II 

115TH CONGRESS 

1ST SESSION S. 1264 

To amend the Federal Deposit Insurance Act to allow the Federal Deposit 

Insurance Corporation to exempt certain depository institutions from 

certain legal requirements, and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

MAY 25, 2017 

Ms. COLLINS introduced the following bill; which was read twice and referred 

to the Committee on Banking, Housing, and Urban Affairs 

A BILL 

To amend the Federal Deposit Insurance Act to allow the 

Federal Deposit Insurance Corporation to exempt certain 

depository institutions from certain legal requirements, 

and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Community Bank Sen5 sible Regulation Act of 2017’’. 


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1 SEC. 2. EXEMPTIVE AUTHORITY FOR THE FEDERAL DE2 POSIT INSURANCE CORPORATION. 

3 Section 10 of the Federal Deposit Insurance Act (12 

4 U.S.C. 1820) is amended by adding at the end the fol5 lowing: 

6 ‘‘(l) EXEMPTIVE AUTHORITY.— 

7 ‘‘(1) IN GENERAL.—Notwithstanding any other 

8 provision of law, the Corporation, after considering 

9 the factors in paragraph (3), may exempt by rule 

10 any depository institution having less than 

11 $10,000,000,000 in total assets from— 

12 ‘‘(A) any provision of this Act; 

13 ‘‘(B) any rule promulgated under this Act; 

14 or 

15 ‘‘(C) any rule promulgated under any 

16 other Act that confers authority to the Corpora17 tion. 

18 ‘‘(2) CONDITIONS.—The Corporation may im19 pose conditions on an exemption granted under 

20 paragraph (1). 

21 ‘‘(3) FACTORS TO CONSIDER.—In granting an 

22 exemption under paragraph (1), the Corporation 

23 shall consider, as appropriate, the extent to which— 

24 ‘‘(A) the provision or rule would impose an 

25 unnecessary or undue burden or cost on the de26 pository institution; 


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1 ‘‘(B) the provision or rule is unnecessary 

2 or unwarranted in order to promote the safety 

3 and soundness of the depository institution; and 

4 ‘‘(C) the exemption is necessary, appro5 priate, or consistent with the public interest. 

6 ‘‘(4) INDEXATION OF ASSET THRESHOLD.—The 

7 asset threshold identified in paragraph (1) shall be 

8 increased annually at a percentage equal to the per9 centage change in the total aggregate assets of in10 sured depository institutions for each 12-month pe11 riod ending in December of each year, rounded to 

12 the nearest $10,000,000.’’. 

13 SEC. 3. EXEMPTIVE AUTHORITY FOR THE OFFICE OF THE 

14 COMPTROLLER OF THE CURRENCY. 

15 (a) EXEMPTIVE AUTHORITY WITH RESPECT TO NA16 TIONAL BANKS.—Section 5239A of the Revised Statutes 

17 (12 U.S.C. 93a) is amended— 

18 (1) by striking ‘‘Except’’ and inserting the fol19 lowing: 

20 ‘‘(a) IN GENERAL.—Except’’; and 

21 (2) by adding at the end the following: 

22 ‘‘(b) EXEMPTIVE AUTHORITY.— 

23 ‘‘(1) DEFINITION.—In this subsection, the term 

24 ‘insured depository institution’ has the meaning 


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1 given the term in section 3(c) of the Federal Deposit 

2 Insurance Act (12 U.S.C. 1813(c)). 

3 ‘‘(2) EXEMPTION.—Notwithstanding any other 

4 provision of law, the Comptroller of the Currency, 

5 after considering the factors in paragraph (4), may 

6 exempt by rule any national bank having less than 

7 $10,000,000,000 in total assets from— 

8 ‘‘(A) any provision of this title; 

9 ‘‘(B) any rule promulgated under this title; 

10 or 

11 ‘‘(C) any rule promulgated under any 

12 other title or Act that confers authority to the 

13 Comptroller. 

14 ‘‘(3) CONDITIONS.—The Comptroller of the 

15 Currency may impose conditions on an exemption 

16 granted under paragraph (2). 

17 ‘‘(4) FACTORS TO CONSIDER.—In granting an 

18 exemption under paragraph (2), the Comptroller of 

19 the Currency shall consider, as appropriate, the ex20 tent to which— 

21 ‘‘(A) the provision or rule would impose an 

22 unnecessary or undue burden or cost on the na23 tional bank; 


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1 ‘‘(B) the provision or rule is unnecessary 

2 or unwarranted in order to promote the safety 

3 and soundness of the national bank; and 

4 ‘‘(C) the exemption is necessary, appro5 priate, or consistent with the public interest. 

6 ‘‘(5) INDEXATION OF ASSET THRESHOLD.—The 

7 asset threshold identified in paragraph (1) shall be 

8 increased annually at a percentage equal to the per9 centage change in the total aggregate assets of in10 sured depository institutions for each 12-month pe11 riod ending in December of each year, rounded to 

12 the nearest $10,000,000.’’. 

13 (b) EXEMPTIVE AUTHORITY WITH RESPECT TO SAV14 INGS ASSOCIATIONS.—Section 4(a) of the Home Owners’ 

15 Loan Act (12 U.S.C. 1463(a)) is amended by adding at 

16 the end the following: 

17 ‘‘(4) EXEMPTIVE AUTHORITY.— 

18 ‘‘(A) DEFINITION.—In this paragraph, the 

19 term ‘insured depository institution’ has the 

20 meaning given the term in section 3(c) of the 

21 Federal Deposit Insurance Act (12 U.S.C. 

22 1813(c)). 

23 ‘‘(B) EXEMPTION.—Notwithstanding any 

24 other provision of law, the Comptroller, after 

25 considering the factors in subparagraph (D), 


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1 may exempt by rule any savings association 

2 having less than $10,000,000,000 in total as3 sets from— 

4 ‘‘(i) any provision of this Act; 

5 ‘‘(ii) any rule promulgated under this 

6 Act; or 

7 ‘‘(iii) any rule promulgated under any 

8 other Act that confers authority on the 

9 Comptroller. 

10 ‘‘(C) CONDITIONS.—The Comptroller may 

11 impose conditions on an exemption granted 

12 under subparagraph (B). 

13 ‘‘(D) FACTORS TO CONSIDER.—In grant14 ing an exemption under subparagraph (B), the 

15 Comptroller shall consider, as appropriate, the 

16 extent to which— 

17 ‘‘(i) the provision or rule would im18 pose an unnecessary or undue burden or 

19 cost on the savings association; 

20 ‘‘(ii) the provision or rule is unneces21 sary or unwarranted in order to promote 

22 the safety and soundness of the savings as23 sociation; and 


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1 ‘‘(iii) the exemption is necessary, ap2 propriate, or consistent with the public in3 terest. 

4 ‘‘(E) INDEXATION OF ASSET THRESH5 OLD.—The asset threshold identified in sub6 paragraph (B) shall be increased annually at a 

7 percentage equal to the percentage change in 

8 the total aggregate assets of insured depository 

9 institutions for each 12-month period ending in 

10 December of each year, rounded to the nearest 

11 $10,000,000.’’. 

12 SEC. 4. EXEMPTIVE AUTHORITY FOR THE BOARD OF GOV13 ERNORS OF THE FEDERAL RESERVE SYSTEM. 

14 (a) EXEMPTIVE AUTHORITY WITH RESPECT TO

15 STATE MEMBER BANKS.—Section 11 of the Federal Re16 serve Act (12 U.S.C. 248) is amended— 

17 (1) by redesignating the second subsection (s) 

18 (relating to assessments, fees, and other charges for 

19 certain companies) as subsection (t); and 

20 (2) by adding at the end the following: 

21 ‘‘(u) EXEMPTIVE AUTHORITY.— 

22 ‘‘(1) DEFINITION.—In this section, the term 

23 ‘insured depository institution’ has the meaning 

24 given the term in section 3(c) of the Federal Deposit 

25 Insurance Act (12 U.S.C. 1813(c)). 


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1 ‘‘(2) EXEMPTION.—Notwithstanding any other 

2 provision of law, the Board, after considering the 

3 factors in paragraph (4), may exempt by rule any 

4 State member bank having less than 

5 $10,000,000,000 in total assets from— 

6 ‘‘(A) any provision of this Act; 

7 ‘‘(B) any rule promulgated under this Act; 

8 or 

9 ‘‘(C) any rule promulgated under any 

10 other Act that confers authority on the Board. 

11 ‘‘(3) CONDITIONS.—The Board may impose 

12 conditions on an exemption granted under para13 graph (2). 

14 ‘‘(4) FACTORS TO CONSIDER.—In granting an 

15 exemption under paragraph (2), the Board shall con16 sider, as appropriate, the extent to which— 

17 ‘‘(A) the provision or rule would impose an 

18 unnecessary or undue burden or cost on the 

19 State member bank; 

20 ‘‘(B) the provision or rule is unnecessary 

21 or unwarranted in order to promote the safety 

22 and soundness of the State member bank; and 

23 ‘‘(C) the exemption is necessary, appro24 priate, or consistent with the public interest.’’. 


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1 ‘‘(5) INDEXATION OF ASSET THRESHOLD.—The 

2 asset threshold identified in paragraph (2) shall be 

3 increased annually at a percentage equal to the per4 centage change in the total aggregate assets of in5 sured depository institutions for each 12-month pe6 riod ending in December of each year, rounded to 

7 the nearest $10,000,000.’’. 

8 (b) EXEMPTIVE AUTHORITY WITH RESPECT TO

9 BANK HOLDING COMPANIES.—The Bank Holding Com10 pany Act of 1956 (12 U.S.C. 1841 et seq.) is amended 

11 by adding at the end the following: 

12 ‘‘SEC. 15. EXEMPTIVE AUTHORITY. 

13 ‘‘(a) DEFINITION.—In this section, the term ‘insured 

14 depository institution’ has the meaning given the term in 

15 section 3(c) of the Federal Deposit Insurance Act (12 

16 U.S.C. 1813(c)). 

17 ‘‘(b) EXEMPTION.—Notwithstanding any other provi18 sion of law, the Board, after considering the factors in 

19 subsection (d), may exempt by rule any bank holding com20 pany having less than $10,000,000,000 in total assets 

21 from— 

22 ‘‘(1) any provision of this Act; 

23 ‘‘(2) any rule promulgated under this Act; or 

24 ‘‘(3) any rule promulgated under any other Act 

25 that confers authority on the Board. 


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1 ‘‘(c) CONDITIONS.—The Board may impose condi2 tions on an exemption granted under subsection (b). 

3 ‘‘(d) FACTORS TO CONSIDER.—In granting an ex4 emption under subsection (b), the Board shall consider, 

5 as appropriate, the extent to which— 

6 ‘‘(1) the provision or rule would impose an un7 necessary or undue burden or cost on the bank hold8 ing company; 

9 ‘‘(2) the provision or rule is unnecessary or un10 warranted in order to promote the safety and sound11 ness of the bank holding company; and 

12 ‘‘(3) the exemption is necessary, appropriate, or 

13 consistent with the public interest. 

14 ‘‘(e) INDEXATION OF ASSET THRESHOLD.—The 

15 asset threshold identified in subsection (b) shall be in16 creased annually at a percentage equal to the percentage 

17 change in the total aggregate assets of insured depository 

18 institutions for each 12-month period ending in December 

19 of each year, rounded to the nearest $10,000,000.’’. 

20 (c) EXEMPTIVE AUTHORITY FOR SAVINGS AND LOAN

21 HOLDING COMPANIES AND MUTUAL HOLDING COMPA22 NIES.—Section 10 of the Home Owners’ Loan Act (12 

23 U.S.C. 1467a) is amended by adding at the end the fol24 lowing: 

25 ‘‘(u) EXEMPTIVE AUTHORITY.— 


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1 ‘‘(1) DEFINITIONS.—In this subsection— 

2 ‘‘(A) the term ‘insured depository institu3 tion’ has the meaning given the term in section 

4 3(c) of the Federal Deposit Insurance Act (12 

5 U.S.C. 1813(c)); and 

6 ‘‘(B) the term ‘mutual holding company’ 

7 has the meaning given the term in subsection 

8 (o)(10)(A). 

9 ‘‘(2) EXEMPTION.—Notwithstanding any other 

10 provision of law, the Board, after considering the 

11 factors in paragraph (4), may exempt by rule any 

12 savings and loan holding company or any mutual 

13 holding company having less than $10,000,000,000 

14 in total assets from— 

15 ‘‘(A) any provision of this Act; 

16 ‘‘(B) any rule promulgated under this Act; 

17 or 

18 ‘‘(C) any rule promulgated under any 

19 other Act that confers authority on the Board. 

20 ‘‘(3) CONDITIONS.—The Board may impose 

21 conditions on an exemption granted under para22 graph (2). 

23 ‘‘(4) FACTORS TO CONSIDER.—In granting an 

24 exemption under paragraph (2), the Board shall con25 sider the extent to which— 


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1 ‘‘(A) the provision or rule would impose an 

2 unnecessary or undue burden or cost on the 

3 savings and loan holding company or the mu4 tual holding company; 

5 ‘‘(B) the provision or rule is unnecessary 

6 or unwarranted in order to promote the safety 

7 and soundness of the savings and loan holding 

8 company or the mutual holding company; and 

9 ‘‘(C) the exemption is necessary, appro10 priate, or consistent with the public interest. 

11 ‘‘(5) LIMITATION.—The authority granted to 

12 the Board under paragraph (2) shall not apply with 

13 respect to a savings and loan holding company de14 scribed in subsection (c)(9)(C). 

15 ‘‘(6) INDEXATION OF ASSET THRESHOLD.—The 

16 asset threshold identified in paragraph (2) shall be 

17 increased annually at a percentage equal to the per18 centage change in the total aggregate assets of in19 sured depository institutions for each 12-month pe20 riod ending in December of each year, rounded to 

21 the nearest $10,000,000.’’. 

Æ 


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