[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[H.R. 746 Introduced in House (IH)]







107th CONGRESS
  1st Session
                                H. R. 746

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


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           February 27, 2001

Mr. Hefley (for himself, Mr. Gillmor, Mr. Jones of North Carolina, Mrs. 
  Jones of Ohio, Mrs. Kelly, Mr. Riley, Mr. Boswell, Mr. Combest, Mr. 
Stenholm, Ms. Baldwin, Mr. Berry, Mr. Boucher, Mr. Bryant, Mr. Davis of 
Illinois, Ms. DeGette, Mr. Doyle, Mr. Edwards, Mrs. Emerson, Mr. Goode, 
    Mr. Gordon, Mr. Hill, Mr. Hinojosa, Mr. Istook, Mr. Johnson of 
  Illinois, Mr. LaHood, Mr. Latham, Mr. McInnis, Mr. Nethercutt, Mr. 
   Norwood, Mr. Osborne, Mr. Peterson of Pennsylvania, Mr. Rush, Mr. 
  Schaffer, Mr. Sessions, Mr. Smith of New Jersey, Mr. Tancredo, Mr. 
 Terry, Mr. Thune, and Mr. Udall of Colorado) introduced the following 
    bill; which was referred to the Committee on Financial Services

_______________________________________________________________________

                                 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 such 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 ``Federal Deposit Insurance 
Corporation Adjustment Act''.

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 new subparagraph:
                    ``(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, 2002, 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.--
            (1) Paragraphs (2)(A) and (3)(A) of section 11(a) of the 
        Federal Deposit Insurance Act (12 U.S.C. 1821(a)) are each 
        amended by striking ``$100,000'' and inserting ``the amount 
        determined under paragraph (1)(B)''.
            (2) Paragraph (6) of section 11(m) of the Federal Deposit 
        Insurance Act (12 U.S.C. 1821(m)) is amended by striking 
        ``$100,000'' and inserting ``the amount determined under 
        subsection (a)(1)(B)''.
            (3) The following provisions of the Federal Deposit 
        Insurance Act are each amended by striking ``$100,000'' and 
        inserting ``the amount determined under section 11(a)(1)(B)''.
                    (A) Paragraphs (1) and (3) of section 7(i) (12 
                U.S.C. 1817(i)).
                    (B) Subsection (d) of section 43 (12 U.S.C. 1831t).
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