II 
114TH CONGRESS 
2D SESSION 
H. R. 6392 
IN THE SENATE OF THE UNITED STATES 
DECEMBER 5, 2016 
Received 
AN ACT 
To amend the Dodd-Frank Wall Street Reform and Con-
sumer Protection Act to specify when bank holding com-
panies may be subject to certain enhanced supervision, 
and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
VerDate Sep 11 2014 
01:06 Dec 11, 2016
Jkt 069200
PO 00000
Frm 00001
Fmt 6652
Sfmt 6201
E:\BILLS\H6392.RDS
H6392
rfrederick on DSKBCBPHB2PROD with BILLS
HR 6392 RDS
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Systemic Risk Des-
ignation Improvement Act of 2016’’. 
SEC. 2. TABLE OF CONTENTS. 
The table of contents for the Dodd-Frank Wall Street 
Reform and Consumer Protection Act (12 U.S.C. 5301 
et seq.) is amended by striking the item relating to section 
113 and inserting the following: 
‘‘Sec. 113. Authority to require enhanced supervision and regulation of certain 
nonbank financial companies and certain bank holding compa-
nies.’’. 
SEC. 3. REVISIONS TO COUNCIL AUTHORITY. 
(a) PURPOSES AND DUTIES.—Section 112 of the 
Dodd-Frank Wall Street Reform and Consumer Protec-
tion Act (12 U.S.C. 5322) is amended in subsection 
(a)(2)(I) by inserting before the semicolon ‘‘, which have 
been the subject of a final determination under section 
113’’. 
(b) BANK HOLDING COMPANY DESIGNATION.—Sec-
tion 113 of the Dodd-Frank Wall Street Reform and Con-
sumer Protection Act (12 U.S.C. 5323) is amended— 
(1) by amending the heading for such section to 
read as follows: ‘‘AUTHORITY TO REQUIRE EN-
HANCED
SUPERVISION
AND
REGULATION
OF 
CERTAIN
NONBANK
FINANCIAL
COMPANIES 
AND CERTAIN BANK HOLDING COMPANIES’’; 
VerDate Sep 11 2014 
01:06 Dec 11, 2016
Jkt 069200
PO 00000
Frm 00002
Fmt 6652
Sfmt 6201
E:\BILLS\H6392.RDS
H6392
rfrederick on DSKBCBPHB2PROD with BILLS
HR 6392 RDS
(2) by redesignating subsections (c), (d), (e), 
(f), (g), (h), and (i) as subsections (d), (e), (f), (g), 
(h), (i), and (j), respectively; 
(3) by inserting after subsection (b) the fol-
lowing: 
‘‘(c) BANK HOLDING COMPANIES SUBJECT TO EN-
HANCED SUPERVISION
AND PRUDENTIAL STANDARDS 
UNDER SECTION 165.— 
‘‘(1) DETERMINATION.—The Council, on a non-
delegable basis and by a vote of not fewer than 2⁄3 
of the voting members then serving, including an af-
firmative vote by the Chairperson, may determine 
that a bank holding company shall be subject to en-
hanced supervision and prudential standards by the 
Board of Governors, in accordance with section 165, 
if the Council determines, based on the consider-
ations in paragraph (2), that material financial dis-
tress at the bank holding company, or the nature, 
scope, size, scale, concentration, interconnectedness, 
or mix of the activities of the bank holding company, 
could pose a threat to the financial stability of the 
United States. 
‘‘(2) CONSIDERATIONS.—In making a deter-
mination under paragraph (1), the Council shall use 
the indicator-based measurement approach estab-
VerDate Sep 11 2014 
01:06 Dec 11, 2016
Jkt 069200
PO 00000
Frm 00003
Fmt 6652
Sfmt 6201
E:\BILLS\H6392.RDS
H6392
rfrederick on DSKBCBPHB2PROD with BILLS
HR 6392 RDS
lished by the Basel Committee on Banking Super-
vision to determine systemic importance, which con-
siders— 
‘‘(A) the size of the bank holding company; 
‘‘(B) the interconnectedness of the bank 
holding company; 
‘‘(C) the extent of readily available sub-
stitutes or financial institution infrastructure 
for the services of the bank holding company; 
‘‘(D) the global cross-jurisdictional activity 
of the bank holding company; and 
‘‘(E) the complexity of the bank holding 
company. 
‘‘(3) GSIBS
DESIGNATED
BY
OPERATION
OF 
LAW.—Notwithstanding any other provision of this 
subsection, a bank holding company that is des-
ignated, as of the date of enactment of this sub-
section, as a Global Systemically Important Bank by 
the Financial Stability Board shall be deemed to 
have been the subject of a final determination under 
paragraph (1).’’; 
(4) in subsection (d), as so redesignated— 
(A) in paragraph (1)(A), by striking ‘‘sub-
section (a)(2) or (b)(2)’’ and inserting ‘‘sub-
section (a)(2), (b)(2), or (c)(2)’’; and 
VerDate Sep 11 2014 
01:06 Dec 11, 2016
Jkt 069200
PO 00000
Frm 00004
Fmt 6652
Sfmt 6201
E:\BILLS\H6392.RDS
H6392
rfrederick on DSKBCBPHB2PROD with BILLS
HR 6392 RDS
(B) in paragraph (4), by striking ‘‘Sub-
sections (d) through (h)’’ and inserting ‘‘Sub-
sections (e) through (i)’’; 
(5) in subsections (e), (f), (g), (h), (i), and 
(j)— 
(A) by striking ‘‘subsections (a) and (b)’’ 
each place such term appears and inserting 
‘‘subsections (a), (b), and (c)’’; and 
(B) by striking ‘‘nonbank financial com-
pany’’ each place such term appears and insert-
ing ‘‘bank holding company for which there has 
been a determination under subsection (c) or 
nonbank financial company’’; 
(6) in subsection (g), as so redesignated, by 
striking ‘‘subsection (e)’’ and inserting ‘‘subsection 
(f)’’; 
(7) in subsection (h), as so redesignated, by 
striking ‘‘subsection (a), (b), or (c)’’ and inserting 
‘‘subsection (a), (b), (c), or (d)’’; and 
(8) in subsection (i), as so redesignated, by 
striking ‘‘subsection (d)(2), (e)(3), or (f)(5)’’ and in-
serting ‘‘subsection (e)(2), (f)(3), or (g)(5)’’. 
(c) ENHANCED SUPERVISION.—Section 115 of the 
Dodd-Frank Wall Street Reform and Consumer Protec-
tion Act (12 U.S.C. 5325) is amended— 
VerDate Sep 11 2014 
01:06 Dec 11, 2016
Jkt 069200
PO 00000
Frm 00005
Fmt 6652
Sfmt 6201
E:\BILLS\H6392.RDS
H6392
rfrederick on DSKBCBPHB2PROD with BILLS
HR 6392 RDS
(1) in subsection (a)(1), by striking ‘‘large, 
interconnected bank holding companies’’ and insert-
ing ‘‘bank holding companies which have been the 
subject of a final determination under section 113’’; 
(2) in subsection (a)(2)— 
(A) in subparagraph (A), by striking ‘‘; 
or’’ at the end and inserting a period; 
(B) by striking ‘‘the Council may’’ and all 
that follows through ‘‘differentiate’’ and insert-
ing ‘‘the Council may differentiate’’; and 
(C) by striking subparagraph (B); and 
(3) in subsection (b)(3), by striking ‘‘sub-
sections (a) and (b) of section 113’’ each place such 
term appears and inserting ‘‘subsections (a), (b), 
and (c) of section 113’’. 
(d) REPORTS.—Section 116(a) of the Dodd-Frank 
Wall Street Reform and Consumer Protection Act (12 
U.S.C. 5326(a)) is amended by striking ‘‘with total con-
solidated assets of $50,000,000,000 or greater’’ and in-
serting ‘‘which has been the subject of a final determina-
tion under section 113’’. 
(e) MITIGATION.—Section 121 of the Dodd-Frank 
Wall Street Reform and Consumer Protection Act (12 
U.S.C. 5331) is amended— 
VerDate Sep 11 2014 
01:06 Dec 11, 2016
Jkt 069200
PO 00000
Frm 00006
Fmt 6652
Sfmt 6201
E:\BILLS\H6392.RDS
H6392
rfrederick on DSKBCBPHB2PROD with BILLS
HR 6392 RDS
(d) CONFORMING AMENDMENT.—The second sub-
section (s) (relating to ‘‘Assessments, Fees, and Other 
Charges for Certain Companies’’) of section 11 of the Fed-
eral Reserve Act (12 U.S.C. 248) is amended— 
(1) by redesignating such subsection as sub-
section (t); and 
(2) in paragraph (2)— 
(A) in subparagraph (A), by striking ‘‘hav-
ing 
total 
consolidated 
assets 
of 
$50,000,000,000 or more;’’ and inserting 
‘‘which have been the subject of a final deter-
mination under section 113 of the Dodd-Frank 
Wall Street Reform and Consumer Protection 
Act; and’’; 
(B) by striking subparagraph (B); and 
(C) by redesignating subparagraph (C) as 
subparagraph (B). 
SEC. 5. EFFECTIVE DATE; RULE OF APPLICATION. 
(a) EFFECTIVE
DATE.—The Financial Stability 
Oversight Council may begin proceedings with respect to 
a bank holding company under section 113(c)(1) of the 
Dodd-Frank Wall Street Reform and Consumer Protec-
tion Act, as added by this Act, on the date of the enact-
ment of this Act, but may not make a final determination 
under such section 113(c)(1) with respect to a bank hold-
VerDate Sep 11 2014 
01:06 Dec 11, 2016
Jkt 069200
PO 00000
Frm 00009
Fmt 6652
Sfmt 6201
E:\BILLS\H6392.RDS
H6392
rfrederick on DSKBCBPHB2PROD with BILLS
HR 6392 RDS
ing company before the end of the 1-year period beginning 
on the date of the enactment of this Act. 
(b) IMMEDIATE
APPLICATION
TO
LARGE
BANK 
HOLDING COMPANIES.—During the 1-year period de-
scribed under subsection (a), a bank holding company with 
total consolidated assets equal to or greater than 
$50,000,000,000 shall be deemed to have been the subject 
of a final determination under section 113(c)(1) of the 
Dodd-Frank Wall Street Reform and Consumer Protec-
tion Act. 
SEC. 6. EXISTING ASSESSMENT TERMINATION SCHEDULE. 
(a) TEMPORARY EXTENSION OF EXISTING ASSESS-
MENT.— 
(1) IN GENERAL.—Each bank holding company 
with total consolidated assets equal to or greater 
than $50,000,000,000 and which has not been the 
subject of a final determination under section 113 of 
the Dodd-Frank Wall Street Reform and Consumer 
Protection Act (12 U.S.C. 5323) shall be subject to 
assessments by the Secretary of the Treasury to the 
same extent as a bank holding company that has 
been subject to such a final determination. 
(2) LIMITATION
ON
AMOUNT
OF
ASSESS-
MENTS.—The aggregate amount collected pursuant 
to paragraph (1) from all bank holding companies 
VerDate Sep 11 2014 
01:06 Dec 11, 2016
Jkt 069200
PO 00000
Frm 00010
Fmt 6652
Sfmt 6201
E:\BILLS\H6392.RDS
H6392
rfrederick on DSKBCBPHB2PROD with BILLS
HR 6392 RDS
assessed 
under 
such 
paragraph 
shall 
be 
$115,000,000. 
(3) EXPEDITED
ASSESSMENTS.—If necessary, 
the Secretary of the Treasury shall expedite assess-
ments made pursuant to paragraph (1) to ensure 
that all $115,000,000 of assessments permitted by 
paragraph (2) is collected before fiscal year 2018. 
(4) PAYMENT PERIOD OPTIONS.—The Secretary 
of the Treasury shall offer the option of payments 
spread out before the end of fiscal year 2018, or 
shorter periods including the option of a one-time 
payment, at the discretion of each bank holding 
company paying assessments pursuant to paragraph 
(1). 
(5) ASSESSMENTS TO BE MADE IN ADDITION TO 
ANY
OTHER
ASSESSMENTS.—The assessments col-
lected pursuant to paragraph (1) shall be in addition 
to, and not as a replacement of, any assessments re-
quired under any other law. 
(b) USE OF ASSESSMENTS.—Of the total amount col-
lected pursuant to subsection (a)— 
(1) $60,000,000 shall be transferred to the Fi-
nancial Stability Oversight Council to pay for any 
administrative costs resulting from this Act and the 
amendments made by this Act, of which the Finan-
VerDate Sep 11 2014 
01:06 Dec 11, 2016
Jkt 069200
PO 00000
Frm 00011
Fmt 6652
Sfmt 6201
E:\BILLS\H6392.RDS
H6392
rfrederick on DSKBCBPHB2PROD with BILLS
HR 6392 RDS
cial Stability Oversight Council shall distribute 
$20,000,000 to the Board of Governors of the Fed-
eral Reserve System, $20,000,000 to the Federal 
Deposit Insurance Corporation, and $20,000,000 to 
the general fund of the Treasury; and 
(2) $55,000,000 shall be transferred to the 
Federal Deposit Insurance Corporation to pay for 
any resolution costs resulting from this Act and the 
amendments made by this Act. 
(c) TREATMENT UPON DETERMINATION.—A bank 
holding company assessed under this section shall no 
longer be subject to such assessments in the event it is 
subject to a final determination under section 113 of the 
Dodd-Frank Wall Street Reform and Consumer Protec-
tion Act (12 U.S.C. 5323). Any prior payments made by 
such a banking holding company pursuant to an assess-
ment under this section shall be nonrefundable. 
(d) RULE OF CONSTRUCTION.—A bank holding com-
pany deemed to have been the subject of a final determina-
tion under section 113 of the Dodd-Frank Wall Street Re-
form and Consumer Protection Act (12 U.S.C. 5323) 
under section 5(b) shall not be subject to assessments 
under subsection (a) solely by operation of section 5(b). 
VerDate Sep 11 2014 
01:06 Dec 11, 2016
Jkt 069200
PO 00000
Frm 00012
Fmt 6652
Sfmt 6201
E:\BILLS\H6392.RDS
H6392
rfrederick on DSKBCBPHB2PROD with BILLS
HR 6392 RDS
SEC. 7. RULE OF CONSTRUCTION. 
Nothing in this Act or the amendments made by this 
Act may be construed as broadly applying international 
standards except as specifically provided under para-
graphs (2) and (3) of section 113(c) of the Dodd-Frank 
Wall Street Reform and Consumer Protection Act, as 
added by section 3. 
Passed the House of Representatives December 1, 
2016. 
Attest: 
KAREN L. HAAS, 
Clerk. 
VerDate Sep 11 2014 
01:06 Dec 11, 2016
Jkt 069200
PO 00000
Frm 00013
Fmt 6652
Sfmt 6201
E:\BILLS\H6392.RDS
H6392
rfrederick on DSKBCBPHB2PROD with BILLS