[House Report 119-253]
[From the U.S. Government Publishing Office]
119th Congress } { Report
HOUSE OF REPRESENTATIVES
1st Session } { 119-253
======================================================================
AMERICAN ACCESS TO BANKING ACT
_______
September 8, 2025.--Committed to the Committee of the Whole House on
the State of the Union and ordered to be printed
_______
Mr. Hill of Arkansas, from the Committee on Financial Services,
submitted the following
R E P O R T
[To accompany H.R. 4544]
The Committee on Financial Services, to whom was referred
the bill (H.R. 4544) to direct certain Federal banking and
credit union agencies to promote the formation of de novo
regulated institutions through the review of application
processes, the review of capital raising by de novo regulated
institutions, and the establishment of various outreach
programs, and for other purposes, having considered the same,
reports favorably thereon with an amendment and recommends that
the bill as amended do pass.
CONTENTS
Page
Purpose and Summary.............................................. 2
Background and Need for Legislation.............................. 2
Committee Consideration.......................................... 4
Related Hearing.................................................. 4
Committee Votes.................................................. 4
Committee Oversight Findings..................................... 7
Performance Goals and Objectives................................. 7
Committee Cost Estimate.......................................... 7
New Budget Authority and CBO Cost Estimate....................... 7
Unfunded Mandates Statement...................................... 7
Earmark Statement................................................ 7
Federal Advisory Committee Act Statement......................... 7
Applicability to the Legislative Branch.......................... 8
Duplication of Federal Programs.................................. 8
Section-by-Section Analysis of the Legislation................... 8
Changes in Existing Law Made by the Bill, as Reported............ 9
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 ``American Access to Banking Act''.
SEC. 2. STREAMLINING APPLICATION PROCESS AND REVIEW OF CAPITAL RAISING
BY DE NOVO REGULATED INSTITUTIONS.
(a) In General.--Each of the Federal financial institutions
regulatory agencies shall--
(1) for the purpose of streamlining the process of applying
to become a de novo regulated institution, conduct a review of
any application forms related to such process;
(2) to the extent practicable, gather information needed from
applicants seeking to become a de novo regulated institution
from other Federal Government agencies or public sources to
minimize information requests of such applicants; and
(3) in consultation with the Securities and Exchange
Commission, review how de novo regulated institutions raise
capital while maintaining investor protections, including the
impact of--
(A) general capital raising restrictions; and
(B) capital raising restrictions related to
individuals who are not accredited investors.
(b) Report.--Not later than 1 year after the date of the enactment of
this section, and annually for 5 years thereafter, each of the Federal
financial institutions regulatory agencies shall submit to the
Committee on Financial Services of the House of Representatives and the
Committee on Banking, Housing, and Urban Affairs of the Senate and
publish on a public website of such agency a report that contains--
(1) a description of the actions taken by such agency
pursuant to subsection (a); and
(2) as appropriate, any administrative or legislative
recommendations with respect to the purpose described in
subsection (a)(3).
SEC. 3. IMPROVING COMMUNICATION WITH DE NOVO REGULATED INSTITUTIONS.
(a) In General.--Each of the Federal financial institutions
regulatory agencies shall, at the request of an applicant to become a
de novo regulated institution, designate an employee of the agency as a
caseworker, who may perform such duty in addition to the other duties
of the employee.
(b) Caseworker Duties.--Each caseworker described in subsection (a)
shall, to the maximum extent practicable--
(1) meet with the lead organizers applying to become a de
novo regulated institution to provide a tutorial with respect
to the application process; and
(2) be the primary point of contact of the respective Federal
financial institutions regulatory agency for such organizers
during the application process.
(c) New Caseworker.--Each agency described in subsection (a) may
designate a new caseworker, as appropriate, to support continuity based
on staffing and responsibilities assigned to the current caseworker.
SEC. 4. DE NOVO MENTOR-PROTEGE PARTNERSHIPS.
(a) In General.--At the request of an institution that seeks to
become a de novo regulated institution, each of the Federal financial
institutions regulatory agencies shall, to the maximum extent
practicable, provide a list to such institution of similar types of
institutions that--
(1) were recently approved to become a de novo regulated
institution; and
(2) are interested in volunteering to serve as a mentor to
provide advice about the de novo application process.
(b) Mentorship Information.--Not later than 1 year after the date of
the enactment of this section, each of the Federal financial
institutions regulatory agencies shall provide public information and
directions on how an institution may request a mentor or serve as a
mentor as described in subsection (a).
SEC. 5. STATE AND STAKEHOLDER ENGAGEMENT PLAN.
(a) In General.--Each of the Federal financial institutions
regulatory agencies shall develop a plan to--
(1) regularly consult with State regulators to promote
cooperation between State and Federal banking and credit union
agencies in the creation of de novo regulated institutions,
including responding to any State regulator that requests
assistance on how a State-chartered financial institution can
request Federal insurance;
(2) regularly consult with stakeholders, including applicants
to become de novo regulated institutions and recently approved
regulated institutions, to inform any reforms that may support
the creation of de novo regulated institutions, including rural
institutions, community development financial institutions, and
minority depository institutions; and
(3) provide guidance, training material, and regular
workshops to assist any interested parties to understand such
agencies processes.
(b) Submission to Congress.--
(1) In general.--Not later than 2 years after the date of the
enactment of this section, and every 5 years thereafter, each
of the Federal financial institutions regulatory agencies shall
submit to the Committee on Financial Services of the House of
Representatives and the Committee on Banking, Housing, and
Urban Affairs of the Senate the respective plan of such agency
described in subsection (a).
(2) Public comment.--With respect to developing the plan
described in subsection (a), each of the Federal financial
institutions regulatory agencies shall--
(A) provide an opportunity for public comments; and
(B) take such public comments into consideration.
SEC. 6. DEFINITIONS.
(a) In General.--In this Act:
(1) Federal banking agency.--The term ``Federal banking
agency'' has the meaning given the term in section 3 of the
Federal Deposit Insurance Act (12 U.S.C. 1813).
(2) Federal financial institutions regulatory agencies.--The
term ``Federal financial institutions regulatory agencies'' has
the meaning given the term in section 1003 of the Federal
Financial Institutions Examination Council Act of 1978 (12
U.S.C. 3302).
(3) Regulated institution.--The term ``regulated
institution'' means--
(A) with respect to a Federal banking agency, a
depository institution (as such term is defined in
section 3 of the Federal Deposit Insurance Act (12
U.S.C. 1813)) for which the Federal banking agency is
the appropriate Federal banking agency (as such term is
defined in such section 3); and
(B) with respect to the National Credit Union
Administration, an insured credit union (as such term
is defined in section 101 of the Federal Credit Union
Act (12 U.S.C. 1752)).
(4) State.--The term ``State'' means each of the several
States, the District of Colombia, and each territory of the
United States.
(5) State regulator.--The term ``State regulator'' means--
(A) with respect to a Federal banking agency, a State
banking regulator; and
(B) with respect to the National Credit Union
Administration, the State regulatory agency having
jurisdiction over a State credit union (as such term is
defined in section 101 of the Federal Credit Union Act
(12 U.S.C. 1752)).
(b) Rule of Construction.--For purposes of this Act, the process of
applying to become a de novo regulated institution shall include the
process of applying for Federal deposit insurance, Federal share
insurance, or membership of a Federal reserve bank.
PURPOSE AND SUMMARY
H.R. 4544, the American Access to Banking Act, was
introduced on July 17, 2025, by Democratic Representative
Maxine Waters (CA-43). H.R. 4544 directs federal banking and
credit union regulators to streamline the de novo application
process, reduce duplicative information requests, and review
capital-raising restrictions, particularly for non-accredited
investors. The bill also requires regulators to assign agency
caseworkers to assist de novo applicants, promote membership
opportunities with recently approved institutions, and engage
with state regulators and community stakeholders. Additionally,
agencies must publish annual reports on their efforts and
submit a long-term engagement plan to Congress every five
years, with the goal of expanding access to banking through the
growth of de novo, community-based financial institutions.
BACKGROUND AND NEED FOR LEGISLATION
De novo banks play a vital role in fostering a dynamic,
innovative, and competitive banking ecosystem. Frequently
established as community banks, these institutions offer
relationship-based services tailored to local needs. Community
banks, including many de novos, are uniquely positioned to lend
based on local market knowledge, character-based assessments,
and a firsthand understanding of their customers.
However, since the 2008 financial crisis, the pace of new
bank formation has declined sharply; while over 1,300 new banks
were chartered between 2000 and 2009, only 88 were formed from
2010 to 2024. This decline reflects heightened regulatory
burdens, capital raising challenges, and a complex approval
process that can discourage new entrants. The resulting reduced
competition has contributed to bank consolidation and fewer
options for consumers and small businesses, especially in rural
and underserved communities.
H.R. 4544 represents one step toward reversing this trend
by ensuring that de novo applicants have the resources and
guidance needed to navigate the application process, avoid
unnecessary delays, and build financially sound institutions.
By promoting transparency, mentorship, and collaboration
between federal and state regulators, the bill aims to lower
barriers to entry and support a more competitive banking sector
that better serves local communities.
COMMITTEE CONSIDERATION
119TH CONGRESS
On July 17, 2025, Representative Waters introduced H.R.
4544, the American Access to Banking Act. The bill was referred
solely to the Committee on Financial Services. The bill was
attached to the July 15, 2025, hearing titled ``Dodd-Frank
Turns 15: Lessons Learned and the Road Ahead.''
On July 23, 2025, the Committee on Financial Services met
in open session to consider, among others, H.R. 4544. The
Committee ordered H.R. 4544, as amended, to be favorably
reported to the House of Representatives.
RELATED HEARING
Pursuant to clause 3(c)(6) of rule XIII of the Rules of the
House of Representatives, the following hearing was used to
develop H.R. 4544:
The Committee on Financial Services held a July 15, 2025,
hearing titled ``Dodd-Frank Turns 15: Lessons Learned and the
Road Ahead.'' A discussion draft version of the bill was
attached to the hearing. The following witnesses testified: The
Honorable Ken Bentsen, President and Chief Executive Officer,
Securities Industry and Financial Markets Association; Mrs.
Lindsey Johnson, President and Chief Executive Officer,
Consumer Bankers Association; Mr. Tom Quaadman, Chief of
Government Affairs and Public Policy, Investment Company
Institute; Dr. Paul Kupiec, Senior Fellow, American Enterprise
Institute; and Mr. Dennis Kelleher, Co-Founder, President, and
Chief Executive Officer, Better Markets.
COMMITTEE VOTES
Clause 3(b) of rule XIII of the Rules of the House of
Representatives requires the Committee Report to include record
votes on the motion to report legislation and amendments
thereto.
On July 23, 2025, the Committee ordered H.R. 4544, as
amended, to be reported favorably to the House by a recorded
vote of 49 yeas and 0 nays. (Record Vote No. FC-192).
Before the question to report was called, the Committee
adopted an amendment in the nature of a substitute offered by
Representative Waters, designated as Waters_076, which made
minor edits and technical changes. This amendment was adopted
by voice vote.
COMMITTEE OVERSIGHT FINDINGS
Pursuant to clause 3(c) of rule XIII of the Rules of the
House of Representatives, the findings and recommendations of
the Committee, based on oversight activities under clause
2(b)(1) of rule X of the Rules of the House of Representatives
are incorporated in the descriptive portions of this report.
PERFORMANCE GOALS AND OBJECTIVES
Pursuant to clause 3(c)(4) of rule XIII of the Rules of the
House of Representatives, the goal of H.R. 4544 is to support a
more competitive banking sector that better serves local
communities by lowering barriers to entry for de novo banks.
COMMITTEE COST ESTIMATE
Clause 3(d)(1) of rule XIII of the Rules of the House of
Representatives requires an estimate and a comparison of the
costs that would be incurred in carrying out H.R. 4544. The
Committee has requested but not received a cost estimate from
the Director of the Congressional Budget Office. However,
pursuant to clause 3(d)(1) of rule XIII of the Rules of the
House of Representatives, the Committee will adopt as its own
the cost estimate by the Director of the Congressional Budget
Office once it has been prepared.
NEW BUDGET AUTHORITY AND CBO COST ESTIMATE
With respect to the requirements of clause 3(c)(2) of rule
XIII of the Rules of the House of Representatives and section
308(a) of the Congressional Budget Act of 1974 and with respect
to requirements of clause 3(c)(3) of rule XIII of the Rules of
the House of Representatives and section 402 of the
Congressional Budget Act of 1974, the Committee will adopt as
its own the cost estimate for the bill prepared by the Director
of the Congressional Budget Office. However, a cost estimate
was not made available to the Committee in time for the filing
of this report. The Chairman of the Committee shall cause such
estimate to be printed in the Congressional Record upon its
receipt by the Committee.
UNFUNDED MANDATES STATEMENT
The Committee has requested but not received from the
Director of the Congressional Budget Office an estimate of the
Federal mandates pursuant to section 423 of the Unfunded
Mandates Reform Act. The Chairman of the Committee shall cause
such estimate to be printed in the Congressional Record upon
its receipt by the Committee.
EARMARK STATEMENT
In compliance with clause 9 of rule XXI of the Rules of the
House of Representatives, this bill, as reported, contains no
congressional earmarks, limited tax benefits, or limited tariff
benefits as defined in clause 9(e), 9(f), or 9(g) of rule XXI.
FEDERAL ADVISORY COMMITTEE ACT STATEMENT
No advisory committees within the meaning of section 5(b)
of the Federal Advisory Committee Act were created by this
legislation.
APPLICABILITY TO THE 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 section
102(b)(3) of the Congressional Accountability Act.
DUPLICATION OF FEDERAL PROGRAMS
Pursuant to clause 3(c)(5) of rule XIII of the Rules of the
House of Representatives, the Committee states that no
provision of the bill establishes or reauthorizes a program of
the Federal Government known to be duplicative of another
Federal program, including any program that was included in a
report to Congress pursuant to section 21 of the Public Law
111-139 or the most recent Catalog of Federal Domestic
Assistance.
SECTION-BY-SECTION ANALYSIS OF THE LEGISLATION
Section 1. Short title
Section 1 provides that the title is the ``American
Access to Banking Act.''
Section 2. Streamlining application process and review of capital
raising by de novo regulated institutions
This section directs the Federal banking regulators to
conduct a review of application forms relating to the process
of applying to become a de novo regulated institution for the
purpose of streamlining and simplifying such process. The
Federal financial regulators shall gather information needed
from applicants to minimize information requests and coordinate
with the Securities Exchange Commission to review how de novo
regulated institutions raise capital whole maintaining investor
protections. This section requires the Federal financial
regulators to report to Congress one year after the enactment
of this Act, and annually for five years thereafter, a
description of actions taken by such agency and any
administrative or legislative recommendations with respect to
the purpose described in this section.
Section 3. Improving communication with de novo regulated institutions
This section requires the Federal financial agencies, at
the request of an applicant, to designate an employee of the
agency as a caseworker to meet with the lead organizers of the
applicants and serve as the primary point of contact of the
agency during the application process.
Section 4. De novo mentor-protege partnerships
This section requires the Federal financial agencies, at
the request of an applicant, to provide a list to such
institution of similar types of institutions that were recently
approved to become a de novo regulated institution and are
interested in volunteering to serve as a mentor to provide
advice about the de novo application process.
Section 5. State and stakeholder engagement plans
This section directs the Federal financial institution
regulatory agencies to develop a plan to (1) regularly consult
with State regulators to promote cooperation between State and
Federal banking and credit union agencies in the creation of de
novo regulated institutions, (2) regularly consult with
stakeholders to inform any reforms that may support the
creation of de novo regulated institutions, and (3) provide
guidance, training, material and workshops to assist any
interested parties to understand such agencies processes. The
Federal financial regulators shall submit to Congress no later
than two years after the date of the enactment of this section,
and every five years thereafter, a plan of such agency
described in this section with an opportunity for public
comments.
Section 6. Definitions
This section provides definitions for various terms
included in the Act.
CHANGES IN EXISTING LAW MADE BY THE BILL, AS REPORTED
H.R. 4544 does not repeal or amend any section of a
statute. Therefore, the Office of Legislative Counsel did not
prepare the report required under clause 3(e) of rule XIII of
the House of Representatives.
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