PUBLIC LAW 109–173—FEB. 15, 2006 119 STAT. 3601

Public Law 109–173

109th Congress

An Act

To enact the technical and conforming amendments necessary to implement the

Federal Deposit Insurance Reform Act of 2005, and for other purposes.

Be it enacted by the Senate and House of Representatives of

the United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

This Act may be cited as the ‘‘Federal Deposit Insurance Reform

Conforming Amendments Act of 2005’’.

SEC. 2. TECHNICAL AND CONFORMING AMENDMENTS.

(a) TECHNICAL AND CONFORMING AMENDMENTS RELATING TO

GOVERNMENT DEPOSITS.—Section 11(a)(2) of the Federal Deposit

Insurance Act (12 U.S.C. 1821(a)(2)) is amended—

(1) in subparagraph (A)—

(A) by moving the margins of clauses (i) through (v)

4 ems to the right;

(B) by striking, in the matter following clause (v),

‘‘such depositor shall’’ and all that follows through the

period; and

(C) by striking the semicolon at the end of clause

(v) and inserting a period;

(2) by striking ‘‘(2)(A) Notwithstanding’’ and all that follows

through ‘‘a depositor who is—’’ and inserting the following:

‘‘(2) GOVERNMENT DEPOSITORS.—

‘‘(A) IN GENERAL.—Notwithstanding any limitation in

this Act or in any other provision of law relating to the

amount of deposit insurance available to any 1 depositor—

‘‘(i) a government depositor shall, for the purpose

of determining the amount of insured deposits under

this subsection, be deemed to be a depositor separate

and distinct from any other officer, employee, or agent

of the United States or any public unit referred to

in subparagraph (B); and

‘‘(ii) except as provided in subparagraph (C), the

deposits of a government depositor shall be insured

in an amount equal to the standard maximum deposit

insurance amount (as determined under paragraph

(1)).

‘‘(B) GOVERNMENT DEPOSITOR.—In this paragraph, the

term ‘government depositor’ means a depositor that

is—’’;

(3) by striking ‘‘(B) The’’ and inserting the following:

‘‘(C) AUTHORITY TO LIMIT DEPOSITS.—The’’; and

Federal Deposit

Insurance

Reform

Conforming

Amendments Act

of 2005.

12 USC 1811

note.

Feb. 15, 2006

[H.R. 4636]

119 STAT. 3602 PUBLIC LAW 109–173—FEB. 15, 2006

(4) by striking ‘‘depositor referred to in subparagraph (A)

of this paragraph’’ each place such term appears and inserting

‘‘government depositor’’.

(b) TECHNICAL AND CONFORMING AMENDMENT RELATING TO

INSURANCE OF TRUST FUNDS.—Paragraphs (1) and (3) of section

7(i) of the Federal Deposit Insurance Act (12 U.S.C. 1817(i)) are

each amended by striking ‘‘$100,000’’ and inserting ‘‘the standard

maximum deposit insurance amount (as determined under section

11(a)(1))’’.

(c) OTHER TECHNICAL AND CONFORMING AMENDMENTS.— (1) Section 11(m)(6) of the Federal Deposit Insurance Act (12 U.S.C. 1821(m)(6)) is amended by striking ‘‘$100,000’’ and

inserting ‘‘an amount equal to the standard maximum deposit

insurance amount’’.

(2) Subsection (a) of section 18 of the Federal Deposit

Insurance Act (12 U.S.C. 1828(a)) is amended to read as follows:

‘‘(a) INSURANCE LOGO.—

‘‘(1) INSURED DEPOSITORY INSTITUTIONS.—

‘‘(A) IN GENERAL.—Each insured depository institution

shall display at each place of business maintained by that

institution a sign or signs relating to the insurance of

the deposits of the institution, in accordance with regulations to be prescribed by the Corporation.

‘‘(B) STATEMENT TO BE INCLUDED.—Each sign required

under subparagraph (A) shall include a statement that

insured deposits are backed by the full faith and credit

of the United States Government.

‘‘(2) REGULATIONS.—The Corporation shall prescribe regulations to carry out this subsection, including regulations governing the substance of signs required by paragraph (1) and

the manner of display or use of such signs.

‘‘(3) PENALTIES.—For each day that an insured depository

institution continues to violate this subsection or any regulation

issued under this subsection, it shall be subject to a penalty

of not more than $100, which the Corporation may recover

for its use.’’.

(3) Section 43(d) of the Federal Deposit Insurance Act

(12 U.S.C. 1831t(d)) is amended by striking ‘‘$100,000’’ and

inserting ‘‘an amount equal to the standard maximum deposit

insurance amount’’.

(4) Section 6 of the International Banking Act of 1978

(12 U.S.C. 3104) is amended—

(A) by striking ‘‘$100,000’’ each place such term

appears and inserting ‘‘an amount equal to the standard

maximum deposit insurance amount’’; and

(B) by adding at the end the following new subsection:

‘‘(e) STANDARD MAXIMUM DEPOSIT INSURANCE AMOUNT

DEFINED.—For purposes of this section, the term ‘standard maximum deposit insurance amount’ means the amount of the maximum amount of deposit insurance as determined under section

11(a)(1) of the Federal Deposit Insurance Act.’’.

(d) CONFORMING CHANGE TO CREDIT UNION SHARE INSURANCE

FUND.—

(1) IN GENERAL.—Section 207(k) of the Federal Credit

Union Act (12 U.S.C. 1787(k)) is amended—

(A) by striking ‘‘(k)(1)’’ and all that follows through

the end of paragraph (1) and inserting the following:

PUBLIC LAW 109–173—FEB. 15, 2006 119 STAT. 3603

‘‘(k) INSURED AMOUNTS PAYABLE.— ‘‘(1) NET INSURED AMOUNT.— ‘‘(A) IN GENERAL.—Subject to the provisions of paragraph (2), the net amount of share insurance payable to

any member at an insured credit union shall not exceed

the total amount of the shares or deposits in the name

of the member (after deducting offsets), less any part

thereof which is in excess of the standard maximum share

insurance amount, as determined in accordance with this

paragraph and paragraphs (5) and (6), and consistently

with actions taken by the Federal Deposit Insurance Corporation under section 11(a) of the Federal Deposit Insurance Act.

‘‘(B) AGGREGATION.—Determination of the net amount

of share insurance under subparagraph (A), shall be in

accordance with such regulations as the Board may prescribe, and, in determining the amount payable to any

member, there shall be added together all accounts in

the credit union maintained by that member for that member’s own benefit, either in the member’s own name or

in the names of others.

‘‘(C) AUTHORITY TO DEFINE THE EXTENT OF COVERAGE.—

The Board may define, with such classifications and exceptions as it may prescribe, the extent of the share insurance

coverage provided for member accounts, including member

accounts in the name of a minor, in trust, or in joint

tenancy.’’;

(B) in paragraph (2)—

(i) in subparagraph (A)—

(I) in clauses (i) through (v), by moving the

margins 4 ems to the right;

(II) in the matter following clause (v), by

striking ‘‘his account’’ and all that follows through

the period; and

(III) by striking the semicolon at the end of

clause (v) and inserting a period;

(ii) by striking ‘‘(2)(A) Notwithstanding’’ and all

that follows through ‘‘a depositor or member who

is—’’ and inserting the following:

‘‘(2) GOVERNMENT DEPOSITORS OR MEMBERS.—

‘‘(A) IN GENERAL.—Notwithstanding any limitation in

this Act or in any other provision of law relating to the

amount of insurance available to any 1 depositor or

member, deposits or shares of a government depositor or

member shall be insured in an amount equal to the

standard maximum share insurance amount (as determined under paragraph (5)), subject to subparagraph (C).

‘‘(B) GOVERNMENT DEPOSITOR.—In this paragraph, the

term ‘government depositor’ means a depositor that

is—’’;

(iii) by striking ‘‘(B) The’’ and inserting the following:

‘‘(C) AUTHORITY TO LIMIT DEPOSITS.—The’’; and

(iv) by striking ‘‘depositor or member referred to

in subparagraph (A)’’ and inserting ‘‘government

depositor or member’’; and

(C) by adding at the end the following new paragraphs:

119 STAT. 3604 PUBLIC LAW 109–173—FEB. 15, 2006

‘‘(4) COVERAGE FOR CERTAIN EMPLOYEE BENEFIT PLAN

DEPOSITS.—

‘‘(A) PASS-THROUGH INSURANCE.—The Administration

shall provide pass-through share insurance for the deposits

or shares of any employee benefit plan.

‘‘(B) PROHIBITION ON ACCEPTANCE OF DEPOSITS.—An

insured credit union that is not well capitalized or adequately capitalized may not accept employee benefit plan

deposits.

‘‘(C) DEFINITIONS.—For purposes of this paragraph, the

following definitions shall apply:

‘‘(i) CAPITAL STANDARDS.—The terms ‘well capitalized’ and ‘adequately capitalized’ have the same

meanings as in section 216(c).

‘‘(ii) EMPLOYEE BENEFIT PLAN.—The term

‘employee benefit plan’—

‘‘(I) has the meaning given to such term in

section 3(3) of the Employee Retirement Income

Security Act of 1974;

‘‘(II) includes any plan described in section

401(d) of the Internal Revenue Code of 1986; and

‘‘(III) includes any eligible deferred compensation plan described in section 457 of the Internal

Revenue Code of 1986.

‘‘(iii) PASS-THROUGH SHARE INSURANCE.—The term

‘pass-through share insurance’ means, with respect to

an employee benefit plan, insurance coverage based

on the interest of each participant, in accordance with

regulations issued by the Administration.

‘‘(D) RULE OF CONSTRUCTION.—No provision of this

paragraph shall be construed as authorizing an insured

credit union to accept the deposits of an employee benefit

plan in an amount greater than such credit union is authorized to accept under any other provision of Federal or

State law.

‘‘(5) STANDARD MAXIMUM SHARE INSURANCE AMOUNT

DEFINED.—For purposes of this Act, the term ‘standard maximum share insurance amount’ means $100,000, adjusted as

provided under section 11(a)(1)(F) of the Federal Deposit Insurance Act.’’.

(2) INCREASE IN SHARE INSURANCE FOR CERTAIN RETIREMENT ACCOUNTS.—Section 207(k)(3) of the Federal Credit Union

Act (12 U.S.C. 1787(k)(3)) is amended by striking ‘‘$100,000’’

and inserting ‘‘ ‘$250,000 (which amount shall be subject to

inflation adjustments as provided under section 11(a)(1)(F) of

the Federal Deposit Insurance Act, except that $250,000 shall

be substituted for $100,000 wherever such term appears in

such section)’ ’’.

(3) OTHER TECHNICAL AND CONFORMING AMENDMENTS.—

Section 205(a) of the Federal Credit Union Act (12 U.S.C.

1785(a)) is amended to read as follows:

‘‘(a) INSURANCE LOGO.—

‘‘(1) INSURED CREDIT UNIONS.—

‘‘(A) IN GENERAL.—Each insured credit union shall display at each place of business maintained by that credit

union a sign or signs relating to the insurance of the

PUBLIC LAW 109–173—FEB. 15, 2006 119 STAT. 3605

share accounts of the institution, in accordance with regulations to be prescribed by the Board.

‘‘(B) STATEMENT TO BE INCLUDED.—Each sign required

under subparagraph (A) shall include a statement that

insured share accounts are backed by the full faith and

credit of the United States Government.

‘‘(2) REGULATIONS.—The Board shall prescribe regulations

to carry out this subsection, including regulations governing

the substance of signs required by paragraph (1) and the

manner of display or use of such signs.

‘‘(3) PENALTIES.—For each day that an insured credit union

continues to violate this subsection or any regulation issued

under this subsection, it shall be subject to a penalty of not

more than $100, which the Board may recover for its use.’’.

(e) EFFECTIVE DATE.—This section and the amendments made

by this section shall take effect on the date on which the final

regulations required under section 2109(a)(2) of the Federal Deposit

Insurance Reform Act of 2005 take effect.

SEC. 3. CONFORMING AMENDMENTS RELATING TO ASSESSMENTS AND

REPEAL OF SPECIAL RULES RELATING TO MINIMUM

ASSESSMENTS AND FREE DEPOSIT INSURANCE.

(a) IN GENERAL.—The Federal Deposit Insurance Act (12 U.S.C.

1811 et seq.) is amended as follows:

(1) Paragraph (3) of section 7(a) of the Federal Deposit

Insurance Act (12 U.S.C. 1817(a)) is amended by striking the

3d sentence and inserting the following: ‘‘Such reports of condition shall be the basis for the certified statements to be filed

pursuant to subsection (c).’’.

(2) Subparagraphs (B)(ii) and (C) of section 7(b)(1) of the

Federal Deposit Insurance Act (12 U.S.C. 1817(b)(1)) are each

amended by striking ‘‘semiannual’’ where such term appears

in each such subparagraph.

(3) Section 7(b)(2) of the Federal Deposit Insurance Act

(12 U.S.C. 1817(b)(2)) is amended—

(A) by striking subparagraphs (E), (F), and (G);

(B) in subparagraph (C), by striking ‘‘semiannual’’; and

(C) by redesignating subparagraph (H) (as amended

by subsection (e)(2) of this section) as subparagraph (E).

(4) Section 7(b) of the Federal Deposit Insurance Act (12

U.S.C. 1817(b)) is amended by striking paragraph (4) and

redesignating paragraphs (5) (as amended by subsection (b)

of this section), (6), and (7) as paragraphs (4), (5), and (6)

respectively.

(5) Section 7(c) of the Federal Deposit Insurance Act (12

U.S.C. 1817(c)) is amended—

(A) in paragraph (1)(A), by striking ‘‘semiannual’’;

(B) in paragraph (2)(A), by striking ‘‘semiannual’’; and

(C) in paragraph (3), by striking ‘‘semiannual period’’

and inserting ‘‘initial assessment period’’.

(6) Section 8(p) of the Federal Deposit Insurance Act (12

U.S.C. 1818(p)) is amended by striking ‘‘semiannual’’.

(7) Section 8(q) of the Federal Deposit Insurance Act (12

U.S.C. 1818(q)) is amended by striking ‘‘semiannual period’’

and inserting ‘‘assessment period’’.

12 USC 1785

note.

119 STAT. 3606 PUBLIC LAW 109–173—FEB. 15, 2006

(8) Section 13(c)(4)(G)(ii)(II) of the Federal Deposit Insurance Act (12 U.S.C. 1823(c)(4)(G)(ii)(II)) is amended by striking

‘‘semiannual period’’ and inserting ‘‘assessment period’’.

(9) Section 232(a) of the Federal Deposit Insurance Corporation Improvement Act of 1991 (12 U.S.C. 1834(a)) is

amended—

(A) in the matter preceding subparagraph (A) of paragraph (2), by striking ‘‘the Board and’’;

(B) in subparagraph (J) of paragraph (2), by striking

‘‘the Board’’ and inserting ‘‘the Corporation’’;

(C) by striking subparagraph (A) of paragraph (3) and

inserting the following new subparagraph:

‘‘(A) CORPORATION.—The term ‘Corporation’ means the

Federal Deposit Insurance Corporation.’’; and

(D) in subparagraph (C) of paragraph (3), by striking

‘‘Board’’ and inserting ‘‘Corporation’’.

(b) EFFECTIVE DATE.—This section and the amendments made

by this section shall take effect on the date that the final regulations

required under section 2109(a)(5) of the Federal Deposit Insurance

Reform Act of 2005 take effect.

SEC. 4. TECHNICAL AND CONFORMING AMENDMENTS RELATING TO

REPLACEMENT OF FIXED DESIGNATED RESERVE RATIO

WITH RESERVE RANGE.

(a) IN GENERAL.—Section 3(y) of the Federal Deposit Insurance

Act (12 U.S.C. 1813(y)) is amended—

(1) by striking ‘‘(y) The term’’ and inserting the following:

‘‘(y) DEFINITIONS RELATING TO DEPOSIT INSURANCE FUND.—

‘‘(1) DEPOSIT INSURANCE FUND.—The term’’; and

(2) by inserting after paragraph (1) (as so designated by

paragraph (1) of this subsection) the following new paragraph:

‘‘(2) DESIGNATED RESERVE RATIO.—The term ‘designated

reserve ratio’ means the reserve ratio designated by the Board

of Directors in accordance with section 7(b)(3).’’.

(b) EFFECTIVE DATE.—This section and the amendments made

by this section shall take effect on the date that the final regulations

required under section 2109(a)(1) of the Federal Deposit Insurance

Reform Act of 2005 take effect.

SEC. 5. REPORT TO CONGRESS ON REFUNDS, DIVIDENDS, AND

CREDITS FROM DEPOSIT INSURANCE FUND.

(a) SUBMISSION.—Any determination under section 7(e)(2)(E)

of the Federal Deposit Insurance Act, as added by section 2107(a)

of the Federal Deposit Insurance Reform Act of 2005, shall be

submitted to the Committee on Banking, Housing, and Urban

Affairs of the Senate and the Committee on Financial Services

of the House of Representatives, not later than 270 days after

making such determination.

(b) CONTENT.—The report submitted under subsection (a) shall

include—

(1) a detailed explanation for the determination; and

(2) a discussion of the factors required to be considered

under section 7(e)(2)(F) of the Federal Deposit Insurance Act,

as added by section 2107(a) of the Federal Deposit Insurance

Reform Act of 2005.

12 USC 1817

note.

12 USC 1813

note.

12 USC 1817

note.

PUBLIC LAW 109–173—FEB. 15, 2006 119 STAT. 3607

SEC. 6. STUDIES OF FDIC STRUCTURE AND EXPENSES AND CERTAIN

ACTIVITIES AND FURTHER POSSIBLE CHANGES TO

DEPOSIT INSURANCE SYSTEM.

(a) STUDY BY COMPTROLLER GENERAL.— (1) STUDY REQUIRED.—The Comptroller General shall conduct a study of the following issues:

(A) The efficiency and effectiveness of the administration of the prompt corrective action program under section

38 of the Federal Deposit Insurance Act by the Federal

banking agencies (as defined in section 3 of such Act),

including the degree of effectiveness of such agencies in

identifying troubled depository institutions and taking

effective action with respect to such institutions, and the

degree of accuracy of the risk assessments made by the

Corporation.

(B) The appropriateness of the organizational structure

of the Federal Deposit Insurance Corporation for the mission of the Corporation taking into account—

(i) the current size and complexity of the business

of insured depository institutions (as such term is

defined in section 3 of the Federal Deposit Insurance

Act);

(ii) the extent to which the organizational structure

contributes to or reduces operational inefficiencies that

increase operational costs; and

(iii) the effectiveness of internal controls.

(2) REPORT TO THE CONGRESS.—The Comptroller General

shall submit a report to the Congress before the end of the

1-year period beginning on the date of the enactment of this

Act containing the findings and conclusions of the Comptroller

General with respect to the study required under paragraph

(1) together with such recommendations for legislative or

administrative action as the Comptroller General may determine to be appropriate.

(b) STUDY OF FURTHER POSSIBLE CHANGES TO DEPOSIT INSUR- ANCE SYSTEM.—

(1) STUDY REQUIRED.—The Board of Directors of the Federal

Deposit Insurance Corporation and the National Credit Union

Administration Board shall each conduct a study of the following:

(A) The feasibility of establishing a voluntary deposit

insurance system for deposits in excess of the maximum

amount of deposit insurance for any depositor and the

potential benefits and the potential adverse consequences

that may result from the establishment of any such system.

(B) The feasibility of increasing the limit on deposit

insurance for deposits of municipalities and other units

of general local government, and the potential benefits

and the potential adverse consequences that may result

from any such increase.

(C) The feasibility of privatizing all deposit insurance

at insured depository institutions and insured credit

unions.

(2) REPORT.—Before the end of the 1-year period beginning

on the date of the enactment of this Act, the Board of Directors

of the Federal Deposit Insurance Corporation and the National

Credit Union Administration Board shall each submit a report

119 STAT. 3608 PUBLIC LAW 109–173—FEB. 15, 2006

to the Congress on the study required under paragraph (1)

containing the findings and conclusions of the reporting agency

together with such recommendations for legislative or administrative changes as the agency may determine to be appropriate.

(c) STUDY REGARDING APPROPRIATE DEPOSIT BASE IN DESIG- NATING RESERVE RATIO.— (1) STUDY REQUIRED.—The Federal Deposit Insurance Corporation shall conduct a study of the feasibility of using alternatives to estimated insured deposits in calculating the reserve

ratio of the Deposit Insurance Fund and designating a reserve

ratio for such Fund.

(2) REPORT.—The Federal Deposit Insurance Corporation

shall submit a report to the Congress before the end of the

1-year period beginning on the date of the enactment of this

Act containing the findings and conclusions of the Corporation

with respect to the study required under paragraph (1) together

with such recommendations for legislative or administrative

action as the Board of Directors of the Corporation may determine to be appropriate.

(d) STUDY OF RESERVE METHODOLOGY AND ACCOUNTING FOR

LOSS.—

(1) STUDY REQUIRED.—The Federal Deposit Insurance Corporation shall conduct a study of the reserve methodology and

loss accounting used by the Corporation during the period

beginning on January 1, 1992, and ending December 31, 2004,

with respect to insured depository institutions in a troubled

condition (as defined in the regulations prescribed pursuant

to section 32(f) of the Federal Deposit Insurance Act). The

Corporation shall obtain comments on the design of the study

from the Comptroller General.

(2) FACTORS TO BE INCLUDED.—In conducting the study

pursuant to paragraph (1), the Federal Deposit Insurance Corporation shall—

(A) consider the overall effectiveness and accuracy of

the methodology used by the Corporation for establishing

and maintaining reserves and estimating and accounting

for losses at insured depository institutions, during the

period described in such paragraph;

(B) consider the appropriateness and reliability of

information and criteria used by the Corporation in determining—

(i) whether an insured depository institution was

in a troubled condition; and

(ii) the amount of any loss anticipated at such

institution;

(C) analyze the actual historical loss experience over

the period described in paragraph (1) and the causes of

the exceptionally high rate of losses experienced by the

Corporation in the final 3 years of that period; and

(D) rate the efforts of the Corporation to reduce losses

in such 3-year period to minimally acceptable levels and

to historical levels.

(3) REPORT REQUIRED.—The Board of Directors of the Federal Deposit Insurance Corporation shall submit a report to

the Congress before the end of the 1-year period beginning

on the date of the enactment of this Act, containing the findings

and conclusions of the Corporation with respect to the study

PUBLIC LAW 109–173—FEB. 15, 2006 119 STAT. 3609

required under paragraph (1), together with such recommendations for legislative or administrative action as the Board of

Directors may determine to be appropriate. Before submitting

the report to Congress, the Board of Directors shall provide

a draft of the report to the Comptroller General for comment.

(e) BASEL II STUDY.— (1) IN GENERAL.—Not later than 1 year after the date

of enactment of this Act, the Comptroller General shall report

to the Committee on Banking, Housing, and Urban Affairs

of the Senate and the Committee on Financial Services of

the House of Representatives on the potential impact on the

financial system of the United States of the implementation

of the new Basel Capital Accord (Basel II) and the proposed

revisions to current reserve requirement regulations for nonBasel II banks.

(2) FACTORS TO BE INCLUDED.—The report required under

paragraph (1) shall address the following:

(A) The potential impact of Basel II on capital requirements in the United States, including—

(i) whether there would be a reduction in capital

requirements;

(ii) whether Basel II could hinder enforcement of

prompt corrective action laws and regulations; and

(iii) the potential implications any changes in capital requirements may have on the safety and soundness of the financial system in the United States.

(B) By gathering available information, the ability of

United States banks and bank regulators to implement

and comply with the provisions of Basel II, including—

(i) the costs of Basel II for financial institutions

and regulators;

(ii) the feasibility and appropriateness of Basel

II’s statistical models; and

(iii) the ability of regulators to oversee capital

requirement operations of financial institutions.

(C) The ability of the United States financial institution

regulatory agencies—

(i) to attract and retain sufficient expertise, both

among specialists and examiners; and

(ii) to conduct the necessary oversight of capital

and risk modeling by regulated financial institutions

subject to Basel II.

SEC. 7. BI-ANNUAL FDIC SURVEY AND REPORT ON INCREASING THE

DEPOSIT BASE BY ENCOURAGING USE OF DEPOSITORY

INSTITUTIONS BY THE UNBANKED.

The Federal Deposit Insurance Act (12 U.S.C. 1811 et seq.)

is amended by adding at the end the following new section:

‘‘SEC. 49. BI-ANNUAL FDIC SURVEY AND REPORT ON ENCOURAGING

USE OF DEPOSITORY INSTITUTIONS BY THE UNBANKED.

‘‘(a) SURVEY REQUIRED.—

‘‘(1) IN GENERAL.—The Corporation shall conduct a biannual survey on efforts by insured depository institutions

to bring those individuals and families who have rarely, if

ever, held a checking account, a savings account or other type

of transaction or check cashing account at an insured depository

12 USC 1831z.

Deadline.

Reports.

119 STAT. 3610 PUBLIC LAW 109–173—FEB. 15, 2006

institution (hereafter in this section referred to as the

‘unbanked’) into the conventional finance system.

‘‘(2) FACTORS AND QUESTIONS TO CONSIDER.—In conducting

the survey, the Corporation shall take the following factors

and questions into account:

‘‘(A) To what extent do insured depository institutions

promote financial education and financial literacy outreach?

‘‘(B) Which financial education efforts appear to be

the most effective in bringing ‘unbanked’ individuals and

families into the conventional finance system?

‘‘(C) What efforts are insured institutions making at

converting ‘unbanked’ money order, wire transfer, and

international remittance customers into conventional

account holders?

‘‘(D) What cultural, language and identification issues

as well as transaction costs appear to most prevent

‘unbanked’ individuals from establishing conventional

accounts?

‘‘(E) What is a fair estimate of the size and worth

of the ‘unbanked’ market in the United States?

‘‘(b) REPORTS.—The Chairperson of the Board of Directors shall

submit a bi-annual report to the Committee on Financial Services

of the House of Representatives and the Committee on Banking,

Housing, and Urban Affairs of the Senate containing the Corporation’s findings and conclusions with respect to the survey conducted

pursuant to subsection (a), together with such recommendations

for legislative or administrative action as the Chairperson may

determine to be appropriate.’’.

SEC. 8. TECHNICAL AND CONFORMING AMENDMENTS TO THE FEDERAL DEPOSIT INSURANCE ACT RELATING TO THE

MERGER OF THE BIF AND SAIF.

(a) IN GENERAL.—The Federal Deposit Insurance Act (12 U.S.C.

1811 et seq.) is amended—

(1) in section 3 (12 U.S.C. 1813)—

(A) by striking subparagraph (B) of subsection (a)(1)

and inserting the following new subparagraph:

‘‘(B) includes any former savings association.’’; and

(B) by striking paragraph (1) of subsection (y) (as so

designated by section 4(b) of this title) and inserting the

following new paragraph:

‘‘(1) DEPOSIT INSURANCE FUND.—The term ‘Deposit Insurance Fund’ means the Deposit Insurance Fund established

under section 11(a)(4).’’;

(2) in section 5(b)(5) (12 U.S.C. 1815(b)(5)), by striking

‘‘the Bank Insurance Fund or the Savings Association Insurance

Fund,’’ and inserting ‘‘the Deposit Insurance Fund,’’;

(3) in section 5(c)(4), by striking ‘‘deposit insurance fund’’

and inserting ‘‘Deposit Insurance Fund’’;

(4) in section 5(d) (12 U.S.C. 1815(d)), by striking paragraphs (2) and (3) (and any funds resulting from the application

of such paragraph (2) prior to its repeal shall be deposited

into the general fund of the Deposit Insurance Fund);

(5) in section 5(d)(1) (12 U.S.C. 1815(d)(1))—

(A) in subparagraph (A), by striking ‘‘reserve ratios

in the Bank Insurance Fund and the Savings Association

12 USC 1815

note.

PUBLIC LAW 109–173—FEB. 15, 2006 119 STAT. 3611

Insurance Fund as required by section 7’’ and inserting

‘‘the reserve ratio of the Deposit Insurance Fund’’;

(B) by striking subparagraph (B) and inserting the

following:

‘‘(2) FEE CREDITED TO THE DEPOSIT INSURANCE FUND.— The fee paid by the depository institution under paragraph

(1) shall be credited to the Deposit Insurance Fund.’’;

(C) by striking ‘‘(1) UNINSURED INSTITUTIONS.—’’; and

(D) by redesignating subparagraphs (A) and (C) as

paragraphs (1) and (3), respectively, and moving the left

margins 2 ems to the left;

(6) in section 5(e) (12 U.S.C. 1815(e))—

(A) in paragraph (5)(A), by striking ‘‘Bank Insurance

Fund or the Savings Association Insurance Fund’’ and

inserting ‘‘Deposit Insurance Fund’’;

(B) by striking paragraph (6); and

(C) by redesignating paragraphs (7), (8), and (9) as

paragraphs (6), (7), and (8), respectively;

(7) in section 6(5) (12 U.S.C. 1816(5)), by striking ‘‘Bank

Insurance Fund or the Savings Association Insurance Fund’’

and inserting ‘‘Deposit Insurance Fund’’;

(8) in section 7(b) (12 U.S.C. 1817(b))—

(A) in paragraph (1)(C), by striking ‘‘deposit insurance

fund’’ each place that term appears and inserting ‘‘Deposit

Insurance Fund’’;

(B) in paragraph (1)(D), by striking ‘‘each deposit insurance fund’’ and inserting ‘‘the Deposit Insurance Fund’’;

and

(C) in paragraph (5) (as so redesignated by section

3(d)(4))—

(i) by striking ‘‘any such assessment’’ and inserting

‘‘any such assessment is necessary’’;

(ii) by striking subparagraph (B);

(iii) in subparagraph (A)—

(I) by striking ‘‘(A) is necessary—’’;

(II) by striking ‘‘Bank Insurance Fund members’’ and inserting ‘‘insured depository institutions’’; and

(III) by redesignating clauses (i), (ii), and (iii)

as subparagraphs (A), (B), and (C), respectively,

and moving the margins 2 ems to the left; and

(iv) in subparagraph (C) (as so redesignated)—

(I) by inserting ‘‘that’’ before ‘‘the Corporation’’;

and

(II) by striking ‘‘; and’’ and inserting a period;

(9) in section 7(j)(7)(F) (12 U.S.C. 1817(j)(7)(F)), by striking

‘‘Bank Insurance Fund or the Savings Association Insurance

Fund’’ and inserting ‘‘Deposit Insurance Fund’’;

(10) in section 8(t)(2)(C) (12 U.S.C. 1818(t)(2)(C)), by

striking ‘‘deposit insurance fund’’ and inserting ‘‘Deposit Insurance Fund’’;

(11) in section 11 (12 U.S.C. 1821)—

(A) by striking ‘‘deposit insurance fund’’ each place

that term appears and inserting ‘‘Deposit Insurance Fund’’;

(B) by striking paragraph (4) of subsection (a) and

inserting the following new paragraph:

‘‘(4) DEPOSIT INSURANCE FUND.—

119 STAT. 3612 PUBLIC LAW 109–173—FEB. 15, 2006

‘‘(A) ESTABLISHMENT.—There is established the Deposit

Insurance Fund, which the Corporation shall—

‘‘(i) maintain and administer;

‘‘(ii) use to carry out its insurance purposes, in

the manner provided by this subsection; and

‘‘(iii) invest in accordance with section 13(a).

‘‘(B) USES.—The Deposit Insurance Fund shall be available to the Corporation for use with respect to insured

depository institutions the deposits of which are insured

by the Deposit Insurance Fund.

‘‘(C) LIMITATION ON USE.—Notwithstanding any provision of law other than section 13(c)(4)(G), the Deposit Insurance Fund shall not be used in any manner to benefit

any shareholder or affiliate (other than an insured depository institution that receives assistance in accordance with

the provisions of this Act) of—

‘‘(i) any insured depository institution for which

the Corporation has been appointed conservator or

receiver, in connection with any type of resolution by

the Corporation;

‘‘(ii) any other insured depository institution in

default or in danger of default, in connection with

any type of resolution by the Corporation; or

‘‘(iii) any insured depository institution, in connection with the provision of assistance under this section

or section 13 with respect to such institution, except

that this clause shall not prohibit any assistance to

any insured depository institution that is not in

default, or that is not in danger of default, that is

acquiring (as defined in section 13(f)(8)(B)) another

insured depository institution.

‘‘(D) DEPOSITS.—All amounts assessed against insured

depository institutions by the Corporation shall be deposited into the Deposit Insurance Fund.’’;

(C) by striking paragraphs (5), (6), and (7) of subsection

(a); and

(D) by redesignating paragraph (8) of subsection (a)

as paragraph (5);

(12) in section 11(f)(1) (12 U.S.C. 1821(f)(1)), by striking

‘‘, except that—’’ and all that follows through the end of the

paragraph and inserting a period;

(13) in section 11(i)(3) (12 U.S.C. 1821(i)(3))—

(A) by striking subparagraph (B);

(B) by redesignating subparagraph (C) as subparagraph (B); and

(C) in subparagraph (B) (as so redesignated), by

striking ‘‘subparagraphs (A) and (B)’’ and inserting

‘‘subparagraph (A)’’;

(14) in section 11(p)(2)(B) (12 U.S.C. 1821(p)(2)(B)), by

striking ‘‘institution, any’’ and inserting ‘‘institution, the’’;

(15) in section 11A(a) (12 U.S.C. 1821a(a))—

(A) in paragraph (2), by striking ‘‘LIABILITIES.—’’ and

all that follows through ‘‘Except’’ and inserting ‘‘LIABILITIES.—Except’’;

(B) by striking paragraph (2)(B); and

PUBLIC LAW 109–173—FEB. 15, 2006 119 STAT. 3613

(C) in paragraph (3), by striking ‘‘the Bank Insurance

Fund, the Savings Association Insurance Fund,’’ and

inserting ‘‘the Deposit Insurance Fund’’;

(16) in section 11A(b) (12 U.S.C. 1821a(b)), by striking

paragraph (4);

(17) in section 11A(f) (12 U.S.C. 1821a(f)), by striking

‘‘Savings Association Insurance Fund’’ and inserting ‘‘Deposit

Insurance Fund’’;

(18) in section 12(f)(4)(E)(iv) (12 U.S.C. 1822(f)(4)(E)(iv)),

by striking ‘‘Federal deposit insurance funds’’ and inserting

‘‘the Deposit Insurance Fund (or any predecessor deposit insurance fund)’’;

(19) in section 13 (12 U.S.C. 1823)—

(A) by striking ‘‘deposit insurance fund’’ each place

that term appears and inserting ‘‘Deposit Insurance Fund’’;

(B) in subsection (a)(1), by striking ‘‘Bank Insurance

Fund, the Savings Association Insurance Fund,’’ and

inserting ‘‘Deposit Insurance Fund’’;

(C) in subsection (c)(4)(E)—

(i) in the subparagraph heading, by striking

‘‘funds’’ and inserting ‘‘fund’’; and

(ii) in clause (i), by striking ‘‘any insurance fund’’

and inserting ‘‘the Deposit Insurance Fund’’;

(D) in subsection (c)(4)(G)(ii)—

(i) by striking ‘‘appropriate insurance fund’’ and

inserting ‘‘Deposit Insurance Fund’’;

(ii) by striking ‘‘the members of the insurance fund

(of which such institution is a member)’’ and inserting

‘‘insured depository institutions’’;

(iii) by striking ‘‘each member’s’’ and inserting

‘‘each insured depository institution’s’’; and

(iv) by striking ‘‘the member’s’’ each place that

term appears and inserting ‘‘the institution’s’’;

(E) in subsection (c), by striking paragraph (11);

(F) in subsection (h), by striking ‘‘Bank Insurance

Fund’’ and inserting ‘‘Deposit Insurance Fund’’;

(G) in subsection (k)(4)(B)(i), by striking ‘‘Savings

Association Insurance Fund member’’ and inserting

‘‘savings association’’; and

(H) in subsection (k)(5)(A), by striking ‘‘Savings

Association Insurance Fund members’’ and inserting

‘‘savings associations’’;

(20) in section 14(a) (12 U.S.C. 1824(a)), in the 5th sentence—

(A) by striking ‘‘Bank Insurance Fund or the Savings

Association Insurance Fund’’ and inserting ‘‘Deposit Insurance Fund’’; and

(B) by striking ‘‘each such fund’’ and inserting ‘‘the

Deposit Insurance Fund’’;

(21) in section 14(b) (12 U.S.C. 1824(b)), by striking ‘‘Bank

Insurance Fund or Savings Association Insurance Fund’’ and

inserting ‘‘Deposit Insurance Fund’’;

(22) in section 14(c) (12 U.S.C. 1824(c)), by striking paragraph (3);

(23) in section 14(d) (12 U.S.C. 1824(d))—

119 STAT. 3614 PUBLIC LAW 109–173—FEB. 15, 2006

(A) by striking ‘‘Bank Insurance Fund member’’ each

place that term appears and inserting ‘‘insured depository

institution’’;

(B) by striking ‘‘Bank Insurance Fund members’’ each

place that term appears and inserting ‘‘insured depository

institutions’’;

(C) by striking ‘‘Bank Insurance Fund’’ each place that

term appears (other than in connection with a reference

to a term amended by subparagraph (A) or (B) of this

paragraph) and inserting ‘‘Deposit Insurance Fund’’;

(D) by striking the subsection heading and inserting

the following:

‘‘(d) BORROWING FOR THE DEPOSIT INSURANCE FUND FROM

INSURED DEPOSITORY INSTITUTIONS.—’’;

(E) in paragraph (3), in the paragraph heading, by

striking ‘‘BIF’’ and inserting ‘‘THE DEPOSIT INSURANCE

FUND’’; and

(F) in paragraph (5), in the paragraph heading, by

striking ‘‘BIF MEMBERS’’ and inserting ‘‘INSURED DEPOSITORY

INSTITUTIONS’’;

(24) in section 14 (12 U.S.C. 1824), by adding at the end

the following new subsection:

‘‘(e) BORROWING FOR THE DEPOSIT INSURANCE FUND FROM FEDERAL HOME LOAN BANKS.—

‘‘(1) IN GENERAL.—The Corporation may borrow from the

Federal home loan banks, with the concurrence of the Federal

Housing Finance Board, such funds as the Corporation considers necessary for the use of the Deposit Insurance Fund.

‘‘(2) TERMS AND CONDITIONS.—Any loan from any Federal

home loan bank under paragraph (1) to the Deposit Insurance

Fund shall—

‘‘(A) bear a rate of interest of not less than the current

marginal cost of funds to that bank, taking into account

the maturities involved;

‘‘(B) be adequately secured, as determined by the Federal Housing Finance Board;

‘‘(C) be a direct liability of the Deposit Insurance Fund;

and

‘‘(D) be subject to the limitations of section 15(c).’’;

(25) in section 15(c)(5) (12 U.S.C. 1825(c)(5))—

(A) by striking ‘‘the Bank Insurance Fund or Savings

Association Insurance Fund, respectively’’ each place that

term appears and inserting ‘‘the Deposit Insurance Fund’’;

and

(B) in subparagraph (B), by striking ‘‘the Bank Insurance Fund or the Savings Association Insurance Fund,

respectively’’ and inserting ‘‘the Deposit Insurance Fund’’;

(26) in section 17(a) (12 U.S.C. 1827(a))—

(A) in the subsection heading, by striking ‘‘BIF, SAIF,’’

and inserting ‘‘THE DEPOSIT INSURANCE FUND’’; and

(B) in paragraph (1)—

(i) by striking ‘‘the Bank Insurance Fund, the

Savings Association Insurance Fund,’’ each place that

term appears and inserting ‘‘the Deposit Insurance

Fund’’; and

(ii) in subparagraph (D), by striking ‘‘each insurance fund’’ and inserting ‘‘the Deposit Insurance Fund’’;

PUBLIC LAW 109–173—FEB. 15, 2006 119 STAT. 3615

(27) in section 17(d) (12 U.S.C. 1827(d)), by striking ‘‘,

the Bank Insurance Fund, the Savings Association Insurance

Fund,’’ each place that term appears and inserting ‘‘the Deposit

Insurance Fund’’;

(28) in section 18(m)(3) (12 U.S.C. 1828(m)(3))—

(A) by striking ‘‘Savings Association Insurance Fund’’

in the 1st sentence of subparagraph (A) and inserting

‘‘Deposit Insurance Fund’’;

(B) by striking ‘‘Savings Association Insurance Fund

member’’ in the last sentence of subparagraph (A) and

inserting ‘‘savings association’’; and

(C) by striking ‘‘Savings Association Insurance Fund

or the Bank Insurance Fund’’ in subparagraph (C) and

inserting ‘‘Deposit Insurance Fund’’;

(29) in section 18(o) (12 U.S.C. 1828(o)), by striking ‘‘deposit

insurance funds’’ and ‘‘deposit insurance fund’’ each place those

terms appear and inserting ‘‘Deposit Insurance Fund’’;

(30) in section 18(p) (12 U.S.C. 1828(p)), by striking ‘‘deposit

insurance funds’’ and inserting ‘‘Deposit Insurance Fund’’;

(31) in section 24 (12 U.S.C. 1831a)—

(A) in subsections (a)(1) and (d)(1)(A), by striking

‘‘appropriate deposit insurance fund’’ each place that term

appears and inserting ‘‘Deposit Insurance Fund’’;

(B) in subsection (e)(2)(A), by striking ‘‘risk to’’ and

all that follows through the period and inserting ‘‘risk

to the Deposit Insurance Fund.’’; and

(C) in subsections (e)(2)(B)(ii) and (f)(6)(B), by striking

‘‘the insurance fund of which such bank is a member’’

each place that term appears and inserting ‘‘the Deposit

Insurance Fund’’;

(32) in section 28 (12 U.S.C. 1831e), by striking ‘‘affected

deposit insurance fund’’ each place that term appears and

inserting ‘‘Deposit Insurance Fund’’;

(33) by striking section 31 (12 U.S.C. 1831h);

(34) in section 36(i)(3) (12 U.S.C. 1831m(i)(3)), by striking

‘‘affected deposit insurance fund’’ and inserting ‘‘Deposit Insurance Fund’’;

(35) in section 37(a)(1)(C) (12 U.S.C. 1831n(a)(1)(C)), by

striking ‘‘insurance funds’’ and inserting ‘‘Deposit Insurance

Fund’’;

(36) in section 38 (12 U.S.C. 1831o), by striking ‘‘the deposit

insurance fund’’ each place that term appears and inserting

‘‘the Deposit Insurance Fund’’;

(37) in section 38(a) (12 U.S.C. 1831o(a)), in the subsection

heading, by striking ‘‘FUNDS’’ and inserting ‘‘FUND’’;

(38) in section 38(k) (12 U.S.C. 1831o(k))—

(A) in paragraph (1), by striking ‘‘a deposit insurance

fund’’ and inserting ‘‘the Deposit Insurance Fund’’;

(B) in paragraph (2), by striking ‘‘A deposit insurance

fund’’ and inserting ‘‘The Deposit Insurance Fund’’; and

(C) in paragraphs (2)(A) and (3)(B), by striking ‘‘the

deposit insurance fund’s outlays’’ each place that term

appears and inserting ‘‘the outlays of the Deposit Insurance

Fund’’; and

(39) in section 38(o) (12 U.S.C. 1831o(o))—

119 STAT. 3616 PUBLIC LAW 109–173—FEB. 15, 2006

(A) by striking ‘‘ASSOCIATIONS.—’’ and all that follows

through ‘‘Subsections (e)(2)’’ and inserting ‘‘ASSOCIATIONS.—Subsections (e)(2)’’;

(B) by redesignating subparagraphs (A), (B), and (C)

as paragraphs (1), (2), and (3), respectively, and moving

the margins 2 ems to the left; and

(C) in paragraph (1) (as so redesignated), by redesignating clauses (i) and (ii) as subparagraphs (A) and (B),

respectively, and moving the margins 2 ems to the left.

(b) EFFECTIVE DATE.—This section and the amendments made

by this section shall take effect on the day of the merger of the

Bank Insurance Fund and the Savings Association Insurance Fund

pursuant to the Federal Deposit Insurance Reform Act of 2005.

SEC. 9. OTHER TECHNICAL AND CONFORMING AMENDMENTS

RELATING TO THE MERGER OF THE BIF AND SAIF.

(a) SECTION 5136 OF THE REVISED STATUTES.—The paragraph

designated the ‘‘Eleventh’’ of section 5136 of the Revised Statutes

of the United States (12 U.S.C. 24) is amended in the 5th sentence,

by striking ‘‘affected deposit insurance fund’’ and inserting ‘‘Deposit

Insurance Fund’’.

(b) INVESTMENTS PROMOTING PUBLIC WELFARE; LIMITATIONS

ON AGGREGATE INVESTMENTS.—The 23d undesignated paragraph

of section 9 of the Federal Reserve Act (12 U.S.C. 338a) is amended

in the 4th sentence, by striking ‘‘affected deposit insurance fund’’

and inserting ‘‘Deposit Insurance Fund’’.

(c) ADVANCES TO CRITICALLY UNDERCAPITALIZED DEPOSITORY

INSTITUTIONS.—Section 10B(b)(3)(A)(ii) of the Federal Reserve Act

(12 U.S.C. 347b(b)(3)(A)(ii)) is amended by striking ‘‘any deposit

insurance fund in’’ and inserting ‘‘the Deposit Insurance Fund of’’.

(d) AMENDMENTS TO THE FEDERAL HOME LOAN BANK ACT.—

The Federal Home Loan Bank Act (12 U.S.C. 1421 et seq.) is

amended—

(1) in section 11(k) (12 U.S.C. 1431(k))—

(A) in the subsection heading, by striking ‘‘SAIF’’ and

inserting ‘‘THE DEPOSIT INSURANCE FUND’’; and

(B) by striking ‘‘Savings Association Insurance Fund’’

each place such term appears and inserting ‘‘Deposit Insurance Fund’’;

(2) in section 21 (12 U.S.C. 1441)—

(A) in subsection (f)(2), by striking ‘‘, except that’’ and

all that follows through the end of the paragraph and

inserting a period; and

(B) in subsection (k), by striking paragraph (4);

(3) in section 21A(b)(4)(B) (12 U.S.C. 1441a(b)(4)(B)), by

striking ‘‘affected deposit insurance fund’’ and inserting

‘‘Deposit Insurance Fund’’;

(4) in section 21A(b)(6)(B) (12 U.S.C. 1441a(b)(6)(B))—

(A) in the subparagraph heading, by striking ‘‘SAIFINSURED BANKS’’ and inserting ‘‘CHARTER CONVERSIONS’’;

and

(B) by striking ‘‘Savings Association Insurance Fund

member’’ and inserting ‘‘savings association’’;

(5) in section 21A(b)(10)(A)(iv)(II) (12 U.S.C.

1441a(b)(10)(A)(iv)(II)), by striking ‘‘Savings Association Insurance Fund’’ and inserting ‘‘Deposit Insurance Fund’’;

12 USC 1813

note.

PUBLIC LAW 109–173—FEB. 15, 2006 119 STAT. 3617

(6) in section 21A(n)(6)(E)(iv) (12 U.S.C. 1441(n)(6)(E)(iv)),

by striking ‘‘Federal deposit insurance funds’’ and inserting

‘‘the Deposit Insurance Fund’’;

(7) in section 21B(e) (12 U.S.C. 1441b(e))—

(A) in paragraph (5), by inserting ‘‘as of the date of

funding’’ after ‘‘Savings Association Insurance Fund members’’ each place that term appears; and

(B) by striking paragraphs (7) and (8); and

(8) in section 21B(k) (12 U.S.C. 1441b(k))—

(A) by inserting before the colon ‘‘, the following definitions shall apply’’;

(B) by striking paragraph (8); and

(C) by redesignating paragraphs (9) and (10) as paragraphs (8) and (9), respectively.

(e) AMENDMENTS TO THE HOME OWNERS’ LOAN ACT.—The Home

Owners’ Loan Act (12 U.S.C. 1461 et seq.) is amended—

(1) in section 5 (12 U.S.C. 1464)—

(A) in subsection (c)(5)(A), by striking ‘‘that is a

member of the Bank Insurance Fund’’;

(B) in subsection (c)(6), by striking ‘‘As used in this

subsection—’’ and inserting ‘‘For purposes of this subsection, the following definitions shall apply:’’;

(C) in subsection (o)(1), by striking ‘‘that is a Bank

Insurance Fund member’’;

(D) in subsection (o)(2)(A), by striking ‘‘a Bank Insurance Fund member until such time as it changes its status

to a Savings Association Insurance Fund member’’ and

inserting ‘‘insured by the Deposit Insurance Fund’’;

(E) in subsection (t)(5)(D)(iii)(II), by striking ‘‘affected

deposit insurance fund’’ and inserting ‘‘Deposit Insurance

Fund’’;

(F) in subsection (t)(7)(C)(i)(I), by striking ‘‘affected

deposit insurance fund’’ and inserting ‘‘Deposit Insurance

Fund’’; and

(G) in subsection (v)(2)(A)(i), by striking ‘‘the Savings

Association Insurance Fund’’ and inserting ‘‘or the Deposit

Insurance Fund’’; and

(2) in section 10 (12 U.S.C. 1467a)—

(A) in subsection (c)(6)(D), by striking ‘‘this title’’ and

inserting ‘‘this Act’’;

(B) in subsection (e)(1)(B), by striking ‘‘Savings Association Insurance Fund or Bank Insurance Fund’’ and

inserting ‘‘Deposit Insurance Fund’’;

(C) in subsection (e)(2), by striking ‘‘Savings Association Insurance Fund or the Bank Insurance Fund’’ and

inserting ‘‘Deposit Insurance Fund’’;

(D) in subsection (e)(4)(B), by striking ‘‘subsection (1)’’

and inserting ‘‘subsection (l)’’;

(E) in subsection (g)(3)(A), by striking ‘‘(5) of this section’’ and inserting ‘‘(5) of this subsection’’;

(F) in subsection (i), by redesignating paragraph (5)

as paragraph (4);

(G) in subsection (m)(3), by striking subparagraph (E)

and by redesignating subparagraphs (F), (G), and (H) as

subparagraphs (E), (F), and (G), respectively;

(H) in subsection (m)(7)(A), by striking ‘‘during period’’

and inserting ‘‘during the period’’; and

12 USC 1441a.

119 STAT. 3618 PUBLIC LAW 109–173—FEB. 15, 2006

(I) in subsection (o)(3)(D), by striking ‘‘sections 5(s)

and (t) of this Act’’ and inserting ‘‘subsections (s) and

(t) of section 5’’.

(f) AMENDMENTS TO THE NATIONAL HOUSING ACT.—The

National Housing Act (12 U.S.C. 1701 et seq.) is amended—

(1) in section 317(b)(1)(B) (12 U.S.C. 1723i(b)(1)(B)), by

striking ‘‘Bank Insurance Fund for banks or through the

Savings Association Insurance Fund for savings associations’’

and inserting ‘‘Deposit Insurance Fund’’; and

(2) in section 536(b)(1)(B)(ii) (12 U.S.C. 1735f–

14(b)(1)(B)(ii)), by striking ‘‘Bank Insurance Fund for banks

and through the Savings Association Insurance Fund for

savings associations’’ and inserting ‘‘Deposit Insurance Fund’’.

(g) AMENDMENTS TO THE FINANCIAL INSTITUTIONS REFORM,

RECOVERY, AND ENFORCEMENT ACT OF 1989.—The Financial

Institutions Reform, Recovery, and Enforcement Act of 1989 (12

U.S.C. 1811 note) is amended—

(1) in section 951(b)(3)(B) (12 U.S.C. 1833a(b)(3)(B)), by

inserting ‘‘and after the merger of such funds, the Deposit

Insurance Fund,’’ after ‘‘the Savings Association Insurance

Fund,’’; and

(2) in section 1112(c)(1)(B) (12 U.S.C. 3341(c)(1)(B)), by

striking ‘‘Bank Insurance Fund, the Savings Association Insurance Fund,’’ and inserting ‘‘Deposit Insurance Fund’’.

(h) AMENDMENT TO THE BANK HOLDING COMPANY ACT OF

1956.—The Bank Holding Company Act of 1956 (12 U.S.C. 1841

et seq.) is amended—

(1) in section 2(j)(2) (12 U.S.C. 1841(j)(2)), by striking

‘‘Savings Association Insurance Fund’’ and inserting ‘‘Deposit

Insurance Fund’’; and

(2) in section 3(d)(1)(D)(iii) (12 U.S.C. 1842(d)(1)(D)(iii)),

by striking ‘‘appropriate deposit insurance fund’’ and inserting

‘‘Deposit Insurance Fund’’.

(i) AMENDMENTS TO THE GRAMM-LEACH-BLILEY ACT.—Section

114 of the Gramm-Leach-Bliley Act (12 U.S.C. 1828a) is amended

by striking ‘‘any Federal deposit insurance fund’’ in subsection

(a)(1)(B), paragraphs (2)(B) and (4)(B) of subsection (b), and subsection (c)(1)(B), each place that term appears and inserting ‘‘the

Deposit Insurance Fund’’.

(j) EFFECTIVE DATE.—This section and the amendments made

by this section shall take effect on the day of the merger of the

12 USC 24 note.

PUBLIC LAW 109–173—FEB. 15, 2006 119 STAT. 3619

LEGISLATIVE HISTORY—H.R. 4636:

CONGRESSIONAL RECORD, Vol. 151 (2005):

Dec. 18, considered and passed House.

Dec. 21, considered and passed Senate.

Æ

Bank Insurance Fund and the Savings Association Insurance Fund

pursuant to the Federal Deposit Insurance Reform Act of 2005.

Approved February 15, 2006.