State bank, the State by which 
            the bank is chartered; and
            ``(B) with respect to a bank holding company, has the same 
        meaning as in section 2(o)(4) of the Bank Holding Company Act 
        of 1956.
        ``(5) Host state.--The term `host State' means, with respect to 
    a bank, a State, other than the home State of the bank, in which 
    the bank maintains, or seeks to establish and maintain, a branch.
        ``(6) Interstate merger transaction.--The term `interstate 
    merger transaction' means any merger transaction approved pursuant 
    to subsection (a)(1).
        ``(7) Merger transaction.--The term `merger transaction' has 
    the meaning determined under section 18(c)(3).
        ``(8) Out-of-state bank.--The term `out-of-State bank' means, 
    with respect to any State, a bank whose home State is another 
    State.
        ``(9) Out-of-state bank holding company.--The term `out-of-
    State bank holding company' means, with respect to any State, a 
    bank holding company whose home State is another State.
        ``(10) Responsible agency.--The term `responsible agency' means 
    the agency determined in accordance with section 18(c)(2) with 
    respect to a merger transaction.
        ``(11) Resulting bank.--The term `resulting bank' means a bank 
    that has resulted from an interstate merger transaction under this 
    section.''.
    (b) Technical and Conforming Amendments.--
        (1) Revised statutes.--Section 5155 of the Revised Statutes (12 
    U.S.C. 36) is amended--
            (A) by redesignating subsections (d) through (h) as 
        subsections (h) through (l), respectively; and
            (B) by inserting after subsection (c) the following new 
        subsections:
    ``(d) Branches Resulting From Interstate Merger Transactions.--A 
national bank resulting from an interstate merger transaction (as 
defined in section 44(f)(6) of the Federal Deposit Insurance Act) may 
maintain and operate a branch in a State other than the home State (as 
defined in subsection (g)(3)(B)) of such bank in accordance with 
section 44 of the Federal Deposit Insurance Act.
    ``(e) Exclusive Authority for Additional Branches.--
        ``(1) In general.--Effective June 1, 1997, a national bank may 
    not acquire, establish, or operate a branch in any State other than 
    the bank's home State (as defined in subsection (g)(3)(B)) or a 
    State in which the bank already has a branch unless the 
    acquisition, establishment, or operation of such branch in such 
    State by such national bank is authorized under this section or 
    section 13(f), 13(k), or 44 of the Federal Deposit Insurance Act.
        ``(2) Retention of branches.--In the case of a national bank 
    which relocates the main office of such bank from 1 State to 
    another State after May 31, 1997, the bank may retain and operate 
    branches within the State which was the bank's home State (as 
    defined in subsection (g)(3)(B)) before the relocation of such 
    office only to the extent the bank would be authorized, under this 
    section or any other provision of law referred to in paragraph (1), 
    to acquire, establish, or commence to operate a branch in such 
    State if--
            ``(A) the bank had no branches in such State; or
            ``(B) the branch resulted from--
                ``(i) an interstate merger transaction approved 
            pursuant to section 44 of the Federal Deposit Insurance 
            Act; or
                ``(ii) a transaction after May 31, 1997, pursuant to 
            which the bank received assistance from the Federal Deposit 
            Insurance Corporation under section 13(c) of such Act.
    ``(f) Law Applicable to Interstate Branching Operations.--
        ``(1) Law applicable to national bank branches.--
            ``(A) In general.--The laws of the host State regarding 
        community reinvestment, consumer protection, fair lending, and 
        establishment of intrastate branches shall apply to any branch 
        in the host State of an out-of-State national bank to the same 
        extent as such State laws apply to a branch of a bank chartered 
        by that State, except--
                ``(i) when Federal law preempts the application of such 
            State laws to a national bank; or
                ``(ii) when the Comptroller of the Currency determines 
            that the application of such State laws would have a 
            discriminatory effect on the branch in comparison with the 
            effect the application of such State laws would have with 
            respect to branches of a bank chartered by the host State.
            ``(B) Enforcement of applicable state laws.--The provisions 
        of any State law to which a branch of a national bank is 
        subject under this paragraph shall be enforced, with respect to 
        such branch, by the Comptroller of the Currency.
        ``(2) Treatment of branch as bank.--All laws of a host State, 
    other than the laws regarding community reinvestment, consumer 
    protection, fair lending, establishment of intrastate branches, and 
    the application or administration of any tax or method of taxation, 
    shall apply to a branch (in such State) of an out-of-State national 
    bank to the same extent as such laws would apply if the branch were 
    a national bank the main office of which is in such State.
        ``(3) Rule of construction.--No provision of this subsection 
    may be construed as affecting the legal standards for preemption of 
    the application of State law to national banks.''.
        (2) Act of may 1, 1886.--Section 2 of the Act entitled ``An Act 
    to enable national banking associations to increase their capital 
    stock and to change their names and locations.'' and approved May 
    1, 1886 (12 U.S.C. 30) is amended by adding at the end the 
    following new subsection:
    ``(c) Coordination With Revised Statutes.--In the case of a 
national bank which relocates the main office of such bank from 1 State 
to another State after May 31, 1997, the bank may retain and operate 
branches within the State from which the bank relocated such office 
only to the extent authorized in section 5155(e)(2) of the Revised 
Statutes.''.
        (3) Federal deposit insurance act.--
            (A) Exclusive authority for additional branches of state 
        nonmember banks.--Section 18(d) of the Federal Deposit 
        Insurance Act (12 U.S.C. 1828(d)) is amended by adding at the 
        end the following new paragraph:
        ``(3) Exclusive authority for additional branches.--
            ``(A) In general.--Effective June 1, 1997, a State 
        nonmember bank may not acquire, establish, or operate a branch 
        in any State other than the bank's home State (as defined in 
        section 44(f)(4)) or a State in which the bank already has a 
        branch unless the acquisition, establishment, or operation of a 
        branch in such State by a State nonmember bank is authorized 
        under this subsection or section 13(f), 13(k), or 44.
            ``(B) Retention of branches.--In the case of a State 
        nonmember bank which relocates the main office of such bank 
        from 1 State to another State after May 31, 1997, the bank may 
        retain and operate branches within the State which was the 
        bank's home State (as defined in section 44(f)(4)) before the 
        relocation of such office only to the extent the bank would be 
        authorized, under this section or any other provision of law 
        referred to in subparagraph (A), to acquire, establish, or 
        commence to operate a branch in such State if--
                ``(i) the bank had no branches in such State; or
                ``(ii) the branch resulted from--

                    ``(I) an interstate merger transaction approved 
                pursuant to section 44; or
                    ``(II) a transaction after May 31, 1997, pursuant 
                to which the bank received assistance from the 
                Corporation under section 13(c).''.

            (B) Activities of branches of state banks resulting from 
        interstate merger transactions.--Section 24 of the Federal 
        Deposit Insurance Act (12 U.S.C. 1831a) is amended by adding at 
        the end the following new subsection:
    ``(j) Activities of Branches of Out-of-State Banks.--
        ``(1) In general.--The laws of a host State, including laws 
    regarding community reinvestment, consumer protection, fair 
    lending, and establishment of intrastate branches, shall apply to 
    any branch in the host State of an out-of-State State bank to the 
    same extent as such State laws apply to a branch of a bank 
    chartered by that State.
        ``(2) Activities of branches.--An insured State bank that 
    establishes a branch in a host State may not conduct any activity 
    at such branch that is not permissible for a bank chartered by the 
    host State.
        ``(3) Definitions.--The terms `host State', `interstate merger 
    transaction', and `out-of-State bank' have the same meanings as in 
    section 44(f).''.
        (4) Act of november 7, 1918.--The Act entitled ``An Act to 
    provide for the consolidation of the national banking 
    associations.'' and approved November 7, 1918 (12 U.S.C. 215 et 
    seq.) is amended--
            (A) by redesignating section 2 as section 3;
            (B) by redesignating section 3 as section 5;
            (C) in the 1st section, by striking ``That (a) any national 
        banking association'' and inserting the following:

``SECTION 1. SHORT TITLE.

    ``This Act may be cited as the `National Bank Consolidation and 
Merger Act'.

``SEC. 2. CONSOLIDATION OF BANKS WITHIN THE SAME STATE.

    ``(a) In General.--Any national bank''; and
            (D) by inserting after section 3 (as so redesignated under 
        subparagraph (A) of this paragraph) the following new section:

``SEC. 4. INTERSTATE CONSOLIDATIONS AND MERGERS.

    ``(a) In General.--A national bank may engage in a consolidation or 
merger under this Act with an out-of-State bank if the consolidation or 
merger is approved pursuant to section 44 of the Federal Deposit 
Insurance Act.
    ``(b) Scope of Application.--Subsection (a) shall not apply with 
respect to any consolidation or merger before June 1, 1997, unless the 
home State of each bank involved in the transaction has in effect a law 
described in section 44(a)(3) of the Federal Deposit Insurance Act.
    ``(c) Definitions.--The terms `home State' and `out-of-State bank' 
have the same meaning as in section 44(f) of the Federal Deposit 
Insurance Act.''.
        (5) Home owners' loan act.--Section 3 of the Home Owners' Loan 
    Act (12 U.S.C. 1462a) is amended--
            (A) by redesignating subsections (f) through (i) as 
        subsections (g) through (j), respectively; and
            (B) by inserting after subsection (e), the following new 
        subsection:
    ``(f) State Homestead Provisions.--No provision of this Act or any 
other provision of law administered by the Director shall be construed 
as superseding any homestead provision of any State constitution, 
including any implementing State statute, in effect on the date of 
enactment of the Riegle-Neal Interstate Banking and Branching 
Efficiency Act of 1994, or any subsequent amendment to such a State 
constitutional or statutory provision in effect on such date, that 
exempts the homestead of any person from foreclosure, or forced sale, 
for the payment of all debts, other than a purchase money obligation 
relating to the homestead, taxes due on the homestead, or an obligation 
arising from work and material used in constructing improvements on the 
homestead.''.
    SEC. 103. STATE ``OPT-IN'' ELECTION TO PERMIT INTERSTATE BRANCHING 
      THROUGH DE NOVO BRANCHES.
    (a) National Banks.--Section 5155 of the Revised Statutes (12 
U.S.C. 36) is amended by inserting after subsection (f) (as added by 
section 102(b)) the following new subsection:
    ``(g) State `Opt-In' Election To Permit Interstate Branching 
Through De Novo Branches.--
        ``(1) In general.--Subject to paragraph (2), the Comptroller of 
    the Currency may approve an application by a national bank to 
    establish and operate a de novo branch in a State (other than the 
    bank's home State) in which the bank does not maintain a branch 
    if--
            ``(A) there is in effect in the host State a law that--
                ``(i) applies equally to all banks; and
                ``(ii) expressly permits all out-of-State banks to 
            establish de novo branches in such State; and
            ``(B) the conditions established in, or made applicable to 
        this paragraph by, paragraph (2) are met.
        ``(2) Conditions on establishment and operation of interstate 
    branch.--
            ``(A) Establishment.--An application by a national bank to 
        establish and operate a de novo branch in a host State shall be 
        subject to the same requirements and conditions to which an 
        application for an interstate merger transaction is subject 
        under paragraphs (1), (3), and (4) of section 44(b) of the 
        Federal Deposit Insurance Act.
            ``(B) Operation.--Subsections (c) and (d)(2) of section 44 
        of the Federal Deposit Insurance Act shall apply with respect 
        to each branch of a national bank which is established and 
        operated pursuant to an application approved under this 
        subsection in the same manner and to the same extent such 
        provisions of such section 44 apply to a branch of a national 
        bank which resulted from an interstate merger transaction 
        approved pursuant to such section 44.
        ``(3) Definitions.--The following definitions shall apply for 
    purposes of this section:
            ``(A) De novo branch.--The term `de novo branch' means a 
        branch of a national bank which--
                ``(i) is originally established by the national bank as 
            a branch; and
                ``(ii) does not become a branch of such bank as a 
            result of--

                    ``(I) the acquisition by the bank of an insured 
                depository institution or a branch of an insured 
                depository institution; or
                    ``(II) the conversion, merger, or consolidation of 
                any such institution or branch.

            ``(B) Home state.--The term `home State' means the State in 
        which the main office of a national bank is located.
            ``(C) Host state.--The term `host State' means, with 
        respect to a bank, a State, other than the home State of the 
        bank, in which the bank maintains, or seeks to establish and 
        maintain, a branch.''.
    (b) State Banks.--Section 18(d) of the Federal Deposit Insurance 
Act (12 U.S.C. 1828(d)) is amended by inserting after paragraph (3) (as 
added by section 102(b)(3) of this title) the following new paragraph:
        ``(4) State `opt-in' election to permit interstate branching 
    through de novo branches.--
            ``(A) In general.--Subject to subparagraph (B), the 
        Corporation may approve an application by an insured State 
        nonmember bank to establish and operate a de novo branch in a 
        State (other than the bank's home State) in which the bank does 
        not maintain a branch if--
                ``(i) there is in effect in the host State a law that--

                    ``(I) applies equally to all banks; and
                    ``(II) expressly permits all out-of-State banks to 
                establish de novo branches in such State; and

                ``(ii) the conditions established in, or made 
            applicable to this paragraph by, subparagraph (B) are met.
            ``(B) Conditions on establishment and operation of 
        interstate branch.--
                ``(i) Establishment.--An application by an insured 
            State nonmember bank to establish and operate a de novo 
            branch in a host State shall be subject to the same 
            requirements and conditions to which an application for a 
            merger transaction is subject under paragraphs (1), (3), 
            and (4) of section 44(b).
                ``(ii) Operation.--Subsections (c) and (d)(2) of 
            section 44 shall apply with respect to each branch of an 
            insured State nonmember bank which is established and 
            operated pursuant to an application approved under this 
            paragraph in the same manner and to the same extent such 
            provisions of such section apply to a branch of a State 
            bank which resulted from a merger transaction under such 
            section 44.
            ``(C) De novo branch defined.--For purposes of this 
        paragraph, the term `de novo branch' means a branch of a State 
        bank which--
                ``(i) is originally established by the State bank as a 
            branch; and
                ``(ii) does not become a branch of such bank as a 
            result of--

                    ``(I) the acquisition by the bank of an insured 
                depository institution or a branch of an insured 
                depository institution; or
                    ``(II) the conversion, merger, or consolidation of 
                any such institution or branch.

            ``(D) Home state defined.--The term `home State' means the 
        State by which a State bank is chartered.
            ``(E) Host state defined.--The term `host State' means, 
        with respect to a bank, a State, other than the home State of 
        the bank, in which the bank maintains, or seeks to establish 
        and maintain, a branch.''.

SEC. 104. BRANCHING BY FOREIGN BANKS.

    (a) In General.--Section 5(a) of the International Banking Act of 
1978 (12 U.S.C. 3103(a)) is amended to read as follows:
    ``(a) Interstate Branching and Agency Operations.--
        ``(1) Federal branch or agency.--Subject to the provisions of 
    this Act and with the prior written approval by the Board and the 
    Comptroller of the Currency of an application, a foreign bank may 
    establish and operate a Federal branch or agency in any State 
    outside the home State of such foreign bank to the extent that the 
    establishment and operation of such branch would be permitted under 
    section 5155(g) of the Revised Statutes or section 44 of the 
    Federal Deposit Insurance Act if the foreign bank were a national 
    bank whose home State is the same State as the home State of the 
    foreign bank.
        ``(2) State branch or agency.--Subject to the provisions of 
    this Act and with the prior written approval by the Board and the 
    appropriate State bank supervisor of an application, a foreign bank 
    may establish and operate a State branch or agency in any State 
    outside the home State of such foreign bank to the extent that such 
    establishment and operation would be permitted under section 
    18(d)(4) or 44 of the Federal Deposit Insurance Act if the foreign 
    bank were a State bank whose home State is the same State as the 
    home State of the foreign bank.
        ``(3) Criteria for determination.--In approving an application 
    under paragraph (1) or (2), the Board and (in the case of an 
    application under paragraph (1)) the Comptroller of the Currency--
            ``(A) shall apply the standards applicable to the 
        establishment of a foreign bank office in the United States 
        under section 7(d);
            ``(B) may not approve an application unless the Board and 
        (in the case of an application under paragraph (1)) the 
        Comptroller of the Currency--
                ``(i) determine that the foreign bank's financial 
            resources, including the capital level of the bank, are 
            equivalent to those required for a domestic bank to be 
            approved for branching under section 5155 of the Revised 
            Statutes and section 44 of the Federal Deposit Insurance 
            Act; and
                ``(ii) consult with the Secretary of the Treasury 
            regarding capital equivalency; and
            ``(C) shall apply the same requirements and conditions to 
        which an application for an interstate merger transaction is 
        subject under paragraphs (1), (3), and (4) of section 44(b) of 
        the Federal Deposit Insurance Act.
        ``(4) Operation.--Subsections (c) and (d)(2) of section 44 of 
    the Federal Deposit Insurance Act shall apply with respect to each 
    branch and agency of a foreign bank which is established and 
    operated pursuant to an application approved under this subsection 
    in the same manner and to the same extent such provisions of such 
    section apply to a domestic branch of a national or State bank (as 
    such terms are defined in section 3 of such Act) which resulted 
    from a merger transaction under such section 44.
        ``(5) Exclusive authority for additional branches.--Except as 
    provided in this section, a foreign bank may not, directly or 
    indirectly, acquire, establish, or operate a branch or agency in 
    any State other than the home State of such bank.
        ``(6) Requirement for a separate subsidiary.--If the Board or 
    the Comptroller of the Currency, taking into account differing 
    regulatory or accounting standards, finds that adherence by a 
    foreign bank to capital requirements equivalent to those imposed 
    under section 5155 of the Revised Statutes and section 44 of the 
    Federal Deposit Insurance Act could be verified only if the banking 
    activities of such bank in the United States are carried out in a 
    domestic banking subsidiary within the United States, the Board and 
    (in the case of an application under paragraph (1)) the Comptroller 
    of the Currency may approve an application under paragraph (1) or 
    (2) subject to a requirement that the foreign bank or company 
    controlling the foreign bank establish a domestic banking 
    subsidiary in the United States.
        ``(7) Additional authority for interstate branches and agencies 
    of foreign banks.--Notwithstanding paragraphs (1) and (2), a 
    foreign bank may, with the approval of the Board and the 
    Comptroller of the Currency, establish and operate a Federal branch 
    or Federal agency or, with the approval of the Board and the 
    appropriate State bank supervisor, a State branch or State agency 
    in any State outside the foreign bank's home State if--
            ``(A) the establishment and operation of a branch or agency 
        is expressly permitted by the State in which the branch or 
        agency is to be established; and
            ``(B) in the case of a Federal or State branch, the branch 
        receives only such deposits as would be permissible for a 
        corporation organized under section 25A of the Federal Reserve 
        Act.
        ``(9) Home state of domestic bank defined.--For purposes of 
    this subsection, the term `home State' means--
            ``(A) with respect to a national bank, the State in which 
        the main office of the bank is located; and
            ``(B) with respect to a State bank, the State by which the 
        bank is chartered.''.
    (b) Continued Authority for Limited Branches, Agencies, or 
Commercial Lending Companies.--Section 5(b) of the International 
Banking Act of 1978 (12 U.S.C. 3103(b)) is amended by adding at the end 
the following new sentence: ``Notwithstanding subsection (a), a foreign 
bank may continue to operate, after the enactment of the Riegle-Neal 
Interstate Banking and Branching Efficiency Act of 1994, any Federal 
branch, State branch, Federal agency, State agency, or commercial 
lending company subsidiary which such bank was operating on the day 
before the date of the enactment of such Act to the extent the branch, 
agency, or subsidiary continues, after the enactment of such Act, to 
engage in operations which were lawful under the laws in effect on the 
day before such date.''.
    (c) Clarification of Branching Rules in the Case of a Foreign Bank 
With a Domestic Bank Subsidiary.--Section 5 of the International 
Banking Act of 1978 (12 U.S.C. 3103) is amended by adding at the end 
the following new subsection:
    ``(d) Clarification of Branching Rules in the Case of a Foreign 
Bank With a Domestic Bank Subsidiary.--In the case of a foreign bank 
that has a domestic bank subsidiary within the United States--
        ``(1) the fact that such bank controls a domestic bank shall 
    not affect the authority of the foreign bank to establish Federal 
    and State branches or agencies to the extent permitted under 
    subsection (a); and
        ``(2) the fact that the domestic bank is controlled by a 
    foreign bank which has Federal or State branches or agencies in 
    States other than the home State of such domestic bank shall not 
    affect the authority of the domestic bank to establish branches 
    outside the home State of the domestic bank to the extent permitted 
    under section 5155(g) of the Revised Statutes or section 18(d)(4) 
    or 44 of the Federal Deposit Insurance Act, as the case may be.''.
    (d) Home State Determinations.--Section 5(c) of the International 
Banking Act of 1978 (12 U.S.C. 3103(c)) is amended to read as follows:
    ``(c) Determination of Home State of Foreign Bank.--For the 
purposes of this section--
        ``(1) in the case of a foreign bank that has any branch, 
    agency, subsidiary commercial lending company, or subsidiary bank 
    in more than 1 State, the home State of the foreign bank is the 1 
    State of such States which is selected to be the home State by the 
    foreign bank or, in default of any such selection, by the Board; 
    and
        ``(2) in the case of a foreign bank that does not have a 
    branch, agency, subsidiary commercial lending company, or 
    subsidiary bank in more than 1 State, the home State of the foreign 
    bank is the State in which the foreign bank has a branch, agency, 
    subsidiary commercial lending company, or subsidiary bank.''.

SEC. 105. COORDINATION OF EXAMINATION AUTHORITY.

    Section 10 of the Federal Deposit Insurance Act (12 U.S.C. 1820) is 
amended by inserting after subsection (g) the following new subsection:
    ``(h) Coordination of Examination Authority.--
        ``(1) In general.--The appropriate State bank supervisor of a 
    host State may examine a branch operated in such State by an out-
    of-State insured State bank that resulted from an interstate merger 
    transaction approved under section 44 or a branch established in 
    such State pursuant to section 5155(g) of the Revised Statutes or 
    section 18(d)(4)--
            ``(A) for the purpose of determining compliance with host 
        State laws, including those that govern banking, community 
        reinvestment, fair lending, consumer protection, and 
        permissible activities; and
            ``(B) to ensure that the activities of the branch are not 
        conducted in an unsafe or unsound manner.
        ``(2) Enforcement.--If the State bank supervisor of a host 
    State determines that there is a violation of the law of the host 
    State concerning the activities being conducted by a branch 
    described in paragraph (1) or that the branch is being operated in 
    an unsafe and unsound manner, the State bank supervisor of the host 
    State or, to the extent authorized by the law of the host State, a 
    State law enforcement officer may undertake such enforcement 
    actions and proceedings as would be permitted under the law of the 
    host State as if the branch were a bank chartered by that host 
    State.
        ``(3) Cooperative agreement.--The State bank supervisors from 2 
    or more States may enter into cooperative agreements to facilitate 
    State regulatory supervision of State banks, including cooperative 
    agreements relating to the coordination of examinations and joint 
    participation in examinations.
        ``(4) Federal regulatory authority.--No provision of this 
    subsection shall be construed as limiting in any way the authority 
    of an appropriate Federal banking agency to examine or to take any 
    enforcement actions or proceedings against any bank or branch of a 
    bank for which the agency is the appropriate Federal banking 
    agency.''.

SEC. 106. BRANCH CLOSURES.

    Section 42 of the Federal Deposit Insurance Act (12 U.S.C. 1831r-1) 
is amended by adding at the end the following new subsection:
    ``(d) Branch Closures in Interstate Banking or Branching 
Operations.--
        ``(1) Notice requirements.--In the case of an interstate bank 
    which proposes to close any branch in a low- or moderate-income 
    area, the notice required under subsection (b)(2) shall contain the 
    mailing address of the appropriate Federal banking agency and a 
    statement that comments on the proposed closing of such branch may 
    be mailed to such agency.
        ``(2) Action required by appropriate federal banking agency.--
    If, in the case of a branch referred to in paragraph (1)--
            ``(A) a person from the area in which such branch is 
        located--
                ``(i) submits a written request relating to the closing 
            of such branch to the appropriate Federal banking agency; 
            and
                ``(ii) includes a statement of specific reasons for the 
            request, including a discussion of the adverse effect of 
            such closing on the availability of banking services in the 
            area affected by the closing of the branch; and
            ``(B) the agency concludes that the request is not 
        frivolous,
    the agency shall consult with community leaders in the affected 
    area and convene a meeting of representatives of the agency and 
    other interested depository institution regulatory agencies with 
    community leaders in the affected area and such other individuals, 
    organizations, and depository institutions (as defined in section 
    19(b)(1)(A) of the Federal Reserve Act) as the agency may 
    determine, in the discretion of the agency, to be appropriate, to 
    explore the feasibility of obtaining adequate alternative 
    facilities and services for the affected area, including the 
    establishment of a new branch by another depository institution, 
    the chartering of a new depository institution, or the 
    establishment of a community development credit union, following 
    the closing of the branch.
        ``(3) No effect on closing.--No action by the appropriate 
    Federal banking agency under paragraph (2) shall affect the 
    authority of an interstate bank to close a branch (including the 
    timing of such closing) if the requirements of subsections (a) and 
    (b) have been met by such bank with respect to the branch being 
    closed.
        ``(4) Definitions.--For purposes of this subsection, the 
    following definitions shall apply:
            ``(A) Interstate bank defined.--The term `interstate bank' 
        means a bank which maintains branches in more than 1 State.
            ``(B) Low- or moderate-income area.--The term `low- or 
        moderate-income area' means a census tract for which the median 
        family income is--
                ``(i) less than 80 percent of the median family income 
            for the metropolitan statistical area (as designated by the 
            Director of the Office of Management and Budget) in which 
            the census tract is located; or
                ``(ii) in the case of a census tract which is not 
            located in a metropolitan statistical area, less than 80 
            percent of the median family income for the State in which 
            the census tract is located, as determined without taking 
            into account family income in metropolitan statistical 
            areas in such State.''.

SEC. 107. EQUALIZING COMPETITIVE OPPORTUNITIES FOR UNITED STATES AND 
              FOREIGN BANKS.

    (a) Regulatory Objectives.--Section 6 of the International Banking 
Act of 1978 (12 U.S.C. 3104) is amended--
        (1) by redesignating subsections (a) through (c) as subsections 
    (b) through (d), respectively; and
        (2) by inserting after ``sec. 6'' the following new subsection:
    ``(a) Objective.--In implementing this section, the Comptroller and 
the Federal Deposit Insurance Corporation shall each, by affording 
equal competitive opportunities to foreign and United States banking 
organizations in their United States operations, ensure that foreign 
banking organizations do not receive an unfair competitive advantage 
over United States banking organizations.''.
    (b) Review of Regulations.--
        (1) In general.--Each Federal banking agency, after 
    consultation with the other Federal banking agencies to assure 
    uniformity, shall revise the regulations adopted by such agency 
    under section 6 of the International Banking Act of 1978 to ensure 
    that the regulations are consistent with the objective set forth in 
    section 6(a) of the International Banking Act of 1978.
        (2) Specific factors.--In carrying out paragraph (1), each 
    Federal banking agency shall consider whether to permit an 
    uninsured branch of a foreign bank to accept initial deposits of 
    less than $100,000 only from--
            (A) individuals who are not citizens or residents of the 
        United States at the time of the initial deposit;
            (B) individuals who--
                (i) are not citizens of the United States;
                (ii) are residents of the United States; and
                (iii) are employed by a foreign bank, foreign business, 
            foreign government, or recognized international 
            organization;
            (C) persons to whom the branch or foreign bank has extended 
        credit or provided other nondeposit bankingP services;
            (D) foreign businesses and large United States businesses;
            (E) foreign governmental units and recognized international 
        organizations; and
            (F) persons who are depositing funds in connection with the 
        issuance of a financial instrument by the branch for the 
        transmission of funds.
        (3) Reduction in regulatory de minimis exemption.--In carrying 
    out paragraph (1), each Federal banking agency shall limit any 
    exemption which is--
            (A) available under any regulation prescribed pursuant to 
        section 6(d) of the International Banking Act of 1978 providing 
        for the acceptance of initial deposits of less than $100,000 by 
        an uninsured branch of a foreign bank; and
            (B) based on a percentage of the average deposits at such 
        branch;
    to not more than 1 percent of the average deposits at such branch.
        (4) Additional relevant considerations.--In carrying out 
    paragraph (1), each Federal banking agency shall also consider the 
    importance of maintaining and improving the availability of credit 
    to all sectors of the United States economy, including the 
    international trade finance sector of the United State economy.
        (5) Deadline for prescribing revised regulations.--Each Federal 
    banking agency--
            (A) shall publish final regulations under paragraph (1) in 
        the Federal Register not later than 12 months after the date of 
        enactment of this Act; and
            (B) may establish reasonable transition rules to facilitate 
        any termination of any deposit-taking activities that were 
        permissible under regulations that were in effect before the 
        date of enactment of this Act.
        (6) Definitions.--For purposes of this subsection--
            (A) the term ``Federal banking agency'' means--
                (i) the Comptroller of the Currency with respect to 
            Federal branches of foreign banks; and
                (ii) the Federal Deposit Insurance Corporation with 
            respect to State branches of foreign banks; and
            (B) the term ``uninsured branch'' means a branch of a 
        foreign bank that is not an insured branch, as defined in 
        section 3(s)(3) of the Federal Deposit Insurance Act (12 U.S.C. 
        1813(s)(3)).
    (c) Amendment Affirming That Consumer Protection Laws Apply to 
Foreign Banks.--Section 9(b) of the International Banking Act of 1978 
(12 U.S.C. 3106a) is amended--
        (1) in paragraph (1)--
            (A) by redesignating subparagraphs (A) and (B) as 
        subparagraphs (B) and (C), respectively; and
            (B) by inserting after ``which--'' the following new 
        subparagraph:
            ``(A) impose requirements that protect the rights of 
        consumers in financial transactions, to the extent that the 
        branch, agency, or commercial lending company engages in 
        activities that are subject to such laws;''; and
        (2) in paragraph (2)--
            (A) by redesignating subparagraphs (A) and (B) as 
        subparagraphs (B) and (C), respectively; and
            (B) by inserting after ``which--'' the following new 
        subparagraph:
            ``(A) impose requirements that protect the rights of 
        consumers in financial transactions, to the extent that the 
        branch, agency, or commercial lending company engages in 
        activities that are subject to such laws;''.
    (d) Insured Banks in Territories Not Treated as Foreign Banks for 
Purposes of Retail Deposit-Taking Rule.--Section 6(d) of the 
International Banking Act of 1978 (12 U.S.C. 3104(c)) (as so 
redesignated by subsection (a)(1) of this section) is amended by adding 
at the end the following new paragraph:
        ``(3) Insured banks in u.s. territories.--For purposes of this 
    subsection, the term `foreign bank' does not include any bank 
    organized under the laws of any territory of the United States, 
    Puerto Rico, Guam, American Samoa, or the Virgin Islands the 
    deposits of which are insured by the Federal Deposit Insurance 
    Corporation pursuant to the Federal Deposit Insurance Act.''.
    (e) Amendment Relating to Shell Branches.--
        (1) In general.--Section 7 of the International Banking Act of 
    1978 (12 U.S.C. 3105) is amended by adding at the end the following 
    new subsection:
    ``(k) Management of Shell Branches.--
        ``(1) Transactions prohibited.--A branch or agency of a foreign 
    bank shall not manage, through an office of the foreign bank which 
    is located outside the United States and is managed or controlled 
    by such branch or agency, any type of activity that a bank 
    organized under the laws of the United States, any State, or the 
    District of Columbia is not permitted to manage at any branch or 
    subsidiary of such bank which is located outside the United States.
        ``(2) Regulations.--Any regulations promulgated to carry out 
    this section--
            ``(A) shall be promulgated in accordance with section 13; 
        and
            ``(B) shall be uniform, to the extent practicable.''.
        (2) Effective date.--The amendment made by paragraph (1) shall 
    become effective at the end of the 180-day period beginning on the 
    date of enactment of this Act.
    (f) Meeting Community Credit Needs.--Section 5(a) of the 
International Banking Act of 1978 (12 U.S.C. 3103(a)) (as amended by 
section 104 of this Act) is amended by inserting after paragraph (7) 
the following new paragraph:
        ``(8) Continuing requirement for meeting community credit needs 
    after initial interstate entry by acquisition.--
            ``(A) In general.--If a foreign bank acquires a bank or a 
        branch of a bank, in a State in which the foreign bank does not 
        maintain a branch, and such acquired bank is, or is part of, a 
        regulated financial institution (as defined in section 803 of 
        the Community Reinvestment Act of 1977), the Community 
        Reinvestment Act of 1977 shall continue to apply to each branch 
        of the foreign bank which results from the acquisition as if 
        such branch were a regulated financial institution.
            ``(B) Exception for branch that receives only deposits 
        permissible for an edge act corporation.--Paragraph (1) shall 
        not apply to any branch that receives only such deposits as are 
        permissible for a corporation organized under section 25A of 
        the Federal Reserve Act to receive.''.

SEC. 108. FEDERAL RESERVE BOARD STUDY ON BANK FEES.

    (a) In General.--Section 1002 of the Financial Institutions Reform, 
Recovery, and Enforcement Act of 1989 (12 U.S.C. 1811 note) is amended 
to read as follows:

``SEC. 1002. SURVEY OF BANK FEES AND SERVICES.

    ``(a) Annual Survey Required.--The Board of Governors of the 
Federal Reserve System shall obtain a sample, which is representative 
by geographic location and size of the institution, of--
        ``(1) certain retail banking services provided by insured 
    depository institutions; and
        ``(2) the fees, if any, which are imposed by such institutions 
    for providing any such service, including fees imposed for not 
    sufficient funds, deposit items returned, and automated teller 
    machine transactions.
    ``(b) Annual Report to Congress Required.--
        ``(1) Preparation.--The Board of Governors of the Federal 
    Reserve System shall prepare a report of the results of each survey 
    conducted pursuant to subsection (a).
        ``(2) Contents of the report.--Each report prepared pursuant to 
    paragraph (1) shall include--
            ``(A) a description of any discernible trend, in the Nation 
        as a whole and in each region, in the cost and availability of 
        retail banking services which delineates differences on the 
        basis of size of the institution and engagement in multistate 
        activity; and
            ``(B) a description of the correlation, if any, among the 
        following factors:
                ``(i) An increase or decrease in the amount of any 
            deposit insurance premium assessed by the Federal Deposit 
            Insurance Corporation against insured depository 
            institutions.
                ``(ii) An increase or decrease in the amount of the 
            fees imposed by such institutions for providing retail 
            banking services.
                ``(iii) A decrease in the availability of such 
            services.
        ``(3) Submission to congress.--The Board of Governors of the 
    Federal Reserve System shall submit an annual report to the 
    Congress not later than September 1, 1995, and not later than June 
    1 of each subsequent year.''.
    (b) Sunset.--The requirements of subsection (a) shall not apply 
after the end of the 7-year period beginning on the date of enactment 
of this Act.

SEC. 109. PROHIBITION AGAINST DEPOSIT PRODUCTION OFFICES.

    (a) Regulations.--The appropriate Federal banking agencies shall 
prescribe uniform regulations effective June 1, 1997, which prohibit 
any out-of-State bank from using any authority to engage in interstate 
branching pursuant to this title, or any amendment made by this title 
to any other provision of law, primarily for the purpose of deposit 
production.
    (b) Guidelines for Meeting Credit Needs.--Regulations issued under 
subsection (a) shall include guidelines to ensure that interstate 
branches operated by an out-of-State bank in a host State are 
reasonably helping to meet the credit needs of the communities which 
the branches serve.
    (c) Limitation on Out-of-State Loans.--
        (1) Limitation.--Regulations issued under subsection (a) shall 
    require that, beginning no earlier than 1 year after establishment 
    or acquisition of an interstate branch or branches in a host State 
    by an out-of-State bank, if the appropriate Federal banking agency 
    for the out-of-State bank determines that the bank's level of 
    lending in the host State relative to the deposits from the host 
    State (as reasonably determinable from available information 
    including the agency's sampling of the bank's loan files during an 
    examination or such data as is otherwise available) is less than 
    half the average of total loans in the host State relative to total 
    deposits from the host State (as determinable from relevant 
    sources) for all banks the home State of which is such State--
            (A) the appropriate Federal banking agency for the out-of-
        State bank shall review the loan portfolio of the bank and 
        determine whether the bank is reasonably helping to meet the 
        credit needs of the communities served by the bank in the host 
        State; and
            (B) if the agency determines that the out-of-State bank is 
        not reasonably helping to meet those needs--
                (i) the agency may order that an interstate branch or 
            branches of such bank in the host State be closed unless 
            the bank provides reasonable assurances to the satisfaction 
            of the appropriate Federal banking agency that the bank has 
            an acceptable plan that will reasonably help to meet the 
            credit needs of the communities served by the bank in the 
            host State, and
                (ii) the out-of-State bank may not open a new 
            interstate branch in the host State unless the bank 
            provides reasonable assurances to the satisfaction of the 
            appropriate Federal banking agency that the bank will 
            reasonably help to meet the credit needs of the community 
            that the new branch will serve.
        (2) Considerations.--In making a determination under paragraph 
    (1)(A), the appropriate Federal banking agency shall consider--
            (A) whether the interstate branch or branches of the out-
        of-State bank were formerly part of a failed or failing 
        depository institution;
            (B) whether the interstate branch was acquired under 
        circumstances where there was a low loan-to-deposit ratio 
        because of the nature of the acquired institution's business or 
        loan portfolio;
            (C) whether the interstate branch or branches of the out-
        of-State bank have a higher concentration of commercial or 
        credit card lending, trust services, or other specialized 
        activities;
            (D) the ratings received by the out-of-State bank under the 
        Community Reinvestment Act of 1977;
            (E) economic conditions, including the level of loan 
        demand, within the communities served by the interstate branch 
        or branches of the out-of-State bank; and
            (F) the safe and sound operation and condition of the out-
        of-State bank.
        (3) Branch closing procedure.--
            (A) Notice required.--Before exercising any authority under 
        paragraph (1)(B)(i), the appropriate Federal banking agency 
        shall issue to the bank a notice of the agency's intention to 
        close an interstate branch or branches and shall schedule a 
        hearing.
            (B) Hearing.--Section 8(h) of the Federal Deposit Insurance 
        Act shall apply to any proceeding brought under this paragraph.
    (d) Application.--This section shall apply with respect to any 
interstate branch established or acquired in a host State pursuant to 
this title or any amendment made by this title to any other provision 
of law.
    (e) Definitions.--For the purposes of this section, the following 
definitions shall apply:
        (1) Appropriate federal banking agency, bank, state, and state 
    bank.--The terms ``appropriate Federal banking agency'', ``bank'', 
    ``State'', and ``State bank'' have the same meanings as in section 
    3 of the Federal Deposit Insurance Act.
        (2) Home state.--The term ``home State'' means--
            (A) in the case of a national bank, the State in which the 
        main office of the bank is located; and
            (B) in the case of a State bank, the State by which the 
        bank is chartered.
        (3) Host state.--The term ``host State'' means a State in which 
    a bank establishes a branch other than the home State of the bank.
        (4) Interstate branch.--The term ``interstate branch'' means a 
    branch established pursuant to this title or any amendment made by 
    this title to any other provision of law.
        (5) Out-of-state bank.--The term ``out-of-State bank'' means, 
    with respect to any State, a bank the home State of which is 
    another State and, for purposes of this section, includes a foreign 
    bank, the home State of which is another State.
    SEC. 110. COMMUNITY REINVESTMENT ACT EVALUATION OF BANKS WITH 
      INTERSTATE BRANCHES.
    (a) In General.--Section 807 of the Community Reinvestment Act of 
1977 (12 U.S.C. 2906) is amended by adding at the end the following new 
subsections:
    ``(d) Institutions With Interstate Branches.--
        ``(1) State-by-state evaluation.--In the case of a regulated 
    financial institution that maintains domestic branches in 2 or more 
    States, the appropriate Federal financial supervisory agency shall 
    prepare--
            ``(A) a written evaluation of the entire institution's 
        record of performance under this title, as required by 
        subsections (a), (b), and (c); and
            ``(B) for each State in which the institution maintains 1 
        or more domestic branches, a separate written evaluation of the 
        institution's record of performance within such State under 
        this title, as required by subsections (a), (b), and (c).
        ``(2) Multistate metropolitan areas.--In the case of a 
    regulated financial institution that maintains domestic branches in 
    2 or more States within a multistate metropolitan area, the 
    appropriate Federal financial supervisory agency shall prepare a 
    separate written evaluation of the institution's record of 
    performance within such metropolitan area under this title, as 
    required by subsections (a), (b), and (c). If the agency prepares a 
    written evaluation pursuant to this paragraph, the scope of the 
    written evaluation required under paragraph (1)(B) shall be 
    adjusted accordingly.
        ``(3) Content of state level evaluation.--A written evaluation 
    prepared pursuant to paragraph (1)(B) shall--
            ``(A) present the information required by subparagraphs (A) 
        and (B) of subsection (b)(1) separately for each metropolitan 
        area in which the institution maintains 1 or more domestic 
        branch offices and separately for the remainder of the 
        nonmetropolitan area of the State if the institution maintains 
        1 or more domestic branch offices in such nonmetropolitan area; 
        and
            ``(B) describe how the Federal financial supervisory agency 
        has performed the examination of the institution, including a 
        list of the individual branches examined.
    ``(e) Definitions.--For purposes of this section the following 
definitions shall apply:
        ``(1) Domestic branch.--The term `domestic branch' means any 
    branch office or other facility of a regulated financial 
    institution that accepts deposits, located in any State.
        ``(2) Metropolitan area.--The term `metropolitan area' means 
    any primary metropolitan statistical area, metropolitan statistical 
    area, or consolidated metropolitan statistical area, as defined by 
    the Director of the Office of Management and Budget, with a 
    population of 250,000 or more, and any other area designated as 
    such by the appropriate Federal financial supervisory agency.
        ``(3) State.--The term `State' has the same meaning as in 
    section 3 of the Federal Deposit Insurance Act.''.
    (b) Separate Presentation.--Section 807(b)(1) of the Community 
Reinvestment Act of 1977 (12 U.S.C. 2906(b)(1)) is amended--
        (1) by redesignating subparagraphs (A) through (C) as clauses 
    (i) through (iii), respectively;
        (2) by striking ``The public'' and inserting the following:
            ``(A) Contents of written evaluation.--The public''; and
        (3) by adding at the end the following new subparagraph:
            ``(B) Metropolitan area distinctions.--The information 
        required by clauses (i) and (ii) of subparagraph (A) shall be 
        presented separately for each metropolitan area in which a 
        regulated depository institution maintains one or more domestic 
        branch offices.''.

SEC. 111. RESTATEMENT OF EXISTING LAW.

    No provision of this title and no amendment made by this title to 
any other provision of law shall be construed as affecting in any way--
        (1) the authority of any State or political subdivision of any 
    State to adopt, apply, or administer any tax or method of taxation 
    to any bank, bank holding company, or foreign bank, or any 
    affiliate of any such bank, bank holding company, or foreign bank, 
    to the extent that such tax or tax method is otherwise permissible 
    by or under the Constitution of the United States or other Federal 
    law;
        (2) the right of any State, or any political subdivision of any 
    State, to impose or maintain a nondiscriminatory franchise tax or 
    other nonproperty tax instead of a franchise tax in accordance with 
    section 3124 of title 31, United States Code; or
        (3) the applicability of section 5197 of the Revised Statutes 
    or section 27 of the Federal Deposit Insurance Act.
    SEC. 112. GAO REPORT ON DATA COLLECTION UNDER INTERSTATE BRANCHING.
    (a) In General.--The Comptroller General of the United States shall 
submit to the Congress, not later than 9 months after the date of 
enactment of this Act, a report that--
        (1) examines statutory and regulatory requirements for insured 
    depository institutions to collect and report deposit and lending 
    data; and
        (2) determines what modifications to such requirements are 
    needed, so that the implementation of the interstate branching 
    provisions contained in this title will result in no material loss 
    of information important to regulatory or congressional oversight 
    of insured depository institutions.
    (b) Consultation.--The Comptroller General, in preparing the report 
required by this section, shall consult with individuals representing 
the appropriate Federal banking agencies, insured depository 
institutions, consumers, community groups, and other interested 
parties.
    (c) Definitions.--For purposes of this section, the terms 
``appropriate Federal banking agency'' and ``insured depository 
institution'' have the same meanings as in section 3 of the Federal 
Deposit Insurance Act.

SEC. 113. MAXIMUM INTEREST RATE ON CERTAIN FMHA LOANS.

    (a) In General.--Section 307(a) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1927(a)) is amended--
        (1) in paragraph (3)(A), by striking ``Except'' and inserting 
    ``Notwithstanding the provisions of the constitution or laws of any 
    State limiting the rate or amount of interest that may be charged, 
    taken, received, or reserved, except''; and
        (2) in paragraph (5)--
            (A) by striking ``(5) The'' and inserting ``(5)(A) Except 
        as provided in subparagraph (B), the''; and
            (B) by adding at the end the following new subparagraph:
    ``(B) In the case of a loan made under section 310B as a guaranteed 
loan, subparagraph (A) shall apply notwithstanding the provisions of 
the constitution or laws of any State limiting the rate or amount of 
interest that may be charged, taken, received, or reserved.''.
    (b) Effective Dates.--
        (1) In general.--Except as provided in paragraphs (2) and (3), 
    the amendments made by subsection (a) shall apply to a loan made, 
    insured, or guaranteed under the Consolidated Farm and Rural 
    Development Act (7 U.S.C. 1921 et seq.) in a State on or after the 
    date of enactment of this Act.
        (2) State option.--Except as provided in paragraph (3), the 
    amendments made by subsection (a) shall not apply to a loan made, 
    insured, or guaranteed under the Consolidated Farm and Rural 
    Development Act in a State after the date (that occurs during the 
    3-year period beginning on the date of enactment of this Act) on 
    which the State adopts a law or certifies that the voters of the 
    State have voted in favor of a provision of the constitution or law 
    of the State that states that the State does not want the 
    amendments made by subsection (a) to apply with respect to loans 
    made, insured, or guaranteed under such Act in the State.
        (3) Transitional period.--In any case in which a State takes an 
    action described in paragraph (2), the amendments made by 
    subsection (a) shall continue to apply to a loan made, insured, or 
    guaranteed under the Consolidated Farm and Rural Development Act in 
    the State after the date the action was taken pursuant to a 
    commitment for the loan that was entered into during the period 
    beginning on the date of enactment of this Act, and ending on the 
    date on which the State takes the action.
    SEC. 114. NOTICE REQUIREMENTS FOR BANKING AGENCY DECISIONS 
      PREEMPTING STATE LAW.
    Chapter 4 of title LXII of the Revised Statutes (12 U.S.C. 21 et 
seq.) is amended by adding at the end the following new section:
``SEC. 5244. INTERPRETATIONS CONCERNING PREEMPTION OF CERTAIN STATE 
LAWS.
    ``(a) Notice and Opportunity for Comment Required.--Before issuing 
any opinion letter or interpretive rule, in response to a request or 
upon the agency's own motion, that concludes that Federal law preempts 
the application to a national bank of any State law regarding community 
reinvestment, consumer protection, fair lending, or the establishment 
of intrastate branches, or before making a determination under section 
5155(f)(1)(A)(ii) of the Revised Statutes, the appropriate Federal 
banking agency (as defined in section 3 of the Federal Deposit 
Insurance Act) shall--
        ``(1) publish in the Federal Register notice of the preemption 
    or discrimination issue that the agency is considering (including a 
    description of each State law at issue);
        ``(2) give interested parties not less than 30 days in which to 
    submit written comments; and
        ``(3) in developing the final opinion letter or interpretive 
    rule issued by the agency, or making any determination under 
    section 5155(f)(1)(A)(ii) of the Revised Statutes, consider any 
    comments received.
    ``(b) Publication Required.--The appropriate Federal banking agency 
shall publish in the Federal Register--
        ``(1) any final opinion letter or interpretive rule concluding 
    that Federal law preempts the application of any State law 
    regarding community reinvestment, consumer protection, fair 
    lending, or establishment of intrastate branches to a national 
    bank; and
        ``(2) any determination under section 5155(f)(1)(A)(ii) of the 
    Revised Statutes.
    ``(c) Exceptions.--
        ``(1) No new issue or significant basis.--This section shall 
    not apply with respect to any opinion letter or interpretive rule 
    that--
            ``(A) raises issues of Federal preemption of State law that 
        are essentially identical to those previously resolved by the 
        courts or on which the agency has previously issued an opinion 
        letter or interpretive rule; or
            ``(B) responds to a request that contains no significant 
        legal basis on which to make a preemption determination.
        ``(2) Judicial, legislative, or intragovernmental materials.--
    This section shall not apply with respect to materials prepared for 
    use in judicial proceedings or submission to Congress or a Member 
    of Congress, or for intragovernmental use.
        ``(3) Emergency.--The appropriate Federal banking agency may 
    make exceptions to subsection (a) if--
            ``(A) the agency determines in writing that the exception 
        is necessary to avoid a serious and imminent threat to the 
        safety and soundness of any national bank; or
            ``(B) the opinion letter or interpretive rule is issued in 
        connection with--
                ``(i) an acquisition of 1 or more banks in default or 
            in danger of default (as such terms are defined in section 
            3 of the Federal Deposit Insurance Act); or
                ``(ii) an acquisition with respect to which the Federal 
            Deposit Insurance Corporation provides assistance under 
            section 13(c) of the Federal Deposit Insurance Act.''.
    SEC. 115. MORATORIUM ON EXAMINATION FEES UNDER THE INTERNATIONAL 
      BANKING ACT OF 1978.
    (a) Branches, Agencies, and Affiliates.--Section 7(c)(1)(D) of the 
International Banking Act of 1978 shall not apply with respect to any 
examination under section 7(c)(1)(A) of such Act which begins before or 
during the 3-year period beginning on July 25, 1994.
    (b) Representative Offices.--The provision of section 10(c) of the 
International Banking Act of 1978 relating to the cost of examinations 
under such section shall not apply with respect to any examination 
under such section which begins before or during the 3-year period 
beginning on July 25, 1994.

                      TITLE II--GENERAL PROVISIONS

    SEC. 201. AMENDMENTS TO FEDERAL DEPOSIT INSURANCE ACT AND FEDERAL 
      HOME LOAN BANK ACT.
    (a) Federal Deposit Insurance Act.--Section 11(d)(14) of the 
Federal Deposit Insurance Act (12 U.S.C. 1821(d)(14)) is amended by 
adding at the end the following new subparagraph:
            ``(C) Revival of expired state causes of action.--
                ``(i) In general.--In the case of any tort claim 
            described in clause (ii) for which the statute of 
            limitation applicable under State law with respect to such 
            claim has expired not more than 5 years before the 
            appointment of the Corporation as conservator or receiver, 
            the Corporation may bring an action as conservator or 
            receiver on such claim without regard to the expiration of 
            the statute of limitation applicable under State law.
                ``(ii) Claims described.--A tort claim referred to in 
            clause (i) is a claim arising from fraud, intentional 
            misconduct resulting in unjust enrichment, or intentional 
            misconduct resulting in substantial loss to the 
            institution.''.
    (b) Federal Home Loan Bank Act.--Section 21A(b)(14) of the Federal 
Home Loan Bank Act (12 U.S.C. 1441a(b)(14)) is amended by adding at the 
end the following new subparagraph:
            ``(E) Revival of expired state causes of action.--In the 
        case of any tort claim described in subparagraph (A)(ii) for 
        which the statute of limitation applicable under State law with 
        respect to such claim has expired not more than 5 years before 
        the appointment of the Corporation as conservator or receiver, 
        the Corporation may bring an action as conservator or receiver 
        on such claim without regard to the expiration of the statute 
        of limitation applicable under State law.''.
    SEC. 202. SENSE OF THE SENATE CONCERNING MULTILATERAL EXPORT 
      CONTROLS.
    (a) Findings.--The Senate finds that--
        (1) the United States and its allies have agreed that as of 
    March 31, 1994, the Coordinating Committee (hereafter referred to 
    as ``COCOM''), the multilateral body that controlled strategic 
    exports to the former Soviet Union and other Communist States, 
    ceased to exist;
        (2) no successor has yet been established to replace the COCOM;
        (3) threats to United States security are posed by rogue 
    regimes that support terrorism as a matter of national policy;
        (4) a critical element of the United States proposal for a 
    successor to COCOM is that supplier nations agree on a list of 
    militarily critical products and technologies that would be denied 
    to a handful of rogue regimes;
        (5) some allies of the United States oppose this principle and 
    instead propose that such controls be left to ``national 
    discretion'', effectively replacing multilateral export controls 
    with a loose collection of unilateral export control policies which 
    would be adverse for United States security and economic interests;
        (6) multilateral controls are needed to thwart efforts of Iran, 
    Iraq, North Korea, Libya, and other rogue regimes, to acquire arms 
    and sensitive dual-use goods and technologies that could contribute 
    to their efforts to build weapons of mass destruction; and
        (7) the United States would be forced to make the difficult 
    choice of choosing between unilateral export controls under the 
    Export Administration Act of 1979, which would put American 
    companies at a competitive disadvantage worldwide, or allowing 
    exports that could seriously harm the national security interests 
    of the United States.
    (b) Sense of the Senate.--It is the sense of the Senate that--
        (1) the President should work to achieve a clearly defined and 
    enforceable agreement with allies of the United States which 
    establishes a multilateral export control system for the 
    proliferation of products and technologies to rogue regimes that 
    would jeopardize the national security of the United States; and
        (2) the President should persuade allies of the United States 
    to promote mutual security interests by preventing rogue regimes 
    from obtaining militarily critical products andP technologies.
    SEC. 203. AMENDMENTS RELATING TO SILVER MEDALS FOR PERSIAN GULF 
      VETERANS.
    Title III of Public law 102-281 (31 U.S.C. 5111 note) is amended--
        (1) in section 303(b), by striking ``entitlement'' and 
    inserting ``enactment''; and
        (2) in section 307 by striking subsection (b) and inserting the 
    following:
    ``(b) No Expenditures in Advance of Receipt of Funds.--The 
Secretary of the Treasury shall begin minting and issuing the medals 
described in section 302 whenever there are any funds available to 
cover the cost of minting and issuing any such medals from amounts 
received by the Secretary under section 305 and donations by private 
persons, and shall continue minting and issuing such medals, subject to 
the availability of funds to cover the costs, until all of the medals 
authorized have been issued.''.

SEC. 204. COMMEMORATION OF 1995 SPECIAL OLYMPIC WORLD GAMES.

    (a) Coin Specifications.--
        (1) One dollar silver coins.--
            (A) Issuance.--The Secretary of the Treasury (hereafter in 
        this section referred to as the ``Secretary'') shall issue not 
        more than 800,000 $1 coins, which shall weigh 26.73 grams, have 
        a diameter of 1.500 inches, and shall contain 90 percent silver 
        and 10 percent copper.
            (B) Design.--The design of the coins issued under this 
        section shall be emblematic of the 1995 Special Olympics World 
        Games. On each such coin there shall be a designation of the 
        value of the coin, an inscription of the year ``1995'', and 
        inscriptions of the words ``Liberty'', ``In God We Trust'', 
        ``United States of America'', and ``E Pluribus Unum''.
        (2) Legal tender.--The coins issued under this section shall be 
    legal tender as provided in section 5103 of title 31, United States 
    Code.
        (3) Numismatic items.--For purposes of section 5132(a)(1) of 
    title 31, United States Code, all coins minted under this section 
    shall be considered to be numismatic items.
    (b) Sources of Bullion.--The Secretary shall obtain silver for the 
coins minted under this section only from stockpiles established under 
the Strategic and Critical Materials Stock Piling Act.
    (c) Selection of Design.--The design for the coins authorized by 
this section shall be selected by the Secretary after consultation with 
the 1995 Special Olympics World Games Organizing Committee, Inc. and 
the Commission of Fine Arts. As required by section 5135 of title 31, 
United States Code, the design shall also be reviewed by the Citizens 
Commemorative Coin Advisory Committee.
    (d) Issuance of the Coins.--
        (1) Quality of coins.--The coins authorized under this section 
    may be issued in uncirculated and proof qualities.
        (2) Mint facility.--Not more than 1 facility of the United 
    States Mint may be used to strike any particular quality of the 
    coins minted under this section.
        (3) Period for issuance.--The Secretary shall issue coins 
    minted under this section during the period beginning on January 
    15, 1995, and ending on December 31, 1995.
    (e) Sale of the Coins.--
        (1) Sale price.--The coins issued under this section shall be 
    sold by the Secretary at a price equal to the sum of the face value 
    of the coins, the surcharge provided in paragraph (4) with respect 
    to such coins, and the cost of designing and issuing such coins 
    (including labor, materials, dies, use of machinery, overhead 
    expenses, marketing, and shipping).
        (2) Bulk sales.--The Secretary shall make bulk sales at a 
    reasonable discount.
        (3) Prepaid orders.--The Secretary shall accept prepaid orders 
    for the coins authorized under this section prior to the issuance 
    of such coins. Sales under this subsection shall be at a reasonable 
    discount.
        (4) Surcharge required.--All sales shall include a surcharge of 
    $10 per coin.
        (5) International sales.--The Secretary, in cooperation with 
    the 1995 Special Olympics World Games Organizing Committee, shall 
    develop an international marketing program to promote and sell 
    coins outside of the United States.
    (f) General Waiver of Procurement Regulations.--No provision of law 
governing procurement or public contracts shall be applicable to the 
procurement of goods or services necessary for carrying out the 
provisions of this section. Nothing in this subsection shall relieve 
any person entering into a contract under the authority of this section 
from complying with any law relating to equal employment opportunity.
    (g) Distribution of Surcharges.--The total surcharges collected by 
the Secretary from the sale of the coins issued under this section 
shall be promptly paid by the Secretary to the 1995 Special Olympics 
World Games Organizing Committee, Inc. Such amounts shall be used to--
        (1) provide a world class sporting event for athletes with 
    mental retardation;
        (2) demonstrate to a global audience the extraordinary talents, 
    dedication, and courage of persons with mental retardation; and
        (3) underwrite the cost of staging and promoting the 1995 
    Special Olympics World Games.
    (h) Audits.--The Comptroller General of the United States shall 
have the right to examine such books, records, documents, and other 
data of the 1995 Special Olympics World Games Organizing Committee, 
Inc. as may be related to the expenditure of amounts paid under 
subsection (g).
    (i) Financial Assurances.--
        (1) No net cost to the government.--The Secretary shall take 
    all actions necessary to ensure that the issuance of the coins 
    authorized by this section shall result in no net cost to the 
    United States Government.
        (2) Adequate security for payment required.--No coin shall be 
    issued under this section unless the Secretary has received--
            (A) full payment therefor;
            (B) security satisfactory to the Secretary to indemnify the 
        United States for full payment; or
            (C) a guarantee of full payment satisfactory to the 
        Secretary from a depository institution whose deposits are 
        insured by the Federal Deposit Insurance Corporation or the 
        National Credit Union Administration Board.

SEC. 205. NATIONAL COMMUNITY SERVICE COMMEMORATIVE COINS.

    (a) Coin Specifications.--
        (1) $1 Silver coins.--The Secretary of the Treasury (hereafter 
    in this section referred to as the ``Secretary'') shall mint and 
    issue not more than 500,000 $1 coins to commemorate students who 
    volunteer to perform community service, which shall--
            (A) weigh 26.73 grams;
            (B) have a diameter of 1.500 inches; and
            (C) contain 90 percent silver and 10 percent copper.
        (2) Legal tender.--The coins issued under this section shall be 
    legal tender, as provided in section 5103 of title 31, United 
    States Code.
        (3) Numismatic items.--For purposes of section 5134 of title 
    31, United States Code, all coins minted under this section shall 
    be considered to be numismatic items.
    (b) Sources of Bullion.--The Secretary shall obtain silver for the 
coins minted under this section only from stockpiles established under 
the Strategic and Critical Minerals Stock Piling Act.
    (c) Design of Coins.--
        (1) Design requirements.--
            (A) In general.--The design of the coins minted under this 
        section shall be emblematic of community services provided by 
        student volunteers.
            (B) Designation and inscriptions.--On each coin minted 
        under this section there shall be--
                (i) a designation of the value of the coin;
                (ii) an inscription of the year ``1996''; and
                (iii) inscriptions of the words ``Liberty'', ``In God 
            We Trust'', ``United States of America'', and ``E Pluribus 
            Unum''.
        (2) Selection.--The design for the coins authorized by this 
    section shall be--
            (A) selected by the Secretary after consultation with the 
        National Community Service Trust and the Commission of Fine 
        Arts; and
            (B) reviewed by the Citizens Commemorative Coin Advisory 
        Committee.
    (d) Issuance of Coins.--
        (1) Quality of coins.--Coins minted under this section shall be 
    issued in uncirculated and proof qualities.
        (2) Mint facility.--Only 1 facility of the United States Mint 
    may be used to strike any particular quality of the coins minted 
    under this section.
        (3) Period for issuance.--The Secretary shall issue coins 
    minted under this section for a period of not less than 6 months 
    and not more than 12 months, beginning no later than September 1, 
    1996.
    (e) Sale of Coins.--
        (1) Sale price.--The coins issued under this section shall be 
    sold by the Secretary at a price equal to the sum of--
            (A) the face value of the coins;
            (B) the surcharge provided in paragraph (4) with respect to 
        such coins; and
            (C) the cost of designing and issuing the coins (including 
        labor, materials, dies, use of machinery, overhead expenses, 
        marketing, and shipping).
        (2) Bulk sales.--The Secretary shall make bulk sales of the 
    coins issued under this section available at a reasonable discount.
        (3) Prepaid orders.--
            (A) In general.--The Secretary shall accept prepaid orders 
        for the coins minted under this section before the issuance of 
        such coins.
            (B) Discount.--Sale prices with respect to prepaid orders 
        under subparagraph (A) shall be at a reasonable discount.
        (4) Surcharges.--All sales shall include a surcharge of $10 per 
    coin.
    (f) General Waiver of Procurement Regulations.--
        (1) In general.--Except as provided in paragraph (2), no 
    provision of law governing procurement or public contracts shall be 
    applicable to the procurement of goods and services necessary for 
    carrying out the provisions of this section.
        (2) Equal employment opportunity.--Paragraph (1) shall not 
    relieve any person entering into a contract under the authority of 
    this section from complying with any law relating to equal 
    employment opportunity.
    (g) Distribution of Surcharges.--
        (1) In general.--All surcharges received by the Secretary from 
    the sale of coins issued under this section shall be promptly paid 
    by the Secretary to the National Community Service Trust for the 
    purpose of funding innovative community service programs at 
    American universities, including the service, research, and 
    teaching activities of faculty and students involved in such 
    programs.
        (2) Audits.--The Comptroller General of the United States shall 
    have the right to examine such books, records, documents, and other 
    data of the National Community Service Trust as may be related to 
    the expenditures of amounts paid under paragraph (1).
    (h) Financial Assurances.--
        (1) No net cost to the government.--The Secretary shall take 
    such actions as may be necessary to ensure that minting and issuing 
    coins under this section will not result in any net cost to the 
    United States Government.
        (2) Payment for coins.--A coin shall not be issued under this 
    section unless the Secretary has received--
            (A) full payment for the coin;
            (B) security satisfactory to the Secretary to indemnify the 
        United States for full payment; or
            (C) a guarantee of full payment satisfactory to the 
        Secretary from a depository institution whose deposits are 
        insured by the Federal Deposit Insurance Corporation or the 
        National Credit Union Administration Board.

SEC. 206. ROBERT F. KENNEDY MEMORIAL COMMEMORATIVE COINS.

    (a) Coin Specifications.--
        (1) $1 silver coins.--The Secretary of the Treasury (hereafter 
    in this section referred to as the ``Secretary'') shall mint and 
    issue not more than 500,000 $1 coins to commemorate the life and 
    work of Robert F. Kennedy, which shall--
            (A) weigh 26.73 grams;
            (B) have a diameter of 1.500 inches; and
            (C) contain 90 percent silver and 10 percent copper.
        (2) Legal tender.--The coins issued under this section shall be 
    legal tender, as provided in section 5103 of title 31, United 
    States Code.
        (3) Numismatic items.--For purposes of section 5134 of title 
    31, United States Code, all coins minted under this section shall 
    be considered to be numismatic items.
    (b) Sources of Bullion.--The Secretary shall obtain silver for the 
coins minted under this section only from stockpiles established under 
the Strategic and Critical Minerals Stock Piling Act.
    (c) Design of Coins.--
        (1) Design requirements.--
            (A) In general.--The design of the coins minted under this 
        section shall be emblematic of the life and work of Robert F. 
        Kennedy.
            (B) Designation and inscriptions.--On each coin minted 
        under this section there shall be--
                (i) a designation of the value of the coin;
                (ii) an inscription of the year ``1998''; and
                (iii) inscriptions of the words ``Liberty'', ``In God 
            We Trust'', ``United States of America'', and ``E Pluribus 
            Unum''.
        (2) Selection.--The design for the coins authorized by this 
    section shall be--
            (A) selected by the Secretary after consultation with the 
        Robert F. Kennedy Memorial and the Commission of Fine Arts; and
            (B) reviewed by the Citizens Commemorative Coin Advisory 
        Committee.
    (d) Issuance of Coins.--
        (1) Quality of coins.--Coins minted under this section shall be 
    issued in uncirculated and proof qualities.
        (2) Mint facility.--Only 1 facility of the United States Mint 
    may be used to strike any particular quality of the coins minted 
    under this section.
        (3) Period for issuance.--The Secretary shall issue coins 
    minted under this section for a period of not less than 6 months 
    and not more than 12 months, beginning no later than January 1, 
    1998.
    (e) Sale of Coins.--
        (1) Sale price.--The coins issued under this section shall be 
    sold by the Secretary at a price equal to the sum of--
            (A) the face value of the coins;
            (B) the surcharge provided in paragraph (4) with respect to 
        such coins; and
            (C) the cost of designing and issuing the coins (including 
        labor, materials, dies, use of machinery, overhead expenses, 
        marketing, and shipping).
        (2) Bulk sales.--The Secretary shall make bulk sales of the 
    coins issued under this section available at a reasonable discount.
        (3) Prepaid orders.--
            (A) In general.--The Secretary shall accept prepaid orders 
        for the coins minted under this section before the issuance of 
        such coins.
            (B) Discount.--Sale prices with respect to prepaid orders 
        under subparagraph (A) shall be at a reasonable discount.
        (4) Surcharges.--All sales shall include a surcharge of $10 per 
    coin.
    (f) General Waiver of Procurement Regulations.--
        (1) In general.--Except as provided in paragraph (2), no 
    provision of law governing procurement or public contracts shall be 
    applicable to the procurement of goods and services necessary for 
    carrying out the provisions of this section.
        (2) Equal employment opportunity.--Paragraph (1) shall not 
    relieve any person entering into a contract under the authority of 
    this section from complying with any law relating to equal 
    employment opportunity.
    (g) Distribution of Surcharges.--
        (1) In general.--All surcharges received by the Secretary from 
    the sale of coins issued under this section shall be promptly paid 
    by the Secretary to the Robert F. Kennedy Memorial for the purpose 
    of improving the endowment of the Robert F. Kennedy Memorial.
        (2) Audits.--The Comptroller General of the United States shall 
    have the right to examine such books, records, documents, and other 
    data of the Robert F. Kennedy Memorial as may be related to the 
    expenditures of amounts paid under paragraph (1).
    (h) Financial Assurances.--
        (1) No net cost to the government.--The Secretary shall take 
    such actions as may be necessary to ensure that minting and issuing 
    coins under this section will not result in any net cost to the 
    United States Government.
        (2) Payment for coins.--A coin shall not be issued under this 
    section unless the Secretary has received--
            (A) full payment for the coin;
            (B) security satisfactory to the Secretary to indemnify the 
        United States for full payment; or
            (C) a guarantee of full payment satisfactory to the 
        Secretary from a depository institution whose deposits are 
        insured by the Federal Deposit Insurance Corporation or the 
        National Credit Union Administration Board.
    SEC. 207. UNITED STATES MILITARY ACADEMY BICENTENNIAL COMMEMORATIVE 
      COINS.
    (a) Coin Specifications.--
        (1) One dollar silver coins.--
            (A) Issuance.--The Secretary shall issue not more than 
        500,000 $1 coins, which shall weigh 26.73 grams, have a 
        diameter of 1.500 inches, and shall contain 90 percent silver 
        and 10 percent copper.
            (B) Design.--The design of the $1 coins shall be emblematic 
        of the United States Military Academy and its motto ``Duty, 
        Honor, Country''. On each such coin there shall be a 
        designation of the value of the coin, an inscription of the 
        year ``2002'', and inscriptions of the words ``Liberty'', ``In 
        God We Trust'', ``United States of America'', and ``E Pluribus 
        Unum''.
        (2) Legal tender.--The coins issued under this section shall be 
    legal tender as provided in section 5103 of title 31, United States 
    Code.
    (b) Sources of Bullion.--The Secretary shall obtain silver for the 
coins minted under this section only from stockpiles established under 
the Strategic and Critical Materials Stock Piling Act.
    (c) Selection of Design.--The design of the coins minted under this 
section shall be selected by the Secretary after consultation with the 
Commission of Fine Arts and the Bicentennial Steering Group, 
Association of Graduates, United States Military Academy. As required 
by section 5135 of title 31, United States Code, the designs shall also 
be reviewed by the Citizens Commemorative Coin Advisory Committee.
    (d) Issuance of the Coins.--
        (1) Quality and mint facility.--The coins authorized under this 
    section may be issued in uncirculated and proof qualities and shall 
    be struck at the United States Bullion Depository at West Point.
        (2) Period for issuance.--The Secretary shall issue coins 
    minted under this section during the period beginning on March 16, 
    2002, and ending on March 16, 2003.
        (3) Sunset provision.--No coins shall be minted under this 
    section after December 31, 2002.
    (e) Sale of the Coins.--
        (1) Sale price.--The coins issued under this section shall be 
    sold by the Secretary at a price equal to the sum of the face value 
    of the coins, the surcharge provided in paragraph (4) with respect 
    to such coins, and the cost of designing and issuing such coins 
    (including labor, materials, dies, use of machinery, overhead 
    expenses, marketing, and shipping).
        (2) Bulk sales.--The Secretary shall make bulk sales available 
    at a reasonable discount.
        (3) Prepaid orders.--The Secretary shall accept prepaid orders 
    for the coins prior to the issuance of such coins. Sales under this 
    paragraph shall be at a reasonable discount.
        (4) Surcharge required.--All sales shall include a surcharge of 
    $10 per coin.
    (f) General Waiver of Procurement Regulations.--No provision of law 
governing procurement or public contracts shall be applicable to the 
procurement of goods and services necessary for carrying out the 
provisions of this section. Nothing in this subsection shall relieve 
any person entering into a contract under the authority of this section 
from complying with any law relating to equal employment opportunity.
    (g) Distribution of Surcharges.--The total surcharges collected by 
the Secretary from the sale of the coins issued under this section 
shall be promptly paid by the Secretary to the Association of 
Graduates, United States Military Academy to assist the Association of 
Graduates' efforts to provide direct support to the academic, military, 
physical, moral, and ethical development programs of the Corps of 
Cadets, United States Military Academy.
    (h) Audits.--The Comptroller General of the United States shall 
have the right to examine such books, records, documents, and other 
data of the Association of Graduates, United States Military Academy as 
may be related to the expenditure of amounts paid under subsection (g).
    (i) Numismatic Public Enterprise Fund.--The coins issued under this 
section are subject to the provisions of section 5134 of title 31, 
United States Code, relating to the Numismatic Public Enterprise Fund.
    (j) Financial Assurances.--
        (1) No net cost to the government.--The Secretary shall take 
    all actions necessary to ensure that the issuance of the coins 
    authorized by this section shall result in no net cost to the 
    United States Government.
        (2) Adequate security for payment required.--No coin shall be 
    issued under this section unless the Secretary has received--
            (A) full payment therefor;
            (B) security satisfactory to the Secretary to indemnify the 
        United States for full payment; or
            (C) a guarantee of full payment satisfactory to the 
        Secretary from a depository institution whose deposits are 
        insured by the Federal Deposit Insurance Corporation or the 
        National Credit Union Administration Board.

SEC. 208. UNITED STATES BOTANIC GARDEN COMMEMORATIVE COINS.

    (a) Coin Specifications.--
        (1) One-dollar silver coins.--
            (A) Issuance.--The Secretary of the Treasury (hereafter in 
        this section referred to as the ``Secretary'') shall mint and 
        issue not more than 500,000 $1 coins, which shall weigh 26.73 
        grams, have a diameter of 1.500 inches, and contain 90 percent 
        silver and 10 percent copper.
            (B) Design.--The design of the coins issued under this 
        section shall be a rose, the national floral emblem, and a 
        frontal view of the French facade of the United States Botanic 
        Garden. On each coin there shall be a designation of the value 
        of the coin, an inscription of the years ``1820-1995'', and 
        inscriptions of the words ``Liberty'', ``In God We Trust'', 
        ``United States of America'', and ``E Pluribus Unum''.
        (2) Legal tender.--The coins issued under this section shall be 
    legal tender, as provided in section 5103 of title 31, United 
    States Code.
        (3) Numismatic items.--For purposes of section 5134 of title 
    31, United States Code, all coins minted under this section shall 
    be considered to be numismatic items.
    (b) Source of Bullion.--The Secretary shall obtain silver for the 
coins minted under this section only from stockpiles established under 
the Strategic and Critical Materials Stock Piling Act.
    (c) Selection of Design.--The design for the coins minted under 
this section shall be--
        (1) selected by the Secretary after consultation with the 
    National Fund for the United States Botanic Garden and the 
    Commission of Fine Arts; and
        (2) reviewed by the Citizens Commemorative Coin Advisory 
    Committee.
    (d) Issuance of Coins.--
        (1) Quality of coins.--Coins minted under this section may be 
    issued in uncirculated and proof qualities.
        (2) Mint facility.--Not more than 1 facility of the United 
    States Mint may be used to strike any particular quality of the 
    coins minted under this section.
        (3) Period of issuance.--The Secretary may issue coins minted 
    under this section during the period beginning on January 1, 1997, 
    and ending on December 31, 1997.
    (e) Sale of Coins.--
        (1) Sale price.--The coins authorized under this section shall 
    be sold by the Secretary at a price equal to the sum of the face 
    value of the coins, the surcharge provided in paragraph (4) with 
    respect to such coins, and the cost of designing and issuing the 
    coins (including labor, materials, dies, use of machinery, overhead 
    expenses, marketing, and shipping).
        (2) Bulk sales.--The Secretary shall make bulk sales available 
    at a reasonable discount.
        (3) Prepaid orders.--The Secretary shall accept prepaid orders 
    for the coins authorized under this section prior to the issuance 
    of such coins. Sales under this paragraph shall be at a reasonable 
    discount.
        (4) Surcharge required.--All sales shall include a surcharge of 
    $10 per coin.
    (f) General Waiver of Procurement Regulations.--
        (1) In general.--Except as provided in paragraph (2), no 
    provision of law governing procurement or public contracts shall be 
    applicable to the procurement of goods and services necessary for 
    carrying out the provisions of this section.
        (2) Equal employment opportunity.--Paragraph (1) shall not 
    relieve any person entering into a contract under the authority of 
    this section from complying with any law relating to equal 
    employment opportunity.
    (g) Distribution of Surcharges.--All surcharges received by the 
Secretary from the sale of coins issued under this section shall be 
promptly paid by the Secretary to the National Fund for the United 
States Botanic Garden.
    (h) Audits.--The Comptroller General of the United States shall 
have the right to examine such books, records, documents, and other 
data of the National Fund for the United States Botanic Garden as may 
be related to the expenditures of amounts paid under subsection (g).
    (i) Financial Assurances.--
        (1) No net cost to the government.--The Secretary shall take 
    all actions necessary to ensure that the issuance of the coins 
    authorized by this section shall result in no net cost to the 
    United States Government.
        (2) Adequate security for payment required.--No coin shall be 
    issued under this section unless the Secretary has received--
            (A) full payment therefor;
            (B) security satisfactory to the Secretary to indemnify the 
        United States for full payment; or
            (C) a guarantee of full payment satisfactory to the 
        Secretary from a depository institution whose deposits are 
        insured by the Federal Deposit Insurance Corporation or the 
        National Credit Union Administration Board.

SEC. 209. MOUNT RUSHMORE COMMEMORATIVE COINS.

    (a) Distribution of Surcharges.--Section 8 of the Mount Rushmore 
Commemorative Coin Act (104 Stat. 314; 31 U.S.C. 5112 note) is amended 
by striking paragraphs (1) and (2) and inserting the following:
        ``(1) the first $18,750,000 shall be paid during fiscal year 
    1994 by the Secretary to the Society to assist the Society's 
    efforts to improve, enlarge, and renovate the Mount Rushmore 
    National Memorial; and
        ``(2) the remainder shall be returned to the Federal Treasury 
    for purposes of reducing the national debt.''.
    (b) Retroactive Effect.--If, prior to the enactment of this Act, 
any amount of surcharges have been received by the Secretary of the 
Treasury and paid into the United States Treasury pursuant to section 
8(1) of the Mount Rushmore Commemorative Coin Act, as in effect prior 
to the enactment of this Act, that amount shall be paid out of the 
Treasury to the extent necessary to comply with section 8(1) of the 
Mount Rushmore Commemorative Coin Act, as in effect after the enactment 
of this Act. Amounts paid pursuant to the preceding sentence shall be 
out of funds not otherwise appropriated.
    (c) Numismatic Operating Profits.--Nothing in this section shall be 
construed to affect the Secretary of the Treasury's right to derive 
operating profits from numismatic programs for use in supporting the 
United States Mint's numismatic operations and programs, or to allow 
the distribution of operating profits from the Numismatic Public 
Enterprise Fund to a recipient organization under any numismatic 
program.
    SEC. 210. STUDY AND REPORT ON THE UNITED STATES FINANCIAL SERVICES 
      SYSTEM.
    (a) Study.--
        (1) In general.--The Secretary of the Treasury (hereafter in 
    this section referred to as the ``Secretary'') shall, after 
    consultation with the Advisory Commission on Financial Services 
    established under subsection (b), and consultation in accordance 
    with paragraph (3), conduct a study of matters relating to the 
    strengths and weaknesses of the United States financial services 
    system in meeting the needs of the system's users, including the 
    needs of--
            (A) individual consumers and households;
            (B) communities;
            (C) agriculture;
            (D) small-, medium-, and large-sized businesses;
            (E) governmental and nonprofit entities; and
            (F) exporters and other users of international financial 
        services.
        (2) Matters studied.--The study required under paragraph (1) 
    shall include consideration of--
            (A) the changes underway in the national and international 
        economies and the financial services industry, and how those 
        changes affect the financial services system's ability to 
        efficiently meet the needs of the national economy and the 
        system's users during the next 10 years and beyond; and
            (B) the adequacy of existing statutes and regulations, and 
        the existing regulatory structure, to meet the needs of the 
        financial services system's users effectively, efficiently, and 
        without unfair, anticompetitive, or discriminatory practices.
        (3) Consultation.--Consultation in accordance with this 
    paragraph means consultation with--
            (A) the Board of Governors of the Federal Reserve System;
            (B) the Commodity Futures Trading Commission;
            (C) the Comptroller of the Currency;
            (D) the Director of the Office of Thrift Supervision;
            (E) the Federal Deposit Insurance Corporation;
            (F) the Secretary of the Department of Housing and Urban 
        Development;
            (G) the Securities and Exchange Commission;
            (H) the Director of the Congressional Budget Office; and
            (I) the Comptroller General of the United States.
    (b) Advisory Commission on Financial Services.--
        (1) Establishment.--There is established the Advisory 
    Commission on Financial Services (hereafter in this section 
    referred to as the ``Advisory Commission'').
        (2) Membership of commission.--The Advisory Commission--
            (A) shall consist of not less than 9 nor more than 14 
        members appointed by the Secretary from among individuals--
                (i) who are--

                    (I) users of the financial services system; or
                    (II) experts in finance or on the financial 
                services system; and

                (ii) who are not employees of the Federal Government; 
            and
            (B) shall include representatives of business, agriculture, 
        and consumers.
        (3) Chairperson.--The Secretary or the Secretary's designee 
    shall serve as Chairperson of the Advisory Commission.
        (4) Travel expenses.--Members of the Advisory Commission shall 
    be allowed travel expenses, including per diem in lieu of 
    subsistence, at rates authorized for employees of agencies under 
    subchapter I of chapter 57 of title 5, United States Code, while 
    away from their homes or regular places of business in performing 
    services for the Advisory Commission.
        (5) Termination.--The Advisory Commission shall terminate 30 
    days after the date of submission of the report required under 
    subsection (d).
    (c) Recommendations.--Based on the results of the study conducted 
under subsection (a), the Secretary shall develop such recommendations 
as may be appropriate for changes in statutes, regulations, and 
policies to improve the operation of the financial services system, 
including changes to better--
        (1) meet the needs of, and assure access to the system for, 
    current and potential users;
        (2) promote economic growth;
        (3) protect consumers;
        (4) promote competition and efficiency;
        (5) avoid risk to the taxpayers;
        (6) control systemic risk; and
        (7) eliminate discrimination.
    (d) Report.--Not later than 15 months after the date of enactment 
of this Act, the Secretary shall submit to the President pro tempore of 
the Senate and the Speaker of the House of Representatives a report 
describing the study conducted under subsection (a) and any 
recommendations developed under subsection (c).

SEC. 211. FLEXIBILITY IN CHOOSING BOARDS OF DIRECTORS.

    (a) In General.--Section 5146 of the Revised Statutes (12 U.S.C. 
72) is amended in the 1st sentence, by striking ``two thirds'' and 
inserting ``a majority''.
    (b) Provision Repeal.--Effective on the date of enactment of the 
Riegle Community Development and Regulatory Improvement Act of 1994, 
this section and the amendment made by this section are repealed.







                               Speaker of the House of Representatives.







                            Vice President of the United States and    
                                               President of the Senate.