S.Amdt. 3857

SA 3857. Mr. REED submitted an amendment intended to be proposed to
amendment SA 3739 proposed by Mr. Reid (for Mr. Dodd (for himself and
Mrs. Lincoln)) to the bill S. 3217, to promote the financial stability
of the United States by improving accountability and transparency in
the financial system, to end ``too big to fail'', to protect the
American taxpayer by ending bailouts, to protect consumers from abusive
financial services practices, and for other purposes; which was ordered
to lie on the table; as follows:

Page 1268, strike line 24 and all that follows through page
1270, line 10, and insert the following:
(c) Examinations.--
(1) In general.--The prudential regulator shall, on a
periodic basis, examine, or require reports from, each
institution referred to in subsection (a) for purposes of
ensuring and enforcing compliance with the requirements of
Federal consumer financial law.
(2) Bureau role in supervision.--
(A) Agency responsibilities.--The prudential regulator
shall provide all reports, records, and documentation related
to the examination process to the Bureau on a timely and
ongoing basis.
(B) Bureau involvement.--The Bureau may, at its discretion,
include an examiner on any examination conducted under
paragraph (1). The prudential regulator shall involve such
Bureau examiner in the entire examination process, including
setting the scope of an examination, participating in the
examination, and providing input on the examination report,
matters requiring attention and examination ratings.
(d) Enforcement.--
(1) In general.--Notwithstanding any other provision of
this title, the prudential regulator shall have primary
authority to enforce compliance with any Federal consumer
financial law by institutions referred to in subsection (a)
of any of the consumer financial laws.
(2) Coordination with prudential regulator.--
(A) Referral.--
(i) In general.--When the Bureau has reason to believe that
an institution described in subsection (a) has engaged in a
material violation of a Federal consumer financial law, the
Bureau may recommend in writing to the appropriate agency
that the appropriate agency initiate an enforcement
proceeding to the extent the appropriate agency is authorized
by that Federal law or by this title.
(ii) Explanation.--Any recommendation under clause (i)
shall be accompanied by a written explanation of the concerns
giving rise to the recommendation.
(B) Backstop enforcement authority of the bureau.--If the
appropriate agency does not, before the end of the 120-day
period beginning on the date on which the appropriate agency
receives a recommendation under subparagraph (A), initiate an
enforcement proceeding, the Bureau may initiate an
enforcement proceeding as permitted by Federal law.
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