[House Report 112-107]
[From the U.S. Government Publishing Office]


112th Congress  }                                             {  Report
1st Session     }        HOUSE OF REPRESENTATIVES             { 112-107
=======================================================================
 
   RESPONSIBLE CONSUMER FINANCIAL PROTECTION REGULATIONS ACT OF 2011 

                                _______
                                

 June 16, 2011.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed

                                _______
                                

         Mr. Bachus, from the Committee on Financial Services, 
                        submitted the following

                              R E P O R T

                             together with

                             MINORITY VIEWS

                        [To accompany H.R. 1121]

      [Including cost estimate of the Congressional Budget Office]

    The Committee on Financial Services, to whom was referred 
the bill (H.R. 1121) to replace the Director of the Bureau of 
Consumer Financial Protection with a five person Commission, 
having considered the same, report favorably thereon with an 
amendment and recommend that the bill as amended do pass.
    The amendment is as follows:
  Strike all after the enacting clause and insert the 
following:

SECTION 1. SHORT TITLE.

  This Act may be cited as the ``Responsible Consumer Financial 
Protection Regulations Act of 2011''.

SEC. 2. ESTABLISHMENT OF THE COMMISSION.

  Section 1011 of the Consumer Financial Protection Act of 2010 is 
amended--
          (1) by striking subsections (b), (c), and (d);
          (2) by redesignating subsection (e) as subsection (j); and
          (3) by inserting after subsection (a) the following new 
        subsections:
  ``(b) Establishment of the Commission.--
          ``(1) In general.--There is hereby established a commission 
        (hereinafter referred to in this section as the `Commission') 
        that shall serve as the head of the Bureau.
          ``(2) Authority to prescribe regulations.--The Commission may 
        prescribe such regulations and issue such orders in accordance 
        with this title as the Commission may determine to be necessary 
        for carrying out this title and all other laws within the 
        Commission's jurisdiction and shall exercise any authorities 
        granted under this title and all other laws within the 
        Commission's jurisdiction.
  ``(c) Composition of the Commission.--
          ``(1) In general.--The Commission shall be composed of the 
        Vice Chairman for Supervision of the Federal Reserve System and 
        4 additional members who shall be appointed by the President, 
        by and with the advice and consent of the Senate, from among 
        individuals who--
                  ``(A) are citizens of the United States;
                  ``(B) have strong competencies and experiences 
                related to consumer financial protection; and
                  ``(C) should want to protect service members and 
                their families who are sacrificing their lives for this 
                country from abusive financial practices.
          ``(2) Staggering.--The members of the Commission appointed 
        under paragraph (1) shall serve staggered terms, which 
        initially shall be established by the President for terms of 1, 
        2, 4, and 5 years, respectively.
          ``(3) Terms.--
                  ``(A) In general.--Each member of the Commission 
                appointed under paragraph (1), including the Chair, 
                shall serve for a term of 5 years.
                  ``(B) Removal for cause.--The President may remove 
                any member of the Commission appointed under paragraph 
                (1) only for inefficiency, neglect of duty, or 
                malfeasance in office.
                  ``(C) Vacancies.--Any member of the Commission 
                appointed under paragraph (1) appointed to fill a 
                vacancy occurring before the expiration of the term to 
                which that member's predecessor was appointed 
                (including the Chair) shall be appointed only for the 
                remainder of the term.
                  ``(D) Continuation of service.--Each member of the 
                Commission appointed under paragraph (1) may continue 
                to serve after the expiration of the term of office to 
                which that member was appointed until a successor has 
                been appointed by the President and confirmed by the 
                Senate, except that a member may not continue to serve 
                more than 1 year after the date on which that member's 
                term would otherwise expire.
                  ``(E) Other employment prohibited.--No member of the 
                Commission appointed under paragraph (1) shall engage 
                in any other business, vocation, or employment.
          ``(4) Roles and responsibilities of commissioners.--One 
        member of the Commission shall have as their primary 
        responsibility the oversight of the Bureau's activities 
        pertaining to protecting consumers, with a focus on consumers 
        who are older, minorities, youth, or veterans, from unfair, 
        deceptive, and abusive lending practices. The designated 
        commissioner shall be responsible for--
                  ``(A) ensuring the Bureau conducts regular outreach 
                to consumers regarding industry lending activities;
                  ``(B) researching and reporting to the full 
                Commission, on a regular basis, the impact of new loan 
                and credit products and services on consumers; and
                  ``(C) ensuring the Bureau coordinates with State-
                level consumer protection agencies on enforcement 
                measures that protect consumers from unfair, deceptive, 
                and abusive lending practices.
  ``(d) Affiliation.--With respect to members appointed pursuant to 
subsection (c)(1), not more than 2 shall be members of any one 
political party.
  ``(e) Chair of the Commission.--
          ``(1) Appointment.--The Chair of the Commission shall be 
        appointed by the President from among the members of the 
        Commission appointed under paragraph (1).
          ``(2) Authority.--The Chair shall be the principal executive 
        officer of the Bureau, and shall exercise all of the executive 
        and administrative functions of the Bureau, including with 
        respect to--
                  ``(A) the appointment and supervision of personnel 
                employed under the Bureau (other than personnel 
                employed regularly and full time in the immediate 
                offices of members of the Commission other than the 
                Chair);
                  ``(B) the distribution of business among personnel 
                appointed and supervised by the Chair and among 
                administrative units of the Bureau; and
                  ``(C) the use and expenditure of funds.
          ``(3) Limitation.--In carrying out any of the Chair's 
        functions under the provisions of this subsection the Chair 
        shall be governed by general policies of the Commission and by 
        such regulatory decisions, findings, and determinations as the 
        Commission may by law be authorized to make.
          ``(4) Requests or estimates related to appropriations.--
        Requests or estimates for regular, supplemental, or deficiency 
        appropriations on behalf of the Commission may not be submitted 
        by the Chair without the prior approval of the Commission.
  ``(f) No Impairment by Reason of Vacancies.--No vacancy in the 
members of the Commission shall impair the right of the remaining 
members of the Commission to exercise all the powers of the Commission. 
Three members of the Commission shall constitute a quorum for the 
transaction of business, except that if there are only 3 members 
serving on the Commission because of vacancies in the Commission, 2 
members of the Commission shall constitute a quorum for the transaction 
of business. If there are only 2 members serving on the Commission 
because of vacancies in the Commission, 2 members shall constitute a 
quorum for the 6-month period beginning on the date of the vacancy 
which caused the number of Commission members to decline to 2.
  ``(g) Seal.--The Commission shall have an official seal.
  ``(h) Compensation.--
          ``(1) Chair.--The Chair shall receive compensation at the 
        rate prescribed for level I of the Executive Schedule under 
        section 5313 of title 5, United States Code.
          ``(2) Other members of the commission.--The 3 other members 
        of the Commission appointed under subsection (c)(1) shall each 
        receive compensation at the rate prescribed for level II of the 
        Executive Schedule under section 5314 of title 5, United States 
        Code.
  ``(i) Initial Quorum Established.--During any time period prior to 
the confirmation of at least two members of the Commission, one member 
of the Commission shall constitute a quorum for the transaction of 
business. Following the confirmation of at least 2 additional 
commissioners, the quorum requirements of subsection (f) shall 
apply.''.

SEC. 3. CONFORMING AMENDMENTS.

  (a) Consumer Financial Protection Act of 2010.--
          (1) In general.--The Consumer Financial Protection Act of 
        2010 is amended--
                  (A) in section 1002, by striking paragraph (10);
                  (B) in section 1012(c)(4), by striking ``Director'' 
                each place such term appears and inserting ``Commission 
                of the Bureau'';
                  (C) in section 1013(c)(3)--
                          (i) by striking ``Assistant Director of the 
                        Bureau for'' and inserting ``Head of the Office 
                        of''; and
                          (ii) in subparagraph (B), by striking 
                        ``Assistant Director'' and inserting ``Head of 
                        the Office'';
                  (D) in section 1013(g)(2)--
                          (i) by striking ``Assistant director'' and 
                        inserting ``Head of the office''; and
                          (ii) by striking ``an assistant director'' 
                        and inserting ``a Head of the Office of 
                        Financial Protection for Older Americans'';
                  (E) in section 1016(a), by striking ``Director of the 
                Bureau'' and inserting ``Chair of the Commission'';
                  (F) in section 1017(c)(1), by striking ``Director and 
                other employees'' and inserting ``members of the 
                Commission and other employees'';
                  (G) in section 1027(l)(1), by striking ``Director and 
                the''; and
                  (H) in section 1066(a), by striking ``Director of the 
                Bureau is'' and inserting ``first member of the 
                Commission is''.
          (2) Global amendments.--The Consumer Financial Protection Act 
        of 2010 is amended--
                  (A) by striking ``Director of the'' each place such 
                term appears, other than in--
                          (i) subparagraphs (A) and (E) of section 
                        1017(4);
                          (ii) section 1043;
                          (iii) section 1061(b)(3);
                          (iv) section 1062;
                          (v) section 1063(f);
                          (vi) subparagraphs (E) and (G) of section 
                        1064(i)(2); and
                          (vii) section 1065(a); and
                  (B) by striking ``Director'' each place such term 
                appears and inserting ``Bureau'', other than in--
                          (i) section 1063(f)(2); and
                          (ii) section 1065(a).
  (b) Dodd-Frank Wall Street Reform and Consumer Protection Act.--The 
Dodd-Frank Wall Street Reform and Consumer Protection Act is amended--
          (1) in section 111(b)(1)(D), by striking ``Director'' and 
        inserting ``Chair of the Commission''; and
          (2) in section 1447, by striking ``Director of the Bureau'' 
        each place such term appears and inserting ``Bureau''.
  (c) Electronic Fund Transfer Act.--Section 921(a)(4)(C) of the 
Electronic Fund Transfer Act, as added by section 1075(a)(2) of the 
Consumer Financial Protection Act of 2010, is amended by striking 
``Director of the Bureau of Consumer Financial Protection'' and 
inserting ``Bureau of Consumer Financial Protection''.
  (d) Expedited Funds Availability Act.--The Expedited Funds 
Availability Act, as amended by section 1086 of the Consumer Financial 
Protection Act of 2010, is amended by striking ``Director of the 
Bureau'' each place such term appears and inserting ``Bureau''.
  (e) Federal Deposit Insurance Act.--Section 2 of the Federal Deposit 
Insurance Act, as amended by section 336(a) of the Dodd-Frank Wall 
Street Reform and Consumer Protection Act, is amended by striking 
``Director of the Consumer Financial Protection Bureau'' each place 
such term appears and inserting ``Chair of the Commission of the Bureau 
of Consumer Financial Protection''.
  (f) Federal Financial Institutions Examination Council Act of 1978.--
Section 1004(a)(4) of the Federal Financial Institutions Examination 
Council Act of 1978 (12 U.S.C. 3303(a)(4)), as amended by section 1091 
of the Consumer Financial Protection Act of 2010, is amended by 
striking ``Director of the Consumer Financial Protection Bureau'' and 
inserting ``Chair of the Commission of the Bureau of Consumer Financial 
Protection''.
  (g) Financial Literacy and Education Improvement Act.--Section 513 of 
the Financial Literacy and Education Improvement Act, as amended by 
section 1013(d) of the Consumer Financial Protection Act of 2010, is 
amended by striking ``Director'' each place such term appears and 
inserting ``Chair of the Commission''.
  (h) Home Mortgage Disclosure Act of 1975.--Section 307 of the Home 
Mortgage Disclosure Act of 1975, as amended by section 1094(6) of the 
Consumer Financial Protection Act of 2010, is amended by striking 
``Director of the Bureau of Consumer Financial Protection'' each place 
such term appears and inserting ``Bureau of Consumer Financial 
Protection''.
  (i) Interstate Land Sales Full Disclosure Act.--The Interstate Land 
Sales Full Disclosure Act, as amended by section 1098A of the Consumer 
Financial Protection Act of 2010, is amended--
          (1) by amending section 1402(1) to read as follows:
  ``(1) `Chair' means the Chair of the Commission of the Bureau of 
Consumer Financial Protection;'';
          (2) in section 1416(a), by striking ``Director of the Bureau 
        of Consumer Financial Protection'' and inserting ``Chair''; and
          (3) by striking ``Director'' each place such term appears and 
        inserting ``Bureau''.
  (j) Real Estate Settlement Procedures Act of 1974.--Section 5 of the 
Real Estate Settlement Procedures Act of 1974, as amended by section 
1450 of the Dodd-Frank Wall Street Reform and Consumer Protection Act, 
is amended--
          (1) by striking ``The Director of the Bureau of Consumer 
        Financial Protection (hereafter in this section referred to as 
        the `Director')'' and inserting ``The Bureau of Consumer 
        Financial Protection''; and
          (2) by striking ``Director'' each place such term appears and 
        inserting ``Bureau''.
  (k) S.A.F.E. Mortgage Licensing Act of 2008.--The S.A.F.E. Mortgage 
Licensing Act of 2008, as amended by section 1100 of the Consumer 
Financial Protection Act of 2010, is amended--
          (1) by striking ``Director'' each place such term appears in 
        headings and text and inserting ``Bureau''; and
          (2) in section 1503, by striking paragraph (10).
  (l) Title 44, United States Code.--Section 3513(c) of title 44, 
United States Code, as amended by section 1100D(b) of the Consumer 
Financial Protection Act of 2010, is amended by striking ``Director of 
the Bureau'' and inserting ``Bureau''.

                          Purpose and Summary

    H.R. 1121, the Responsible Consumer Financial Protection 
Regulations Act of 2011, would amend Section 1011 of the Dodd-
Frank Act Wall Street Reform and Consumer Protection Act (Dodd-
Frank Act) (P.L. 111-203), by replacing the Director of the 
Consumer Financial Protection Bureau (CFPB) with a five-person 
Commission. The bill would make the leadership structure of the 
CFPB a collegial body, like that of other federal agencies 
charged with consumer or investor protection, such as the 
Federal Trade Commission, the Securities and Exchange 
Commission, and the Federal Deposit Insurance Corporation. Like 
the collegial boards that head these agencies, the CFPB 
Commission would be empowered to prescribe regulations and 
issue orders to implement laws within its jurisdiction. One of 
the five seats on the CFPB Commission would be filled by the 
Vice Chairman for Supervision of the Federal Reserve System. 
The President would appoint the remaining four Commissioners: 
no more than two of the four may be from the same political 
party; and each of the four must have strong competencies and 
experiences related to consumer financial protection. In 
addition, one Commissioner is required to have as his or her 
primary responsibility the oversight of the Bureau's activities 
pertaining to the protection of older consumers, minorities, 
youth, and veterans. Although the Chair of the Commission would 
fulfill the executive and administrative functions of the CFPB, 
the Chair's discretion would be bounded by policies set by the 
whole Commission.

                  Background and Need for Legislation

    H.R. 1121 was introduced by Chairman Bachus to replace the 
Director of the CFPB with a five-person Commission. The CFPB 
was created under Title X of the Dodd-Frank Act. The Dodd-Frank 
Act effectively places the CFPB under the control of a single 
person--its Director. Under the statute, the CFPB's Director is 
appointed by the President and confirmed by the Senate. Once 
appointed and confirmed, the Director is given broad discretion 
to identify and ban financial products and services that he or 
she finds to be ``unfair, deceptive, or abusive.'' The Director 
has complete authority to adopt policies for carrying out the 
CFPB's functions. Among other things, the Director may set 
policies on adopting rules and issuing orders and guidance; 
enter into contracts; establish the CFPB's internal 
organization; and hire and supervise personnel.
    H.R. 1121 would amend the CFPB's organizational structure 
to promote sound, stable policymaking at the Bureau. 
Consideration of CFPB's rules, policies, and enforcement 
actions by a Commission ensures that multiple perspectives are 
brought to bear on decisions made by the CFPB, and that 
different points of view will be considered by the CFPB. As 
illustrated in other federal financial agencies--such as the 
Federal Deposit Insurance Corporation or the Federal Reserve 
Board--the commission structure offers more stability, ensures 
continuity in knowledge, provides for the continuous presence 
of experienced members at all times, and prevents gaps in 
agency effectiveness. Moreover, a commission structure promotes 
predictability in rulemaking by preventing a new CFPB Director 
from unilaterally and abruptly reversing the decisions made by 
a previous Director.
    H.R. 1121 also requires four of the Commission's appointees 
to have strong competencies and experiences related to consumer 
financial protection. The fifth Commissioner will be the Vice 
Chairman for Supervision of the Federal Reserve System--a 
prudential regulator. By making one member of the Commission a 
prudential regulator, the legislation will ensure that the 
CFPB's rules and regulations are rational and balanced and that 
the Commissioners consider the effect of the rules on the safe 
and sound operations of regulated financial institutions. The 
structure of the CFPB Commission will discourage the Bureau 
from implementing hastily promulgated rules that could reduce 
the availability or drive up the cost of credit.

                                Hearings

    The Subcommittee on Financial Institutions and Consumer 
Credit held a hearing on March 16, 2011 entitled ``Oversight of 
the Consumer Financial Protection Bureau.'' There was one 
witness:
           Ms. Elizabeth Warren, Special Advisor to the 
        Secretary of the Treasury for the Consumer Financial 
        Protection Bureau, Department of the Treasury
    The Subcommittee on Financial Institutions and Consumer 
Credit held a legislative hearing on April 6, 2011 entitled, 
``Legislative Proposals to Improve the Structure of the 
Consumer Financial Protection Bureau.'' The following witnesses 
testified:
           Ms. Leslie R. Andersen, President and Chief 
        Executive Officer, Bank of Bennington on behalf of the 
        American Bankers Association
           Ms. Lynette W. Smith, President and Chief 
        Executive Officer, Washington Gas Light FCU on behalf 
        of the National Association of Federal Credit Unions
           Mr. Jess Sharp, Executive Director, Center 
        for Capital Markets Competitiveness, U.S. Chamber of 
        Commerce
           Mr. Hilary Shelton, Director, NAACP 
        Washington Bureau and Senior VP for Advocacy and 
        Policy, NAACP
           Mr. Noah H. Wilcox, President and Chief 
        Executive Officer, Grand Rapids State Bank on behalf of 
        the Independent Community Bankers of America
           Mr. Rod Staatz, President and Chief 
        Executive Officer, SECU of Maryland on behalf of the 
        Credit Union National Association
           Mr. Richard Hunt, President, Consumer 
        Bankers Association
           Prof. Adam J. Levitin, Georgetown University 
        Law Center

                        Committee Consideration

    The Subcommittee on Financial Institutions and Consumer 
Credit met in open session on May 4, 2011 and ordered H.R. 
1121, the Responsible Consumer Financial Protection Regulations 
Act of 2011, favorably reported to the Full Committee by a 
record vote of 13 yeas and 7 nays (Record vote no. FI-5).
    The Committee on Financial Services met in open session on 
May 12, 2011 and ordered H.R. 1121, the Responsible Consumer 
Financial Protection Regulations Act of 2011, as amended, 
favorably reported to the House by a record vote of 33 yeas and 
24 nays (Record vote no. FC-32).

                            Committee Votes

    Clause 3(b) of rule XIII of the Rules of the House of 
Representatives requires the Committee to list the record votes 
on the motion to report legislation and amendments thereto. A 
motion by Chairman Bachus to report the bill, as amended, to 
the House with a favorable recommendation was agreed to by a 
record vote of 33 yeas and 24 nays (Record vote no. FC-32). The 
names of Members voting for and against follow:

                                              RECORD VOTE NO. FC-32
----------------------------------------------------------------------------------------------------------------
         Representative             Aye       Nay     Present     Representative      Aye       Nay     Present
----------------------------------------------------------------------------------------------------------------
Mr. Bachus.....................        X   ........  .........  Mr. Frank (MA)...  ........        X   .........
Mr. Hensarling.................        X   ........  .........  Ms. Waters.......  ........        X   .........
Mr. King (NY)..................        X   ........  .........  Mrs. Maloney.....  ........        X   .........
Mr. Royce......................        X   ........  .........  Mr. Gutierrez....  ........  ........  .........
Mr. Lucas......................        X   ........  .........  Ms. Velazquez....  ........        X   .........
Mr. Paul.......................  ........  ........  .........  Mr. Watt.........  ........        X   .........
Mr. Manzullo...................        X   ........  .........  Mr. Ackerman.....  ........        X   .........
Mr. Jones......................        X   ........  .........  Mr. Sherman......  ........        X   .........
Mrs. Biggert...................        X   ........  .........  Mr. Meeks........  ........        X   .........
Mr. Gary G. Miller (CA)........        X   ........  .........  Mr. Capuano......  ........        X   .........
Mrs. Capito....................        X   ........  .........  Mr. Hinojosa.....  ........        X   .........
Mr. Garrett....................        X   ........  .........  Mr. Clay.........  ........        X   .........
Mr. Neugebauer.................        X   ........  .........  Mrs. McCarthy      ........  ........  .........
                                                                 (NY).
Mr. McHenry....................        X   ........  .........  Mr. Baca.........  ........        X   .........
Mr. Campbell...................        X   ........  .........  Mr. Lynch........  ........        X   .........
Mrs. Bachmann..................        X   ........  .........  Mr. Miller (NC)..  ........        X   .........
Mr. McCotter...................        X   ........  .........  Mr. David Scott    ........        X   .........
                                                                 (GA).
Mr. McCarthy (CA)..............        X   ........  .........  Mr. Al Green (TX)  ........        X   .........
Mr. Pearce.....................        X   ........  .........  Mr. Cleaver......  ........        X   .........
Mr. Posey......................        X   ........  .........  Ms. Moore........  ........        X   .........
Mr. Fitzpatrick................        X   ........  .........  Mr. Ellison......  ........  ........  .........
Mr. Westmoreland...............        X   ........  .........  Mr. Perlmutter...  ........        X   .........
Mr. Luetkemeyer................        X   ........  .........  Mr. Donnelly.....  ........        X   .........
Mr. Huizenga...................        X   ........  .........  Mr. Carson.......  ........        X   .........
Mr. Duffy......................        X   ........  .........  Mr. Himes........  ........        X   .........
Ms. Hayworth...................        X   ........  .........  Mr. Peters.......  ........        X   .........
Mr. Renacci....................        X   ........  .........  Mr. Carney.......  ........        X   .........
Mr. Hurt.......................        X   ........  .........
Mr. Dold.......................        X   ........  .........
Mr. Schweikert.................        X   ........  .........
Mr. Grimm......................        X   ........  .........
Mr. Canseco....................        X   ........  .........
Mr. Stivers....................        X   ........  .........
Mr. Fincher....................        X   ........  .........
----------------------------------------------------------------------------------------------------------------

    During consideration of H.R. 1121, the following amendments 
were considered:
    1. An amendment offered by Mr. Royce, no. 1, to make the 
Fed's Vice-Chairman for Supervision a permanent member of the 
CFPB Commission, was agreed to by a record vote of 32 yeas and 
22 nays (Record vote no. FC-29).

                                              RECORD VOTE NO. FC-29
----------------------------------------------------------------------------------------------------------------
         Representative             Aye       Nay     Present     Representative      Aye       Nay     Present
----------------------------------------------------------------------------------------------------------------
Mr. Bachus.....................        X   ........  .........  Mr. Frank (MA)...  ........        X   .........
Mr. Hensarling.................        X   ........  .........  Ms. Waters.......  ........        X   .........
Mr. King (NY)..................        X   ........  .........  Mrs. Maloney.....  ........        X   .........
Mr. Royce......................        X   ........  .........  Mr. Gutierrez....  ........  ........  .........
Mr. Lucas......................        X   ........  .........  Ms. Velazquez....  ........        X   .........
Mr. Paul.......................  ........  ........  .........  Mr. Watt.........  ........        X   .........
Mr. Manzullo...................        X   ........  .........  Mr. Ackerman.....  ........  ........  .........
Mr. Jones......................  ........        X   .........  Mr. Sherman......  ........        X   .........
Mrs. Biggert...................        X   ........  .........  Mr. Meeks........  ........  ........  .........
Mr. Gary G. Miller (CA)........        X   ........  .........  Mr. Capuano......  ........        X   .........
Mrs. Capito....................        X   ........  .........  Mr. Hinojosa.....  ........        X   .........
Mr. Garrett....................        X   ........  .........  Mr. Clay.........  ........        X   .........
Mr. Neugebauer.................        X   ........  .........  Mrs. McCarthy      ........  ........  .........
                                                                 (NY).
Mr. McHenry....................        X   ........  .........  Mr. Baca.........  ........  ........  .........
Mr. Campbell...................        X   ........  .........  Mr. Lynch........  ........        X   .........
Mrs. Bachmann..................        X   ........  .........  Mr. Miller (NC)..  ........        X   .........
Mr. McCotter...................        X   ........  .........  Mr. David Scott    ........        X   .........
                                                                 (GA).
Mr. McCarthy (CA)..............        X   ........  .........  Mr. Al Green (TX)  ........        X   .........
Mr. Pearce.....................        X   ........  .........  Mr. Cleaver......  ........        X   .........
Mr. Posey......................        X   ........  .........  Ms. Moore........  ........        X   .........
Mr. Fitzpatrick................        X   ........  .........  Mr. Ellison......  ........  ........  .........
Mr. Westmoreland...............        X   ........  .........  Mr. Perlmutter...  ........        X   .........
Mr. Luetkemeyer................        X   ........  .........  Mr. Donnelly.....  ........        X   .........
Mr. Huizenga...................        X   ........  .........  Mr. Carson.......  ........        X   .........
Mr. Duffy......................        X   ........  .........  Mr. Himes........  ........        X   .........
Ms. Hayworth...................        X   ........  .........  Mr. Peters.......  ........        X   .........
Mr. Renacci....................        X   ........  .........  Mr. Carney.......  ........        X   .........
Mr. Hurt.......................        X   ........  .........
Mr. Dold.......................        X   ........  .........
Mr. Schweikert.................        X   ........  .........
Mr. Grimm......................        X   ........  .........
Mr. Canseco....................        X   ........  .........
Mr. Stivers....................        X   ........  .........
Mr. Fincher....................        X   ........  .........
----------------------------------------------------------------------------------------------------------------

    2. An amendment offered by Mr. Duffy, no. 2a, as amended by 
an amendment offered by Mr. Miller of North Carolina, no. 2b, 
to an amendment offered by Ms. Velazquez, no. 2, to add that 
the criteria of minorities or youth also be considered by one 
Commissioner as his or her responsibility oversight of the 
Bureau's activities pertaining to consumer protection, was 
agreed to by a record vote of 30 yeas and 25 nays (Record vote 
no. FC-30).

                                              RECORD VOTE NO. FC-30
----------------------------------------------------------------------------------------------------------------
         Representative             Aye       Nay     Present     Representative      Aye       Nay     Present
----------------------------------------------------------------------------------------------------------------
Mr. Bachus.....................        X   ........  .........  Mr. Frank (MA)...  ........        X   .........
Mr. Hensarling.................        X   ........  .........  Ms. Waters.......  ........        X   .........
Mr. King (NY)..................        X   ........  .........  Mrs. Maloney.....  ........        X   .........
Mr. Royce......................        X   ........  .........  Mr. Gutierrez....  ........  ........  .........
Mr. Lucas......................        X   ........  .........  Ms. Velazquez....  ........        X   .........
Mr. Paul.......................  ........  ........  .........  Mr. Watt.........  ........        X   .........
Mr. Manzullo...................        X   ........  .........  Mr. Ackerman.....  ........  ........  .........
Mr. Jones......................  ........        X   .........  Mr. Sherman......  ........        X   .........
Mrs. Biggert...................        X   ........  .........  Mr. Meeks........  ........  ........  .........
Mr. Gary G. Miller (CA)........        X   ........  .........  Mr. Capuano......  ........        X   .........
Mrs. Capito....................        X   ........  .........  Mr. Hinojosa.....  ........        X   .........
Mr. Garrett....................        X   ........  .........  Mr. Clay.........  ........        X   .........
Mr. Neugebauer.................        X   ........  .........  Mrs. McCarthy      ........  ........  .........
                                                                 (NY).
Mr. McHenry....................        X   ........  .........  Mr. Baca.........  ........        X   .........
Mr. Campbell...................  ........        X   .........  Mr. Lynch........  ........        X   .........
Mrs. Bachmann..................        X   ........  .........  Mr. Miller (NC)..  ........        X   .........
Mr. McCotter...................        X   ........  .........  Mr. David Scott    ........        X   .........
                                                                 (GA).
Mr. McCarthy (CA)..............        X   ........  .........  Mr. Al Green (TX)  ........        X   .........
Mr. Pearce.....................        X   ........  .........  Mr. Cleaver......  ........        X   .........
Mr. Posey......................        X   ........  .........  Ms. Moore........  ........        X   .........
Mr. Fitzpatrick................        X   ........  .........  Mr. Ellison......  ........  ........  .........
Mr. Westmoreland...............        X   ........  .........  Mr. Perlmutter...  ........        X   .........
Mr. Luetkemeyer................        X   ........  .........  Mr. Donnelly.....  ........        X   .........
Mr. Huizenga...................        X   ........  .........  Mr. Carson.......  ........        X   .........
Mr. Duffy......................        X   ........  .........  Mr. Himes........  ........        X   .........
Ms. Hayworth...................  ........        X   .........  Mr. Peters.......  ........        X   .........
Mr. Renacci....................        X   ........  .........  Mr. Carney.......  ........        X   .........
Mr. Hurt.......................        X   ........  .........
Mr. Dold.......................        X   ........  .........
Mr. Schweikert.................        X   ........  .........
Mr. Grimm......................        X   ........  .........
Mr. Canseco....................        X   ........  .........
Mr. Stivers....................        X   ........  .........
Mr. Fincher....................        X   ........  .........
----------------------------------------------------------------------------------------------------------------

    3. An amendment offered by Mrs. Maloney, no. 3, as amended 
by an amendment offered by Mr. Watt, no. 3a, to require that 
the Chair of the Bureau be a person who is credited with 
originating the idea for the Bureau, who advocated for its 
creation, who is currently standing up the Bureau, and who 
wants to make prices clear and protect service members, was not 
agreed to by a record vote of 15 yeas, 38 nays and 3 present 
(Record vote no. FC-31).

                                              RECORD VOTE NO. FC-31
----------------------------------------------------------------------------------------------------------------
         Representative             Aye       Nay     Present     Representative      Aye       Nay     Present
----------------------------------------------------------------------------------------------------------------
Mr. Bachus.....................  ........        X   .........  Mr. Frank (MA)...  ........        X   .........
Mr. Hensarling.................  ........        X   .........  Ms. Waters.......        X   ........  .........
Mr. King (NY)..................  ........        X   .........  Mrs. Maloney.....        X   ........  .........
Mr. Royce......................  ........        X   .........  Mr. Gutierrez....  ........  ........  .........
Mr. Lucas......................  ........        X   .........  Ms. Velazquez....        X   ........  .........
Mr. Paul.......................  ........  ........  .........  Mr. Watt.........        X   ........  .........
Mr. Manzullo...................  ........        X   .........  Mr. Ackerman.....  ........  ........  .........
Mr. Jones......................  ........        X   .........  Mr. Sherman......  ........        X   .........
Mrs. Biggert...................  ........        X   .........  Mr. Meeks........        X   ........  .........
Mr. Gary G. Miller (CA)........  ........        X   .........  Mr. Capuano......        X   ........  .........
Mrs. Capito....................  ........        X   .........  Mr. Hinojosa.....        X   ........  .........
Mr. Garrett....................  ........        X   .........  Mr. Clay.........        X   ........  .........
Mr. Neugebauer.................  ........        X   .........  Mrs. McCarthy      ........  ........  .........
                                                                 (NY).
Mr. McHenry....................  ........        X   .........  Mr. Baca.........        X   ........  .........
Mr. Campbell...................  ........        X   .........  Mr. Lynch........        X   ........  .........
Mrs. Bachmann..................  ........        X   .........  Mr. Miller (NC)..  ........  ........         X
Mr. McCotter...................  ........        X   .........  Mr. David Scott    ........        X   .........
                                                                 (GA).
Mr. McCarthy (CA)..............  ........        X   .........  Mr. Al Green (TX)  ........  ........         X
Mr. Pearce.....................  ........        X   .........  Mr. Cleaver......  ........  ........         X
Mr. Posey......................  ........        X   .........  Ms. Moore........  ........        X   .........
Mr. Fitzpatrick................  ........        X   .........  Mr. Ellison......  ........  ........  .........
Mr. Westmoreland...............  ........        X   .........  Mr. Perlmutter...        X   ........  .........
Mr. Luetkemeyer................  ........        X   .........  Mr. Donnelly.....  ........        X   .........
Mr. Huizenga...................  ........        X   .........  Mr. Carson.......        X   ........  .........
Mr. Duffy......................  ........        X   .........  Mr. Himes........        X   ........  .........
Ms. Hayworth...................  ........        X   .........  Mr. Peters.......        X   ........  .........
Mr. Renacci....................  ........        X   .........  Mr. Carney.......        X   ........  .........
Mr. Hurt.......................  ........        X   .........
Mr. Dold.......................  ........        X   .........
Mr. Schweikert.................  ........        X   .........
Mr. Grimm......................  ........        X   .........
Mr. Canseco....................  ........        X   .........
Mr. Stivers....................  ........        X   .........
Mr. Fincher....................  ........        X   .........
----------------------------------------------------------------------------------------------------------------

    The following amendments and motion were also considered by 
the Committee:
    1. An amendment offered by Mr. Miller of North Carolina, 
no. 2b, to an amendment offered by Mr. Duffy, no. 2a, to delete 
``and'' and add ``, or'' after youth was agreed to by Unanimous 
Consent.
    2. An amendment offered by Ms. Velazquez, no. 2, as amended 
by an amendment offered by Mr. Duffy, no. 2a, as amended, to 
require that one Commissioner shall have as his or her primary 
responsibility the oversight of the Bureau's activities 
pertaining to consumer protection focusing on older consumers, 
veterans, minorities, or youth was agreed to by voice vote.
    3. An amendment offered by Mr. Watt, no. 3a, to an 
amendment offered by Mrs. Maloney, no. 3, to add ``first'' 
before ``Chair'' on line 1, was agreed to by Unanimous Consent.
    4. An amendment offered by Mr. Ellison, no. 4a, to an 
amendment offered by Mr. Ellison, no. 4, to change the location 
of the amendment text from page 4, line 15 to page 3 after line 
3, was agreed to by Unanimous Consent.
    5. An amendment offered by Mr. Ellison, no. 4, as amended 
by an amendment offered by Mr. Ellison, no. 4a, to require that 
members of the Commission should want to protect service 
members and their families, was agreed to by voice vote.
    6. An amendment offered by Mr. Ellison, no. 5, to require 
Senate confirmation votes within 90 days of a nomination being 
submitted by the President, was not agreed to by voice vote.
    7. A motion offered by Mr. Hensarling, to move the previous 
question on H.R. 1121, was agreed to by voice vote.

                      Committee Oversight Findings

    Pursuant to clause 3(c)(1) of rule XIII of the Rules of the 
House of Representatives, the Committee has held a hearing and 
made findings that are reflected in this report.

                    Performance Goals and Objectives

    Pursuant to clause 3(c)(4) of rule XIII of the Rules of the 
House of Representatives, the Committee establishes the 
following performance related goals and objectives for this 
legislation:
    The purpose of H.R. 1121 is to amend the CFPB's 
organizational structure to promote sound, stable policymaking 
at the Bureau. The bill makes the leadership structure of the 
CFPB a collegial body, like that of other Federal agencies 
charged with consumer or investor protection, such as the FTC, 
the SEC, and the FDIC. Specifically, H.R. 1121 replaces the 
Director of the CFPB with a five-person Commission with one 
member of the Commission to be the Vice Chairman for 
Supervision of the Federal Reserve System. In addition, H.R. 
1121 requires four of the appointees to the Commission to have 
strong competencies and experiences related to consumer 
financial protection.

   New Budget Authority, Entitlement Authority, and Tax Expenditures

    In compliance with clause 3(c)(2) of rule XIII of the Rules 
of the House of Representatives, the Committee adopts as its 
own the estimate of new budget authority, entitlement 
authority, or tax expenditures or revenues contained in the 
cost estimate prepared by the Director of the Congressional 
Budget Office pursuant to section 402 of the Congressional 
Budget Act of 1974.

                        Committee Cost Estimate

    The Committee adopts as its own the cost estimate prepared 
by the Director of the Congressional Budget Office pursuant to 
section 402 of the Congressional Budget Act of 1974.

                 Congressional Budget Office Estimates

    Pursuant to clause 3(c)(3) of rule XIII of the Rules of the 
House of Representatives, the following is the cost estimate 
provided by the Congressional Budget Office pursuant to section 
402 of the Congressional Budget Act of 1974:

                                                      May 24, 2011.
Hon. Spencer Bachus,
Chairman, Committee on Financial Services,
House of Representatives, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for H.R. 1121, the 
Responsible Consumer Financial Protection Regulations Act of 
2011.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is Susan Willie.
            Sincerely,
                                              Douglas W. Elmendorf.
    Enclosure.

H.R. 1121--Responsible Consumer Financial Protection Regulations Act of 
        2011

    Summary: H.R. 1121 would replace the Director of the 
Consumer Financial Protection Bureau (CFPB) with a commission 
made up of a chairman and four additional members appointed by 
the President and confirmed by the Senate. The commission would 
be responsible for developing regulations to carry out the laws 
that fall within the jurisdiction of the CFPB. The CFPB is 
permanently authorized to spend amounts transferred from the 
Federal Reserve. Because that activity is not subject to 
appropriation, CFPB expenditures constitute direct spending.
    Based on information from the CFPB, CBO estimates that 
enacting H.R. 1121 would increase direct spending by $71 
million over the 2012-2021 period. Because the bill would 
affect direct spending, pay-as-you-go procedures apply. CBO 
estimates that the bill would not affect revenues or spending 
subject to appropriation.
    H.R. 1121 contains no intergovernmental or private-sector 
mandates as defined in the Unfunded Mandates Reform Act (UMRA) 
and would not affect the budgets of state, local, or tribal 
governments.
    Estimated cost to the Federal Government: The estimated 
budgetary impact of H.R. 1121 is shown in the following table. 
The costs of this legislation fall within budget function 370 
(commerce and housing credit).

--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                       By fiscal year, in millions of dollars--
                                                             -------------------------------------------------------------------------------------------
                                                               2012   2013   2014   2015   2016   2017   2018   2019   2020   2021  2012-2016  2012-2021
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                               CHANGES IN DIRECT SPENDING

Estimated Budget Authority..................................      5      7      7      7      7      7      7      8      9      9        34         73
Estimated Outlays...........................................      4      6      7      7      7      7      7      8      9      9        31        71
--------------------------------------------------------------------------------------------------------------------------------------------------------
Note: Components may not sum to totals because of rounding.

    Basis of estimate: CBO assumes that the bill will be 
enacted near the end of fiscal year 2011, that the new 
commissioners will be hired by the end of the first quarter of 
fiscal year 2012, and that spending will follow historical 
patterns for similar activities.
    H.R. 1121 would replace the director and deputy director of 
the CFPB with a five-member commission. Based on information 
from the CFPB, CBO estimates that the agency would hire an 
additional 20 employees in fiscal year 2012 to provide legal, 
research, and administrative support to the commissioners; 
currently, the CFPB projects that the director's office would 
be supported by a staff of 10 employees that would provide 
similar services.
    The agency plans to reach full staffing levels (about 1,500 
employees) over the next several years; of that total, 
approximately 300 positions are expected to transfer from other 
regulatory agencies near the end of fiscal year 2011. The new 
staff will carry out the authority that will be transferred to 
the bureau in July to enforce federal laws related to consumer 
financial protection and to establish a number of new offices 
that will focus on fair lending, financial education, and 
financial protection for older Americans and servicemembers. To 
carry out those authorities, CBO estimates that the bureau will 
spend $114 million in 2011 and an average of about $420 million 
per year over the 2011-2021 period.
    Based on information from the CFPB and other agencies with 
similar organizational structures, CBO estimates that enacting 
H.R. 1121 would increase direct spending by $71 million over 
the 2012-2021 period (about 2 percent of CBO's estimate of the 
11-year costs for the bureau). Those additional costs represent 
expenses for salaries, benefits, and overhead for new positions 
that would not be created under current law.
    Pay-as-you-go considerations: The Statutory Pay-As-You-Go 
Act of 2010 establishes budget-reporting and enforcement 
procedures for legislation affecting direct spending or 
revenues. The net changes in outlays that are subject to those 
pay-as-you-go procedures are shown in the following table.

--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                     By Fiscal Year, in Millions of Dollars
                                                      --------------------------------------------------------------------------------------------------
                                                        2011   2012   2013   2014   2015   2016   2017   2018   2019   2020   2021  2011-2016  2011-2021
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                               NET INCREASE IN THE DEFICIT

Statutory Pay-As-You-Go Impact.......................      0      4      6      7      7      7      7      7      8      9      9        31         71
--------------------------------------------------------------------------------------------------------------------------------------------------------

    Intergovernmental and private-sector impact: H.R. 1121 
contains no intergovernmental or private-sector mandates as 
defined in UMRA and would not affect the budgets of state, 
local, or tribal governments.
    Estimate prepared by: Federal Costs: Susan Willie; Impact 
on State, Local, and Tribal Governments: Elizabeth Cove 
Delisle; Impact on the Private Sector: Paige Piper/Bach.
    Estimate approved by: Theresa Gullo, Deputy Assistant 
Director for Budget Analysis.

                       Federal Mandates Statement

    The Committee adopts as its own the estimate of Federal 
mandates prepared by the Director of the Congressional Budget 
Office pursuant to section 423 of the Unfunded Mandates Reform 
Act.

                      Advisory Committee Statement

    No advisory committees within the meaning of section 5(b) 
of the Federal Advisory Committee Act were created by this 
legislation.

                  Applicability to Legislative Branch

    The Committee finds that the legislation does not relate to 
the terms and conditions of employment or access to public 
services or accommodations within the meaning of the section 
102(b)(3) of the Congressional Accountability Act.

                         Earmark Identification

    H.R. 1121 does not contain any congressional earmarks, 
limited tax benefits, or limited tariff benefits as defined in 
clause 9 of rule XXI.

             Section-by-Section Analysis of the Legislation


Section 1. Short title

    This Act may be cited as the ``Responsible Consumer 
Financial Protection Regulations Act of 2011.''

Section 2. Establishment of the commission

    Section Two amends Section 1011 of the Dodd-Frank Act. 
Subsections (b), (c), and (d) of Section 1011, which provide 
for the CFPB to be headed by a Director, are stricken. Instead, 
a Commission, with responsibility for exercising the Bureau's 
authorities, is established to run the CFPB.
    The Commission will be composed of four members appointed 
by the President, with the advice and consent of the Senate, 
plus the Vice Chairman for Supervision of the Federal Reserve 
System. The appointed members of the Commission shall serve 
five-year, staggered terms. One member of the Commission will 
focus on protecting consumers who are older, minorities, youth, 
or veterans from unfair, deceptive, and abusive practices. Not 
more than two appointed Commission members shall be members of 
any one political party.
    The Chair of the Commission will be appointed by the 
President from among the four appointed Commission members. The 
Chair ``should want to protect service members and their 
families from abusive financial practices.'' The Chair will 
exercise all the CFPB's executive and administrative functions. 
The Chair will, however, be governed by the general policies, 
findings, and determinations of the Commission in carrying out 
his or her duties.

Section 3. Conforming amendments

    Section Three makes conforming amendments to the following 
laws: Consumer Financial Protection Act of 2010, Dodd-Frank 
Wall Street Reform and Consumer Protection Act of 2010, 
Electronic Funds Transfer Act, Expedited Funds Availability 
Act, Federal Deposit Insurance Act, Federal Financial 
Institutions Examination Council Act of 1978, Financial 
Literacy and Education Improvement Act, Home Mortgage 
Disclosure Act of 1975, Interstate Land Sales Full Disclosure 
Act, Real Estate Settlement Procedures Act of 1974, and 
S.A.F.E. Mortgage Licensing Act of 2008.

         Changes in Existing Law Made by the Bill, as Reported

  In compliance with clause 3(e) of rule XIII of the Rules of 
the House of Representatives, changes in existing law made by 
the bill, as reported, are shown as follows (existing law 
proposed to be omitted is enclosed in black brackets, new 
matter is printed in italic, existing law in which no change is 
proposed is shown in roman):

               CONSUMER FINANCIAL PROTECTION ACT OF 2010


            TITLE X--BUREAU OF CONSUMER FINANCIAL PROTECTION

SEC. 1001. SHORT TITLE.

  This title may be cited as the ``Consumer Financial 
Protection Act of 2010''.

SEC. 1002. DEFINITIONS.

  Except as otherwise provided in this title, for purposes of 
this title, the following definitions shall apply:
          (1) * * *

           *       *       *       *       *       *       *

          [(10) Director.--The term ``Director'' means the 
        Director of the Bureau.]

           *       *       *       *       *       *       *


          Subtitle A--Bureau of Consumer Financial Protection

SEC. 1011. ESTABLISHMENT OF THE BUREAU OF CONSUMER FINANCIAL 
                    PROTECTION.

  (a) * * *
  [(b) Director and Deputy Director.--
          [(1) In general.--There is established the position 
        of the Director, who shall serve as the head of the 
        Bureau.
          [(2) Appointment.--Subject to paragraph (3), the 
        Director shall be appointed by the President, by and 
        with the advice and consent of the Senate.
          [(3) Qualification.--The President shall nominate the 
        Director from among individuals who are citizens of the 
        United States.
          [(4) Compensation.--The Director shall be compensated 
        at the rate prescribed for level II of the Executive 
        Schedule under section 5313 of title 5, United States 
        Code.
          [(5) Deputy director.--There is established the 
        position of Deputy Director, who shall--
                  [(A) be appointed by the Director; and
                  [(B) serve as acting Director in the absence 
                or unavailability of the Director.
  [(c) Term.--
          [(1) In general.--The Director shall serve for a term 
        of 5 years.
          [(2) Expiration of term.--An individual may serve as 
        Director after the expiration of the term for which 
        appointed, until a successor has been appointed and 
        qualified.
          [(3) Removal for cause.--The President may remove the 
        Director for inefficiency, neglect of duty, or 
        malfeasance in office.
  [(d) Service Restriction.--No Director or Deputy Director may 
hold any office, position, or employment in any Federal reserve 
bank, Federal home loan bank, covered person, or service 
provider during the period of service of such person as 
Director or Deputy Director.]
  (b) Establishment of the Commission.--
          (1) In general.--There is hereby established a 
        commission (hereinafter referred to in this section as 
        the ``Commission'') that shall serve as the head of the 
        Bureau.
          (2) Authority to prescribe regulations.--The 
        Commission may prescribe such regulations and issue 
        such orders in accordance with this title as the 
        Commission may determine to be necessary for carrying 
        out this title and all other laws within the 
        Commission's jurisdiction and shall exercise any 
        authorities granted under this title and all other laws 
        within the Commission's jurisdiction.
  (c) Composition of the Commission.--
          (1) In general.--The Commission shall be composed of 
        the Vice Chairman for Supervision of the Federal 
        Reserve System and 4 additional members who shall be 
        appointed by the President, by and with the advice and 
        consent of the Senate, from among individuals who--
                  (A) are citizens of the United States;
                  (B) have strong competencies and experiences 
                related to consumer financial protection; and
                  (C) should want to protect service members 
                and their families who are sacrificing their 
                lives for this country from abusive financial 
                practices.
          (2) Staggering.--The members of the Commission 
        appointed under paragraph (1) shall serve staggered 
        terms, which initially shall be established by the 
        President for terms of 1, 2, 4, and 5 years, 
        respectively.
          (3) Terms.--
                  (A) In general.--Each member of the 
                Commission appointed under paragraph (1), 
                including the Chair, shall serve for a term of 
                5 years.
                  (B) Removal for cause.--The President may 
                remove any member of the Commission appointed 
                under paragraph (1) only for inefficiency, 
                neglect of duty, or malfeasance in office.
                  (C) Vacancies.--Any member of the Commission 
                appointed under paragraph (1) appointed to fill 
                a vacancy occurring before the expiration of 
                the term to which that member's predecessor was 
                appointed (including the Chair) shall be 
                appointed only for the remainder of the term.
                  (D) Continuation of service.--Each member of 
                the Commission appointed under paragraph (1) 
                may continue to serve after the expiration of 
                the term of office to which that member was 
                appointed until a successor has been appointed 
                by the President and confirmed by the Senate, 
                except that a member may not continue to serve 
                more than 1 year after the date on which that 
                member's term would otherwise expire.
                  (E) Other employment prohibited.--No member 
                of the Commission appointed under paragraph (1) 
                shall engage in any other business, vocation, 
                or employment.
          (4) Roles and responsibilities of commissioners.--One 
        member of the Commission shall have as their primary 
        responsibility the oversight of the Bureau's activities 
        pertaining to protecting consumers, with a focus on 
        consumers who are older, minorities, youth, or 
        veterans, from unfair, deceptive, and abusive lending 
        practices. The designated commissioner shall be 
        responsible for--
                  (A) ensuring the Bureau conducts regular 
                outreach to consumers regarding industry 
                lending activities;
                  (B) researching and reporting to the full 
                Commission, on a regular basis, the impact of 
                new loan and credit products and services on 
                consumers; and
                  (C) ensuring the Bureau coordinates with 
                State-level consumer protection agencies on 
                enforcement measures that protect consumers 
                from unfair, deceptive, and abusive lending 
                practices.
  (d) Affiliation.--With respect to members appointed pursuant 
to subsection (c)(1), not more than 2 shall be members of any 
one political party.
  (e) Chair of the Commission.--
          (1) Appointment.--The Chair of the Commission shall 
        be appointed by the President from among the members of 
        the Commission appointed under paragraph (1).
          (2) Authority.--The Chair shall be the principal 
        executive officer of the Bureau, and shall exercise all 
        of the executive and administrative functions of the 
        Bureau, including with respect to--
                  (A) the appointment and supervision of 
                personnel employed under the Bureau (other than 
                personnel employed regularly and full time in 
                the immediate offices of members of the 
                Commission other than the Chair);
                  (B) the distribution of business among 
                personnel appointed and supervised by the Chair 
                and among administrative units of the Bureau; 
                and
                  (C) the use and expenditure of funds.
          (3) Limitation.--In carrying out any of the Chair's 
        functions under the provisions of this subsection the 
        Chair shall be governed by general policies of the 
        Commission and by such regulatory decisions, findings, 
        and determinations as the Commission may by law be 
        authorized to make.
          (4) Requests or estimates related to 
        appropriations.--Requests or estimates for regular, 
        supplemental, or deficiency appropriations on behalf of 
        the Commission may not be submitted by the Chair 
        without the prior approval of the Commission.
  (f) No Impairment by Reason of Vacancies.--No vacancy in the 
members of the Commission shall impair the right of the 
remaining members of the Commission to exercise all the powers 
of the Commission. Three members of the Commission shall 
constitute a quorum for the transaction of business, except 
that if there are only 3 members serving on the Commission 
because of vacancies in the Commission, 2 members of the 
Commission shall constitute a quorum for the transaction of 
business. If there are only 2 members serving on the Commission 
because of vacancies in the Commission, 2 members shall 
constitute a quorum for the 6-month period beginning on the 
date of the vacancy which caused the number of Commission 
members to decline to 2.
  (g) Seal.--The Commission shall have an official seal.
  (h) Compensation.--
          (1) Chair.--The Chair shall receive compensation at 
        the rate prescribed for level I of the Executive 
        Schedule under section 5313 of title 5, United States 
        Code.
          (2) Other members of the commission.--The 3 other 
        members of the Commission appointed under subsection 
        (c)(1) shall each receive compensation at the rate 
        prescribed for level II of the Executive Schedule under 
        section 5314 of title 5, United States Code.
  (i) Initial Quorum Established.--During any time period prior 
to the confirmation of at least two members of the Commission, 
one member of the Commission shall constitute a quorum for the 
transaction of business. Following the confirmation of at least 
2 additional commissioners, the quorum requirements of 
subsection (f) shall apply.
  [(e)] (j)   Offices.--The principal office of the Bureau 
shall be in the District of Columbia. The [Director] Bureau may 
establish regional offices of the Bureau, including in cities 
in which the Federal reserve banks, or branches of such banks, 
are located, in order to carry out the responsibilities 
assigned to the Bureau under the Federal consumer financial 
laws.

SEC. 1012. EXECUTIVE AND ADMINISTRATIVE POWERS.

  (a) Powers of the Bureau.--The Bureau is authorized to 
establish the general policies of the Bureau with respect to 
all executive and administrative functions, including--
          (1) * * *

           *       *       *       *       *       *       *

          (8) the distribution of business among personnel 
        appointed and supervised by the [Director] Bureau and 
        among administrative units of the Bureau;

           *       *       *       *       *       *       *

  (b) Delegation of Authority.--The [Director of the] Bureau 
may delegate to any duly authorized employee, representative, 
or agent any power vested in the Bureau by law.
  (c) Autonomy of the Bureau.--
          (1) * * *
          (2) Autonomy.--Notwithstanding the authorities 
        granted to the Board of Governors under the Federal 
        Reserve Act, the Board of Governors may not--
                  (A) intervene in any matter or proceeding 
                before the [Director] Bureau, including 
                examinations or enforcement actions, unless 
                otherwise specifically provided by law;

           *       *       *       *       *       *       *

          (4) Recommendations and testimony.--No officer or 
        agency of the United States shall have any authority to 
        require the [Director] Commission of the Bureau or any 
        other officer of the Bureau to submit legislative 
        recommendations, or testimony or comments on 
        legislation, to any officer or agency of the United 
        States for approval, comments, or review prior to the 
        submission of such recommendations, testimony, or 
        comments to the Congress, if such recommendations, 
        testimony, or comments to the Congress include a 
        statement indicating that the views expressed therein 
        are those of the [Director] Commission of the Bureau or 
        such officer, and do not necessarily reflect the views 
        of the Board of Governors or the President.

           *       *       *       *       *       *       *


SEC. 1013. ADMINISTRATION.

  (a) Personnel.--
          (1) Appointment.--
                  (A) In general.--The [Director] Bureau may 
                fix the number of, and appoint and direct, all 
                employees of the Bureau, in accordance with the 
                applicable provisions of title 5, United States 
                Code.
                  (B) Employees of the bureau.--The [Director] 
                Bureau is authorized to employ attorneys, 
                compliance examiners, compliance supervision 
                analysts, economists, statisticians, and other 
                employees as may be deemed necessary to conduct 
                the business of the Bureau. Unless otherwise 
                provided expressly by law, any individual 
                appointed under this section shall be an 
                employee as defined in section 2105 of title 5, 
                United States Code, and subject to the 
                provisions of such title and other laws 
                generally applicable to the employees of an 
                Executive agency.
                  (C) Waiver authority.--
                          (i) In general.--In making any 
                        appointment under subparagraph (A), the 
                        [Director] Bureau may waive the 
                        requirements of chapter 33 of title 5, 
                        United States Code, and the regulations 
                        implementing such chapter, to the 
                        extent necessary to appoint employees 
                        on terms and conditions that are 
                        consistent with those set forth in 
                        section 11(1) of the Federal Reserve 
                        Act (12 U.S.C. 248(1)), while providing 
                        for--
                                  (I) * * *

           *       *       *       *       *       *       *

                          (ii) Veterans preferences.--In 
                        implementing this subparagraph, the 
                        [Director] Bureau shall comply with the 
                        provisions of section 2302(b)(11), 
                        regarding veterans' preference 
                        requirements, in a manner consistent 
                        with that in which such provisions are 
                        applied under chapter 33 of title 5, 
                        United States Code. The authority under 
                        this subparagraph to waive the 
                        requirements of that chapter 33 shall 
                        expire 5 years after the date of 
                        enactment of this Act.
          (2) Compensation.--Notwithstanding any otherwise 
        applicable provision of title 5, United States Code, 
        concerning compensation, including the provisions of 
        chapter 51 and chapter 53, the following provisions 
        shall apply with respect to employees of the Bureau:
                  (A) The rates of basic pay for all employees 
                of the Bureau may be set and adjusted by the 
                [Director] Bureau.
                  (B) The [Director] Bureau shall at all times 
                provide compensation (including benefits) to 
                each class of employees that, at a minimum, are 
                comparable to the compensation and benefits 
                then being provided by the Board of Governors 
                for the corresponding class of employees.

           *       *       *       *       *       *       *

  (b) Specific Functional Units.--
          (1) Research.--The [Director] Bureau shall establish 
        a unit whose functions shall include researching, 
        analyzing, and reporting on--
                  (A) * * *

           *       *       *       *       *       *       *

          (2) Community affairs.--The [Director] Bureau shall 
        establish a unit whose functions shall include 
        providing information, guidance, and technical 
        assistance regarding the offering and provision of 
        consumer financial products or services to 
        traditionally underserved consumers and communities.
          (3) Collecting and tracking complaints.--
                  (A) In general.--The [Director] Bureau shall 
                establish a unit whose functions shall include 
                establishing a single, toll-free telephone 
                number, a website, and a database or utilizing 
                an existing database to facilitate the 
                centralized collection of, monitoring of, and 
                response to consumer complaints regarding 
                consumer financial products or services. The 
                [Director] Bureau shall coordinate with the 
                Federal Trade Commission or other Federal 
                agencies to route complaints to such agencies, 
                where appropriate.

           *       *       *       *       *       *       *

                  (C) Reports to the congress.--The [Director] 
                Bureau shall present an annual report to 
                Congress not later than March 31 of each year 
                on the complaints received by the Bureau in the 
                prior year regarding consumer financial 
                products and services. Such report shall 
                include information and analysis about 
                complaint numbers, complaint types, and, where 
                applicable, information about resolution of 
                complaints.

           *       *       *       *       *       *       *

  (c) Office of Fair Lending and Equal Opportunity.--
          (1) * * *
          (2) Functions.--The Office of Fair Lending and Equal 
        Opportunity shall have such powers and duties as the 
        [Director] Bureau may delegate to the Office, 
        including--
                  (A) * * *

           *       *       *       *       *       *       *

          (3) Administration of office.--There is established 
        the position of [Assistant Director of the Bureau for] 
        Head of the Office of Fair Lending and Equal 
        Opportunity, who--
                  (A) * * *
                  (B) shall carry out such duties as the 
                [Director] Bureau may delegate to such 
                [Assistant Director] Head of the Office.
  (d) Office of Financial Education.--
          (1) Establishment.--The [Director] Bureau shall 
        establish an Office of Financial Education, which shall 
        be responsible for developing and implementing 
        initiatives intended to educate and empower consumers 
        to make better informed financial decisions.

           *       *       *       *       *       *       *

          (3) Coordination.--The Office of Financial Education 
        shall coordinate with other units within the Bureau in 
        carrying out its functions, including--
                  (A) * * *
                  (B) working with the research unit 
                established by the [Director] Bureau to conduct 
                research related to consumer financial 
                education and counseling.
          (4) Report.--Not later than 24 months after the 
        designated transfer date, and annually thereafter, the 
        [Director] Bureau shall submit a report on its 
        financial literacy activities and strategy to improve 
        financial literacy of consumers to--
                  (A) * * *

           *       *       *       *       *       *       *

          (5) Membership in financial literacy and education 
        commission.--Section 513(c)(1) of the Financial 
        Literacy and Education Improvement Act (20 U.S.C. 
        9702(c)(1)) is amended--
                  (A) * * *

           *       *       *       *       *       *       *

                  (C) by inserting after subparagraph (B) the 
                following new subparagraph:
                  ``(C) the [Director of the] Bureau of 
                Consumer Financial Protection; and''.
          (6) Conforming amendment.--Section 513(d) of the 
        Financial Literacy and Education Improvement Act (20 
        U.S.C. 9702(d)) is amended by adding at the end the 
        following: ``The [Director of the] Bureau of Consumer 
        Financial Protection shall serve as the Vice 
        Chairman.''.

           *       *       *       *       *       *       *

  (e) Office of Service Member Affairs.--
          (1) In general.--The [Director] Bureau shall 
        establish an Office of Service Member Affairs, which 
        shall be responsible for developing and implementing 
        initiatives for service members and their families 
        intended to--
                  (A) * * *

           *       *       *       *       *       *       *

          (2) Coordination.--
                  (A) Regional services.--The [Director] Bureau 
                is authorized to assign employees of the Bureau 
                as may be deemed necessary to conduct the 
                business of the Office of Service Member 
                Affairs, 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] Bureau 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 Service Member Affairs.

           *       *       *       *       *       *       *

  (g) Office of Financial Protection for Older Americans.--
          (1) Establishment.--Before the end of the 180-day 
        period beginning on the designated transfer date, the 
        [Director] Bureau shall establish the Office of 
        Financial Protection for Older Americans, the functions 
        of which shall include activities designed to 
        facilitate the financial literacy of individuals who 
        have attained the age of 62 years or more (in this 
        subsection, referred to as ``seniors'') on protection 
        from unfair, deceptive, and abusive practices and on 
        current and future financial choices, including through 
        the dissemination of materials to seniors on such 
        topics.
          (2) [Assistant director]   Head of the office.--The 
        Office of Financial Protection for Older Americans (in 
        this subsection referred to as the ``Office'') shall be 
        headed by [an assistant director] a Head of the Office 
        of Financial Protection for Older Americans.

           *       *       *       *       *       *       *


SEC. 1014. CONSUMER ADVISORY BOARD.

  (a) Establishment Required.--The [Director] Bureau shall 
establish a Consumer Advisory Board to advise and consult with 
the Bureau in the exercise of its functions under the Federal 
consumer financial laws, and to provide information on emerging 
practices in the consumer financial products or services 
industry, including regional trends, concerns, and other 
relevant information.
  (b) Membership.--In appointing the members of the Consumer 
Advisory Board, the [Director] Bureau shall seek to assemble 
experts in consumer protection, financial services, community 
development, fair lending and civil rights, and consumer 
financial products or services and representatives of 
depository institutions that primarily serve underserved 
communities, and representatives of communities that have been 
significantly impacted by higher-priced mortgage loans, and 
seek representation of the interests of covered persons and 
consumers, without regard to party affiliation. Not fewer than 
6 members shall be appointed upon the recommendation of the 
regional Federal Reserve Bank Presidents, on a rotating basis.
  (c) Meetings.--The Consumer Advisory Board shall meet from 
time to time at the call of the [Director] Bureau, but, at a 
minimum, shall meet at least twice in each year.
  (d) Compensation and Travel Expenses.--Members of the 
Consumer Advisory Board who are not full-time employees of the 
United States shall--
          (1) be entitled to receive compensation at a rate 
        fixed by the [Director] Bureau while attending meetings 
        of the Consumer Advisory Board, including travel time; 
        and

           *       *       *       *       *       *       *


SEC. 1016. APPEARANCES BEFORE AND REPORTS TO CONGRESS.

  (a) Appearances Before Congress.--The [Director of the 
Bureau] Chair of the Commission shall appear before the 
Committee on Banking, Housing, and Urban Affairs of the Senate 
and the Committee on Financial Services and the Committee on 
Energy and Commerce of the House of Representatives at semi-
annual hearings regarding the reports required under subsection 
(b).

           *       *       *       *       *       *       *


SEC. 1017. FUNDING; PENALTIES AND FINES.

  (a) Transfer of Funds From Board Of Governors.--
          (1) In general.--Each year (or quarter of such year), 
        beginning on the designated transfer date, and each 
        quarter thereafter, the Board of Governors shall 
        transfer to the Bureau from the combined earnings of 
        the Federal Reserve System, the amount determined by 
        the [Director] Bureau to be reasonably necessary to 
        carry out the authorities of the Bureau under Federal 
        consumer financial law, taking into account such other 
        sums made available to the Bureau from the preceding 
        year (or quarter of such year).

           *       *       *       *       *       *       *

          (4) Budget and financial management.--
                  (A) Financial operating plans and 
                forecasts.--The [Director] Bureau shall provide 
                to the Director of the Office of Management and 
                Budget copies of the financial operating plans 
                and forecasts of the [Director] Bureau, as 
                prepared by the [Director] Bureau in the 
                ordinary course of the operations of the 
                Bureau, and copies of the quarterly reports of 
                the financial condition and results of 
                operations of the Bureau, as prepared by the 
                [Director] Bureau in the ordinary course of the 
                operations of the Bureau.

           *       *       *       *       *       *       *

                  (D) Assertion of internal controls.--The 
                [Director] Bureau shall provide to the 
                Comptroller General of the United States an 
                assertion as to the effectiveness of the 
                internal controls that apply to financial 
                reporting by the Bureau, using the standards 
                established in section 3512(c) of title 31, 
                United States Code.
                  (E) Rule of construction.--This subsection 
                may not be construed as implying any obligation 
                on the part of the [Director] Bureau to consult 
                with or obtain the consent or approval of the 
                Director of the Office of Management and Budget 
                with respect to any report, plan, forecast, or 
                other information referred to in subparagraph 
                (A) or any jurisdiction or oversight over the 
                affairs or operations of the Bureau.

           *       *       *       *       *       *       *

          (5) Audit of the bureau.--
                  (A) * * *

           *       *       *       *       *       *       *

                  (C) Assistance and costs.--For the purpose of 
                conducting an audit under this subsection, the 
                Comptroller General may, in the discretion of 
                the Comptroller General, employ by contract, 
                without regard to section 3709 of the Revised 
                Statutes of the United States (41 U.S.C. 5), 
                professional services of firms and 
                organizations of certified public accountants 
                for temporary periods or for special purposes. 
                Upon the request of the Comptroller General, 
                the [Director of the] Bureau shall transfer to 
                the Government Accountability Office from funds 
                available, the amount requested by the 
                Comptroller General to cover the full costs of 
                any audit and report conducted by the 
                Comptroller General. The Comptroller General 
                shall credit funds transferred to the account 
                established for salaries and expenses of the 
                Government Accountability Office, and such 
                amount shall be available upon receipt and 
                without fiscal year limitation to cover the 
                full costs of the audit and report.

           *       *       *       *       *       *       *

  (c) Use of Funds.--
          (1) In general.--Funds obtained by, transferred to, 
        or credited to the Bureau Fund shall be immediately 
        available to the Bureau and under the control of the 
        [Director] Bureau, and shall remain available until 
        expended, to pay the expenses of the Bureau in carrying 
        out its duties and responsibilities. The compensation 
        of the [Director and other employees] members of the 
        Commission and other employees of the Bureau and all 
        other expenses thereof may be paid from, obtained by, 
        transferred to, or credited to the Bureau Fund under 
        this section.

           *       *       *       *       *       *       *

  (e) Authorization of Appropriations; Annual Report.--
          (1) Determination regarding need for appropriated 
        funds.--
                  (A) In general.--The [Director] Bureau is 
                authorized to determine that sums available to 
                the Bureau under this section will not be 
                sufficient to carry out the authorities of the 
                Bureau under Federal consumer financial law for 
                the upcoming year.
                  (B) Report required.--When making a 
                determination under subparagraph (A), the 
                [Director] Bureau shall prepare a report 
                regarding the funding of the Bureau, including 
                the assets and liabilities of the Bureau, and 
                the extent to which the funding needs of the 
                Bureau are anticipated to exceed the level of 
                the amount set forth in subsection (a)(2). The 
                [Director] Bureau shall submit the report to 
                the President and to the Committee on 
                Appropriations of the Senate and the Committee 
                on Appropriations of the House of 
                Representatives.
          (2) Authorization of appropriations.--If the 
        [Director] Bureau makes the determination and submits 
        the report pursuant to paragraph (1), there are hereby 
        authorized to be appropriated to the Bureau, for the 
        purposes of carrying out the authorities granted in 
        Federal consumer financial law, $200,000,000 for each 
        of fiscal years 2010, 2011, 2012, 2013, and 2014.

           *       *       *       *       *       *       *

          (4) Annual report.--The [Director] Bureau shall 
        prepare and submit a report, on an annual basis, to the 
        Committee on Appropriations of the Senate and the 
        Committee on Appropriations of the House of 
        Representatives regarding the financial operating plans 
        and forecasts of the [Director] Bureau, the financial 
        condition and results of operations of the Bureau, and 
        the sources and application of funds of the Bureau, 
        including any funds appropriated in accordance with 
        this subsection.

           *       *       *       *       *       *       *


Subtitle B--General Powers of the Bureau

           *       *       *       *       *       *       *


SEC. 1022. RULEMAKING AUTHORITY.

  (a) * * *
  (b) Rulemaking, Orders, and Guidance.--
          (1) General authority.--The [Director] Bureau may 
        prescribe rules and issue orders and guidance, as may 
        be necessary or appropriate to enable the Bureau to 
        administer and carry out the purposes and objectives of 
        the Federal consumer financial laws, and to prevent 
        evasions thereof.

           *       *       *       *       *       *       *


SEC. 1024. SUPERVISION OF NONDEPOSITORY COVERED PERSONS.

  (a) * * *
  (b) Supervision.--
          (1) * * *

           *       *       *       *       *       *       *

          (5) Preservation of authority.--Nothing in this title 
        may be construed as limiting the authority of the 
        [Director] Bureau to require reports from persons 
        described in subsection (a)(1), as permitted under 
        paragraph (1), regarding information owned or under the 
        control of such person, regardless of whether such 
        information is maintained, stored, or processed by 
        another person.

           *       *       *       *       *       *       *


SEC. 1025. SUPERVISION OF VERY LARGE BANKS, SAVINGS ASSOCIATIONS, AND 
                    CREDIT UNIONS.

  (a) * * *
  (b) Supervision.--
          (1) * * *

           *       *       *       *       *       *       *

          (4) Preservation of authority.--Nothing in this title 
        may be construed as limiting the authority of the 
        [Director] Bureau to require reports from a person 
        described in subsection (a), as permitted under 
        paragraph (1), regarding information owned or under the 
        control of such person, regardless of whether such 
        information is maintained, stored, or processed by 
        another person.

           *       *       *       *       *       *       *


SEC. 1026. OTHER BANKS, SAVINGS ASSOCIATIONS, AND CREDIT UNIONS.

  (a) * * *
  (b) Reports.--The [Director] Bureau may require reports from 
a person described in subsection (a), as necessary to support 
the role of the Bureau in implementing Federal consumer 
financial law, to support its examination activities under 
subsection (c), and to assess and detect risks to consumers and 
consumer financial markets.
          (1) * * *
          (2) Preservation of authority.--Nothing in this 
        subsection may be construed as limiting the authority 
        of the [Director] Bureau from requiring from a person 
        described in subsection (a), as permitted under 
        paragraph (1), information owned or under the control 
        of such person, regardless of whether such information 
        is maintained, stored, or processed by another person.

           *       *       *       *       *       *       *


SEC. 1027. LIMITATIONS ON AUTHORITIES OF THE BUREAU; PRESERVATION OF 
                    AUTHORITIES.

  (a) * * *

           *       *       *       *       *       *       *

  (l) Exclusion for Activities Relating to Charitable 
Contributions.--
          (1) In general.--The [Director and the] Bureau may 
        not exercise any rulemaking, supervisory, enforcement, 
        or other authority, including authority to order 
        penalties, over any activities related to the 
        solicitation or making of voluntary contributions to a 
        tax-exempt organization as recognized by the Internal 
        Revenue Service, by any agent, volunteer, or 
        representative of such organizations to the extent the 
        organization, agent, volunteer, or representative 
        thereof is soliciting or providing advice, information, 
        education, or instruction to any donor or potential 
        donor relating to a contribution to the organization.

           *       *       *       *       *       *       *


Subtitle C--Specific Bureau Authorities

           *       *       *       *       *       *       *


SEC. 1035. PRIVATE EDUCATION LOAN OMBUDSMAN.

  (a) Establishment.--The Secretary, in consultation with the 
[Director] Bureau, shall designate a Private Education Loan 
Ombudsman (in this section referred to as the ``Ombudsman'') 
within the Bureau, to provide timely assistance to borrowers of 
private education loans.
  (b) Public Information.--The Secretary and the [Director] 
Bureau shall disseminate information about the availability and 
functions of the Ombudsman to borrowers and potential 
borrowers, as well as institutions of higher education, 
lenders, guaranty agencies, loan servicers, and other 
participants in private education student loan programs.
  (c) Functions of Ombudsman.--The Ombudsman designated under 
this subsection shall--
          (1) in accordance with regulations of the [Director] 
        Bureau, receive, review, and attempt to resolve 
        informally complaints from borrowers of loans described 
        in subsection (a), including, as appropriate, attempts 
        to resolve such complaints in collaboration with the 
        Department of Education and with institutions of higher 
        education, lenders, guaranty agencies, loan servicers, 
        and other participants in private education loan 
        programs;

           *       *       *       *       *       *       *

          (4) make appropriate recommendations to the 
        [Director] Bureau, the Secretary, the Secretary of 
        Education, the Committee on Banking, Housing, and Urban 
        Affairs and the Committee on Health, Education, Labor, 
        and Pensions of the Senate and the Committee on 
        Financial Services and the Committee on Education and 
        Labor of the House of Representatives.

           *       *       *       *       *       *       *


     Subtitle F--Transfer of Functions and Personnel; Transitional 
Provisions

           *       *       *       *       *       *       *


SEC. 1066. INTERIM AUTHORITY OF THE SECRETARY.

  (a) In General.--The Secretary is authorized to perform the 
functions of the Bureau under this subtitle until the [Director 
of the Bureau is] first member of the Commission is confirmed 
by the Senate in accordance with section 1011.

           *       *       *       *       *       *       *


Subtitle G--Regulatory Improvements

           *       *       *       *       *       *       *


SEC. 1079. REVIEW, REPORT, AND PROGRAM WITH RESPECT TO EXCHANGE 
                    FACILITATORS.

  (a) Review.--The [Director] Bureau shall review all Federal 
laws and regulations relating to the protection of consumers 
who use exchange facilitators for transactions primarily for 
personal, family, or household purposes.
  (b) Report.--Not later than 1 year after the designated 
transfer date, the [Director] Bureau shall submit to Congress a 
report describing--
          (1) * * *

           *       *       *       *       *       *       *

                              ----------                              


       DODD-FRANK WALL STREET REFORM AND CONSUMER PROTECTION ACT



           *       *       *       *       *       *       *
TITLE I--FINANCIAL STABILITY

           *       *       *       *       *       *       *


           Subtitle A--Financial Stability Oversight Council

SEC. 111. FINANCIAL STABILITY OVERSIGHT COUNCIL ESTABLISHED.

  (a) * * *
  (b) Membership.--The Council shall consist of the following 
members:
          (1) Voting members.--The voting members, who shall 
        each have 1 vote on the Council shall be--
                  (A) * * *

           *       *       *       *       *       *       *

                  (D) the [Director] Chair of the Commission of 
                the Bureau;

           *       *       *       *       *       *       *


TITLE XIV--MORTGAGE REFORM AND ANTI-PREDATORY LENDING ACT

           *       *       *       *       *       *       *


Subtitle D--Office of Housing Counseling

           *       *       *       *       *       *       *


SEC. 1447. DEFAULT AND FORECLOSURE DATABASE.

  (a) Establishment.--The Secretary of Housing and Urban 
Development and the [Director of the Bureau] Bureau, in 
consultation with the Federal agencies responsible for 
regulation of banking and financial institutions involved in 
residential mortgage lending and servicing, shall establish and 
maintain a database of information on foreclosures and defaults 
on mortgage loans for one- to four-unit residential properties 
and shall make such information publicly available, subject to 
subsection (e).

           *       *       *       *       *       *       *

  (c) Requirements.--Information collected and made available 
through the database shall include--
          (1) * * *

           *       *       *       *       *       *       *

          (6) such other information as the Secretary of 
        Housing and Urban Development and the [Director of the 
        Bureau] Bureau consider appropriate.

           *       *       *       *       *       *       *

  (e) Privacy and Confidentiality.--In establishing and 
maintaining the database described in subsection (a), the 
Secretary of Housing and Urban Development and the [Director of 
the Bureau] Bureau shall--
          (1) * * *

           *       *       *       *       *       *       *

                              ----------                              


            SECTION 921 OF THE ELECTRONIC FUND TRANSFER ACT

SEC. 921. REASONABLE FEES AND RULES FOR PAYMENT CARD TRANSACTIONS.

  (a) Reasonable Interchange Transaction Fees for Electronic 
Debit Transactions.--
          (1) * * *

           *       *       *       *       *       *       *

          (4) Considerations; consultation.--In prescribing 
        regulations under paragraph (3)(A), the Board shall--
                  (A) * * *

           *       *       *       *       *       *       *

                  (C) consult, as appropriate, with the 
                Comptroller of the Currency, the Board of 
                Directors of the Federal Deposit Insurance 
                Corporation, the Director of the Office of 
                Thrift Supervision, the National Credit Union 
                Administration Board, the Administrator of the 
                Small Business Administration, and the 
                [Director of the Bureau of Consumer Financial 
                Protection] Bureau of Consumer Financial 
                Protection.

           *       *       *       *       *       *       *

                              ----------                              


                    EXPEDITED FUNDS AVAILABILITY ACT

 [Section 3(d) of H.R. 1121 provides for an amendment to the Expedited 
 Funds Availability Act. Effective on the designated transfer date (as 
  determined under section 1062 of Public Law 111-203), such Act (as 
      amended by such Public Law and the bill), reads as follows:]


                 TITLE VI--EXPEDITED FUNDS AVAILABILITY

SEC. 601. SHORT TITLE.

  This title may be cited as the ``Expedited Funds Availability 
Act''.

           *       *       *       *       *       *       *


SEC. 603. EXPEDITED FUNDS AVAILABILITY SCHEDULES.

  (a) * * *

           *       *       *       *       *       *       *

  (d) Time Period Adjustments.--
          (1) Reduction generally.--Notwithstanding any other 
        provision of law, the Board, jointly with the [Director 
        of the] Bureau of Consumer Financial Protection, shall, 
        by regulation, reduce the time periods established 
        under subsections (b), (c), and (e) to as short a time 
        as possible and equal to the period of time achievable 
        under the improved check clearing system for a 
        receiving depository institution to reasonably expect 
        to learn of the nonpayment of most items for each 
        category of checks.

           *       *       *       *       *       *       *


SEC. 604 SAFEGUARD EXCEPTIONS.

  (a) New Accounts.--Notwithstanding section 603, in the case 
of any account established at a depository institution by a new 
depositor, the following provisions shall apply with respect to 
any deposit in such account during the 30-day period (or such 
shorter period as the Board, jointly with the [Director of the] 
Bureau of Consumer Financial Protection, may establish) 
beginning on the date such account is established--
          (1) * * *

           *       *       *       *       *       *       *

  (b) Large or Redeposited Checks; Repeated Overdrafts.--The 
Board, jointly with the [Director of the] Bureau of Consumer 
Financial Protection, may, by regulation, establish reasonable 
exceptions to any time limitation established under subsection 
(a)(2), (b), (c), or (e) of section 603 for--
          (1) * * *

           *       *       *       *       *       *       *

  (c) Reasonable Cause Exception.--
          (1) In general.--In accordance with regulations which 
        the Board, jointly with the [Director of the] Bureau of 
        Consumer Financial Protection, shall prescribe, 
        subsections (a)(2), (b), (c), and (e) of section 603 
        shall not apply with respect to any check deposited in 
        an account at a depository institution if the receiving 
        depository institution has reasonable cause to believe 
        that the check is uncollectible from the originating 
        depository institution. For purposes of the preceding 
        sentence, reasonable cause to believe requires the 
        existence of facts which would cause a well-grounded 
        belief in the mind of a reasonable person. Such reasons 
        shall be included in the notice required under sub-
        section (f).

           *       *       *       *       *       *       *

  (d) Emergency Conditions.--Subject to such regulations as the 
Board, jointly with the [Director of the] Bureau of Consumer 
Financial Protection, may prescribe, subsections (a)(2), (b), 
(c), and (e) of section 603 shall not apply to funds deposited 
by check in any receiving depository institution in the case 
of--
          (1) * * *

           *       *       *       *       *       *       *

  (e) Prevention of Fraud Losses.--
          (1) In general.--The Board, jointly with the 
        [Director of the] Bureau of Consumer Financial 
        Protection, may, by regulation or order, suspend the 
        applicability of this title, or any portion thereof, to 
        any classification of checks if the Board, jointly with 
        the [Director of the] Bureau of Consumer Financial 
        Protection, determines that--
                  (A) * * *

           *       *       *       *       *       *       *

          (3) Report to congress.--
                  (A) Notice of each suspension.--Within 10 
                days of prescribing any regulation or issuing 
                any order under paragraph (1), the Board, 
                jointly with the [Director of the] Bureau of 
                Consumer Financial Protection, shall transmit a 
                report of such action to the Committee on 
                Banking, Finance and Urban Affairs of the House 
                of Representatives and the Committee on 
                Banking, Housing, and Urban Affairs of the 
                Senate.
                  (B) Contents of report.--Each report under 
                subparagraph (A) shall contain--
                          (i) * * *
                          (ii) evidence considered by the 
                        Board, jointly with the [Director of 
                        the] Bureau of Consumer Financial 
                        Protection, in making the determination 
                        under paragraph (1) with respect to 
                        such regulation or order; and

           *       *       *       *       *       *       *

  (f) Notice of Exception; Availability Within Reasonable 
Time.--
          (1) In general.--If any exception contained in this 
        section (other than subsection (a)) applies with 
        respect to funds deposited in an account at a 
        depository institution--
                  (A) * * *
                  (B) except where other time periods are 
                specifically provided in this title, the 
                availability of the funds deposited shall be 
                governed by the policy of the receiving 
                depository institution, but shall not exceed a 
                reasonable period of time as determined by the 
                Board, jointly with the [Director of the] 
                Bureau of Consumer Financial Protection.

           *       *       *       *       *       *       *

          (2) Time for notice.--The notice required under 
        paragraph (1)(A) with respect to a deposit to which an 
        exception contained in this section applies shall be 
        made by the time provided in the following 
        subparagraphs:
                  (A) * * *

           *       *       *       *       *       *       *

                  (C) In the case of a deposit to which 
                subsection (d) or (e) applies, notice shall be 
                provided by the depository institution in 
                accordance with regulations of the Board, 
                jointly with the [Director of the] Bureau of 
                Consumer Financial Protection.

           *       *       *       *       *       *       *


SEC. 605. DISCLOSURE OF FUNDS AVAILABILITY POLICIES.

  (a) * * *
  (b) Preprinted Deposit Slips.--All preprinted deposit slips 
that a depository institution furnishes to its customers shall 
contain a summary notice, as prescribed by the Board, jointly 
with the [Director of the] Bureau of Consumer Financial 
Protection, in regulations, that deposited items may not be 
available for immediate withdrawal.

           *       *       *       *       *       *       *

  (d) Posting of Notice.--
          (1) * * *
          (2) General notice at automated teller machines.--In 
        the case of any automated teller machine at which any 
        funds are received for deposit in an account at any 
        depository institution, the Board, jointly with the 
        [Director of the] Bureau of Consumer Financial 
        Protection, shall prescribe, by regulations, that the 
        owner or operator of such automated teller machine 
        shall post or provide a general notice that funds 
        deposited in such machine may not be immediately 
        available for withdrawal.

           *       *       *       *       *       *       *

  (f) Model Disclosure Forms.--
          (1) Prepared by board and bureau.--The Board, jointly 
        with the [Director of the] Bureau of Consumer Financial 
        Protection, shall publish model disclosure forms and 
        clauses for common transactions to facilitate 
        compliance with the disclosure requirements of this 
        section and to aid customers by utilizing readily 
        understandable language.
          (2) Use of forms to achieve compliance.--A depository 
        institution shall be deemed to be in compliance with 
        the requirements of this section if such institution--
                  (A) uses any appropriate model form or clause 
                as published by the Board, jointly with the 
                [Director of the] Bureau of Consumer Financial 
                Protection, or

           *       *       *       *       *       *       *

          (3) Voluntary use.--Nothing in this title requires 
        the use of any such model form or clause prescribed by 
        the Board, jointly with the [Director of the] Bureau of 
        Consumer Financial Protection, under this subsection.
          (4) Notice and comment.--Model disclosure forms and 
        clauses shall be adopted by the Board, jointly with the 
        [Director of the] Bureau of Consumer Financial 
        Protection, only after notice duly given in the Federal 
        Register and an opportunity for public comment in 
        accordance with section 553 of title 5, United States 
        Code.

           *       *       *       *       *       *       *


SEC. 609. REGULATIONS AND REPORTS BY BOARD.

  (a) In General.--After notice and opportunity to submit 
comment in accordance with section 553(c) of title 5, United 
States Code, the Board, jointly with the [Director of the] 
Bureau of Consumer Financial Protection, shall prescribe 
regulations--
          (1) * * *

           *       *       *       *       *       *       *

  (e) Consultations.--In prescribing regulations under 
subsections (a) and (b), the Board and the [Director of the] 
Bureau of Consumer Financial Protection, in the case of 
subsection (a), and the Board, in the case of subsection (b), 
shall consult with the Comptroller of the Currency, the Board 
of Directors of the Federal Deposit Insurance Corporation, and 
the National Credit Union Administration Board.

           *       *       *       *       *       *       *

                              ----------                              


                     FEDERAL DEPOSIT INSURANCE ACT

 [Section 3(e) of H.R. 1121 provides for an amendment to section 2 of 
the Federal Deposit Insurance Act. Effective on the designated transfer 
date (as determined under section 1062 of Public Law 111-203), such Act 
    (as amended by such Public Law and the bill), reads as follows:]



           *       *       *       *       *       *       *
SEC. 2. MANAGEMENT.

  (a) Board of Directors.--
          (1) In general.--The management of the Corporation 
        shall be vested in a Board of Directors consisting of 5 
        members--
                  (A) * * *
                  (B) 1 of whom shall be the [Director of the 
                Consumer Financial Protection Bureau] Chair of 
                the Commission of the Bureau of Consumer 
                Financial Protection; and

           *       *       *       *       *       *       *

  (d) Vacancy.--
          (1) * * *
          (2) Acting officials may serve.--In the event of a 
        vacancy in the office of the Comptroller of the 
        Currency or the office of [Director of the Consumer 
        Financial Protection Bureau] Chair of the Commission of 
        the Bureau of Consumer Financial Protection and pending 
        the appointment of a successor, or during the absence 
        or disability of the Comptroller of the Currency or the 
        [Director of the Consumer Financial Protection Bureau] 
        Chair of the Commission of the Bureau of Consumer 
        Financial Protection, the acting Comptroller of the 
        Currency or the acting [Director of the Consumer 
        Financial Protection Bureau] Chair of the Commission of 
        the Bureau of Consumer Financial Protection, as the 
        case may be, shall be a member of the Board of 
        Directors in the place of the Comptroller or Director.

           *       *       *       *       *       *       *

                              ----------                              


SECTION 1004 OF THE FEDERAL FINANCIAL INSTITUTIONS EXAMINATION COUNCIL 
                              ACT OF 1978

    [Section 3(f) of H.R. 1121 provides for an amendment to section 
 1004(a)(4) of the Federal Financial Institutions Examination Council 
 Act of 1978. Effective on the designated transfer date (as determined 
under section 1062 of Public Law 111-203), such Act (as amended by such 
              Public Law and the bill), reads as follows:]

                      ESTABLISHMENT OF THE COUNCIL

  Sec. 1004. (a) There is established the Financial 
Institutions Examination Council which shall consist of--
          (1) * * *

           *       *       *       *       *       *       *

          (4) the [Director of the Consumer Financial 
        Protection Bureau] Chair of the Commission of the 
        Bureau of Consumer Financial Protection,

           *       *       *       *       *       *       *

                              ----------                              


  SECTION 513 OF THE FINANCIAL LITERACY AND EDUCATION IMPROVEMENT ACT

SEC. 513. ESTABLISHMENT OF FINANCIAL LITERACY AND EDUCATION COMMISSION.

  (a) * * *

           *       *       *       *       *       *       *

  (c) Membership.--
          (1) Composition.--The Commission shall be composed 
        of--
                  (A) * * *

           *       *       *       *       *       *       *

                  (C) the [Director] Chair of the Commission of 
                the Bureau of Consumer Financial Protection; 
                and

           *       *       *       *       *       *       *

  (d) Chairperson.--The Secretary of the Treasury shall serve 
as the Chairperson. The [Director] Chair of the Commission of 
the Bureau of Consumer Financial Protection shall serve as the 
Vice Chairman.

           *       *       *       *       *       *       *

                              ----------                              


                  HOME MORTGAGE DISCLOSURE ACT OF 1975

[Section 3(h) of H.R. 1121 provides for an amendment to section 307 of 
 the Home Mortgage Disclosure Act of 1975. Effective on the designated 
transfer date (as determined under section 1062 of Public Law 111-203), 
    such Act (as amended by such Public Law and the bill), reads as 
                               follows:]

TITLE III--HOME MORTGAGE DISCLOSURE

           *       *       *       *       *       *       *


SEC. 307. COMPLIANCE IMPROVEMENT METHODS.

  (a) In General.--
          (1) Consultation required.--The [Director of the 
        Bureau of Consumer Financial Protection] Bureau of 
        Consumer Financial Protection, with the assistance of 
        the Secretary, the Director of the Bureau of the 
        Census, the Board of Governors of the Federal Reserve 
        System, the Federal Deposit Insurance Corporation, and 
        such other persons as the Bureau deems appropriate, 
        shall develop or assist in the improvement of, methods 
        of matching addresses and census tracts to facilitate 
        compliance by depository institutions in as economical 
        a manner as possible with the requirements of this 
        title.

           *       *       *       *       *       *       *

          (3) Contracting authority.--The [Director of the 
        Bureau of Consumer Financial Protection] Bureau of 
        Consumer Financial Protection is authorized to utilize, 
        contract with, act through, or compensate any person or 
        agency in order to carry out this subsection.
  (b) Recommendations to Congress.--The [Director of the Bureau 
of Consumer Financial Protection] Bureau of Consumer Financial 
Protection shall recommend to the Committee on Banking, 
Housing, and Urban Affairs of the Senate and the Committee on 
Financial Services of the House of Representatives, such 
additional legislation as the [Director of the Bureau of 
Consumer Financial Protection] Bureau of Consumer Financial 
Protection deems appropriate to carry out the purpose of this 
title.

           *       *       *       *       *       *       *

                              ----------                              


               INTERSTATE LAND SALES FULL DISCLOSURE ACT

 [Section 3(i) of H.R. 1121 provides for amendments to the Interstate 
 Land Sales Full Disclosure Act. Effective on the designated transfer 
date (as determined under section 1062 of Public Law 111-203), such Act 
    (as amended by such Public Law and the bill), reads as follows:]

                    TITLE XIV--INTERSTATE LAND SALES

                              short title

    Sec. 1401. This title may be cited as the ``Interstate Land 
Sales Full Disclosure Act.''

                              DEFINITIONS

  Sec. 1402. For the purposes of this title, the term--
          [(1) ``Secretary'' means the Secretary of Housing and 
        Urban Development;]
          (1) ``Chair'' means the Chair of the Commission of 
        the Bureau of Consumer Financial Protection;

           *       *       *       *       *       *       *


                               exemptions

    Sec. 1403. (a) * * *
    (b) Unless the method of disposition is adopted for the 
purpose of evasion of this title, the provisions requiring 
registration and disclosure (as specified in section 1404(a)(1) 
and sections 1405 through 1408) shall not apply to--
          (1) * * *
          (2) the sale or lease of lots in a subdivision if, 
        within the twelve-month period commencing on the date 
        of the first sale or lease of a lot in such subdivision 
        after the effective date of this subsection or on such 
        other date within that twelve-month period as the 
        [Director] Bureau may prescribe, not more than twelve 
        lots are sold or leased, and the sale or lease of the 
        first twelve lots in such subdivision in any subsequent 
        twelve-month period, if not more than twelve lots have 
        been sold or leased in any preceding twelve-month 
        period after the effective date of this subsection;

           *       *       *       *       *       *       *

          (8) the sale or lease of a lot in a subdivision 
        containing fewer than three hundred lots if--
                  (A) * * *
                  (B) the lot is free and clear of liens (such 
                as mortgages, deeds of trust, tax liens, 
                mechanics liens, or judgments) at the time of 
                the signing of the contract or agreement and 
                until a deed is delivered to the purchaser or 
                the lease expires. As used in this 
                subparagraph, the term ``liens'' does not 
                include (i) United States land patents and 
                similar Federal grants or reservations, (ii) 
                property reservations which lands developers 
                commonly convey or dedicate to local bodies or 
                public utilities for the purpose of bringing 
                public services to the land being developed, 
                (iii) taxes and assessments imposed by a State, 
                by any other public body having authority to 
                assess and tax property, or by a property 
                owners' association, which, under applicable 
                State or local law, constitute liens on the 
                property before they are due and payable or 
                beneficial property restrictions which would be 
                enforceable by other lot owners or lessees in 
                the subdivision, or (iv) other interests 
                described in regulations prescribed by the 
                [Director] Bureau;

           *       *       *       *       *       *       *

                  (G) the developer executes a written 
                affirmation to the effect that he has complied 
                with the provisions of this paragraph, such 
                affirmation to be given on a form provided by 
                the [Director] Bureau, which shall include the 
                following: the name and address of the 
                developer; the name and address of the 
                purchaser or lessee; a legal description of the 
                lot; and affirmation that the provisions of 
                this paragraph have been complied with; a 
                statement that the developer submits to the 
                jurisdiction of this title with regard to the 
                sale of lease; and the signature of the 
                developer.
    (c) The [Director] Bureau may from time to time, pursuant 
to rules and regulations issued by him, exempt from any of the 
provisions of this title any subdivision or any lots in a 
subdivision, if he finds that the enforcement of this title 
with respect to such subdivision or lots is not necessary in 
the public interest and for the protection of purchasers by 
reason of the small amount involved or the limited character of 
the public offering.

           *       *       *       *       *       *       *


                      registration of subdivisions

    Sec. 1405. (a) A subdivision may be registered by filing 
with the [Director] Bureau a statement of record, meeting the 
requirements of this title and such rules and regulations as 
may be prescribed by the [Director] Bureau in furtherance of 
the provisions of this title. A statement of record shall be 
deemed effective only as to the lots specified therein.
    (b) At the time of filing a statement of record, or any 
amendment thereto, the developer shall pay to the [Director] 
Bureau a fee, not in excess of $1,000, in accordance with a 
schedule to be fixed by the regulations of the [Director] 
Bureau, which fees may be used by the [Director] Bureau to 
cover all or part of the cost of rendering services under this 
title, and such expenses as are paid from such fees shall be 
considered non-administrative.
    (c) The filing with the [Director] Bureau of a statement of 
record, or of an amendment thereto, shall be deemed to have 
taken place upon the receipt thereof, accompanied by payment of 
the fee required by subsection (b).
    (d) The information contained in or filed with any 
statement of record shall be made available to the public under 
such regulations as the [Director] Bureau may prescribe and 
copies thereof shall be furnished to every applicant at such 
reasonable charge as the [Director] Bureau may prescribe.

              information required in statement of record

    Sec. 1406. The statement of record shall contain the 
information and be accompanied by the documents specified 
hereinafter in this section--
          (1) * * *

           *       *       *       *       *       *       *

          (11) such certified and uncertified financial 
        statements of the developer as the [Director] Bureau 
        may require; and
          (12) such other information and such other documents 
        and certifications as the [Director] Bureau may require 
        as being reasonably necessary or appropriate for the 
        protection of purchasers.

      taking effect of statements of record and amendments thereto

    Sec. 1407. (a) Except as hereinafter provided, the 
effective date of a statement of record, or any amendment 
thereto, shall be the thirtieth day after the filing thereof or 
such earlier date as the [Director] Bureau may determine, 
having due regard to the public interest and the protection of 
purchaser. If any amendment to any such statement is filed 
prior to the effective date of the statement, the statement 
shall be deemed to have been filed when such amendment was 
filed; except that such an amendment filed with the consent of 
the Secertary, or filed pursuant to an order of the [Director] 
Bureau, shall be treated as being filed as of the date of the 
filing of the statement of record. When a developer records 
additional lands to be offered for disposition, he may 
consolidate the subsequent statement of record with any earlier 
recording offering subdivided land for disposition under the 
same promotional plan. At the time of consolidation the 
developer shall include in the consolidated statement of record 
any material changes in the information contained in the 
earlier statement.
    (b) If it appears to the [Director] Bureau that a statement 
of record, or any amendment thereto, is on its face incomplete 
or inaccurate in any material respect, the [Director] Bureau 
shall so advise the developer within a reasonable time after 
the filing of the statement or the amendment, but prior to the 
date the statement or amendment would otherwise be effective. 
Such notification shall serve to suspend the effective date of 
the statement or the amendment until thirty days after the 
developer files such additional information as the [Director] 
Bureau shall require. Any developer, upon receipt of such 
notice, may request a hearing, and such hearing shall be held 
within twenty days of receipt of such request by the [Director] 
Bureau.
    (c) If, at any time subsequent to the effective date of a 
statement or record, a change shall occur affecting any 
material fact required to be contained in the statement, the 
developer shall promptly file an amendment thereto. Upon 
receipt of any such amendment, the [Director] Bureau may, if he 
determines such action to be necessary or appropriate in the 
public interest or for the protection of purchasers, suspend 
the statement of record until the amendment becomes effective.
    (d) If it appears to the [Director] Bureau at any time that 
a statement of record, which is in effect, includes any untrue 
statement of a material fact or omits to state any material 
fact required to be stated therein or necessary to make the 
statements therein not misleading, the [Director] Bureau may, 
after notice, and after opportunity for hearing (at a time 
fixed by the [Director] Bureau) within fifteen days after such 
notice, issue an order suspending the statement of record. When 
such statement has been amended in accordance with such order, 
the [Director] Bureau shall so declare and thereupon the order 
shall cease to be effective.
    (e) The [Director] Bureau is hereby empowered to make an 
examination in any case to determine whether an order should 
issue under subsection (d). In making such examination, the 
[Director] Bureau or anyone designated by him shall have access 
to and may demand the production of any books and papers of, 
and many administer oaths and affirmations to and examine, the 
developer, any agents, or any other person, in respect of any 
matter relevant to the examination. If the developer or any 
agents shall fail to cooperate, or shall obstruct or refuse to 
permit the making of an examination, such conduct shall be 
proper ground for the issuance of an order suspending the 
statement of record.

           *       *       *       *       *       *       *


                information required in property report

    Sec. 1408. (a) A property report relating to the lots in a 
subdivision shall contain such of the information contained in 
the statement of record, and any amendments thereto, as the 
[Director] Bureau may deem necessary, but need not include the 
documents referred to in paragraphs (7) to (11), inclusive, of 
section 1406. A property report shall also contain such other 
information as the [Director] Bureau may by rules or 
regulations require as being necessary or appropriate in the 
public interest or for the protection of purchasers.
    (b) The property report shall not be used for any 
promotional purposes before the statement of record becomes 
effective and then only if it is used in its entirety. No 
person may advertise or represent that the [Director] Bureau 
approves or recommends the subdivision or the sale or lease of 
lots therein. No portion of the property report shall be 
underscored, italicized, or printed in larger, or bolder type 
than the balance of the statement unless the [Director] Bureau 
requires or permits it.

          certification of substantially equivalent state law

    Sec. 1409. (a)(1) A State shall be certified if the 
[Director] Bureau determines--
          (A) * * *

           *       *       *       *       *       *       *

    (2) In the case of any State which is not certified under 
paragraph (1), such State shall be certified if the [Director] 
Bureau determines--
          (A) * * *

           *       *       *       *       *       *       *

    (b) After the [Director] Bureau has certified a State under 
subsection (a), the [Director] Bureau shall accept for filing 
under sections 1405 through 1408 (and declare effective as the 
Federal statement of record and property report which shall be 
used in all States in which the lots are offered for sale or 
lease) disclosure materials found acceptable, and any related 
documentation required, by State authorities in connection with 
the sale or lease of lots located within the State. The 
[Director] Bureau may accept for such filing, and declare 
effective as the Federal statement of record and property 
report, such materials and documentation found acceptable by 
the State in connection with the sale or lease of lots located 
outside that State. Nothing in this subsection shall preclude 
the [Director] Bureau from exercising the authority conferred 
by subsections (d) and (e) of section 1407.
    (c) If a State fails to meet the standards for 
certification pursuant to subsection (a), the [Director] Bureau 
shall notify the State in writing of the changes in State law, 
regulation, or administration that are needed in order to 
obtain certification.
    (d) The [Director] Bureau shall periodically review the 
laws and regulations, and the administration thereof, of States 
certified under subsection (a), and may withdraw such 
certification upon a determination that such laws, regulations, 
and the administration thereof, taken as a whole, no longer 
meet the requirements of subsection (a).
    (e) Nothing in this title may be construed to prevent or 
limit the authority of any State or local government to enact 
and enforce with regard to the sale of land any law, ordinance, 
or code not in conflict with this title. In administering this 
title, the [Director] Bureau shall cooperate with State 
authorities charged with the responsibility of regulating the 
sale or lease of lots which are subject to this title.

           *       *       *       *       *       *       *


                         court review of orders

    Sec. 1411. (a) Any person, aggrieved by an order or 
determination of the [Director] Bureau issued after a hearing, 
may obtain a review of such order or determination in the court 
of appeals of the United States, within any circuit wherein 
such person resides or has his principal place of business, or 
in the United States Court of Appeals for the District of 
Columbia, by filing in such court, within sixty days after the 
entry of such order or determination, a written petition 
praying that the order or determination of the [Director] 
Bureau be modified or be set aside in whole or in part. A copy 
of such petition shall be forthwith transmitted by the clerk of 
the court to the [Director] Bureau, and thereupon the 
[Director] Bureau shall file in the court the record upon which 
the order or determination complained of was entered, as 
provided in section 2112 of title 28, United States Code. No 
objection to an order or determination of the [Director] Bureau 
shall be considered by the court unless such objection shall 
have been urged before the [Director] Bureau. The finding of 
the [Director] Bureau as to the facts, if supported by 
substantial evidence, shall be conclusive. If either party 
shall apply to the court for leave to adduce additional 
evidence, and shall show to the satisfaction of the court that 
such additional evidence is material and that there were 
reasonable grounds for failure to adduce such evidence in the 
hearing before the [Director] Bureau, the court may order such 
additional evidence to be taken before the [Director] Bureau 
and to be adduced upon a hearing in such manner and upon such 
terms and conditions as to the court may seem proper. The 
[Director] Bureau may modify his findings as to the facts by 
reason of the additional evidence so taken, and shall file such 
modified or new findings, which, if supported by substantial 
evidence, shall be conclusive, and his recommendation, if any, 
for the modification or setting aside of the original order. 
Upon the filing of such petition, the jurisdiction of the court 
shall be exclusive and its judgment and decree, affirming, 
modifying, or setting aside, in whole or in part, any order of 
the [Director] Bureau, shall be final, subject to review by the 
Supreme Court of the United States upon certiorari or 
certification as provided in section 1254 of title 28, United 
States Code.

           *       *       *       *       *       *       *


                       contrary stipulation void

    Sec. 1413. Any condition, stipulation, or provision binding 
any person acquiring any lot in a subdivision to waive 
compliance with any provision of this title of the rules and 
regulations of the [Director] Bureau shall be void.

           *       *       *       *       *       *       *


        investigations, injunctions, and prosecution of offenses

    Sec. 1415. (a) Whenever it shall appear to the [Director] 
Bureau that any person is engaged or about to engage in any 
acts or practices which constitute or will constitute a 
violation of the provisions of this title, or of any rule or 
regulation prescribed pursuant thereto, he may, in his 
discretion, bring an action in any district court of the United 
States, or the United States District Court for the District of 
Columbia to enjoin such acts or practices, and, upon a proper 
showing, a permanent or temporary injunction or restraining 
order shall be granted without bond. The [Director] Bureau may 
transmit such evidence as may be available concerning such acts 
or practices to the Attorney General who may, in his 
discretion, institute the appropriate criminal proceedings 
under this title.
    (b) The [Director] Bureau may, in his discretion, make such 
investigations as he deems necessary to determine whether any 
person has violated or is about to violate any provision of 
this title or any rule or regulation prescribed pursuant 
thereto, and may require or permit any person to file with him 
a statement in writing, under oath or otherwise as the 
[Director] Bureau shall determine, as to all the facts and 
circumstances concerning the matter to be investigated. The 
[Director] Bureau is authorized, in his discretion, to publish 
information concerning any such violations, and to investigate 
any facts, conditions, practices, or matters whcih he may deem 
necessary or proper to aid in the enforcement of the provisions 
of this title, in the prescribing of rules and regulations 
thereunder or in securing information to service as a basis for 
recommending further legislation concerning the matters to 
which this title relates.
    (c) For the purpose of any such investigation, or any other 
proceeding under this title, the [Director] Bureau, or any 
officer designated by him, is empowered to administer oaths and 
affirmations, subpena witnesses, compel their attendance, take 
evidence, and require the production of any books, papers, 
correspondence, memorandums, or other records which the 
[Director] Bureau deems relevant or material to the inquiry. 
Such attendance of witnesses and the production of any such 
records may be required from any place in the United States or 
any State at any designated place of hearing.
    (d) In case of contumacy by, or refusal to obey a subpena 
issued to, any person, the [Director] Bureau may invoke the aid 
of any court of the United States within the jurisdiction of 
which such investigation or proceeding is carried on, or where 
such person resides or carries on business, in requiring the 
attendance and testimony of witnesses and the production of 
books, papers, correspondence, memorandums, and other records 
and documents. And such court may issue an order requiring such 
person to appear before the [Director] Bureau or any officer 
designated by the [Director] Bureau, there to produce records, 
if so ordered, or to give testimony touching the matter under 
investigation or in question; and any failure to obey such 
order of the court may be punished by such court as a contempt 
thereof. All process in any such case may be served in the 
judicial district whereof such person is an inhabitant or 
wherever he may be found.

                             administration

    Sec. 1416. (a) The authority and responsibility for 
administering this title shall be in the [Director of the 
Bureau of Consumer Financial Protection] Chair who may delegate 
any of his functions, duties, and powers to employees of the 
Bureau of Consumer Financial Protection or to boards of such 
employees including functions, duties, and powers with respect 
to investigating, hearing, determining, ordering, or otherwise 
acting as to any work, business, or matter under this title. 
The persons to whom such delegations are made with respect to 
hearing functions, duties, and powers shall be appointed and 
shall serve in the Bureau in compliance with sections 3105, 
3344, 5372, and 7521 of title 5 of the United States Code. The 
[Director] Bureau shall by rule prescribed such rights of 
appeal from the decisions of his administrative law judges to 
other administrative law judges or to other officers in the 
Bureau, to boards of officers or to himself, as shall be 
apropriate and in accordance with law.

           *       *       *       *       *       *       *

    (c) The [Director] Bureau shall conduct all actions with 
respect to rulemaking or adjudication under this title in 
accordance with the provisions of chapter 5 of title 5, United 
States Code. Notice shall be given of any adverse action or 
final disposition and such notice and the entry of any order 
shall be accompanied by a written statement of supporting facts 
and legal authority.

                        unlawful representations

    Sec. 1417. The fact that a statement of record with respect 
to a subdivision has been filed or is in effect shall not be 
deemed a finding by the [Director] Bureau that the statement of 
record is true and accurate on its face, or be held to mean the 
[Director] Bureau has in any way passed upon the merits of, or 
given approval to, such subdivision. It shall be unlawful to 
make, or cause to be made, to any prospective purchaser any 
representation contrary to the foregoing.

           *       *       *       *       *       *       *


                         CIVIL MONEY PENALTIES

    Sec. 1418a. (a) In General.--
          (1) Authority.--Whenever any person knowingly and 
        materially violates any of the provisions of this title 
        or any rule, regulation, or order issued under this 
        title, the [Director] Bureau may impose a civil money 
        penalty on such person in accordance with the 
        provisions of this section. The penalty shall be in 
        addition to any other available civil remedy or any 
        available criminal penalty, and may be imposed whether 
        or not the [Director] Bureau imposes other 
        administrative sanctions.
          (2) Amount of penalty.--The amount of the penalty, as 
        determined by the [Director] Bureau, may not exceed 
        $1,000 for each violation, except that the maximum 
        penalty for all violations by a particular person 
        during any 1-year period shall not exceed $1,000,000. 
        Each violation of this title, or any rule, regulation, 
        or order issued under this title, shall constitute a 
        separate violation with respect to each sale or lease 
        or offer to sell or lease. In the case of a continuing 
        violation, as determined by the [Director] Bureau, each 
        day shall constitute a separate violation.
    (b) Agency Procedures.--
          (1) Establishment.--The [Director] Bureau shall 
        establish standards and procedures governing the 
        imposition of civil money penalties under subsection 
        (a). The standards and procedures--
                  (A) * * *
                  (B) may provide for review by the [Director] 
                Bureau of any determination or order, or 
                interlocutory ruling, arising from a hearing.
          (2) Final orders.--If no hearing is requested within 
        15 days of receipt of the notice of opportunity for 
        hearing, the imposition of the penalty shall constitute 
        a final and unappealable determination. If the 
        [Director] Bureau reviews the determination or order, 
        the [Director] Bureau may affirm, modify, or reverse 
        that determination or order. If the [Director] Bureau 
        does not review the determination or order within 90 
        days of the issuance of the determination or order, the 
        determination or order shall be final.
          (3) Factors in determining amount of penalty.--In 
        determining the amount of a penalty under subsection 
        (a), consideration shall be given to such factors as 
        the gravity of the offense, any history of prior 
        offenses (including offenses occurring before enactment 
        of this section), ability to pay the penalty, injury to 
        the public, benefits received, deterrence of future 
        violations, and such other factors as the [Director] 
        Bureau may determine in regulations to be appropriate.

           *       *       *       *       *       *       *

    (c) Judicial Review of Agency Determination.--
          (1) In General.--After exhausting all administrative 
        remedies established by the [Director] Bureau under 
        subsection (b)(1), a person aggrieved by a final order 
        of the [Director] Bureau assessing a penalty under this 
        section may seek judicial review pursuant to section 
        1411.
          (2) Order to pay penalty.--Notwithstanding any other 
        provision of law, in any such review, the court shall 
        have the power to order payment of the penalty imposed 
        by the [Director] Bureau.
    (d) Action to Collect Penalty.--If any person fails to 
comply with the determination or order of the [Director] Bureau 
imposing a civil money penalty under subsection (a), after the 
determination or order is no longer subject to review as 
provided by subsections (b) and (c), the [Director] Bureau may 
request the Attorney General of the United States to bring an 
action in any appropriate United States district court to 
obtain a monetary judgment against the person and such other 
relief as may be available. The monetary judgment may, in the 
discretion of the court, include any attorneys fees and other 
expenses incurred by the United States in connection with the 
action. In an action under this subsection, the validity and 
appropriateness of the Secretary's determination or order 
imposing the penalty shall not be subject to review.
    (e) Settlement by Secretary.--The [Director] Bureau may 
compromise, modify, or remit any civil money penalty which may 
be, or has been, imposed under this section.

           *       *       *       *       *       *       *

    (g) Regulations.--The [Director] Bureau shall issue such 
regulations as the [Director] Bureau deems appropriate to 
implement this section.
    (h) Use of Penalties for Administration.--Civil money 
penalties collected under this section shall be paid to the 
Secretary and, upon approval in an appropriation Act, may be 
used by the [Director] Bureau to cover all or part of the cost 
of rendering services under this title.
    Sec. 1419. The [Director] Bureau shall have authority from 
time to time to make, issue, amend, and rescind such rules and 
regulations and such orders as are necessary or appropriate to 
the exercise of the functions and powers conferred upon him 
elsewhere in this title. For the purpose of his rules and 
regulations, the [Director] Bureau may classify persons and 
matters within his jurisdiction and prescribe different 
requirements for different classes of persons or matters.

                   jurisdiction of offenses and suits

    Sec. 1420. The district courts of the United States, the 
United States courts of any territory, and the United States 
District Court for the District of Columbia shall have 
jurisdiction of offenses and violations under this title and 
under the this title and under the rules and regulations 
prescribed by the [Director] Bureau pursuant thereto, and 
concurrent with State courts, of all suits in equity and 
actions at law brought to enforce any liability or duty created 
by this title. Any such suit or action may be brought to 
enforce any liability or duty created by this title. Any such 
suit or action may be brought in the district where the 
defendant is found or is an inhabitant or transacts business, 
or in the district where the offer or sale took place, if the 
defendant participated therein, and process in such cases may 
be served in any other district of which the defendant is an 
inhabitant or wherever the defendant may be found. Judgments 
and decrees so rendered shall be subject to review as provided 
in sections 1254 and 1291 of title 28, United State Code. No 
case arising under this title and brought in any State court of 
competent jurisdiction shall be removed to any court of the 
United States, except where the United States or any officer or 
employee of the United States in his official capacity is a 
party. No costs shall be assessed for or against the [Director] 
Bureau in any proceeding under this title brought by or against 
him in the Supreme Court or such other courts.

           *       *       *       *       *       *       *

                              ----------                              


             REAL ESTATE SETTLEMENT PROCEDURES ACT OF 1974

[Section 3(j) of H.R. 1121 provides for amendments to section 5 of the 
    Real Estate Settlement Procedures Act of 1974. Effective on the 
 designated transfer date (as determined under section 1062 of Public 
 Law 111-203), such Act (as amended by such Public Law and the bill), 
                           reads as follows:]



           *       *       *       *       *       *       *
                    HOME BUYING INFORMATION BOOKLETS

  Sec. 5. (a) Preparation and Distribution.--[The Director of 
the Bureau of Consumer Financial Protection (hereafter in this 
section referred to as the ``Director'')] The Bureau of 
Consumer Financial Protection shall prepare, at least once 
every 5 years, a booklet to help consumers applying for 
federally related mortgage loans to understand the nature and 
costs of real estate settlement services. The [Director] Bureau 
shall prepare the booklet in various languages and cultural 
styles, as the [Director] Bureau determines to be appropriate, 
so that the booklet is understandable and accessible to 
homebuyers of different ethnic and cultural backgrounds. The 
[Director] Bureau shall distribute such booklets to all lenders 
that make federally related mortgage loans. The [Director] 
Bureau shall also distribute to such lenders lists, organized 
by location, of homeownership counselors certified under 
section 106(e) of the Housing and Urban Development Act of 1968 
(12 U.S.C. 1701x(e)) for use in complying with the requirement 
under subsection (c) of this section.
  (b) Contents.--Each booklet shall be in such form and detail 
as the [Director] Bureau shall prescribe and, in addition to 
such other information as the [Director] Bureau may provide, 
shall include in plain and understandable language the 
following information:
          (1) * * *

           *       *       *       *       *       *       *

          (6) A brief explanation of the nature of a variable 
        rate mortgage and a reference to the booklet entitled 
        ``Consumer Handbook on Adjustable Rate Mortgages'', 
        published by the [Director] Bureau, or to any suitable 
        substitute of such booklet that the [Director] Bureau 
        may subsequently adopt pursuant to such section.

           *       *       *       *       *       *       *

                              ----------                              


                S.A.F.E. MORTGAGE LICENSING ACT OF 2008

 [Section 3(k) of H.R. 1121 provides for an amendments to the S.A.F.E. 
 Mortgage Licensing Act of 2008. Effective on the designated transfer 
date (as determined under section 1062 of Public Law 111-203), such Act 
    (as amended by such Public Law and the bill), reads as follows:]

                TITLE V--S.A.F.E. MORTGAGE LICENSING ACT

SEC. 1501. SHORT TITLE.

  This title may be cited as the ``Secure and Fair Enforcement 
for Mortgage Licensing Act of 2008'' or ``S.A.F.E. Mortgage 
Licensing Act of 2008''.

           *       *       *       *       *       *       *


SEC. 1503. DEFINITIONS.

  For purposes of this title, the following definitions shall 
apply:
          (1) * * *

           *       *       *       *       *       *       *

          (6) Nationwide mortgage licensing system and 
        registry.--The term ``Nationwide Mortgage Licensing 
        System and Registry'' means a mortgage licensing system 
        developed and maintained by the Conference of State 
        Bank Supervisors and the American Association of 
        Residential Mortgage Regulators for the State licensing 
        and registration of State-licensed loan originators and 
        the registration of registered loan originators or any 
        system established by the [Director] Bureau under 
        section 1509.

           *       *       *       *       *       *       *

          [(10) Director.--The term ``Director'' means the 
        Director of the Bureau of Consumer Financial 
        Protection.]

           *       *       *       *       *       *       *

          (12) State-licensed loan originator.--The term 
        ``State-licensed loan originator'' means any individual 
        who--
                  (A) * * *

           *       *       *       *       *       *       *

                  (C) is licensed by a State or by the 
                [Director] Bureau under section 1508 and 
                registered as a loan originator with, and 
                maintains a unique identifier through, the 
                Nationwide Mortgage Licensing System and 
                Registry.

           *       *       *       *       *       *       *


SEC. 1508. BUREAU OF CONSUMER FINANCIAL PROTECTION BACKUP AUTHORITY TO 
                    ESTABLISH LOAN ORIGINATOR LICENSING SYSTEM.

  (a) Backup Licensing System.--If, by the end of the 1-year 
period, or the 2-year period in the case of a State whose 
legislature meets only biennially, beginning on the date of the 
enactment of this title or at any time thereafter, the 
[Director] Bureau determines that a State does not have in 
place by law or regulation a system for licensing and 
registering loan originators that meets the requirements of 
sections 1505 and 1506 and subsection (d) of this section, or 
does not participate in the Nationwide Mortgage Licensing 
System and Registry, the [Director] Bureau shall provide for 
the establishment and maintenance of a system for the licensing 
and registration by the [Director] Bureau of loan originators 
operating in such State as State-licensed loan originators.
  (b) Licensing and Registration Requirements.--The system 
established by the [Director] Bureau under subsection (a) for 
any State shall meet the requirements of sections 1505 and 1506 
for State-licensed loan originators.
  (c) Unique Identifier.--The [Director] Bureau shall 
coordinate with the Nationwide Mortgage Licensing System and 
Registry to establish protocols for assigning a unique 
identifier to each loan originator licensed by the [Director] 
Bureau as a State-licensed loan originator that will facilitate 
electronic tracking and uniform identification of, and public 
access to, the employment history of and the publicly 
adjudicated disciplinary and enforcement actions against loan 
originators.
  (d) State Licensing Law Requirements.--For purposes of this 
section, the law in effect in a State meets the requirements of 
this subsection if the [Director] Bureau determines the law 
satisfies the following minimum requirements:
          (1) * * *

           *       *       *       *       *       *       *

  (e) Temporary Extension of Period.--The [Director] Bureau may 
extend, by not more than 24 months, the 1-year or 2-year 
period, as the case may be, referred to in subsection (a) for 
the licensing of loan originators in any State under a State 
licensing law that meets the requirements of sections 1505 and 
1506 and subsection (d) if the [Director] Bureau determines 
that such State is making a good faith effort to establish a 
State licensing law that meets such requirements, license 
mortgage originators under such law, and register such 
originators with the Nationwide Mortgage Licensing System and 
Registry.

           *       *       *       *       *       *       *


SEC. 1509. BACKUP AUTHORITY TO ESTABLISH A NATIONWIDE MORTGAGE 
                    LICENSING AND REGISTRY SYSTEM.

  If at any time the [Director] Bureau determines that the 
Nationwide Mortgage Licensing System and Registry is failing to 
meet the requirements and purposes of this title for a 
comprehensive licensing, supervisory, and tracking system for 
loan originators, the [Director] Bureau shall establish and 
maintain such a system to carry out the purposes of this title 
and the effective registration and regulation of loan 
originators.

           *       *       *       *       *       *       *


SEC. 1512. CONFIDENTIALITY OF INFORMATION.

  (a) System Confidentiality.--Except as otherwise provided in 
this section, any requirement under Federal or State law 
regarding the privacy or confidentiality of any information or 
material provided to the Nationwide Mortgage Licensing System 
and Registry or a system established by the [Director] Bureau 
under section 1509, and any privilege arising under Federal or 
State law (including the rules of any Federal or State court) 
with respect to such information or material, shall continue to 
apply to such information or material after the information or 
material has been disclosed to the system. Such information and 
material may be shared with all State and Federal regulatory 
officials with mortgage industry oversight authority without 
the loss of privilege or the loss of confidentiality 
protections provided by Federal and State laws.

           *       *       *       *       *       *       *

  (b) Nonapplicability of Certain Requirements.--Information or 
material that is subject to a privilege or confidentiality 
under subsection (a) shall not be subject to--
          (1) * * *
          (2) subpoena or discovery, or admission into 
        evidence, in any private civil action or administrative 
        process, unless with respect to any privilege held by 
        the Nationwide Mortgage Licensing System and Registry 
        or the [Director] Bureau with respect to such 
        information or material, the person to whom such 
        information or material pertains waives, in whole or in 
        part, in the discretion of such person, that privilege.

           *       *       *       *       *       *       *


SEC. 1513. LIABILITY PROVISIONS.

  The Bureau, any State official or agency, or any organization 
serving as the administrator of the Nationwide Mortgage 
Licensing System and Registry or a system established by the 
[Director] Bureau under section 1509, or any officer or 
employee of any such entity, shall not be subject to any civil 
action or proceeding for monetary damages by reason of the good 
faith action or omission of any officer or employee of any such 
entity, while acting within the scope of office or employment, 
relating to the collection, furnishing, or dissemination of 
information concerning persons who are loan originators or are 
applying for licensing or registration as loan originators.

SEC. 1514. ENFORCEMENT UNDER HUD BACKUP LICENSING SYSTEM.

  (a) Summons Authority.--The [Director] Bureau may--
          (1) examine any books, papers, records, or other data 
        of any loan originator operating in any State which is 
        subject to a licensing system established by the 
        [Director] Bureau under section 1508; and
          (2) summon any loan originator referred to in 
        paragraph (1) or any person having possession, custody, 
        or care of the reports and records relating to such 
        loan originator, to appear before the [Director] Bureau 
        or any delegate of the [Director] Bureau at a time and 
        place named in the summons and to produce such books, 
        papers, records, or other data, and to give testimony, 
        under oath, as may be relevant or material to an 
        investigation of such loan originator for compliance 
        with the requirements of this title.
  (b) Examination Authority.--
          (1) In general.--If the [Director] Bureau establishes 
        a licensing system under section 1508 for any State, 
        the [Director] Bureau shall appoint examiners for the 
        purposes of administering such section.
          (2) Power to examine.--Any examiner appointed under 
        paragraph (1) shall have power, on behalf of the 
        [Director] Bureau, to make any examination of any loan 
        originator operating in any State which is subject to a 
        licensing system established by the [Director] Bureau 
        under section 1508 whenever the [Director] Bureau 
        determines an examination of any loan originator is 
        necessary to determine the compliance by the originator 
        with this title.
          (3) Report of examination.--Each examiner appointed 
        under paragraph (1) shall make a full and detailed 
        report of examination of any loan originator examined 
        to the [Director] Bureau.
          (4) Administration of oaths and affirmations; 
        evidence.--In connection with examinations of loan 
        originators operating in any State which is subject to 
        a licensing system established by the [Director] Bureau 
        under section 1508, or with other types of 
        investigations to determine compliance with applicable 
        law and regulations, the [Director] Bureau and 
        examiners appointed by the [Director] Bureau may 
        administer oaths and affirmations and examine and take 
        and preserve testimony under oath as to any matter in 
        respect to the affairs of any such loan originator.
          (5) Assessments.--The cost of conducting any 
        examination of any loan originator operating in any 
        State which is subject to a licensing system 
        established by the [Director] Bureau under section 1508 
        shall be assessed by the [Director] Bureau against the 
        loan originator to meet the Secretary's expenses in 
        carrying out such examination.
  (c) Cease and Desist Proceeding.--
          (1) Authority of secretary.--If the [Director] Bureau 
        finds, after notice and opportunity for hearing, that 
        any person is violating, has violated, or is about to 
        violate any provision of this title, or any regulation 
        thereunder, with respect to a State which is subject to 
        a licensing system established by the [Director] Bureau 
        under section 1508, the [Director] Bureau may publish 
        such findings and enter an order requiring such person, 
        and any other person that is, was, or would be a cause 
        of the violation, due to an act or omission the person 
        knew or should have known would contribute to such 
        violation, to cease and desist from committing or 
        causing such violation and any future violation of the 
        same provision, rule, or regulation. Such order may, in 
        addition to requiring a person to cease and desist from 
        committing or causing a violation, require such person 
        to comply, or to take steps to effect compliance, with 
        such provision or regulation, upon such terms and 
        conditions and within such time as the [Director] 
        Bureau may specify in such order. Any such order may, 
        as the [Director] Bureau deems appropriate, require 
        future compliance or steps to effect future compliance, 
        either permanently or for such period of time as the 
        [Director] Bureau may specify, with such provision or 
        regulation with respect to any loan originator.
          (2) Hearing.--The notice instituting proceedings 
        pursuant to paragraph (1) shall fix a hearing date not 
        earlier than 30 days nor later than 60 days after 
        service of the notice unless an earlier or a later date 
        is set by the [Director] Bureau with the consent of any 
        respondent so served.
          (3) Temporary order.--Whenever the [Director] Bureau 
        determines that the alleged violation or threatened 
        violation specified in the notice instituting 
        proceedings pursuant to paragraph (1), or the 
        continuation thereof, is likely to result in 
        significant dissipation or conversion of assets, 
        significant harm to consumers, or substantial harm to 
        the public interest prior to the completion of the 
        proceedings, the [Director] Bureau may enter a 
        temporary order requiring the respondent to cease and 
        desist from the violation or threatened violation and 
        to take such action to prevent the violation or 
        threatened violation and to prevent dissipation or 
        conversion of assets, significant harm to consumers, or 
        substantial harm to the public interest as the 
        [Director] Bureau deems appropriate pending completion 
        of such proceedings. Such an order shall be entered 
        only after notice and opportunity for a hearing, unless 
        the [Director] Bureau determines that notice and 
        hearing prior to entry would be impracticable or 
        contrary to the public interest. A temporary order 
        shall become effective upon service upon the respondent 
        and, unless set aside, limited, or suspended by the 
        [Director] Bureau or a court of competent jurisdiction, 
        shall remain effective and enforceable pending the 
        completion of the proceedings.
          (4) Review of temporary orders.--
                  (A) Review by secretary.--At any time after 
                the respondent has been served with a temporary 
                cease and desist order pursuant to paragraph 
                (3), the respondent may apply to the [Director] 
                Bureau to have the order set aside, limited, or 
                suspended. If the respondent has been served 
                with a temporary cease and desist order entered 
                without a prior hearing before the [Director] 
                Bureau, the respondent may, within 10 days 
                after the date on which the order was served, 
                request a hearing on such application and the 
                shall hold a hearing and render a decision on 
                such application at the earliest possible time.
                  (B) Judicial review.--Within--
                          (i) 10 days after the date the 
                        respondent was served with a temporary 
                        cease and desist order entered with a 
                        prior hearing before the [Director] 
                        Bureau; or
                          (ii) 10 days after the [Director] 
                        Bureau renders a decision on an 
                        application and hearing under paragraph 
                        (1), with respect to any temporary 
                        cease and desist order entered without 
                        a prior hearing before the [Director] 
                        Bureau,
                the respondent may apply to the United States 
                district court for the district in which the 
                respondent resides or has its principal place 
                of business, or for the District of Columbia, 
                for an order setting aside, limiting, or 
                suspending the effectiveness or enforcement of 
                the order, and the court shall have 
                jurisdiction to enter such an order. A 
                respondent served with a temporary cease and 
                desist order entered without a prior hearing 
                before the [Director] Bureau may not apply to 
                the court except after hearing and decision by 
                the [Director] Bureau on the respondent's 
                application under subparagraph (A).

           *       *       *       *       *       *       *

          (5) Authority of the secretary to prohibit persons 
        from serving as loan originators.--In any cease and 
        desist proceeding under paragraph (1), the [Director] 
        Bureau may issue an order to prohibit, conditionally or 
        unconditionally, and permanently or for such period of 
        time as the [Director] Bureau shall determine, any 
        person who has violated this title or regulations 
        thereunder, from acting as a loan originator if the 
        conduct of that person demonstrates unfitness to serve 
        as a loan originator.
  (d) Authority of the [Director] Bureau To Assess Money 
Penalties.--
          (1) In general.--The [Director] Bureau may impose a 
        civil penalty on a loan originator operating in any 
        State which is subject to a licensing system 
        established by the [Director] Bureau under section 
        1508, if the [Director] Bureau finds, on the record 
        after notice and opportunity for hearing, that such 
        loan originator has violated or failed to comply with 
        any requirement of this title or any regulation 
        prescribed by the [Director] Bureau under this title or 
        order issued under subsection (c).

           *       *       *       *       *       *       *


SEC. 1516. REPORTS AND RECOMMENDATIONS TO CONGRESS.

  (a) Annual Reports.--Not later than 1 year after the date of 
enactment of this title, and annually thereafter, the 
[Director] Bureau shall submit a report to Congress on the 
effectiveness of the provisions of this title, including 
legislative recommendations, if any, for strengthening consumer 
protections, enhancing examination standards, streamlining 
communication between all stakeholders involved in residential 
mortgage loan origination and processing, and establishing 
performance based bonding requirements for mortgage originators 
or institutions that employ such brokers.
  (b) Legislative Recommendations.--Not later than 6 months 
after the date of enactment of this title, the [Director] 
Bureau shall make recommendations to Congress on legislative 
reforms to the Real Estate Settlement Procedures Act of 1974, 
that the [Director] Bureau deems appropriate to promote more 
transparent disclosures, allowing consumers to better shop and 
compare mortgage loan terms and settlement costs.

SEC. 1517. STUDY AND REPORTS ON DEFAULTS AND FORECLOSURES.

  (a) Study Required.--The [Director] Bureau shall conduct an 
extensive study of the root causes of default and foreclosure 
of home loans, using as much empirical data as is available.
  (b) Preliminary Report to Congress.--Not later than 6 months 
after the date of enactment of this title, the [Director] 
Bureau shall submit to Congress a preliminary report regarding 
the study required by this section.
  (c) Final Report to Congress.--Not later than 12 months after 
the date of enactment of this title, the [Director] Bureau 
shall submit to Congress a final report regarding the results 
of the study required by this section, which shall include any 
recommended legislation relating to the study, and 
recommendations for best practices and for a process to provide 
targeted assistance to populations with the highest risk of 
potential default or foreclosure.

           *       *       *       *       *       *       *

                              ----------                              


                      TITLE 44, UNITED STATES CODE

[Section 3(l) of H.R. 1121 provides for an amendment to section 3513 of 
title 44, United States Code. Effective on the designated transfer date 
(as determined under section 1062 of Public Law 111-203), such Act (as 
      amended by such Public Law and the bill), reads as follows:]



           *       *       *       *       *       *       *
CHAPTER 35--COORDINATION OF FEDERAL INFORMATION POLICY

           *       *       *       *       *       *       *


SUBCHAPTER I--FEDERAL INFORMATION POLICY

           *       *       *       *       *       *       *


Sec. 3513. Director review of agency activities; reporting; agency 
                    response

  (a) * * *

           *       *       *       *       *       *       *

  (c) Comparable Treatment.--Notwithstanding any other 
provision of law, the Director shall treat or review a rule or 
order prescribed or proposed by the [Director of the Bureau] 
Bureau of Consumer Financial Protection on the same terms and 
conditions as apply to any rule or order prescribed or proposed 
by the Board of Governors of the Federal Reserve System.

           *       *       *       *       *       *       *


                             MINORITY VIEWS

    The Consumer Financial Protection Bureau (CFPB) is a very 
important part of the Wall Street Reform and Consumer 
Protection Act, as the title of the bill makes clear. Until 
passage of that Act, consumer protection in financial matters 
was in the hands of regulators who consistently treated 
consumer protection as a second class concern. Creating an 
independent bureau was intended to ensure that consumer 
interests are fully considered on the merits and not relegated 
to an afterthought.
    H.R. 1121 proposes to alter fundamentally the structure of 
the CFPB, replacing the single Director with a 5-member 
commission. This formulation was considered and rejected by 
House conferees who recognized the need for a strong consumer 
protection regulator that could act decisively to protect 
consumers and support a well-informed, efficient market for 
consumer financial products. One of the primary 
responsibilities of the CFPB is to regulate the shadow banking 
system that often harms both consumers and responsible 
financial institutions. H.R. 1121 would lead to gridlock, 
exacerbate the regulatory disparity between banks and credit 
union and their less-regulated competitors, and leave consumers 
without crucial protections. We strongly oppose this 
legislation.

                                   Barney Frank.
                                   Luis V. Gutierrez.
                                   Gary G. Peters.
                                   Andre Carson.
                                   Wm. Lacy Clay.
                                   Emanuel Cleaver.
                                   Gary L. Ackerman.
                                   Carolyn McCarthy.
                                   Joe Baca.
                                   Joe Donnelly.
                                   Brad Sherman.
                                   Michael Capuano.
                                   Melvin L. Watt.
                                   Maxine Waters.
                                   Keith Ellison.
                                   Carolyn B. Maloney.
                                   Brad Miller.
                                   Gregory W. Meeks.
                                   Al Green.
                                   Stephen F. Lynch.
                                   Ruben Hinojosa.

                                  
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