[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3928 Introduced in House (IH)]

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118th CONGRESS
  1st Session
                                H. R. 3928

    To amend the Federal Deposit Insurance Act to permit an insured 
   depository institution to elect to have a higher standard maximum 
   deposit insurance amount applicable to commercial deposits of the 
 institution and to require higher assessments of such an institution, 
to amend the Federal Credit Union Act to provide a similar program for 
             insured credit unions, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                              June 7, 2023

  Mr. Schiff introduced the following bill; which was referred to the 
                    Committee on Financial Services

_______________________________________________________________________

                                 A BILL


 
    To amend the Federal Deposit Insurance Act to permit an insured 
   depository institution to elect to have a higher standard maximum 
   deposit insurance amount applicable to commercial deposits of the 
 institution and to require higher assessments of such an institution, 
to amend the Federal Credit Union Act to provide a similar program for 
             insured credit unions, 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 ``Deposit Insurance Reform Act of 
2023''.

SEC. 2. ELECTION OF HIGHER STANDARD MAXIMUM DEPOSIT INSURANCE AMOUNT 
              FOR COMMERCIAL DEPOSITS.

    Section 11 of the Federal Deposit Insurance Act (12 U.S.C. 1821) is 
amended by adding at the end the following:
    ``(x) Election of Higher Standard Maximum Deposit Insurance Amount 
for Commercial Deposits.--
            ``(1) Multiple levels of deposit insurance.--The 
        Corporation shall establish multiple levels of standard maximum 
        deposit insurance amounts that are applicable to commercial 
        deposits and are above the amount defined under subsection 
        (a)(1)(E).
            ``(2) Election.--An insured depository institution may 
        elect to apply a standard maximum deposit insurance amount 
        established under paragraph (1) to the commercial deposits of 
        the insured depository institution.
            ``(3) Deposit insurance fund assessments.--The Corporation 
        shall set the assessment rate of an insured depository 
        institution making an election under paragraph (2) at such 
        higher rate as is necessary to reflect the increased risk to 
        the Deposit Insurance Fund from the failure of an insured 
        depository institution with a higher standard maximum deposit 
        insurance.
            ``(4) Rulemaking.--The Corporation shall issue such rules 
        as may be necessary to carry out this subsection.
            ``(5) Commercial deposits defined.--In this subsection, the 
        term `commercial deposits' means any deposits other than 
        deposits of an individual (unless the individual is operating 
        in the capacity of a sole proprietorship).''.

SEC. 3. ELECTION OF HIGHER STANDARD MAXIMUM SHARE INSURANCE AMOUNT FOR 
              COMMERCIAL DEPOSITS.

    Section 207(k) of the Federal Credit Union Act (12 U.S.C. 1787(k)) 
is amended by adding at the end the following:
            ``(7) Election of higher standard maximum share insurance 
        amount for commercial deposits.--
                    ``(A) Multiple levels of share insurance.--The 
                Board shall establish multiple levels of standard 
                maximum share insurance amounts that are applicable to 
                commercial deposits and are above the amount defined 
                under paragraph (6).
                    ``(B) Election.--An insured credit union may elect 
                to apply a standard maximum share insurance amount 
                established under subparagraph (A) to the commercial 
                deposits instead of the amount defined under paragraph 
                (6).
                    ``(C) Fund premium charges.--The Board shall set 
                the premium charge rate applicable to an insured credit 
                union making an election under subparagraph (B) at such 
                higher rate as is necessary to reflect the increased 
                risk to the Fund from the failure of an insured credit 
                union with a higher standard maximum share insurance 
                amount.
                    ``(D) Rulemaking.--The Board shall issue such rules 
                as may be necessary to carry out this paragraph.
                    ``(E) Commercial deposits defined.--In this 
                paragraph, the term `commercial deposits' means any 
                deposits other than deposits of an individual (unless 
                the individual is operating in the capacity of a sole 
                proprietorship).''.
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