‘‘(2) QUALIFIED BUSINESS PURPOSE.—
‘‘(A) IN GENERAL.—The Board shall pre-
scribe regulations defining the term ‘qualified
business purposes’ for purposes of this sub-
section.
‘‘(B) CERTAIN
BUSINESS
PURPOSES
EX-
CLUDED.—In defining the term ‘qualified busi-
ness purposes’ under subparagraph (A), the
Board—
‘‘(i) may not treat extensions of credit
through a credit card account for expendi-
tures for capital improvements, acquisi-
tions of inventory, or other large acquisi-
tions as a qualified business purpose for
credit card accounts; and
‘‘(ii) may treat extensions of credit
through a credit card account for expendi-
tures involving employee travel, entertain-
ment, and subsistence, purchases involving
a small number of items and low-dollar
amounts, and other small acquisitions as
qualified business purposes for credit card
accounts.
‘‘(3) CREDIT CARD DEFINED.—For purposes of
this subsection, the term ‘credit card’ has the same
meaning as in section 103 of the Truth In Lending
Act.’’.
TITLE III—STREAMLINING FED-
ERAL BANKING AGENCY RE-
QUIREMENTS 
AND 
ELIMI-
NATION OF UNNECESSARY OR
OUTDATED REQUIREMENTS
SEC. 301. ‘‘PLAIN ENGLISH’’ REQUIREMENT FOR FEDERAL
BANKING AGENCY RULES.
(a) IN GENERAL.—Each Federal banking agency
shall use plain English in all proposed and final
rulemakings published by the agency in the Federal Reg-
ister after January 1, 2000.
(b) REPORT.—Not later than June 1, 2001, each
Federal banking agency shall submit to the Congress a
report that describes how the agency has complied with
subsection (a).
(c) DEFINITIONS.—For purposes of this section and
section 302, the terms ‘‘Federal banking agency’’ and
‘‘State bank supervisor’’ have the meanings given such
terms in section 3 of the Federal Deposit Insurance Act.
SEC. 302. CALL REPORT SIMPLIFICATION.
(a) MODERNIZATION OF CALL REPORT FILING AND
DISCLOSURE SYSTEM.—In order to reduce the adminis-
trative requirements pertaining to bank reports of condi-
tion, savings association financial reports, and bank hold-
ing company consolidated and parent-only financial state-
ments, and to improve the timeliness of such reports and
statements, the Federal banking agencies (after consulting
with State bank supervisors) shall—
(1) work jointly to develop a system under
which—
(A) insured depository institutions and
their affiliates may file such reports and state-
ments electronically; and
(B) the Federal banking agencies may
make such reports and statements available to
the public electronically; and
(2) not later than July 1, 2001, report to the
Congress and make recommendations for legislation
that would enhance efficiency for filers and users of
such reports and statements.
(b) UNIFORM REPORTS AND SIMPLIFICATION OF IN-
STRUCTIONS.—The Federal banking agencies (after con-
sulting with State bank supervisors) shall, consistent with
the principles of safety and soundness, work jointly—
(1) to adopt a single form for the filing of core
information required to be submitted under Federal
law to all such agencies in the reports and state-
ments referred to in subsection (a); and
(2) to simplify instructions accompanying such
reports and statements and to provide an index to
the instructions that is adequate to meet the needs
of both filers and users.
(c) REVIEW OF CALL REPORT SCHEDULE.—Each
Federal banking agency (after consulting with State bank
supervisors) shall—
(1) review the information required by sched-
ules supplementing the core information referred to
in subsection (b); and
(2) eliminate requirements that are not war-
ranted for reasons of safety and soundness or other
public purposes.
SEC. 303. PURCHASED MORTGAGE SERVICE RIGHTS.
Section 475 of the Federal Depository Insurance Cor-
poration Improvement Act of 1991 (12 U.S.C. 1828 note)
is amended—
(1) in subsection (a)(1), by inserting ‘‘(or such
other percentage exceeding 90 percent but not ex-
ceeding 100 percent, as may be determined under
subsection (b))’’ after ‘‘90 percent’’; and
(2) by redesignating subsections (b) and (c) as
subsections (c) and (d), respectively, and by insert-
ing after subsection (a) the following new subsection:
‘‘(b) AUTHORITY TO DETERMINE PERCENTAGE BY
WHICH TO DISCOUNT VALUE OF SERVICING RIGHTS.—
‘‘(1) IN GENERAL.—Notwithstanding subsection
(a)(1), the appropriate Federal banking agencies
may allow readily marketable purchased mortgage
servicing rights to be valued at more than 90 per-
cent of their fair market value but at not more than
100 percent of such value, if such agencies jointly
make a finding before the end of the 180-day period
beginning on the date of the enactment of the De-
pository Institution Regulatory Streamlining Act of
1999 that such valuation would not have an adverse
affect on the deposit insurance funds or the safety
and soundness of insured depository institutions.
‘‘(2) JOINT
RULEMAKING.—Any regulations
prescribed pursuant to paragraph (1) shall be pre-
scribed jointly by the Federal banking agencies.’’.
SEC. 304. JUDICIAL REVIEW OF RECEIVERSHIP APPOINT-
MENTS.
(a) APPOINTMENT FOR NATIONAL BANK.—Section 2
of the National Bank Receivership Act (12 U.S.C. 191)
is amended—
(1) by inserting ‘‘(a) APPOINTMENT
OF RE-
CEIVER.—’’ before ‘‘The Comptroller’’; and
(2) by adding at the end the following new sub-
section:
‘‘(b) JUDICIAL REVIEW.—Within 30 days after the
appointment under subsection (a) of a receiver for a na-
tional bank, the national bank may bring an action in the
United States district court for the judicial district in
which the home office of the bank is located, or in the
United States District Court for the District of Columbia,
for an order requiring the Comptroller to remove the re-
ceiver, and the court shall, on the merits, dismiss the ac-
tion or direct the Comptroller to remove the receiver.’’.
(b) APPOINTMENT
OF FEDERAL DEPOSIT INSUR-
ANCE CORPORATION.—Section 11(c)(7) of the Federal
Deposit Insurance Act (12 U.S.C. 1811(c)(7)) is amended
to read as follows:
‘‘(7) JUDICIAL REVIEW.—Within 30 days after
the Corporation is appointed as conservator or re-
ceiver for an insured depository institution under
paragraph (4), (9), or (10), the institution may
bring an action in the United States district court
for the judicial district in which the home office of
the institution is located, or in the United States
District Court for the District of Columbia, for an
order requiring the Corporation to be removed as
the conservator or receiver, and the court shall, on
the merits, dismiss the action or direct the Corpora-
tion to be removed as the conservator or receiver.’’.
SEC. 305. ELIMINATION OF OUTDATED STATUTORY MIN-
IMUM CAPITAL REQUIREMENTS.
Section 5138 of the Revised Statutes of the United
States (12 U.S.C. 51) is repealed.
SEC. 306. ELIMINATION OF INDIVIDUAL BRANCH CAPITAL
REQUIREMENTS.
Section 5155(c) of the Revised Statutes of the United
States (12 U.S.C. 36(c)) is amended—
(1) in the second sentence, by striking ‘‘, with-
out regard to the capital requirements of this sec-
tion,’’; and
(2) by striking the third sentence.
SEC. 307. AMENDMENT TO SHAREHOLDER NOTICE PROVI-
SIONS RELATING TO CONSOLIDATIONS AND
MERGERS.
(a) Section 2(a) of the Act of August 17, 1950, enti-
tled ‘‘An Act to provide for the conversion of national
banking associations into and their merger or consolida-
tion with State banks, and for other purposes.’’ (12 U.S.C.
214a(a)) is amended by striking ‘‘registered mail or by
certified’’.
(b) Sections 2(a) and 3(a)(2) of the National Bank
Consolidation and Merger Act (12 U.S.C. 215(a) and
215a(a)(2)) are each amended by striking ‘‘certified or
registered’’ each place it appears.
SEC. 308. PAYMENT OF INTEREST IN RECEIVERSHIPS WITH
SURPLUS FUNDS.
Section 11(d)(10) of the Federal Deposit Insurance
Act (12 U.S.C. 1821(d)(10)) is amended by adding at the
end the following new subparagraph:
‘‘(C) RULEMAKING
AUTHORITY
OF
COR-
PORATION.—The Corporation may prescribe
such rules, including definitions of terms, as it
deems appropriate to establish the interest rate
for or to make payments of postinsolvency in-
terest to creditors holding proven claims against
the receivership estates of insured Federal or
State depository institutions following satisfac-
tion by the receiver of the principal amount of
all creditor claims.’’.
SEC. 309. REPEAL OF DEPOSIT BROKER NOTIFICATION AND
RECORDKEEPING REQUIREMENT.
Section 29A of the Federal Deposit Insurance Act
(12 U.S.C. 1831f–1) is repealed.
SEC. 310. ALLOWANCES FOR CERTAIN EXTENSIONS OF
CREDIT TO EXECUTIVE OFFICERS.
Section 22(g) of the Federal Reserve Act (12 U.S.C.
375a) is amended—
(1) by redesignating paragraphs (6) through
(10) as paragraphs (8) through (12), respectively;
(2) by inserting after paragraph (5) the fol-
lowing new paragraphs:
‘‘(6) A member bank may extend to any execu-
tive officer of the bank a home equity line of credit
which does not exceed $100,000 and is secured by
a lien on the primary residence of the executive offi-
cer, to the extent that the aggregate amount of such
lien and all other outstanding extensions of credit
secured by liens on such primary residence does not
exceed the appraised value of such residence.
‘‘(7) A member bank may extend credit to any
executive officer of the bank in an amount not to ex-
ceed the greater of—
‘‘(A) the amount which is the lesser of 2.5
percent of the aggregate amount of capital and
unimpaired surplus of the bank or $100,000; or
‘‘(B) $25,000,
if, at the time the credit is extended, the extension
of credit is secured by readily marketable assets that
have a fair market value of not less than twice the
amount of credit extended.’’; and
(3) in paragraph (8) (as so redesignated by
paragraph (1) of this section), by striking ‘‘(3) and
(4)’’ and inserting ‘‘(3), (4), (6), and (7)’’.
SEC. 311. FEDERAL RESERVE ACT LENDING LIMITS.
Section 11(m) of the Federal Reserve Act (12 U.S.C.
248(m)) is amended to read as follows:
‘‘(m) [Repealed].’’.
SEC. 312. REPEAL OF BANK HOLDING COMPANY ACT PRO-
VISION LIMITING SAVINGS BANK LIFE INSUR-
ANCE.
Section 3(f) of the Bank Holding Company Act of
1956 (12 U.S.C. 1842(f)) is amended to read as follows:
‘‘(f) [Repealed].’’.
SEC. 313. AMENDMENT TO SECTION 5137 OF THE REVISED
STATUTES OF THE UNITED STATES.
(a) IN GENERAL.—Section 5137 of the Revised Stat-
utes of the United States (12 U.S.C. 29) is amended by
adding at the end the following new subsection:
‘‘(d) ADDITIONAL EXTENSION FOR PASSIVE INVEST-
MENTS IN SUBSURFACE RIGHTS AND INTERESTS.—
‘‘(1) IN GENERAL.—With respect to subsurface rights
of real estate, and interests in such rights, which a na-
tional bank holds pursuant to the prior approval of the
Comptroller of the Currency under subsection (b), the na-
tional bank may apply for, and the Comptroller of the Cur-
rency may approve, possession by the bank of such rights
and interests for an additional period not to exceed 5 years
if—
‘‘(A) the national bank acquired the prop-
erty pursuant to the paragraphs designated the
‘Second’, ‘Third’, and ‘Fourth’ of subsection
(a);
‘‘(B) the national bank—
‘‘(i) holds the rights or interest pas-
sively; and
‘‘(ii) is not engaged in production, ex-
traction, exploration, or other active use of
the rights or interests;
‘‘(C) the national bank—
‘‘(i) values the subsurface rights and
interests in such rights on the books of the
bank for no more than a nominal amount;
and
‘‘(i) separately discloses the aggregate
amount of earnings from the rights and in-
terests in the annual financial statements
of the bank; and
‘‘(D) the Comptroller of the Currency de-
termines that the possession of such rights and
interests is not inconsistent with the safety and
soundness of the national bank.
‘‘(2) AUTHORITY
OF
COMPTROLLER
OF
THE
CURRENCY TO REQUIRE DIVESTITURE.—The Comp-
troller of the Currency may order, at any time, a na-
tional bank which holds subsurface rights of real es-
tate, and interests in such rights, pursuant to para-
graph (1) to divest such rights and interests if the
Comptroller determines that continued ownership of
such rights or interests is detrimental to the na-
tional bank.’’.
(b) TECHNICAL AMENDMENTS TO REDESIGNATE
UNDESIGNATED PARAGRAPHS AS SUBSECTIONS.—Section
5137 of the Revised Statutes of the United States (12
U.S.C. 29) is amended—
(1) in the 1st undesignated paragraph by strik-
ing ‘‘5137. A national banking association may pur-
chase’’ and inserting the following:
‘‘SEC. 5137. POWER TO HOLD REAL ESTATE.
‘‘(a) IN GENERAL.—A national banking association
may purchase’’;
(2) in the 3d undesignated paragraph, by strik-
ing ‘‘For real estate in the possession of a national
banking association upon application’’ and inserting
the following:
‘‘(b) EXTENSION OF DIVESTMENT PERIOD AUTHOR-
IZED FOR INELIGIBLE REAL ESTATE.—For real estate in
the possession of a national banking association upon ap-
plication’’; and
(3) in the 4th undesignated paragraph, by
striking ‘‘Notwithstanding the five-year holding limi-
tation of this section’’ and inserting the following:
‘‘(c) EXTENSION OF HOLDING PERIOD UNDER CER-
TAIN CIRCUMSTANCES.—Notwithstanding the 5-year hold-
ing period limitation contained in subsection (a)’’.
TITLE IV—DISCLOSURE
SIMPLIFICATION
SEC. 401. ALTERNATIVE DISCLOSURE FOR VARIABLE RATE,
OPEN-ENDED HOME SECURED CREDIT.
Section 127A(a)(2)(G) of the Truth in Lending Act
(15 U.S.C. 1637a) is amended by inserting ‘‘or, at the
option of the creditor, a statement that periodic payments
may substantially increase or decrease’’ before the semi-
colon.
TITLE V—BANK EXAMINATION
REPORT PRIVILEGE ACT
SEC. 501. AMENDMENT TO THE FEDERAL DEPOSIT INSUR-
ANCE ACT.
The Federal Deposit Insurance Act (12 U.S.C. 1811
et seq.) is amended by adding at the end the following
new section:
‘‘SEC. 45. BANK SUPERVISORY PRIVILEGE.
‘‘(a) DEFINITIONS.—For purposes of this section, the
following definitions shall apply:
‘‘(1) DEPOSITORY INSTITUTION.—The term ‘de-
pository institution’ includes—
‘‘(A) any institution which is treated in the
same manner as an insured depository institu-
tion under paragraph (3), (4), (5), or (9) of
section 8(b); and
‘‘(B) any subsidiary or other affiliate of an
insured depository institution or an institution
described in subparagraph (A).
‘‘(2) SUPERVISORY
PROCESS.—The term ‘su-
pervisory process’ means any activity engaged in by
a Federal banking agency to carry out the official
responsibilities of the agency with regard to the reg-
ulation or supervision of depository institutions.
‘‘(3) CONFIDENTIAL
SUPERVISORY
INFORMA-
TION.—Subject to paragraph (4), the term ‘con-
fidential supervisory information’ means any of the
following information, or any portion of any such in-
formation, which is treated as, or considered to be,
confidential information by a Federal banking agen-
cy, regardless of the medium in which the informa-
tion is conveyed or stored:
‘‘(A) Any report of examination, inspec-
tion, visitation, or investigation, and informa-
tion prepared or collected by a Federal banking
agency in connection with the supervisory proc-
ess, including any computer file, work paper, or
similar document.
‘‘(B) Any correspondence of communica-
tion from a Federal banking agency to a deposi-
tory institution as part of an examination, in-
spection, visitation, or investigation by a Fed-
eral banking agency.
‘‘(C) Any correspondence, communication,
or document, including any compliance and
other reports, created by a depository institu-
tion in response to any request, inquiry, or di-
rective from a Federal banking agency in con-
nection with any examination, inspection, visita-
tion, or investigation and provided to a Federal
banking agency.
‘‘(D) Any record of a Federal banking
agency to the extent it contains information de-
rived from any report, correspondence, commu-
nication or other information described in sub-
paragraph (A), (B), or (C).
(4) 
ORDINARY
BUSINESS
RECORDS
EX-
CLUDED.—The term ‘confidential supervisory infor-
mation’ shall not include any book or record in the
possession of the depository institution routinely pre-
pared by the depository institution and maintained
in the ordinary course of business or any informa-
tion required to be made publicly available by any
Federal law or regulation.
‘‘(b) BANK SUPERVISORY PRIVILEGE.—
‘‘(1) PRIVILEGE ESTABLISHED.—
‘‘(A) IN GENERAL.—All confidential super-
visory information shall be the property of the
Federal banking agency that created or re-
quested the information and shall be privileged
from disclosure to any other person.
‘‘(B) PROHIBITION
ON
UNAUTHORIZED
DISCLOSURES.—No person in possession of con-
fidential supervisory information may disclose
such information, in whole or in part, without
the prior authorization of the Federal banking
agency that created or requested the informa-
tion, except for a disclosure made in published
statistical material that does not disclose, either
directly or when used in conjunction with pub-
licly available information, the affairs of any
person.
‘‘(C) 
AGENCY
WAIVER.—The 
Federal
banking agency may waive, in whole or in part,
in the discretion of the agency, any privilege es-
tablished under this paragraph.
‘‘(2) EXCEPTION.—No provision of paragraph
(1) shall be construed as preventing access to con-
fidential supervisory information by duly authorized
committees of the United States Congress or the
Comptroller General of the United States.
‘‘(c) TREATMENT OF STATE AND FOREIGN SUPER-
VISORY INFORMATION.—In any proceeding before a court
of the United States, in which a person seeks to compel
production or disclosure by a State bank supervisor, for-
eign bank regulatory or supervisory authority, Federal
banking agency, or other person, of information or a docu-
ment prepared or collected by a State bank supervisor or
foreign bank regulatory or supervisory authority that
would, had they been prepared or collected by a Federal
banking agency, be confidential supervisory information
for purposes of this section, the information or document
shall be privileged to the same extent that the information
and documents of Federal banking agencies are privileged
under this Act.
‘‘(d) OTHER PRIVILEGES NOT WAIVED BY DISCLO-
SURE TO BANKING AGENCY.—The submission by a depos-
itory institution of any information to a Federal banking
agency, a State bank supervisor, or a foreign banking au-
thority for any purpose in the course of the supervisory
process of such agency or supervisor shall not be construed
as waiving, destroying, or otherwise affecting any privilege
such institution may claim with respect to such informa-
tion under Federal or State law.
‘‘(e) DISCOVERY
AND DISCLOSURE
OF INFORMA-
TION.—
‘‘(1) INFORMATION
AVAILABLE
ONLY
FROM
BANKING AGENCY.—
‘‘(A) IN GENERAL.—A person seeking dis-
covery or disclosure, in whole or in part, of con-
fidential supervisory information may not seek
to obtain such information through subpoena,
discovery procedures, or other process from any
person, except that such information may be
sought in accordance with this section from the
Federal banking agency that created or re-
quested the information.
‘‘(B) REQUESTS SUBMITTED TO BANKING
AGENCY.—Any request for discovery or disclo-
sure of confidential supervisory information
shall be made to the Federal banking agency
that created or requested the information,
which shall determine within a reasonable time
period whether to disclose such information
pursuant to procedures and criteria established
in regulations.
‘‘(2) EXCLUSIVE
FEDERAL
COURT
JURISDIC-
TION OVER DISPUTES.—
‘‘(A) IN GENERAL.—Federal courts shall
have exclusive jurisdiction over actions or pro-
ceedings in which any party seeks to compel
disclosure of confidential supervisory informa-
tion.
‘‘(B) JUDICIAL REVIEW.—Judicial review
of the final action of a Federal banking agency
with regard to the disposition of a request for
confidential supervisory information shall be be-
fore a district court of the United States of
competent jurisdiction, subject to chapter 7 of
part I of title 5, United States Code.
‘‘(C) RIGHT TO APPEAL.—Any court order
that compels production of confidential super-
visory information may be immediately appealed
by the Federal banking agency and the order
compelling production shall be automatically
stayed, pending the outcome of such appeal.
‘‘(f) SUBPOENAS.—
‘‘(1) AUTHORITY TO INTERVENE.—In the case
of any action or proceeding to compel compliance
with a subpoena, order, discovery request, or other
judicial or administrative process with respect to any
confidential supervisory information relating to any
depository institution, a Federal banking agency and
the depository institution may intervene in such ac-
tion or proceeding for the purpose of—
‘‘(A) enforcing the limitations established
in paragraph (1) of subsections (b) and (e);
‘‘(B) seeking the withdrawal of any com-
pulsory process with respect to such informa-
tion; and
‘‘(C) registering appropriate objections
with respect to the action or proceeding to the
extent the action or proceeding relates to or in-
volves such information.
‘‘(2) RIGHT TO APPEAL.—Any court order that
compels production of confidential supervisory infor-
mation may be immediately appealed by the Federal
banking agency and the order compelling production
shall be automatically stayed, pending the outcome
of such appeal.
‘‘(g) REGULATIONS.—
‘‘(1) AUTHORITY TO PRESCRIBE.—Each Fed-
eral banking agency may prescribe such regulations
as the agency considers to be appropriate, after con-
sultation with the other Federal banking agencies
and the National Credit Union Administration
Board, to carry out the purposes of this section.
‘‘(2) AUTHORITY
TO
REQUIRE
NOTICE.—Any
regulations prescribed by a Federal banking agency
under paragraph (1) may require any person in pos-
session of confidential supervisory information to no-
tify the Federal banking agency whenever the person
is served with a subpoena, order, discovery request,
or other judicial or administrative process requiring
the personal attendance of such person as a witness
or requiring the production of such information in
any proceeding.
‘‘(h) ACCESS IN ACCORDANCE WITH REGULATIONS
AND ORDERS.—Notwithstanding any other provision of
this section, the Federal banking agency may, without
waiving any privilege, authorize access to confidential su-
pervisory information for any appropriate governmental,
law enforcement, or public purpose in accordance with
agency regulations or orders.’’.
SEC. 502. AMENDMENT TO THE FEDERAL CREDIT UNION
ACT.
Title II of the Federal Credit Union Act (12 U.S.C.
1781 et seq.) is amended by adding at the end the fol-
lowing new section:
‘‘SEC. 215. CREDIT UNION SUPERVISORY PRIVILEGE.
‘‘(a) DEFINITIONS.—For purposes of this section, the
following definitions shall apply:
‘‘(1) SUPERVISORY
PROCESS.—The term ‘su-
pervisory process’ means any activity engaged in by
the Administration to carry out the official respon-
sibilities of the Administration with regard to the
regulation or supervision of credit unions.
‘‘(2) CONFIDENTIAL
SUPERVISORY
INFORMA-
TION.—The term ‘confidential supervisory informa-
tion’ means any of the following information, or any
portion of any such information, which is treated as,
or considered to be, confidential information by the
Administration, regardless of the medium in which
the information is conveyed or stored:
‘‘(A) Any report of examination, inspec-
tion, visitation, or investigation, and informa-
tion prepared or collected by the Administration
in connection with the supervisory process, in-
cluding any computer file, work paper, or simi-
lar document.
‘‘(B) Any correspondence or communica-
tion from the Administration to a credit union
arising from or relating to an examination, in-
spection, visitation, or investigation by the Ad-
ministration.
‘‘(C) Any correspondence, communication,
or document, including any compliance and
other reports, created by a credit union in re-
sponse to any request, inquiry, or directive from
the Administration in connection with any ex-
amination, inspection, visitation, or investiga-
tion and provided to the Administration, other
than any book or record in the possession of the
credit union routinely prepared by the credit
union and maintained in the ordinary course of
business or any information required to be
made publicly available by any Federal law or
regulation.
‘‘(D) Any record of the Administration to
the extent it contains information derived from
any report, correspondence, communication or
other information described in subparagraph
(A), (B), or (C).
‘‘(b) CREDIT UNION SUPERVISORY PRIVILEGE.—
‘‘(1) PRIVILEGE ESTABLISHED.—
‘‘(A) IN GENERAL.—All confidential super-
visory information shall be the property of the
Administration and shall be privileged from dis-
closure to any other person.
‘‘(B) PROHIBITION
ON
UNAUTHORIZED
DISCLOSURES.—No person in possession of con-
fidential supervisory information may disclose
such information, in whole or in part, without
the prior authorization of the Administration,
except for a disclosure made in published statis-
tical material that does not disclose, either di-
rectly or when used in conjunction with publicly
available information, the affairs of any person.
‘‘(C) AGENCY WAIVERS.—The Board may
waive, in whole or in part, in the discretion of
the Board, any privilege established under this
paragraph.
‘‘(2) EXCEPTION.—No provision of paragraph
(1) shall be construed as preventing access to con-
fidential supervisory information by duly authorized
committees of the United States Congress or the
Comptroller General of the United States.
‘‘(c) OTHER PRIVILEGES NOT WAIVED BY DISCLO-
SURE TO ADMINISTRATION.—The submission by a credit
union of any information to the Administration or a State
credit union supervisor for any purpose in the course of
the supervisory process of the Administration or such su-
pervisor shall not be construed as waiving, destroying, or
otherwise affecting any privilege such institution may
claim with respect to such information under Federal or
State law.
‘‘(d) DISCOVERY
AND DISCLOSURE
OF INFORMA-
TION.—
‘‘(1) INFORMATION AVAILABLE ONLY FROM AD-
MINISTRATION.—
‘‘(A) IN GENERAL.—A person seeking dis-
covery or disclosure, in whole or in part, of con-
fidential supervisory information may not seek
to obtain such information through subpoena,
discovery procedures, or other process from any
person, except that such information may be
sought in accordance with this section from the
Administration.
‘‘(B) REQUEST SUBMITTED TO ADMINIS-
TRATION.—Any request for discovery or disclo-
sure of confidential supervisory information
shall be made in the Administration, which
shall determine within a reasonable time period
whether to disclose such information pursuant
to procedures and criteria established in regula-
tions.
‘‘(2) EXCLUSIVE
FEDERAL
COURT
JURISDIC-
TION OVER DISPUTES.—
‘‘(A) IN GENERAL.—Federal courts shall
have exclusive jurisdiction over actions or pro-
ceedings in which any party seeks to compel
disclosure of confidential supervisory informa-
tion.
‘‘(B) JUDICIAL REVIEW.—Judicial review
of the final action of the Administration with
regard to the disposition of a request for con-
fidential supervisory information shall be before
a district court of the United States of com-
petent jurisdiction, subject to chapter 7 of part
I of title 5, United States Code.
‘‘(C) RIGHT TO APPEAL.—Any court order
that compels production of confidential super-
visory information may be immediately appealed
by the Administration and the order compelling
production shall be automatically stayed, pend-
ing the outcome of such appeal.
‘‘(e) SUBPOENAS.—
‘‘(1) AUTHORITY TO INTERVENE.—In the case
of any action or proceeding to compel compliance
with a subpoena, order, discover request, or other ju-
dicial or administrative process with respect to any
confidential supervisory information relating to any
credit union, the Administration and the credit
union may intervene in such action or proceeding for
the purpose of—
‘‘(A) enforcing the limitations established
in paragraph (1) of subsections (b) and (d);
‘‘(B) seeking the withdrawal of any com-
pulsory process with respect to such informa-
tion; and
‘‘(C) registering appropriate objections
with respect to the action or proceeding to the
extent the action or proceeding relates to or in-
volves such information.
‘‘(2) RIGHT TO APPEAL.—Any court order that
compels production of confidential supervisory infor-
mation may be immediately appealed by the Admin-
istration and the order compelling production shall
be automatically stayed, pending the outcome of
such appeal.
‘‘(f) REGULATIONS.—
‘‘(1) AUTHORITY TO PRESCRIBE.—The Board
may prescribe such regulations as the Board con-
siders to be appropriate, after consultation with the
Federal banking agencies (as defined in section 3 of
the Federal Deposit Insurance Act), to carry out the
purposes of this section.
‘‘(2) AUTHORITY
TO
REQUIRE
NOTICE.—Any
regulations prescribed by the Administration under
paragraph (1) may require any person in possession
of confidential supervisory information to notify the
Administration whenever the person is served with a
subpoena, order, discovery request, or other judicial
or administrative process requiring the personal at-
tendance of such person as a witness or requiring
the production of such information in any pro-
ceeding.
‘‘(g) ACCESS IN ACCORDANCE WITH REGULATIONS
AND ORDERS.—Notwithstanding any other provision of
this section, the Administration may, without waiving any
privilege, authorize access to confidential supervisory in-
formation for any appropriate governmental, law enforce-
ment, or public purpose in accordance with agency regula-
tions or orders.’’.
TITLE VI—TECHNICAL
CORRECTIONS
SEC. 601. TECHNICAL CORRECTION RELATING TO DEPOSIT
INSURANCE FUNDS.
(a) IN GENERAL.—Section 2707 of the Deposit In-
surance Funds Act of 1996 (12 U.S.C. 1821 note; Public
Law 104–208; 110 Stat. 3009–496) is amended by strik-
ing ‘‘7(b)(2)(C)’’ and inserting ‘‘7(b)(2)(E)’’.
(b) EFFECTIVE DATE.—The amendment made by
subsection (a) shall be deemed to have the same effective
date as section 2707 of the Deposit Insurance Funds Act
of 1996.
SEC. 602. RULES FOR CONTINUATION OF DEPOSIT INSUR-
ANCE FOR MEMBER BANKS CONVERTING
CHARTERS.
Section 8(o) of the Federal Deposit Insurance Act
(12 U.S.C. 1818(o)) is amended in the second sentence,
by striking ‘‘subsection (d) of section 4’’ and inserting
‘‘subsection (c) or (d) of section 4’’.
SEC. 603. WAIVER OF CITIZENSHIP REQUIREMENT FOR NA-
TIONAL BANK DIRECTORS.
Section 5146 of the Revised Statutes of the United
States (12 U.S.C. 72) is amended in the 1st sentence, by
inserting before the period ‘‘, and waive the requirement
of citizenship in the case of not more than a minority of
the total number of directors of a national bank which
is an affiliate (as defined in section 3(w)(6) of the Federal
Deposit Insurance Act) of a foreign bank’’.
SEC. 604. TECHNICAL AMENDMENT TO PROHIBITION ON
COMPTROLLER 
INTERESTS 
IN 
NATIONAL
BANKS.
Section 329 of the Revised Statutes of the United
States (12 U.S.C. 11) is amended by striking ‘‘to be inter-
ested in any association issuing national currency under
the laws of the United States’’ and inserting ‘‘to hold an
interest in any national bank’’.
SEC. 605. APPLICABILITY OF LIMITATION TO PRIOR IN-
VESTMENTS.
(a) IN GENERAL.—Section 18(s) of the Federal De-
posit Insurance Act (12 U.S.C. 1828(s)) is amended by
adding at the end the following new paragraph:
‘‘(5) CERTAIN
INVESTMENTS.—Paragraph (1)
shall not apply to investments lawfully made before
April 11, 1996, by a depository institution in a Gov-
ernment-sponsored enterprise.’’.
(b) EFFECTIVE DATE.—The amendment made by
subsection (a) shall apply as if such amendment had been
included in the amendment made by section 2615(b) of
the Economic Growth and Regulatory Paperwork Reduc-
tion Act of 1996 as of the effective date of such section.
TITLE VII—SPECIAL RESERVE
FUNDS
SEC. 701. ABOLITION OF SPECIAL RESERVE FUNDS.
(a) SAIF SPECIAL RESERVE.—Section 11(a)(6) of
the Federal Deposit Insurance Act (12 U.S.C. 1821(a)(6))
is amended by striking subparagraph (L).
(b) SPECIAL RESERVE OF THE DEPOSIT INSURANCE
FUND.—Section 2704 of the Deposit Insurance Funds
Act of 1996 is amended—
(1) by striking subsection (b);
(2) by striking paragraph (4) of subsection (d);
(3) in subsection (d)(6)(C)(i), by striking ‘‘(6)
and (7)’’ and inserting ‘‘(5), (6), and (7)’’; and
(4) in subsection (d)(6)(C)(ii), by striking ‘‘(6)’’
and inserting ‘‘(5)’’.
(c) EFFECTIVE DATE.—The amendments made by
this section shall apply as if such amendments had been
included in the Deposit Insurance Funds Act of 1996 as
of the date of the enactment of such Act.
Æ