State banking supervisor selected by the Conference of 
State Bank Supervisors (or a successor organization). 
(c) DUTIES.—The FSIO Liaison Committee shall— 
(1) consult on the administration, coordination, 
and oversight of each agency’s FSIO; 
(2) facilitate the cooperation of each FSIO to 
ensure that agencies share information and data on 
petitions submitted under section 6; 
(3) monitor regulatory proposals and develop-
ments related to financial innovations; 
(4) encourage the application of uniform prin-
ciples and standards at each FSIO; and 
(5) hold public field hearings 4 times a year to 
informally provide— 
(A) information and advice to the public 
and covered persons; and 
(B) a forum to gather information from 
the public and covered persons. 
(d) MEETINGS.—The FSIO Liaison Committee shall 
meet at least twice a year. 
(e) CHAIR.— 
(1) ESTABLISHMENT.—The first Chair of the 
FSIO Liaison Committee shall be elected by the 
members. The Chair shall serve for a term of 2 
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years and thereafter the chairmanship shall rotate 
among the members of the committee. 
(2) POWERS OF THE CHAIR.—The Chair is au-
thorized to carry out the internal administration of 
the FSIO Liaison Committee, including the appoint-
ment and supervision of employees and the distribu-
tion of tasks among members, employees, and ad-
ministrative units. 
(f) TESTIMONY.—Not later than 6 months after the 
date of the enactment of this Act, the Chair of the FSIO 
Liaison Committee shall present testimony to Congress on 
the activities of the FSIO Liaison Committee. 
(g) FUNDING.— 
(1) COMPENSATION OF MEMBERS.—Each mem-
ber of the FSIO Liaison Committee shall serve with-
out additional compensation but shall be entitled to 
reasonable expenses incurred in carrying out official 
duties as such a member. 
(2) GENERAL EXPENSES.—The costs and ex-
penses of the FSIO Liaison Committee, including 
the salaries of employees, shall be split equally be-
tween, and paid by, each agency other than an agen-
cy that has eliminated the agency’s FSIO pursuant 
to section 4(g). 
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SEC. 6. PETITION TO AGENCY. 
(a) IN GENERAL.—A covered person may submit a 
petition to an agency, through the agency’s FSIO, in such 
form and in such manner as the agency’s FSIO may re-
quire, to request to enter into an enforceable compliance 
agreement containing a modification or waiver of an agen-
cy regulation or Federal statutory requirement under 
which the agency has supervisory or rulemaking authority 
with respect to the covered person or a financial innova-
tion the covered person offers or intends to offer. 
(b) CONTENTS.—In a petition submitted under this 
section, the covered person shall— 
(1) submit an alternative compliance strategy 
that proposes a method to comply with the agency 
regulation or Federal statutory requirement; and 
(2) demonstrate that under the alternative com-
pliance strategy, the financial innovation— 
(A) would serve the public interest; 
(B) improves access to financial products 
or services; and 
(C) does not present systemic risk to the 
United States financial system and promotes 
consumer protection. 
(c) MULTIPARTY PETITIONS.—One or more covered 
persons that offer or intend to offer similar financial inno-
vations may jointly submit a petition under this section. 
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(d) SAFE HARBOR.— 
(1) IN GENERAL.—During the period after a 
covered person submits a petition under this section 
and before the agency receiving the petition makes 
a determination on the petition pursuant to section 
7, an agency may not take an enforcement action 
against a covered person relating to the financial in-
novation that was the subject of the petition. 
(2) INJUNCTIVE RELIEF.—If an agency deter-
mines that a financial innovation described under 
paragraph (1) presents an immediate danger to con-
sumers or presents systemic risk to the United 
States financial system, the agency may apply to a 
court of competent jurisdiction for injunction to pro-
hibit a covered person from offering such financial 
innovation during the period described in paragraph 
(1). 
(e) NOTICE AND COMMENT.— 
(1) IN GENERAL.—Not later than 30 days after 
receiving a petition, the agency that receives the pe-
tition shall publish the petition in the Federal Reg-
ister and provide a 60-day period for public notice 
and comment. 
(2) EXCEPTION FOR NOTICE AND COMMENT PE-
RIOD.—The agency that receives the petition may 
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waive the notice and comment period described in 
paragraph (1) if such agency determines that the 
covered person submitting the petition is similarly 
situated to another covered person that has been 
granted approval of a petition pursuant to section 7. 
(3) 
CONFIDENTIALITY.—The 
agency 
shall 
maintain the confidentiality of any nonpublicly avail-
able data or information in any petition submitted 
under this section. The agency shall give reasonable 
consideration to maintaining the confidentiality of 
data or information identified by the covered person 
in the petition submitting under this section as non-
publicly available data or information. 
SEC. 7. AGENCY DETERMINATION OF PETITION. 
(a) IN GENERAL.—Not later than 30 days after the 
end of the comment period described under section 6, or 
if the comment period was waived, not later than 60 days 
after receipt of a petition under section 6, the head of the 
agency receiving the petition shall complete a review of 
the petition and notify the covered person, in writing, of 
the agency’s determination of the petition. 
(b) APPROVAL.—If the covered person submitting the 
petition shows that it is more likely than not that the cov-
ered person meets the requirements for establishing an al-
ternative compliance strategy, the agency shall— 
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(1) approve the petition; and 
(2) enter into an enforceable compliance agree-
ment with the covered person in accordance with the 
requirements of section 8. 
(c) DISAPPROVAL.— 
(1) EXPLANATION.—If the agency rejects a pe-
tition, the agency head shall provide the covered per-
son with a written notice explaining the reason for 
rejecting the petition, including— 
(A) evidence that the covered person did 
not satisfy the requirements for establishing an 
alternative compliance strategy; 
(B) an identification of the rules or regula-
tions of the agency applicable to the covered 
person with respect to the financial innovation; 
and 
(C) a description of— 
(i) any beneficial effects, including an 
identification of persons likely to benefit, 
from rejecting the petition; 
(ii) any potential costs, including an 
identification of persons likely to bear the 
costs, of rejecting the petition; and 
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