I
104TH CONGRESS
1ST SESSION
H. R. 1471
To provide for sufficient funding to cover the costs of the Financing Corpora-
tion, to provide funds to carry out the purposes of the Savings Associa-
tion Insurance Fund, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
APRIL 7, 1995
Mr. LAFALCE introduced the following bill; which was referred to the
Committee on Banking and Financial Services
A BILL
To provide for sufficient funding to cover the costs of the
Financing Corporation, to provide funds to carry out
the purposes of the Savings Association Insurance Fund,
and for other purposes.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Financing Corporation
and Savings Association Insurance Fund Amendments of
1995’’.
SEC. 2. AVAILABILITY OF RTC FUNDS TO RECAPITALIZE
SAIF.
(a) IN GENERAL.—Section 11(a)(6)(F) of the Fed-
eral Deposit Insurance Act (12 U.S.C. 1821(a)(6)(F)) is
amended in the provisions of such subparagraph preceding
clause (i)—
(1) by inserting ‘‘to cover losses incurred, or
which can reasonably be expected to be incurred, by
the Fund or to increase the reserve ratio of the
Fund’’ after ‘‘as needed by the Fund’’; and
(2) by inserting a period after ‘‘not needed by
the Resolution Trust Corporation’’ and striking ev-
erything that follows through the end of the sub-
paragraph.
(b) TECHNICAL AND CONFORMING AMENDMENT.—
Section 11(a)(6)(K) of the Federal Deposit Insurance Act
(12 U.S.C. 1821(a)(6)(K)) is amended by striking ‘‘to
cover losses incurred by the Fund’’ and inserting ‘‘to cover
losses incurred, or which can reasonably be expected to
be incurred, by the Fund or to increase the reserve ratio
of the Fund’’.
SEC. 3. SAIF PAYMENTS TO FICO.
(a) IN GENERAL.—Section 21(f) of the Federal
Home Loan Bank Act (12 U.S.C. 1441(f)) is amended
by redesignating paragraph (3) as paragraph (4) and in-
serting after paragraph (2) the following new paragraph:
‘‘(3) PAYMENTS FROM SAIF.—In addition to the
amounts available pursuant to paragraphs (1) and
(2), the Federal Deposit Insurance Corporation shall
make available to the Financing Corporation such
amounts as may be prudently transferred from the
Savings Association Insurance Fund, taking into ac-
count funds available to such Fund pursuant to sec-
tion 11(a)(6)(F) of the Federal Deposit Insurance
Act, to cover the interest payments, issuance costs,
and custodial fees on obligations issued by the Fi-
nancing Corporation.’’.
(b) TECHNICAL AND CONFORMING AMENDMENT.—
Section 11(a)(6) of the Federal Deposit Insurance Act (12
U.S.C. 1821(a)(6)) is amended by adding at the end the
following new subparagraph:
‘‘(L) AMOUNTS AVAILABLE FOR PAYMENTS
TO FICO.—Notwithstanding any other provision
of this subsection, amounts in the Savings As-
sociation Insurance Fund shall be available for
payment to the Financing Corporation in ac-
cordance with section 21(f)(3) of the Federal
Home Loan Bank Act.’’.
SEC. 4. REPEAL OF MINIMUM SAIF ASSESSMENT RULE.
Section 7(b)(2) of the Federal Deposit Insurance Act
(12 U.S.C. 1817(b)(2)) is amended by striking subpara-
graph (E).
SEC. 5. CLARIFICATION THAT CERTAIN INSTITUTIONS IN-
SURED BY THE SAIF ARE SUBJECT TO FICO
ASSESSMENTS.
Section 21(f)(2) of the Federal Home Loan Bank Act
(12 U.S.C. 1441(f)(2)) is amended by inserting after
‘‘Savings Association Insurance Fund member’’ the fol-
lowing: ‘‘, including any Savings Association Insurance
Fund member referred to in section 5(d)(2)(G) of the Fed-
eral Deposit Insurance Act and, in the case of any Bank
Insurance Fund member which has deposits which are
treated (under section 5(d)(3) of such Act) as deposits
which are insured by the Savings Association Insurance
Fund, the adjusted attributable deposit amount with re-
spect to such member as determined under subparagraph
(C) of section 5(e)(3) of such Act for purposes of subpara-
graph (B)(i) of such section,’’.
SEC. 6. LIMIT ON DIFFERENTIAL BETWEEN ASSESSMENT
RATES IMPOSED ON FORMER BIF MEMBERS
AND FORMER SAIF MEMBERS.
Section 7(b)(2) of the Federal Deposit Insurance Act
(12 U.S.C. 1817(b)(2)) is amended by inserting after
paragraph (G) the following new subparagraph:
‘‘(H) CAP
ON
DIFFERENTIAL
BETWEEN
FORMER BIF AND SAIF MEMBERS.—The aver-
age assessment rate under the risk-based as-
sessment system for insured depository institu-
tions which, as of December 31, 1994, were
Savings Association Insurance Fund members,
including the special assessment under para-
graph (9), shall not exceed the average assess-
ment rate under the risk-based assessment sys-
tem for insured depository institutions which,
as of December 31, 1994, were Bank Insurance
Fund members by more than 9 basis points.’’.
Æ