I 
108TH CONGRESS 
1ST SESSION 
H. R. 111
To amend the Bank Holding Company Act of 1956 and the Revised Statutes 
of the United States to prohibit financial holding companies and national 
banks from engaging, directly or indirectly, in real estate brokerage 
or real estate management activities, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
JANUARY 7, 2003
Mr. CALVERT (for himself, Mr. KANJORSKI, Mr. LATOURETTE, Ms. WATERS, 
Mrs. NORTHUP, Mr. SHERMAN, Mr. LEWIS of California, Mr. YOUNG of 
Florida, Mr. WAMP, Ms. WOOLSEY, Mrs. BONO, Mr. CUNNINGHAM, Mr. 
FOLEY, Mr. SANDERS, Mr. MURTHA, Mr. CONYERS, Mr. HINCHEY, Ms. 
SCHAKOWSKY, Mr. TOWNS, Mr. FARR of California, Mr. OWENS, Mr. 
SANDLIN, Ms. KAPTUR, Mr. BRADY of Texas, Ms. LEE, Mr. THOMPSON 
of California, Ms. NORTON, Mr. VITTER, Mr. DELAHUNT, Mr. GEORGE 
MILLER of California, Mr. ANDREWS, Mr. LANTOS, Mr. DOOLITTLE, Mr. 
SAXTON, Mr. NADLER, Mr. MATSUI, Mr. ISRAEL, Mrs. JO ANN DAVIS 
of Virginia, Mr. BLUMENAUER, Mr. GORDON, Mrs. CAPITO, Mr. 
HERGER, Mr. GOODLATTE, Mr. WEINER, Mr. MCHUGH, Mr. WILSON of 
South Carolina, Mr. HOLT, Mr. LARSEN of Washington, Mr. QUINN, Mr. 
SIMMONS, Mr. HOLDEN, Mr. ABERCROMBIE, Ms. SLAUGHTER, Mrs. 
JONES of Ohio, Mr. TANCREDO, Mr. SMITH of New Jersey, Mr. DUNCAN, 
Mr. SHUSTER, Mr. LOBIONDO, Mr. BARTON of Texas, Ms. GRANGER, 
Ms. ESHOO, Mr. LARSON of Connecticut, Ms. MILLENDER-MCDONALD, 
Mr. UDALL of Colorado, Ms. ROYBAL-ALLARD, Mr. ROTHMAN, Mr. 
LAMPSON, Mr. JEFF MILLER of Florida, Mr. BAIRD, Mr. WHITFIELD, 
Mr. SHAW, Ms. SOLIS, Mr. DEFAZIO, Mr. MCKEON, Mr. BURTON of In-
diana, Mr. LEWIS of Kentucky, Ms. CORRINE BROWN of Florida, Mr. 
LEVIN, Mr. PASCRELL, Mr. DAVIS of Illinois, Mr. GUTIERREZ, Mr. 
GREEN of Texas, Mr. MATHESON, Mr. CRAMER, Mr. STEARNS, Mr. ROG-
ERS of Alabama, Mr. HINOJOSA, Ms. HARMAN, Mr. FORD, Mr. OTTER, 
Mr. KIRK, Mr. RODRIGUEZ, Mr. HOBSON, Mr. WEXLER, Mr. HEFLEY, 
Mr. BROWN of Ohio, Mr. MCINNIS, Ms. BALDWIN, Mr. ADERHOLT, Mr. 
ENGEL, Mr. MICA, Mr. HUNTER, Mr. EVERETT, Mr. BERMAN, Mr. TAU-
ZIN, Mr. GIBBONS, Mr. DICKS, Mr. CARDOZA, Mr. BOEHLERT, and Mr. 
DINGELL) introduced the following bill; which was referred to the Com-
mittee on Financial Services
A BILL 
To amend the Bank Holding Company Act of 1956 and 
the Revised Statutes of the United States to prohibit 
financial holding companies and national banks from en-
gaging, directly or indirectly, in real estate brokerage 
or real estate management activities, and for other pur-
poses.
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 ‘‘Community Choice in 
Real Estate Act’’. 
SEC. 2. CLARIFICATION THAT REAL ESTATE BROKERAGE 
AND MANAGEMENT ACTIVITIES ARE NOT 
BANKING OR FINANCIAL ACTIVITIES. 
(a) BANK HOLDING COMPANY ACT OF 1956.—Sec-
tion 4(k) of the Bank Holding Company Act of 1956 (12 
U.S.C. 1843(k)) is amended by adding at the end the fol-
lowing new paragraph: 
‘‘(8) REAL ESTATE BROKERAGE AND REAL ES-
TATE MANAGEMENT ACTIVITIES.—
‘‘(A) IN GENERAL.—The Board may not 
determine that real estate brokerage activity or 
real estate management activity is an activity 
that is financial in nature, is incidental to any
financial activity, or is complementary to a fi-
nancial activity. 
‘‘(B) REAL ESTATE BROKERAGE ACTIVITY 
DEFINED.—For purposes of this paragraph, the 
term ‘real estate brokerage activity’ means any 
activity that involves offering or providing real 
estate brokerage services to the public, includ-
ing—
‘‘(i) acting as an agent for a buyer, 
seller, lessor, or lessee of real property;
‘‘(ii) listing or advertising real prop-
erty for sale, purchase, lease, rental, or ex-
change; 
‘‘(iii) providing advice in connection 
with sale, purchase, lease, rental, or ex-
change of real property; 
‘‘(iv) bringing together parties inter-
ested in the sale, purchase, lease, rental, or 
exchange of real property; 
‘‘(v) negotiating, on behalf of any 
party, any portion of a contract relating to 
the sale, purchase, lease, rental, or ex-
change of real property (other than in con-
nection with providing financing with re-
spect to any such transaction);
‘‘(vi) engaging in any activity for 
which a person engaged in the activity is 
required to be registered or licensed as a 
real estate agent or broker under any ap-
plicable law; and 
‘‘(vii) offering to engage in any activ-
ity, or act in any capacity, described in 
clause (i), (ii), (iii), (iv), (v), or (vi). 
‘‘(C) REAL ESTATE MANAGEMENT ACTIV-
ITY DEFINED.—For purposes of this paragraph, 
the term ‘real estate management activity’ 
means any activity that involves offering or pro-
viding real estate management services to the 
public, including—
‘‘(i) procuring any tenant or lessee for 
any real property; 
‘‘(ii) negotiating leases of real prop-
erty; 
‘‘(iii) maintaining security deposits on 
behalf of any tenant or lessor of real prop-
erty (other than as a depository institution 
for any person providing real estate man-
agement services for any tenant or lessor 
of real property);
‘‘(iv) billing and collecting rental pay-
ments with respect to real property or pro-
viding periodic accounting for such pay-
ments; 
‘‘(v) making principal, interest, insur-
ance, tax, or utility payments with respect 
to real property (other than as a deposi-
tory institution or other financial institu-
tion on behalf of, and at the direction of, 
an account holder at the institution); 
‘‘(vi) overseeing the inspection, main-
tenance, and upkeep of real property, gen-
erally; and 
‘‘(vii) offering to engage in any activ-
ity, or act in any capacity, described in 
clause (i), (ii), (iii), (iv), (v), or (vi). 
‘‘(D) EXCEPTION
FOR
COMPANY
PROP-
ERTY.—This paragraph shall not apply to an 
activity of a bank holding company or any affil-
iate of such company that directly relates to 
managing any real property owned by such 
company or affiliate, or the purchase, sale, or 
lease of property owned, or to be used or occu-
pied, by such company or affiliate.
‘‘(E) 
CURRENT
ACTIVITIES
NOT
AF-
FECTED.—No provision of this paragraph, or 
any determination made pursuant to any such 
provision, may be construed as prohibiting, re-
stricting, altering, or otherwise affecting, the 
right, power, or ability of any financial holding 
company to engage in any activity, or acquire 
or retain the shares of any company engaged in 
an activity, if engaging in such activity, or ac-
quiring or retaining such shares, was author-
ized for financial holding companies on Decem-
ber 6, 2001.’’. 
(b) REVISED STATUTES OF THE UNITED STATES.—
Section 5136A(b) of the Revised Statutes of the United 
States (12 U.S.C. 24a(b)) is amended by adding at the 
end the following new paragraph: 
‘‘(4) REAL ESTATE BROKERAGE AND REAL ES-
TATE MANAGEMENT ACTIVITIES.—
‘‘(A) IN
GENERAL.—The Secretary may 
not determine that real estate brokerage activ-
ity or real estate management activity is an ac-
tivity that is financial in nature, is incidental to 
any financial activity, or is complementary to a 
financial activity.
‘‘(B) DEFINITIONS.—For purposes of this 
paragraph, the terms ‘real estate brokerage ac-
tivity’ and ‘real estate management activity’ 
have the same meanings as in section 4(k)(8) of 
the Bank Holding Company Act of 1956. 
‘‘(C) EXCEPTION
FOR
COMPANY
PROP-
ERTY.—This paragraph shall not apply to an 
activity of a national bank, or a subsidiary of 
a national bank, that directly relates to man-
aging any real property owned by such bank or 
subsidiary, or the purchase, sale, or lease of 
property owned, or to be owned, by such bank 
or subsidiary. 
‘‘(D) 
CURRENT
ACTIVITIES
NOT
AF-
FECTED.—No provision of this paragraph, or 
any determination made pursuant to any such 
provision, may be construed as prohibiting, re-
stricting, altering, or otherwise affecting, the 
right, power, or ability of any national bank, or 
a subsidiary of a national bank, to engage in 
any activity, or acquire or retain the shares of 
any company engaged in an activity, if engag-
ing in such activity, or acquiring or retaining 
such shares, was authorized for national banks,
or subsidiaries of national banks, on December 
6, 2001.’’.
Æ