[Congressional Record Volume 156, Number 67 (Thursday, May 6, 2010)]
[Senate]
[Pages S3364-S3383]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                           TEXT OF AMENDMENTS

  SA 3860. Mr. CARPER (for himself, Mr. Ensign, Mr. Gregg, and Mr. 
Johanns) submitted an amendment intended to be proposed to amendment SA 
3739 proposed by Mr. Reid (for Mr. Dodd (for himself and Mrs. Lincoln)) 
to the bill S. 3217, to promote the financial stability of the United 
States by improving accountability and transparency in the financial 
system, to end ``too big to fail'', to protect the American taxpayer by 
ending bailouts, to protect consumers from abusive financial services 
practices, and for other purposes; which was ordered to lie on the 
table; as follows:

       On page 1086, strike line 3 and all that follows through 
     ``Not'' on page 1090, line 9, and insert the following:

[[Page S3365]]

     SEC. 971. PROXY ACCESS.

       (a) Proxy Access.--Section 14(a) of the Securities Exchange 
     Act of 1934 (15 U.S.C. 78n(a)) is amended--
       (1) by inserting ``(1)'' after ``(a)''; and
       (2) by adding at the end the following:
       ``(2) The rules and regulations prescribed by the 
     Commission under paragraph (1) may include--
       ``(A) a requirement that a solicitation of proxy, consent, 
     or authorization by (or on behalf of) an issuer include a 
     nominee submitted by a shareholder to serve on the board of 
     directors of the issuer; and
       ``(B) a requirement that an issuer follow a certain 
     procedure in relation to a solicitation described in 
     subparagraph (A).''.
       (b) Regulations.--The Commission may issue rules permitting 
     the use by shareholders of proxy solicitation materials 
     supplied by an issuer of securities for the purpose of 
     nominating individuals to membership on the board of 
     directors of the issuer, under such terms and conditions as 
     the Commission determines are in the interests of 
     shareholders and for the protection of investors.

     SEC. 972. DISCLOSURES REGARDING CHAIRMAN AND CEO STRUCTURES.

       The Securities Exchange Act of 1934 (15 U.S.C. 78a et seq.) 
     is amended by inserting after section 14A, as added by this 
     title, the following:

     ``SEC. 14B. DISCLOSURES REGARDING CHAIRMAN AND CEO 
                   STRUCTURES.

       ``Not
                                 ______
                                 
  SA 3861. Mr. CARPER (for himself, Mr. Ensign, Mr. Gregg, Mr. Corker, 
and Mr. Johanns) submitted an amendment intended to be proposed to 
amendment SA 3739 proposed by Mr. Reid (for Mr. Dodd (for himself and 
Mrs. Lincoln)) to the bill S. 3217, to promote the financial stability 
of the United States by improving accountability and transparency in 
the financial system, to end ``too big to fail'', to protect the 
American taxpayer by ending bailouts, to protect consumers from abusive 
financial services practices, and for other purposes; which was ordered 
to lie on the table; as follows:

       On page 1089, strike line 6 and all that follows through 
     ``SEC. 973.'' on page 1090, line 3, and insert the following:

     SEC. 972.

                                 ______
                                 
  SA 3862. Ms. COLLINS submitted an amendment intended to be proposed 
by her to the bill S. 3217, to promote the financial stability of the 
United States by improving accountability and transparency in the 
financial system, to end ``too big to fail'', to protect the American 
taxpayer by ending bailouts, to protect consumers from abusive 
financial services practices, and for other purposes; which was ordered 
to lie on the table; as follows:

       In section 111(b)(1) of the amendment, strike subparagraph 
     (A) and insert the following:
       (A) the Chairperson of the Council, who--
       (i) shall be appointed by the President, by and with the 
     advice and consent of the Senate, from among individuals 
     having expertise in the financial services industry; and
       (ii) may not, during such service, also serve as the head 
     of any primary financial regulatory agency;
       (B) the Secretary of the Treasury;
                                 ______
                                 
  SA 3863. Ms. COLLINS submitted an amendment intended to be proposed 
to amendment SA 3739 proposed by Mr. Reid (for Mr. Dodd (for himself 
and Mrs. Lincoln)) to the bill S. 3217, to promote the financial 
stability of the United States by improving accountability and 
transparency in the financial system, to end ``too big to fail'', to 
protect the American taxpayer by ending bailouts, to protect consumers 
from abusive financial services practices, and for other purposes; 
which was ordered to lie on the table; as follows:

       On page 23, between lines 2 and 3, insert the following:
       (I) the Chairman of the National Credit Union 
     Administration; and
                                 ______
                                 
  SA 3864. Ms. COLLINS submitted an amendment intended to be proposed 
to amendment SA 3739 proposed by Mr. Reid (for Mr. Dodd (for himself 
and Mrs. Lincoln)) to the bill S. 3217, to promote the financial 
stability of the United States by improving accountability and 
transparency in the financial system, to end ``too big to fail'', to 
protect the American taxpayer by ending bailouts, to protect consumers 
from abusive financial services practices, and for other purposes; 
which was ordered to lie on the table; as follows:

       On page 23, between lines 2 and 3, insert the following:
       (I) a State insurance commissioner--
       (i) to be designated using a selection process determined 
     by the insurance commissioners of the States; and
       (ii) who shall serve for a term of not longer than 2 years; 
     and
                                 ______
                                 
  SA 3865. Mr. GREGG (for himself and Mr. Johanns) submitted an 
amendment intended to be proposed to amendment SA 3739 proposed by Mr. 
Reid (for Mr. Dodd (for himself and Mrs. Lincoln)) to the bill S. 3217, 
to promote the financial stability of the United States by improving 
accountability and transparency in the financial system, to end ``too 
big to fail'', to protect the American taxpayer by ending bailouts, to 
protect consumers from abusive financial services practices, and for 
other purposes; which was ordered to lie on the table; as follows:

       Beginning on page 513, strike line 21 and all that follows 
     through page 515, line 11.
                                 ______
                                 
  SA 3866. Mr. WYDEN (for himself and Mr. Brown of Massachusetts) 
submitted an amendment intended to be proposed by him to the bill S. 
3217, to promote the financial stability of the United States by 
improving accountability and transparency in the financial system, to 
end ``too big to fail'', to protect the American taxpayer by ending 
bailouts, to protect consumers from abusive financial services 
practices, and for other purposes; which was ordered to lie on the 
table; as follows:

       At the end of subtitle A of title I, add the following:

     SEC. 123. DISCLOSURE OF FINANCIAL INTERESTS IN THE DECLINE IN 
                   VALUE OF FINANCIAL PRODUCTS.

       (a) Recommendations by Council.--Not later than 180 days 
     after the date of enactment of this Act, the Council shall 
     make recommendations to the primary financial regulatory 
     agencies to require any seller of a financial product or 
     instrument to disclose to the purchaser or prospective 
     purchaser of that product--
       (1) whether the seller has any direct financial interest in 
     the decline in value of the product; and
       (2) whether the seller has any direct financial interest in 
     the increase in value of the product.
       (b) Procedures and Implementation.--The procedural and 
     implementation provisions of subsections (b) and (c) of 
     section 120 shall apply to recommendations of the Council 
     under this section.
                                 ______
                                 
  SA 3867. Mr. ENSIGN submitted an amendment intended to be proposed to 
amendment SA 3739 proposed by Mr. Reid (for Mr. Dodd (for himself and 
Mrs. Lincoln)) to the bill S. 3217, to promote the financial stability 
of the United States by improving accountability and transparency in 
the financial system, to end ``too big to fail'', to protect the 
American taxpayer by ending bailouts, to protect consumers from abusive 
financial services practices, and for other purposes; which was ordered 
to lie on the table; as follows:

       On page 1034, strike line 8 and all that follows through 
     line 21, and insert the following:

     SEC. 935. CONSIDERATION OF INFORMATION FROM SOURCES OTHER 
                   THAN THE ISSUER IN RATING DECISIONS.

       Section 15E of the Securities Exchange Act of 1934 (15 
     U.S.C. 78o-7), as amended by this subtitle, is amended by 
     adding at the end the following:
       ``(v) Information From Sources Other Than the Issuer.--In 
     producing a credit rating, a nationally recognized 
     statistical rating organization shall consider information 
     about an issuer that the nationally recognized statistical 
     rating organization has, or receives from a source other than 
     the issuer or the underwriter, that the nationally recognized 
     statistical rating organization finds credible and 
     potentially significant to a rating decision.''.
                                 ______
                                 
  SA 3868. Mr. ENSIGN submitted an amendment intended to be proposed to 
amendment SA 3739 proposed by Mr. Reid (for Mr. Dodd (for himself and 
Mrs. Lincoln)) to the bill S. 3217, to promote the financial stability 
of the United States by improving accountability and transparency in 
the financial system, to end ``too big to fail'', to protect the 
American taxpayer by ending bailouts, to protect consumers from abusive 
financial services practices, and for other purposes; which was ordered 
to lie on the table; as follows:

       On page 1034, strike line 22 and all that follows through 
     page 1035, line 9, and insert the following:

     SEC. 936. QUALIFICATION STANDARDS FOR CREDIT RATING ANALYSTS.

       Not later than 1 year after the date of enactment of this 
     Act, the Commission shall issue rules that are reasonably 
     designed to ensure that any person employed by a nationally 
     recognized statistical rating organization to perform credit 
     ratings--

[[Page S3366]]

       (1) meets standards of training, experience, best 
     practices, and competence necessary to produce accurate 
     ratings for the categories of issuers whose securities the 
     person rates;
       (2) is tested for knowledge of the credit rating process; 
     and
       (3) is required to participate in annual continuing 
     education seminars to maintain the standards described in 
     paragraph (1).
                                 ______
                                 
  SA 3869. Mr. ENSIGN submitted an amendment intended to be proposed to 
amendment SA 3787 submitted by Mr. Brown of Ohio (for himself and Mr. 
Kaufman) and intended to be proposed to the amendment SA 3739 proposed 
by Mr. Reid (for Mr. Dodd (for himself and Mrs. Lincoln)) to the bill 
S. 3217, to promote the financial stability of the United States by 
improving accountability and transparency in the financial system, to 
end ``too big to fail'', to protect the American taxpayer by ending 
bailouts, to protect consumers from abusive financial services 
practices, and for other purposes; which was ordered to lie on the 
table; as follows:

       On page 3 of the amendment, strike lines 11 through 13 and 
     insert the following:
       (2) Financial company.--The term ``financial company'' 
     means--
       (A) any nonbank financial company supervised by the Board;
       (B) the Federal National Mortgage Association; and
       (C) the Federal Home Loan Mortgage Corporation.
                                 ______
                                 
  SA 3870. Mr. KERRY (for himself, Mr. Brown of Massachusetts, and Mr. 
Brownback) submitted an amendment intended to be proposed to amendment 
SA 3739 proposed by Mr. Reid (for Mr. Dodd (for himself and Mrs. 
Lincoln)) to the bill S. 3217, to promote the financial stability of 
the United States by improving accountability and transparency in the 
financial system, to end ``too big to fail'', to protect the American 
taxpayer by ending bailouts, to protect consumers from abusive 
financial services practices, and for other purposes; which was ordered 
to lie on the table; as follows:

       On page 370, strike line 14 and all that follows through 
     page 371, line 19, and insert the following:

                   Subtitle D--Federal Thrift Charter

     SEC. 341. FEDERAL SAVINGS ASSOCIATIONS.

       Section 5(a) of the Home Owners' Loan Act (12 U.S.C. 
     1464(a)) is amended to read as follows:
       ``(a) In General.--In order to provide thrift institutions 
     for the deposit of funds and for the extension of credit for 
     homes and other goods and services, the Comptroller of the 
     Currency is authorized, under such regulations as the 
     Comptroller of the Currency may prescribe, to provide for the 
     chartering, examination, operation, and regulation of 
     associations to be known as `Federal savings associations' 
     (including Federal savings banks), giving primary 
     consideration to the best practices of thrift institutions in 
     the United States. The lending and investment powers 
     conferred by this section are intended to encourage such 
     institutions to provide credit for housing safely and 
     soundly.''.
                                 ______
                                 
  SA 3871. Mr. CARDIN submitted an amendment intended to be proposed to 
amendment SA 3739 proposed by Mr. Reid (for Mr. Dodd (for himself and 
Mrs. Lincoln)) to the bill S. 3217, to promote the financial stability 
of the United States by improving accountability and transparency in 
the financial system, to end ``too big to fail'', to protect the 
American taxpayer by ending bailouts, to protect consumers from abusive 
financial services practices, and for other purposes; which was ordered 
to lie on the table; as follows:

       On page 43, between lines 6 and 7, insert the following:
       (3) Investment companies and advisers.--In the event that 
     an investment company required to be registered under the 
     Investment Company Act of 1940, or the registered investment 
     adviser to such a company, is subject to supervision by the 
     Board of Governors, the Council shall, in consultation with 
     the Commission and in lieu of the prudential standards 
     outlined in subsections (b) through (f), recommend to the 
     Board of Governors such alternative enhanced regulatory 
     requirements as are necessary to prevent or mitigate risks to 
     the financial stability of the United States that could arise 
     from the material financial distress of the investment 
     company or investment adviser. Such alternative requirements 
     shall not include capital requirements.
       On page 91, between lines 23 and 24, insert the following:
       (3) Investment companies and advisers.--In the case of an 
     investment company required to be registered under the 
     Investment Company Act of 1940, or the registered investment 
     adviser to such a company, that is supervised by the Board of 
     Governors, the Board of Governors shall meet its obligations 
     under this section by adopting the alternative enhanced 
     regulatory requirements recommended by the Council under 
     section 115.
                                 ______
                                 
  SA 3872. Mr. BROWN of Massachusetts (for himself, Mr. Kerry, and Mr. 
Gregg) submitted an amendment intended to be proposed to amendment SA 
3739 proposed by Mr. Reid (for Mr. Dodd (for himself and Mrs. Lincoln)) 
to the bill S. 3217, to promote the financial stability of the United 
States by improving accountability and transparency in the financial 
system, to end ``too big to fail'', to protect the American taxpayer by 
ending bailouts, to protect consumers from abusive financial services 
practices, and for other purposes; which was ordered to lie on the 
table; as follows:

       On page 485, line 25, strike ``and'' and all that follows 
     through ``the term'' on page 486, line 1 and insert the 
     following:
       ``(3) the term `insured depository institution' does not 
     include an insured depository institution--
       ``(A) the activities of which are limited to providing 
     trust or fiduciary services; and
       ``(B) that does not--
       ``(i) accept insured deposits from persons other than 
     affiliates;
       ``(ii) exercise discount or borrowing privileges pursuant 
     to section 19(b)(7) of the Federal Reserve Act (12 U.S.C. 
     461(b)(7)); or
       ``(iii) does not make commercial or consumer loans; and
       ``(4) the term''.
                                 ______
                                 
  SA 3873. Mr. DeMINT (for himself and Mr. Coburn) submitted an 
amendment intended to be proposed by him to the bill S. 3217, to 
promote the financial stability of the United States by improving 
accountability and transparency in the financial system, to end ``too 
big to fail'', to protect the American taxpayer by ending bailouts, to 
protect consumers from abusive financial services practices, and for 
other purposes; which was ordered to lie on the table; as follows:

       At the end of title X, insert the following:

     SEC. ___. POINT OF ORDER ON LEGISLATION THAT PROVIDES THE 
                   GOVERNMENT WITH NEW POWERS TO GIVE TAXPAYER-
                   FUNDED BAILOUTS OR ANY OTHER PREFERENTIAL 
                   TREATMENT TO ANY PUBLIC OR PRIVATE INSTITUTION 
                   IN FINANCIAL DISTRESS.

       (a) In General.--In the Senate, it shall not be in order to 
     consider any bill, joint resolution, amendment, motion, or 
     conference report that provides the Government with new 
     powers to give taxpayer-funded bailouts or any other 
     preferential treatment to any public or private institution 
     in financial distress.
       (b) Suspension of Point of Order.--A point of order raised 
     under subsection (a) shall be suspended in the Senate upon 
     certification by the Congressional Budget Office that such 
     bill, joint resolution, amendment, motion or conference 
     report does not provide the Government with new powers to 
     give taxpayer-funded bailouts or any other preferential 
     treatment to any public or private institution in financial 
     distress.
       (c) Waiver and Appeal.--
       (1) Waiver.--This section may be waived or suspended only 
     by an affirmative vote of two-thirds of the Members, duly 
     chosen and sworn.
       (2) Appeal.--An affirmative vote of two-thirds of the 
     Members of the Senate, duly chosen and sworn, shall be 
     required to sustain an appeal of the ruling of the Chair on a 
     point of order raised under this section.
                                 ______
                                 
  SA 3874. Mr. PRYOR (for himself, Mr. Baucus, Mr. Tester, Mrs. 
Shaheen, Mr. Johnson, Mr. Bennet, and Mr. Warner) submitted an 
amendment intended to be proposed to amendment SA 3739 proposed by Mr. 
Reid (for Mr. Dodd (for himself and Mrs. Lincoln)) to the bill S. 3217, 
to promote the financial stability of the United States by improving 
accountability and transparency in the financial system, to end ``too 
big to fail'', to protect the American taxpayer by ending bailouts, to 
protect consumers from abusive financial services practices, and for 
other purposes; which was ordered to lie on the table; as follows:

       On page 304, strike line 3 and all that follows though page 
     313, line 21, and insert the following:
       (c) Certain Functions of the Board of Governors.--
       (1) Comptroller of the currency.--Except as provided in 
     paragraph (3), there are transferred to the Office of the 
     Comptroller of the Currency all functions of the Board of 
     Governors (including any Federal reserve bank) relating to 
     the supervision of--
       (A) any bank holding company (other than a foreign bank)--
       (i) having less than $50,000,000,000 in total consolidated 
     assets; and
       (ii) having--

       (I) a subsidiary that is an insured depository institution, 
     if all such insured depository institutions are Federal 
     depository institutions; or

[[Page S3367]]

       (II) a subsidiary that is a Federal depository institution 
     and a subsidiary that is a State depository institution, if 
     the total consolidated assets of all subsidiaries that are 
     Federal depository institutions--

       (aa) exceed the total consolidated assets of all subsidiary 
     State depository institutions that are State member banks; 
     and
       (bb) exceed the total consolidated assets of all subsidiary 
     State depository institutions that are State nonmember 
     insured banks and State savings associations; and
       (B) any subsidiary (other than a depository institution) of 
     a bank holding company that is described in subparagraph (A).
       (2) Corporation.--Except as provided in paragraph (3), 
     there are transferred to the Corporation all functions of the 
     Board of Governors (including any Federal reserve bank) 
     relating to the supervision of--
       (A) any bank holding company (other than a foreign bank)--
       (i) having less than $50,000,000,000 in total consolidated 
     assets; and
       (ii) having--

       (I) a subsidiary that is an insured depository institution, 
     if all such insured depository institutions are State 
     nonmember insured banks or State savings associations; or
       (II) a subsidiary that is a State nonmember insured bank or 
     a State savings association and a subsidiary that is not a 
     State nonmember insured bank or State savings association, if 
     the total consolidated assets of all such subsidiaries that 
     are State nonmember insured banks or State savings 
     associations--

       (aa) exceeds the total consolidated assets of all 
     subsidiaries that are Federal depository institutions; and
       (bb) exceeds the total consolidated assets of all 
     subsidiaries that are State member banks; and
       (B) any subsidiary (other than a depository institution) of 
     a bank holding company that is described in subparagraph (A).
       (3) Rulemaking authority.--No rulemaking authority of the 
     Board of Governors is transferred to the Office of the 
     Comptroller of the Currency or the Corporation under this 
     subsection.
       (4) Rule of construction.--Nothing in this subsection may 
     be construed to transfer to the Office of the Comptroller of 
     the Currency or the Corporation any functions of the Board of 
     Governors (including any Federal reserve bank) relating to 
     the supervision of--
       (A) any State member bank;
       (B) any bank holding company (other than a foreign bank)--
       (i) having less than $50,000,000,000 in total consolidated 
     assets; and
       (ii) having--

       (I) a subsidiary that is an insured depository institution, 
     if all such insured depository institutions are State member 
     banks; or
       (II) a subsidiary that is a State member bank and a 
     subsidiary that is not a State member bank, if the total 
     consolidated assets of all subsidiaries that are State member 
     banks--

       (aa) exceed the total consolidated assets of all 
     subsidiaries that are Federal depository institutions; and
       (bb) exceed the total consolidated assets of all 
     subsidiaries that are State nonmember insured banks and State 
     savings associations; or
       (C) any subsidiary (other than a depository institution) of 
     a bank holding company that is described in subparagraph (B).
       (d) Conforming Amendments.--
       (1) Federal deposit insurance act.--Section 3(q) of the 
     Federal Deposit Insurance Act (12 U.S.C. 1813(q)) is amended 
     by striking paragraphs (1) through (4) and inserting the 
     following:
       ``(1) the Office of the Comptroller of the Currency, in the 
     case of--
       ``(A) any national banking association;
       ``(B) any Federal branch or agency of a foreign bank;
       ``(C) any bank holding company (other than a foreign 
     bank)--
       ``(i) having less than $50,000,000,000 in total 
     consolidated assets; and
       ``(ii) having--

       ``(I) a subsidiary that is an insured depository 
     institution, if all such insured depository institutions are 
     Federal depository institutions; or
       ``(II) a subsidiary that is a Federal depository 
     institution and a subsidiary that is a State depository 
     institution, if the total consolidated assets of all 
     subsidiaries that are Federal depository institutions--

       ``(aa) exceed the total consolidated assets of all 
     subsidiary State depository institutions that are State 
     member banks; and
       ``(bb) exceed the total consolidated assets of all 
     subsidiary State depository institutions that are State 
     nonmember insured banks and State savings associations;
       ``(D) any subsidiary (other than a depository institution) 
     of a bank holding company that is described in subparagraph 
     (C);
       ``(E) any Federal savings association;
       ``(F) any savings and loan holding company (other than a 
     foreign bank)--
       ``(i) having less than $50,000,000,000 in total 
     consolidated assets; and
       ``(ii) having--

       ``(I) a subsidiary that is an insured depository 
     institution, if all such insured depository institutions are 
     Federal depository institutions; or
       ``(II) a subsidiary that is a Federal depository 
     institution and a subsidiary that is a State depository 
     institution, if the total consolidated assets of all 
     subsidiaries that are Federal depository institutions exceed 
     the total consolidated assets of all such subsidiaries that 
     are State depository institutions; and

       ``(G) any subsidiary (other than a depository institution) 
     of a savings and loan holding company that is described in 
     subparagraph (F);
       ``(2) the Federal Deposit Insurance Corporation, in the 
     case of--
       ``(A) any State nonmember insured bank;
       ``(B) any foreign bank having an insured branch;
       ``(C) any State savings association;
       ``(D) any bank holding company (other than a foreign 
     bank)--
       ``(i) having less than $50,000,000,000 in total 
     consolidated assets; and
       ``(ii) having--

       ``(I) a subsidiary that is an insured depository 
     institution, if all such insured depository institutions are 
     State nonmember insured banks or State savings associations; 
     or
       ``(II) a subsidiary that is a State nonmember insured bank 
     or a State savings association and a subsidiary that is not a 
     State nonmember insured bank or State savings association, if 
     the total consolidated assets of all subsidiaries that are 
     State nonmember insured banks or State savings associations--

       ``(aa) exceeds the total consolidated assets of all 
     subsidiaries that are Federal depository institutions; and
       ``(bb) exceeds the total consolidated assets of all 
     subsidiaries that are State member banks;
       ``(E) any subsidiary (other than a depository institution) 
     of a bank holding company that is described in subparagraph 
     (D);
       ``(F) any savings and loan holding company (other than a 
     foreign bank)--
       ``(i) having less than $50,000,000,000 in total 
     consolidated assets; and
       ``(ii) having--

       ``(I) a subsidiary that is an insured depository 
     institution, if all such insured depository institutions are 
     State depository institutions; or
       ``(II) a subsidiary that is a Federal depository 
     institution and a subsidiary that is a State depository 
     institution, if the total consolidated assets of all 
     subsidiaries that are State depository institutions exceed 
     the total consolidated assets of all subsidiaries that are 
     Federal depository institutions; and

       ``(G) any subsidiary (other than a depository institution) 
     of a savings and loan holding company that is described in 
     subparagraph (F);
       ``(3) the Board of Governors of the Federal Reserve System, 
     in the case of--
       ``(A) any State member bank;
       ``(B) any branch or agency of a foreign bank with respect 
     to any provision of the Federal Reserve Act which is made 
     applicable under the International Banking Act of 1978;
       ``(C) any foreign bank which does not operate an insured 
     branch;
       ``(D) any agency or commercial lending company other than a 
     Federal agency;
       ``(E) supervisory or regulatory proceedings arising from 
     the authority given to the Board of Governors under section 
     7(c)(1) of the International Banking Act of 1978, including 
     such proceedings under the Financial Institutions Supervisory 
     Act of 1966;
       ``(F) any bank holding company having total consolidated 
     assets of $50,000,000,000 or more, any bank holding company 
     that is a foreign bank, and any subsidiary (other than a 
     depository institution) of such a bank holding company;
       ``(G) any savings and loan holding company having total 
     consolidated assets of $50,000,000,000 or more, any savings 
     and loan holding company that is a foreign bank, and any 
     subsidiary (other than a depository institution) of such a 
     savings and loan holding company;
       ``(H) any bank holding company (other than a foreign 
     bank)--
       ``(i) having less than $50,000,000,000 in total 
     consolidated assets; and
       ``(ii) having--

       ``(I) a subsidiary that is an insured depository 
     institution, if all such insured depository institutions are 
     State member banks; or
       ``(II) a subsidiary that is a State member bank and a 
     subsidiary that is not a State member bank, if the total 
     consolidated assets of all subsidiaries that are State member 
     banks--

       ``(aa) exceed the total consolidated assets of all 
     subsidiaries that are Federal depository institutions; and
       ``(bb) exceed the total consolidated assets of all 
     subsidiaries that are State nonmember insured banks and State 
     savings associations; and
       ``(I) any subsidiary (other than a depository institution) 
     of a bank holding company that is described in subparagraph 
     (H).''.
       (2) Certain references in the bank holding company act of 
     1956.--
       (A) Comptroller of the currency.--On or after the transfer 
     date, in the case of a bank holding company described in 
     section 3(q)(1)(C) of the Federal Deposit Insurance Act, as 
     amended by this Act, any reference in the Bank Holding 
     Company Act of 1956 (12 U.S.C. 1841 et seq.) to the Board of 
     Governors shall be deemed to be a reference to the Office of 
     the Comptroller of the Currency.
       (B) Corporation.--On or after the transfer date, in the 
     case of a bank holding company described in section 
     3(q)(2)(D) of the Federal Deposit Insurance Act, as amended 
     by this Act, any reference in the Bank Holding Company Act of 
     1956 (12 U.S.C. 1841 et seq.) to the Board of Governors shall 
     be deemed to be a reference to the Corporation.

[[Page S3368]]

       (C) Rule of construction.--Notwithstanding subparagraph (A) 
     or (B), the Board of Governors shall retain all rulemaking 
     authority under the Bank Holding Company Act of 1956 (12 
     U.S.C. 1841 et seq.).
       (3) Consultation in holding company rulemaking.--
       (A) Bank holding companies.--Section 5 of the Bank Holding 
     Company Act of 1956 (12 U.S.C. 1844) is amended by adding at 
     the end the following:
       ``(h) Consultation in Rulemaking.--Before proposing or 
     adopting regulations under this Act that apply to bank 
     holding companies having less than $50,000,000,000 in total 
     consolidated assets, the Board of Governors shall consult 
     with the Comptroller of the Currency and the Federal Deposit 
     Insurance Corporation as to the terms of such regulations.''.
                                 ______
                                 
  SA 3875. Mr. COBURN submitted an amendment intended to be proposed to 
amendment SA 3775 submitted by Mr. Wyden (for himself and Mr. Grassley) 
and intended to be proposed to the amendment SA 3739 proposed by Mr. 
Reid (for Mr. Dodd (for himself and Mrs. Lincoln)) to the bill S. 3217, 
to promote the financial stability of the United States by improving 
accountability and transparency in the financial system, to end ``too 
big to fail'', to protect the American taxpayer by ending bailouts, to 
protect consumers from abusive financial services practices, and for 
other purposes; which was ordered to lie on the table; as follows:

       At the end of the amendment, insert the following:

     SEC. ___. STOP SECRET SPENDING ACT.

       (a) Short Title.--This section may be cited as the ``Stop 
     Secret Spending Act''.
       (b) Notice Requirement.--Legislation that has been subject 
     to a hotline notification may not pass by unanimous consent 
     unless--
       (1) the hotline notification has been posted on the public 
     website of the Senate for at least 3 calendar days as 
     provided in subsection (c); and
       (2) signed statements from every Member of the Senate 
     attesting that they have read the legislation (except for a 
     sense of the Senate measure) and understand its impact 
     including the cost have been submitted to and printed in the 
     Congressional Record using the following format: ``I, Senator 
     ____, have read [bill number] and understand its impact, 
     including the cost, and support its passage.''.
       (c) Posting on Senate Webpage.--At the same time as a 
     hotline notification occurs with respect to any legislation, 
     the Majority Leader shall post in a prominent place on the 
     public webpage of the Senate a notice that the legislation 
     has been hotlined and the legislation's number, title, link 
     to full text, and sponsor and the estimated cost to implement 
     and the number of new programs created by the legislation.
       (d) Legislative Calendar.--
       (1) In general.--The Secretary of the Senate shall 
     establish for both the Senate Calendar of Business and the 
     Senate Executive Calendar a separate section entitled 
     ``Notice of Intent To Pass by Unanimous Consent''.
       (2) Content.--The section required by paragraph (1) shall--
       (A) include any legislation posted as required by 
     subsection (c) and the date the hotline notification 
     occurred; and
       (B) be updated as appropriate.
       (3) Removal.--Items included on the calendar under this 
     subsection shall be removed from the calendar once passed by 
     the Senate.
       (e) Exceptions.--This section shall not apply--
       (1) if a quorum of the Senate is present at the time the 
     unanimous consent is propounded to pass the bill;
       (2) to any legislation relating to an imminent or ongoing 
     emergency, as jointly agreed to by the Majority and Minority 
     Leaders; and
       (3) to nominations.
       (f) Suspension.--The Presiding Officer shall not entertain 
     any request to suspend this section by unanimous consent.
       (g) Hotline Notification Defined.--In this section, the 
     term ``hotline notification'' means when the Majority Leader 
     in consultation with the Minority Leader, provides notice of 
     intent to pass legislation by unanimous consent by contacting 
     each Senate office with a message on a special alert line 
     (commonly referred to as the hotline) that provides 
     information on what bill or bills the Majority Leader is 
     seeking to pass through unanimous consent.
                                 ______
                                 
  SA 3876. Mr. MENENDEZ (for himself and Mr. Burris) submitted an 
amendment intended to be proposed to amendment SA 3739 proposed by Mr. 
Reid (for Mr. Dodd (for himself and Mrs. Lincoln)) to the bill S. 3217, 
to promote the financial stability of the United States by improving 
accountability and transparency in the financial system, to end ``too 
big to fail'', to protect the American taxpayer by ending bailouts, to 
protect consumers from abusive financial services practices, and for 
other purposes; which was ordered to lie on the table; as follows:

       On page 372, line 2, strike ``bank.'' and insert the 
     following: ``bank.

     SEC. 343. WOMEN AND MINORITY ADVANCEMENT.

       (a) Definitions.--In this section--
       (1) the term ``covered person'' means a person that--
       (A) has more than 50 employees; and
       (B) makes a proposal to a financial agency for a contract 
     that has a value of more than $50,000;
       (2) the term ``Director'' means a Director of Minority and 
     Women Advancement appointed under subsection (c);
       (3) the term ``diversity'' includes racial, gender, and 
     ethnic diversity;
       (4) the term ``financial agency'' means--
       (A) the Department of the Treasury;
       (B) the Corporation;
       (C) the Federal Housing Finance Agency;
       (D) each of the Federal reserve banks;
       (E) the Board of Governors;
       (F) the National Credit Union Administration;
       (G) the Commission;
       (H) the Office of the Comptroller of the Currency;
       (I) the Council;
       (J) the Bureau; and
       (K) the Office of National Insurance established under 
     title V;
       (5) the term ``financial agency administrator'' means the 
     head of a financial agency;
       (6) the term ``minority'' has the same meaning as in 
     section 1204(c) of the Financial Institutions Reform, 
     Recovery, and Enforcement Act of 1989 (12 U.S.C. 1811 note);
       (7) the terms ``minority-owned business'' and ``women-owned 
     business''--
       (A) have the same meanings as in section 21A(r)(4) of the 
     Federal Home Loan Bank Act (12 U.S.C. 1441a(r)(4)); and
       (B) include financial institutions, investment banking 
     firms, mortgage banking firms, asset management firms, 
     brokers, dealers, financial services firms, underwriters, 
     accountants, investment consultants, and providers of legal 
     services; and
       (8) the term ``Office'' means an Office of Minority and 
     Women Advancement established under subsection (b).
       (b) Office of Minority and Women Advancement.--
       (1) Establishment.--Not later than 180 days after the date 
     of enactment of this Act, each financial agency shall 
     establish an Office of Minority and Women Advancement that 
     shall--
       (A) be responsible for all matters of the financial agency 
     relating to diversity in management, employment, and business 
     activities, including contracting and the coordination of 
     technical assistance, in accordance with such standards and 
     requirements as the Director of the Office shall establish; 
     and
       (B) advise the financial agency administrator of the impact 
     of policies and regulations of the financial agency on 
     minority-owned businesses, women-owned businesses, and 
     diversity at such businesses.
       (2) Transfer of responsibilities.--Each financial agency 
     that, before the date of enactment of this Act, assigned the 
     responsibilities described in paragraph (1) (or comparable 
     responsibilities) to another office of the financial agency 
     shall ensure that such responsibilities are transferred to 
     the Office.
       (c) Director.--
       (1) In general.--The head of the Office of a financial 
     agency shall be the Director of Minority and Women 
     Advancement, who shall be appointed by the financial agency 
     administrator of the financial agency.
       (2) Reporting; title.--Each Director shall report directly 
     to the financial agency administrator and hold a title within 
     the financial agency of the Director that is comparable to 
     the title of other senior-level staff members of the 
     financial agency who act in a managerial capacity and report 
     directly to the financial agency administrator.
       (3) Duties.--Each Director shall--
       (A) ensure equal employment opportunity and encourage the 
     racial, ethnic, and gender diversity of the workforce and 
     senior management of the subject financial agency;
       (B) work to increase--
       (i) the participation rates of minority-owned businesses 
     and women-owned businesses in the programs and contracts of 
     the subject financial agency; and
       (ii) the percentage of the amounts expended by the subject 
     financial agency that is expended with minority-owned 
     businesses and women-owned businesses; and
       (C) provide guidance to the financial agency administrator 
     to ensure that the policies and regulations of the financial 
     agency strengthen minority-owned businesses and women-owned 
     businesses.
       (d) Advancement in All Levels of Business Activities.--Each 
     Director shall develop and implement standards and procedures 
     to ensure, to the maximum extent possible, the advancement of 
     minorities and women, and the use of minority-owned 
     businesses and women-owned businesses, in all activities of 
     the financial agency at every level, including in 
     procurement, insurance, and all types of contracting 
     (including, as applicable, contracting for the issuance or 
     guarantee of debt, equity, or security, the sale of assets, 
     the management of assets, the making of equity investments, 
     and the implementation of programs to promote economic 
     recovery).
       (e) Contracts.--
       (1) In general.--Any process established by a financial 
     agency for the review and evaluation of a contract proposal 
     or the employment of a service provider shall give

[[Page S3369]]

     consideration to the diversity of the covered person.
       (2) Written assurance.--Each covered person shall include 
     in the contract of the covered person with a financial agency 
     a written assurance, in a form and manner that the Director 
     of the financial agency shall prescribe, that the covered 
     person will ensure, to the maximum extent possible, the 
     advancement of minorities and women--
       (A) in the workforce of the covered person; and
       (B) as applicable, by any subcontractor of the covered 
     person.
       (3) Referral system.--Each Director shall establish a 
     referral process by which the Director may refer a Federal 
     contractor or subcontractor to the Office of Federal Contract 
     Compliance Programs of the Department of Labor for further 
     investigation, and appropriate enforcement, under Executive 
     Order 11246 (42 U.S.C. 2000e note; relating to 
     nondiscrimination in employment by Government contractors and 
     subcontractors), or any successor thereto.
       (4) Applicability.--This subsection shall apply to all 
     contracts of a financial agency for services of any kind, 
     including the services of investment banking, asset 
     management entities, broker-dealers, financial services 
     entities, underwriters, accountants, investment consultants, 
     and providers of legal services. Nothing in this subsection 
     may be construed to affect the responsibilities or authority 
     of the Office of Federal Contract Compliance Programs of the 
     Department of Labor or the responsibilities of Federal 
     contractors under Executive Order 11246 (42 U.S.C. 2000e 
     note; relating to nondiscrimination in employment by 
     Government contractors and subcontractors), or any successor 
     thereto.
       (f) Reports.--Not later than 90 days before the end of each 
     fiscal year, the Director of each financial agency shall 
     submit to Congress a report that contains detailed 
     information describing the actions taken by the Director and 
     the financial agency under this section, including--
       (1) a statement--
       (A) of the total amount paid by the financial agency to 
     covered persons during--
       (i) the period beginning on the date of the most recent 
     report submitted by the financial agency under this 
     subsection; or
       (ii) in the case of the first report submitted under this 
     subsection, the first fiscal year following the date of 
     enactment of this Act; and
       (B) that analyzes the amount described in subparagraph (A) 
     by the type of population involved, as determined by the 
     Director;
       (2) the percentage of the amount described in paragraph (1) 
     that was paid to minority-owned businesses and women-owned 
     businesses, analyzed by the type of population involved, as 
     determined by the Director;
       (3) the successes achieved and challenges faced by the 
     financial agency in operating outreach programs for 
     minorities and women;
       (4) any challenges that the financial agency may face in 
     hiring and retaining qualified minority and women employees 
     and contracting with qualified minority-owned businesses and 
     women-owned businesses;
       (5) the efforts that the financial agency has made to 
     ensure that the financial agency recruits diverse talent; and
       (6) any other information, findings, conclusions, or 
     recommendations for legislative or financial agency action, 
     as the Director determines appropriate.
       (g) Diversity in Financial Agency Workforce.--Each 
     financial agency shall take affirmative steps to seek 
     diversity in the workforce of the financial agency at all 
     levels of the financial agency, consistent with the 
     demographic diversity of the United States, including--
       (1) targeted recruiting at historically Black colleges and 
     universities, Hispanic-serving institutions, women's 
     colleges, and colleges that typically serve majority minority 
     populations;
       (2) sponsoring and recruiting at job fairs in urban 
     communities;
       (3) placing employment advertisements in newspapers and 
     magazines oriented toward minorities and women;
       (4) partnering with organizations that focus on developing 
     opportunities for minorities and women, to place talented 
     minorities and women in internships, summer employment, and 
     full-time positions with the financial agency;
       (5) where feasible, partnering with inner-city high 
     schools, girls' high schools, and majority minority high 
     schools, to establish or enhance financial literacy programs 
     and provide mentoring;
       (6) ensuring that women and minorities are included in the 
     recruitment process, as staff or in the interview phase of 
     the process; and
       (7) using any other form of mass media communication that 
     the Director determines is necessary.
       (h) Diversity Report Cards.--
       (1) Reporting required.--The Commission, in consultation 
     with the Secretary of Labor and the Equal Employment 
     Opportunity Commission, shall, by rule, require each issuer 
     to disclose in the annual report of the issuer on Form 10-K 
     under the Securities Exchange Act of 1934 (15 U.S.C. 78a et 
     seq.), comparative percentage data, with separate categories 
     for race, ethnicity, and gender, concerning--
       (A) the 200 most highly compensated officers, executives, 
     or employees of the issuer (excluding the members of the 
     board of directors of the issuer);
       (B) the total compensation of the 200 most highly 
     compensated officers, executives, or employees of the issuer 
     (excluding the members of the board of directors of the 
     issuer);
       (C) all employees of the issuer; and
       (D) the total compensation of all employees of the issuer.
       (2) Total compensation.--For purposes of this subsection, 
     total compensation shall be determined in accordance with 
     section 229.402(c)(2)(x) of title 17, Code of Federal 
     Regulations, as in effect on the day before the date of 
     enactment of this Act.

     SEC. 344. PRESERVING AND EXPANDING MINORITY DEPOSITORY 
                   INSTITUTIONS.

       (a) In General.--Section 308(a) of the Financial 
     Institutions Reform, Recovery, and Enforcement Act of 1989 
     (12 U.S.C. 1463 note) is amended by striking ``Director of 
     the Office of Thrift Supervision'' and inserting ``, the 
     Chairman of the Board of Governors of the Federal Reserve 
     System,''
       (b) Report.--Section 308 of the Financial Institutions 
     Reform, Recovery, and Enforcement Act of 1989 (12 U.S.C. 1463 
     note) is amended by adding at the end the following:
       ``(c) Reports.--The Secretary of the Treasury and the 
     Chairman of the Board of Governors of the Federal Reserve 
     System shall each submit an annual report to Congress 
     containing a description of actions taken to carry out this 
     section.''.
       (c) Technical and Conforming Amendments.--Section 3(g) of 
     the Home Owners' Loan Act (12 U.S.C. 1462a(g)) is amended--
       (1) in paragraph (1), by striking ``; and'' and inserting a 
     period;
       (2) by striking ``include'' and all that follows through 
     ``any changes'' and inserting ``include a description of any 
     changes''; and
       (3) by striking paragraph (2).
                                 ______
                                 
  SA 3877. Mr. MENENDEZ submitted an amendment intended to be proposed 
to amendment SA 3739 proposed by Mr. Reid (for Mr. Dodd (for himself 
and Mrs. Lincoln)) to the bill S. 3217, to promote the financial 
stability of the United States by improving accountability and 
transparency in the financial system, to end ``too big to fail'', to 
protect the American taxpayer by ending bailouts, to protect consumers 
from abusive financial services practices, and for other purposes; 
which was ordered to lie on the table; as follows:

       On page 372, between lines 2 and 3, insert the following:

     SEC. 343. GUARANTEES FOR BONDS AND NOTES ISSUED FOR COMMUNITY 
                   OR ECONOMIC DEVELOPMENT PURPOSES.

       The Riegle Community Development and Regulatory Improvement 
     Act of 1994 (12 U.S.C. 4701 et seq.) is amended by inserting 
     after section 114 (12 U.S.C. 4713) the following:

     ``SEC. 114A. GUARANTEES FOR BONDS AND NOTES ISSUED FOR 
                   COMMUNITY OR ECONOMIC DEVELOPMENT PURPOSES.

       ``(a) Definitions.--In this section, the following 
     definitions shall apply:
       ``(1) Director.--The term `Director' means the Director of 
     the Community Development Financial Institutions Fund.
       ``(2) Eligible community development financial 
     institution.--The term `eligible community development 
     financial institution' means a community development 
     financial institution (as described in section 1805.201 of 
     title 12, Code of Federal Regulations, or any successor 
     thereto) certified by the Secretary that has applied to a 
     qualified issuer for, or been granted by a qualified issuer, 
     a loan under the Program.
       ``(3) Eligible community or economic development purpose.--
     The term `eligible community or economic development 
     purpose'--
       ``(A) means any purpose described in section 108(b); and
       ``(B) includes the provision of community or economic 
     development in low-income or underserved rural areas.
       ``(4) Guarantee.--The term `guarantee' means a written 
     agreement between the Secretary and a qualified issuer (or 
     trustee), pursuant to which the Secretary ensures repayment 
     of the verifiable losses of principal, interest, and call 
     premium, if any, on notes or bonds issued by a qualified 
     issuer to finance or refinance loans to eligible community 
     development financial institutions.
       ``(5) Loan.--The term `loan' means any credit instrument 
     that is extended under the Program for any eligible community 
     or economic development purpose.
       ``(6) Master servicer.--
       ``(A) In general.--The term `master servicer' means any 
     entity approved by the Secretary in accordance with 
     subparagraph (B) to oversee the activities of servicers, as 
     provided in subsection (f)(4).
       ``(B) Approval criteria for master servicers.--The 
     Secretary shall approve or deny any application to become a 
     master servicer under the Program not later than 30 days 
     after the date on which all required information is submitted 
     to the Secretary, based on the capacity and experience of the 
     applicant in--
       ``(i) loan administration, servicing, and loan monitoring;
       ``(ii) managing regional or national loan intake, 
     processing, or servicing operational systems and 
     infrastructure;
       ``(iii) managing regional or national originator 
     communication systems and infrastructure;

[[Page S3370]]

       ``(iv) developing and implementing training and other risk 
     management strategies on a regional or national basis; and
       ``(v) compliance monitoring, investor relations, and 
     reporting.
       ``(7) Program.--The term `Program' means the guarantee 
     Program for bonds and notes issued for eligible community or 
     economic development purposes established under this section.
       ``(8) Program administrator.--The term `Program 
     administrator' means an entity designated by the issuer to 
     perform administrative duties, as provided in subsection 
     (f)(2).
       ``(9) Qualified issuer.--
       ``(A) In general.--The term `qualified issuer' means a 
     community development financial institution (or any entity, 
     including a State or local government, designated to issue 
     notes or bonds on behalf of such community development 
     financial institution) that meets the qualification 
     requirements of this paragraph.
       ``(B) Approval criteria for qualified issuers.--
       ``(i) In general.--The Secretary shall approve a qualified 
     issuer for a guarantee under the Program in accordance with 
     the requirements of this paragraph, and such additional 
     requirements as the Secretary may establish, by regulation.
       ``(ii) Terms and qualifications.--A qualified issuer 
     shall--

       ``(I) have appropriate expertise, capacity, and experience, 
     or otherwise be qualified to make loans for eligible 
     community or economic development purposes;
       ``(II) provide to the Secretary--

       ``(aa) an acceptable statement of the proposed sources and 
     uses of the funds; and
       ``(bb) a capital distribution plan that meets the 
     requirements of subsection (c)(1); and

       ``(III) certify to the Secretary that the bonds or notes to 
     be guaranteed are to be used for eligible community or 
     economic development purposes.

       ``(C) Department opinion; timing.--
       ``(i) Department opinion.--Not later than 30 days after the 
     date of a request by a qualified issuer for approval of a 
     guarantee under the Program, the General Counsel of the Fund 
     shall provide to the Secretary an opinion regarding 
     compliance by the issuer with the requirements of the Program 
     under this section.
       ``(ii) Timing.--The Secretary shall approve or deny a 
     guarantee under this section after consideration of the 
     opinion provided to the Secretary under clause (i), and in no 
     case later than 45 days after receipt of all required 
     information by the Secretary with respect to a request for 
     such guarantee.
       ``(10) Secretary.--The term `Secretary' means the Secretary 
     of the Treasury.
       ``(11) Servicer.--The term `servicer' means an entity 
     designated by the issuer to perform various servicing duties, 
     as provided in subsection (f)(3).
       ``(b) Guarantees Authorized.--The Secretary shall guarantee 
     payments on bonds or notes issued by any qualified issuer if 
     the proceeds of the bonds or notes are used in accordance 
     with this section to make loans to eligible community 
     development financial institutions--
       ``(1) for eligible community or economic development 
     purposes; or
       ``(2) to refinance loans or notes issued for such purposes.
       ``(c) General Program Requirements.--
       ``(1) In general.--A capital distribution plan meets the 
     requirements of this subsection, if not less than 90 percent 
     of the principal amount of guaranteed bonds or notes (other 
     than costs of issuance fees) are used to make loans for any 
     eligible community or economic development purpose, measured 
     annually, beginning at the end of the 1-year period beginning 
     on the issuance date of such guaranteed bonds or notes.
       ``(2) Relending account.--Not more than 10 percent of the 
     principal amount of guaranteed bonds or notes, multiplied by 
     an amount equal to the outstanding principal balance of 
     issued notes or bonds, minus the risk-share pool amount under 
     subsection (d), may be held in a relending account and may be 
     made available for new eligible community or economic 
     development purposes.
       ``(3) Limitations on unpaid principal balances.--The 
     proceeds of guaranteed bonds or notes under the Program may 
     not be used to pay fees (other than costs of issuance fees), 
     and shall be held in--
       ``(A) community or economic development loans;
       ``(B) a relending account, to the extent authorized under 
     paragraph (2); or
       ``(C) a risk-share pool established under subsection (d).
       ``(4) Repayment.--If a qualified issuer fails to meet the 
     requirements of paragraph (1) by the end of the 90-day period 
     beginning at the end of the annual measurement period, 
     repayment shall be made on that portion of bonds or notes 
     necessary to bring the bonds or notes that remain outstanding 
     after such repayment into compliance with the 90 percent 
     requirement of paragraph (1).
       ``(5) Prohibited uses.--The Secretary shall, by 
     regulation--
       ``(A) prohibit, as appropriate, certain uses of amounts 
     from the guarantee of a bond or note under the Program, 
     including the use of such funds for political activities, 
     lobbying, outreach, counseling services, or travel expenses; 
     and
       ``(B) provide that the guarantee of a bond or note under 
     the Program may not be used for salaries or other 
     administrative costs of--
       ``(i) the qualified issuer; or
       ``(ii) any recipient of amounts from the guarantee of a 
     bond or note.
       ``(d) Risk-Share Pool.--Each qualified issuer shall, during 
     the term of a guarantee provided under the Program, establish 
     a risk-share pool, capitalized by contributions from eligible 
     community development financial institution participants an 
     amount equal to not less than 3 percent of the guaranteed 
     amount outstanding on the subject notes and bonds.
       ``(e) Guarantees.--
       ``(1) In general.--A guarantee issued under the Program 
     shall--
       ``(A) be for the full amount of a bond or note, including 
     the amount of principal, interest, and call premiums;
       ``(B) be fully assignable and transferable to the capital 
     market, on terms and conditions that are consistent with 
     comparable Government-guaranteed bonds, and satisfactory to 
     the Secretary;
       ``(C) represent the full faith and credit of the United 
     States; and
       ``(D) not exceed 30 years.
       ``(2) Limitations.--
       ``(A) Annual number of guarantees.--The Secretary shall 
     issue not more than 10 guarantees in any calendar year under 
     the Program.
       ``(B) Guarantee amount.--The Secretary may not guarantee 
     any amount under the Program equal to less than $100,000,000, 
     but the total of all such guarantees in any fiscal year may 
     not exceed $1,000,000,000.
       ``(f) Servicing of Transactions.--
       ``(1) In general.--To maximize efficiencies and minimize 
     cost and interest rates, loans made under this section may be 
     serviced by qualified Program administrators, bond servicers, 
     and a master servicer.
       ``(2) Duties of program administrator.--The duties of a 
     Program administrator shall include--
       ``(A) approving and qualifying eligible community 
     development financial institution applications for 
     participation in the Program;
       ``(B) compliance monitoring;
       ``(C) bond packaging in connection with the Program; and
       ``(D) all other duties and related services that are 
     customarily expected of a Program administrator.
       ``(3) Duties of servicer.--The duties of a servicer shall 
     include--
       ``(A) billing and collecting loan payments;
       ``(B) initiating collection activities on past-due loans;
       ``(C) transferring loan payments to the master servicing 
     accounts;
       ``(D) loan administration and servicing;
       ``(E) systematic and timely reporting of loan performance 
     through remittance and servicing reports;
       ``(F) proper measurement of annual outstanding loan 
     requirements; and
       ``(G) all other duties and related services that are 
     customarily expected of servicers.
       ``(4) Duties of master servicer.--The duties of a master 
     servicer shall include--
       ``(A) tracking the movement of funds between the accounts 
     of the master servicer and any other servicer;
       ``(B) ensuring orderly receipt of the monthly remittance 
     and servicing reports of the servicer;
       ``(C) monitoring the collection comments and foreclosure 
     actions;
       ``(D) aggregating the reporting and distribution of funds 
     to trustees and investors;
       ``(E) removing and replacing a servicer, as necessary;
       ``(F) loan administration and servicing;
       ``(G) systematic and timely reporting of loan performance 
     compiled from all bond servicers' reports;
       ``(H) proper distribution of funds to investors; and
       ``(I) all other duties and related services that are 
     customarily expected of a master servicer.
       ``(g) Fees.--
       ``(1) In general.--A qualified issuer that receives a 
     guarantee issued under this section on a bond or note shall 
     pay a fee to the Director, in an amount equal to 10 basis 
     points of the amount of the unpaid principal of the bond or 
     note guaranteed.
       ``(2) Payment.--A qualified issuer shall pay the fee 
     required under this subsection on an annual basis.
       ``(h) Authorization of Appropriations.--
       ``(1) In general.--There are authorized to be appropriated 
     to the Secretary, such sums as are necessary to carry out 
     this section.
       ``(2) Use of fees.--To the extent that the amount of funds 
     appropriated for a fiscal year under paragraph (1) are not 
     sufficient to carry out this section, the Director may use 
     the fees collected under subsection (g) for the cost of 
     providing guarantees of bonds and notes under this section.
       ``(i) Investment in Guaranteed Bonds Ineligible for 
     Community Reinvestment Act Purposes.--Notwithstanding any 
     other provision of law, any investment by a financial 
     institution in bonds or notes guaranteed under the Program 
     shall not be taken into account in assessing the record of 
     such institution for purposes of the Community Reinvestment 
     Act of 1977 (12 U.S.C. 2901).
       ``(j) Administration.--
       ``(1) Regulations.--Not later than 180 days after the date 
     of enactment of this section, the Secretary shall promulgate 
     regulations to carry out this section.

[[Page S3371]]

       ``(2) Implementation.--Not later than 240 days after the 
     date of enactment of this section, the Secretary shall 
     implement this section.
       ``(k) Termination.--This section is repealed, and the 
     authority provided under this section shall terminate, on 
     September 30, 2014.''.

     SEC. 344. QUALIFIED COMMUNITY DEVELOPMENT FINANCIAL 
                   INSTITUTION BONDS.

       (a) Qualified Community Development Financial Institution 
     Bonds Treated as State and Local Bonds.--Section 150 of the 
     Internal Revenue Code of 1986 is amended by adding at the end 
     the following new subsection:
       ``(f) Qualified Community Development Financial Institution 
     Bonds.--For purposes of this part and section 103--
       ``(1) In general.--A qualified community development 
     financial institution bond shall be treated as a bond of a 
     political subdivision of a State.
       ``(2) Qualified community development financial institution 
     bond.--The term `qualified community development financial 
     institution bond' means any bond--
       ``(A) issued by a qualified community development financial 
     institution (or on behalf of such an institution by a State 
     or local government),
       ``(B) designated as a qualified community development 
     financial institution bond for purposes of this subsection, 
     and
       ``(C) issued as part of an issue 95 percent or more of the 
     net proceeds of which are to be used for an eligible 
     community or economic development purpose (as defined in 
     section 114A of the Community Development Banking and 
     Financial Institutions Act).
       ``(3) Qualified community development financial 
     institution.--The term `qualified community development 
     financial institution' means any organization--
       ``(A) which is described in section 501(c)(3) and exempt 
     from tax under section 501(a), and
       ``(B) which is a qualified issuer as defined in section 
     114A of the Community Development Banking and Financial 
     Institutions Act of 1994, or would be a qualified issuer but 
     for its designation of a State or local government to issue 
     bonds on its behalf.
       ``(4) Limitation on amount of bonds designated.--
       ``(A) In general.--The maximum aggregate face amount of 
     bonds which may be designated under paragraph (2)(B) by any 
     issuer shall not exceed the limitation amount allocated to 
     such issuer under subparagraph (C).
       ``(B) National limitation.--There is a national qualified 
     community development financial institution bond limitation 
     of $500,000,000.
       ``(C) Allocation of national limitation.--The national 
     qualified community development financial institution bond 
     limitation shall be allocated by the Secretary to qualified 
     issuers receiving guarantees under section 114A of the 
     Community Development Banking and Financial Institutions Act 
     of 1994.
       ``(5) Bonds not treated as private activity bonds.--Bonds 
     which are part of an issue which meets the requirements of 
     paragraph (2) shall not be treated as private activity 
     bonds.''.
       (b) No Federal Guarantee.--Subparagraph (A) of section 
     149(b)(3) of the Internal Revenue Code of 1986 is amended--
       (1) by striking ``or'' at the end of clause (iii);
       (2) by striking the period at the end of clause (iv) and 
     inserting ``, or''; and
       (3) by adding at the end the following new clause:
       ``(v) any guarantee of a qualified community development 
     financial institution bond provided by the Community 
     Development Financial Institution Fund.''.
       (c) Effective Date.--The amendments made by this section 
     shall apply to bonds issued after the date of enactment of 
     this Act.
                                 ______
                                 
  SA 3878. Mr. CASEY (for himself, Mr. Brown of Ohio, and Mr. Harkin) 
submitted an amendment intended to be proposed to amendment SA 3739 
proposed by Mr. Reid (for Mr. Dodd (for himself and Mrs. Lincoln)) to 
the bill S. 3217, to promote the financial stability of the United 
States by improving accountability and transparency in the financial 
system, to end ``too big to fail,'' to protect the American taxpayer by 
ending bailouts, to protect consumers from abusive financial services 
practices, and for other purposes; which was ordered to lie on the 
table; as follows:

       On page 1044, between lines 2 and 3, insert the following:

     SEC. 9__. STUDY ON TRANSACTION FEE.

       (a) In General.--The Securities and Exchange Commission and 
     the Commodity Futures Trading Commission, in coordination 
     with the Department of the Treasury, shall conduct a study on 
     the implementation of a transaction fee on all security-based 
     transactions, including swap and security-based swap 
     transactions (except those transactions that are primarily 
     for the purpose of hedging or mitigating risk), stock, debt 
     instruments, and any other security that the heads of the 
     Federal agencies described in this subsection determine to be 
     appropriate to be included in the study.
       (b) Purpose.--The purpose of the study shall be to assess--
       (1) past experiences with transaction fees, with an 
     emphasis on fee avoidance or behavior modification, migration 
     of capital, and impact on individual investors and small and 
     medium-sized businesses;
       (2) the advantages and disadvantages of the implementation 
     of the transaction fee in the United States alone, as 
     compared to the introduction of the fee on a global basis;
       (3) the potential to generate sufficient revenue to reduce 
     the deficit, fund job creation, and meet the humanitarian and 
     global development obligations of the United States;
       (4) how a transaction fee needs to be designed in order to 
     mitigate any negative side effects that may result from the 
     indirect assessment on the raising of capital;
       (5) the impact, if any, a transaction fee would have on the 
     practice of day trading;
       (6) to what extent a financial transaction fee would 
     contribute to the stabilization of the financial markets in 
     terms of the effect of the fee on speculation and on 
     transparency;
       (7) whether a transaction fee would prevent a future 
     financial crisis by targeting certain types of risky 
     transactions (which transactions shall be determined by the 
     agencies conducting the study);
       (8) the different transaction fee options, with a 
     particular focus on--
       (A) the financial transactions tax and financial activities 
     tax, as described in the report entitled ``International 
     Monetary Fund Report: A Fair and Substantial Contribution by 
     the Financial Sector''; and
       (B) implementing the transaction fee on individuals earning 
     more than $250,000 and corporations;
       (9) whether the transaction fee would assist in building 
     healthy capital, ensuring the ability of the banking system 
     to finance real economy investments; and
       (10) whether excessive risk-taking is or would be prevented 
     through implementation of a transaction fee.
       (c) Public Participation.--The study described in 
     subsection (a) shall be carried out in a manner to provide to 
     the public an adequate period of time to provide comments on 
     the implementation of a transaction fee.
       (d) Report.--Not later than 90 days after the date of 
     enactment of this Act, the Securities and Exchange Commission 
     and the Commodity Futures Trading Commission, in coordination 
     with the Department of the Treasury, shall submit to Congress 
     a report that describes the results of the study.
                                 ______
                                 
  SA 3879. Ms. COLLINS submitted an amendment intended to be proposed 
to amendment SA 3739 proposed by Mr. Reid (for Mr. Dodd (for himself 
and Mrs. Lincoln)) to the bill S. 3217, to promote the financial 
stability of the United States by improving accountability and 
transparency in the financial system, to end ``too big to fail,'' to 
protect the American taxpayer by ending bailouts, to protect consumers 
from abusive financial services practices, and for other purposes; 
which was ordered to lie on the table; as follows:

       At the appropriate place in title I, insert the following:

     SEC. __. LEVERAGE AND RISK-BASED CAPITAL REQUIREMENTS.

       (a) Definitions.--
       (1) Generally applicable leverage capital requirements.--
     The term ``generally applicable leverage capital 
     requirements'' means--
       (A) the minimum ratios of tier 1 capital to average total 
     assets, as established by the appropriate Federal banking 
     agencies to apply to insured depository institutions under 
     the prompt corrective action regulations implementing section 
     38 of the Federal Deposit Insurance Act, regardless of total 
     consolidated asset size or foreign financial exposure; and
       (B) includes the regulatory capital components in the 
     numerator of that capital requirement, average total assets 
     in the denominator of that capital requirement, and the 
     required ratio of the numerator to the denominator.
       (2) Generally applicable risk-based capital requirements.--
     The term ``generally applicable risk-based capital 
     requirements'' means--
       (A) the risk-based capital requirements as established by 
     the appropriate Federal banking agencies to apply to insured 
     depository institutions under the agency's Prompt Corrective 
     Action regulations that implement section 38 of the Federal 
     Deposit Insurance Act, regardless of total consolidated asset 
     size or foreign financial exposure; and
       (B) includes the regulatory capital components in the 
     numerator of those capital requirements, the risk-weighted 
     assets in the denominator of those capital requirements, and 
     the required ratio of the numerator to the denominator.
       (b) Minimum Capital Requirements.--
       (1) Minimum leverage capital requirements.--The appropriate 
     Federal banking agencies shall establish minimum leverage 
     capital requirements on a consolidated basis for insured 
     depository institutions, depository institution holding 
     companies, and nonbank financial companies identified under 
     section 113. The minimum leverage capital requirements 
     established under this paragraph shall not be less than the 
     generally applicable leverage capital requirements, which 
     shall serve as a floor for any

[[Page S3372]]

     capital requirements the agency may require, nor 
     quantitatively lower than the generally applicable leverage 
     capital requirements that were in effect for insured 
     depository institutions as of the date of enactment of this 
     Act.
       (2) Minimum risk-based capital requirements.--The 
     appropriate Federal banking agencies shall establish minimum 
     risk-based capital requirements on a consolidated basis for 
     insured depository institutions, depository institution 
     holding companies, and nonbank financial companies identified 
     under section 113. The minimum risk-based capital 
     requirements established under this paragraph shall not be 
     less than the generally applicable risk-based capital 
     requirements, which shall serve as a floor for any capital 
     requirements the agency may require, nor quantitatively lower 
     than the generally applicable risk-based capital requirements 
     that were in effect for insured depository institutions as of 
     the date of enactment of this Act.
       (3) Capital requirements to address activities that pose 
     risks to the financial system.--
       (A) In general.--Subject to the recommendations of the 
     Council, in accordance with section 120, the Federal banking 
     agencies shall develop capital requirements applicable to all 
     institutions covered by this section that address the risks 
     that the activities of such institutions pose, not only to 
     the institution engaging in the activity, but to other public 
     and private stakeholders in the event of adverse performance, 
     disruption, or failure of the institution or the activity.
       (B) Content.--Such rules shall address, at a minimum, the 
     risks arising from--
       (i) significant volumes of activity in derivatives, 
     securitized products purchased and sold, financial guarantees 
     purchased and sold, securities borrowing and lending, and 
     repurchase agreements and reverse repurchase agreements;
       (ii) concentrations in assets for which the values 
     presented in financial reports are based on models rather 
     than historical cost or prices deriving from deep and liquid 
     2-way markets; and
       (iii) concentrations in market share for any activity that 
     would substantially disrupt financial markets if the 
     institution is forced to unexpectedly cease the activity.
                                 ______
                                 
  SA 3880. Mr. BYRD (for himself and Mr. Rockefeller) submitted an 
amendment intended to be proposed to amendment SA 3739 proposed by Mr. 
Reid (for Mr. Dodd (for himself and Mrs. Lincoln)) to the bill S. 3217, 
to promote the financial stability of the United States by improving 
accountability and transparency in the financial system, to end ``too 
big to fail'', to protect the American taxpayer by ending bailouts, to 
protect consumers from abusive financial services practices, and for 
other purposes; which was ordered to lie on the table; as follows:

       At the end of subtitle A of title IX, add the following:

     SEC. 919C. PENALTIES FOR FAILURE TO DISCLOSE HEALTH AND 
                   SAFETY LITIGATION, VIOLATIONS, AND IMPACT 
                   INFORMATION.

       The Securities Exchange Act of 1934 (15 U.S.C. 78a et seq.) 
     is amended by inserting after section 21A the following new 
     section:

     ``SEC. 21B. HEALTH AND SAFETY DISCLOSURE VIOLATIONS.

       ``(a) Findings.--Congress finds the following:
       ``(1) This Act requires issuers of securities to disclose 
     material facts regarding--
       ``(A) pending litigation;
       ``(B) unsafe or unhealthy conditions in a high-risk 
     workplace that may reasonably be expected to cause the issuer 
     to face costly wrongful death actions from the heirs of the 
     deceased;
       ``(C) unsafe or unhealthy conditions in a high-risk 
     workplace, or significant violations of law in such a 
     workplace, that may reasonably be expected to cause reported 
     financial information not to be necessarily indicative of 
     future financial conditions or future operating results; and
       ``(D) events, trends, or uncertainties that may change the 
     relationship between costs and revenues.
       ``(2) In numerous industries, including high-risk 
     industries such as coal mining and oil exploration, health 
     and safety conditions have long been incompletely and 
     inconsistently disclosed, discussed, or analyzed by 
     corporations.
       ``(3) Investors and the public have a right to know, and a 
     reasonable expectation to remained informed, about 
     significant safety and health conditions that could imperil 
     the workforce of publicly-traded corporations, carrying 
     odious consequences for workers, families, and communities, 
     and that can lead to the abrogation of contracts, 
     environmental or other tort liabilities, and tarnished 
     corporate reputations.
       ``(b) Purpose.--The purpose of this section is to 
     strengthen the maintenance of fair and honest markets by 
     requiring disclosure of certain health and safety information 
     and by authorizing elevated penalties for failures to 
     disclose certain categories of information regarding health 
     and safety conditions or violations, given that such failures 
     have too often heretofore been unaddressed.
       ``(c) Judicial Actions Authorized.--
       ``(1) Relief and penalties.--Whenever it shall appear that 
     any issuer has violated subsection (d), the Commission or any 
     shareholder of the issuer may bring an action in a United 
     States district court to seek, and the court shall have 
     jurisdiction to impose--
       ``(A) equitable relief for the complainant, to be provided 
     by the issuer; and
       ``(B) a civil penalty to be paid by the senior executive 
     officers or the members of the board of directors of the 
     subject issuer--
       ``(i) who knew about such violation; or
       ``(ii) whose duties and decisions affected matters 
     regarding production or safety and who therefore had reason 
     to know about such violation, barring malfeasance by other 
     directors, officers, employees, or agents of the subject 
     issuer.
       ``(2) Costs.--Whenever a court issues an order sustaining a 
     shareholder's charges under paragraph (1), a sum equal to the 
     aggregate amount of all costs and expenses (including 
     attorney's fees) that have been reasonably incurred by the 
     shareholder for, or in connection with, the institution and 
     prosecution of such proceedings, as determined by the court, 
     shall be assessed against the issuer. These costs shall be 
     assessed regardless of the amount or means of relief or 
     penalties imposed on the issuer or its directors, officers, 
     employees, or agents.
       ``(d) Health and Safety-Related Disclosure.--
       ``(1) Duty to disclose.--At least annually, an issuer shall 
     disclose to the Commission and the shareholders the 
     information required under paragraph (2).
       ``(2) Required disclosures.--The disclosures required under 
     this paragraph are the following:
       ``(A) Any pending litigation concerning a health or safety 
     condition or violation under Federal or State law involving 
     the issuer, other than ordinary, routine litigation that is 
     incidental to the business of the issuer, as determined by 
     the Commission in consultation with the Secretary of Labor.
       ``(B) Any significant health or safety condition, or 
     significant health or safety violation, at any business unit 
     of the issuer in which routine activities pose risk of loss 
     of life.
       ``(C) Any significant health or safety condition, or 
     significant health or safety violation, at any business unit 
     of the issuer in which routine activities pose risk of 
     accidents or fatalities, injuries, or illnesses, the 
     occurrence of which could cause reported financial 
     information not to be necessarily indicative of future 
     financial conditions of the issuer, or which could cause a 
     negative effect on operating results of the issuer or any 
     subsidiaries thereof.
       ``(D) Any trend in health or safety conditions or 
     violations under Federal law, at any business unit of the 
     issuer, that may change the relationship between costs and 
     revenues of the issuer or any subsidiaries thereof.
       ``(e) Means and Amount of Equitable Relief, Damages, and 
     Penalties.--
       ``(1) Means and amount of equitable relief and damages.--
     The court shall determine the means of equitable relief for a 
     violation of subsection (d), which may include the immediate 
     disclosure of significant health or safety conditions or 
     significant health or safety violations. If the court 
     determines that a shareholder has sustained damages, the 
     court may assess the damages against the issuer.
       ``(2) Amount of civil penalty.--
       ``(A) Judicial determination.--The court shall determine 
     the civil penalty for a violation of subsection (d) in light 
     of the facts and circumstances.
       ``(B) Amount of penalty.--Unless determined otherwise in 
     accordance with subparagraph (A), the civil penalty for a 
     violation of subsection (d) shall be equal to not less than 3 
     times the amount that may be imposed under other State or 
     Federal law in connection with the underlying safety or 
     health conditions or violations that are required to be 
     disclosed under this title.
       ``(3) Private actions.--If a person other than the United 
     States prevails on a claim alleging a violation of subsection 
     (d), the person shall be entitled to recover 3 times the 
     amount of damages sustained by the person, as determined by 
     the court, in light of the facts and circumstances.
       ``(f) Procedures for Collection.--
       ``(1) Payment of penalty to treasury.--A civil penalty 
     imposed under this section shall be payable into the Treasury 
     of the United States.
       ``(2) Collection of penalties.--If a person upon whom a 
     civil penalty under this section is imposed fails to pay such 
     penalty within the time prescribed in the order of the court, 
     the Commission may refer the matter to the Attorney General 
     of the United States, who shall recover such penalty by 
     action in the appropriate United States district court.
       ``(3) Remedy not exclusive.--An action authorized by this 
     section may be brought in addition to any other actions that 
     the Commission, the Attorney General, or any shareholder is 
     entitled to bring.
       ``(4) Jurisdiction and venue.--For purposes of section 27, 
     an action under this section shall be an action to enforce a 
     liability or a duty created by this title.
       ``(g) Definitions.--
       ``(1) In general.--The Commission, in consultation with the 
     Secretary of Labor, shall issue rules to define the terms 
     used in this section for which the Commission determines a 
     definition to be necessary.
       ``(2) Definitions.--In this section:
       ``(A) Pending litigation.--The term `pending litigation' 
     includes a civil action or administrative proceeding for a 
     penalty for

[[Page S3373]]

     violating a Federal or State health and safety law that--
       ``(i) is being contested before an administrative law judge 
     under the Occupational Safety and Health Review Commission or 
     the Federal Mine Safety and Health Review Commission; or
       ``(ii) is being otherwise contested or appealed under a 
     State review board or other body.
       ``(B) Significant health or safety condition.--The term 
     `significant health or safety condition' means a condition 
     that a certified worker or manager could identify as 
     reasonably likely to be cited, were the condition to be 
     observed by a Federal inspector, as--
       ``(i) a significant and substantial health or safety 
     violation under the Federal Mine Safety and Health Act of 
     1977 (30 U.S.C. 801 et seq.);
       ``(ii) a serious or repeated violation under the 
     Occupational Safety and Health Act of 1970 (29 U.S.C. 651 et 
     seq.); or
       ``(iii) another health- or safety-related violation 
     carrying a high degree of gravity under Federal law.
       ``(C) Significant health or safety violation.--The term 
     `significant health or safety violation' means--
       ``(i) a significant and substantial health or safety 
     violation under the Federal Mine Safety and Health Act of 
     1977;
       ``(ii) a serious or repeated violation under the 
     Occupational Safety and Health Act of 1970; or
       ``(iii) another health- or safety-related violation 
     carrying a high degree of gravity under State or Federal 
     law.''.
                                 ______
                                 
  SA 3881. Mr. BROWN of Massachusetts submitted an amendment intended 
to be proposed to amendment SA 3739 proposed by Mr. Reid (for Mr. Dodd 
(for himself and Mrs. Lincoln)) to the bill S. 3217, to promote the 
financial stability of the United States by improving accountability 
and transparency in the financial system, to end ``too big to fail'', 
to protect the American taxpayer by ending bailouts, to protect 
consumers from abusive financial services practices, and for other 
purposes; which was ordered to lie on the table; as follows:

       On page 1062, after line 25, insert the following:
       (e) Office of Service Member Affairs.--
       (1) Establishment.--The Director shall establish within the 
     Bureau the Office of Service Member Affairs.
       (2) Functions.--The Office of Service Member Affairs shall 
     have such powers and duties as the Director may delegate to 
     that Office, with respect to the drafting and enforcement of 
     any special consumer financial protection rules that apply to 
     members of the Armed Forces.
       (3) Administration of office.--There is established the 
     position of Assistant Director of the Bureau for Service 
     Member Affairs, who--
       (A) shall be appointed by the Director; and
       (B) shall carry out such duties as the Director may 
     delegate to such Assistant Director.
       (4) Definition.--As used in this subsection, the term 
     ``member of the Armed Forces'' means any member of the United 
     States Armed Forces and any member of the National Guard or 
     Reserves.
                                 ______
                                 
  SA 3882. Mr. CORKER (for himself, Mr. Gregg, Mr. Shelby, Mrs. 
Hutchison, Mr. LeMieux, and Mr. Coburn) submitted an amendment intended 
to be proposed to amendment SA 3739 proposed by Mr. Reid (for Mr. Dodd 
(for himself and Mrs. Lincoln)) to the bill S. 3217, to promote the 
financial stability of the United States by improving accountability 
and transparency in the financial system, to end ``too big to fail'', 
to protect the American taxpayer by ending bailouts, to protect 
consumers from abusive financial services practices, and for other 
purposes; which was ordered to lie on the table; as follows:

       On page 1045, strike line 12 and all that follows through 
     ``SEC. 942.'' on page 1052, line 3, and insert the following:
       (b) Study on Risk Retention.--
       (1) Study.--
       (A) In general.--The Board of Governors, in coordination 
     and consultation with the Comptroller of the Currency, the 
     Corporation, the Federal Housing Finance Agency, and the 
     Commission, shall conduct a study of the asset-backed 
     securitization process.
       (B) Issues to be studied.--In conducting the study under 
     subparagraph (A), the Board of Governors shall evaluate--
       (i) the separate and combined impact of--

       (I) requiring loan originators or securitizers to retain an 
     economic interest in a portion of the credit risk for any 
     asset that the securitizer, through the issuance of an asset-
     backed security, transfers, sells, or conveys to a third 
     party; including--

       (aa) whether existing risk retention requirements such as 
     contractual representations and warranties, and statutory and 
     regulatory underwriting and consumer protection requirements 
     are sufficient to ensure the long-term accountability of 
     originators for loans they originate; and
       (bb) methodologies for establishing additional statutory 
     credit risk retention requirements;

       (II) the Financial Accounting Statements 166 and 167 issued 
     by the Financial Accounting Standards Board, as well as any 
     other statements issued before or after the date of enactment 
     of this section the Federal banking agencies determine to be 
     relevant;

       (ii) the impact of the factors described under subsection 
     (i) of this section on--

       (I) different classes of assets, such as residential 
     mortgages, commercial mortgages, commercial loans, auto 
     loans, and other classes of assets;
       (II) loan originators;
       (III) securitizers;
       (IV) access of consumers and businesses to credit on 
     reasonable terms.

       (2) Report.--Not later than 18 months after the date of 
     enactment of this section, the Board of Governors shall 
     submit to Congress a report on the study conducted under 
     paragraph (1). Such report shall include statutory and 
     regulatory recommendations for eliminating any negative 
     impacts on the continued viability of the asset-backed 
     securitization markets and on the availability of credit for 
     new lending identified by the study conducted under paragraph 
     (1).

     SEC. 942. RESIDENTIAL MORTGAGE UNDERWRITING STANDARDS.

       (a) Standards Established.--Notwithstanding any other 
     provision of this Act or any other provision of Federal, 
     State, or local law, the Federal banking agencies, in 
     consultation with the Federal Housing Finance Agency and the 
     Department of Housing and Urban Development, shall jointly 
     establish specific minimum standards for mortgage 
     underwriting, including--
       (1) a requirement that the mortgagee verify and document 
     the income and assets relied upon to qualify the mortgagor on 
     the residential mortgage, including the previous employment 
     and credit history of the mortgagor;
       (2) a down payment requirement that--
       (A) is equal to not less than 5 percent of the purchase 
     price of the property securing the residential mortgage; and
       (B) in the case of a first lien residential mortgage loan 
     with an initial loan to value ratio that is more than 80 
     percent and not more than 95 percent, includes a requirement 
     for credit enhancements, as defined by the Federal banking 
     agencies, until the loan to value ratio of the residential 
     mortgage loan amortizes to a value that is less than 80 
     percent of the purchase price;
       (3) a method for determining the ability of the mortgagor 
     to repay the residential mortgage that is based on factors 
     including--
       (A) all terms of the residential mortgage, including 
     principal payments that fully amortize the balance of the 
     residential mortgage over the term of the residential 
     mortgage; and
       (B) the debt to income ratio of the mortgagor; and
       (4) any other specific standards the Federal banking 
     agencies jointly determine are appropriate to ensure prudent 
     underwriting of residential mortgages.
       (b) Updates to Standards.--The Federal banking agencies, in 
     consultation with the Federal Housing Finance Agency and the 
     Department of Housing and Urban Development--
       (1) shall review the standards established under this 
     section not less frequently than every 5 years; and
       (2) based on the review under paragraph (1), may revise the 
     standards established under this section, as the Federal 
     banking agencies, in consultation with the Federal Housing 
     Finance Agency and the Department of Housing and Urban 
     Development, determine to be necessary.
       (c) Compliance.--It shall be a violation of Federal law--
       (1) for any mortgage loan originator to fail to comply with 
     the minimum standards for mortgage underwriting established 
     under subsection (a) in originating a residential mortgage 
     loan;
       (2) for any company to maintain an extension of credit on a 
     revolving basis to any person to fund a residential mortgage 
     loan, unless the company reasonably determines that the 
     residential mortgage loan funded by such credit was subject 
     to underwriting standards no less stringent than the minimum 
     standards for mortgage underwriting established under 
     subsection (a); or
       (3) for any company to purchase, fund by assignment, or 
     guarantee a residential mortgage loan, unless the company 
     reasonably determines that the residential mortgage loan was 
     subject to underwriting standards no less stringent than the 
     minimum standards for mortgage underwriting established under 
     subsection (a).
       (d) Implementation.--
       (1) Regulations required.--The Federal banking agencies, in 
     consultation with the Federal Housing Finance Agency, shall 
     issue regulations to implement subsections (a) and (c), which 
     shall take effect not later than 270 days after the date of 
     enactment of this Act.
       (2) Report required.--If the Federal banking agencies have 
     not issued final regulations under subsections (a) and (c) 
     before the date that is 270 days after the date of enactment 
     of this Act, the Federal banking agencies shall jointly 
     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--
       (A) explains why final regulations have not been issued 
     under subsections (a) and (c); and

[[Page S3374]]

       (B) provides a timeline for the issuance of final 
     regulations under subsections (a) and (c).
       (e) Enforcement.--Compliance with the rules issued under 
     this section shall be enforced by--
       (1) the primary financial regulatory agency of an entity, 
     with respect to an entity subject to the jurisdiction of a 
     primary financial regulatory agency, in accordance with the 
     statutes governing the jurisdiction of the primary financial 
     regulatory agency over the entity and as if the action of the 
     primary financial regulatory agency were taken under such 
     statutes; and
       (2) the Bureau, with respect to a company that is not 
     subject to the jurisdiction of a primary financial regulatory 
     agency.
       (f) Rule of Construction.--Nothing in this section may be 
     construed to permit the Federal National Mortgage Association 
     or the Federal Home Loan Mortgage Corporation to make or 
     guarantee a residential mortgage loan that does not meet the 
     minimum underwriting standards established under this 
     section.
       (g) Definitions.--In this section, the following 
     definitions shall apply:
       (1) Company.--The term ``company''--
       (A) has the same meaning as in section 2(b) of the Bank 
     Holding Company Act of 1956 (12 U.S.C. 1841(b)); and
       (B) includes a sole proprietorship.
       (2) Mortgage loan originator.--The term ``mortgage loan 
     originator'' means any company that takes residential 
     mortgage loan applications and offers or negotiates terms of 
     residential mortgage loans.
       (3) Residential mortgage loan.--The term ``residential 
     mortgage loan''--
       (A) means any extension of credit primarily for personal, 
     family, or household use that is secured by a mortgage, deed 
     of trust, or other equivalent security interest in a dwelling 
     or residential real estate upon which is constructed or 
     intended to be constructed a dwelling; and
       (B) does not include a mortgage loan for which mortgage 
     insurance is provided by the Department of Veterans Affairs.
       (4) Extension of credit; dwelling.--The terms ``extension 
     of credit'' and ``dwelling'' shall have the same meaning as 
     in section 103 of the Truth in Lending Act (15 U.S.C. 1602).

     SEC. 943.

                                 ______
                                 
  SA 3883. Ms. SNOW (for herself and Mr. Pryor), submitted an amendment 
intended to be proposed to amendment SA 3739 proposed by Mr. Reid (for 
Mr. Dodd (for himself and Mrs. Lincoln)) to the bill S. 3217, to 
promote the financial stability of the United States by improving 
accountability and transparency in the financial system, to end ``too 
big to fail'', to protect the American taxpayer by ending bailouts, to 
protect consumers from abusive financial services practices, and for 
other purposes; which was ordered to lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. __. SMALL BUSINESS FAIRNESS AND REGULATORY TRANSPARENCY.

       (a) Panel Requirement.--Section 609(d) of title 5, United 
     States Code, is amended by striking ``means the'' and all 
     that follows and inserting the following: ``means--
       ``(1) the Environmental Protection Agency;
       ``(2) the Consumer Financial Protection Bureau of the 
     Federal Reserve System; and
       ``(3) the Occupational Safety and Health Administration of 
     the Department of Labor.''.
       (b) Initial Regulatory Flexibility Analysis.--Section 603 
     of title 5, United States Code, is amended by adding at the 
     end the following:
       ``(d)(1) For a covered agency, as defined in section 
     609(d)(2), each initial regulatory flexibility analysis shall 
     include a description of--
       ``(A) any projected increase in the cost of credit for 
     small entities;
       ``(B) any significant alternatives to the proposed rule 
     which accomplish the stated objectives of applicable statutes 
     and which minimize any increase in the cost of credit for 
     small entities; and
       ``(C) advice and recommendations of representatives of 
     small entities relating to issues described in subparagraphs 
     (A) and (B) and subsection (b).
       ``(2) A covered agency, as defined in section 609(d)(2), 
     shall, for purposes of complying with paragraph (1)(C)--
       ``(A) identify representatives of small entities in 
     consultation with the Chief Counsel for Advocacy of the Small 
     Business Administration; and
       ``(B) collect advice and recommendations from the 
     representatives identified under subparagraph (A) relating to 
     issues described in subparagraphs (A) and (B) of paragraph 
     (1) and subsection (b).''.
       (c) Final Regulatory Flexibility Analysis.--Section 604(a) 
     of title 5, United States Code, is amended--
       (1) in paragraph (4), by striking ``and'' at the end;
       (2) in paragraph (5), by striking the period at the end and 
     inserting ``; and''; and
       (3) by adding at the end the following:
       ``(6) for a covered agency, as defined in section 
     609(d)(2), a description of the steps the agency has taken to 
     minimize any additional cost of credit for small entities.''.
                                 ______
                                 
  SA 3884. Ms. CANTWELL (for herself, Mr. McCain, Mr. Kaufman, Mr. 
Harkin, Mr. Feingold, and Mr. Sanders) submitted an amendment intended 
to be proposed to amendment SA 3739 proposed by Mr. Reid (for Mr. Dodd 
(for himself and Mrs. Lincoln)) to the bill S. 3217, to promote the 
financial stability of the United States by improving accountability 
and transparency in the financial system, to end ``too big to fail'', 
to protect the American taxpayer by ending bailouts, to protect 
consumers from abusive financial services practices, and for other 
purposes; which was ordered to lie on the table; as follows:

       At the end of subtitle C of title I, add the following:

     SEC. 171. LIMITATIONS ON BANK AFFILIATIONS.

       (a) Limitation on Affiliation.--The Banking Act of 1933 (12 
     U.S.C. 221a et seq.) is amended by inserting before section 
     21 the following:
       ``Sec. 20.  Beginning 1 year after the date of enactment of 
     the Restoring American Financial Stability Act of 2010, no 
     member bank may be affiliated, in any manner described in 
     section 2(b), with any corporation, association, business 
     trust, or other similar organization that is engaged 
     principally in the issue, flotation, underwriting, public 
     sale, or distribution at wholesale or retail or through 
     syndicate participation stocks, bonds, debenture, notes, or 
     other securities, except that nothing in this section shall 
     apply to any such organization which shall have been placed 
     in formal liquidation and which shall transact no business, 
     except such as may be incidental to the liquidation of its 
     affairs.''.
       (b) Limitation on Compensation.--The Banking Act of 1933 
     (12 U.S.C. 221 et seq.) is amended by inserting after section 
     31 the following:
       ``Sec. 32.  Beginning 1 year after the date of enactment of 
     the Restoring American Financial Stability Act of 2010, no 
     officer, director, or employee of any corporation or 
     unincorporated association, no partner or employee of any 
     partnership, and no individual, primarily engaged in the 
     issue, flotation, underwriting, public sale, or distribution, 
     at wholesale or retail, or through syndicate participation, 
     of stocks, bonds, or other similar securities, shall serve 
     simultaneously as an officer, director, or employee of any 
     member bank, except in limited classes of cases in which the 
     Board of Governors of the Federal Reserve System may allow 
     such service by general regulations when, in the judgment of 
     the Board of Governors, it would not unduly influence the 
     investment policies of such member bank or the advice given 
     to customers by the member bank regarding investments.''.
       (c) Prohibiting Depository Institutions From Engaging in 
     Insurance-Related Activities.--
       (1) In general.--Beginning 1 year after the date of 
     enactment of this Act, and notwithstanding any other 
     provision of law, in no case may a depository institution 
     engage in the business of insurance or any insurance-related 
     activity.
       (2) Definition.--As used in this section, the term 
     ``business of insurance'' means the writing of insurance or 
     the reinsuring of risks by an insurer, including all acts 
     necessary to such writing or reinsuring and the activities 
     relating to the writing of insurance or the reinsuring of 
     risks conducted by persons who act as, or are, officers, 
     directors, agents, or employees of insurers or who are other 
     persons authorized to act on behalf of such persons.
                                 ______
                                 
  SA 3885. Mrs. HUTCHISON submitted an amendment intended to be 
proposed to amendment SA 3739 proposed by Mr. Reid (for Mr. Dodd (for 
himself and Mrs. Lincoln)) to the bill S. 3217, to promote the 
financial stability of the United States by improving accountability 
and transparency in the financial system, to end ``too big to fail'', 
to protect the American taxpayer by ending bailouts, to protect 
consumers from abusive financial services practices, and for other 
purposes; which was ordered to lie on the table; as follows:

       On page 370, strike lines 11 through 13 and insert the 
     following:
       (b) Effective Date.--This section, and the amendments made 
     by this section, shall take effect on the transfer date.

     SEC. 333. STUDY ON THE IMPACT OF EXCLUDING CORE DEPOSITS FROM 
                   TREATMENT AS BROKERED DEPOSITS.

       (a) Study.--The Board of Governors shall conduct a study to 
     evaluate--
       (1) the treatment of core deposits as brokered deposits for 
     the purpose of calculating the insurance premiums of banks;
       (2) the potential impact on the Deposit Insurance Fund of 
     ceasing to treat core deposits as brokered deposits;
       (3) an assessment of the merits and drawbacks of the 
     treatment of core deposits as brokered deposits, with respect 
     to the economy and banking sector of the United States;
       (4) the potential stimulative effect on local economies of 
     excluding core deposits from treatment as brokered deposits; 
     and
       (5) the competitive parity between large institutions and 
     community banks that

[[Page S3375]]

     could result from excluding core deposits from treatment as 
     brokered deposits.
       (b) Report to Congress.--Not later than 1 year after the 
     date of enactment of this Act, the Board of Governors shall 
     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 on the results of 
     the study under subsection (a) that includes legislative 
     recommendations, if any, to address competitive imbalances as 
     a result of the treatment of core deposits as brokered 
     deposits.
                                 ______
                                 
  SA 3886. Mr. ROCKEFELLER (for himself and Mr. Byrd) submitted an 
amendment intended to be proposed to amendment SA 3739 proposed by Mr. 
Reid (for Mr. Dodd (for himself and Mrs. Lincoln)) to the bill S. 3217, 
to promote the financial stability of the United States by improving 
accountability and transparency in the financial system, to end ``too 
big to fail'', to protect the American taxpayer by ending bailouts, to 
protect consumers from abusive financial services practices, and for 
other purposes; which was ordered to lie on the table; as follows:

       At the end of subtitle A of title IX, add the following:

     SEC. 919C. REPORTING REQUIREMENTS REGARDING COAL OR OTHER 
                   MINE SAFETY.

       (a) Reporting Mine Safety Information.--Each issuer that is 
     required to file reports pursuant to section 13(a) or 15(d) 
     of the Securities Exchange Act of 1934 (15 U.S.C. 78m, 78o) 
     and that is an operator, or that has a subsidiary that is an 
     operator, of a coal or other mine shall include, in each 
     periodic report filed with the Commission under the 
     securities laws on or after the date of enactment of this 
     Act, the following information for the time period covered by 
     such report:
       (1) For each coal or other mine of which the issuer or a 
     subsidiary of the issuer is an operator--
       (A) the total number of violations of mandatory health or 
     safety standards that could significantly and substantially 
     contribute to the cause and effect of a coal or other mine 
     safety or health hazard under section 104 of the Federal Mine 
     Safety and Health Act of 1977 (30 U.S.C. 814) for which the 
     operator received a citation from the Mine Safety and Health 
     Administration;
       (B) the total number of orders issued under section 104(b) 
     of such Act (30 U.S.C. 814(b));
       (C) the total number of citations and orders for 
     unwarrantable failure of the mine operator to comply with 
     mandatory health or safety standards under section 104(d) of 
     such Act (30 U.S.C. 814(d));
       (D) the total number of flagrant violations under section 
     110(b) of such Act (30 U.S.C. 820(b));
       (E) the total number of imminent danger orders issued under 
     section 107(a) of such Act (30 U.S.C. 817(a)); and
       (F) the total dollar value of proposed assessments from the 
     Mine Safety and Health Administration under such Act (30 
     U.S.C. 801 et seq.).
       (2) A list of such coal or other mines that receive written 
     notice from the Mine Safety and Health Administration of--
       (A) a pattern of violations of mandatory health or safety 
     standards that are of such nature as could have significantly 
     and substantially contributed to the cause and effect of coal 
     or other mine health or safety hazards under section 104(e) 
     of such Act (30 U.S.C. 814(e)); or
       (B) the potential to have such a pattern.
       (3) Any pending legal action before the Federal Mine Safety 
     and Health Review Commission involving such coal or other 
     mine.
       (b) Reporting Shutdowns and Patterns of Violations.--
     Beginning on and after the date of enactment of this Act, 
     each issuer that is an operator, or that has a subsidiary 
     that is an operator, of a coal or other mine shall file a 
     current report on Form 8-K (or any successor form), as 
     required by the Commission, disclosing the following 
     regarding each coal or other mine of which the issuer or 
     subsidiary is an operator:
       (1) The receipt of an imminent danger order issued under 
     section 107(a) of the Federal Mine Safety and Health Act of 
     1977 (30 U.S.C. 817(a)).
       (2) The receipt of written notice from the Mine Safety and 
     Health Administration that the coal or other mine has--
       (A) a pattern of violations of mandatory health or safety 
     standards that are of such nature as could have significantly 
     and substantially contributed to the cause and effect of coal 
     or other mine health or safety hazards under section 104(e) 
     of such Act (30 U.S.C. 814(e)); or
       (B) the potential to have such a pattern.
       (c) Rule of Construction.--Nothing in this section shall be 
     construed to affect any obligation of a person to make a 
     disclosure under any other applicable law in effect before, 
     on, or after the date of enactment of this Act.
       (d) Commission Authority.--
       (1) Enforcement.--A violation by any person of this 
     section, or any rule or regulation of the Commission issued 
     under this section, shall be treated for all purposes in the 
     same manner as a violation of the Securities Exchange Act of 
     1934 (15 U.S.C. 78a et seq.) or the rules and regulations 
     issued thereunder, consistent with the provisions of this 
     section, and any such person shall be subject to the same 
     penalties, and to the same extent, as for a violation of such 
     Act or such rules or regulations.
       (2) Rules and regulations.--The Commission is authorized to 
     issue such rules or regulations as are necessary or 
     appropriate for the protection of investors and to carry out 
     the purposes of this section.
       (e) Definitions.--In this section--
       (1) the terms ``issuer'' and ``securities laws'' have the 
     meaning given the terms in section 3 of the Securities 
     Exchange Act of 1934 (15 U.S.C. 78c);
       (2) the term ``coal or other mine'' means a coal or other 
     mine, as defined in section 3 of the Federal Mine Safety and 
     Health Act of 1977 (30 U.S.C. 802), that is subject to the 
     provisions of such Act (30 U.S.C. 801 et seq.); and
       (3) the term ``operator'' has the meaning given the term in 
     section 3 of the Federal Mine Safety and Health Act of 1977 
     (30 U.S.C. 802).
                                 ______
                                 
  SA 3887. Mr. CARPER (for himself, Mr. Ensign, Mr. Gregg, Mr. Corker, 
and Mr. Johanns) submitted an amendment intended to be proposed to 
amendment SA 3739 proposed by Mr. Reid (for Mr. Dodd (for himself and 
Mrs. Lincoln)) to the bill S. 3217, to promote the financial stability 
of the United States by improving accountability and transparency in 
the financial system, to end ``too big to fail'', to protect the 
American taxpayer by ending bailouts, to protect consumers from abusive 
financial services practices, and for other purposes; which was ordered 
to lie on the table; as follows:

       On page 1089, strike line 6 and all that follows through 
     ``SEC. 973.''
                                 ______
                                 
  SA 3888. Mr. INHOFE submitted an amendment intended to be proposed to 
amendment SA 3217 submitted by Mrs. Feinstein and intended to be 
proposed to the amendment SA 2786 proposed by Mr. Reid (for himself, 
Mr.Baucus, Mr. Dodd, and Mr. Harkin) to the bill H.R. 3590, entitled 
The Patient Protection and Affordable Care Act; which was ordered to 
lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. __. DELAY OF IMPLEMENTATION.

       (a) In General.--Notwithstanding any other provision of 
     law, the Administrator of the Environmental Protection Agency 
     shall delay the implementation of the final rule entitled 
     ``Lead; Renovation, Repair, and Painting Program; Lead Hazard 
     Information Pamphlet; Notice of Availability; Final Rule'' 
     (73 Fed. Reg. 21692 (April 22, 2008)), and the final rule 
     entitled ``Lead; Amendment to the Opt-out and Recordkeeping 
     Provisions in the Renovation, Repair, and Painting Program'', 
     signed by the Administrator on April 22, 2010, in each State 
     until such time as accredited certified renovator classes 
     have been held in the State, for a period of at least 1 year, 
     to train contractors in practices necessary for compliance 
     with the final rules, as determined by the Administrator.
       (b) Notification.--The Administrator shall--
       (1) monitor each State to determine when classes described 
     in subsection (a) are offered in the State; and
       (2) provide to each Member of Congress representing the 
     State a notification describing--
       (A) the location and time of each such class held in the 
     State; and
       (B) the date on which the classes have been held for the 1-
     year period described in subsection (a).
                                 ______
                                 
  SA 3889. Mr. AKAKA (for himself, Mr. Menendez, and Mr. Durbin) 
submitted an amendment intended to be proposed to amendment SA 3739 
proposed by Mr. Reid (for Mr. Dodd (for himself and Mrs. Lincoln)) to 
the bill S. 3217, to promote the financial stability of the United 
States by improving accountability and transparency in the financial 
system, to end ``too big to fail'', to protect the American taxpayer by 
ending bailouts, to protect consumers from abusive financial services 
practices, and for other purposes; which was ordered to lie on the 
table; as follows:

       On page 942, strike line 10 and all that follows through 
     page 951, line 13, and insert the following:

     SEC. 913. ESTABLISHMENT OF A FIDUCIARY DUTY FOR BROKERS, 
                   DEALERS, AND INVESTMENT ADVISERS, AND 
                   HARMONIZATION OF REGULATION.

       (a) In General.--
       (1) Securities exchange act of 1934.--Section 15 of the 
     Securities Exchange Act of 1934 (15 U.S.C. 78o), as amended 
     by this Act, is amended--
       (A) by redesignating subsection (i) (relating to security-
     based swap agreements), as added by section 303(f) of the 
     Commodity Futures Modernization Act of 2000 (Public Law 106-
     554; 114 Stat. 2763A-455), as subsection (j); and
       (B) by adding at the end the following:
       ``(m) Standard of Conduct.--

[[Page S3376]]

       ``(1) In general.--Notwithstanding any other provision of 
     this Act or the Investment Advisers Act of 1940, the 
     Commission shall promulgate rules to provide that, with 
     respect to a broker or dealer, when providing personalized 
     investment advice about securities to a retail customer (and 
     such other customers as the Commission may by rule provide), 
     the standard of conduct for such broker or dealer with 
     respect to such customer shall be the same as the standard of 
     conduct applicable to an investment adviser under section 211 
     of the Investment Advisers Act of 1940. The receipt of 
     compensation based on commission or other standard 
     compensation for the sale of securities shall not, in and of 
     itself, be considered a violation of such standard applied to 
     a broker or dealer. Nothing in this section shall require a 
     broker or dealer or registered representative to have a 
     continuing duty of care or loyalty to the customer after 
     providing personalized investment advice about securities.
       ``(2) Disclosure of range of products offered.--Where a 
     broker or dealer sells only proprietary or other limited 
     range of products, as determined by the Commission, the 
     Commission shall by rule require that such broker or dealer 
     provide notice to each retail customer and obtain the consent 
     or acknowledgment of the customer. The sale of only 
     proprietary or other limited range of products by a broker or 
     dealer shall not, in and of itself, be considered a violation 
     of the standard set forth in paragraph (1).
       ``(3) Retail customer defined.--For purposes of this 
     subsection, the term `retail customer' means a natural 
     person, or the legal representative of such natural person, 
     who--
       ``(A) receives personalized investment advice about 
     securities from a broker or dealer; and
       ``(B) uses such advice primarily for personal, family, or 
     household purposes.
       ``(n) Other Matters.--The Commission shall--
       ``(1) facilitate the provision of simple and clear 
     disclosures to investors regarding the terms of their 
     relationships with brokers, dealers, and investment advisers, 
     including any material conflicts of interest; and
       ``(2) examine and, where appropriate, promulgate rules 
     prohibiting or restricting certain sales practices, conflicts 
     of interest, and compensation schemes for brokers, dealers, 
     and investment advisers that the Commission deems contrary to 
     the public interest and the protection of investors.''.
       (2) Investment advisers act of 1940.--Section 211 of the 
     Investment Advisers Act of 1940 is amended by adding at the 
     end the following new subsections:
       ``(f) Standard of Conduct.--
       ``(1) In general.--The Commission shall promulgate rules to 
     provide that the standard of conduct for all brokers, 
     dealers, and investment advisers, when providing personalized 
     investment advice about securities to retail customers (and 
     such other customers as the Commission may by rule provide), 
     shall be to act in the best interest of the customer without 
     regard to the financial or other interest of the broker, 
     dealer, or investment adviser providing the advice. In 
     accordance with such rules, any material conflicts of 
     interest shall be disclosed and may be consented to by the 
     customer. Such rules shall provide that such standard of 
     conduct shall be no less stringent than the standard 
     applicable to investment advisers under paragraph (1) and (2) 
     of section 206 of this Act when providing personalized 
     investment advice about securities, except the Commission 
     shall not ascribe a meaning to the term `customer' that would 
     include an investor in a private fund managed by an 
     investment adviser, where such private fund has entered into 
     an advisory contract with such adviser. The receipt of 
     compensation based on commission or fees shall not, in and of 
     itself, be considered a violation of such standard applied to 
     a broker, dealer, or investment adviser.
       ``(2) Retail customer defined.--For purposes of this 
     subsection, the term `retail customer' means a natural 
     person, or the legal representative of such natural person, 
     who--
       ``(A) receives personalized investment advice about 
     securities from a broker, dealer, or investment adviser; and
       ``(B) uses such advice primarily for personal, family, or 
     household purposes.
       ``(g) Other Matters.--The Commission shall--
       ``(1) facilitate the provision of simple and clear 
     disclosures to investors regarding the terms of their 
     relationships with brokers, dealers, and investment advisers, 
     including any material conflicts of interest; and
       ``(2) examine and, where appropriate, promulgate rules 
     prohibiting or restricting certain sales practices, conflicts 
     of interest, and compensation schemes for brokers, dealers, 
     and investment advisers that the Commission deems contrary to 
     the public interest and the protection of investors.''.
       (b) Harmonization of Enforcement.--
       (1) Securities exchange act of 1934.--Section 15 of the 
     Securities Exchange Act of 1934, as amended by subsection 
     (a)(1), is further amended by adding at the end the following 
     new subsection:
       ``(m) Harmonization of Enforcement.--The enforcement 
     authority of the Commission with respect to violations of the 
     standard of conduct applicable to a broker or dealer 
     providing personalized investment advice about securities to 
     a retail customer shall include--
       ``(1) the enforcement authority of the Commission with 
     respect to such violations provided under this Act; and
       ``(2) the enforcement authority of the Commission with 
     respect to violations of the standard of conduct applicable 
     to an investment advisor under the Investment Advisers Act of 
     1940, including the authority to impose sanctions for such 
     violations, and

     the Commission shall seek to prosecute and sanction violators 
     of the standard of conduct applicable to a broker or dealer 
     providing personalized investment advice about securities to 
     a retail customer under this Act to same extent as the 
     Commission prosecutes and sanctions violators of the standard 
     of conduct applicable to an investment advisor under the 
     Investment Advisers Act of 1940.''.
       (2) Investment advisers act of 1940.--Section 211 of the 
     Investment Advisers Act of 1940, as amended by subsection 
     (a)(2), is further amended by adding at the end the following 
     new subsection:
       ``(h) Harmonization of Enforcement.--The enforcement 
     authority of the Commission with respect to violations of the 
     standard of conduct applicable to an investment adviser shall 
     include--
       ``(1) the enforcement authority of the Commission with 
     respect to such violations provided under this Act; and
       ``(2) the enforcement authority of the Commission with 
     respect to violations of the standard of conduct applicable 
     to a broker or dealer providing personalized investment 
     advice about securities to a retail customer under the 
     Securities Exchange Act of 1934, including the authority to 
     impose sanctions for such violations, and

     the Commission shall seek to prosecute and sanction violators 
     of the standard of conduct applicable to an investment 
     advisor under this Act to same extent as the Commission 
     prosecutes and sanctions violators of the standard of conduct 
     applicable to a broker or dealer providing personalized 
     investment advice about securities to a retail customer under 
     the Securities Exchange Act of 1934.''.
                                 ______
                                 
  SA 3890. Mr. BAYH (for himself and Mr. Merkley), submitted an 
amendment intended to be proposed to amendment SA 3739 proposed by Mr. 
Reid (for Mr. Dodd (for himself and Mrs. Lincoln)) to the bill S. 3217, 
to promote the financial stability of the United States by improving 
accountability and transparency in the financial system, to end ``too 
big to fail'', to protect the American taxpayer by ending bailouts, to 
protect consumers from abusive financial services practices, and for 
other purposes; which was ordered to lie on the table; as follows:

       On page 61, after line 24, insert the following:

     SEC. 122. INTERNATIONAL REGULATORY COORDINATION FOR THE 
                   REGULATION AND RESOLUTION OF FINANCIAL 
                   INSTITUTIONS.

       (a) Definitions.--As used in this section--
       (1) Secretary.--The term ``Secretary'' means the Secretary 
     of the Treasury.
       (2) Large, complex financial institution.--The term 
     ``large, complex financial institution'' means a bank holding 
     company or company treated as a bank holding company for the 
     purposes of the section 8 of the International Banking Act of 
     1978 (12 U.S.C. 3106), a company subject to supervision of 
     the Board of Governors under section 113, or such other 
     financial company as the Council may determine, which has the 
     potential to threaten the financial stability of the United 
     States owing to the size or interconnectedness of the 
     institution across more than 1 national jurisdiction.
       (3) Multilateral financial forums.--The term ``multilateral 
     financial forums'' means the International Monetary Fund, the 
     G20, the Financial Stability Board, the Bank for 
     International Settlement (including the Basel Committee on 
     Bank Supervision), the International Organization of 
     Securities Commissions, the International Association of 
     Insurance Supervisors, the International Association of 
     Deposit Insurers, the International Accounting Standard 
     Board, and other relevant institutions and committees as the 
     Council may determine.
       (b) Biannual Reports.--
       (1) Reports.--Not later than January 30, 2011, and 
     biannually thereafter, the Council shall submit public 
     reports to the Committee on Banking, Housing, and Urban 
     Affairs of the Senate and the Committee on Financial Services 
     of the House of Representatives on the status of and 
     participation of the United States in international 
     coordination of financial services regulation and supervision 
     efforts at multilateral financial forums.
       (2) Testimony.--At the request of the Committee on Banking, 
     Housing, and Urban Affairs of the Senate or the Committee on 
     Financial Services of the House of Representatives, the 
     Secretary and representatives of the relevant regulatory 
     agencies charged with international coordination matters, 
     including the agencies charged with the coordination of 
     capital and resolution matters and markets oversight, shall 
     appear before the committee to provide testimony on the 
     reports submitted under paragraph (1).
       (c) Contents of Report.--Each report submitted under 
     subsection (b) shall contain--
       (1) an update on the status of and participation of the 
     United States in international coordination efforts at the 
     multilateral financial forums to set minimum standards for 
     the regulation and supervision of financial services 
     regulation, in particular with

[[Page S3377]]

     respect to large, complex financial institutions, including--
       (A) standards on financial firms, including, as relevant--
       (i) capital and leverage requirements;
       (ii) liquidity requirements;
       (iii) consumer protection;
       (iv) resolution plans;
       (v) contingent capital;
       (vi) credit exposure requirements;
       (vii) activity limits;
       (viii) concentration limits;
       (ix) size limits;
       (x) public disclosure;
       (xi) market transparency;
       (xii) executive compensation;
       (xiii) risk management; and
       (xiv) any other relevant regulatory areas affecting 
     banking, securities, derivatives, insurance, and other 
     financial services;
       (B) standards on financial markets, including--
       (i) credit and lending markets;
       (ii) securities and derivatives markets;
       (iii) insurance markets; and
       (iv) any other financial service markets, including 
     ensuring the necessary public transparency, integrity, and 
     stability;
       (C) standards on the supervision of financial firms and 
     markets, including ensuring national and international 
     regulators have--
       (i) adequate access to real-time information;
       (ii) engaged in adequate coordination with international 
     counterparts; and
       (iii) made adequate preparation for crisis management; and
       (D) an evaluation of--
       (i) any gaps in the international coordination of 
     regulation and supervision of financial services; and
       (ii) whether international coordination adequately permits 
     individual countries to employ a diversity of regulatory 
     approaches in practice without permitting regulatory 
     arbitrage or other pressures to relax necessary protections;
       (2) an update on the status of and participation of the 
     United States in international coordination efforts at the 
     multilateral financial forums to develop adequate cross-
     border bankruptcy and resolution regimes, specifically for 
     large, complex financial institutions, including the 
     development and maintenance of--
       (A) legal regimes at the national and international level 
     that--
       (i) enforce market discipline;
       (ii) deter explicit or implicit reliance on the public 
     treasury; and
       (iii) equitably share burdens in restructuring credit 
     across 1 or more bankruptcy or resolution regimes;
       (B) information systems and regulator coordination, 
     including--
       (i) maps of global exposures and cross-exposures emanating 
     from large complex financial institutions;
       (ii) charts of the legal structure and regulatory regimes 
     governing various subsidiaries and affiliates of large 
     complex financial institutions; and
       (iii) contingency plans for communication and real-time 
     crisis management with respect to the possible failure of 
     each relevant key large complex financial institution; and
       (C) information systems to--
       (i) detect and promptly respond to the insolvency or 
     illiquidity of 1 or more foreign or United States large 
     complex financial institutions or markets; and
       (ii) mitigate the direct and indirect risks to the economy 
     of the United States from the failure of the institution or 
     market;
       (3) the dissenting or divergent views of any members of the 
     Council; and
       (4) any other updates the Council determines is 
     appropriate.
       (d) Congressional Consultation.--
       (1) In general.--In addition to any other consultation 
     required by law, before initiating negotiations to enter into 
     any international agreement on financial regulation, 
     supervision, or resolution, and from time to time during such 
     negotiations, the Secretary and representatives of the 
     relevant regulatory agencies shall consult with the Committee 
     on Banking, Housing, and Urban Affairs of the Senate and the 
     Committee on Financial Services of the House of 
     Representatives.
       (2) Scope.--The consultation described in paragraph (1) 
     shall include consultation with respect to--
       (A) the nature of the agreement;
       (B) how and to what extent the agreement will achieve the 
     applicable purposes, policies, priorities, and objectives of 
     financial, fiscal, and economic stability in the United 
     States; and
       (C) the implementation of the agreement, including any 
     effect the agreement may have on existing Federal or State 
     laws.
       (e) Study on International Coordination and Diversity.--Not 
     later than September 30, 2011, the Council shall submit a 
     report to Congress, including any dissenting or divergent 
     views of any members of the Council, regarding risks to the 
     financial, fiscal, and economic stability of the United 
     States presented by foreign or United States large complex 
     financial institutions.
                                 ______
                                 
  SA 3891. Mr. CASEY (for himself, Mrs. Gillibrand, and Mr. Schumer) 
submitted an amendment intended to be proposed by him to the bill S. 
3217, to promote the financial stability of the United States by 
improving accountability and transparency in the financial system, to 
end ``too big to fail'', to protect the American taxpayer by ending 
bailouts, to protect consumers from abusive financial services 
practices, and for other purposes; which was ordered to lie on the 
table; as follows:

       At the end of subtitle G of title X appropriate place, 
     insert the following:

     SEC. 1078. EMERGENCY MORTGAGE RELIEF.

       (a) Use of TARP Funds.--Using the authority available under 
     sections 101(a) and 115(a) of division A of the Emergency 
     Economic Stabilization Act of 2008 (12 U.S.C. 5211(a), 
     5225(a)), the Secretary of the Treasury shall transfer to the 
     Secretary of Housing and Urban Development $3,000,000,000, 
     and the Secretary of Housing and Urban Development shall 
     credit such amount to the Emergency Homeowners' Relief Fund, 
     which such Secretary shall establish pursuant to section 107 
     of the Emergency Housing Act of 1975 (12 U.S.C. 2706), as 
     such Act is amended by this section, for use for emergency 
     mortgage assistance in accordance with title I of such Act.
       (b) Reauthorization of Emergency Mortgage Relief Program.--
     Title I of the Emergency Housing Act of 1975 is amended--
       (1) in section 103 (12 U.S.C. 2702)--
       (A) in paragraph (2)--
       (i) by striking ``have indicated'' and all that follows 
     through ``regulation of the holder'' and inserting ``have 
     certified'';
       (ii) by striking ``(such as the volume of delinquent loans 
     in its portfolio)''; and
       (iii) by striking ``, except that such statement'' and all 
     that follows through ``purposes of this title''; and
       (B) in paragraph (4), by inserting ``or medical 
     conditions'' after ``adverse economic conditions'';
       (2) in section 104 (12 U.S.C. 2703)--
       (A) in subsection (b), by striking ``, but such 
     assistance'' and all that follows through the period at the 
     end and inserting the following: ``. The amount of assistance 
     provided to a homeowner under this title shall be an amount 
     that the Secretary determines is reasonably necessary to 
     supplement such amount as the homeowner is capable of 
     contributing toward such mortgage payment, except that the 
     aggregate amount of such assistance provided for any 
     homeowner shall not exceed $50,000.'';
       (B) in subsection (d), by striking ``interest on a loan or 
     advance''and all that follows through the end of the 
     subsection and inserting the following: ``(1) the rate of 
     interest on any loan or advance of credit insured under this 
     title shall be fixed for the life of the loan or advance of 
     credit and shall not exceed the rate of interest that is 
     generally charged for mortgages on single-family housing 
     insured by the Secretary of Housing and Urban Development 
     under title II of the National Housing Act at the time such 
     loan or advance of credit is made, and (2) no interest shall 
     be charged on interest which is deferred on a loan or advance 
     of credit made under this title. In establishing rates, terms 
     and conditions for loans or advances of credit made under 
     this title, the Secretary shall take into account a 
     homeowner's ability to repay such loan or advance of 
     credit.''; and
       (C) in subsection (e), by inserting after the period at the 
     end of the first sentence the following: ``Any eligible 
     homeowner who receives a grant or an advance of credit under 
     this title may repay the loan in full, without penalty, by 
     lump sum or by installment payments at any time before the 
     loan becomes due and payable.'';
       (3) in section 105 (12 U.S.C. 2704)--
       (A) by striking subsection (b);
       (B) in subsection (e)--
       (i) by inserting ``and emergency mortgage relief payments 
     made under section 106'' after ``insured under this 
     section''; and
       (ii) by striking ``$1,500,000,000 at any one time'' and 
     inserting ``$3,000,000,000'';
       (C) by redesignating subsections (c), (d), and (e) as 
     subsections (b), (c), and (d), respectively; and
       (D) by adding at the end the following new subsection:
       ``(e) The Secretary shall establish underwriting guidelines 
     or procedures to allocate amounts made available for loans 
     and advances insured under this section and for emergency 
     relief payments made under section 106 based on the 
     likelihood that a mortgagor will be able to resume mortgage 
     payments, pursuant to the requirement under section 
     103(5).'';
       (4) in section 107--
       (A) by striking ``(a)''; and
       (B) by striking subsection (b);
       (5) in section 108 (12 U.S.C. 2707), by adding at the end 
     the following new subsection:
       ``(d) Coverage of Existing Programs.--The Secretary shall 
     allow funds to be administered by a State that has an 
     existing program that is determined by the Secretary to 
     provide substantially similar assistance to homeowners. After 
     such determination is made such State shall not be required 
     to modify such program to comply with the provisions of this 
     title.'';
       (6) in section 109 (12 U.S.C. 2708)--
       (A) in the section heading, by striking ``authorization 
     and'';
       (B) by striking subsection (a);
       (C) by striking ``(b)''; and
       (D) by striking ``1977'' and inserting ``2011'';
       (7) by striking sections 110, 111, and 113 (12 U.S.C. 2709, 
     2710, 2712); and
       (8) by redesignating section 112 (12 U.S.C. 2711) as 
     section 110.

[[Page S3378]]

     SEC. 1079. ADDITIONAL ASSISTANCE FOR NEIGHBORHOOD 
                   STABILIZATION PROGRAM.

       Using the authority made available under sections 101(a) 
     and 115(a) of division A of the Emergency Economic 
     Stabilization Act of 2008 (12 U.S.C. 5211(a), 5225(a)), the 
     Secretary of the Treasury shall transfer to the Secretary of 
     Housing and Urban Development $1,000,000,000, and the 
     Secretary of Housing and Urban Development shall use such 
     amounts for assistance to States and units of general local 
     government for the redevelopment of abandoned and foreclosed 
     homes, in accordance with the same provisions applicable 
     under the second undesignated paragraph under the heading 
     ``Community Planning and Development--Community Development 
     Fund'' in title XII of division A of the American Recovery 
     and Reinvestment Act of 2009 (Public Law 111-5; 123 Stat. 
     217) to amounts made available under such second undesignated 
     paragraph, except as follows:
       (1) Notwithstanding the matter of such second undesignated 
     paragraph that precedes the first proviso, amounts made 
     available by this section shall remain available until 
     expended.
       (2) The 3rd, 4th, 5th, 6th, 7th, and 15th provisos of such 
     second undesignated paragraph shall not apply to amounts made 
     available by this section.
       (3) Amounts made available by this section shall be 
     allocated based on a funding formula for such amounts 
     established by the Secretary in accordance with section 
     2301(b) of the Housing and Economic Recovery Act of 2008 (42 
     U.S.C. 5301 note), except that--
       (A) notwithstanding paragraph (2) of such section 2301(b), 
     the formula shall be established not later than 30 days after 
     the date of the enactment of this Act;
       (B) the Secretary may not establish any minimum grant 
     amount or size for grants to States;
       (C) the Secretary may establish a minimum grant amount for 
     direct allocations to units of general local government 
     located within a State, which shall not exceed $1,000,000; 
     and
       (D) each State and local government receiving grant amounts 
     shall establish procedures to create preferences for the 
     development of affordable rental housing for properties 
     assisted with amounts made available by this section.
       (4) Paragraph (1) of section 2301(c) of the Housing and 
     Economic Recovery Act of 2008 shall not apply to amounts made 
     available by this section.
       (5) Section 2302 of the Housing and Economic Recovery Act 
     of 2008 shall not apply to amounts made available by this 
     section.
       (6) The fourth proviso from the end of such second 
     undesignated paragraph shall be applied to amounts made 
     available by this section by substituting ``2013'' for 
     ``2012''.
       (7) Notwithstanding section 2301(a) of the Housing and 
     Economic Recovery Act of 2008, the term ``State'' means any 
     State of the United States, the District of Columbia, the 
     Commonwealth of Puerto Rico, the Commonwealth of the Northern 
     Mariana Islands, Guam, the Virgin Islands, American Samoa, 
     and other territory or possession of the United States for 
     purposes of this section and title III of division B of such 
     Act, as applied to amounts made available by this section.
       (8)(A) None of the amounts made available by this section 
     shall be distributed to--
       (i) any organization which has been convicted for a 
     violation under Federal law relating to an election for 
     Federal office; or
       (ii) any organization which employs applicable individuals.
       (B) In this paragraph, the term ``applicable individual'' 
     means an individual who--
       (i) is--
       (I) employed by the organization in a permanent or 
     temporary capacity;
       (II) contracted or retained by the organization; or
       (III) acting on behalf of, or with the express or apparent 
     authority of, the organization; and
       (ii) has been convicted for a violation under Federal law 
     relating to an election for Federal office.
                                 ______
                                 
  SA 3892. Mr. BINGAMAN (for himself, Ms. Murkowski, Mr. Reid, Mr. 
Brownback, Ms. Cantwell, Mr. Cornyn, Mr. Wyden, and Mr. Corker) 
submitted an amendment intended to be proposed to amendment SA 3739 
proposed by Mr. Reid (for Mr. Dodd (for himself and Mrs. Lincoln)) to 
the bill S. 3217, to promote the financial stability of the United 
States by improving accountability and transparency in the financial 
system, to end ``too big to fail'', to protect the American taxpayer by 
ending bailouts, to protect consumers from abusive financial services 
practices, and for other purposes; which was ordered to lie on the 
table; as follows:

       On page 565, between lines 2 and 3, insert the following:
       (e) Just and Reasonable Rates.--Section 2(a)(1)(C) of the 
     Commodity Exchange Act (7 U.S.C. 2(a)(1)(C)) (as amended by 
     section 717(a)) is amended by adding at the end the 
     following:
       ``(vi) Notwithstanding the exclusive jurisdiction of the 
     Commission with respect to accounts, agreements, and 
     transactions involving swaps or contracts of sale of a 
     commodity for future delivery under this Act, no provision of 
     this Act shall be construed--

       ``(I) to supersede or limit the authority of the Federal 
     Energy Regulatory Commission under the Federal Power Act (16 
     U.S.C. 791a et seq.) or the Natural Gas Act (15 U.S.C. 717 et 
     seq.); or
       ``(II) to restrict the Federal Energy Regulatory Commission 
     from carrying out the duties and responsibilities of the 
     Federal Energy Regulatory Commission to ensure just and 
     reasonable rates and protect the public interest under the 
     Acts described in subclause (I).''.

       (f) Public Interest Waiver.--Section 4(c) of the Commodity 
     Exchange Act (7 U.S.C. 6(c)) (as amended by section 721(d)) 
     is amended by adding at the end the following:
       ``(6) If the Commission determines that the exemption would 
     be consistent with the public interest and the purposes of 
     this Act, the Commission shall, in accordance with paragraphs 
     (1) and (2), exempt from the requirements of this Act an 
     agreement, contract, or transaction that is entered into 
     pursuant to--
       ``(A) a tariff or rate schedule approved or permitted to 
     take effect by the Federal Energy Regulatory Commission; or
       ``(B) a tariff or rate schedule establishing rates or 
     charges for the sale of electric energy approved or permitted 
     to take effect by the regulatory body of the State or 
     municipality having jurisdiction to regulate rates and 
     charges for the sale of electric energy to consumers within 
     the State or municipality.''.
                                 ______
                                 
  SA 3893. Mr. CORNYN submitted an amendment intended to be proposed to 
amendment SA 3739 proposed by Mr. Reid (for Mr. Dodd (for himself and 
Mrs. Lincoln)) to the bill S. 3217, to promote the financial stability 
of the United States by improving accountability and transparency in 
the financial system, to end ``too big to fail'', to protect the 
American taxpayer by ending bailouts, to protect consumers from abusive 
financial services practices, and for other purposes; which was ordered 
to lie on the table; as follows:

       On page 1304, line 11, strike ``person--'' and insert 
     ``covered person--''.
       On page 1305, line 2, strike ``practice,'' and insert 
     ``practice that violates this title or applicable rules or 
     orders issued by the Bureau,''.
       On page 1310, between lines 16 and 17, insert the 
     following:
       (3) Fee structure.--
       (A) In general.--Neither an attorney general of a State nor 
     a State regulator may enter into a contingency fee agreement 
     for legal services relating to a civil action or other 
     proceeding under this section.
       (B) Definition.--For purposes of this paragraph, the term 
     ``contingency fee agreement'' means a contract or other 
     agreement to provide services under which the amount or the 
     payment of the fee for the services is contingent in whole or 
     in part on the outcome of the matter for which the services 
     were obtained.
                                 ______
                                 
  SA 3894. Mr. CORNYN submitted an amendment intended to be proposed to 
amendment SA 3739 proposed by Mr. Reid (for Mr. Dodd (for himself and 
Mrs. Lincoln)) to the bill S. 3217, to promote the financial stability 
of the United States by improving accountability and transparency in 
the financial system, to end ``too big to fail,'' to protect the 
American taxpayer by ending bailouts, to protect consumers from abusive 
financial services practices, and for other purposes; which was ordered 
to lie on the table; as follows:

       On page 976, strike line 7 and all that follows through 
     page 977, line 17.
       On page 1290, strike line 5 and all that follows through 
     page 1291, line 9.
       On page 1371, strike line 15 and all that follows through 
     page 1372, line 2.
                                 ______
                                 
  SA 3895. Mr. CORNYN submitted an amendment intended to be proposed to 
him to the bill S. 3217, to promote the financial stability of the 
United States by improving accountability and transparency in the 
financial system, to end ``too big to fail'', to protect the American 
taxpayer by ending bailouts, to protect consumers from abusive 
financial services practices, and for other purposes; which was ordered 
to lie on the table; as follows:

       At the end of subtitle A of title IX, add the following:

     SEC. 919C. SECURITIES LITIGATION ATTORNEY ACCOUNTABILITY AND 
                   TRANSPARENCY.

       (a) Disclosures of Payments, Fee Arrangements, 
     Contributions, and Other Potential Conflicts of Interest 
     Between Plaintiff and Attorneys.--
       (1) Securities exchange act of 1934.--Section 21D(a) of the 
     Securities Exchange Act of 1934 (15 U.S.C. 78u-4(a)) is 
     amended by adding at the end the following new paragraphs:
       ``(10) Disclosures regarding payments.--
       ``(A) Sworn certifications required.--In any private action 
     arising under this title, each plaintiff and any attorney for 
     such

[[Page S3379]]

     plaintiff shall provide sworn certifications, which shall be 
     personally signed by such plaintiff and such attorney, 
     respectively, and filed with the complaint, that identify any 
     direct or indirect payment, or promise of any payment, by 
     such attorney, or any person affiliated with such attorney, 
     to such plaintiff, or any person affiliated with such 
     plaintiff, beyond the plaintiff's pro rata share of any 
     recovery, except as ordered or approved by the court in 
     accordance with paragraph (4). Upon disclosure of any such 
     payment or promise of payment, the court shall disqualify the 
     attorney from representing the plaintiff.
       ``(B) Definition.--For purposes of this paragraph, the term 
     `payment' shall include the transfer of money and any other 
     thing of value, including the provision of services, other 
     than representation of the plaintiff in the private action 
     arising under this title.
       ``(11) Disclosures regarding legal representations.--In any 
     private action arising under this title, each plaintiff and 
     any attorney for such plaintiff shall provide sworn 
     certifications, which shall be personally signed by such 
     plaintiff and such attorney, respectively, and filed with the 
     complaint, that identifies the nature and terms of any legal 
     representation provided by such attorney, or any person 
     affiliated with such attorney, to such plaintiff, or any 
     person affiliated with such plaintiff other than the 
     representation of the plaintiff in the private action arising 
     under this title. The court may allow such certifications to 
     be made under seal. The court shall make a determination 
     whether the nature or terms of the fee arrangement for any 
     other matter influenced the selection and retention of 
     counsel in any private action arising under this title and, 
     if the court so finds, shall disqualify the attorney from 
     representing the plaintiff in any such action.
       ``(12) Disclosures regarding contributions.--In any private 
     action arising under this title, each plaintiff and any 
     attorney for such plaintiff shall provide sworn 
     certifications, which shall be personally signed by such 
     plaintiff and such attorney, respectively, and filed with the 
     complaint, that identifies any contribution made within five 
     years prior to the filing of the complaint by such attorney, 
     any person affiliated with such attorney, or any political 
     action committee controlled by such attorney, to any elected 
     official with authority to retain counsel for such plaintiff 
     or to select or appoint, influence the selection or 
     appointment of, or oversee any individual or group of 
     individuals with that authority.
       ``(13) Disclosure regarding other conflicts of interest.--
     In any private action arising under this title, each 
     plaintiff and any attorney for such plaintiff shall provide 
     sworn certifications, which shall be personally signed by 
     such plaintiff and such attorney, respectively, and filed 
     with the complaint, that identifies any other conflict of 
     interest (other than one specified in paragraphs (10) through 
     (12)) between such attorney and such plaintiff. The court 
     shall make a determination of whether such conflict is 
     sufficient to disqualify the attorney from representing the 
     plaintiff.''.
       (2) Securities act of 1933.--Section 27(a) of the 
     Securities Act of 1933 (15 U.S.C. 77z-1(a)) is amended by 
     adding at the end the following new paragraph:
       ``(9) Disclosures regarding payments.--
       ``(A) Sworn certifications required.--In any private action 
     arising under this title, each plaintiff and any attorney for 
     such plaintiff shall provide sworn certifications, which 
     shall be personally signed by such plaintiff and such 
     attorney, respectively, and filed with the complaint, that 
     identify any direct or indirect payment, or promise of any 
     payment, by such attorney, or any person affiliated with such 
     attorney, to such plaintiff, or any person affiliated with 
     such plaintiff, beyond the plaintiff's pro rata share of any 
     recovery, except as ordered or approved by the court in 
     accordance with paragraph (4). Upon disclosure of any such 
     payment or promise of payment, the court shall disqualify the 
     attorney from representing the plaintiff.
       ``(B) Definition.--For purposes of this paragraph, the term 
     `payment' shall include the transfer of money and any other 
     thing of value, including the provision of services, other 
     than representation of the plaintiff in the private action 
     arising under this title.
       ``(10) Disclosures regarding legal representations.--In any 
     private action arising under this title, each plaintiff and 
     any attorney for such plaintiff shall provide sworn 
     certifications, which shall be personally signed by such 
     plaintiff and such attorney, respectively, and filed with the 
     complaint, that identifies the nature and terms of any legal 
     representation provided by such attorney, or any person 
     affiliated with such attorney, to such plaintiff, or any 
     person affiliated with such plaintiff other than the 
     representation of the plaintiff in the private action arising 
     under this title. The court may allow such certifications to 
     be made under seal. The court shall make a determination 
     whether the nature or terms of the fee arrangement for any 
     other matter influenced the selection and retention of 
     counsel in any private action arising under this title and, 
     if the court so finds, shall disqualify the attorney from 
     representing the plaintiff in any such action.
       ``(11) Disclosures regarding contributions.--In any private 
     action arising under this title, each plaintiff and any 
     attorney for such plaintiff shall provide sworn 
     certifications, which shall be personally signed by such 
     plaintiff and such attorney, respectively, and filed with the 
     complaint, that identifies any contribution made within five 
     years prior to the filing of the complaint by such attorney, 
     any person affiliated with such attorney, or any political 
     action committee controlled by such attorney, to any elected 
     official with authority to retain counsel for such plaintiff 
     or to select or appoint, influence the selection or 
     appointment of, or oversee any individual or group of 
     individuals with that authority.
       ``(12) Disclosure regarding other conflicts of interest.--
     In any private action arising under this title, each 
     plaintiff and any attorney for such plaintiff shall provide 
     sworn certifications, which shall be personally signed by 
     such plaintiff and such attorney, respectively, and filed 
     with the complaint, that identifies any other conflict of 
     interest (other than one specified in paragraphs (9) through 
     (11)) between such attorney and such plaintiff. The court 
     shall make a determination of whether such conflict is 
     sufficient to disqualify the attorney from representing the 
     plaintiff.''.
       (b) Selection of Lead Counsel.--
       (1) Securities exchange act of 1934.--Section 
     21D(a)(3)(B)(v) of the Securities Exchange Act of 1934 (15 
     U.S.C. 78u-4(a)(3)(B)(v)) is amended by adding at the end the 
     following: ``In exercising the discretion of the court over 
     the approval of lead counsel, the court may employ a 
     competitive bidding process as one of the criteria in the 
     selection and retention of counsel for the most adequate 
     plaintiff.''.
       (2) Securities act of 1933.--Section 27(a)(3)(B)(v) of the 
     Securities Act of 1933 (15 U.S.C. 77z-1(a)(3)(B)(v)) is 
     amended by adding at the end the following: ``In exercising 
     the discretion of the court over the approval of lead 
     counsel, the court may employ a competitive bidding process 
     as one of the criteria in the selection and retention of 
     counsel for the most adequate plaintiff.''.
       (c) Study of Average Hourly Fees in Securities Class 
     Actions.--
       (1) Study and review required.--The Comptroller General of 
     the United States shall conduct a study and review of fee 
     awards to lead counsel in securities class actions over the 
     5-year period preceding the date of enactment of this Act to 
     determine the effective average hourly rate for lead counsel 
     in such actions.
       (2) Report required.--Not later than 1 year after the date 
     of enactment of this Act, the Comptroller General shall 
     submit a report to the Committee on Banking, Housing, and 
     Urban Affairs of the Senate and the Committee on Financial 
     Services of the House of Representatives on the results of 
     the study and review required by this section. The 
     Comptroller General shall submit an updated study every 3 
     years thereafter.
       (3) Definition.--For purposes of this subsection, the term 
     ``securities class action'' means a private class action 
     arising under the Securities Act of 1933 (15 U.S.C. 77 et 
     seq.) or the Securities Exchange Act of 1934 (15 U.S.C. 78 et 
     seq.) that is brought as a plaintiff class action pursuant to 
     the Federal Rules of Civil Procedure.
       (d) Authority to Impose Civil Penalties in Cease-and-Desist 
     Proceedings.--
       (1) Under the securities act of 1933.--Section 8A of the 
     Securities Act of 1933 (15 U.S.C. 77h-1) is amended by adding 
     at the end the following:
       ``(g) Authority to Impose Money Penalties.--
       ``(1) Grounds.--In any cease-and-desist proceeding under 
     subsection (a), the Commission may impose a civil penalty on 
     a person, if the Commission finds, on the record, after 
     notice and opportunity for hearing, that--
       ``(A) the person--
       ``(i) is violating or has violated any provision of this 
     title, or any rule or regulation issued under this title; or
       ``(ii) is or was a cause of the violation of any provision 
     of this title, or any rule or regulation thereunder; and
       ``(B) the imposition of the penalty is in the public 
     interest.
       ``(2) Maximum amount of penalty.--
       ``(A) First tier.--The maximum amount of a penalty for each 
     act or omission described in paragraph (1) shall be $7,500 
     for a natural person or $75,000 for any other person.
       ``(B) Second tier.--Notwithstanding subparagraph (A), if 
     the act or omission described in paragraph (1) involved 
     fraud, deceit, manipulation, or deliberate or reckless 
     disregard of a regulatory requirement, the maximum amount of 
     penalty for each act or omission shall be $75,000 for a 
     natural person or $375,000 for any other person.
       ``(C) Third tier.--Notwithstanding subparagraphs (A) and 
     (B), the maximum amount of penalty for each act or omission 
     described in paragraph (1) shall be $150,000 for a natural 
     person or $725,000 for any other person, if--
       ``(i) the act or omission involved fraud, deceit, 
     manipulation, or deliberate or reckless disregard of a 
     regulatory requirement; and
       ``(ii) the act or omission directly or indirectly resulted 
     in--

       ``(I) substantial losses or created a significant risk of 
     substantial losses to other persons; or
       ``(II) substantial pecuniary gain to the person who 
     committed the act or omission.

       ``(3) Evidence concerning ability to pay.--In any 
     proceeding in which the Commission may impose a penalty under 
     this section, a respondent may present evidence of the 
     ability of the respondent to pay such

[[Page S3380]]

     penalty. The Commission may, in its discretion, consider such 
     evidence in determining whether such penalty is in the public 
     interest. Such evidence may relate to the extent of the 
     ability of the respondent to continue in business and the 
     collectability of a penalty, taking into account any other 
     claims of the United States or third parties upon the assets 
     of the respondent and the amount of the assets of the 
     respondent.''.
       (2) Under the securities exchange act of 1934.--Section 
     21B(a) of the Securities Exchange Act of 1934 (15 U.S.C. 78u-
     2(a)) is amended--
       (A) by striking the undesignated matter immediately 
     following paragraph (4);
       (B) in the matter preceding paragraph (1), by inserting 
     after ``opportunity for hearing,'' the following: ``that such 
     penalty is in the public interest and'';
       (C) by redesignating paragraphs (1) through (4) as 
     subparagraphs (A) through (D), respectively, and adjusting 
     the subparagraph margins accordingly;
       (D) by striking ``In any proceeding'' and inserting the 
     following:
       ``(1) In general.--In any proceeding''; and
       (E) by adding at the end the following:
       ``(2) Cease-and-desist proceedings.--In any proceeding 
     instituted under section 21C against any person, the 
     Commission may impose a civil penalty, if the Commission 
     finds, on the record after notice and opportunity for 
     hearing, that such person--
       ``(A) is violating or has violated any provision of this 
     title, or any rule or regulation issued under this title; or
       ``(B) is or was a cause of the violation of any provision 
     of this title, or any rule or regulation issued under this 
     title.''.
       (3) Under the investment company act of 1940.--Section 
     9(d)(1) of the Investment Company Act of 1940 (15 U.S.C. 80a-
     9(d)(1)) is amended--
       (A) by striking the matter immediately following 
     subparagraph (C);
       (B) in the matter preceding subparagraph (A), by inserting 
     after ``opportunity for hearing,'' the following: ``that such 
     penalty is in the public interest, and'';
       (C) by redesignating subparagraphs (A) through (C) as 
     clauses (i) through (iii), respectively, and adjusting the 
     clause margins accordingly;
       (D) by striking ``In any proceeding'' and inserting the 
     following:
       ``(A) In general.--In any proceeding''; and
       (E) by adding at the end the following:
       ``(B) Cease-and-desist proceedings.--In any proceeding 
     instituted pursuant to subsection (f) against any person, the 
     Commission may impose a civil penalty if the Commission 
     finds, on the record, after notice and opportunity for 
     hearing, that such person--
       ``(i) is violating or has violated any provision of this 
     title, or any rule or regulation issued under this title; or
       ``(ii) is or was a cause of the violation of any provision 
     of this title, or any rule or regulation issued under this 
     title.''.
       (4) Under the investment advisers act of 1940.--Section 
     203(i)(1) of the Investment Advisers Act of 1940 (15 U.S.C. 
     80b-3(i)(1)) is amended--
       (A) by striking the undesignated matter immediately 
     following subparagraph (D);
       (B) in the matter preceding subparagraph (A), by inserting 
     after ``opportunity for hearing,'' the following: ``that such 
     penalty is in the public interest and'';
       (C) by redesignating subparagraphs (A) through (D) as 
     clauses (i) through (iv), respectively, and adjusting the 
     clause margins accordingly;
       (D) by striking ``In any proceeding'' and inserting the 
     following:
       ``(A) In general.--In any proceeding''; and
       (E) by adding at the end the following:
       ``(B) Cease-and-desist proceedings.--In any proceeding 
     instituted pursuant to subsection (k) against any person, the 
     Commission may impose a civil penalty if the Commission 
     finds, on the record, after notice and opportunity for 
     hearing, that such person--
       ``(i) is violating or has violated any provision of this 
     title, or any rule or regulation issued under this title; or
       ``(ii) is or was a cause of the violation of any provision 
     of this title, or any rule or regulation issued under this 
     title.''.
                                 ______
                                 
  SA 3896. Mr. GREGG (for himself, Mr. Brown of Massachusetts, and Mr. 
Kerry) submitted an amendment intended to be proposed to amendment SA 
3739 proposed by Mr. Reid (for Mr. Dodd (for himself and Mrs. Lincoln)) 
to the bill S. 3217, to promote the financial stability of the United 
States by improving accountability and transparency in the financial 
system, to end ``too big to fail'', to protect the American taxpayer by 
ending bailouts, to protect consumers from abusive financial services 
practices, and for other purposes; which was ordered to lie on the 
table; as follows:

       On page 320, between lines 11 and 12, insert the following:
       (g) Parity.--Section 10(a)(1)(A) of the Home Owners' Loan 
     Act (12 U.S.C. 1467a(a)(1)(A)) is amended to read as follows:
       ``(A) Savings association.--The term `savings 
     association'--
       ``(i) includes a savings bank or cooperative bank which is 
     deemed by the Director to be a savings association under 
     subsection (l); and
       ``(ii) does not include an institution described in section 
     2(c)(2)(D) of the Bank Holding Company Act of 1956 (12 U.S.C. 
     1841(c)(2)(D)).''.
                                 ______
                                 
  SA 3897. Mr. DORGAN submitted an amendment intended to be proposed to 
amendment SA 3739 proposed by Mr. Reid (for Mr. Dodd (for himself and 
Mrs. Lincoln)) to the bill S. 3217, to promote the financial stability 
of the United States by improving accountability and transparency in 
the financial system, to end ``too big to fail'', to protect the 
American taxpayer by ending bailouts, to protect consumers from abusive 
financial services practices, and for other purposes; which was ordered 
to lie on the table; as follows:

       On page 584, line 7, after the first period insert the 
     following:
       ``(k) Clearing of Credit Default Swaps.--
       ``(1) Submission.--It shall be unlawful for any party to 
     enter into a credit default swap unless that person shall 
     submit such credit default swap for clearing to a derivatives 
     clearing organization that is registered under this Act or a 
     derivatives clearing organization that is exempt from 
     registration under section 5b(i) of this Act.
       ``(2) Prohibition.--Notwithstanding any other provisions in 
     this section or of this Act, if no derivatives clearing 
     organization will accept a credit default swap for clearing, 
     it shall be unlawful for any party to enter into the credit 
     default swap.
       ``(3) Limitation on short positions.--
       ``(A) In general.--It shall be unlawful for a protection 
     buyer to enter into a credit default swap which establishes a 
     short position in a reference entity's credit instrument 
     unless the protection buyer can demonstrate to the 
     Commission, in such manner and in such form as may be 
     prescribed by the Commission, that the protection buyer--
       ``(i) is undertaking such action to establish a legitimate 
     short position in credit default swaps; or
       ``(ii) is regulated by the Commission as a swap dealer in 
     credit default swaps, and is acting as a market-maker or is 
     otherwise engaged in a financial transaction on behalf of a 
     customer.
       ``(B) Legitimate short position in credit default swaps.--A 
     protection buyer's short position in credit default swaps 
     shall be considered a legitimate short position in credit 
     default swaps if--
       ``(i) the value of the protection buyer's holdings in valid 
     credit instruments is equal to or greater than the absolute 
     notional value of the protection buyer's credit default 
     swaps; and
       ``(ii) the reference entity or entities for the protection 
     buyer's credit default swaps in clause (i), whether in a 
     single-name, or a narrow-based index or a broad-based index 
     credit default swap transaction, must be the same as the 
     borrower or issuer, or borrowers or issuers, of the valid 
     credit instrument or valid credit instruments the protection 
     buyer owns.
       ``(C) Determination of the commission.--
       ``(i) In general.--The Commission and the Securities and 
     Exchange Commission, shall jointly establish and adopt rules, 
     regulations, or orders, in accordance with the public 
     interest, defining the term `valid credit instrument'.
       ``(ii) Considerations and requirements.--In defining the 
     term `valid credit instrument', the Commission and the 
     Securities and Exchange Commission shall consider which 
     group, category, type, or class of credit instruments can be 
     effectively hedged using credit default swaps.
       ``(iii) Rule of construction.--For purposes of this 
     paragraph, any instrument with an equity risk exposure or 
     equity-like features shall not be considered by the 
     Commission to be a valid credit instrument.
       ``(D) Reporting.--Each protection buyer shall report all of 
     its legitimate short positions in credit default swaps, as 
     well as any other credit default swap positions and the valid 
     credit instruments that it owns to the Commission, in such 
     manner, in such frequency, and in such form as may be 
     prescribed by the Commission.
       ``(E) Holding of short positions in credit default swaps by 
     swap dealers.--Any swap dealer in credit default swaps 
     seeking to establish, possess, or otherwise obtain a short 
     position as the protection buyer of any credit default swap 
     for more than 60 consecutive calendar days or for more than 
     two-thirds of the days in any calendar quarter, shall 
     demonstrate to the Commission, in such manner and in such 
     form as may be prescribed by the Commission, that--
       ``(i) the value of the swap dealer's holdings in valid 
     credit instruments is equal to or greater than the absolute 
     notional value of the swap dealer's position in credit 
     default swaps; and
       ``(ii) the reference entity or entities for the swap 
     dealer's credit default swaps in clause (i), whether in a 
     single-name, or a narrow-based index or a broad-based index 
     credit default swap transaction, must be the same as the 
     borrower or issuer, or borrowers or issuers, of the valid 
     credit instrument or valid credit instruments the swap dealer 
     owns.
       ``(F) Prohibition on evasions and structuring of 
     transactions.--No person, including any protection buyer, 
     protection seller, or counterparty, may take any action in 
     connection with a credit default swap to structure such swap 
     for the purpose and with

[[Page S3381]]

     the intent of evading the provisions of this subsection.
       ``(G) Authority of the commission.--The Commission, in 
     consultation with the Securities and Exchange Commission, 
     may, in the public interest, for the protection of investors, 
     for the protection of market participants, and the 
     maintenance of fair and orderly markets, prohibit any other 
     action, practice, or conduct in connection with or related to 
     the direct or indirect purchase or sale of credit default 
     swaps.
       ``(4) Definitions.--
       ``(A) In general.--In this subsection, the following 
     definitions shall apply:
       ``(i) Credit default swap.--The term `credit default 
     swap'--

       ``(I) means a swap or security-based swap whose payout is 
     determined by the occurrence of a credit event with respect 
     to a single referenced credit instrument or reference entity 
     or multiple referenced credit instruments or reference 
     entities; and
       ``(II) is not a debt security registered with the 
     Securities and Exchange Commission and issued by a 
     corporation, State, municipality, or sovereign entity.

       ``(ii) Credit event.--The term `credit event' includes a 
     default, restructuring, insolvency, bankruptcy, credit 
     downgrade, and a violation of a debt covenant.
       ``(iii) Protection buyer.--The term `protection buyer' 
     means a person that enters into a credit default swap to 
     obtain a payoff from a third party (commonly referred to as 
     the `protection seller') upon the occurrence of one or more 
     credit events.
       ``(iv) Reference entity.--The term `reference entity' means 
     any borrower, such as a corporation, State, municipality, 
     sovereign entity, or special purpose entity, which has issued 
     a public debt obligation or obtained a loan that is 
     referenced by a credit default swap.
       ``(B) Further definition of terms.--The Commission and the 
     Securities and Exchange Commission, shall jointly establish 
     and adopt rules, regulations, or orders, in accordance with 
     the public interest, further defining the terms `credit 
     default swap', `credit event', `protection buyer', and 
     `reference entity'.

       On page 808, line 8, after the first period, insert the 
     following:

     ``SEC. 3C-1. CLEARING OF CREDIT DEFAULT SWAPS.

       ``(a) Submission.--It shall be unlawful for any party to 
     enter into a credit default swap unless that person shall 
     submit such credit default swap for clearing to a clearing 
     agency that is registered under section 17A of this Act.
       ``(b) Prohibition.--Notwithstanding any other provisions in 
     this section or of this Act, if no clearing agency will 
     accept a credit default swap for clearing, it shall be 
     unlawful for any party to enter into the credit default swap.
       ``(c) Limitation on Short Positions.--
       ``(1) In general.--It shall be unlawful for a protection 
     buyer to enter into a credit default swap which establishes a 
     short position in a reference entity's credit unless the 
     protection buyer can demonstrate to the Commission, in such 
     manner and in such form as may be prescribed by the 
     Commission, that the protection buyer--
       ``(A) is undertaking such action to establish a legitimate 
     short position in credit default swaps; or
       ``(B) is regulated by the Commission as a security-based 
     swap dealer in credit default swaps, and is acting as a 
     market-maker or otherwise for the purpose of serving clients.
       ``(2) Legitimate short position in credit default swaps.--A 
     protection buyer's short position in credit default swaps 
     shall be considered a legitimate short position in credit 
     default swaps if --
       ``(A) the value of the protection buyer's holdings in valid 
     credit instruments is equal to or greater than the absolute 
     notional value of the protection buyer's credit default 
     swaps; and
       ``(B) the reference entity or entities for the protection 
     buyer's credit default swaps in subparagraph (A), whether in 
     a single-name, or a narrow-based index or a broad-based index 
     credit default swap transaction, must be the same as the 
     borrower or issuer, or borrowers or issuers, of the valid 
     credit instrument or valid credit instruments the protection 
     buyer owns.
       ``(3) Determination of the commission.--
       ``(A) In general.--The Commission and the Commodity Futures 
     Trading Commission, shall jointly establish and adopt rules, 
     regulations, or orders, in accordance with the public 
     interest, defining the term `valid credit instrument'.
       ``(B) Considerations and requirements.--In defining the 
     term `valid credit instrument', the Commission and the 
     Commodity Futures Trading Commission shall consider which 
     group, category, type, or class of credit instruments can be 
     effectively hedged using credit default swaps.
       ``(C) Rule of construction.--For purposes of this 
     subsection, any instrument with an equity risk exposure or 
     equity-like features shall not be considered by the 
     Commission to be a valid credit instrument.
       ``(4) Reporting.--Each protection buyer shall report all of 
     its legitimate short positions in credit default swaps, as 
     well as any other credit default swap positions and the valid 
     credit instruments that it owns to the Commission, in such 
     manner, in such frequency, and in such form as may be 
     prescribed by the Commission.
       ``(5) Holdings of short positions in credit default swaps 
     by security-based swap dealers.--Any security-based swap 
     dealer in credit default swaps seeking to establish, possess, 
     or otherwise obtain a short position as the protection buyer 
     of any credit default swap for more than 60 consecutive 
     calendar days or for more than two-thirds of the days in any 
     calendar quarter, shall demonstrate to the Commission, in 
     such manner and in such form as may be prescribed by the 
     Commission, that--
       ``(A) the value of the security-based swap dealer's long 
     holdings in valid credit instruments is equal to or greater 
     than the absolute notional value of the security-based swap 
     dealer's position in credit default swaps; and
       ``(B) the reference entity or entities for the security-
     based swap dealer's credit default swaps in subparagraph (A), 
     whether in a single-name, or a narrow-based index or a broad-
     based index credit default swap transaction, must be the same 
     as the borrower or issuer, or borrowers or issuers, of the 
     valid credit instrument or valid credit instruments the 
     security-based swaps dealer owns.
       ``(6) Prohibition on evasions and structuring of 
     transactions.--No person, including any protection buyer, 
     protection seller, or counterparty, may take any action in 
     connection with a credit default swap to structure such swap 
     for the purpose and with the intent of evading the provisions 
     of this section.
       ``(7) Authority of the commission.--The Commission, in 
     consultation with the Commodity Futures Trading Commission, 
     may, in the public interest, for the protection of investors, 
     for the protection of market participants, and the 
     maintenance of fair and orderly markets, prohibit any other 
     action, practice, or conduct in connection with or related to 
     the direct or indirect purchase or sale of credit default 
     swaps.
       ``(d) Definitions.--
       ``(1) In general.--In this section, the following 
     definitions shall apply:
       ``(A) Credit default swap.--The term `credit default 
     swap'--
       ``(i) means a swap or security-based swap whose payout is 
     determined by the occurrence of a credit event with respect 
     to a single referenced credit instrument or reference entity 
     or multiple referenced credit instruments or reference 
     entities; and
       ``(ii) is not a debt security registered with the 
     Commission and issued by a corporation, State, municipality, 
     or sovereign entity.
       ``(B) Credit event.--The term `credit event' includes a 
     default, restructuring, insolvency, bankruptcy, credit 
     downgrade, and a violation of a debt covenant.
       ``(C) Protection buyer.--The term `protection buyer' means 
     a person that enters into a credit default swap to obtain a 
     payoff from a third party (commonly referred to as the 
     `protection seller') upon the occurrence of one or more 
     credit events.
       ``(D) Reference entity.--The term `reference entity' means 
     any borrower, such as a corporation, State, municipality, 
     sovereign entity, or special purpose entity, which has issued 
     a public debt obligation or obtained a loan that is 
     referenced by a credit default swap.
       ``(2) Further definition of terms.--The Commission and the 
     Commodity Futures Trading Commission, shall jointly establish 
     and adopt rules, regulations, or orders, in accordance with 
     the public interest, further defining the terms `credit 
     default swap', `credit event', `protection buyer', and 
     `reference entity'.
                                 ______
                                 
  SA 3898. Mr. ENSIGN proposed an amendment to amendment SA 3733 
proposed by Mr. Brown of Ohio (for himself, Mr. Kaufman, Mr. Casey, Mr. 
Whitehouse, Mr. Merkley, Mr. Harkin, Mr. Sanders, and Mr. Burris) to 
the amendment SA 3739 proposed by Mr. Reid (for Mr. Dodd (for himself 
and Mrs. Lincoln)) to the bill S. 3217, to promote the financial 
stability of the United States by improving accountability and 
transparency in the financial system, to end ``too big to fail'', to 
protect the American taxpayer by ending bailouts, to protect consumers 
from abusive financial services practices, and for other purposes; as 
follows:

       On page 2 of the amendment, strike lines 11 through 15 and 
     insert the following:
       (1) Financial company.--The term ``financial company'' 
     means--
       (A) any nonbank financial company supervised by the Board;
       (B) the Federal National Mortgage Association; and
       (C) the Federal Home Loan Mortgage Corporation.
                                 ______
                                 
  SA 3899. Mr. REED submitted an amendment intended to be proposed to 
amendment SA 3739 proposed by Mr. Reid (for Mr. Dodd (for himself and 
Mrs. Lincoln)) to the bill S. 3217, to promote the financial stability 
of the United States by improving accountability and transparency in 
the financial system, to end ``too big to fail'', to protect the 
American taxpayer by ending bailouts, to protect consumers from abusive 
financial services practices, and for other purposes; which was ordered 
to lie on the table; as follows:


[[Page S3382]]


       On page 1219, after line 25, insert the following:
       ``(e) Office of Military Liaison.--
       ``(1) In general.--The Director shall establish an Office 
     of Military Liaison, which shall be responsible for 
     developing and implementing initiatives for service members 
     and their families intended to--
       ``(A) educate and empower service members and their 
     families to make better informed decisions regarding consumer 
     financial products and services;
       ``(B) coordinate with the unit of the Bureau established 
     under subsection (b)(3), in order to monitor complaints by 
     service members and their families and responses to those 
     complaints by the Bureau or other appropriate Federal or 
     State agency; and
       ``(C) coordinate efforts among Federal and State agencies, 
     as appropriate, regarding consumer protection measures 
     relating to consumer financial products and services offered 
     to, or used by, service members and their families.
       ``(2) Coordination.--
       ``(A) Regional services.--The Director is authorized to 
     assign employees of the Bureau as may be deemed necessary to 
     conduct the business of the Office of Military Liaison, 
     including by establishing and maintaining the functions of 
     the Office in regional offices of the Bureau located near 
     military bases, military treatment facilities, or other 
     similar military facilities.
       ``(B) Agreements.--The Director is authorized to enter into 
     memoranda of understanding and similar agreements with the 
     Department of Defense, including any branch or agency as 
     authorized by the department, in order to carry out the 
     business of the Office of Military Liaison.''.
                                 ______
                                 
  SA 3900. Mr. BINGAMAN submitted an amendment intended to be proposed 
to amendment SA 3739 proposed by Mr. Reid (for Mr. Dodd (for himself 
and Mrs. Lincoln)) to the bill S. 3217, to promote the financial 
stability of the United States by improving accountability and 
transparency in the financial system, to end ``too big to fail'', to 
protect the American taxpayer by ending bailouts, to protect consumers 
from abusive financial services practices, and for other purposes; 
which was ordered to lie on the table; as follows:

       On page 100, line 23, strike ``and'' and all that follows 
     through ``(G) any'' on line 24 and insert the following:
       (G) net potential obligations to third parties in 
     connection with credit derivative transactions between the 
     nonbank financial company supervised by the Board of 
     Governors or a bank holding company described in subsection 
     (a) and the third parties that reference the company or 
     obligations of the company; and
       (H) any
                                 ______
                                 
  SA 3901. Mr. CARDIN (for himself, Mr. Enzi, and Mr. Brownback) 
submitted an amendment intended to be proposed by him to the bill S. 
3217, to promote the financial stability of the United States by 
improving accountability and transparency in the financial system, to 
end ``too big to fail'', to protect the American taxpayer by ending 
bailouts, to protect consumers from abusive financial services 
practices, and for other purposes; which was ordered to lie on the 
table; as follows:

       At the end of subtitle C of title III, add the following:

     SEC. 333. INCREASE IN DEPOSIT AND SHARE INSURANCE AMOUNTS.

       (a) Permanent Increase in Deposit Insurance.--Section 
     11(a)(1)(E) of the Federal Deposit Insurance Act (12 U.S.C. 
     1821(a)(1)(E)) is amended by striking ``$100,000'' and 
     inserting ``$250,000''.
       (b) Permanent Increase in Share Insurance.--Section 
     207(k)(5) of the Federal Credit Union Act (12 U.S.C. 
     1787(k)(5)) is amended by striking ``$100,000'' and inserting 
     ``$250,000''.
       (c) Repeal.--Section 136 of the Emergency Economic 
     Stabilization Act of 2008 (12 U.S.C. 5241) is repealed, 
     effective on the date of enactment of this Act.
                                 ______
                                 
  SA 3902. Mr. FRANKEN (for himself, Ms. Snowe, Mrs. Murray, Mrs. 
Shaheen, Mr. Schumer, Mr. Brown of Ohio, Mr. Merkley, Mr. Casey, and 
Mr. Feingold) submitted an amendment intended to be proposed by him to 
the bill S. 3217, to promote the financial stability of the United 
States by improving accountability and transparency in the financial 
system, to end ``too big to fail'', to protect the American taxpayer by 
ending bailouts, to protect consumers from abusive financial services 
practices, and for other purposes; which was ordered to lie on the 
table; as follows:

       At the end of title X, add the following:

              Subtitle I--Office of the Homeowner Advocate

     SEC. 1091. OFFICE OF THE HOMEOWNER ADVOCATE.

       (a) Establishment.--There is established in the Department 
     of the Treasury an office to be known as the ``Office of the 
     Homeowner Advocate'' (in this subtitle referred to as the 
     ``Office'').
       (b) Director.--
       (1) In general.--The Director of the Office of the 
     Homeowner Advocate (in this subtitle referred to as the 
     ``Director'') shall report directly to the Assistant 
     Secretary of the Treasury for Financial Stability, and shall 
     be entitled to compensation at the same rate as the highest 
     rate of basic pay established for the Senior Executive 
     Service under section 5382 of title 5, United States Code.
       (2) Appointment.--The Director shall be appointed by the 
     Secretary, after consultation with the Secretary of the 
     Department of Housing and Urban Development, and without 
     regard to the provisions of title 5, United States Code, 
     relating to appointments in the competitive service or the 
     Senior Executive Service.
       (3) Qualifications.--An individual appointed under 
     paragraph (2) shall have--
       (A) experience as an advocate for homeowners; and
       (B) experience dealing with mortgage servicers.
       (4) Restriction on employment.--An individual may be 
     appointed as Director only if such individual was not an 
     officer or employee of either a mortgage servicer or the 
     Department of the Treasury during the 4-year period preceding 
     the date of such appointment.
       (5) Hiring authority.--The Director shall have the 
     authority to hire staff, obtain support by contract, and 
     manage the budget of the Office of the Homeowner Advocate.

     SEC. 1092. FUNCTIONS OF THE OFFICE.

       (a) In General.--It shall be the function of the Office of 
     the Homeowner Advocate to--
       (1) assist homeowners, housing counselors, and housing 
     lawyers in resolving problems with the Home Affordable 
     Modification Program of the Making Home Affordable initiative 
     of the Secretary, authorized under the Emergency Economic 
     Stabilization Act of 2008 (in this subtitle referred to as 
     the ``Home Affordable Modification Program'')
       (2) identify areas, both individual and systematic, in 
     which homeowners, housing counselors, and housing lawyers 
     have problems in dealings with the Home Affordable 
     Modification Program;
       (3) to the extent possible, propose changes in the 
     administrative practices of the Home Affordable Modification 
     Program, to mitigate problems identified under paragraph (2);
       (4) identify potential legislative changes which may be 
     appropriate to mitigate such problems; and
       (5) implement other programs and initiatives that the 
     Director deems important to assisting homeowners, housing 
     counselors, and housing lawyers in resolving problems with 
     the Home Affordable Modification Program, which may include--
       (A) running a triage hotline for homeowners at risk of 
     foreclosure;
       (B) providing homeowners with access to housing counseling 
     programs of the Department of Housing and Urban Development 
     at no cost to the homeowner;
       (C) developing Internet tools related to the Home 
     Affordable Modification Program; and
       (D) developing training and educational materials.
       (b) Authority.--
       (1) In general.--Staff designated by the Director shall 
     have the authority to implement servicer remedies, on a case-
     by-case basis, subject to the approval of the Assistant 
     Secretary of the Treasury for Financial Stability.
       (2) Limitations on foreclosures.--No homeowner may be taken 
     to a foreclosure sale, until the earlier of the date on which 
     the Office of the Homeowner Advocate case involving the 
     homeowner is closed, or 60 days since the opening of the 
     Office of the Homeowner Advocate case involving the homeowner 
     have passed, except that nothing in this section may be 
     construed to relieve any loan servicers from any otherwise 
     applicable rules, directives, or similar guidance under the 
     Home Affordable Modification Program relating to the 
     continuation or completion of foreclosure proceedings.
       (3) Resolution of homeowner concerns.--The Office shall, to 
     the extent possible, resolve all homeowner concerns not later 
     than 30 days after the opening of a case with such homeowner.
       (c) Commencement of Operations.--The Office shall commence 
     its operations, as required by this subtitle, not later than 
     3 months after the date of enactment of this Act.
       (d) Sunset.--The Office shall cease operations as of the 
     date on which the Home Affordable Modification Program ceases 
     to operate.

     SEC. 1093. RELATIONSHIP WITH EXISTING ENTITIES.

       (a) Transfer.--The Office shall coordinate and centralize 
     all complaint escalations relating to the Home Affordable 
     Modification Program.
       (b) Hotline.--The HOPE hotline (or any successor triage 
     hotline) shall reroute all complaints relating to the Home 
     Affordable Modification Program to the Office.
       (c) Coordination.--The Office shall coordinate with the 
     compliance office of the Office of Financial Stability of the 
     Department of the Treasury and the Homeownership Preservation 
     Office of the Department of the Treasury.

     SEC. 1094. REPORTS TO CONGRESS.

       (a) Testimony.--The Director shall be available to testify 
     before the Committee on

[[Page S3383]]

     Banking, Housing, and Urban Affairs of the Senate and the 
     Committee on Financial Services of the House of 
     Representatives, not less frequently than 4 times a year, or 
     at any time at the request of the Chairs of either committee.
       (b) Reports.--Once annually, the Director shall provide a 
     detailed report to Congress on the Home Affordable 
     Modification Program. Such report shall contain full and 
     substantive analysis, in addition to statistical information, 
     including, at a minimum--
       (1) data and analysis of the types and volume of complaints 
     received from homeowners, housing counselors, and housing 
     lawyers, broken down by category of servicer, except that 
     servicers may not be identified by name in the report;
       (2) a summary of not fewer than 20 of the most serious 
     problems encountered by Home Affordable Modification Program 
     participants, including a description of the nature of such 
     problems;
       (3) to the extent known, identification of the 10 most 
     litigated issues for Home Affordable Modification Program 
     participants, including recommendations for mitigating such 
     disputes;
       (4) data and analysis on the resolutions of the complaints 
     received from homeowners, housing counselors, and housing 
     lawyers;
       (5) identification of any programs or initiatives that the 
     Office has taken to improve the Home Affordable Modification 
     Program;
       (6) recommendations for such administrative and legislative 
     action as may be appropriate to resolve problems encountered 
     by Home Affordable Modification Program participants; and
       (7) such other information as the Director may deem 
     advisable.

     SEC. 1095. FUNDING.

       Amounts made available for the costs of administration of 
     the Home Affordable Modification Program that are not 
     otherwise obligated shall be available to carry out the 
     duties of the Office. Funding shall be maintained at levels 
     adequate to reasonably carry out the functions of the Office.
                                 ______
                                 
  SA 3903. Mr. CHAMBLISS submitted an amendment intended to be proposed 
to amendment SA 3739 proposed by Mr. Reid (for Mr. Dodd (for himself 
and Mrs. Lincoln)) to the bill S. 3217, to promote the financial 
stability of the United States by improving accountability and 
transparency in the financial system, to end ``too big to fail'', to 
protect the American taxpayer by ending bailouts, to protect consumers 
from abusive financial services practices, and for other purposes; 
which was ordered to lie on the table; as follows:

       On page 1051, line 2, after the comma insert the following: 
     ``or, with respect to any such transaction, an institution 
     that sells or transfers assets, either directly or 
     indirectly, including through an affiliate, to the Federal 
     Agricultural Mortgage Corporation for the purpose of 
     securitization,''.
                                 ______
                                 
  SA 3904. Mr. CHAMBLISS submitted an amendment intended to be proposed 
to amendment SA 3739 proposed by Mr. Reid (for Mr. Dodd (for himself 
and Mrs. Lincoln)) to the bill S. 3217, to promote the financial 
stability of the United States by improving accountability and 
transparency in the financial system, to end ``too big to fail'', to 
protect the American taxpayer by ending bailouts, to protect consumers 
from abusive financial services practices, and for other purposes; 
which was ordered to lie on the table; as follows:

       On page 487, line 15, after the comma insert ``the Federal 
     Home Loan Bank System, the Federal Farm Credit Banks Funding 
     Corporation, the Federal Agricultural Mortgage 
     Corporation,''.
                                 ______
                                 
  SA 3905. Mr. CHAMBLISS submitted an amendment intended to be proposed 
to amendment SA 3739 proposed by Mr. Reid (for Mr. Dodd (for himself 
and Mrs. Lincoln)) to the bill S. 3217, to promote the financial 
stability of the United States by improving accountability and 
transparency in the financial system, to end ``too big to fail'', to 
protect the American taxpayer by ending bailouts, to protect consumers 
from abusive financial services practices, and for other purposes; 
which was ordered to lie on the table; as follows:

       Beginning on page 648, strike line 11 and all that follows 
     through page 649, line 2, and insert the following:

     stitutions shall contain a capital requirement that is 
     greater than zero.
                                 ______
                                 
  SA 3906. Mr. CHAMBLISS submitted an amendment intended to be proposed 
to amendment SA 3739 proposed by Mr. Reid (for Mr. Dodd (for himself 
and Mrs. Lincoln)) to the bill S. 3217, to promote the financial 
stability of the United States by improving accountability and 
transparency in the financial system, to end ``too big to fail'', to 
protect the American taxpayer by ending bailouts, to protect consumers 
from abusive financial services practices, and for other purposes; 
which was ordered to lie on the table; as follows:

       On page 855, strike lines 8 through 20 and insert the 
     following:

     tain a capital requirement that is greater than zero.
                                 ______
                                 
  SA 3907. Mr. CHAMBLISS submitted an amendment intended to be proposed 
to amendment SA 3739 proposed by Mr. Reid (for Mr. Dodd (for himself 
and Mrs. Lincoln)) to the bill S. 3217, to promote the financial 
stability of the United States by improving accountability and 
transparency in the financial system, to end ``too big to fail'', to 
protect the American taxpayer by ending bailouts, to protect consumers 
from abusive financial services practices, and for other purposes; 
which was ordered to lie on the table; as follows:

       On page 577, strike lines 5 through 24.

                                 ______
                                 
  SA 3908. Mr. CHAMBLISS submitted an amendment intended to be proposed 
to amendment SA 3739 proposed by Mr. Reid (for Mr. Dodd (for himself 
and Mrs. Lincoln)) to the bill S. 3217, to promote the financial 
stability of the United States by improving accountability and 
transparency in the financial system, to end ``too big to fail'', to 
protect the American taxpayer by ending bailouts, to protect consumers 
from abusive financial services practices, and for other purposes; 
which was ordered to lie on the table; as follows:

       Beginning on page 793, strike line 5 and all that follows 
     through page 794, line 3.
                                 ______
                                 
  SA 3909. Mr. CHAMBLISS submitted an amendment intended to be proposed 
to amendment SA 3739 proposed by Mr. Reid (for Mr. Dodd (for himself 
and Mrs. Lincoln)) to the bill S. 3217, to promote the financial 
stability of the United States by improving accountability and 
transparency in the financial system, to end ``too big to fail'', to 
protect the American taxpayer by ending bailouts, to protect consumers 
from abusive financial services practices, and for other purposes; 
which was ordered to lie on the table; as follows:

       On page 612, line 24, strike ``burden'' and insert ``burden 
     on clearing on the derivatives clearing organization''

                          ____________________