[Congressional Record Volume 164, Number 40 (Wednesday, March 7, 2018)]
[Senate]
[Page S1484]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

  SA 2114. Mr. SANDERS submitted an amendment intended to be proposed 
by him to the bill S. 2155, to promote economic growth, provide 
tailored regulatory relief, and enhance consumer protections, and for 
other purposes; which was ordered to lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. ___. TOO BIG TO FAIL, TOO BIG TO EXIST.

       (a) Definitions.--In this section--
       (1) the term ``covered entity'' means a financial 
     institution, as defined in section 803 of the Payment, 
     Clearing, and Settlement Supervision Act of 2010 (12 U.S.C. 
     5462); and
       (2) the term ``gross domestic product'' means gross 
     domestic product as calculated by the Bureau of Economic 
     Analysis.
       (b) Total Exposure.--
       (1) Total exposure.--
       (A) In general.--On February 1 of each year, no covered 
     entity may have a total exposure, as reported by the covered 
     entity on Form FR Y-15 for the previous year, equal to or 
     greater than 2 percent of the gross domestic product of the 
     United States for the previous calendar year.
       (B) Other reporting.--If a covered entity is not required 
     to complete a Form FR Y-15, the Financial Stability Oversight 
     Council shall design and assign a reporting form as 
     appropriate for each covered entity with total assets greater 
     than $50,000,000,000 that reflects the total risk exposures 
     of the financial institution, including off-balance sheet 
     exposures within 18 months of the date of enactment of this 
     Act. Once designated a reporting form, no covered entity may 
     have a total exposure, as reported by the covered entity for 
     the previous year, equal to or greater than 2 percent of the 
     gross domestic product of the United States for the previous 
     calendar year.
       (2) Restructuring.--Any covered entity that violates 
     paragraph (1) shall be designated as a ``Too Big to Exist 
     Institution'' by the Financial Stability Oversight Council. 
     The Vice Chair for Supervision of the Board of Governors of 
     the Federal Reserve System shall require and supervise a 
     ``Too Big to Exist Institution'' to restructure to comply 
     with paragraph (1) not later than 2 years after the date on 
     which the violation arises.
       (c) Prohibition Against Use of Federal Reserve Financing.--
     Notwithstanding any other provision of law (including 
     regulations), any ``Too Big to Exist Institution'' may not 
     use or otherwise have access to advances from any Federal 
     Reserve credit facility, the Federal Reserve discount window, 
     or any other program or facility made available under the 
     Federal Reserve Act (12 U.S.C. 221 et seq.), including any 
     asset purchases, temporary or bridge loans, government 
     investments in debt or equity, or capital injections from any 
     Federal institution.
       (d) Prohibition on Use of Insured Deposits.--
       (1) In general.--Any ``Too Big to Exist Institution'' that 
     is an insured depository institution, or owns such an 
     institution, may not use any insured deposit amounts to 
     fund--
       (A) any activity relating to hedging that is not directly 
     related to commercial banking activity at the insured bank;
       (B) any use of derivatives for speculative purposes;
       (C) any activity related to the dealing of derivatives; or
       (D) any other form of speculative activity that regulators 
     specify.
       (2) Risk of loss.--A ``Too Big to Exist Institution'' not 
     conduct any activity listed in paragraph (1) in such a manner 
     that--
       (A) puts insured deposits at risk; or
       (B) creates a risk of loss to the Deposit Insurance Fund.
       (e) Report; Testimony.--The Vice Chair for Supervision of 
     the Board of Governors of the Federal Reserve System and the 
     Chair of the Financial Stability Oversight Council shall 
     annually testify before the Committee on Banking, Housing, 
     and Urban Affairs of the Senate and the Committee on 
     Financial Services of the House of Representatives and submit 
     to those committees an annual report the restructuring and 
     designation under subsection (b)(2).
       (f) Effective Date.--Subsections (c) and (d) shall apply to 
     a covered entity 90 days after the date on which a covered 
     entity is designated as a ``Too Big to Exist Institution''.
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