[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[S. 2589 Introduced in Senate (IS)]







106th CONGRESS
  2d Session
                                S. 2589

To amend the Federal Deposit Insurance Act to require periodic cost of 
living adjustments to the maximum amount of deposit insurance available 
                under that Act, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                              May 18, 2000

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

_______________________________________________________________________

                                 A BILL


 
To amend the Federal Deposit Insurance Act to require periodic cost of 
living adjustments to the maximum amount of deposit insurance available 
                under that Act, 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 ``Meeting America's Investment Needs 
in Small Towns Act of 2000''.

SEC. 2. PERIODIC ADJUSTMENT TO MAXIMUM AMOUNT OF DEPOSIT INSURANCE 
              COVERAGE.

    (a) In General.--Section 11(a)(1) of the Federal Deposit Insurance 
Act (12 U.S.C. 1821(a)(1)) is amended by striking subparagraph (B) and 
inserting the following:
                    ``(B) Net amount of insured deposit.--
                            ``(i) In general.--Subject to clause (ii), 
                        the net amount due to any depositor at an 
                        insured depository institution shall not exceed 
                        $100,000, as determined in accordance with 
                        subparagraphs (C) and (D).
                            ``(ii) Inflation adjustment.--As of the 1st 
                        day of the 3-year period beginning on January 
                        1, 2001, and the 1st day of each subsequent 3-
                        year period, the maximum net amount due to any 
                        depositor at an insured depository institution 
                        under clause (i) shall be increased by the 
                        product of--
                                    ``(I) the amount described in 
                                clause (i); and
                                    ``(II) the cost of living 
                                adjustment determined under section 
                                1(f)(3) of the Internal Revenue Code of 
                                1986, at the beginning of each such 3-
                                year period, in accordance with clause 
                                (iii).
                            ``(iii) Rule of application.--Section 
                        1(f)(3)(B) of the Internal Revenue Code of 
                        1986, shall be applied, for purposes of clause 
                        (ii) of this subsection, by substituting 
                        `calendar year 1980' for `calendar year 1992'.
                            ``(iv) Rounding.--If the amount determined 
                        under clause (ii) for any period is not a 
                        multiple of $1,000, the amount so determined 
                        shall be rounded to the nearest $1,000.
                            ``(v) Publication.--Not later than January 
                        15 of the 1st year of each 3-year period 
                        referred to in clause (ii), the Board of 
                        Directors shall publish in the Federal Register 
                        the maximum net amount which may be due to any 
                        depositor at an insured depository institution 
                        during such 3-year period.''.
    (b) Technical and Conforming Amendments.--The Federal Deposit 
Insurance Act (12 U.S.C. 1811 et seq.) is amended--
            (1) in paragraphs (1) and (3) of section 7(i) (12 U.S.C. 
        1817(i)(1), (3)), by striking ``$100,000'' each place it 
        appears and inserting ``the amount determined under section 
        11(a)(1)(B)'';
            (2) in section 11 (12 U.S.C. 1821)--
                    (A) in subsection (a)(2)(A), in the material 
                immediately following clause (v), by striking ``in an 
                amount not to exceed $100,000 per account'' the second 
                place it appears;
                    (B) in paragraphs (2)(A) and (3)(A) of subsection 
                (a), by striking ``$100,000'' each place it appears and 
                inserting ``the amount determined under paragraph 
                (1)(B)''; and
                    (C) in subsection (m)(6), by striking ``$100,000'' 
                and inserting ``the amount determined under subsection 
                (a)(1)(B)'';
            (3) in section 18(a)(1)(B) (12 U.S.C. 1828(a)(1)(B), by 
        striking ``$100,000'' and inserting ``[$____], the bracketed 
        portion to be filled by the amount determined under section 
        11(a)(1)(B)''; and
            (4) in section 43(d) (12 U.S.C. 1831t(d)), by striking 
        ``$100,000'' and inserting ``the amount determined under 
        section 11(a)(1)(B).''.
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