[Congressional Record Volume 140, Number 50 (Monday, May 2, 1994)]
[Senate]
[Page S]
From the Congressional Record Online through the Government Printing Office [www.gpo.gov]


[Congressional Record: May 2, 1994]
From the Congressional Record Online via GPO Access [wais.access.gpo.gov]

 
                                  NOTE

  The Record of April 26, 1994, at page S4821, inadvertently shows 
incorrect language upon passage of H.R. 3841; the permanent Record has 
been corrected to reflect the following amended language:
               TITLE I--INTERSTATE BANKING AND BRANCHING

     SEC. 101. SHORT TITLE.

       This title may be cited as the ``Interstate Banking and 
     Branching Act of 1994''.

     SEC. 102. INTERSTATE BANKING.

       (a) In General.--Section 3(d) of the Bank Holding Company 
     Act of 1956 (12 U.S.C. 1842(d)) is amended to read as 
     follows:
       ``(d) State Boundaries.--
       ``(1) Approvals authorized.--
       ``(A) Acquisition of existing banks.--The Board may approve 
     an application under this section to permit a bank holding 
     company that is adequately capitalized and adequately managed 
     to acquire control of, or all or substantially all of the 
     assets of, an existing bank located outside of the home State 
     of such bank holding company.
       ``(B) Existing banks.--For purposes of this subsection, a 
     bank that does not open for business and that has been 
     chartered solely for the purpose of acquiring control of, or 
     all or substantially all of the assets of, an existing bank 
     shall be deemed to have been in existence for the same period 
     of time as the bank to be acquired.
       ``(C) Community reinvestment compliance.--In determining 
     whether to approve an application under subparagraph (A), the 
     Board shall consider the applicant's record of compliance 
     with applicable Federal and State community reinvestment 
     laws.
       ``(D) State law.--Subject to paragraphs (2), (4), and (6), 
     a transaction approved under subparagraph (A) may occur 
     without regard to whether such transaction is permitted under 
     the law of the State in which the bank to be acquired is 
     located.
       ``(2) Concentration and other limits.--The Board may not 
     approve an application under paragraph (1)(A) if--
       ``(A) the applicant controls, or upon completion of the 
     acquisition would control, more than 10 percent of the total 
     deposits held by insured depository institutions in the 
     United States, as determined under regulations of the Board;
       ``(B) the applicant controls, or upon completion of the 
     acquisition would control, 25 percent or more of the total 
     deposits held by insured depository institutions in the State 
     in which the bank to be acquired is located, as determined 
     under regulations of the Board, except that the State bank 
     supervisor may waive the applicability of this clause on a 
     case-by-case basis if such waiver does not have the effect of 
     discriminating against out-of-State banks, out-of-State bank 
     holding companies, or subsidiaries thereof; or
       ``(C) the acquisition would result in the applicant 
     directly or indirectly controlling a bank that has been in 
     existence for a shorter period of time, if any, than is 
     prescribed by the law of the State in which such bank is 
     located in effect on the date on which the application is 
     filed with the Board, only if such State law--
       ``(i) does not prescribe a period of more than 5 years; and
       ``(ii) does not have the effect of discriminating among 
     out-of-State banks, out-of-State bank holding companies, or 
     subsidiaries thereof. A State law in effect on the date of 
     enactment of the Interstate Banking and Branching Act of 1994 
     that permits bank holding companies from only a limited 
     number of States to acquire banks in existence for a 
     specified length of time in that State, shall be interpreted, 
     under State and Federal law, as permitting bank holding 
     companies from any State, to acquire a bank in that State, 
     under the terms and conditions of such State law.
       ``(3) Exception.--The Board may approve an application 
     under paragraph (1)(A), notwithstanding any provision of 
     paragraph (2), if such application involves the acquisition 
     of one or more banks in default or in danger of default or 
     with respect to which the Federal Deposit Insurance 
     Corporation provides assistance under section 13(c) of the 
     Federal Deposit Insurance Act.
       ``(4) No effect on antitrust laws.--Nothing in this 
     subsection affects Federal or State antitrust laws that do 
     not have the effect of discriminating against out-of-State 
     banks, out-of-State bank holding companies, or subsidiaries 
     thereof.
       ``(5) No effect on state tax authority.--No provision of 
     this Act shall be construed as affecting the authority of any 
     State or political subdivision of any State to adopt, apply, 
     and administer any tax or method of taxation to any bank, 
     bank holding company, or foreign bank or to any affiliate of 
     any bank, bank holding company, or foreign bank to the extent 
     that such tax or tax method is otherwise permissible by or 
     under the Constitution of the United States or other Federal 
     law.
       ``(6) Affect on state contingency laws.--Nothing in this 
     subsection affects the applicability of a State law that 
     makes an acquisition of a bank contingent upon a requirement 
     to hold a portion of such bank's assets available for call by 
     a State-sponsored housing entity established pursuant to 
     State law, if--
       ``(A) the State law does not have the effect of 
     discriminating against out-of-State banks, out-of-State bank 
     holding companies, or subsidiaries thereof;
       ``(B) that State law was in effect as of the date of 
     enactment of the Interstate Banking and Branching Act of 
     1994;
       ``(C) the Federal Deposit Insurance Corporation has not 
     determined that compliance with such State law would result 
     in an unacceptable risk to the appropriate deposit insurance 
     fund; and
       ``(D) the appropriate Federal banking agency for such 
     institution has not found that compliance with such State law 
     would place the institution in an unsafe or unsound 
     condition.''.
       (b) Technical and Conforming Amendments.--Section 2 of the 
     Bank Holding Company Act of 1956 (12 U.S.C. 1841) is amended 
     by adding at the end the following new subsections:
       ``(n) Incorporated Definitions.--For purposes of this Act, 
     the terms `insured depository institution', `appropriate 
     Federal banking agency', `in default', `in danger of 
     default', and `State bank supervisor' have the same meanings 
     as in section 3 of the Federal Deposit Insurance Act.
       ``(o) Other Definitions.--For purposes of this Act--
       ``(1) the `home State' of a bank holding company is the 
     State in which the total deposits of its banking subsidiaries 
     were largest on July 1, 1966, or the date on which such 
     company became a bank holding company, whichever is later;
       ``(2) the `home State' of a bank is--
       ``(A) in the case of a State bank, the State in which it 
     was chartered; and
       ``(B) in the case of a national bank, in the State in which 
     its main office is located; and
       ``(3) a bank holding company is `adequately capitalized' if 
     it meets or exceeds all applicable Federal regulatory capital 
     standards.''.
       (c) Effective Date.--This section and the amendments made 
     by this section shall become effective 1 year after the date 
     of enactment of this Act.

     SEC. 103. CONVERSION OF BANKS TO BRANCHES.

       (a) In General.--Section 3 of the Bank Holding Company Act 
     of 1956 (12 U.S.C. 1842) is amended by adding at the end the 
     following new subsection:
       ``(h) Interstate Combinations.--
       ``(1) In general.--
       ``(A) Combinations authorized.--Beginning on June 1, 1997, 
     a bank holding company having subsidiary banks located in 
     more than 1 State may combine 2 or more of such banks into a 
     single, resulting bank by means of a merger, consolidation, 
     or other transaction approved by the appropriate Federal 
     banking agency.
       ``(B) Continued operations.--A resulting bank may, subject 
     to the approval of the appropriate Federal banking agency, 
     retain and operate as branches the main offices and any 
     branches which, immediately prior to the transaction, were 
     being operated by any combined bank or the resulting bank.
       ``(C) Surrender of charter after combination.--On the date 
     on which a combination authorized by this paragraph becomes 
     effective, the charters of the combined banks shall be 
     surrendered to the regulatory authority that issued the 
     charters.
       ``(2) Applicability.--A combination under paragraph (1) may 
     only be effected in the case of a merger, consolidation, or 
     other transaction that is undertaken by a bank holding 
     company that is adequately capitalized and adequately 
     managed.
       ``(3) Activities of the resulting bank.--
       ``(A) Additional branches.--Following any combination 
     effected under paragraph (1), the resulting bank may 
     establish, acquire, or operate additional branches at any 
     location where the resulting bank or a combined bank could 
     have established, acquired, or operated a branch under the 
     applicable Federal or State law as if it had not been a party 
     to such combination.
       ``(B) Intrastate branching.--Except as expressly provided 
     in this subsection, nothing in this subsection shall be 
     deemed to amend, repeal, or preempt, either expressly or by 
     implication, any Federal or State law relating to the 
     establishment, acquisition, or operation of intrastate 
     branches by national or State banks.
       ``(C) Conditions.--Prior to granting approval to effect a 
     combination under paragraph (1), the appropriate Federal 
     banking agency shall consider each bank's rating under the 
     Community Reinvestment Act of 1977 and the comments of the 
     appropriate State bank regulatory authorities regarding each 
     bank's compliance with applicable State community 
     reinvestment laws.
       ``(D) Imposition of shares tax by host states.--If any 
     branch of an out-of-State bank established pursuant to 
     paragraph (1) or subparagraph (A) of this paragraph continues 
     in operation, a proportionate amount of the value of the 
     shares of the out-of-State bank may be subject to any bank 
     shares tax levied or imposed by any host State or political 
     subdivision thereof that imposes such tax based upon a method 
     adopted by the host State, which could include allocation and 
     apportionment.
       ``(4) Activities of branches.--A State bank that 
     establishes one or more branches in accordance with paragraph 
     (1) or paragraph (3)(A) may not conduct any activity at any 
     branch located in a host State that is not permitted for 
     banks chartered by such host State.
       ``(5) Applicable law.--
       ``(A) In general.--
       ``(i) National bank branches.--Any branch of a national 
     bank that is established as the result of a combination in 
     accordance with paragraph (1) or paragraph (3)(A) shall be 
     subject to the laws of the host State, including those that 
     govern intrastate branching, consumer protection, fair 
     lending, and community reinvestment, as if it were a branch 
     of a national bank having its main office in that State.
       ``(ii) State bank branches.--Any branch of a State bank 
     that is established as the result of a combination in 
     accordance with paragraph (1) or paragraph (3)(A) shall be 
     subject to the laws of the host State, including those that 
     govern intrastate branching, consumer protection, fair 
     lending, and community reinvestment, as if it were a branch 
     of a bank chartered under the laws of such State.
       ``(B) Filing requirement.--A host State may require any 
     bank located in another State that wishes to establish a 
     branch within the host State as a result of a combination 
     authorized by paragraph (1) to comply with filing 
     requirements that--
       ``(i) are not discriminatory in effect; and
       ``(ii) are similar in their effect to and are subject to 
     similar sanctions as those that are imposed on a corporation 
     having its main office in another State that is not engaged 
     in the business of banking and that seeks to engage in 
     business in the host State.
       ``(6) State election to prohibit interstate combinations.--
       ``(A) In general.--Paragraph (1) does not apply to a bank 
     holding company located in a State that has enacted a law 
     after the date of enactment of this subsection and prior to 
     June 1, 1997, that applies equally to all out-of-State banks, 
     and that expressly prohibits interstate combinations 
     involving a bank located in the State, as authorized under 
     paragraph (1).
       ``(B) Effect of prohibition.--A bank located in a State 
     that has in effect a prohibition described in subparagraph 
     (A) may not be combined, and shall have no authority to be 
     combined under paragraph (1), with a bank located outside of 
     that State.
       ``(C) Effect of state election.--A law enacted by a State 
     pursuant to subparagraph (A) or paragraph (8) shall have no 
     effect on combinations that were approved prior to the 
     effective date or the date of enactment of such law, 
     whichever is later.
       ``(7) State election to permit interstate combinations.--A 
     combination under paragraph (1) may be undertaken prior to 
     June 1, 1997, if each of the States in which 1 or more banks 
     that are to be combined into a single, resulting bank is 
     located has in effect on the date on which the combination is 
     approved a law that applies equally to all out-of-State banks 
     and that expressly permits interstate combinations by 
     national and State-chartered banks. A State described in the 
     preceding sentence may impose conditions on the branch of the 
     resulting bank located in that State if--
       ``(A) the conditions do not have the effect of 
     discriminating against out-of-State banks, out-of-State bank 
     holding companies, or subsidiaries thereof (other than on the 
     basis of a reciprocal treatment requirement);
       ``(B) the imposition of the conditions is not preempted by 
     Federal law; and
       ``(C) the conditions do not apply or require performance 
     beyond June 1, 1997.
       ``(8) Combinations after june 1, 1997.--A State described 
     in paragraphs (6) or (7) may elect at any later time to 
     permit or withdraw permission for interstate combinations 
     authorized under paragraph (1) if such State enacts a law 
     that applies equally to all out-of-State banks and that 
     expressly permits (or withdraws permission for, as the case 
     may be) interstate combinations by all national and State 
     banks.
       ``(9) Limitations.--Nothing in this subsection--
       ``(A) affects Federal or State antitrust laws that do not 
     have the effect of discriminating against out-of-State banks, 
     out-of-State bank holding companies, or subsidiaries thereof; 
     or
       ``(B) affects section 5197 of the Revised Statutes or 
     section 27 of the Federal Deposit Insurance Act.
       ``(10) Reservation of certain rights to states.--Nothing in 
     this subsection limits in any way the right of a State to--
       ``(A) determine the authority of State banks chartered in 
     that State to acquire, establish, and maintain branches; or
       ``(B) supervise, regulate, and examine State banks 
     chartered by that State.
       ``(11) No effect on state tax authority.--No provision of 
     this Act shall be construed as affecting the authority of any 
     State or political subdivision of any State to adopt, apply, 
     and administer any tax or method of taxation to any bank, 
     bank holding company, or foreign bank or to any affiliate of 
     any bank, bank holding company, or foreign bank to the extent 
     that such tax or tax method is otherwise permissible by or 
     under the Constitution of the United States or other Federal 
     law.
       ``(12) Definitions.--For purposes of this subsection--
       ``(A) the term `combined bank' means any bank participating 
     in a combination under paragraph (1), other than the 
     resulting bank;
       ``(B) the term `host State' means the State in which a bank 
     establishes or maintains a branch other than the State in 
     which the bank is located and engaged in the business of 
     banking;
       ``(C) a bank shall be deemed to be `located'--
       ``(i) in the case of a State bank, in the State in which it 
     was chartered; and
       ``(ii) in the case of a national bank, in the State in 
     which its main office is located;
       ``(D) the term `resulting bank' means a banking subsidiary 
     of a bank holding company that has resulted from a 
     transaction effected under paragraph (1) involving the 
     combination of 2 or more subsidiary banks of the bank holding 
     company located in 2 or more States; and
       ``(E) the term `State bank' has the same meaning as in 
     section 3 of the Federal Deposit Insurance Act.''.
       (b) Conforming Amendment to the National Bank Act.--Section 
     5155(c) of the Revised Statutes (12 U.S.C. 36(c)) is amended 
     in the first sentence, by striking ``A national banking 
     association'' and inserting ``Except as provided in section 
     3(h) of the Bank Holding Company Act of 1956, a national 
     banking association''.

     SEC. 104. AMENDMENTS TO FEDERAL DEPOSIT INSURANCE ACT AND THE 
                   ACT ENTITLED ``AN ACT TO PROVIDE FOR THE 
                   CONSOLIDATION OF NATIONAL BANKING 
                   ASSOCIATIONS''.

       (a) Federal Deposit Insurance Act Amendments.--Section 
     18(d) of the Federal Deposit Insurance Act (12 U.S.C. 
     1828(d)) is amended by adding at the end the following new 
     paragraphs:
       ``(3) Coordination of examination authority.--
       ``(A) In general.--The appropriate State official of a host 
     State may examine a branch operated in such State of a bank 
     chartered by a State other than that host State that resulted 
     from a combination effected under section 3(h) of the Bank 
     Holding Company Act of 1956--
       ``(i) for the purpose of determining compliance with host 
     State laws, including those that govern banking, taxation, 
     community reinvestment, fair lending, consumer protection, 
     and permissible activities; and
       ``(ii) to ensure that the activities of the branch are not 
     conducted in an unsafe or unsound manner.
       ``(B) Enforcement.--In the event that the State bank 
     supervisor of the host State determines that there is a 
     violation of the law of the host State concerning the 
     activities being conducted by a branch described in 
     subparagraph (A), the State bank supervisor of the host State 
     may undertake such enforcement actions and proceedings as 
     would be permitted under the law of the host State as if the 
     branch were a bank chartered by that host State.
       ``(C) Cooperative agreement.--The State bank supervisors 
     from 2 or more States may enter into cooperative agreements 
     to facilitate State regulatory supervision of State-chartered 
     banks, including cooperative agreements relating to the 
     coordination of examinations and joint participation in 
     examinations.
       ``(D) Federal regulatory authority.--Nothing in this 
     subsection limits in any way the authority of the appropriate 
     Federal banking agency to examine or to take any enforcement 
     actions or proceedings against any bank or branch of a bank 
     for which the agency is the appropriate Federal banking 
     agency.
       ``(E) Review of interstate agreements.--If the appropriate 
     Federal banking agency determines that the States have 
     reached an agreement under subparagraph (C) that adequately 
     protects the deposit insurance funds, the appropriate Federal 
     banking agency may defer to State examinations of branches 
     operated in the host State by out-of-State banks.
       ``(4) No effect on state tax authority.--No provision of 
     this Act shall be construed as affecting the authority of any 
     State or political subdivision of any State to adopt, apply, 
     and administer any tax or method of taxation to any bank, 
     bank holding company, or foreign bank or to any affiliate of 
     any bank, bank holding company, or foreign bank to the extent 
     that such tax or tax method is otherwise permissible by or 
     under the Constitution of the United States or other Federal 
     law.''.
       (b) National Banking Associations.--The Act entitled ``An 
     Act to provide for the consolidation of national banking 
     associations'', approved November 7, 1918 (12 U.S.C. 215 et 
     seq.) is amended--
       (1) in the first sentence of subsection (a) of the first 
     section, by inserting ``, or in any State in which a bank is 
     authorized to engage in an interstate consolidation pursuant 
     to section 3(h) of the Bank Holding Company Act of 1956,'' 
     after ``located in the same State'';
       (2) by inserting before the period at the end of subsection 
     (d) of the first section ``, except that the applicability of 
     State law to an interstate consolidation undertaken in 
     accordance with section 3(h) of the Bank Holding Company Act 
     of 1956 is determined in accordance with the provisions of 
     that section'';
       (3) by adding at the end of the first section the following 
     new subsection:
       ``(h) An interstate consolidation--
       ``(1) shall be undertaken under this section pursuant to 
     the procedures, restrictions, and requirements--
       ``(A) set forth in section 3(h) of the Bank Holding Company 
     Act of 1956 as if such interstate consolidation were a 
     combination under that section; and
       ``(B) set forth in this section, to the extent that such 
     procedures, restrictions, and requirements are not 
     inconsistent with those of section 3(h) of the Bank Holding 
     Company Act of 1956; and
       ``(2) involving banks that are not affiliated (as such term 
     is defined in section 2 of the Bank Holding Company Act of 
     1956) shall meet the requirements of section 3(d) of the Bank 
     Holding Company Act of 1956, as determined by the Comptroller 
     of the Currency, as if such consolidation were an acquisition 
     under that section 3(d).'';
       (4) in the first sentence of section 2(a)--
       (A) by striking ``under an agreement not inconsistent with 
     this Act,''; and
       (B) by inserting ``or within any State in which a bank is 
     authorized to engage in an interstate merger pursuant to 
     section 3(h) of the Bank Holding Company Act of 1956,'' after 
     ``located within the same State,'';
       (5) in the sixth sentence of section 2(d) by inserting 
     before the period ``, except that the applicability of State 
     law to a merger undertaken in accordance with section 3(h) of 
     the Bank Holding Company Act of 1956 is determined in 
     accordance with the provisions of that section'';
       (6) in section 2, by adding at the end the following new 
     subsection:
       ``(h)(1) An interstate merger--
       ``(A) shall be undertaken under this section pursuant to 
     the procedures, restrictions, and requirements--
       ``(i) set forth in section 3(h) of the Bank Holding Company 
     Act of 1956 as if such merger were a combination under that 
     section; and
       ``(ii) set forth in this section, to the extent that such 
     procedures, restrictions, and requirements are not 
     inconsistent with those of section 3(h) of the Bank Holding 
     Company Act of 1956; and
       ``(B) involving banks that are not affiliated (as such term 
     is defined in section 2 of the Bank Holding Company Act of 
     1956) shall meet the requirements of section 3(d) of the Bank 
     Holding Company Act of 1956, as determined by the Comptroller 
     of the Currency, as if such merger were an acquisition under 
     that section 3(d).
       ``(2) Paragraph (1) shall apply to a State member bank 
     involved in an interstate merger on the same terms and 
     conditions and subject to the same procedures, restrictions, 
     and requirements as are applicable to the consolidation of 
     branches by a national banking association involved in an 
     interstate merger.''; and
       (7) in paragraph (4) of section 3, by inserting ``or within 
     any State in which a bank is authorized to engage in an 
     interstate consolidation, merger, or other transaction 
     pursuant to section 3(h) of the Bank Holding Company Act of 
     1956,'' after ``within the same State,''.

     SEC. 105. ACQUISITION OF INTERSTATE BRANCHES BY NATIONAL AND 
                   STATE BANKS.

       (a) Acquisition of Interstate Branches by State Banks.--
     Section 18(d) of the Federal Deposit Insurance Act (12 U.S.C. 
     1828(d)) is amended by adding at the end the following new 
     paragraphs:
       ``(4) Interstate branching by state banks.--
       ``(A) In general.--Beginning on the date of enactment of 
     this paragraph, notwithstanding any other provision of law, a 
     host State may, expressly by statute and not merely by 
     implication, permit all out-of-State banks to acquire or 
     establish a branch in the host State on a basis that does not 
     have the effect of discriminating against out-of-State banks, 
     out-of-State bank holding companies, or subsidiaries thereof. 
     A branch established under this paragraph shall be operated 
     in accordance with the procedures, restrictions, and 
     requirements set forth in section 3(h) of the Bank Holding 
     Company Act of 1956, and the provisions of that section shall 
     apply to the branch as if the branch resulted from a 
     combination effected in accordance with paragraph (1) of that 
     section 3(h).
       ``(B) FDIC approval.--A State nonmember bank may acquire, 
     establish, and operate a branch under this paragraph only if 
     the bank is adequately capitalized and adequately managed and 
     with the prior consent of the Corporation.
       ``(5) Definitions.--For purposes of this subsection--
       ``(A) the term `host State' means a State in which a bank 
     acquires, establishes, or maintains a branch, other than the 
     State in which the bank is located and engaged in the 
     business of banking;
       ``(B) a bank shall be deemed to be `located'--
       ``(i) in the case of a State bank, in the State in which it 
     was chartered; and
       ``(ii) in the case of a national bank, in the State in 
     which its main office is located; and
       ``(C) the term `adequately capitalized' has the same 
     meaning as in section 38.''.
       (b) Interstate Branching by National Banks.--Section 5155 
     of the Revised Statutes (12 U.S.C. 36) is amended--
       (1) by redesignating subsections (d) through (h) as 
     subsections (e) through (i), respectively; and
       (2) by inserting after subsection (c) the following new 
     subsection:
       ``(d) Interstate Branching by National Banks.--
       ``(1) Approvals authorized.--Notwithstanding any other 
     provision of law, the Comptroller of the Currency may approve 
     an application under this subsection for a national bank that 
     is adequately capitalized and adequately managed to acquire 
     or establish a branch in a host State if the host State 
     expressly permits, pursuant to section 18(d)(4) of the 
     Federal Deposit Insurance Act, all out-of-State banks to 
     establish such branches. Each such branch shall be operated 
     in accordance with the procedures, restrictions, and 
     requirements set forth in section 3(h) of the Bank Holding 
     Company Act of 1956, and the provisions of that section shall 
     apply to the branch as if the branch resulted from a 
     combination effected in accordance with paragraph (1) of that 
     section 3(h).
       ``(2) Definitions.--For purposes of this subsection--
       ``(A) the term `host State' means the State in which a 
     national bank establishes a branch under paragraph (1); and
       ``(B) the term `adequately capitalized' has the same 
     meaning as in section 38 of the Federal Deposit Insurance 
     Act.''.

     SEC. 106. COMMUNITY REINVESTMENT ACT EVALUATION OF BANKS WITH 
                   INTERSTATE BRANCHES.

       (a) In General.--Section 807 of the Community Reinvestment 
     Act of 1977 (12 U.S.C. 2906) is amended by adding at the end 
     the following new subsections:
       ``(d) Institutions With Interstate Branches.--
       ``(1) State-by-state evaluation.--In the case of a 
     regulated financial institution that maintains domestic 
     branches in 2 or more States, the appropriate Federal 
     financial supervisory agency shall prepare--
       ``(A) a written evaluation of the entire institution's 
     record of performance under this title, as required by 
     subsections (a), (b), and (c); and
       ``(B) for each State in which the institution maintains 1 
     or more domestic branches, a separate written evaluation of 
     the institution's record of performance within such State 
     under this title, as required by subsections (a), (b), and 
     (c).
       ``(2) Multistate metropolitan areas.--In the case of a 
     regulated financial institution that maintains domestic 
     branches in 2 or more States within a multistate metropolitan 
     area, the appropriate Federal financial supervisory agency 
     shall prepare a separate written evaluation of the 
     institution's record of performance within such metropolitan 
     area under this title, as required by subsections (a), (b), 
     and (c). If the agency prepares a written evaluation pursuant 
     to this paragraph, the scope of the written evaluation 
     required under paragraph (1)(B) shall be adjusted 
     accordingly.
       ``(3) Content of state level evaluation.--A written 
     evaluation prepared pursuant to paragraph (1)(B) shall--
       ``(A) present the information required by subparagraphs (A) 
     and (B) of subsection (b)(1) separately for each metropolitan 
     area in which the institution maintains 1 or more domestic 
     branch offices and separately for the remainder of the 
     nonmetropolitan area of the State if the institution 
     maintains 1 or more domestic branch offices in such 
     nonmetropolitan area; and
       ``(B) describe how the Federal financial supervisory agency 
     has performed the examination of the institution, including a 
     list of the individual branches examined.
       ``(e) Definitions.--For purposes of this section the 
     following definitions shall apply:
       ``(1) Domestic branch.--The term `domestic branch' means 
     any branch office or other facility of a regulated financial 
     institution that accepts deposits, located in any State.
       ``(2) Metropolitan area.--The term `metropolitan area' 
     means any primary metropolitan statistical area, metropolitan 
     statistical area, or consolidated metropolitan statistical 
     area, as defined by the Director of the Office of Management 
     and Budget, with a population of 250,000 or more, and any 
     other area identified by the appropriate Federal financial 
     supervisory agency.
       ``(3) State.--The term `State' has the same meaning as in 
     section 3 of the Federal Deposit Insurance Act.''.
       (b) Separate Presentation.--Section 807(b)(1) of the 
     Community Reinvestment Act of 1977 (12 U.S.C. 2906(b)(1)) is 
     amended--
       (1) by redesignating subparagraphs (A) through (C) as 
     clauses (i) through (iii), respectively;
       (2) by striking ``The public'' and inserting the following:
       ``(A) Contents of written evaluation.--The public''; and
       (3) by adding at the end the following new subparagraph:
       ``(B) Metropolitan area distinctions.--The information 
     required by clauses (i) and (ii) of subparagraph (A) shall be 
     presented separately for each metropolitan area in which a 
     regulated depository institution maintains one or more 
     domestic branch offices.''.

     SEC. 107. FLEXIBILITY IN CHOOSING BOARDS OF DIRECTORS.

       Section 5146 of the Revised Statutes (12 U.S.C. 72) is 
     amended in the first sentence by striking ``two-thirds'' and 
     inserting ``a majority''.

     SEC. 108. GAO REPORT ON DATA COLLECTION UNDER INTERSTATE 
                   BRANCHING.

       (a) In General.--The Comptroller General shall submit to 
     the Congress, not later than 9 months after the date of 
     enactment of this Act, a report that--
       (1) examines statutory and regulatory requirements for 
     insured depository institutions to collect and report deposit 
     and lending data; and
       (2) determines what modifications to such requirements are 
     needed, so that implementing the interstate branching 
     provisions contained in this Act results in no material loss 
     of information important to regulatory or congressional 
     oversight of insured depository institutions.
       (b) Consultation.--The Comptroller General, in preparing 
     the report required by this section, shall consult with 
     individuals representing the appropriate Federal banking 
     agencies, insured depository institutions, consumers, 
     community groups, and other interested parties.
       (c) Definitions.--For purposes of this section, the terms 
     ``appropriate Federal banking agency'' and ``insured 
     depository institution'' have the same meanings as in section 
     3 of the Federal Deposit Insurance Act.

     SEC. 109. MAXIMUM INTEREST RATE ON CERTAIN FmHA LOANS.

       (a) In General.--Section 307(a) of the Consolidated Farm 
     and Rural Development Act (7 U.S.C. 1927(a)) is amended--
       (1) in paragraph (3)(A), by striking ``Except'' and 
     inserting ``Notwithstanding the provisions of the 
     constitution or laws of any State limiting the rate or amount 
     of interest that may be charged, taken, received, or 
     reserved, except''; and
       (2) in paragraph (5)--
       (A) by striking ``(5) The'' and inserting ``(5)(A) Except 
     as provided in subparagraph (B), the''; and
       (B) by adding at the end the following new subparagraph:
       ``(B) In the case of a loan made under section 310B as a 
     guaranteed loan, subparagraph (A) shall apply notwithstanding 
     the provisions of the constitution or laws of any State 
     limiting the rate or amount of interest that may be charged, 
     taken, received, or reserved.''.
       (b) Effective Dates.--
       (1) In general.--Except as provided in paragraphs (2) and 
     (3), the amendments made by subsection (a) shall apply to a 
     loan made, insured, or guaranteed under the Consolidated Farm 
     and Rural Development Act (7 U.S.C. 1921 et seq.) in a State 
     on or after the date of enactment of this Act.
       (2) State option.--Except as provided in paragraph (3), the 
     amendments made by subsection (a) shall not apply to a loan 
     made, insured, or guaranteed under the Consolidated Farm and 
     Rural Development Act in a State after the date (that occurs 
     during the 3-year period beginning on the date of enactment 
     of this Act) on which the State adopts a law or certifies 
     that the voters of the State have voted in favor of a 
     provision of the constitution or law of the State that states 
     that the State does not want the amendments made by 
     subsection (a) to apply with respect to loans made, insured, 
     or guaranteed under such Act in the State.
       (3) Transitional period.--In any case in which a State 
     takes an action described in paragraph (2), the amendments 
     made by subsection (a) shall continue to apply to a loan 
     made, insured, or guaranteed under the Consolidated Farm and 
     Rural Development Act in the State after the date the action 
     was taken pursuant to a commitment for the loan that was 
     entered into during the period beginning on the date of 
     enactment of this Act, and ending on the date on which the 
     State takes the action.
            TITLE II--BANK AND THRIFT STATUTE OF LIMITATIONS

     SEC. 201. SHORT TITLE.

       This title may be cited as the ``Bank and Thrift Statute of 
     Limitations Clarification Act of 1994''.

     SEC. 202. AMENDMENT TO FEDERAL DEPOSIT INSURANCE ACT.

       Section 11(d)(14)(B)(i) of the Federal Deposit Insurance 
     Act (12 U.S.C. 1821(d)(14)(B)(i)) is amended by inserting 
     after ``receiver'' the following: ``, regardless of whether 
     the claim may have been barred under any otherwise applicable 
     statute of limitation at the date of such appointment, unless 
     such claim was barred more than 5 years before the date of 
     such appointment''.

     SEC. 203. APPLICABILITY.

       The amendment made by section 202 shall apply to all 
     actions pending or brought by the Federal Deposit Insurance 
     Corporation and the Resolution Trust Corporation as 
     conservator or receiver on or after August 9, 1989.
                     TITLE III--FINANCIAL SERVICES

     SEC. 301. SHORT TITLE.

       This title may be cited at the ``National Commission on 
     Financial Services Act''.

     SEC. 302. ESTABLISHMENT OF NATIONAL COMMISSION ON FINANCIAL 
                   SERVICES.

       (a) Establishment.--There is established a commission to be 
     known as the ``National Commission on Financial Services'' 
     (hereafter in this title referred to as the ``Commission'').
       (b) Membership of the Commission.--
       (1) Composition.--The Commission shall be composed of 7 
     voting members and 3 nonvoting members appointed as follows:
       (A) Three voting members and 1 nonvoting member to be 
     appointed by the President.
       (B) Two voting members and 1 nonvoting member to be 
     appointed jointly by the Majority Leader of the Senate and 
     the Speaker of the House of Representatives.
       (C) Two voting members and 1 nonvoting member appointed 
     jointly by the Minority Leader of the Senate and the Minority 
     Leader of the House of Representatives.
       (2) Qualifications.--
       (A) Voting members.--
       (i) In general.--Voting members appointed pursuant to 
     paragraph (1) shall be appointed from among individuals who 
     are users of the financial services system, and shall include 
     representatives of business, agriculture, and consumers.
       (ii) Prohibition.--No voting member of the Commission shall 
     be an employee of the Federal Government or any State 
     government.
       (B) Nonvoting members.--Nonvoting members appointed 
     pursuant to paragraph (1) shall be appointed from among 
     individuals who are experts in finance or in the financial 
     services system.
       (3) Appointment.--The appointment of the members of the 
     Commission shall be made not later than June 30, 1994.
       (4) Terms.--Members shall be appointed for the life of the 
     Commission.
       (5) Vacancies.--A vacancy in the Commission shall not 
     affect the powers of the Commission and shall be filled in 
     the same manner in which the original appointment was made.
       (6) Chairperson.--The President shall designate 1 of the 
     voting members of the Commission to serve as the chairperson 
     of the Commission (hereafter in this title referred to as the 
     ``Chairperson'').
       (7) Initial meeting.--Not later than 30 days after the date 
     on which all members of the Commission have been appointed, 
     the Commission shall hold its first meeting.
       (8) Meetings.--The Commission shall meet at the call of the 
     Chairperson.
       (9) Quorum.--A majority of the members of the Commission 
     shall constitute a quorum, but a lesser number of members may 
     hold hearings.

     SEC. 303. DUTIES OF THE COMMISSION.

       (a) Study.--
       (1) In general.--The Commission shall, after consultation 
     in accordance with paragraph (3), conduct a study of all 
     matters relating to the strengths and weaknesses of the 
     United States financial services system in meeting the needs 
     of users of the system, including all laws, regulations, and 
     policies that govern part or all of the financial services 
     industry or that affect the ability of the financial services 
     industry to effectively and efficiently meet the needs of--
       (A) the United States economy;
       (B) individual consumers and households;
       (C) communities;
       (D) agriculture;
       (E) small-, medium-, and large-sized businesses (including 
     the need for debt, equity, and other financial needs);
       (F) governmental and nonprofit entities; and
       (G) exporters and other users of international financial 
     services.
       (2) Matters studied.--The study required under paragraph 
     (1) shall include consideration of--
       (A) the changes underway in the national and international 
     economies and the financial services industry, and the impact 
     of such changes on the ability of the financial services 
     system to efficiently meet the needs of the United States 
     economy and the users of the system during the next 10 years 
     and beyond;
       (B) the adequacy of the existing framework of Federal and 
     State laws and regulations, and the extent to which Federal 
     laws and regulations, in an efficient and cost-effective 
     manner--
       (i) achieve consumer protection objectives;
       (ii) promote competition and prevent anticompetitive acts 
     and practices or undue concentration;
       (iii) ensure that the financial services are delivered in a 
     nondiscriminatory and cost-efficient manner; and
       (iv) ensure access to the financial services system for all 
     potential users of the system, regardless of where such users 
     are located; and
       (C) the extent to which the Federal regulatory structure 
     impacts the achievement of the objectives in subparagraph 
     (B).
       (3) Consultation.--Consultation in accordance with this 
     paragraph means consultation with--
       (A) the Board of Governors of the Federal Reserve System;
       (B) the Director of the Office of Thrift Supervision;
       (C) the Chairperson of the Federal Deposit Insurance 
     Corporation;
       (D) the Comptroller of the Currency;
       (E) the Secretary of the Treasury;
       (F) the Secretary of the Department of Housing and Urban 
     Development;
       (G) the Securities Exchange Commission;
       (H) the Commodities Futures Trading Commission;
       (I) the Director of the Congressional Budget Office; and
       (J) the Comptroller General of the United States.
       (b) Recommendations.--Based on the results of the study 
     conducted under subsection (a), the Commission shall develop 
     specific recommendations for changes in laws and regulations 
     to improve the operation of the United States financial 
     services system, including needed changes in the Federal 
     legislative and regulatory policies and in the Federal 
     regulatory structure that would enhance--
       (1) the ability of the financial services system, or any 
     part thereof, to respond to the needs of all potential users 
     of the system;
       (2) the systemic safety of the financial services system;
       (3) the cost of financial services to users of the system;
       (4) the competitiveness of the various providers of 
     financial services;
       (5) how funds are allocated to the financial services 
     system; and
       (6) how funds are allocated by the financial services 
     system to users of the system or to specific categories of 
     users.
       (c) Report.--Not later than March 31, 1995, the Commission 
     shall submit to the President, the Speaker of the House of 
     Representatives, and the President pro tempore of the Senate 
     a report describing the activities of the Commission, 
     including the study conducted under subsection (a) and any 
     recommendations developed under subsection (b).

     SEC. 304. POWERS OF THE COMMISSION.

       (a) Hearings.--The Commission may hold such hearings, sit 
     and act at such times and places, take such testimony, and 
     receive such evidence as the Commission considers advisable 
     to carry out this section.
       (b) Obtaining Official Data.--The Commission may secure 
     directly from any Federal department or agency such 
     information (other than information required by any statute 
     of the United States to be kept confidential by such 
     department or agency) as the Commission considers necessary 
     to carry out its duties under this section. Upon the request 
     of the Chairperson, the head of that department or agency 
     shall furnish such nonconfidential information to the 
     Commission.
       (c) Postal Services.--The Commission may use the United 
     States mails in the same manner and under the same conditions 
     as other departments and agencies of the Federal Government.

     SEC. 305. COMMISSION PERSONNEL MATTERS.

       (a) Compensation of Members.--Each member of the Commission 
     who is not an officer or employee of the Federal Government 
     shall be compensated at a rate equal to the daily equivalent 
     of the annual rate of basic pay prescribed for level IV of 
     the Executive Schedule under section 5315 of title 5, United 
     States Code, for each day (including travel time) during 
     which such member is engaged in the performance of the duties 
     of the Commission. All members of the Commission who are 
     officers or employees of the United States shall serve 
     without compensation in addition to that received for their 
     services as officers or employees of the United States.
       (b) Travel Expenses.--The members of the Commission shall 
     be allowed travel expenses, including per diem in lieu of 
     subsistence, at rates authorized for employees of agencies 
     under subchapter I of chapter 57 of title 5, United States 
     Code, while away from their homes or regular places of 
     business in the performance of services for the Commission.
       (c) Staff.--
       (1) In general.--The Chairperson may, without regard to the 
     civil service laws and regulations, appoint and terminate an 
     executive director and not more than 2 additional 
     professional staff members to enable the Commission to 
     perform its duties. The employment of an executive director 
     shall be subject to confirmation by the Commission.
       (2) Compensation.--The Chairperson may fix the compensation 
     of the executive director and other personnel without regard 
     to the provisions of chapter 51 and subchapter III of chapter 
     53 of title 5, United States Code, relating to the 
     classification of positions and General Schedule pay rates, 
     except that the rate of pay for the executive director and 
     other personnel may not exceed the rate payable for level V 
     of the Executive Schedule under section 5316 of title 5, 
     United States Code.
       (d) Detail of Federal Employees.--Upon the request of the 
     Chairperson, any Federal Government employee may be detailed 
     to the Commission without reimbursement, and such detail 
     shall be without interruption or loss of civil service status 
     or privilege.
       (e) Procurement of Temporary and Intermittent Services.--
     The Chairperson may procure temporary and intermittent 
     services under section 3109(b) of title 5, United States 
     Code, at rates for individuals which do not exceed the daily 
     equivalent of the annual rate of basic pay prescribed for 
     level V of the Executive Schedule under section 5316 of title 
     5, United States Code.
       (f) Administrative Support Services.--Upon the request of 
     the Chairperson, the Administrator of General Services shall 
     provide to the Commission, on a reimbursable basis, the 
     administrative support services necessary for the Commission 
     to carry out its responsibilities under this section.

     SEC. 306. TERMINATION OF COMMISSION.

       The Commission shall terminate 30 days after the date of 
     submission of the report required under section 303(c). All 
     records and papers of the Commission shall thereupon be 
     delivered by the Administrator of General Services for 
     deposit in the National Archives.

     SEC. 307. AUTHORIZATION OF APPROPRIATIONS.

       (a) In General.--There are authorized to be appropriated 
     such sums as may be necessary to carry out this Act.
       (b) Availability.--Any sums appropriated under the 
     authorization contained in this section shall remain 
     available, without fiscal year limitation, until expended.
                      TITLE IV--GENERAL PROVISIONS

     SEC. 401. MOUNT RUSHMORE COMMEMORATIVE COIN ACT.

       (a) Distribution of Surcharges.--Section 8 of the Mount 
     Rushmore Commemorative Coin Act (104 Stat. 314; 31 U.S.C. 
     5112 note) is amended by striking paragraphs (1) and (2) and 
     inserting the following:
       ``(1) the first $18,750,000 shall be paid during fiscal 
     year 1994 by the Secretary to the Society to assist the 
     Society's efforts to improve, enlarge, and renovate the Mount 
     Rushmore National Memorial; and
       ``(2) the remainder shall be returned to the Federal 
     Treasury for purposes of reducing the national debt.''.
       (b) Retroactive Effect.--If, prior to the enactment of this 
     Act, any amount of surcharges have been received by the 
     Secretary of the Treasury and paid into the United States 
     Treasury pursuant to section 8(1) of the Mount Rushmore 
     Commemorative Coin Act, as in effect prior to the enactment 
     of this Act, that amount shall be paid out of the Treasury to 
     the extent necessary to comply with section 8(1) of the Mount 
     Rushmore Commemorative Coin Act, as in effect after the 
     enactment of this Act. Amounts paid pursuant to the preceding 
     sentence shall be out of funds not otherwise appropriated.
       (c) Numismatic Operating Profits.--Nothing in this section 
     shall be construed to affect the Secretary of the Treasury's 
     right to derive operating profits from numismatic programs 
     for use in supporting the United States Mint's numismatic 
     operations and programs or to allow the distribution of 
     operating profits from the Numismatic Public Enterprise Fund 
     to a recipient organization under any numismatic program.

     SEC. 402. SENSE OF THE SENATE CONCERNING MULTILATERAL EXPORT 
                   CONTROLS.

       (a) Findings.--The Senate finds that--
       (1) the United States and its allies have agreed that as of 
     March 31, 1994, the Coordinating Committee (hereafter 
     referred to as ``COCOM''), the multilateral body that 
     controlled strategic exports to the former Soviet Union and 
     other Communist States, ceased to exist;
       (2) no successor has yet been established to replace the 
     COCOM;
       (3) threats to United States security are posed by rogue 
     regimes that support terrorism as a matter of national 
     policy;
       (4) a critical element of the United States proposal for a 
     successor to COCOM is that supplier nations agree on a list 
     of militarily critical products and technologies that would 
     be denied to a handful of rogue regimes;
       (5) some allies of the United States oppose this principle 
     and instead propose that such controls be left to ``national 
     discretion'', effectively replacing multilateral export 
     controls with a loose collection of unilateral export control 
     policies which would be adverse for United States security 
     and economic interests;
       (6) multilateral controls are needed to thwart efforts of 
     Iran, Iraq, North Korea, Libya, and other rogue regimes, to 
     acquire arms and sensitive dual-use goods and technologies 
     that could contribute to their efforts to build weapons of 
     mass destruction; and
       (7) the United States would be forced to make the difficult 
     choice of choosing between unilateral export controls under 
     the Export Administration Act of 1979, which would put 
     American companies at a competitive disadvantage worldwide, 
     or allowing exports that could seriously harm the national 
     security interests of the United States.
       (b) Sense of the Senate.--It is the sense of the Senate 
     that--
       (1) the President should work to achieve a clearly defined 
     and enforceable agreement with allies of the United States 
     which establishes a multilateral export control system for 
     the proliferation of products and technologies to rogue 
     regimes that would jeopardize the national security of the 
     United States; and
       (2) the President should persuade allies of the United 
     States to promote mutual security interests by preventing 
     rogue regimes from obtaining militarily critical products and 
     technologies.

                          ____________________