II 

116TH CONGRESS 

1ST SESSION S. 2057 

To establish a National Climate Bank. 

IN THE SENATE OF THE UNITED STATES 

JULY 8, 2019 

Mr. MARKEY (for himself, Mr. VAN HOLLEN, Mr. SCHATZ, and Mr. 

BLUMENTHAL) introduced the following bill; which was read twice and referred to the Committee on Environment and Public Works 

A BILL 

To establish a National Climate Bank. 

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 ‘‘National Climate Bank 

5 Act’’. 

6 SEC. 2. NATIONAL CLIMATE BANK. 

7 (a) IN GENERAL.—Title LXII of the Revised Stat8 utes (12 U.S.C. 21 et seq.) is amended by adding at the 

9 end the following: 


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1 ‘‘CHAPTER FIVE—NATIONAL CLIMATE 

2 BANK 

‘‘Sec. 

‘‘5245. Findings. 

‘‘5245A. Definitions. 

‘‘5245B. Establishment. 

‘‘5245C. Purpose. 

‘‘5245D. Investments and procurements division. 

‘‘5245E. Start-up division. 

‘‘5245F. Project types. 

‘‘5245G. Cash for carbon program. 

‘‘5245H. Project and Investment attributes. 

‘‘5245I. Board of Directors. 

‘‘5245J. Administration. 

‘‘5245K. Establishment of risk and audit committees. 

‘‘5245L. External oversight. 

‘‘5245M. Maximum contingent liability. 

3 ‘‘SEC. 5245. FINDINGS. 

4 ‘‘Congress finds that— 

5 ‘‘(1) the October 2018 report entitled ‘Special 

6 Report on Global Warming of 1.5 C’ by the Inter7 governmental Panel on Climate Change and the No8 vember 2018 Fourth National Climate Assessment 

9 report found that— 

10 ‘‘(A) human activity is the dominant cause 

11 of observed climate change over the past cen12 tury; 

13 ‘‘(B) a changing climate is causing sea lev14 els to rise and an increase in wildfires, severe 

15 storms, droughts, and other extreme weather 

16 events that threaten human life, healthy com17 munities, and critical infrastructure; 


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1 ‘‘(C) global warming at or above 2 degrees 

2 Celsius beyond pre-industrialized levels will 

3 cause— 

4 ‘‘(i) mass migration from the regions 

5 most affected by climate change; 

6 ‘‘(ii) more than $500,000,000,000 in 

7 lost annual economic output in the United 

8 States by the year 2100; 

9 ‘‘(iii) wildfires that, by 2050, will an10 nually burn at least twice as much forest 

11 area in the western United States than 

12 was typically burned by wildfires in the 

13 years preceding 2019; 

14 ‘‘(iv) a loss of more than 99 percent 

15 of all coral reefs on Earth; 

16 ‘‘(v) more than 350,000,000 more 

17 people to be exposed globally to deadly 

18 heat stress by 2050; and 

19 ‘‘(vi) a risk of damage to 

20 $1,000,000,000,000 of public infrastruc21 ture and coastal real estate in the United 

22 States; and 

23 ‘‘(D) global temperatures must be kept 

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1 alized levels to avoid the most severe impacts of 

2 a changing climate, which will require— 

3 ‘‘(i) global reductions in greenhouse 

4 gas emissions from human sources of 40 to 

5 60 percent from 2010 levels by 2030; and 

6 ‘‘(ii) net-zero global emissions by 

7 2050; 

8 ‘‘(2)(A) according to Bloomberg New Energy 

9 Finance, in 2018, approximately $64,000,000,000 

10 was invested in renewable energy in the United 

11 States; and 

12 ‘‘(B) according to the International Energy 

13 Agency, in 2018, approximately $42,000,000,000 

14 was invested in energy efficiency in North America; 

15 ‘‘(3) investments in renewable energy and en16 ergy efficiency have a demonstrated track record of 

17 increasing jobs while lowering the cost of new renew18 able energy investments, which benefits the clean en19 ergy economy; 

20 ‘‘(4) green banks can be used to accelerate in21 vestment in— 

22 ‘‘(A) new and emerging technologies; and 

23 ‘‘(B) new and innovative financing prod24 ucts to leverage private sector financing; 


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1 ‘‘(5) green banking has a demonstrated track 

2 record of success at increasing investment in the 

3 clean energy economy; 

4 ‘‘(6) green banks have led to $3,670,000,000 of 

5 investment in cost-effective clean energy projects 

6 across the United States, lowering energy costs for 

7 end-users, with that investment total composed of— 

8 ‘‘(A) $1,079,000,000 in public funds; and 

9 ‘‘(B) $2,591,000,000 in private and phil10 anthropic capital; 

11 ‘‘(7) in 2018, green banks were operating in a 

12 number of States and other jurisdictions, includ13 ing— 

14 ‘‘(A) the District of Columbia; and 

15 ‘‘(B) the States of— 

16 ‘‘(i) Colorado; 

17 ‘‘(ii) Connecticut; 

18 ‘‘(iii) Florida; 

19 ‘‘(iv) Hawaii; 

20 ‘‘(v) Maryland; 

21 ‘‘(vi) Michigan; 

22 ‘‘(vii) Nevada; 

23 ‘‘(viii) New York; and 

24 ‘‘(ix) Rhode Island; 


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1 ‘‘(8) in the many different types of electricity 

2 markets around the country, achieving 100 percent 

3 market penetration of clean energy will require deliv4 ery of clean electric energy that is cheaper than al5 ternative fossil-fuel based electricity; 

6 ‘‘(9) market-based clean energy financing tools, 

7 such as those used by existing State and local green 

8 banks, can be used— 

9 ‘‘(A) to accelerate the deployment of clean 

10 energy; 

11 ‘‘(B) to reduce greenhouse gas emissions in 

12 the United States by substituting fossil-fuel 

13 based energy with lower-cost clean energy; 

14 ‘‘(C) to unlock private investment by offer15 ing complementary capital that can change the 

16 dynamics of a capital stack and make new 

17 projects worth investing in for private sector 

18 capital providers; and 

19 ‘‘(D) to open new markets for greater in20 vestment and increase opportunities for commu21 nities and the private sector; and 

22 ‘‘(10) the Federal Government can accelerate 

23 and rapidly expand the deployment of clean energy 

24 technologies by creating a dedicated financial insti25 tution that can support the work of existing green 


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1 banks and provide greater capital for efforts to re2 duce emissions, increasing the overall scale of clean 

3 energy investment and the pace of substitution of 

4 clean energy technologies for fossil-fuel based tech5 nologies. 

6 ‘‘SEC. 5245A. DEFINITIONS. 

7 ‘‘In this chapter: 

8 ‘‘(a) BANK.—The term ‘Bank’ means the National 

9 Climate Bank established under section 5245B. 

10 ‘‘(b) BOARD.—The term ‘Board’ means the Board of 

11 Directors of the National Climate Bank established under 

12 section 5245I. 

13 ‘‘(c) CHIEF EXECUTIVE OFFICER.—The term ‘Chief 

14 Executive Officer’ means the Chief Executive Officer of 

15 the Board appointed under section 5245I(i). 

16 ‘‘(d) GREEN BANK.—The term ‘green bank’ means 

17 a dedicated public or nonprofit specialized finance entity 

18 that— 

19 ‘‘(1) is designed to drive private capital into 

20 market gaps for low- and zero-emission goods and 

21 services; 

22 ‘‘(2) uses finance tools to mitigate climate 

23 change; 

24 ‘‘(3) does not take deposits; 


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1 ‘‘(4) is funded by government, public, private, 

2 or charitable contributions; and 

3 ‘‘(5) invests— 

4 ‘‘(A) alone; or 

5 ‘‘(B) in conjunction with other investors. 

6 ‘‘(e) PROCUREMENT.—The term ‘procurement’ 

7 means the purchase, lease, or acquisition of real or per8 sonal property on a bid, negotiated, or open-market basis, 

9 including through a sole-source procurement or in such 

10 other manner as the Board and Chief Executive Officer 

11 determine to be appropriate and in the best interests of 

12 reducing emissions. 

13 ‘‘SEC. 5245B. ESTABLISHMENT. 

14 ‘‘(a) IN GENERAL.—Not later than 1 year after the 

15 date of enactment of this chapter, there shall be estab16 lished in the District of Columbia a bank, to be known 

17 as the ‘National Climate Bank’, in accordance with this 

18 chapter. 

19 ‘‘(b) LEGAL STATUS.—The Bank shall be an inde20 pendent, nonprofit entity outside of the Federal Govern21 ment. 

22 ‘‘(c) FULL FAITH AND CREDIT.—The full faith and 

23 credit of the United States shall not extend to the Bank. 


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1 ‘‘SEC. 5245C. PURPOSE. 

2 ‘‘The purpose of the Bank is to make the United 

3 States a world leader in combating the causes and effects 

4 of climate change and reducing emissions in the United 

5 States for every dollar spent by the Bank, through the 

6 rapid deployment of mature technologies and the commer7 cialization and scaling of new technologies, including by— 

8 ‘‘(1) providing financing support for invest9 ments in the United States in clean and low-emis10 sions technologies and processes; 

11 ‘‘(2) conducting low-cost procurements in the 

12 United States that will be used to lower emissions; 

13 ‘‘(3) catalyzing and mobilizing private capital 

14 through Federal investment and supporting a more 

15 robust marketplace for clean technologies, while 

16 minimizing competition with private investment; 

17 ‘‘(4) enabling low- and moderate-income indi18 viduals and communities to benefit from and afford 

19 projects and investments that reduce emissions; 

20 ‘‘(5) increasing the efficiency and effectiveness 

21 of Federal financing programs that support positive 

22 climate outcomes, such as reduced emissions; and 

23 ‘‘(6) supporting the creation of green banks 

24 within the United States where green banks do not 

25 exist. 


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1 ‘‘SEC. 5245D. INVESTMENTS AND PROCUREMENTS DIVI2 SION. 

3 ‘‘(a) IN GENERAL.—There shall be within the Bank 

4 an investments and procurements division, which shall be 

5 responsible for— 

6 ‘‘(1) equity investments in clean energy 

7 projects; 

8 ‘‘(2) ensuring appropriate debt and risk mitiga9 tion products are offered; 

10 ‘‘(3) overseeing prudent, noncontrolling equity 

11 investments; 

12 ‘‘(4) procurements that will be used to reduce 

13 emissions and the cost of emissions reductions 

14 through aggregation of demand and other market15 based approaches; and 

16 ‘‘(5) greenhouse gas emissions mitigation ef17 forts. 

18 ‘‘(b) INVESTMENT COMMITTEE.—The suite of debt 

19 and risk mitigation products and equity investments made 

20 by the Bank shall be— 

21 ‘‘(1) approved by an investment committee of 

22 the Board; and 

23 ‘‘(2) consistent with an investment policy that 

24 has been established by the investment committee of 

25 the Board in consultation with the risk management 

26 committee of the Board. 


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1 ‘‘(c) DEBT PRODUCTS.—Debt products and invest2 ments by the Bank shall include direct lending, colending, 

3 and credit enhancements. 

4 ‘‘SEC. 5245E. START-UP DIVISION. 

5 ‘‘There shall be within the Bank a start-up division, 

6 which shall be responsible for providing technical assist7 ance to States and other political subdivisions that do not 

8 have green banks to establish independent, nonprofit 

9 green banks in those States and political subdivisions, in10 cluding by working with relevant stakeholders in those 

11 States and political subdivisions. 

12 ‘‘SEC. 5245F. PROJECT TYPES. 

13 ‘‘The Bank shall seek to facilitate affordable invest14 ment and procurement, including in low-income commu15 nities and communities of color, in the following key areas: 

16 ‘‘(1) Renewable energy. 

17 ‘‘(2) Energy storage. 

18 ‘‘(3) Transportation, including— 

19 ‘‘(A) low- and zero-emission vehicle infra20 structure; 

21 ‘‘(B) transit-oriented development; and 

22 ‘‘(C) active transportation. 

23 ‘‘(4) Transmission for clean energy. 

24 ‘‘(5) Climate resiliency measures. 


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1 ‘‘(6) Energy and water efficiency, including res2 idential, commercial, and industrial efficiency. 

3 ‘‘(7) Reforestation of degraded land. 

4 ‘‘(8) Agricultural projects. 

5 ‘‘(9) Electrification and decarbonization of in6 dustrial processes. 

7 ‘‘(10) Any other key area identified by the 

8 Board as consistent with the purpose of the Bank 

9 described in section 5245C. 

10 ‘‘SEC. 5245G. CASH FOR CARBON PROGRAM. 

11 ‘‘(a) ESTABLISHMENT.—Pursuant to guidance and 

12 rules issued by the Board, the Bank shall explore the es13 tablishment of a cash for carbon program to remove green14 house gas emissions from the power system. 

15 ‘‘(b) PURPOSE.—Any program established under sub16 section (a) may use market mechanisms to expedite the 

17 retirement of carbon-intensive power generation facilities, 

18 such as coal-fired power generation facilities, acquire car19 bon assets for the purpose of reducing emissions, and in20 vest in communities negatively affected by the loss of those 

21 facilities or assets, including market mechanisms such 

22 as— 

23 ‘‘(1) reverse auctions; 

24 ‘‘(2) securitization; 


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1 ‘‘(3) the offering of bidder’s credits to facilities 

2 that pose significant environmental justice or health 

3 concerns, particularly in low-income, minority, and 

4 distressed neighborhoods (within the meaning of sec5 tion 910 of the Housing and Community Develop6 ment Act of 1992 (12 U.S.C. 2901 note; Public Law 

7 102–550)); and 

8 ‘‘(4) the provision of investment and technical 

9 assistance to the local community and site of a facil10 ity, including, where necessary, in cooperation 

11 with— 

12 ‘‘(A) the Administrator of the Environ13 mental Protection Agency; or 

14 ‘‘(B) other Federal, State, or local authori15 ties. 

16 ‘‘(c) EXPANSION OF PROGRAM.—The Board may ex17 pand any program established under subsection (a) to ad18 ditional carbon-intensive economic sectors beyond power 

19 generation, as determined to be appropriate by the Board. 

20 ‘‘SEC. 5245H. PROJECT AND INVESTMENT ATTRIBUTES. 

21 ‘‘(a) IN GENERAL.—The Bank may— 

22 ‘‘(1) provide financing to regional, State, and 

23 local green banks; and 

24 ‘‘(2) invest directly in projects that reduce 

25 emissions across the United States. 


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1 ‘‘(b) PRIORITY.—In carrying out subsection (a), the 

2 Bank shall— 

3 ‘‘(1) give priority to projects that— 

4 ‘‘(A) provide jobs; 

5 ‘‘(B) mitigate greenhouse gas emissions; 

6 and 

7 ‘‘(C) serve— 

8 ‘‘(i) low-income, minority, and dis9 tressed neighborhoods (within the meaning 

10 of section 910 of the Housing and Commu11 nity Development Act of 1992 (12 U.S.C. 

12 2901 note; Public Law 102–550)); or 

13 ‘‘(ii) low-income, minority, and rural 

14 consumers (within the meaning of the final 

15 rule of the Bureau of Consumer Financial 

16 Protection entitled ‘Ability-to-Repay and 

17 Qualified Mortgage Standards Under the 

18 Truth in Lending Act (Regulation Z)’ (78 

19 Fed. Reg. 6408 (January 30, 2013))); 

20 ‘‘(2) ensure that projects provide access to low21 carbon infrastructure, including clean power, clean 

22 water, and reliable, high-quality transportation, at 

23 affordable rates to families in— 

24 ‘‘(A) low-income, minority, and distressed 

25 neighborhoods (within the meaning of section 


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1 910 of the Housing and Community Develop2 ment Act of 1992 (12 U.S.C. 2901 note; Public 

3 Law 102–550)); or 

4 ‘‘(B) a rural area (as defined in section 

5 343(a) of the Consolidated Farm and Rural 

6 Development Act (7 U.S.C. 1991(a)); and 

7 ‘‘(3) ensure that any residential energy effi8 ciency or distributed clean energy project in which 

9 the Bank invests directly under subsection (a)(2) 

10 and provides financing to a consumer directly or 

11 through a program funded directly or indirectly by 

12 the Bank complies with the requirements of the 

13 Consumer Credit Protection Act (15 U.S.C. 1601 et 

14 seq.), including, in the case of a financial product 

15 that is a residential mortgage loan, any require16 ments of title I of that Act relating to residential 

17 mortgage loans (including any regulations promul18 gated by the Bureau of Consumer Financial Protec19 tion under section 129C(b)(3)(C) of that Act (15 

20 U.S.C. 1639(b)(3)(C))). 

21 ‘‘SEC. 5245I. BOARD OF DIRECTORS. 

22 ‘‘(a) IN GENERAL.—The Bank shall operate under 

23 the direction of a Board of Directors, which shall be com24 posed of 7 members from private, government, nonprofit, 

25 and other groups, of whom— 


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1 ‘‘(1) 1 shall be the Secretary of the Treasury 

2 (or a designee); 

3 ‘‘(2) 1 shall be the Secretary of Energy (or a 

4 designee); 

5 ‘‘(3) 1 shall be the Director of the Bureau of 

6 Consumer Financial Protection (or a designee); and 

7 ‘‘(4) 4 shall be appointed by the President, with 

8 the advice and consent of the Senate, of whom— 

9 ‘‘(A) 1 shall have expertise regarding re10 newable energy or energy efficiency; 

11 ‘‘(B) 1 shall have expertise regarding fi12 nance; 

13 ‘‘(C) 1 shall have expertise in industrial 

14 processes and manufacturing; and 

15 ‘‘(D) 1 shall have expertise regarding sus16 tainable transportation. 

17 ‘‘(b) QUORUM.—Five members of the Board shall 

18 constitute a quorum. 

19 ‘‘(c) BYLAWS.— 

20 ‘‘(1) IN GENERAL.—The Board shall adopt, and 

21 may amend, such bylaws as are necessary for the 

22 proper management and functioning of the Bank. 

23 ‘‘(2) OFFICERS.—In the bylaws described in 

24 paragraph (1), the Board shall— 


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1 ‘‘(A) designate the officers of the Bank; 

2 and 

3 ‘‘(B) prescribe the duties of those officers. 

4 ‘‘(d) TERMS.— 

5 ‘‘(1) INITIAL TERMS.—The initial terms of the 

6 members of the Board shall be 5 years. 

7 ‘‘(2) SUBSEQUENT TERMS.—For terms begin8 ning after the date that is 5 years after the date of 

9 enactment of this section, the Board shall create 

10 staggered terms of 3, 4, and 5 years for members 

11 of the Board. 

12 ‘‘(e) VACANCIES.—Any vacancy on the Board shall 

13 be filled in the same manner in which the original appoint14 ment was made. 

15 ‘‘(f) INTERIM APPOINTMENTS.—A member appointed 

16 to fill a vacancy occurring before the expiration of the 

17 term for which the predecessor of that member was ap18 pointed shall serve for the remainder of the term for which 

19 the predecessor of that member was appointed. 

20 ‘‘(g) REAPPOINTMENT.—A Member of the Board 

21 may be reappointed for not more than 1 additional term 

22 of service as a member of the Board. 

23 ‘‘(h) CONTINUATION OF SERVICE.—A member of the 

24 Board whose term has expired may continue to serve on 


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1 the Board until the date on which a successor member 

2 is appointed and confirmed. 

3 ‘‘(i) CHIEF EXECUTIVE OFFICER.—The Board shall 

4 appoint a Chief Executive Officer who shall be responsible 

5 for— 

6 ‘‘(1) hiring employees of the Bank; 

7 ‘‘(2) establishing the 2 divisions of the Bank 

8 described in sections 5245D and 5245E; and 

9 ‘‘(3) performing any other tasks necessary for 

10 the day-to-day operations of the Bank. 

11 ‘‘(j) ADVISORY COMMITTEE.— 

12 ‘‘(1) ESTABLISHMENT.—The Bank shall estab13 lish an advisory committee, which shall be composed 

14 of not more than 13 members appointed by the 

15 Board on the recommendation of the president of 

16 the Bank. 

17 ‘‘(2) MEMBERS.—Members of the advisory com18 mittee shall be broadly representative of interests 

19 concerned with the environment, production, com20 merce, finance, agriculture, labor, services, and 

21 State government, of whom— 

22 ‘‘(A) not fewer than 3 shall be representa23 tives of the small business community; 


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1 ‘‘(B) not fewer than 2 shall be representa2 tives of the labor community, except that no 2 

3 members may be from the same labor union; 

4 ‘‘(C) not fewer than 2 shall be representa5 tives of the environmental nongovernmental or6 ganization community, except that no 2 mem7 bers may be from the same environmental orga8 nization; 

9 ‘‘(D) not fewer than 2 shall be representa10 tives of the environmental justice nongovern11 mental organization community, except that no 

12 2 members may be from the same environ13 mental organization; and 

14 ‘‘(E) not fewer than 2 shall be representa15 tives of the consumer protection and fair lend16 ing community, except that no 2 members may 

17 be from the same consumer protection or fair 

18 lending organization. 

19 ‘‘(3) MEETINGS.—The advisory committee shall 

20 meet not less frequently than once each quarter. 

21 ‘‘(4) DUTIES.—The advisory committee shall— 

22 ‘‘(A) advise the Bank on the programs un23 dertaken by the Bank; and 

24 ‘‘(B) submit to Congress an annual report 

25 with comments from the advisory committee on 


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1 the extent to which the Bank is meeting the 

2 mandate described in section 5245C, including 

3 any suggestions for improvement. 

4 ‘‘(k) CHIEF RISK OFFICER.— 

5 ‘‘(1) APPOINTMENT.—Subject to the approval 

6 of the Board, the Chief Executive Officer shall ap7 point a Chief Risk Officer from among individuals 

8 with experience at a senior level in financial risk 

9 management, who— 

10 ‘‘(A) shall report directly to the Board; 

11 and 

12 ‘‘(B) shall be removable only by a majority 

13 vote of the Board. 

14 ‘‘(2) DUTIES.—The Chief Risk Officer, in co15 ordination with the audit and risk management com16 mittees established under section 5245K, shall de17 velop, implement, and manage a comprehensive proc18 ess for identifying, assessing, monitoring, and lim19 iting risks to the Bank, including the overall port20 folio diversification of the Bank. 

21 ‘‘SEC. 5245J. ADMINISTRATION. 

22 ‘‘(a) CAPITALIZATION.— 

23 ‘‘(1) IN GENERAL.—The Bank shall be capital24 ized— 


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1 ‘‘(A) with $10,000,000,000 on the date on 

2 which the Bank is established under section 

3 5245B; and 

4 ‘‘(B) with $5,000,000,000 for each of the 

5 5 years following that date. 

6 ‘‘(2) FUNDING.— 

7 ‘‘(A) INITIAL CAPITALIZATION.—On the 

8 date on which the Bank is established under 

9 section 5245B, out of any funds in the Treas10 ury not otherwise appropriated, the Secretary of 

11 the Treasury shall transfer to the Bank the 

12 amount specified in paragraph (1)(A). 

13 ‘‘(B) SUBSEQUENT TRANSFERS.—On Oc14 tober 1 of each fiscal year following the date on 

15 which the Bank is established under section 

16 5245B, out of any funds in the Treasury not 

17 otherwise appropriated, the Secretary of the 

18 Treasury shall transfer to the Bank the amount 

19 specified in paragraph (1)(B). 

20 ‘‘(b) CHARTER.—The Bank shall establish a charter, 

21 the term of which shall be 30 years. 

22 ‘‘(c) OPERATIONAL FUNDS.—To sustain operations, 

23 the Bank shall manage revenue from financing fees, inter24 est, repaid loans, and other types of funding. 


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1 ‘‘(d) REPORT.—The Bank shall submit on a quar2 terly basis to the relevant committees of Congress a report 

3 that describes the financial activities, emissions reduc4 tions, and private capital mobilization metrics of the Bank 

5 for the previous quarter. 

6 ‘‘(e) RESTRICTION.—The Bank shall not accept de7 posits. 

8 ‘‘(f) COMMITTEES.—The Board shall establish com9 mittees and subcommittees, including— 

10 ‘‘(1) an investment committee; and 

11 ‘‘(2) in accordance with section 5245K— 

12 ‘‘(A) a risk management committee; and 

13 ‘‘(B) an audit committee. 

14 ‘‘(g) PRIVATE CONTRIBUTIONS.—The Bank may ac15 cept and use philanthropic funds. 

16 ‘‘SEC. 5245K. ESTABLISHMENT OF RISK MANAGEMENT COM17 MITTEE AND AUDIT COMMITTEE. 

18 ‘‘(a) IN GENERAL.—To assist the Board in fulfilling 

19 the duties and responsibilities of the Board under this 

20 Chapter, the Board shall establish a risk management 

21 committee and an audit committee. 

22 ‘‘(b) DUTIES AND RESPONSIBILITIES OF RISK MAN23 AGEMENT COMMITTEE.—Subject to the direction of the 

24 Board, the risk management committee established under 


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1 subsection (a) shall establish policies for and have over2 sight responsibility of— 

3 ‘‘(1) formulating the risk management policies 

4 of the operations of the Bank; 

5 ‘‘(2) reviewing and providing guidance on oper6 ation of the global risk management framework of 

7 the Bank; 

8 ‘‘(3) developing policies for— 

9 ‘‘(A) investment; 

10 ‘‘(B) enterprise risk management; 

11 ‘‘(C) monitoring; and 

12 ‘‘(D) management of strategic, 

13 reputational, regulatory, operational, develop14 mental, environmental, social, and financial 

15 risks; and 

16 ‘‘(4) developing the risk profile of the Bank, in17 cluding— 

18 ‘‘(A) a risk management and compliance 

19 framework; and 

20 ‘‘(B) a governance structure to support 

21 that framework. 

22 ‘‘(c) DUTIES AND RESPONSIBILITIES OF AUDIT COM23 MITTEE.—Subject to the direction of the Board, the audit 

24 committee established under subsection (a) shall have 

25 oversight responsibility of— 


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1 ‘‘(1) the integrity of— 

2 ‘‘(A) the financial reporting of the Bank; 

3 and 

4 ‘‘(B) the systems of internal controls re5 garding finance and accounting; 

6 ‘‘(2) the integrity of the financial statements of 

7 the Bank; 

8 ‘‘(3) the performance of the internal audit func9 tion of the Bank; and 

10 ‘‘(4) compliance with the legal and regulatory 

11 requirements related to the finances of the Bank. 

12 ‘‘SEC. 5245L. EXTERNAL OVERSIGHT. 

13 ‘‘The Bank shall be subject to the oversight of the 

14 Comptroller of the Currency in accordance with section 

15 5169(c). 

16 ‘‘SEC. 5245M. MAXIMUM CONTINGENT LIABILITY. 

17 ‘‘The maximum contingent liability of the Bank that 

18 may be outstanding at any 1 time shall be not more than 

19 $70,000,000,000 in the aggregate.’’. 

20 (b) EXTERNAL OVERSIGHT.—Section 5169 of the 

21 Revised Statutes (12 U.S.C. 27) is amended by adding 

22 at the end the following: 

23 ‘‘(c) NATIONAL CLIMATE BANK.—The Comptroller 

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1 pose and business model of the National Climate Bank 

2 as an independent, nonprofit, nondepository banking insti3 tution.’’. 

4 (c) INSPECTOR GENERAL OF THE NATIONAL CLI5 MATE BANK.— 

6 (1) IN GENERAL.—Section 8G(a) of the Inspec7 tor General Act of 1978 (5 U.S.C. App.) is amend8 ed— 

9 (A) in paragraph (2), by inserting ‘‘the 

10 National Climate Bank,’’ after ‘‘the National 

11 Archives and Records Administration,’’; and 

12 (B) in paragraph (4)— 

13 (i) in subparagraph (I), by striking 

14 ‘‘and’’ at the end; 

15 (ii) in subparagraph (J), by inserting 

16 ‘‘and’’ after ‘‘Corporation;’’; and 

17 (iii) by adding at the end the fol18 lowing: 

19 ‘‘(K) with respect to the National Climate 

20 Bank, such term means the Board of Directors 

21 of the National Climate Bank;’’. 

22 (2) APPOINTMENT.—Notwithstanding the first 

23 sentence of section 8G(b) of the Inspector General 

24 Act of 1978 (5 U.S.C. App.), not later than 180 

25 days after the National Climate Bank is established 


kjohnson on DSK79L0C42 with BILLS
26 

•S 2057 IS

1 under chapter five of title LXII of the Revised Stat2 utes— 

3 (A) the first Inspector General of the Na4 tional Climate Bank shall be appointed; and 

5 (B) the Office of the Inspector General of 

6 the National Climate Bank shall be established. 

Æ 


kjohnson on DSK79L0C42 with BILLS