Depository Institution Disaster Relief Act of 1997

Summary: Depository Institution Disaster Relief Act of 1997 - Authorizes the Board of Governors of the Federal Reserve System to make exceptions to the Truth in Lending Act and the Expedited Funds Availability Act with respect to transactions and depository institutions located within national disaster areas produced by the 1997 flooding of the Red River and its tributaries, if the Board determines that the exception can reasonably be expected to alleviate hardships to the public that outweigh possible adverse effects. 
Authorizes the appropriate Federal banking agency to permit an insured depository institution in such a disaster area, which also meets certain other requirements, to subtract the amount of disaster insurance proceeds or governmental assistance from its total assets when calculating compliance with mandatory leverage limits of the Federal Deposit Insurance Act. 
Authorizes the Board and other Federal banking agencies to disregard specified rulemaking procedural and publication requirements of Federal law with respect to such depository institutions. 
Expresses the sense of the Congress that each Federal financial institution regulatory agency should make exceptions to the appraisal standards prescribed by the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 with respect to real property located within a disaster area, if the agency determines that this can reasonably be expected to alleviate hardships to the public that outweigh possible adverse effects.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Depository Institution Disaster 
Relief Act of 1997''.

SEC. 2. TRUTH IN LENDING ACT; EXPEDITED FUNDS AVAILABILITY ACT.

    (a) Truth in Lending Act.--During the 180-day period beginning on 
the date of enactment of this Act, the Board may make exceptions to the 
Truth in Lending Act (15 U.S.C. 1601 et seq.) for transactions within 
an area in which the President, pursuant to section 401 of the Robert 
T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 
5121 et seq.), has determined that a major disaster exists, or within 
an area determined to be eligible for disaster relief under other 
Federal law by reason of damage related to the 1997 flooding of the Red 
River of the North and its tributaries, if the Board determines that 
the exception can reasonably be expected to alleviate hardships to the 
public resulting from such disaster that outweigh possible adverse 
effects.
    (b) Expedited Funds Availability Act.--During the 180-day period 
beginning on the date of enactment of this Act, the Board may make 
exceptions to the Expedited Funds Availability Act (12 U.S.C. 4001 et 
seq.) for depository institution offices located within any area 
referred to in subsection (a) if the Board determines that the 
exception can reasonably be expected to alleviate hardships to the 
public resulting from such disaster that outweigh possible adverse 
effects.
    (c) Time Limit on Exceptions.--Any exception made under this 
section shall expire not later than the earlier of--
            (1) 1 year after the date of enactment of this Act; or
            (2) 1 year after the date of any determination referred to 
        in subsection (a).
    (d) Publication Required.--Not later than 60 days after the date of 
a determination under subsection (a), the Board shall publish in the 
Federal Register a statement that--
            (1) describes the exception made under this section; and
            (2) explains how the exception can reasonably be expected 
        to produce benefits to the public that outweigh possible 
        adverse effects.

SEC. 3. DEPOSIT OF INSURANCE PROCEEDS.

    The appropriate Federal banking agency may, by order, permit an 
insured depository institution, during the 18-month period beginning on 
the date of enactment of this Act, to subtract from the institution's 
total assets, in calculating compliance with the leverage limit 
prescribed under section 38 of the Federal Deposit Insurance Act (12 
U.S.C. 18310), an amount not exceeding the qualifying amount 
attributable to insurance proceeds, if the agency determines that--
            (1) the institution--
                    (A) had its principal place of business within an 
                area in which the President, pursuant to section 401 of 
                the Robert T. Stafford Disaster Relief and Emergency 
                Assistance Act, has determined that a major disaster 
                exists, or within an area determined to be eligible for 
                disaster relief under other Federal law by reason of 
                damage related to the 1997 flooding of the Red River of 
                the North and its tributaries, on the day before the 
                date of any such determination;
                    (B) derives more than 60 percent of its total 
                deposits from persons who normally reside within, or 
                whose principal place of business is normally within, 
                areas of intense devastation caused by the major 
                disaster;
                    (C) was adequately capitalized (as defined in 
                section 38 of the Federal Deposit Insurance Act (12 
                U.S.C. 18310)) before the major disaster; and
                    (D) has an acceptable plan for managing the 
                increase in its total assets and total deposits; and
            (2) the subtraction is consistent with the purpose of 
        section 38 of the Federal Deposit Insurance Act (12 U.S.C. 
        18310).

SEC. 4. BANKING AGENCY PUBLICATION REQUIREMENTS.

    (a) In General.--During the 180-day period beginning on the date of 
enactment of this Act, a qualifying regulatory agency may take any of 
the following actions with respect to depository institutions or other 
regulated entities whose principal place of business is within, or with 
respect to transactions or activities within, an area in which the 
President, pursuant to section 401 of the Robert T. Stafford Disaster 
Relief and Emergency Assistance Act, has determined that a major 
disaster exists, or within an area determined to be eligible for 
disaster relief under other Federal law by reason of damage related to 
the 1997 flooding of the Red River of the North and its tributaries, if 
the agency determines that the action would facilitate recovery from 
the major disaster:
            (1) Procedure.--Exercise the agency's authority under 
        provisions of law other than this section without complying 
        with--
                    (A) any requirement of section 553 of title 5, 
                United States Code; or
                    (B) any provision of law that requires notice or 
                opportunity for hearing or sets maximum or minimum time 
                limits with respect to agency action.
            (2) Publication requirements.--Make exceptions, with 
        respect to institutions or other entities for which the agency 
        is the primary Federal regulator, to--
                    (A) any publication requirement with respect to 
                establishing branches or other deposit-taking 
                facilities; or
                    (B) any similar publication requirement.
    (b) Publication Required.--Not later than 90 days after the date of 
an action under this section, a qualifying regulatory agency shall 
publish in the Federal Register a statement that--
            (1) describes the action taken under this section; and
            (2) explains the need for the action.
    (c) Qualifying Regulatory Agency Defined.--For purposes of this 
section, the term ``qualifying regulatory agency'' means--
            (1) the Board;
            (2) the Office of the Comptroller of the Currency;
            (3) the Office of Thrift Supervision;
            (4) the Federal Deposit Insurance Corporation;
            (5) the Federal Financial Institutions Examination Council;
            (6) the National Credit Union Administration; and
            (7) with respect to chapter 53 of title 31, United States 
        Code, the Secretary of the Treasury.

SEC. 5. SENSE OF THE CONGRESS.

    It is the sense of the Congress that each Federal financial 
institutions regulatory agency should, by regulation or order, make 
exceptions to the appraisal standards prescribed by title XI of the 
Financial Institutions Reform, Recovery, and Enforcement Act of 1989 
(12 U.S.C. 3331 et seq.) for transactions involving institutions for 
which the agency is the primary Federal regulator with respect to real 
property located within a disaster area pursuant to section 1123 of the 
Financial Institutions Reform, Recovery, and Enforcement Act of 1989 
(12 U.S.C. 3352), if the agency determines that the exceptions can 
reasonably be expected to alleviate hardships to the public resulting 
from such disaster that outweigh possible adverse effects.

SEC. 6. OTHER AUTHORITY NOT AFFECTED.

    Nothing in this Act limits the authority of any department or 
agency under any other provision of law.

SEC. 7. DEFINITIONS.

    For purposes of this Act, the following definitions shall apply:
            (1) Appropriate federal banking agency.--The term 
        ``appropriate Federal banking agency'' has the same meaning as 
        in section 3 of the Federal Deposit Insurance Act (12 U.S.C. 
        18310).
            (2) Board.--The term ``Board'' means the Board of Governors 
        of the Federal Reserve System.
            (3) Federal financial institutions regulatory agency.--The 
        term ``Federal financial institutions regulatory agency'' has 
        the same meaning as in section 1121 of the Financial 
        Institutions Reform, Recovery, and Enforcement Act of 1989 (12 
        U.S.C. 3350).
            (4) Insured depository institution.--The term ``insured 
        depository institution'' has the same meaning as in section 3 
        of the Federal Deposit Insurance Act (12 U.S.C. 1813).
            (5) Leverage limit.--The term ``leverage limit'' has the 
        same meaning as in section 38 of the Federal Deposit Insurance 
        Act (12 U.S.C. 1813).
            (6) Qualifying amount attributable to insurance proceeds.--
        The term ``qualifying amount attributable to insurance 
        proceeds'' means the amount (if any) by which the institution's 
        total assets exceed the institution's average total assets 
        during the calendar quarter ending before the date of any 
        determination referred to in section 3(1)(A), because of the 
        deposit of insurance payments or governmental assistance made 
        with respect to damage caused by, or other costs resulting 
        from, the major disaster.