[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4116 Introduced in House (IH)]

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118th CONGRESS
  1st Session
                                H. R. 4116

 To amend the Federal Deposit Insurance Act to require reports on the 
 use of the systemic risk authority applicable to winding up a failed 
        insured depository institution, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             June 14, 2023

    Mr. Green of Texas (for himself, Mr. Sherman, and Mrs. Beatty) 
 introduced the following bill; which was referred to the Committee on 
                           Financial Services

_______________________________________________________________________

                                 A BILL


 
 To amend the Federal Deposit Insurance Act to require reports on the 
 use of the systemic risk authority applicable to winding up a failed 
        insured depository institution, 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 ``Systemic Risk Authority Transparency 
Act''.

SEC. 2. SYSTEMIC RISK PROVISIONS.

    (a) GAO Review.--Section 13(c)(4)(G)(iv) of the Federal Deposit 
Insurance Act (12 U.S.C. 1823(c)(4)(G)(iv)) is amended to read as 
follows:
                            ``(iv) GAO review.--The Comptroller General 
                        of the United States shall, not later than 
                        later than 60 days after a determination is 
                        made under clause (i), and again 180 days 
                        thereafter, review and report to the Congress 
                        on the determination under clause (i), 
                        including--
                                    ``(I) the basis for the 
                                determination;
                                    ``(II) the purpose for which any 
                                action was taken pursuant to such 
                                clause;
                                    ``(III) the likely effect of the 
                                determination and such action on the 
                                incentives and conduct of insured 
                                depository institutions and uninsured 
                                depositors;
                                    ``(IV) any mismanagement by the 
                                executives and board of the insured 
                                depository institution that contributed 
                                to the failure of the insured 
                                depository institution;
                                    ``(V) a review of the compensation 
                                practices of the insured depository 
                                institution;
                                    ``(VI) any supervisory or 
                                regulatory shortcomings with respect to 
                                the primary Federal banking regulators 
                                of the insured depository institution;
                                    ``(VII) any actions taken by the 
                                Federal banking regulators, Financial 
                                Stability Oversight Council, Treasury 
                                Department, and other relevant 
                                financial regulators in relation to the 
                                bank's failure; and
                                    ``(VIII) any additional relevant 
                                entities or activities that may have 
                                contributed to the failure of the 
                                insured depository institution, 
                                including with respect to auditing, 
                                accounting, credit rating agencies, 
                                investment bank underwriters, and 
                                emergency liquidity options such as 
                                loans from the Federal Reserve or 
                                advances through the Federal Home Loan 
                                Bank system.''.
    (b) Primary Federal Regulator Report.--Section 13(c) of the Federal 
Deposit Insurance Act (12 U.S.C. 1823(c)) is amended by adding at the 
end the following:
            ``(12) Primary federal regulator report.--The primary 
        Federal regulator of an insured depository institution about 
        which a determination is made under clause (i) shall, not later 
        than 60 days after the date of such determination, and again 
        180 days thereafter, submit a report to the Congress that--
                    ``(A) discloses all confidential supervisory 
                information held by such primary Federal regulator that 
                relates to the failed insured depository institution;
                    ``(B) examines any mismanagement by the executives 
                and board of the insured depository institution that 
                contributed to the failure of the insured depository 
                institution;
                    ``(C) discloses any supervisory or regulatory 
                shortcomings by such primary Federal regulator with 
                respect to the insured depository institution;
                    ``(D) describes any dynamics that the primary 
                Federal regulator determines may have contributed to 
                the failure of the insured depository institution; and
                    ``(E) includes any supervisory, regulatory, and 
                legislative recommendations such primary Federal 
                regulator may have to improve the safety and soundness 
                of similarly situated insured depository institutions, 
                the banking system, and financial stability.''.
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