I 
114TH CONGRESS 
1ST SESSION H. R. 1660 
To amend the Home Owners’ Loan Act to allow Federal savings associations 
to elect to operate as national banks, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
MARCH 26, 2015 
Mr. ROTHFUS (for himself and Mr. HIMES) introduced the following bill; 
which was referred to the Committee on Financial Services 
A BILL 
To amend the Home Owners’ Loan Act to allow Federal 
savings associations to elect to operate as national banks, 
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 ‘‘Federal Savings Asso-
ciation Charter Flexibility Act of 2015’’. 
SEC. 2. OPTION FOR FEDERAL SAVINGS ASSOCIATIONS TO 
OPERATE AS A COVERED SAVINGS ASSOCIA-
TION. 
The Home Owners’ Loan Act is amended by inserting 
after section 5 (12 U.S.C. 1464) the following: 
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‘‘SEC. 5A. ELECTION TO OPERATE AS A COVERED SAVINGS 
ASSOCIATION. 
‘‘(a) DEFINITION.—In this section, the term ‘covered 
savings association’ means a Federal savings association 
that makes an election approved under subsection (b). 
‘‘(b) ELECTION.— 
‘‘(1) IN GENERAL.—Upon issuance of the rules 
described in subsection (f), a Federal savings asso-
ciation may elect to operate as a covered savings as-
sociation by submitting a notice to the Comptroller 
of such election. 
‘‘(2) APPROVAL.—A Federal savings association 
shall be deemed to be approved to operate as a cov-
ered savings association on the date that is 60 days 
after the date on which the Comptroller receives the 
notice under paragraph (1), unless the Comptroller 
notifies the Federal savings association otherwise. 
‘‘(c) RIGHTS
AND DUTIES.—Notwithstanding any 
other provision of law and except as otherwise provided 
in this section, a covered savings association shall— 
‘‘(1) have the same rights and privileges as a 
national bank that has its main office situated in the 
same location as the home office of the covered sav-
ings association; and 
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‘‘(2) be subject to the same duties, restrictions, 
penalties, liabilities, conditions, and limitations that 
would apply to such a national bank. 
‘‘(d) TREATMENT OF COVERED SAVINGS ASSOCIA-
TIONS.—A covered savings association shall be treated as 
a Federal savings association for the purposes— 
‘‘(1) of governance of the covered savings asso-
ciation, including incorporation, bylaws, boards of 
directors, shareholders, and distribution of divi-
dends; 
‘‘(2) of consolidation, merger, dissolution, con-
version (including conversion to a stock bank or to 
another charter), conservatorship, and receivership; 
and 
‘‘(3) determined by regulation of the Comp-
troller. 
‘‘(e) EXISTING BRANCHES.—A covered savings asso-
ciation may continue to operate any branch or agency the 
covered savings association operated on the date on which 
an election under subsection (b) is approved. 
‘‘(f) RULEMAKING.—The Comptroller shall issue 
rules to carry out this section— 
‘‘(1) that establish streamlined standards and 
procedures that clearly identify required documenta-
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tion or timelines for an election under subsection 
(b); 
‘‘(2) that require a Federal savings association 
that makes an election under subsection (b) to iden-
tify specific assets and subsidiaries— 
‘‘(A) that do not conform to the require-
ments for assets and subsidiaries of a national 
bank; and 
‘‘(B) that are held by the Federal savings 
association on the date on which the Federal 
savings association submits a notice of such 
election; 
‘‘(3) that establish— 
‘‘(A) a transition process for bringing such 
assets and subsidiaries into conformance with 
the requirements for a national bank; and 
‘‘(B) procedures for allowing the Federal 
savings association to provide a justification for 
grandfathering such assets and subsidiaries 
after electing to operate as a covered savings 
association; 
‘‘(4) that establish standards and procedures to 
allow a covered savings association to terminate an 
election under subsection (b) after an appropriate 
period of time or to make a subsequent election; 
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‘‘(5) that clarify requirements for the treatment 
of covered savings associations, including the provi-
sions of law that apply to covered savings associa-
tions; and 
‘‘(6) as the Comptroller deems necessary and in 
the interests of safety and soundness.’’. 
Æ 
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