A bill to require a Government Accountability Office examination of transactions between large financial institutions and the Federal Government, and for other purposes.

Summary: (Sec. 1) Directs the Comptroller General to study any bank holding company having more than $500 billion in consolidated assets (covered institution) with respect to:

 favorable pricing of its debt relative to its risk profile resulting from the perception it will receive federal support in the event of any financial stress; any favorable funding or economic treatment resulting from an increase in its credit rating as a result of express, implied, or perceived federal support; any economic benefit resulting from the ownership of, or affiliation with, an insured depository institution; any economic benefit resulting from its status as a bank holding company, including access to federal deposit insurance and the discount window of the Board of Governors of the Federal Reserve System (Federal Reserve Board) before enactment of this Act; any economic benefit received through extraordinary federal actions taken, such as specified actions by the Department of the Treasury, the Federal Reserve Board, and the Federal Deposit Insurance Corporation (FDIC); any extraordinary assistance provided to American Insurance Group (AIG), but ultimately received by one of the covered institutions; and any government actions that resulted in the payment or nonpayment of credit default swap contracts entered into by a covered institution. Defines "economic benefit" as the difference between actual loan terms offered, debt or equity prices, or asset values and a reasonable estimate of what such terms, prices, or values might have been as determined by examining actual values of comparable transactions in the private markets or by estimating the values of comparable transactions priced to properly reflect associated risk.

(Sec. 2) Requires the resulting report to Congress to redact any proprietary, sensitive, or confidential information in any release subsequently made electronically available to the public.

SECTION 1. GOVERNMENT ACCOUNTABILITY OFFICE STUDY OF TRANSACTIONS 
              BETWEEN LARGE FINANCIAL COMPANIES AND THE FEDERAL 
              GOVERNMENT.

    (a) Definitions.--For purposes of this Act--
            (1) the term ``covered institution'' means any bank holding 
        company having more than $500,000,000,000 in consolidated 
        assets; and
            (2) the term ``economic benefit'' means the difference 
        between actual loans terms offered, debt or equity prices, or 
        asset values and a reasonable estimate of what such terms, 
        prices, or values might have been, as determined by examining 
        actual values of comparable transaction in the private markets 
        or by estimating the values of comparable transactions priced 
        to properly reflect associated risk.
    (b) GAO Study.--The Comptroller General of the United States (in 
this section referred to as the ``Comptroller'') shall conduct a study 
of covered institutions, such as--
            (1) the favorable pricing of the debt of such institutions, 
        relative to their risk profile resulting from the perception 
        that such institutions will receive Government support in the 
        event of any financial stress;
            (2) any favorable funding or economic treatment resulting 
        from an increase in the credit rating for covered institutions, 
        as a result of express, implied, or perceived Government 
        support;
            (3) any economic benefit to covered institutions resulting 
        from the ownership of, or affiliation with, an insured 
        depository institution;
            (4) any economic benefit resulting from the status of 
        covered institutions as a bank holding company, including 
        access to Federal deposit insurance and the discount window of 
        the Board of Governors of the Federal Reserve System before the 
        date of enactment of this Act;
            (5) any economic benefit received through extraordinary 
        Government actions taken, such as--
                    (A) actions by the Department of the Treasury--
                            (i) under the Emergency Economic 
                        Stabilization Act, such as--
                                    (I) asset purchases by the United 
                                States Government;
                                    (II) capital injections from the 
                                United States Government; or
                                    (III) housing programs; or
                            (ii) by the purchase of the mortgage backed 
                        securities of the Federal National Mortgage 
                        Association and the Federal Home Loan Mortgage 
                        Corporation (in this Act referred to as 
                        ``government-sponsored enterprises''), in order 
                        to lower interest rates, and the value of such 
                        securities in the absence of such purchases;
                    (B) actions by the Board of Governors of the 
                Federal Reserve System prior to the date of enactment 
                of this Act, such as--
                            (i) providing loans to financial 
                        institutions through the Term Auction Facility; 
                        and
                            (ii) assistance through programs under 
                        section 13(3) of the Federal Reserve Act prior 
                        to the date of enactment of this Act, such as--
                                    (I) lending through the Commercial 
                                Paper Funding Facility;
                                    (II) securities lending to primary 
                                dealers through the Primary Dealer 
                                Credit Facility and the Term Securities 
                                Lending Facility;
                                    (III) lending to institutions 
                                through the Term Asset-Backed 
                                Securities Loan Facility; or
                                    (IV) purchasing assets through the 
                                Maiden Lane facility; and
                    (C) actions by the Federal Deposit Insurance 
                Corporation, such as--
                            (i) guaranteeing debt or deposits through 
                        the Temporary Liquidity Guarantee Program; or
                            (ii) pricing of assessments related to any 
                        such guarantees; and
            (6) any extraordinary assistance provided to American 
        Insurance Group, but ultimately received by one of the covered 
        institutions; and
            (7) any Government actions that resulted in the payment or 
        nonpayment of credit default swap contracts entered into by a 
        covered institution.

SEC. 2. REPORT TO CONGRESS.

    Not later than 1 year after the date of enactment of this Act, the 
Comptroller shall submit a report to Congress detailing the findings of 
the Comptroller in the study conducted under this Act. Such report 
shall be made electronically available to the public, except that any 
proprietary, sensitive, or confidential information shall be redacted 
in any release to the public.

SEC. 3. RULE OF CONSTRUCTION.

    Nothing in this Act may be construed to provide authority 
inconsistent with, or to otherwise affect, section 714 of title 31 
United States Code.

            Passed the Senate December 21, 2012.

            Attest:

                                                NANCY ERICKSON,

                                                             Secretary.