[Congressional Bills 103th Congress]
[From the U.S. Government Publishing Office]
[S. 1698 Introduced in Senate (IS)]

103d CONGRESS
  1st Session
                                S. 1698

  To reduce the paperwork burden on certain rural regulated financial 
                 institutions, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

            November 19 (legislative day, November 2), 1993

  Mr. Wallop (for himself, Mr. Boren, and Mr. McCain) introduced the 
 following bill; which was read twice and referred to the Committee on 
                  Banking, Housing, and Urban Affairs

_______________________________________________________________________

                                 A BILL


 
  To reduce the paperwork burden on certain rural regulated financial 
                 institutions, and for other purposes.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Rural Community Bank Paperwork 
Relief Act of 1993''.

SEC. 2. SELF CERTIFICATION.

    The Community Reinvestment Act of 1977 (12 U.S.C. 2901 et seq.) is 
amended by adding at the end the following new section:

``SEC. 809. SELF CERTIFICATION FOR INSTITUTIONS IN RURAL TOWNS.

    ``A regulated financial institution shall be exempt from the 
evaluation and examination requirements of this title if such 
institution--
            ``(1) is located in a town, political subdivision, or other 
        unit of general local government that--
                    ``(A) has a population of not more than 20,000 
                residents, according to the most recent available 
                census data; and
                    ``(B) is not located in a metropolitan statistical 
                area of the United States Department of Commerce, 
                Bureau of the Census;
            ``(2) has a net loans and leases to deposits ratio of not 
        less than 70 percent of the average institutional ratio of 
        financial institutions of similar size in the same State, as 
        defined by the appropriate Federal financial supervisory 
        agency; and
            ``(3) certifies that it is effectively meeting the credit 
        needs of its entire community, including low- and moderate-
        income neighborhoods, as determined in regulations published by 
        each appropriate Federal financial supervisory agency.''.

SEC. 3. INCREASED INCENTIVES TO LENDING TO LOW- AND MODERATE-INCOME 
              COMMUNITIES.

    Section 804 of the Community Reinvestment Act of 1977 (12 U.S.C. 
2903) is amended by adding at the end the following new subsection:
    ``(c) Certain Rural Institutions.--In evaluating a regulated 
financial institution, the appropriate Federal financial supervisory 
agency shall give appropriate consideration and weight to the 
institution's investments in and loans to joint ventures or other 
entities or projects that provide benefits to distressed communities 
located within or outside of the service area of the institution (as 
such terms are defined by the appropriate Federal financial supervisory 
agency) if such institution--
            ``(1) is located in a town, political subdivision, or other 
        unit of general local government that is not located in a 
        metropolitan statistical area of the United States Department 
        of Commerce, Bureau of the Census; and
            ``(2) does not meet the requirements of section 809.''.

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