[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[S. 3601 Introduced in Senate (IS)]

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118th CONGRESS
  2d Session
                                S. 3601

 To amend the Financial Stability Act of 2010 to require the Financial 
 Stability Oversight Council to consider alternative approaches before 
 determining that a U.S. nonbank financial company shall be supervised 
by the Board of Governors of the Federal Reserve System, and for other 
                               purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                            January 17, 2024

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

_______________________________________________________________________

                                 A BILL


 
 To amend the Financial Stability Act of 2010 to require the Financial 
 Stability Oversight Council to consider alternative approaches before 
 determining that a U.S. nonbank financial company shall be supervised 
by 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.

    This Act may be cited as the ``Financial Stability Oversight 
Council Improvement Act of 2024''.

SEC. 2. FINANCIAL STABILITY OVERSIGHT COUNCIL.

    (a) In General.--Section 113 of the Financial Stability Act of 2010 
(12 U.S.C. 5323) is amended--
            (1) in subsection (a)--
                    (A) in paragraph (1), by striking ``The Council'' 
                and inserting ``Subject to paragraph (3), the 
                Council''; and
                    (B) by adding at the end the following:
            ``(3) Initial determination.--The Council may not vote on a 
        proposed determination with respect to a U.S. nonbank financial 
        company under paragraph (1) unless the Council first 
        determines, in consultation with the company and the primary 
        financial regulatory agency with respect to the company, that a 
        different action by the Council or the agency (including the 
        application of new or heightened standards and safeguards under 
        section 120), or by the company under a written plan that is 
        submitted promptly to the Council, is impracticable or 
        insufficient to mitigate the threat that the company could pose 
        to the financial stability of the United States.''; and
            (2) in subsection (f)(1), by striking ``subsection (e)'' 
        and inserting ``subsections (a)(3) and (e)''.
    (b) Additional Duties.--Section 112(a)(2) of the Financial 
Stability Act of 2010 (12 U.S.C. 5322(a)(2)) is amended--
            (1) in subparagraph (M)(ii), by striking ``and'' at the 
        end;
            (2) in subparagraph (N)(vi)(III), by striking the period at 
        the end and inserting a semicolon; and
            (3) by adding at the end the following:
                    ``(O) not later than 180 days after the date of 
                enactment of this subparagraph, and once every 360 days 
                thereafter, submit to the Committee on Banking, 
                Housing, and Urban Affairs of the Senate and the 
                Committee on Financial Services of the House of 
                Representatives a report that--
                            ``(i) identifies--
                                    ``(I) the planning materials 
                                relating to a threat to the financial 
                                stability of the United States that are 
                                available for collection by, and 
                                dissemination to, member agencies; and
                                    ``(II) the potential gaps in 
                                planning activities with respect to a 
                                threat to the financial stability of 
                                the United States and the threats posed 
                                by those gaps; and
                            ``(ii) includes--
                                    ``(I) steps taken by the Council to 
                                plan for a crisis with respect to the 
                                financial stability of the United 
                                States, which shall be consistent with 
                                discussions by member agencies; and
                                    ``(II) a review of financial 
                                activities, products, and practices; 
                                and
                    ``(P) after any closed meeting of the Council, 
                publicly release detailed minutes of that meeting.''.
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