[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4823 Reported in House (RH)]

<DOC>





                                                 Union Calendar No. 264
118th CONGRESS
  1st Session
                                H. R. 4823

                          [Report No. 118-325]

    To provide enhanced reporting requirements for Federal banking 
regulators, to amend the Federal Reserve Act to remove the designation 
   of Vice Chairman for Supervision of the Board of Governors of the 
            Federal Reserve System, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             July 24, 2023

   Mr. Loudermilk (for himself, Mr. Barr, Mr. Flood, and Mr. Ogles) 
 introduced the following bill; which was referred to the Committee on 
                           Financial Services

                           December 19, 2023

  Reported with an amendment, committed to the Committee of the Whole 
       House on the State of the Union, and ordered to be printed
 [Strike out all after the enacting clause and insert the part printed 
                               in italic]
 [For text of introduced bill, see copy of bill as introduced on July 
                               24, 2023]


_______________________________________________________________________

                                 A BILL


 
    To provide enhanced reporting requirements for Federal banking 
regulators, to amend the Federal Reserve Act to remove the designation 
   of Vice Chairman for Supervision of the Board of Governors of the 
            Federal Reserve System, 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; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``American Financial 
Institution Regulatory Sovereignty and Transparency Act of 2023'' or 
the ``American FIRST Act of 2023''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; Table of contents.

         TITLE I--STOP EXECUTIVE CAPTURE OF BANKING REGULATORS

Sec. 101. Report on the implementation of recommendations from the FSOC 
                            Chairperson and Executive Orders.

    TITLE II--ENSURING U.S. AUTHORITY OVER U.S. BANKING REGULATIONS

Sec. 201. Requirements in connection with rulemakings implementing 
                            policies of non-governmental international 
                            organizations.
Sec. 202. Report on certain climate-related interactions with covered 
                            international organizations.

          TITLE III--BANKING REGULATOR INTERNATIONAL REPORTING

Sec. 301. Reporting on interactions with non-governmental international 
                            organizations.

                      TITLE IV--SUPERVISION REFORM

Sec. 401. Removal of the Vice Chairman for Supervision designation.

         TITLE I--STOP EXECUTIVE CAPTURE OF BANKING REGULATORS

SEC. 101. REPORT ON THE IMPLEMENTATION OF RECOMMENDATIONS FROM THE FSOC 
              CHAIRPERSON AND EXECUTIVE ORDERS.

    (a) Board of Governors of the Federal Reserve System.--Section 10 
of the Federal Reserve Act (12 U.S.C. 247b), as amended by section 
401(b), is further amended by adding at the end the following:
            ``(11) Report on the implementation of recommendations from 
        the fsoc chairperson and executive orders.--The Board of 
        Governors of the Federal Reserve System may not implement a 
        non-binding recommendation made by the Chairperson of the 
        Financial Stability Oversight Council or contained in an 
        Executive Order unless the Board of Governors first provides 
        the Committee on Financial Services of the House of 
        Representatives and the Committee on Banking, Housing, and 
        Urban Affairs of the Senate with--
                    ``(A) notice that the Board of Governors intends to 
                implement such recommendation;
                    ``(B) a report containing the proposed 
                implementation by the Board of Governors and a 
                justification for such implementation; and
                    ``(C) upon request, not later than the end of the 
                120-day period beginning on the date of the notice 
                under subparagraph (A), testimony on such proposed 
                implementation.''.
    (b) Office of the Comptroller of the Currency.--Section 324 of the 
Revised Statutes of the United States (12 U.S.C. 1) is amended by 
adding at the end the following:
    ``(c) Report on the Implementation of Recommendations From the FSOC 
Chairperson and Executive Orders.--The Comptroller of the Currency may 
not implement a non-binding recommendation made by the Chairperson of 
the Financial Stability Oversight Council or contained in an Executive 
Order unless the Comptroller of the Currency first provides the 
Committee on Financial Services of the House of Representatives and the 
Committee on Banking, Housing, and Urban Affairs of the Senate with--
            ``(1) notice that the Comptroller of the Currency intends 
        to implement such recommendation;
            ``(2) a report containing the proposed implementation by 
        the Comptroller of the Currency and a justification for such 
        implementation; and
            ``(3) upon request, not later than the end of the 120-day 
        period beginning on the date of the notice under paragraph (1), 
        testimony on such proposed implementation.''.
    (c) Federal Deposit Insurance Corporation.--Section 2 of the 
Federal Deposit Insurance Act (12 U.S.C. 1812) is amended by inserting 
after subsection (f) the following:
    ``(g) Report on the Implementation of Recommendations From the FSOC 
Chairperson and Executive Orders.--The Board of Directors of the 
Corporation may not implement a non-binding recommendation made by the 
Chairperson of the Financial Stability Oversight Council or contained 
in an Executive Order unless the Board of Directors first provides the 
Committee on Financial Services of the House of Representatives and the 
Committee on Banking, Housing, and Urban Affairs of the Senate with--
            ``(1) notice that the Board of Directors intends to 
        implement such recommendation;
            ``(2) a report containing the proposed implementation by 
        the Board of Directors and a justification for such 
        implementation; and
            ``(3) upon request, not later than the end of the 120-day 
        period beginning on the date of the notice under paragraph (1), 
        testimony on such proposed implementation.''.
    (d) National Credit Union Administration.--Section 102 of the 
Federal Credit Union Act (12 U.S.C. 1752a) is amended by adding at the 
end the following:
    ``(g) Report on the Implementation of Recommendations From the FSOC 
Chairperson and Executive Orders.--The Board may not implement a non-
binding recommendation made by the Chairperson of the Financial 
Stability Oversight Council or contained in an Executive Order unless 
the Board first provides the Committee on Financial Services of the 
House of Representatives and the Committee on Banking, Housing, and 
Urban Affairs of the Senate with--
            ``(1) notice that the Board intends to implement such 
        recommendation;
            ``(2) a report containing the proposed implementation by 
        the Board and a justification for such implementation; and
            ``(3) upon request, not later than the end of the 120-day 
        period beginning on the date of the notice under paragraph (1), 
        testimony on such proposed implementation.''.
    (e) Federal Housing Finance Agency.--Section 1311 of the Housing 
and Community Development Act of 1992 (12 U.S.C. 4511) is amended by 
adding at the end the following:
    ``(d) Report on the Implementation of Recommendations From the FSOC 
Chairperson and Executive Orders.--The Director may not implement a 
non-binding recommendation made by the Chairperson of the Financial 
Stability Oversight Council or contained in an Executive Order unless 
the Director first provides the Committee on Financial Services of the 
House of Representatives and the Committee on Banking, Housing, and 
Urban Affairs of the Senate with--
            ``(1) notice that the Director intends to implement such 
        recommendation;
            ``(2) a report containing the proposed implementation by 
        the Director and a justification for such implementation; and
            ``(3) upon request, not later than the end of the 120-day 
        period beginning on the date of the notice under paragraph (1), 
        testimony on such proposed implementation.''.

    TITLE II--ENSURING U.S. AUTHORITY OVER U.S. BANKING REGULATIONS

SEC. 201. REQUIREMENTS IN CONNECTION WITH RULEMAKINGS IMPLEMENTING 
              POLICIES OF NON-GOVERNMENTAL INTERNATIONAL ORGANIZATIONS.

    (a) Board of Governors of the Federal Reserve System.--Section 10 
of the Federal Reserve Act (12 U.S.C. 247b), as amended by section 
101(a), is further amended by inserting after paragraph (11) the 
following:
            ``(12) Requirements in connection with rulemakings 
        implementing policies of non-governmental international 
        organizations.--
                    ``(A) In general.--The Board of Governors of the 
                Federal Reserve System may not propose or finalize a 
                major covered rule unless, not later than 120 days 
                before issuing such a proposed or final rule, the Board 
                of Governors provides the Committee on Financial 
                Services of the House of Representatives and the 
                Committee on Banking, Housing, and Urban Affairs of the 
                Senate with notice, testimony, and a detailed economic 
                analysis with respect to the proposed or final rule, 
                including projections of economic costs, sectoral 
                effects, and effects on the availability of credit, the 
                gross domestic product, and employment.
                    ``(B) Major covered rule defined.--In this 
                paragraph, the term `major covered rule' means a rule--
                            ``(i) that the Board of Governors 
                        determines would have an effect, in the 
                        aggregate, on the economy of the United States 
                        of $10,000,000,000 or more during the 10-year 
                        period beginning on the date the rule takes 
                        effect; and
                            ``(ii) that is intended to align or conform 
                        with a recommendation from a non-governmental 
                        international organization (including the 
                        Financial Stability Board, the Bank for 
                        International Settlements, the Network of 
                        Central Banks and Supervisors for Greening the 
                        Financial System, and the Basel Committee on 
                        Banking Supervision).''.
    (b) Office of the Comptroller of the Currency.--Section 324 of the 
Revised Statutes of the United States (12 U.S.C. 1), as amended by 
section 101(b), is further amended by adding at the end the following:
    ``(d) Requirements in Connection With Rulemakings Implementing 
Policies of Non-governmental International Organizations.--
            ``(1) In general.--The Comptroller of the Currency may not 
        propose or finalize a major covered rule unless, not later than 
        120 days before issuing such a proposed or final rule, the 
        Comptroller of the Currency provides the Committee on Financial 
        Services of the House of Representatives and the Committee on 
        Banking, Housing, and Urban Affairs of the Senate with notice, 
        testimony, and a detailed economic analysis with respect to the 
        proposed or final rule, including projections of economic 
        costs, sectoral effects, and effects on the availability of 
        credit, the gross domestic product, and employment.
            ``(2) Major covered rule defined.--In this subsection, the 
        term `major covered rule' means a rule--
                    ``(A) that the Comptroller of the Currency 
                determines would have an effect, in the aggregate, on 
                the economy of the United States of $10,000,000,000 or 
                more during the 10-year period beginning on the date 
                the rule takes effect; and
                    ``(B) that is intended to align or conform with a 
                recommendation from a non-governmental international 
                organization (including the Financial Stability Board, 
                the Bank for International Settlements, the Network of 
                Central Banks and Supervisors for Greening the 
                Financial System, and the Basel Committee on Banking 
                Supervision).''.
    (c) Federal Deposit Insurance Corporation.--Section 2 of the 
Federal Deposit Insurance Act (12 U.S.C. 1812), as amended by section 
101(c), is further amended by inserting after subsection (g) the 
following:
    ``(h) Requirements in Connection With Rulemakings Implementing 
Policies of Non-governmental International Organizations.--
            ``(1) In general.--The Board of Directors of the 
        Corporation may not propose or finalize a major covered rule 
        unless, not later than 120 days before issuing such a proposed 
        or final rule, the Board of Directors provides the Committee on 
        Financial Services of the House of Representatives and the 
        Committee on Banking, Housing, and Urban Affairs of the Senate 
        with notice, testimony, and a detailed economic analysis with 
        respect to the proposed or final rule, including projections of 
        economic costs, sectoral effects, and effects on the 
        availability of credit, the gross domestic product, and 
        employment.
            ``(2) Major covered rule defined.--In this subsection, the 
        term `major covered rule' means a rule--
                    ``(A) that the Board of Directors determines would 
                have an effect, in the aggregate, on the economy of the 
                United States of $10,000,000,000 or more during the 10-
                year period beginning on the date the rule takes 
                effect; and
                    ``(B) that is intended to align or conform with a 
                recommendation from a non-governmental international 
                organization (including the Financial Stability Board, 
                the Bank for International Settlements, the Network of 
                Central Banks and Supervisors for Greening the 
                Financial System, and the Basel Committee on Banking 
                Supervision).''.
    (d) National Credit Union Administration.--Section 102 of the 
Federal Credit Union Act (12 U.S.C. 1752a), as amended by section 
101(d), is further amended by adding at the end the following:
    ``(h) Requirements in Connection With Rulemakings Implementing 
Policies of Non-governmental International Organizations.--
            ``(1) In general.--The Board may not propose or finalize a 
        major covered rule unless, not later than 120 days before 
        issuing such a proposed or final rule, the Board provides the 
        Committee on Financial Services of the House of Representatives 
        and the Committee on Banking, Housing, and Urban Affairs of the 
        Senate with notice, testimony, and a detailed economic analysis 
        with respect to the proposed or final rule, including 
        projections of economic costs, sectoral effects, and effects on 
        the availability of credit, the gross domestic product, and 
        employment.
            ``(2) Major covered rule defined.--In this subsection, the 
        term `major covered rule' means a rule--
                    ``(A) that the Board determines would have an 
                effect, in the aggregate, on the economy of the United 
                States of $10,000,000,000 or more during the 10-year 
                period beginning on the date the rule takes effect; and
                    ``(B) that is intended to align or conform with a 
                recommendation from a non-governmental international 
                organization (including the Financial Stability Board, 
                the Bank for International Settlements, the Network of 
                Central Banks and Supervisors for Greening the 
                Financial System, and the Basel Committee on Banking 
                Supervision).''.
    (e) Federal Housing Finance Agency.--Section 1311 of the Housing 
and Community Development Act of 1992 (12 U.S.C. 4511), as amended by 
section 101(e), is further amended by adding at the end the following:
    ``(e) Requirements in Connection With Rulemakings Implementing 
Policies of Non-governmental International Organizations.--
            ``(1) In general.--The Director may not propose or finalize 
        a major covered rule unless, not later than 120 days before 
        issuing such a proposed or final rule, the Director provides 
        the Committee on Financial Services of the House of 
        Representatives and the Committee on Banking, Housing, and 
        Urban Affairs of the Senate with notice, testimony, and a 
        detailed economic analysis with respect to the proposed or 
        final rule, including projections of economic costs, sectoral 
        effects, and effects on the availability of credit, the gross 
        domestic product, and employment.
            ``(2) Major covered rule defined.--In this subsection, the 
        term `major covered rule' means a rule--
                    ``(A) that the Director determines would have an 
                effect, in the aggregate, on the economy of the United 
                States of $10,000,000,000 or more during the 10-year 
                period beginning on the date the rule takes effect; and
                    ``(B) that is intended to align or conform with a 
                recommendation from a non-governmental international 
                organization (including the Financial Stability Board, 
                the Bank for International Settlements, the Network of 
                Central Banks and Supervisors for Greening the 
                Financial System, and the Basel Committee on Banking 
                Supervision).''.

SEC. 202. REPORT ON CERTAIN CLIMATE-RELATED INTERACTIONS WITH COVERED 
              INTERNATIONAL ORGANIZATIONS.

    (a) In General.--A Federal banking regulator may not meet with or 
otherwise engage with a covered international organization on the topic 
of climate-related financial risk during a calendar year unless the 
Federal banking regulator has issued a report to the Committee on 
Financial Services of the House of Representatives and the Committee on 
Banking, Housing, and Urban Affairs of the Senate containing, for the 
previous calendar year--
            (1) a complete description of the activities of the covered 
        international organization in which the Federal banking 
        regulator participates (including any task force, committee, or 
        other organizational unit thereof); and
            (2) a detailed accounting of the governmental and non-
        governmental funding sources of the covered international 
        organization (including any task force, committee, or other 
        organizational unit thereof).
    (b) Definitions.--In this section:
            (1) Covered international organization.--The term ``covered 
        international organization'' means the Financial Stability 
        Board, the Bank for International Settlements, the Network of 
        Central Banks and Supervisors for Greening the Financial 
        System, and the Basel Committee on Banking Supervision.
            (2) Federal banking regulator.--The term ``Federal banking 
        regulator'' means the Board of Governors of the Federal Reserve 
        System, the Federal Deposit Insurance Corporation, the Federal 
        Housing Finance Agency, the National Credit Union 
        Administration, and the Office of the Comptroller of the 
        Currency.

          TITLE III--BANKING REGULATOR INTERNATIONAL REPORTING

SEC. 301. REPORTING ON INTERACTIONS WITH NON-GOVERNMENTAL INTERNATIONAL 
              ORGANIZATIONS.

    (a) Board of Governors of the Federal Reserve System.--Section 10 
of the Federal Reserve Act (12 U.S.C. 247b), as amended by section 
201(a), is further amended by inserting after paragraph (12) the 
following:
            ``(13) Reporting on interactions with non-governmental 
        international organizations.--With respect to interactions 
        between the Board of Governors of the Federal Reserve System 
        and a non-governmental international organization (including 
        the Financial Stability Board, the Bank for International 
        Settlements, the Network of Central Banks and Supervisors for 
        Greening the Financial System, and the Basel Committee on 
        Banking Supervision), the Board of Governors shall--
                    ``(A) keep a complete record of all such 
                interactions, including minutes of all meetings and any 
                recommendations made during such interaction for 
                international standardization with respect to open-
                market policies and operations, discount lending and 
                operations (including collateral policies), or 
                supervisory policies and operations; and
                    ``(B) issue an annual report to the Committee on 
                Financial Services of the House of Representatives and 
                the Committee on Banking, Housing, and Urban Affairs of 
                the Senate containing--
                            ``(i) all of the information recorded 
                        pursuant to subparagraph (A) with respect to 
                        the previous year; and
                            ``(ii) with respect to each non-
                        governmental international organization with 
                        which the Board of Governors had an interaction 
                        in the previous year, a description of the 
                        funding sources of the non-governmental 
                        international organization.''.
    (b) Office of the Comptroller of the Currency.--Section 324 of the 
Revised Statutes of the United States (12 U.S.C. 1), as amended by 
section 201(b), is further amended by adding at the end the following:
    ``(e) Reporting on Interactions With Non-governmental International 
Organizations.--With respect to interactions between the Office of the 
Comptroller of the Currency and a non-governmental international 
organization (including the Financial Stability Board, the Bank for 
International Settlements, the Network of Central Banks and Supervisors 
for Greening the Financial System, and the Basel Committee on Banking 
Supervision), the Comptroller of the Currency shall--
            ``(1) keep a complete record of all such interactions, 
        including minutes of all meetings and any recommendations made 
        during such interaction for international standardization with 
        respect to discount lending and operations (including 
        collateral policies) or supervisory policies and operations; 
        and
            ``(2) issue an annual report to the Committee on Financial 
        Services of the House of Representatives and the Committee on 
        Banking, Housing, and Urban Affairs of the Senate containing--
                    ``(A) all of the information recorded pursuant to 
                paragraph (1) with respect to the previous year; and
                    ``(B) with respect to each non-governmental 
                international organization with which the Office of the 
                Comptroller of the Currency had an interaction in the 
                previous year, a description of the funding sources of 
                the non-governmental international organization.''.
    (c) Federal Deposit Insurance Corporation.--Section 2 of the 
Federal Deposit Insurance Act (12 U.S.C. 1812), as amended by section 
201(c), is further amended is amended by inserting after subsection (h) 
the following:
    ``(i) Reporting on Interactions With Non-governmental International 
Organizations.--With respect to interactions between the Federal 
Deposit Insurance Corporation and a non-governmental international 
organization (including the Financial Stability Board, the Bank for 
International Settlements, the Network of Central Banks and Supervisors 
for Greening the Financial System, and the Basel Committee on Banking 
Supervision), the Board of Directors of the Corporation shall--
            ``(1) keep a complete record of all such interactions, 
        including minutes of all meetings and any recommendations made 
        during such interaction for international standardization with 
        respect to discount lending and operations (including 
        collateral policies) or supervisory policies and operations; 
        and
            ``(2) issue an annual report to the Committee on Financial 
        Services of the House of Representatives and the Committee on 
        Banking, Housing, and Urban Affairs of the Senate containing--
                    ``(A) all of the information recorded pursuant to 
                paragraph (1) with respect to the previous year; and
                    ``(B) with respect to each non-governmental 
                international organization with which the Corporation 
                had an interaction in the previous year, a description 
                of the funding sources of the non-governmental 
                international organization.''.
    (d) National Credit Union Administration.--Section 102 of the 
Federal Credit Union Act (12 U.S.C. 1752a), as amended by section 
201(d), is further amended by adding at the end the following:
    ``(i) Reporting on Interactions With Non-governmental International 
Organizations.--With respect to interactions between the Administration 
and a non-governmental international organization (including the 
Financial Stability Board, the Bank for International Settlements, the 
Network of Central Banks and Supervisors for Greening the Financial 
System, and the Basel Committee on Banking Supervision), the Board 
shall--
            ``(1) keep a complete record of all such interactions, 
        including minutes of all meetings and any recommendations made 
        during such interaction for international standardization with 
        respect to discount lending and operations (including 
        collateral policies) or supervisory policies and operations; 
        and
            ``(2) issue an annual report to the Committee on Financial 
        Services of the House of Representatives and the Committee on 
        Banking, Housing, and Urban Affairs of the Senate containing--
                    ``(A) all of the information recorded pursuant to 
                paragraph (1) with respect to the previous year; and
                    ``(B) with respect to each non-governmental 
                international organization with which the 
                Administration had an interaction in the previous year, 
                a description of the funding sources of the non-
                governmental international organization.''.
    (e) Federal Housing Finance Agency.--Section 1311 of the Housing 
and Community Development Act of 1992 (12 U.S.C. 4511), as amended by 
section 201(e), is further amended by adding at the end the following:
    ``(f) Reporting on Interactions With Non-governmental International 
Organizations.--With respect to interactions between the Federal 
Housing Finance Agency and a non-governmental international 
organization (including the Financial Stability Board, the Bank for 
International Settlements, the Network of Central Banks and Supervisors 
for Greening the Financial System, and the Basel Committee on Banking 
Supervision), the Director shall--
            ``(1) keep a complete record of all such interactions, 
        including minutes of all meetings and any recommendations made 
        during such interaction for international standardization with 
        respect to discount lending and operations (including 
        collateral policies) or supervisory policies and operations; 
        and
            ``(2) issue an annual report to the Committee on Financial 
        Services of the House of Representatives and the Committee on 
        Banking, Housing, and Urban Affairs of the Senate containing--
                    ``(A) all of the information recorded pursuant to 
                paragraph (1) with respect to the previous year; and
                    ``(B) with respect to each non-governmental 
                international organization with which the Federal 
                Housing Finance Agency had an interaction in the 
                previous year, a description of the funding sources of 
                the non-governmental international organization.''.

                      TITLE IV--SUPERVISION REFORM

SEC. 401. REMOVAL OF THE VICE CHAIRMAN FOR SUPERVISION DESIGNATION.

    (a) In General.--The second undesignated paragraph of section 10 of 
the Federal Reserve Act (12 U.S.C. 242) (relating to the Chairman and 
Vice Chairman of the Board) is amended by striking ``and 2 shall be 
designated by the President, by and with the advice and consent of the 
Senate, to serve as Vice Chairmen of the Board, each for a term of 4 
years, 1 of whom shall serve in the absence of the Chairman, as 
provided in the fourth undesignated paragraph of this section, and 1 of 
whom shall be designated Vice Chairman for Supervision. The Vice 
Chairman for Supervision shall develop policy recommendations for the 
Board regarding supervision and regulation of depository institution 
holding companies and other financial firms supervised by the Board, 
and shall oversee the supervision and regulation of such firms.'' and 
inserting ``and 1 shall be designated by the President, by and with the 
consent of the Senate, to serve as Vice Chairman of the Board for a 
term of 4 years.''.
    (b) Conforming Amendment.--Section 10 of the Federal Reserve Act 
(12 U.S.C. 241 et seq.) is amended by striking paragraph (12).
                                                 Union Calendar No. 264

118th CONGRESS

  1st Session

                               H. R. 4823

                          [Report No. 118-325]

_______________________________________________________________________

                                 A BILL

    To provide enhanced reporting requirements for Federal banking 
regulators, to amend the Federal Reserve Act to remove the designation 
   of Vice Chairman for Supervision of the Board of Governors of the 
            Federal Reserve System, and for other purposes.

_______________________________________________________________________

                           December 19, 2023

  Reported with an amendment, committed to the Committee of the Whole 
       House on the State of the Union, and ordered to be printed