serting ‘‘when necessary, and only to the extent nec-
essary’’ after ‘‘insured depository institutions’’.
(b) 
LIMITATION
ON
ASSESSMENT.—Section
7(b)(2)(A)(iii) of the Federal Deposit Insurance Act (12
U.S.C. 1817(b)(2)(A)(iii)) is amended to read as follows:
‘‘(iii) LIMITATION ON ASSESSMENT.—
Except as provided in clause (v), the Board
of Directors shall not set semiannual as-
sessments with respect to a deposit insur-
ance fund in excess of the amount need-
ed—
‘‘(I) to maintain the reserve ratio
of the fund at the designated reserve
ratio; or
‘‘(II) if the reserve ratio is less
than the designated reserve ratio, to
increase the reserve ratio to the des-
ignated reserve ratio.’’.
(c) EXCEPTION TO LIMITATION ON ASSESSMENTS.—
Section 7(b)(2)(A) of the Federal Deposit Insurance Act
(12 U.S.C. 1817(b)(2)(A)) is amended by adding at the
end the following new clause:
‘‘(v) EXCEPTION TO LIMITATION ON
ASSESSMENTS.—The Board of Directors
may set semiannual assessments in excess
of the amount permitted under clauses (i)
and (iii) with respect to insured depository
institutions that exhibit financial, oper-
ational, or compliance weaknesses ranging
from moderately severe to unsatisfactory,
or are not well capitalized, as that term is
defined in section 38.’’.
Subtitle G—Miscellaneous
Provisions
SEC. 161. DEFINITIONS.
The following definitions shall apply for purposes of
this title and title II:
(1) 
BANK
INSURANCE
FUND.—The 
term
‘‘Bank Insurance Fund’’ means the fund established
pursuant to section (11)(a)(5)(A) of the Federal De-
posit Insurance Act, as that section existed on the
day before the date of enactment of this Act.
(2) MEMBER
OF
BIF
AND
SAIF.—The terms
‘‘Bank Insurance Fund member’’ and ‘‘Savings As-
sociation Insurance Fund member’’ have the same
meanings as in section 7(l) of the Federal Deposit
Insurance Act.
(3) DEFINITIONS FROM FEDERAL DEPOSIT IN-
SURANCE ACT.—The terms ‘‘bank’’, ‘‘Board of Di-
rectors’’, ‘‘Corporation’’, ‘‘insured depository institu-
tion’’, ‘‘Federal savings association’’, ‘‘savings asso-
ciation’’, ‘‘State savings bank’’, and ‘‘State deposi-
tory institution’’ have the same meanings as in sec-
tion 3 of the Federal Deposit Insurance Act.
(4) DEPOSIT
INSURANCE
FUND.—The term
‘‘Deposit Insurance Fund’’ means the fund estab-
lished under section 11(a)(4) of the Federal Deposit
Insurance Act (as amended by section 121(d) of this
Act).
(5) DEPOSITORY INSTITUTION HOLDING COM-
PANY.—The term ‘‘depository institution holding
company’’ has the same meaning as in section 3 of
the Federal Deposit Insurance Act.
(6) DESIGNATED RESERVE RATIO.—The term
‘‘designated reserve ratio’’ has the same meaning as
in section 7(b)(2)(A)(iv) of the Federal Deposit In-
surance Act.
(7) SAIF.—The term ‘‘Savings Association In-
surance Fund’’ means the fund established pursuant
to section 11(a)(6)(A) of the Federal Deposit Insur-
ance Act, as that section existed on the day before
the date of enactment of this Act.
(8) SAIF-ASSESSABLE
DEPOSIT.—The term
‘‘SAIF-assessable deposit’’—
(A) means—
(i) a deposit that is subject to assess-
ment for purposes of the Savings Associa-
tion Insurance Fund under the Federal
Deposit Insurance Act; and
(ii) a deposit that section 5(d)(3) of
the Federal Deposit Insurance Act treats
as insured by the Savings Association In-
surance Fund; and
(B) includes any deposit assumed after
March 31, 1995, if the insured depository insti-
tution, the deposits of which are assumed, is
not an insured depository institution when the
special assessment is imposed under section
101(a).
TITLE II—TRANSITIONAL
PROVISIONS
SEC. 201. APPLICABILITY OF FICO ASSESSMENTS TO CER-
TAIN 
SAIF-ASSESSABLE 
DEPOSITS 
UNTIL
MERGER OF BIF AND SAIF.
Notwithstanding the definition in section 21(k)(1) of
the Federal Home Loan Bank Act, during the period be-
ginning on the 1st day of the 1st quarter which begins
after the date of the enactment of this Act and ending
on the date on which subtitle C of title I takes effect, any
Bank Insurance Fund member which has SAIF-assessable
deposits shall be treated as a Savings Association Insur-
ance Fund member to the extent of such SAIF-assessable
deposits for purposes of section 21(f)(2) of such Act and
shall be subject to assessments under such section with
respect to such deposits.
SEC. 202. DEPOSIT INSURANCE FUND CROSS GUARANTEES.
(a) IN
GENERAL.—Notwithstanding paragraphs
(4)(A), (5)(C), and (6)(B) of section 11(a) of the Federal
Deposit Insurance Act or any other provision of law, dur-
ing the period beginning on the date of the enactment of
this Act and ending on the earlier of the date the balance
in the Savings Association Insurance Fund first equals or
exceeds the designated reserve ratio applicable to such
fund or the date on which subtitle C takes effect—
(1) the balance in the Bank Insurance Fund
shall be available to cover, to the extent provided in
subsection (b), losses incurred by the Savings Asso-
ciation Insurance Fund if the balance in the Savings
Association Insurance Fund is insufficient to cover
such losses; and
(2) the balance in the Savings Association In-
surance Fund shall be available to cover losses in-
curred by the Bank Insurance Fund if the balance
in the Bank Insurance Fund is insufficient to cover
such losses.
(b) MAXIMUM AMOUNT OF GUARANTEE.—The total
amount of funds available for transfer from the Bank In-
surance Fund to the Savings Association Insurance Fund
pursuant to subsection (a)(1) shall not exceed the amount
equal to—
(1) the amount which would be in the Savings
Association Insurance Fund, as of the date of the
enactment of this Act, if the reserve ratio of fund
were equal to the designated reserve ratio as of such
date; minus
(2) the amount in the Savings Association In-
surance Fund as of such date.
(c) NO INCREASE IN PREMIUMS AUTHORIZED BE-
CAUSE OF THE GUARANTEE.—Notwithstanding any provi-
sion of section 7 of the Federal Deposit Insurance Act,
the rate of any assessment applicable to any Bank Insur-
ance Fund member or Savings Association Insurance
Fund member under such section may not be increased
by the Federal Deposit Insurance Corporation by reason
of the guarantee established under subsection (a) unless
a transfer of funds has been made from any such fund
pursuant to such subsection which has caused the balance
in the fund to decrease below the designated reserve ratio
applicable to such fund.
SEC. 203. SAVINGS ASSOCIATION INSURANCE FUND MEM-
BER ASSESSMENT RATE.
(a) IN GENERAL.—Notwithstanding any provision of
section 7 of the Federal Deposit Insurance Act, during
the period beginning on the 1st day of the 1st quarter
which begins after the date of the enactment of this Act
and ending on the date on which subtitle C of title I takes
effect, the semiannual assessments with respect to Savings
Association Insurance Fund members under section 7 may
not exceed the projected costs and expenses of the Savings
Association Insurance Fund for the semiannual period.
(b) EXCEPTION TO LIMITATION ON ASSESSMENTS.—
The Board of Directors of the Federal Deposit Insurance
Corporation may set semiannual assessments in excess of
the amount permitted under subsection (a) with respect
to Savings Association Insurance Fund members which
have a CAMEL rating of 3, 4, or 5 (or an equivalent rat-
ing under a comparable rating system) to the extent ap-
propriate to effectuate the risk-based assessment system
established under section 7 of the Federal Deposit Insur-
ance Act.
(c) FICO ASSESSMENTS NOT INCLUDED IN LIMITA-
TION.—Subsection (a) shall not be construed as limiting
the amount of any assessment imposed under section
21(f)(2) with respect to any Savings Association Insur-
ance Fund member or SAIF-assessable deposits.
SEC. 204. DEPOSIT SHIFTS BETWEEN BIF AND SAIF MEM-
BER SUBSIDIARIES OF THE SAME HOLDING
COMPANY.
Notwithstanding any provision of section 7 of the
Federal Deposit Insurance Act, during the period begin-
ning on the 1st day of the 1st quarter which begins after
the date of the enactment of this Act and ending on the
date on which subtitle C of title I takes effect, the Federal
Deposit Insurance Corporation—
(1) may take into account any deposits which
have been shifted from a Savings Association Insur-
ance Fund member subsidiary of a depository insti-
tution holding company to a Bank Insurance Fund
member subsidiary of the same holding company
after the date of the enactment of this Act in deter-
mining the amount of the assessment rate applicable
to Savings Association Insurance Fund members for
any semiannual period which begins during such pe-
riod; and
(2) may, if the Corporation determines that the
aggregate amount of deposits of Savings Association
Insurance Fund member subsidiaries of a depository
institution holding company which have been shifted
from such subsidiaries to Bank Insurance Fund
member subsidiaries of the same depository institu-
tion holding company after the date of the enact-
ment of this Act exceeds 15 percent of the aggregate
amount of the deposits of such Savings Association
Insurance Fund members as of such date, treat the
amount of such deposits as SAIF-assessable deposits
for purposes of—
(A) determining the amount and rate of
the assessment imposed on insured depository
institutions with respect to SAIF-assessable de-
posits pursuant to section 7 of the Federal De-
posit Insurance Act for any semiannual period
which begins during such period; and
(B) determining the amount of any assess-
ment imposed by the Financing Corporation on
insured depository institutions with respect to
SAIF-assessable deposits pursuant to section
21(f)(2) of the Federal Home Loan Bank Act.
SEC. 205. TRANSFER OF FEDERAL RESERVE SURPLUS
FUNDS TO MEET FICO CARRYING COSTS.
(a) IN GENERAL.—Section 7(a) of the Federal Re-
serve Act (12 U.S.C. 289) is amended by adding at the
end the following new paragraph:
‘‘(4) FICO PAYMENTS.—
‘‘(A) IN GENERAL.—During the period be-
ginning on the date of the enactment of the
Federal Deposit Insurance Funds and Regu-
latory Relief Act of 1996 and ending on the
date the Financing Corporation ceases to have
any obligations outstanding under section 21(e)
of the Federal Home Loan Bank Act, the
Board shall annually transfer (in addition to
the transfers of funds required under paragraph
(3)) to the Financing Corporation, from
amounts in the surplus funds of the Federal re-
serve 
banks, 
an 
amount 
equal 
to
$2,000,000,000 divided by the number of cal-
endar years any portion of which falls within
such period for use in accordance with section
21(f)(1) of the Federal Home Loan Bank Act.
‘‘(B) ALLOCATION.—The Board shall an-
nually determine, on the basis of such factors
as the Board considers appropriate, the manner
in which the amount of the obligation of the
Board under subparagraph (A) shall be allo-
cated among the surplus funds of the Federal
reserve banks.
‘‘(C) REPLENISHMENT OF SURPLUS FUND
PROHIBITED.—No Federal reserve bank may
replenish such bank’s surplus fund by the
amount of any transfer by such bank pursuant
to this paragraph.’’.
(b) CONFORMING AMENDMENT.—Paragraph (1) of
section 21(f) of the Federal Home Loan Bank Act (12
U.S.C. 1441(f)) is amended to read as follows:
‘‘(1) FEDERAL RESERVE SURPLUS.—
‘‘(A) IN GENERAL.—Amounts transferred
to the Financing Corporation by the Board of
Governors of the Federal Reserve System from
the surplus funds of the Federal reserve banks
in accordance with section 7(a)(4) of the Fed-
eral Reserve Act.
‘‘(B) TREATMENT IN CASE OF BANK IN-
SURANCE
FUND
MEMBER
ASSESSMENTS.—To
the extent Bank Insurance Fund members (as
defined in section 7(l)(4) of the Federal Deposit
Insurance Act) are subject to any assessments
under this subsection, the total amount of such
assessments which, but for this subparagraph,
would be imposed on all such members for any
year shall be reduced by the transferred amount
referred to in subparagraph (A) with respect to
such year.’’.
SEC. 330. CONSULTATION AMONG EXAMINERS.
Section 10 of the Federal Deposit Insurance Act (12
U.S.C. 1820) is amended by adding at the end the follow-
ing new subsection:
‘‘(j) CONSULTATION AMONG EXAMINERS.—
‘‘(1) IN GENERAL.—Each appropriate Federal
banking agency shall take such action as may be
necessary to ensure that examiners employed by the
agency—
‘‘(A) consult on examination activities with
respect to any depository institution; and
‘‘(B) achieve an agreement and resolve any
inconsistencies on the recommendations to be
given to such institution as a consequence of
any examinations.
‘‘(2) 
EXAMINER-IN-CHARGE.—Each 
agency
shall consider appointing an examiner-in-charge with
respect to a depository institution to ensure con-
sultation on examination activities among all of the
agency’s examiners involved in examinations of such
institution.’’.
SEC. 331. LIMITATION ON REGULATIONS.
Section 806 of the Community Reinvestment Act of
1977 (12 U.S.C. 2905) (as amended by section 326 of
this subtitle) is amended by adding at the end the follow-
ing new subsections: