S. 1799 – Community Bank Sensible Regulation Act of 2015

114th CONGRESS

1st Session

S. 1799

IN THE SENATE OF THE UNITED STATES

July 16, 2015

Ms. Collins introduced the following bill; which was read twice and referred to the Committee on Banking, Housing, and Urban Affairs

A BILL

To provide authority for certain depository institutions, and for other purposes.

Short title

This Act may be cited as the Community Bank Sensible Regulation Act of 2015.

Exemptive authority for the Federal Deposit Insurance Corporation

Section 10 of the Federal Deposit Insurance Act (12 U.S.C. 1820) is amended by adding at the end the following:

(l)

Exemptive authority

(1)

In general

Notwithstanding any other provision of law, the Corporation, after considering the factors in paragraph (3), may exempt by rule any depository institution having less than $10,000,000,000 in total assets from—

(A)

any provision of this Act;

(B)

any rule promulgated under this Act; or

(C)

any rule promulgated under any other Act conferring authority to the Corporation.

(2)

Conditions

The Corporation may impose conditions on an exemption granted under paragraph (1).

(3)

Factors to consider

In issuing an exemption under paragraph (1), the Corporation shall consider, as appropriate, the extent to which—

(A)

the provision or rule would impose an unnecessary or undue burden or cost on the depository institution;

(B)

the provision or rule is unnecessary or unwarranted in order to promote the safety and soundness of the depository institution; and

(C)

the exemption is necessary, appropriate, or consistent with the public interest.

(4)

Indexation of asset threshold

The asset threshold identified in paragraph (1) shall be increased annually at a percentage equal to the percentage change in the total aggregate assets of insured depository institutions for each 12-month period ending in December of each year, rounded to the nearest $10,000,000.

Exemptive authority for the Office of the Comptroller of the Currency

(a)

Exemptive authority for national banks

Section 5239A of the Revised Statutes is amended—

(1)

by striking Except and inserting the following:

(a)

In general

Except

; and

(2)

by adding at the end the following:

(b)

Exemptive authority

(1)

Definition

In this subsection, the term insured depository institution has the meaning given the term in section 3 of the Federal Deposit Insurance Act (12 U.S.C. 1813).

(2)

Exemption

Notwithstanding any other provision of law, the Comptroller of the Currency, after considering the factors in paragraph (4), may exempt by rule any national bank having less than $10,000,000,000 in total assets from—

(A)

any provision of this title;

(B)

any rule promulgated under this title; or

(C)

any rule promulgated under any other title or Act that confers authority to the Comptroller.

(3)

Conditions

The Comptroller may impose conditions on an exemption granted under paragraph (2).

(4)

Factors to consider

In issuing an exemption under paragraph (2), the Comptroller shall consider, as appropriate, the extent to which—

(A)

the provision or rule would impose an unnecessary or undue burden or cost on the national bank;

(B)

the provision or rule is unnecessary or unwarranted to promote the safety and soundness of the national bank; and

(C)

the exemption is necessary, appropriate, or consistent with the public interest.

(5)

Indexation of asset threshold

(b)

Exemptive authority for savings associations

Section 4(a) of the Home Owners’ Loan Act (12 U.S.C. 1463(a)) is amended by adding at the end the following:

(4)

Exemptive Authority

(A)

Definition

In this paragraph, the term insured depository institution has the meaning given the term in section 3 of the Federal Deposit Insurance Act (12 U.S.C. 1813).

(B)

Exemption

Notwithstanding any other provision of law, the Comptroller of the Currency, after considering the factors in subparagraph (D), may exempt by rule any savings association having less than $10,000,000,000 in total assets from—

(i)

any provision of this title;

(ii)

any rule promulgated under this title; or

(iii)

any rule promulgated under any other title or Act conferring authority on the Comptroller.

(C)

Conditions

The Comptroller may impose conditions on an exemption granted under subparagraph (B).

(D)

Factors to consider

In issuing an exemption under subparagraph (B), the Comptroller shall consider, as appropriate, the extent to which—

(i)

the provision or rule would impose an unnecessary or undue burden or cost on the savings association;

(ii)

the provision or rule is unnecessary or unwarranted to promote the safety and soundness of the savings association; and

(iii)

the exemption is necessary, appropriate, or consistent with the public interest.

(E)

Indexation of asset threshold

The asset threshold identified in subparagraph (B) shall be increased annually at a percentage equal to the percentage change in the total aggregate assets of insured depository institutions for each 12-month period ending in December of each year, rounded to the nearest $10,000,000.

Exemptive authority for the Board of Governors of the Federal Reserve system

(a)

Exemptive authority for State member banks

Section 11 of the Federal Reserve Act (12 U.S.C. 248) is amended by adding at the end the following:

(t)

Exemptive authority

(1)

Definition

In this section, the term insured depository institution has the meaning given the term in section 3 of the Federal Deposit Insurance Act (12 U.S.C. 1813).

(2)

Exemption

Notwithstanding any other provision of law, the Board, after considering the factors in paragraph (4), may exempt by rule any State member bank having less than $10,000,000,000 in total assets from—

(A)

any provision of this Act;

(B)

any rule promulgated under this Act; or

(C)

any rule promulgated under any other Act conferring authority on the Board.

(3)

Conditions

The Board may impose conditions on an exemption granted under paragraph (2).

(4)

Factors to consider

In issuing an exemption under paragraph (2), the Board shall consider, as appropriate, the extent to which—

(A)

the provision or rule would impose an unnecessary or undue burden or cost on the State member bank;

(B)

the provision or rule is unnecessary or unwarranted to promote the safety and soundness of the State member bank; and

(C)

the exemption is necessary, appropriate, or consistent with the public interest.

(5)

Indexation of asset threshold

The asset threshold identified in paragraph (2) shall be increased annually at a percentage equal to the percentage change in the total aggregate assets of insured depository institutions for each 12-month period ending in December of each year, rounded to the nearest $10,000,000.

(b)

Exemptive authority for bank holding companies

The Bank Holding Company Act of 1956 (12 U.S.C. 1841 et seq.) is amended by adding at the end the following:

15.

Exemptive Authority

(a)

Definition

In this section, the term insured depository institution has the meaning given the term in section 3 of the Federal Deposit Insurance Act (12 U.S.C. 1813).

(b)

Exemption

Notwithstanding any other provision of law, the Board, after considering the factors in subsection (d), may exempt by rule any bank holding company having less than $10,000,000,000 in total assets from—

(1)

any provision of this Act;

(2)

any rule promulgated under this Act; or

(3)

any rule promulgated under any other Act conferring authority on the Board.

(c)

Conditions

The Board may impose conditions on an exemption granted under subsection (b).

(d)

Factors To consider

In issuing an exemption under subsection (b), the Board shall consider, as appropriate, the extent to which—

(1)

the provision or rule would impose an unnecessary or undue burden or cost on the bank holding company;

(2)

the provision or rule is unnecessary or unwarranted to promote the safety and soundness of the bank holding company; and

(3)

the exemption is necessary, appropriate, or consistent with the public interest.

(e)

Indexation of asset threshold

The asset threshold identified in subsection (b) shall be increased annually at a percentage equal to the percentage change in the total aggregate assets of insured depository institutions for each 12-month period ending in December of each year, rounded to the nearest $10,000,000.

(c)

Exemptive authority for savings and loan holding companies and mutual holding companies

Section 10 of the Home Owners’ Loan Act (12 U.S.C. 1467a) is amended by adding at the end the following:

(u)

Exemptive authority

(1)

Definitions

In this subsection—

(A)

the term insured depository institution has the meaning given the term in section 3 of the Federal Deposit Insurance Act (12 U.S.C. 1813); and

(B)

the term mutual holding company has the meaning given the term in subsection (o)(10)(A).

(2)

Exemption

Notwithstanding any other provision of law, the Board, after considering the factors in paragraph (4), may exempt by rule any savings and loan holding company or any mutual holding company having less than $10,000,000,000 in total assets from—

(A)

any provision of this Act;

(B)

any rule promulgated under this Act; or

(C)

any rule promulgated under any other Act conferring authority on the Board.

(3)

Conditions

The Board may impose conditions on an exemption granted under paragraph (2).

(4)

Factors to consider

In issuing an exemption under paragraph (2), the Board shall consider the extent to which—

(A)

the provision or rule would impose an unnecessary or undue burden or cost on the savings and loan holding company or the mutual holding company;

(B)

the provision or rule is unnecessary or unwarranted to promote the safety and soundness of the savings and loan holding company or the mutual holding company; and

(C)

the exemption is necessary, appropriate, or consistent with the public interest.

(5)

Limitation

The authority granted under paragraph (2) shall not apply with respect to a savings and loan holding company described in subsection (c)(9)(C).

(6)

Indexation of asset threshold

Community Bank Sensible Regulation Act of 2015

Legislative Activity

Bill Text