I 
111TH CONGRESS 
1ST SESSION H. R. 2745 
To amend the Emergency Economic Stabilization Act of 2008 to provide 
repayment procedures for certain assistance received under the Troubled 
Asset Relief Program. 
IN THE HOUSE OF REPRESENTATIVES 
JUNE 8, 2009 
Mr. HENSARLING introduced the following bill; which was referred to the 
Committee on Financial Services 
A BILL 
To amend the Emergency Economic Stabilization Act of 
2008 to provide repayment procedures for certain assist-
ance received under the Troubled Asset Relief Program. 
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 ‘‘TARP Repayment and 
Termination Act of 2009’’. 
SEC. 2. ADDITIONAL REPAYMENT PROCEDURES. 
(a) IN GENERAL.—Title I of the Emergency Eco-
nomic Stabilization Act of 2008 (12 U.S.C. 5201 et seq.) 
is amended by adding at the end the following new section: 
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‘‘SEC. 137. ADDITIONAL REPAYMENT PROCEDURES. 
‘‘(a) RIGHT OF REPAYMENT FOR WELL CAPITALIZED 
INSTITUTIONS.—Any financial institution that has re-
ceived or receives assistance under this title shall have the 
right to immediately repay all of such assistance, and the 
Secretary shall unconditionally accept such a payment, 
if— 
‘‘(1) with respect to an insured depository insti-
tution, the appropriate Federal banking agency de-
termines that such financial institution will be well 
capitalized after the repayment of all of such assist-
ance; and 
‘‘(2) such financial institution has paid any div-
idend, interest, or other payment due to the Sec-
retary by reason of the financial institution receiving 
assistance under this title. 
‘‘(b) RIGHT OF REPAYMENT FOR CERTAIN BANK 
HOLDING COMPANIES.—Notwithstanding subsection (a), 
a bank holding company assessed under SCAP shall have 
the right to immediately repay all assistance such com-
pany received under this title, and the Secretary shall un-
conditionally accept such a payment, if the Secretary, in 
consultation with the appropriate Federal banking agency, 
where applicable, determines that, upon the repayment of 
all of such assistance, such company— 
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‘‘(1) will remain in a position to continue to ful-
fill its role as an intermediary that facilitates lend-
ing to creditworthy households and businesses; 
‘‘(2) will be able to maintain capital levels that 
are consistent with supervisory expectations; 
‘‘(3) will be able to continue to serve as a 
source of financial and managerial strength and sup-
port to any subsidiary bank of such company; and 
‘‘(4) along with any subsidiary bank of such 
company, will be able to meet all ongoing funding 
requirements and obligations to counterparties while 
reducing reliance on Government capital and the 
TLGP. 
‘‘(c) PREFERRED SHARE REPURCHASE LEVELS.— 
With respect to preferred shares held by the Secretary, 
in making a full repayment of all assistance received by 
a financial institution under this title on or before Sep-
tember 30, 2009, such institution shall have the right to 
repurchase such preferred shares at— 
‘‘(1) in the case of a preferred share purchased 
by the Secretary under this title, the same price the 
Secretary purchased such share for from the finan-
cial institution; and 
‘‘(2) in the case of a preferred share held by the 
Secretary as a result of the Secretary’s exercise of 
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a warrant received by the Secretary pursuant to sec-
tion 113(d)(1)(B), the same price the Secretary pur-
chased such warrant for from the financial institu-
tion. 
‘‘(d) REDUCTION IN AUTHORIZATION TO PURCHASE 
IN CORRESPONDING AMOUNT
TO ANY REPAYMENT.— 
Each time a financial institution makes a repayment of 
assistance provided under this title, the authorization to 
purchase authority under section 115 shall be reduced by 
a corresponding dollar amount. 
‘‘(e) PROVISION
OF REPAYMENT INFORMATION.— 
Not later than 15 days after the Secretary is notified by 
a financial institution that such financial institution wants 
to immediately repay all assistance received by such insti-
tution under this title, the Secretary, in consultation with 
the appropriate Federal banking agency, if any, shall ei-
ther— 
‘‘(1) accept such repayment; or 
‘‘(2) notify such institution, in writing, that the 
individual financial position of such institution does 
not currently permit the repayment of such assist-
ance, and include in such notice information detail-
ing steps the institution can take to satisfy the Sec-
retary and the appropriate Federal banking agency, 
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‘‘(6) WELL CAPITALIZED.—With respect to an 
insured depository institution, the term ‘well capital-
ized’ has the meaning given to such term in section 
38(b)(1)(A) of the Federal Deposit Insurance Act 
(12 U.S.C. 1831o(b)(1)(A)).’’. 
(b) WARRANT LIQUIDATION REQUIREMENT.—Sec-
tion 111(g) of the Emergency Economic Stabilization Act 
of 2008 (12 U.S.C. 5221(g)) is amended by striking ‘‘, 
at the market price, may liquidate warrants associated 
with such assistance’’ and inserting ‘‘shall liquidate war-
rants associated with such assistance at the current mar-
ket price, except as otherwise provided in section 
137(c)(2)’’. 
(c) REPEAL OF EXTENSION AUTHORITY.—Section 
120 of the Emergency Economic Stabilization Act of 2008 
(12 U.S.C. 5230) is amended— 
(1) in subsection (a), by striking ‘‘(a) TERMI-
NATION.—The’’ and inserting ‘‘The’’; and 
(2) by striking subsection (b). 
(d) CONFORMING AMENDMENT.—The table of con-
tents for the Emergency Economic Stabilization Act of 
2008 is amended by inserting after the item relating to 
section 136 the following new item: 
‘‘137. Additional repayment procedures.’’. 
Æ 
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