I 
115TH CONGRESS 
1ST SESSION H. R. 4373 
To modernize and strengthen the United States anti-money laundering and 
counter-terrorism financing regime. 
IN THE HOUSE OF REPRESENTATIVES 
NOVEMBER 13, 2017 
Mr. ROYCE of California (for himself and Mr. GONZALEZ of Texas) introduced 
the following bill; which was referred to the Committee on Financial Services 
A BILL 
To modernize and strengthen the United States anti-money 
laundering and counter-terrorism financing regime. 
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 ‘‘Anti-Money Laun-
dering and Counter-Terrorism Financing Modernization 
Act’’ or the ‘‘AML and CTF Modernization Act’’. 
SEC. 2. MODIFICATION OF CURRENCY TRANSACTION RE-
PORTING THRESHOLD. 
(a) SUBPART C OF SECTION 1010.— 
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(B) ALTERNATIVE ADJUSTMENT AUTHOR-
ITY.—If, at the time of an adjustment described 
under subparagraph (A), the Secretary, after 
consultation with law enforcement agencies and 
the Bank Secrecy Act Advisory Group, deter-
mines that such adjustment would significantly 
frustrate the ability of law enforcement and fi-
nancial institutions to detect and prevent money 
laundering and terrorism financing, the Sec-
retary may make such adjustment using a met-
ric other than the Consumer Price Index for All 
Urban Consumers published by the Bureau of 
Labor Statistics or choose to not make such ad-
justment. 
(b) REPORTS ON EXPORTING AND IMPORTING MONE-
TARY INSTRUMENTS.—Section 5316 of title 31, United 
States Code, is amended by adding at the end the fol-
lowing: 
‘‘(e) ADJUSTMENT FOR INFLATION.— 
‘‘(1) INITIAL ADJUSTMENT.—Not later than 1 
year after the date of enactment of this subsection, 
the Secretary of the Treasury shall adjust the dollar 
amounts under subsection (a), to an amount that is 
rounded to the nearest multiple of $1,000 and— 
‘‘(A) is not less than $30,000; and 
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‘‘(B) is not more than the amount that re-
flects the change in the Consumer Price Index 
for All Urban Consumers published by the Bu-
reau of Labor Statistics since the date on which 
such dollar amounts were last amended or ad-
justed, as applicable. 
‘‘(2) PERIODIC ADJUSTMENTS.— 
‘‘(A) IN GENERAL.—At the end of each 5- 
year period beginning on the date that the Sec-
retary makes the adjustment required under 
paragraph (1), the Secretary shall readjust such 
dollar amounts, rounded to the nearest multiple 
of $1,000, to reflect the change in the Con-
sumer Price Index for All Urban Consumers 
published by the Bureau of Labor Statistics 
since the date on which such dollar amounts 
were last adjusted. 
‘‘(B) ALTERNATIVE ADJUSTMENT AUTHOR-
ITY.—If, at the time of an adjustment described 
under subparagraph (A), the Secretary, after 
consultation with law enforcement agencies and 
the Bank Secrecy Act Advisory Group, deter-
mines that such adjustment would significantly 
frustrate the ability of law enforcement and fi-
nancial institutions to detect and prevent money 
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laundering and terrorism financing, the Sec-
retary may make such adjustment using a met-
ric other than the Consumer Price Index for All 
Urban Consumers published by the Bureau of 
Labor Statistics or choose to not make such ad-
justment.’’. 
(c) REPORTS ON COINS AND CURRENCY RECEIVED 
IN NONFINANCIAL TRADE OR BUSINESS.—Section 5331 
of title 31, United States Code, is amended by adding at 
the end the following: 
‘‘(e) ADJUSTMENT FOR INFLATION.— 
‘‘(1) INITIAL ADJUSTMENT.—Not later than 1 
year after the date of enactment of this subsection, 
the Secretary of the Treasury shall adjust the dollar 
amounts under this section, to an amount that is 
rounded to the nearest multiple of $1,000 and— 
‘‘(A) is not less than $30,000; and 
‘‘(B) is not more than the amount that re-
flects the change in the Consumer Price Index 
for All Urban Consumers published by the Bu-
reau of Labor Statistics since the date on which 
such dollar amounts were last amended or ad-
justed, as applicable. 
‘‘(2) PERIODIC ADJUSTMENTS.— 
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‘‘(A) IN GENERAL.—At the end of each 5- 
year period beginning on the date that the Sec-
retary makes the adjustment required under 
paragraph (1), the Secretary shall readjust such 
dollar amounts, rounded to the nearest multiple 
of $1,000, to reflect the change in the Con-
sumer Price Index for All Urban Consumers 
published by the Bureau of Labor Statistics 
since the date on which such dollar amounts 
were last adjusted. 
‘‘(B) ALTERNATIVE ADJUSTMENT AUTHOR-
ITY.—If, at the time of an adjustment described 
under subparagraph (A), the Secretary, after 
consultation with law enforcement agencies and 
the Bank Secrecy Act Advisory Group, deter-
mines that such adjustment would significantly 
frustrate the ability of law enforcement and fi-
nancial institutions to detect and prevent money 
laundering and terrorism financing, the Sec-
retary may make such adjustment using a met-
ric other than the Consumer Price Index for All 
Urban Consumers published by the Bureau of 
Labor Statistics or choose to not make such ad-
justment.’’. 
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SEC. 3. MODIFICATION OF SUSPICIOUS ACTIVITY REPORT-
ING THRESHOLD. 
(a) IN GENERAL.—Each Federal department or 
agency that issues regulations with respect to reports on 
suspicious transactions described under section 5318(g) of 
title 31, United States Code, shall, not later than 1 year 
after the date of enactment of this Act, and every 5 years 
thereafter, adjust any dollar amount thresholds contained 
in such regulations to reflect the change in the Consumer 
Price Index for All Urban Consumers published by the 
Bureau of Labor Statistics since the date on which such 
dollar amounts were last established or adjusted, as appli-
cable. 
(b) ALTERNATIVE ADJUSTMENT AUTHORITY.—If, at 
the time of an adjustment described under subsection (a) 
other than the adjustment made within the 1-year period 
following the date of the enactment of this Act, a Federal 
department or agency, after consultation with law enforce-
ment agencies and the Bank Secrecy Act Advisory Group, 
determines that such adjustment would significantly frus-
trate the ability of law enforcement and financial institu-
tions to detect and prevent money laundering and ter-
rorism financing, the Federal department or agency may 
make such adjustment using a metric other than the Con-
sumer Price Index for All Urban Consumers published by 
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