SEC. 7. REFUNDS, DIVIDENDS, AND CREDITS FROM DE-
POSIT INSURANCE FUND.
(a) IN GENERAL.—Subsection (e) of section 7 of the
Federal Deposit Insurance Act (12 U.S.C. 1817(e)) is
amended to read as follows:
‘‘(e) REFUNDS, DIVIDENDS, AND CREDITS.—
‘‘(1) REFUNDS
OF
OVERPAYMENTS.—In the
case of any payment of an assessment by an insured
depository institution in excess of the amount due to
the Corporation, the Corporation may—
‘‘(A) refund the amount of the excess pay-
ment to the insured depository institution; or
‘‘(B) credit such excess amount toward the
payment of subsequent assessments until such
credit is exhausted.
‘‘(2) DIVIDENDS
FROM
EXCESS
AMOUNTS
IN
DEPOSIT INSURANCE FUND.—
‘‘(A) RESERVE RATIO IN EXCESS OF 1.4
PERCENT OF ESTIMATED INSURED DEPOSITS.—
Whenever the reserve ratio of the Deposit In-
surance Fund exceeds 1.4 percent of estimated
insured deposits, the Corporation shall declare
the amount in the Fund in excess of the
amount required to maintain the reserve ratio
at 1.4 percent of estimated insured deposits, as
dividends to be paid to insured depository insti-
tutions.
‘‘(B) RESERVE RATIO EQUAL TO OR IN EX-
CESS OF 1.35 PERCENT OF ESTIMATED INSURED
DEPOSITS
AND
NOT
MORE
THAN
1.4
PER-
CENT.—Whenever the reserve ratio of the De-
posit Insurance Fund equals or exceeds 1.35
percent of estimated insured deposits and is not
more than 1.4 percent of such deposits, the
Corporation shall declare the amount in the
Fund that is equal to 50 percent of the amount
in excess of the amount required to maintain
the reserve ratio at 1.35 percent of the esti-
mated insured deposits as dividends to be paid
to insured depository institutions.
‘‘(C) BASIS FOR DISTRIBUTION OF DIVI-
DENDS.—
‘‘(i) IN GENERAL.—Solely for the pur-
poses of dividend distribution under this
paragraph and credit distribution under
paragraph (3)(B), the Corporation shall
determine each insured depository institu-
tion’s relative contribution to the Deposit
Insurance Fund (or any predecessor de-
posit insurance fund) for calculating such
institution’s share of any dividend or credit
declared under this paragraph or para-
graph (3)(B), taking into account the fac-
tors described in clause (ii).
‘‘(ii) FACTORS FOR DISTRIBUTION.—
In implementing this paragraph and para-
graph (3)(B) in accordance with regula-
tions, the Corporation shall take into ac-
count the following factors:
‘‘(I) The ratio of the assessment
base of an insured depository institu-
tion (including any predecessor) on
December 31, 1996, to the assessment
base of all eligible insured depository
institutions on that date.
‘‘(II) The total amount of assess-
ments paid on or after January 1,
1997, by an insured depository insti-
tution (including any predecessor) to
the Deposit Insurance Fund (and any
predecessor deposit insurance fund).
‘‘(III) That portion of assess-
ments paid by an insured depository
institution (including any predecessor)
that reflects higher levels of risk as-
sumed by such institution.
‘‘(IV) Such other factors as the
Corporation may determine to be ap-
propriate.
‘‘(D) NOTICE
AND
OPPORTUNITY
FOR
COMMENT.—The Corporation shall prescribe by
regulation, after notice and opportunity for
comment, the method for the calculation, dec-
laration, and payment of dividends under this
paragraph.
‘‘(3) CREDIT POOL.—
‘‘(A) ONE-TIME CREDIT BASED ON TOTAL
ASSESSMENT BASE AT YEAR-END 1996.—
‘‘(i) IN GENERAL.—Before the end of
the 270-day period beginning on the date
of the enactment of the Federal Deposit
Insurance Reform Act of 2003, the Board
of Directors shall, by regulation, provide
for a credit to each eligible insured deposi-
tory institution, based on the assessment
base of the institution (including any pred-
ecessor institution) on December 31, 1996,
as compared to the combined aggregate as-
sessment base of all eligible insured deposi-
tory institutions, taking into account such
factors as the Board of Directors may de-
termine to be appropriate.
‘‘(ii) CREDIT LIMIT.—The aggregate
amount of credits available under clause (i)
to all eligible insured depository institu-
tions shall equal the amount that the Cor-
poration could collect if the Corporation
imposed an assessment of 12 basis points
on the combined assessment base of the
Bank Insurance Fund and the Savings As-
sociation Insurance Fund as of December
31, 2001.
‘‘(iii) ELIGIBLE INSURED DEPOSITORY
INSTITUTION DEFINED.—For purposes of
this paragraph, the term ‘eligible insured
depository institution’ means any insured
depository institution that—
‘‘(I) was in existence on Decem-
ber 31, 1996, and paid a deposit in-
surance assessment prior to that date;
or
‘‘(II) is a successor to any in-
sured depository institution described
in subclause (II).
‘‘(iv) APPLICATION OF CREDITS.—
‘‘(I) IN GENERAL.—The amount
of a credit to any eligible insured de-
pository institution under this para-
graph shall be applied by the Corpora-
tion, subject to subsection (b)(3)(e),
to the assessments imposed on such
institution under subsection (b) that
become due for assessment periods be-
ginning after the effective date of reg-
ulations prescribed under clause (i).
‘‘(II) REGULATIONS.—The regu-
lations prescribed under clause (i)
shall establish the qualifications and
procedures governing the application
of assessment credits pursuant to sub-
clause (I).
‘‘(v) LIMITATION
ON
AMOUNT
OF
CREDIT FOR CERTAIN DEPOSITORY INSTI-
TUTIONS.—In the case of an insured de-
pository institution that exhibits financial,
operational, 
or 
compliance 
weaknesses
ranging from moderately severe to unsatis-
factory, or is not adequately capitalized (as
defined in section 38) at the beginning of
an assessment period, the amount of any
credit 
allowed 
under 
this 
paragraph
against the assessment on that depository
institution for such period may not exceed
the amount calculated by applying to that
depository institution the average assess-
ment rate on all insured depository institu-
tions for such assessment period.
‘‘(vi) PREDECESSOR
DEFINED.—For
purposes of this paragraph, the term ‘pred-
ecessor’, when used with respect to any in-
sured depository institution, includes any
other insured depository institution ac-
quired by or merged with such insured de-
pository institution.
‘‘(B) ON-GOING CREDIT POOL.—
‘‘(i) IN GENERAL.—In addition to the
credit provided pursuant to subparagraph
(A) and subject to the limitation contained
in clause (v) of such subparagraph, the
Corporation shall, by regulation, establish
an on-going system of credits to be applied
against future assessments under sub-
section (b)(1) on the same basis as the
dividends 
provided 
under 
paragraph
(2)(C).
‘‘(ii) LIMITATION ON CREDITS UNDER
CERTAIN
CIRCUMSTANCES.—No 
credits
may be awarded by the Corporation under
this subparagraph during any period in
which—
‘‘(I) the reserve ratio of the De-
posit Insurance Fund is less than the
designated reserve ratio of such Fund;
or
‘‘(II) the reserve ratio of the
Fund is less than 1.25 percent of the
amount of estimated insured deposits.
‘‘(iii) CRITERIA
FOR
DETERMINA-
TION.—In determining the amounts of any
assessment credits under this subpara-
graph, the Board of Directors shall take
into account the factors for designating the
reserve ratio under subsection (b)(3) and
the factors for setting assessments under
subsection (b)(2)(B).
‘‘(4) ADMINISTRATIVE REVIEW.—
‘‘(A) IN GENERAL.—The regulations pre-
scribed under paragraph (2)(D) and subpara-
graphs (A) and (B) of paragraph (3) shall in-
clude provisions allowing an insured depository
institution a reasonable opportunity to chal-
lenge administratively the amount of the credit
or dividend determined under paragraph (2) or
(3) for such institution.
‘‘(B) ADMINISTRATIVE REVIEW.—Any re-
view under subparagraph (A) of any determina-
tion of the Corporation under paragraph (2) or
(3) shall be final and not subject to judicial re-
view.’’.
(b) DEFINITION OF RESERVE RATIO.—Section 3(y)
of the Federal Deposit Insurance Act (12 U.S.C. 1813(y))
(as amended by section 5(b) of this Act) is amended by
adding at the end the following new paragraph:
‘‘(3) RESERVE
RATIO.—The term ‘reserve
ratio’, when used with regard to the Deposit Insur-
ance Fund other than in connection with a reference
to the designated reserve ratio, means the ratio of
the net worth of the Deposit Insurance Fund to the
value of the aggregate estimated insured deposits.’’.
SEC. 8. DEPOSIT INSURANCE FUND RESTORATION PLANS.
Section 7(b)(3) of the Federal Deposit Insurance Act
(12 U.S.C. 1817(b)(3)) (as amended by section 5(a) of
this Act) is amended by adding at the end the following
new subparagraph:
‘‘(E) DIF RESTORATION PLANS.—
‘‘(i) IN GENERAL.—Whenever—
‘‘(I) the Corporation projects
that the reserve ratio of the Deposit
Insurance Fund will, within 6 months
of such determination, fall below the
minimum amount specified in sub-
paragraph (B)(ii) for the designated
reserve ratio; or
‘‘(II) the reserve ratio of the De-
posit Insurance Fund actually falls
below the minimum amount specified
in subparagraph (B)(ii) for the des-
ignated reserve ratio without any de-
termination under subclause (I) hav-
ing been made,
the Corporation shall establish and imple-
ment a Deposit Insurance Fund restora-
tion plan within 90 days that meets the re-
quirements of clause (ii) and such other
conditions as the Corporation determines
to be appropriate.
‘‘(ii) REQUIREMENTS
OF
RESTORA-
TION
PLAN.—A Deposit Insurance Fund
restoration plan meets the requirements of
this clause if the plan provides that the re-
serve ratio of the Fund will meet or exceed
the minimum amount specified in subpara-
graph (B)(ii) for the designated reserve
ratio before the end of the 10-year period
beginning upon the implementation of the
plan.
‘‘(iii) RESTRICTION
ON
ASSESSMENT
CREDITS.—As part of any restoration plan
under this subparagraph, the Corporation
may elect to restrict the application of as-
sessment credits provided under subsection
(e)(3) for any period that the plan is in ef-
fect.
‘‘(iv) LIMITATION ON RESTRICTION.—
Notwithstanding clause (iii), while any res-
toration plan under this subparagraph is in
effect, the Corporation shall apply credits
provided to an insured depository institu-
tion under subsection (e)(3) against any
assessment imposed on the institution for
any assessment period in an amount equal
to the lesser of—
‘‘(I) the amount of the assess-
ment; or
‘‘(II) the amount equal to 3 basis
points of the institution’s assessment
base.
‘‘(v) TRANSPARENCY.—Not more than
30 days after the Corporation establishes
and implements a restoration plan under
clause (i), the Corporation shall publish in
the Federal Register a detailed analysis of
the factors considered and the basis for the
actions taken with regard to the plan.’’.
SEC. 9. REGULATIONS REQUIRED.
(a) IN GENERAL.—Not later than 270 days after the
date of the enactment of this Act, the Board of Directors
of the Federal Deposit Insurance Corporation shall pre-
scribe final regulations, after notice and opportunity for
comment—
(1) designating the reserve ratio for the Deposit
Insurance Fund in accordance with section 7(b)(3)
of the Federal Deposit Insurance Act (as amended
by section 5 of this Act);
(2) implementing increases in deposit insurance
coverage in accordance with the amendments made
by section 3 of this Act;
(3) implementing the dividend requirement
under section 7(e)(2) of the Federal Deposit Insur-
ance Act (as amended by section 7 of this Act).
(4) implementing the 1-time assessment credit
to certain insured depository institutions in accord-
ance with section 7(e)(3) of the Federal Deposit In-
surance Act, as amended by section 7 of this Act,
including the qualifications and procedures under
which the Corporation would apply assessment cred-
its; and
(5) providing for assessments under section
7(b) of the Federal Deposit Insurance Act, as
amended by this Act.
(b) RULE OF CONSTRUCTION.—No provision of this
Act or any amendment made by this Act shall be con-
strued as affecting the authority of the Corporation to set
or collect deposit insurance assessments before the effec-
tive date of the final regulations prescribed under sub-
section (a).
SEC. 10. STUDIES OF FDIC STRUCTURE AND EXPENSES AND
CERTAIN ACTIVITIES AND FURTHER POS-
SIBLE CHANGES TO DEPOSIT INSURANCE
SYSTEM.
(a) STUDY BY COMPTROLLER GENERAL.—
(1) STUDY REQUIRED.—The Comptroller Gen-
eral shall conduct a study of the following issues:
(A) The efficiency and effectiveness of the
administration of the prompt corrective action
program under section 38 of the Federal De-
posit Insurance Act by the Federal banking
agencies (as defined in section 3 of such Act),
including the degree of effectiveness of such
agencies in identifying troubled depository insti-
tutions and taking effective action with respect
to such institutions, and the degree of accuracy
of the risk assessments made by the Corpora-
tion.
(B) The appropriateness of the organiza-
tional structure of the Federal Deposit Insur-
ance Corporation for the mission of the Cor-
poration taking into account—
(i) the current size and complexity of
the business of insured depository institu-
tions (as such term is defined in section 3
of the Federal Deposit Insurance Act);
(ii) the extent to which the organiza-
tional structure contributes to or reduces
operational 
inefficiencies 
that 
increase
operational costs; and
(iii) the effectiveness of internal con-
trols.
(2) REPORT TO THE CONGRESS.—The Comp-
troller General shall submit a report to the Congress
before the end of the 1-year period beginning on the
date of the enactment of this Act containing the
findings and conclusions of the Comptroller General
with respect to the study required under paragraph
(1) together with such recommendations for legisla-
tive or administrative action as the Comptroller Gen-
eral may determine to be appropriate.
(b) INTERNAL STUDY BY THE FDIC.—
(1) STUDY REQUIRED.—Concurrently with the
study required to be conducted by the Comptroller
General under subsection (a), the Federal Deposit
Insurance Corporation shall conduct an internal
study of the same conditions and factors included in
the study under subsection (a).
(2) REPORT TO THE CONGRESS.—The Federal
Deposit Insurance Corporation shall submit a report
to the Congress before the end of the 1-year period
beginning on the date of the enactment of this Act
containing the findings and conclusions of the Cor-
poration with respect to the study required under
paragraph (1) together with such recommendations
for legislative or administrative action as the Board
of Directors of the Corporation may determine to be
appropriate.
(c) STUDY OF FURTHER POSSIBLE CHANGES TO DE-
POSIT INSURANCE SYSTEM.—
(1) STUDY REQUIRED.—The Board of Directors
of the Federal Deposit Insurance Corporation and
the National Credit Union Administration Board
shall each conduct a study of the following:
(A) The feasibility of establishing a vol-
untary deposit insurance system for deposits in
excess of the maximum amount of deposit in-
surance for any depositor and the potential ben-
efits and the potential adverse consequences
that may result from the establishment of any
such system.
(B) The feasibility of privatizing all deposit
insurance at insured depository institutions and
insured credit unions.
(2) REPORT.—Before the end of the 1-year pe-
riod beginning on the date of the enactment of this
Act, the Board of Directors of the Federal Deposit
Insurance Corporation and the National Credit
Union Administration Board shall each submit a re-
port to the Congress on the study required under
paragraph (1) containing the findings and conclu-
sions of the reporting agency together with such rec-
ommendations for legislative or administrative
changes as the agency may determine to be appro-
priate.
(d) STUDY
REGARDING
APPROPRIATE
DEPOSIT
BASE IN DESIGNATING RESERVE RATIO.—
(1) STUDY
REQUIRED.—The Federal Deposit
Insurance Corporation shall conduct a study of the
feasibility of using actual domestic deposits rather
than estimated insured deposits in calculating the
reserve ratio of the Deposit Insurance Fund and
designating a reserve ratio for such Fund.
(2) REPORT.—The Federal Deposit Insurance
Corporation shall submit a report to the Congress
before the end of the 1-year period beginning on the
date of the enactment of this Act containing the
findings and conclusions of the Corporation with re-
spect to the study required under paragraph (1) to-
gether with such recommendations for legislative or
administrative action as the Board of Directors of
the Corporation may determine to be appropriate.
(e) STUDY OF RESERVE METHODOLOGY AND AC-
COUNTING FOR LOSS.—
(1) STUDY
REQUIRED.—The Federal Deposit
Insurance Corporation, in consultation with the
Comptroller General, shall conduct a study of the re-
serve methodology and loss accounting used by the
Corporation during the period beginning on January
1, 1992, and ending December 31, 2002, with re-
spect to insured depository institutions in a troubled
condition (as defined in the regulations prescribed
pursuant to section 32(f) of the Federal Deposit In-
surance Act).
(2) FACTORS TO BE INCLUDED.—In conducting
the study pursuant to paragraph (1), the Federal
Deposit Insurance Corporation shall—
(A) consider the overall effectiveness and
accuracy of the methodology used by the Cor-
poration for establishing and maintaining re-
serves and estimating and accounting for losses
at insured depository institutions, during the
period described in such paragraph;
(B) consider the appropriateness and reli-
ability of information and criteria used by the
Corporation in determining—
(i) whether an insured depository in-
stitution was in a troubled condition; and
(ii) the amount of any loss anticipated
at such institution;
(C) analyze the actual historical loss expe-
rience over the period described in paragraph
(1) and the causes of the exceptionally high
rate of losses experienced by the Corporation in
the final 3 years of that period; and
(D) rate the efforts of the Corporation to
reduce losses in such 3-year period to minimally
acceptable levels and to historical levels.
(3) REPORT REQUIRED.—The Board of Direc-
tors of the Federal Deposit Insurance Corporation
shall submit a report to the Congress before the end
of the 6-month period beginning on the date of the
enactment of this Act, containing the findings and
conclusions of the Corporation, in consultation with
the Comptroller General, with respect to the study
required under paragraph (1), together with such
recommendations for legislative or administrative ac-
tion as the Board of Directors may determine to be
appropriate.
SEC. 11. BI-ANNUAL FDIC SURVEY AND REPORT ON IN-
CREASING THE DEPOSIT BASE BY ENCOUR-
AGING USE OF DEPOSITORY INSTITUTIONS
BY THE UNBANKED.
The Federal Deposit Insurance Act (12 U.S.C. 1811
et seq.) is amended by adding at the end the following
new section:
‘‘SEC. 49. BI-ANNUAL FDIC SURVEY AND REPORT ON EN-
COURAGING USE OF DEPOSITORY INSTITU-
TIONS BY THE UNBANKED.
‘‘(a) SURVEY REQUIRED.—
‘‘(1) IN GENERAL.—The Corporation shall con-
duct a bi-annual survey on efforts by insured deposi-
tory institutions to bring those individuals and fami-
lies who have rarely, if ever, held a checking ac-
count, a savings account or other type of transaction
or check cashing account at an insured depository
institution (hereafter in this section referred to as
the ‘unbanked’) into the conventional finance sys-
tem.
‘‘(2) FACTORS
AND
QUESTIONS
TO
CON-
SIDER.—In conducting the survey, the Corporation
shall take the following factors and questions into
account:
‘‘(A) To what extent do insured depository
institutions promote financial education and fi-
nancial literacy outreach?
‘‘(B) Which financial education efforts ap-
pear to be the most effective in bringing
‘unbanked’ individuals and families into the
conventional finance system?
‘‘(C) What efforts are insured institutions
making at converting ‘unbanked’ money order,
wire transfer, and international remittance cus-
tomers into conventional account holders?
‘‘(D) What cultural, language and identi-
fication issues as well as transaction costs ap-
pear to most prevent ‘unbanked’ individuals
from establishing conventional accounts?
‘‘(E) What is a fair estimate of the size
and worth of the ‘unbanked’ market in the
United States?
‘‘(b) REPORTS.—The Chairperson of the Board of
Directors shall submit a bi-annual report to the Com-
mittee on Financial Services of the House of Representa-
tives and the Committee on Banking, Housing, and Urban
Affairs of the Senate containing the Corporation’s findings
and conclusions with respect to the survey conducted pur-
suant to subsection (a), together with such recommenda-
tions for legislative or administrative action as the Chair-
person may determine to be appropriate.’’.
SEC. 12. TECHNICAL AND CONFORMING AMENDMENTS TO
THE FEDERAL DEPOSIT INSURANCE ACT RE-
LATING TO THE MERGER OF THE BIF AND
SAIF.
(a) IN GENERAL.—The Federal Deposit Insurance
Act (12 U.S.C. 1811 et seq.) is amended—
(1) in section 3 (12 U.S.C. 1813)—
(A) by striking subparagraph (B) of sub-
section (a)(1) and inserting the following new
subparagraph:
‘‘(B) includes any former savings associa-
tion.’’; and
(B) by striking paragraph (1) of sub-
section (y) (as so designated by section 5(b) of
this Act) and inserting the following new para-
graph:
‘‘(1) DEPOSIT
INSURANCE
FUND.—The term
‘Deposit Insurance Fund’ means the Deposit Insur-
ance Fund established under section 11(a)(4).’’;
(2) in section 5(b)(5) (12 U.S.C. 1815(b)(5)),
by striking ‘‘the Bank Insurance Fund or the Sav-
ings Association Insurance Fund,’’ and inserting
‘‘the Deposit Insurance Fund,’’;
(3) in section 5(c)(4), by striking ‘‘deposit in-
surance fund’’ and inserting ‘‘Deposit Insurance
Fund’’;
(4) in section 5(d) (12 U.S.C. 1815(d)), by
striking paragraphs (2) and (3) (and any funds re-
sulting from the application of such paragraph (2)
prior to its repeal shall be deposited into the general
fund of the Deposit Insurance Fund);
(5) in section 5(d)(1) (12 U.S.C. 1815(d)(1))—
(A) in subparagraph (A), by striking ‘‘re-
serve ratios in the Bank Insurance Fund and
the Savings Association Insurance Fund as re-
quired by section 7’’ and inserting ‘‘the reserve
ratio of the Deposit Insurance Fund’’;
(B) by striking subparagraph (B) and in-
serting the following:
‘‘(2) FEE CREDITED TO THE DEPOSIT INSUR-
ANCE FUND.—The fee paid by the depository insti-
tution under paragraph (1) shall be credited to the
Deposit Insurance Fund.’’;
(C) by striking ‘‘(1) UNINSURED INSTITU-
TIONS.—’’; and
(D) by redesignating subparagraphs (A)
and (C) as paragraphs (1) and (3), respectively,
and moving the left margins 2 ems to the left;
(6) in section 5(e) (12 U.S.C. 1815(e))—
(A) in paragraph (5)(A), by striking
‘‘Bank Insurance Fund or the Savings Associa-
tion Insurance Fund’’ and inserting ‘‘Deposit
Insurance Fund’’;
(B) by striking paragraph (6); and
(C) by redesignating paragraphs (7), (8),
and (9) as paragraphs (6), (7), and (8), respec-
tively;
(7) in section 6(5) (12 U.S.C. 1816(5)), by
striking ‘‘Bank Insurance Fund or the Savings As-
sociation Insurance Fund’’ and inserting ‘‘Deposit
Insurance Fund’’;
(8) in section 7(b) (12 U.S.C. 1817(b))—
(A) in paragraph (1)(C), by striking ‘‘de-
posit insurance fund’’ each place that term ap-
pears and inserting ‘‘Deposit Insurance Fund’’;
(B) in paragraph (1)(D), by striking ‘‘each
deposit insurance fund’’ and inserting ‘‘the De-
posit Insurance Fund’’; and
(C) in paragraph (5) (as so redesignated
by section 4(e)(4) of this Act)—
(i) by striking ‘‘any such assessment’’
and inserting ‘‘any such assessment is nec-
essary’’;
(ii) by striking subparagraph (B);
(iii) in subparagraph (A)—
(I) by striking ‘‘(A) is nec-
essary—’’;
(II) by striking ‘‘Bank Insurance
Fund members’’ and inserting ‘‘in-
sured depository institutions’’; and
(III) by redesignating clauses (i),
(ii), and (iii) as subparagraphs (A),
(B), and (C), respectively, and moving
the margins 2 ems to the left; and
(iv) in subparagraph (C) (as so redes-
ignated)—
(I) by inserting ‘‘that’’ before
‘‘the Corporation’’; and
(II) by striking ‘‘; and’’ and in-
serting a period;
(9) 
in 
section 
7(j)(7)(F) 
(12 
U.S.C.
1817(j)(7)(F)), by striking ‘‘Bank Insurance Fund
or the Savings Association Insurance Fund’’ and in-
serting ‘‘Deposit Insurance Fund’’;
(10) 
in 
section 
8(t)(2)(C) 
(12 
U.S.C.
1818(t)(2)(C)), by striking ‘‘deposit insurance fund’’
and inserting ‘‘Deposit Insurance Fund’’;
(11) in section 11 (12 U.S.C. 1821)—
(A) by striking ‘‘deposit insurance fund’’
each place that term appears and inserting
‘‘Deposit Insurance Fund’’;
(B) by striking paragraph (4) of sub-
section (a) and inserting the following new
paragraph:
‘‘(4) DEPOSIT INSURANCE FUND.—
‘‘(A) ESTABLISHMENT.—There is estab-
lished the Deposit Insurance Fund, which the
Corporation shall—
‘‘(i) maintain and administer;
‘‘(ii) use to carry out its insurance
purposes, in the manner provided by this
subsection; and
‘‘(iii) invest in accordance with section
13(a).
‘‘(B) USES.—The Deposit Insurance Fund
shall be available to the Corporation for use
with respect to insured depository institutions
the deposits of which are insured by the De-
posit Insurance Fund.
‘‘(C) 
LIMITATION
ON
USE.—Notwith-
standing any provision of law other than section
13(c)(4)(G), the Deposit Insurance Fund shall
not be used in any manner to benefit any share-
holder or affiliate (other than an insured depos-
itory institution that receives assistance in ac-
cordance with the provisions of this Act) of—
‘‘(i) any insured depository institution
for which the Corporation has been ap-
pointed conservator or receiver, in connec-
tion with any type of resolution by the
Corporation;
‘‘(ii) any other insured depository in-
stitution in default or in danger of default,
in connection with any type of resolution
by the Corporation; or
‘‘(iii) any insured depository institu-
tion, in connection with the provision of as-
sistance under this section or section 13
with respect to such institution, except
that this clause shall not prohibit any as-
sistance to any insured depository institu-
tion that is not in default, or that is not
in danger of default, that is acquiring (as
defined in section 13(f)(8)(B)) another in-
sured depository institution.
‘‘(D) DEPOSITS.—All amounts assessed
against insured depository institutions by the
Corporation shall be deposited into the Deposit
Insurance Fund.’’;
(C) by striking paragraphs (5), (6), and
(7) of subsection (a); and
(D) by redesignating paragraph (8) of sub-
section (a) as paragraph (5);
(12) in section 11(f)(1) (12 U.S.C. 1821(f)(1)),
by striking ‘‘, except that—’’ and all that follows
through the end of the paragraph and inserting a
period;
(13) 
in 
section 
11(i)(3) 
(12 
U.S.C.
1821(i)(3))—
(A) by striking subparagraph (B);
(B) by redesignating subparagraph (C) as
subparagraph (B); and
(C) in subparagraph (B) (as so redesig-
nated), by striking ‘‘subparagraphs (A) and
(B)’’ and inserting ‘‘subparagraph (A)’’;
(14) 
in 
section 
11(p)(2)(B) 
(12 
U.S.C.
1821(p)(2)(B)), by striking ‘‘institution, any’’ and
inserting ‘‘institution, the’’;
(15) in section 11A(a) (12 U.S.C. 1821a(a))—
(A) in paragraph (2), by striking ‘‘LIABIL-
ITIES.—’’ and all that follows through ‘‘Except’’
and inserting ‘‘LIABILITIES.—Except’’;
(B) by striking paragraph (2)(B); and
(C) in paragraph (3), by striking ‘‘the
Bank Insurance Fund, the Savings Association
Insurance Fund,’’ and inserting ‘‘the Deposit
Insurance Fund’’;
(16) in section 11A(b) (12 U.S.C. 1821a(b)),
by striking paragraph (4);
(17) in section 11A(f) (12 U.S.C. 1821a(f)), by
striking ‘‘Savings Association Insurance Fund’’ and
inserting ‘‘Deposit Insurance Fund’’;
(18) in section 12(f)(4)(E)(iv) (12 U.S.C.
1822(f)(4)(E)(iv)), by striking ‘‘Federal deposit in-
surance funds’’ and inserting ‘‘the Deposit Insur-
ance Fund (or any predecessor deposit insurance
fund)’’;
(19) in section 13 (12 U.S.C. 1823)—
(A) by striking ‘‘deposit insurance fund’’
each place that term appears and inserting
‘‘Deposit Insurance Fund’’;
(B) in subsection (a)(1), by striking ‘‘Bank
Insurance Fund, the Savings Association Insur-
ance Fund,’’ and inserting ‘‘Deposit Insurance
Fund’’;
(C) in subsection (c)(4)(E)—
(i) in the subparagraph heading, by
striking ‘‘FUNDS’’ and inserting ‘‘FUND’’;
and
(ii) in clause (i), by striking ‘‘any in-
surance fund’’ and inserting ‘‘the Deposit
Insurance Fund’’;
(D) in subsection (c)(4)(G)(ii)—
(i) by striking ‘‘appropriate insurance
fund’’ and inserting ‘‘Deposit Insurance
Fund’’;
(ii) by striking ‘‘the members of the
insurance fund (of which such institution
is a member)’’ and inserting ‘‘insured de-
pository institutions’’;
(iii) by striking ‘‘each member’s’’ and
inserting ‘‘each insured depository institu-
tion’s’’; and
(iv) by striking ‘‘the member’s’’ each
place that term appears and inserting ‘‘the
institution’s’’;
(E) in subsection (c), by striking para-
graph (11);
(F) in subsection (h), by striking ‘‘Bank
Insurance Fund’’ and inserting ‘‘Deposit Insur-
ance Fund’’;
(G) in subsection (k)(4)(B)(i), by striking
‘‘Savings Association Insurance Fund member’’
and inserting ‘‘savings association’’; and
(H) in subsection (k)(5)(A), by striking
‘‘Savings Association Insurance Fund mem-
bers’’ and inserting ‘‘savings associations’’;
(20) in section 14(a) (12 U.S.C. 1824(a)), in
the 5th sentence—
(A) by striking ‘‘Bank Insurance Fund or
the Savings Association Insurance Fund’’ and
inserting ‘‘Deposit Insurance Fund’’; and
(B) by striking ‘‘each such fund’’ and in-
serting ‘‘the Deposit Insurance Fund’’;
(21) in section 14(b) (12 U.S.C. 1824(b)), by
striking ‘‘Bank Insurance Fund or Savings Associa-
tion Insurance Fund’’ and inserting ‘‘Deposit Insur-
ance Fund’’;
(22) in section 14(c) (12 U.S.C. 1824(c)), by
striking paragraph (3);
(23) in section 14(d) (12 U.S.C. 1824(d))—
(A) by striking ‘‘Bank Insurance Fund
member’’ each place that term appears and in-
serting ‘‘insured depository institution’’;
(B) by striking ‘‘Bank Insurance Fund
members’’ each place that term appears and in-
serting ‘‘insured depository institutions’’;
(C) by striking ‘‘Bank Insurance Fund’’
each place that term appears (other than in
connection with a reference to a term amended
by subparagraph (A) or (B) of this paragraph)
and inserting ‘‘Deposit Insurance Fund’’;
(D) by striking the subsection heading and
inserting the following:
‘‘(d) BORROWING
FOR
THE DEPOSIT INSURANCE
FUND FROM INSURED DEPOSITORY INSTITUTIONS.—’’;
(E) in paragraph (3), in the paragraph
heading, by striking ‘‘BIF’’ and inserting ‘‘THE
DEPOSIT INSURANCE FUND’’; and
(F) in paragraph (5), in the paragraph
heading, by striking ‘‘BIF MEMBERS’’ and in-
serting ‘‘INSURED DEPOSITORY INSTITUTIONS’’;
(24) in section 14 (12 U.S.C. 1824), by adding
at the end the following new subsection:
‘‘(e) BORROWING
FOR
THE DEPOSIT INSURANCE
FUND FROM FEDERAL HOME LOAN BANKS.—
‘‘(1) IN GENERAL.—The Corporation may bor-
row from the Federal home loan banks, with the
concurrence of the Federal Housing Finance Board,
such funds as the Corporation considers necessary
for the use of the Deposit Insurance Fund.
‘‘(2) TERMS AND CONDITIONS.—Any loan from
any Federal home loan bank under paragraph (1) to
the Deposit Insurance Fund shall—
‘‘(A) bear a rate of interest of not less
than the current marginal cost of funds to that
bank, taking into account the maturities in-
volved;
‘‘(B) be adequately secured, as determined
by the Federal Housing Finance Board;
‘‘(C) be a direct liability of the Deposit In-
surance Fund; and
‘‘(D) be subject to the limitations of sec-
tion 15(c).’’;
(25) 
in 
section 
15(c)(5) 
(12 
U.S.C.
1825(c)(5))—
(A) by striking ‘‘the Bank Insurance Fund
or Savings Association Insurance Fund, respec-
tively’’ each place that term appears and insert-
ing ‘‘the Deposit Insurance Fund’’; and
(B) in subparagraph (B), by striking ‘‘the
Bank Insurance Fund or the Savings Associa-
tion Insurance Fund, respectively’’ and insert-
ing ‘‘the Deposit Insurance Fund’’;
(26) in section 17(a) (12 U.S.C. 1827(a))—
(A) in the subsection heading, by striking
‘‘BIF, SAIF,’’ and inserting ‘‘THE DEPOSIT IN-
SURANCE FUND’’; and
(B) in paragraph (1)—
(i) by striking ‘‘the Bank Insurance
Fund, the Savings Association Insurance
Fund,’’ each place that term appears and
inserting ‘‘the Deposit Insurance Fund’’;
and
(ii) in subparagraph (D), by striking
‘‘each insurance fund’’ and inserting ‘‘the
Deposit Insurance Fund’’;
(27) in section 17(d) (12 U.S.C. 1827(d)), by
striking ‘‘, the Bank Insurance Fund, the Savings
Association Insurance Fund,’’ each place that term
appears and inserting ‘‘the Deposit Insurance
Fund’’;
(28) 
in 
section 
18(m)(3) 
(12 
U.S.C.
1828(m)(3))—
(A) by striking ‘‘Savings Association In-
surance Fund’’ in the 1st sentence of subpara-
graph (A) and inserting ‘‘Deposit Insurance
Fund’’;
(B) by striking ‘‘Savings Association In-
surance Fund member’’ in the last sentence of
subparagraph (A) and inserting ‘‘savings asso-
ciation’’; and
(C) by striking ‘‘Savings Association Insur-
ance Fund or the Bank Insurance Fund’’ in
subparagraph (C) and inserting ‘‘Deposit Insur-
ance Fund’’;
(29) in section 18(o) (12 U.S.C. 1828(o)), by
striking ‘‘deposit insurance funds’’ and ‘‘deposit in-
surance fund’’ each place those terms appear and in-
serting ‘‘Deposit Insurance Fund’’;
(30) in section 18(p) (12 U.S.C. 1828(p)), by
striking ‘‘deposit insurance funds’’ and inserting
‘‘Deposit Insurance Fund’’;
(31) in section 24 (12 U.S.C. 1831a)—
(A) in subsections (a)(1) and (d)(1)(A), by
striking ‘‘appropriate deposit insurance fund’’
each place that term appears and inserting
‘‘Deposit Insurance Fund’’;
(B) in subsection (e)(2)(A), by striking
‘‘risk to’’ and all that follows through the pe-
riod and inserting ‘‘risk to the Deposit Insur-
ance Fund.’’; and
(C) 
in 
subsections 
(e)(2)(B)(ii) 
and
(f)(6)(B), by striking ‘‘the insurance fund of
which such bank is a member’’ each place that
term appears and inserting ‘‘the Deposit Insur-
ance Fund’’;
(32) in section 28 (12 U.S.C. 1831e), by strik-
ing ‘‘affected deposit insurance fund’’ each place
that term appears and inserting ‘‘Deposit Insurance
Fund’’;
(33) by striking section 31 (12 U.S.C. 1831h);
(34) 
in 
section 
36(i)(3) 
(12 
U.S.C.
1831m(i)(3)), by striking ‘‘affected deposit insur-
ance fund’’ and inserting ‘‘Deposit Insurance
Fund’’;
(35) 
in 
section 
37(a)(1)(C) 
(12 
U.S.C.
1831n(a)(1)(C)), by striking ‘‘insurance funds’’ and
inserting ‘‘Deposit Insurance Fund’’;
(36) in section 38 (12 U.S.C. 1831o), by strik-
ing ‘‘the deposit insurance fund’’ each place that
term appears and inserting ‘‘the Deposit Insurance
Fund’’;
(37) in section 38(a) (12 U.S.C. 1831o(a)), in
the subsection heading, by striking ‘‘FUNDS’’ and in-
serting ‘‘FUND’’;
(38) in section 38(k) (12 U.S.C. 1831o(k))—
(A) in paragraph (1), by striking ‘‘a de-
posit insurance fund’’ and inserting ‘‘the De-
posit Insurance Fund’’;
(B) in paragraph (2), by striking ‘‘A de-
posit insurance fund’’ and inserting ‘‘The De-
posit Insurance Fund’’; and
(C) in paragraphs (2)(A) and (3)(B), by
striking ‘‘the deposit insurance fund’s outlays’’
each place that term appears and inserting ‘‘the
outlays of the Deposit Insurance Fund’’; and
(39) in section 38(o) (12 U.S.C. 1831o(o))—
(A) by striking ‘‘ASSOCIATIONS.—’’ and all
that follows through ‘‘Subsections (e)(2)’’ and
inserting ‘‘ASSOCIATIONS.—Subsections (e)(2)’’;
(B) by redesignating subparagraphs (A),
(B), and (C) as paragraphs (1), (2), and (3),
respectively, and moving the margins 2 ems to
the left; and
(C) in paragraph (1) (as so redesignated),
by redesignating clauses (i) and (ii) as subpara-
graphs (A) and (B), respectively, and moving
the margins 2 ems to the left.
(b) EFFECTIVE DATE.—This section and the amend-
ments made by this section shall take effect on the first
day of the first calendar quarter that begins after the end
of the 90-day period beginning on the date of the enact-
ment of this Act.
SEC. 13. OTHER TECHNICAL AND CONFORMING AMEND-
MENTS RELATING TO THE MERGER OF THE
BIF AND SAIF.
(a) SECTION 5136 OF THE REVISED STATUTES.—
The paragraph designated the ‘‘Eleventh’’ of section 5136
of the Revised Statutes of the United States (12 U.S.C.
24) is amended in the 5th sentence, by striking ‘‘affected
deposit insurance fund’’ and inserting ‘‘Deposit Insurance
Fund’’.
(b) INVESTMENTS PROMOTING PUBLIC WELFARE;
LIMITATIONS ON AGGREGATE INVESTMENTS.—The 23d
undesignated paragraph of section 9 of the Federal Re-
serve Act (12 U.S.C. 338a) is amended in the 4th sen-
tence, by striking ‘‘affected deposit insurance fund’’ and
inserting ‘‘Deposit Insurance Fund’’.
(c) ADVANCES TO CRITICALLY UNDERCAPITALIZED
DEPOSITORY INSTITUTIONS.—Section 10B(b)(3)(A)(ii) of
the Federal Reserve Act (12 U.S.C. 347b(b)(3)(A)(ii)) is
amended by striking ‘‘any deposit insurance fund in’’ and
inserting ‘‘the Deposit Insurance Fund of’’.
(d) AMENDMENTS TO THE BALANCED BUDGET AND
EMERGENCY DEFICIT CONTROL ACT OF 1985.—Section
255(g)(1)(A) of the Balanced Budget and Emergency
Deficit Control Act of 1985 (2 U.S.C. 905(g)(1)(A)) is
amended—
(1) by striking ‘‘Bank Insurance Fund’’ and in-
serting ‘‘Deposit Insurance Fund’’; and
(2) by striking ‘‘Federal Deposit Insurance Cor-
poration, Savings Association Insurance Fund (51–
4066–0–3–373);’’.
(e) AMENDMENTS TO THE FEDERAL HOME LOAN
BANK ACT.—The Federal Home Loan Bank Act (12
U.S.C. 1421 et seq.) is amended—
(1) in section 11(k) (12 U.S.C. 1431(k))—
(A) in the subsection heading, by striking
‘‘SAIF’’ and inserting ‘‘THE DEPOSIT INSUR-
ANCE FUND’’; and
(B) by striking ‘‘Savings Association In-
surance Fund’’ each place such term appears
and inserting ‘‘Deposit Insurance Fund’’;
(2) in section 21 (12 U.S.C. 1441)—
(A) in subsection (f)(2), by striking ‘‘, ex-
cept that’’ and all that follows through the end
of the paragraph and inserting a period; and
(B) in subsection (k), by striking para-
graph (4);
(3) 
in 
section 
21A(b)(4)(B) 
(12 
U.S.C.
1441a(b)(4)(B)), by striking ‘‘affected deposit insur-
ance fund’’ and inserting ‘‘Deposit Insurance
Fund’’;
(4) 
in 
section 
21A(b)(6)(B) 
(12 
U.S.C.
1441a(b)(6)(B))—
(A) in the subparagraph heading, by strik-
ing ‘‘SAIF-INSURED
BANKS’’ and inserting
‘‘CHARTER CONVERSIONS’’; and
(B) by striking ‘‘Savings Association In-
surance Fund member’’ and inserting ‘‘savings
association’’;
(5) in section 21A(b)(10)(A)(iv)(II) (12 U.S.C.
1441a(b)(10)(A)(iv)(II)), by striking ‘‘Savings Asso-
ciation Insurance Fund’’ and inserting ‘‘Deposit In-
surance Fund’’;
(6) in section 21A(n)(6)(E)(iv) (12 U.S.C.
1441(n)(6)(E)(iv)), by striking ‘‘Federal deposit in-
surance funds’’ and inserting ‘‘the Deposit Insur-
ance Fund’’;
(7) in section 21B(e) (12 U.S.C. 1441b(e))—
(A) in paragraph (5), by inserting ‘‘as of
the date of funding’’ after ‘‘Savings Association
Insurance Fund members’’ each place that term
appears; and
(B) by striking paragraphs (7) and (8);
and
(8) in section 21B(k) (12 U.S.C. 1441b(k))—
(A) by inserting before the colon ‘‘, the fol-
lowing definitions shall apply’’;
(B) by striking paragraph (8); and
(C) by redesignating paragraphs (9) and
(10) as paragraphs (8) and (9), respectively.
(f) AMENDMENTS TO THE HOME OWNERS’ LOAN
ACT.—The Home Owners’ Loan Act (12 U.S.C. 1461 et
seq.) is amended—
(1) in section 5 (12 U.S.C. 1464)—
(A) in subsection (c)(5)(A), by striking
‘‘that is a member of the Bank Insurance
Fund’’;
(B) in subsection (c)(6), by striking ‘‘As
used in this subsection—’’ and inserting ‘‘For
purposes of this subsection, the following defini-
tions shall apply:’’;
(C) in subsection (o)(1), by striking ‘‘that
is a Bank Insurance Fund member’’;
(D) in subsection (o)(2)(A), by striking ‘‘a
Bank Insurance Fund member until such time
as it changes its status to a Savings Association
Insurance Fund member’’ and inserting ‘‘in-
sured by the Deposit Insurance Fund’’;
(E) in subsection (t)(5)(D)(iii)(II), by
striking ‘‘affected deposit insurance fund’’ and
inserting ‘‘Deposit Insurance Fund’’;
(F) in subsection (t)(7)(C)(i)(I), by strik-
ing ‘‘affected deposit insurance fund’’ and in-
serting ‘‘Deposit Insurance Fund’’; and
(G) in subsection (v)(2)(A)(i), by striking
‘‘the Savings Association Insurance Fund’’ and
inserting ‘‘or the Deposit Insurance Fund’’; and
(2) in section 10 (12 U.S.C. 1467a)—
(A) in subsection (c)(6)(D), by striking
‘‘this title’’ and inserting ‘‘this Act’’;
(B) in subsection (e)(1)(B), by striking
‘‘Savings Association Insurance Fund or Bank
Insurance Fund’’ and inserting ‘‘Deposit Insur-
ance Fund’’;
(C) in subsection (e)(2), by striking ‘‘Sav-
ings Association Insurance Fund or the Bank