I 

114TH CONGRESS 

1ST SESSION H. R. 2896 

To require the Federal financial institutions regulatory agencies to take risk 

profiles and business models of institutions into account when taking 

regulatory actions, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

JUNE 25, 2015 

Mr. TIPTON (for himself and Mr. BARR) introduced the following bill; which 

was referred to the Committee on Financial Services 

A BILL 

To require the Federal financial institutions regulatory agencies to take risk profiles and business models of institutions into account when taking regulatory actions, 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 ‘‘Taking Account of In5 stitutions with Low Operation Risk Act of 2015’’ or the 

6 ‘‘TAILOR Act of 2015’’. 


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1 SEC. 2. REGULATIONS APPROPRIATE TO BUSINESS MOD2 ELS. 

3 (a) IN GENERAL.—For any regulatory action occur4 ring subsequent to enactment of this section, and notwith5 standing any other provision of law, the Federal financial 

6 institutions regulatory agencies shall— 

7 (1) take into consideration the risk profile and 

8 business models of the various institutions or classes 

9 of institutions subject to the regulatory action; 

10 (2) determine the necessity, appropriateness, 

11 and impact of applying such regulatory action to 

12 such institutions or classes of institutions; and 

13 (3) tailor such regulatory action applicable to 

14 such institutions or class of institutions in a manner 

15 that limits the regulatory compliance impact, cost, li16 ability risk, and other burdens as is appropriate for 

17 the risk profile and business model involved. 

18 (b) OTHER CONSIDERATIONS.—In satisfying the re19 quirements of subsection (a) and when implementing such 

20 regulatory action, the Federal financial institutions regu21 latory agencies shall also consider— 

22 (1) the impact that such regulatory action, both 

23 by itself and in conjunction with the aggregate effect 

24 of other regulations, has on the ability of the institu25 tion or class of institutions to flexibly serve evolving 

26 and diverse customer needs; 


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1 (2) the potential unintended impact of examina2 tion manuals or other regulatory directives that 

3 work in conflict with the tailoring of such regulatory 

4 action described in subsection (a)(3); and 

5 (3) the underlying policy objectives of the regu6 latory action and statutory scheme involved. 

7 (c) NOTICE OF PROPOSED AND FINAL RULE8 MAKING.—The Federal financial institutions regulatory 

9 agencies shall disclose in every notice of proposed rule10 making and in any final rulemaking for a regulatory ac11 tion how the agency has applied subsections (a) and (b). 

12 (d) REPORTS TO CONGRESS.— 

13 (1) INDIVIDUAL AGENCY REPORTS.— 

14 (A) IN GENERAL.—The Federal financial 

15 institutions regulatory agencies shall individ16 ually report to the Committee on Financial 

17 Services of the House of Representatives and 

18 the Committee on Banking, Housing, and 

19 Urban Affairs of the Senate, within twelve 

20 months of enactment of this section and annu21 ally thereafter, on the specific actions taken to 

22 tailor the agency’s regulatory actions pursuant 

23 to the requirements of this section. 

24 (B) APPEARANCE BEFORE THE COMMIT25 TEES.—The head of each Federal financial inVerDate Sep 11 2014 23:41 Jun 30, 2015 Jkt 049200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H2896.IH H2896

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1 stitution regulatory agency shall appear before 

2 the Committee on Financial Services of the 

3 House of Representatives and the Committee 

4 on Banking, Housing, and Urban Affairs of the 

5 Senate after each report is made pursuant to 

6 subparagraph (A), to testify on the contents of 

7 such report. 

8 (2) FIEC REPORTS.— 

9 (A) IN GENERAL.—The Financial Institu10 tions Examination Council shall report to the 

11 Committee on Financial Services of the House 

12 of Representatives and the Committee on Bank13 ing, Housing, and Urban Affairs of the Senate, 

14 within three months after the reports required 

15 under paragraph (1)— 

16 (i) on the extent to which regulatory 

17 actions tailored pursuant to this section re18 sult in differential regulation of similarly19 situated institutions of diverse charter 

20 types with respect to comparable regula21 tions; and 

22 (ii) the reasons for such differential 

23 treatment. 

24 (B) APPEARANCE BEFORE THE COMMIT25 TEES.—The Chairman of the Financial InstituVerDate Sep 11 2014 23:41 Jun 30, 2015 Jkt 049200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\H2896.IH H2896

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1 tions Examination Council shall appear before 

2 the Committee on Financial Services of the 

3 House of Representatives and the Committee 

4 on Banking, Housing, and Urban Affairs of the 

5 Senate after each report is made pursuant to 

6 subparagraph (A), to testify on the contents of 

7 such report. 

8 (e) LIMITED LOOK-BACK APPLICATION.—The Fed9 eral financial institutions regulatory agencies shall con10 duct a review of all regulations adopted during the period 

11 beginning on the date that is five years before the date 

12 of the introduction of this Act in the House of Representa13 tives and ending on the date of the enactment of this Act 

14 and apply the requirements of this section to such regula15 tions. If the application of the requirements of this section 

16 to any such regulation requires such regulation to be re17 vised, the agency shall revise such regulation within three 

18 years of the enactment of this section. 

19 (f) DEFINITIONS.—For purposes of this section, the 

20 following definitions shall apply: 

21 (1) FEDERAL FINANCIAL INSTITUTIONS REGU22 LATORY AGENCIES.—The term ‘‘Federal financial in23 stitutions regulatory agencies’’ means the Office of 

24 the Comptroller of the Currency, the Board of Gov25 ernors of the Federal Reserve System, the Federal 


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1 Deposit Insurance Corporation, the National Credit 

2 Union Administration, and the Bureau of Consumer 

3 Financial Protection. 

4 (2) REGULATORY ACTION.—The term ‘‘regu5 latory action’’ means any proposed, interim, or final 

6 rule or regulation, guidance, or published interpreta7 tion. 

Æ 


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