I 
117TH CONGRESS 
1ST SESSION 
H. R. 154 
To provide regulatory relief for Black and community banks, to codify the 
Minority Bank Deposit Program, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
JANUARY 4, 2021 
Mr. RUSH (for himself, Mr. CARSON, Ms. CLARKE of New York, Mr. COOPER, 
Mr. KHANNA, and Mr. WELCH) introduced the following bill; which was 
referred to the Committee on Financial Services, and in addition to the 
Committee on Ways and Means, for a period to be subsequently deter-
mined by the Speaker, in each case for consideration of such provisions 
as fall within the jurisdiction of the committee concerned 
A BILL 
To provide regulatory relief for Black and community banks, 
to codify the Minority Bank Deposit Program, and for 
other purposes. 
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 ‘‘Reenergized Economic 
Sustainability for Community and Urban Entities Act for 
Black and Community Banks’’ or the ‘‘RESCUE Act for 
Black and Community Banks’’. 
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SEC. 2. REGULATION OF BLACK AND COMMUNITY BANKS. 
(a) OFFICE OF BLACK AND COMMUNITY BANKS.— 
(1) ESTABLISHMENT.—There is established 
within the Office of the Comptroller of the Currency 
an office to be known as the ‘‘Office of Black and 
Community Banks’’. 
(2) SUPERVISION AND EXAMINATION OF BLACK 
BANKS AND COMMUNITY BANKS.—The Comptroller 
of the Currency, acting through the Office of Black 
and Community Banks, shall supervise and examine 
Black banks and community banks. 
(3) REGULATORY RELIEF.— 
(A) IN GENERAL.—The Comptroller shall 
issue regulations to partially or completely ex-
empt Black banks and community banks from 
Federal banking statutes and regulations, to 
the extent the Comptroller determines it appro-
priate without endangering the safety and 
soundness of such banks. 
(B) TREATMENT
OF
MANUAL
UNDER-
WRITING.—For purposes of risk-based capital 
requirements for Black banks and community 
banks, the Comptroller shall issue regulations 
to assign a lower level of risk to loans that are 
issued by such banks using manual under-
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writing, in recognition of the individualized 
scrutiny provided by manual underwriting. 
(C) ENCOURAGING SMALL-DOLLAR LEND-
ING.—The Comptroller shall issue regulations 
to encourage affordable small-dollar lending by 
Black banks and community banks by providing 
regulatory flexibility with respect to such lend-
ing. 
(b) REGULATORY RELIEF UNDER THE SECURITIES 
LAWS.— 
(1) INVESTMENT PRODUCTS.—With respect to 
investment products sold by a Black bank or a com-
munity bank (or an affiliate of such bank) to indi-
viduals in the community in which such bank is lo-
cated, the Securities and Exchange Commission 
shall issue regulations to partially or completely ex-
empt the bank from the securities laws and regula-
tions issued under the securities laws, to the extent 
the Commission determines it appropriate without 
endangering the protection of investors. 
(2) SECURITIES.— 
(A) IN GENERAL.—The Securities and Ex-
change Commission shall issue regulations to 
reduce the regulatory burden applicable to 
Black banks and community banks— 
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(i) under the amendments made by 
the Jumpstart Our Business Startups Act; 
(ii) issuing mortgage-backed securi-
ties; and 
(iii) issuing securities backed by loans 
guaranteed by the Small Business Act. 
(B) CROWDFUNDING
EXEMPTION.—Sec-
tion 4A of the Securities Act of 1933 (15 
U.S.C. 77d–1) shall not apply to Black banks 
or community banks. 
(c) CONFORMING CHANGE TO DEFINITION OF AP-
PROPRIATE
FEDERAL
BANKING
AGENCY.—Section 
3(q)(1) of the Federal Deposit Insurance Act (12 U.S.C. 
1813(q)(1)) is amended— 
(1) in subparagraph (B), by striking ‘‘and’’ at 
the end; 
(2) in subparagraph (C), by adding ‘‘and’’ at 
the end; and 
(3) by adding at the end the following: 
‘‘(D) notwithstanding paragraphs (2) and 
(3), any Black bank or community bank (as 
such terms are defined under section 5 of the 
RESCUE Act for Black and Community 
Banks);’’. 
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SEC. 3. CODIFICATION OF THE MINORITY BANK DEPOSIT 
PROGRAM. 
(a) IN GENERAL.— 
(1) IN GENERAL.—Section 1204 of the Finan-
cial Institutions Reform, Recovery, and Enforcement 
Act of 1989 (12 U.S.C. 1811 note) is amended to 
read as follows: 
‘‘SEC. 1204. EXPANSION OF USE OF MINORITY BANKS, WOM-
EN’S 
BANKS, 
AND 
LOW-INCOME 
CREDIT 
UNIONS. 
‘‘(a) MINORITY BANK DEPOSIT PROGRAM.— 
‘‘(1) ESTABLISHMENT.—There is established a 
program to be known as the ‘Minority Bank Deposit 
Program’ to expand the use of minority banks, wom-
en’s banks, and low-income credit unions. 
‘‘(2) ADMINISTRATION.—The Secretary of the 
Treasury, acting through the Fiscal Service, shall— 
‘‘(A) on application by a depository institu-
tion or credit union, certify whether such depos-
itory institution or credit union is a minority 
bank, women’s bank, or low-income credit 
union; 
‘‘(B) maintain and publish a list of all de-
pository institutions and credit unions that have 
been certified pursuant to subparagraph (A); 
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‘‘(C) periodically distribute the list de-
scribed in subparagraph (B) to— 
‘‘(i) all Federal departments and 
agencies; 
‘‘(ii) interested State and local govern-
ments; and 
‘‘(iii) interested private sector compa-
nies; and 
‘‘(D) support the creation of ratings, on-
line Black bank resources, and database prod-
ucts, including online lending and investment 
facilities. 
‘‘(3) INCLUSION
OF
CERTAIN
ENTITIES
ON 
LIST.—A depository institution or credit union that, 
on the date of the enactment of this section, has a 
current certification from the Secretary of the 
Treasury stating that such depository institution or 
credit union is a minority bank, women’s bank, or 
low-income credit union shall be included on the list 
described under paragraph (2)(B). 
‘‘(b) EXPANDED USE AMONG FEDERAL DEPART-
MENTS AND AGENCIES.— 
‘‘(1) IN GENERAL.—Not later than 1 year after 
the establishment of the program described in sub-
section (a), the head of each Federal department or 
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agency shall develop and implement standards and 
procedures to ensure, to the maximum extent pos-
sible as permitted by law, the use of minority banks, 
women’s banks, and low-income credit unions to 
serve the financial needs of each such department or 
agency. 
‘‘(2) 
MINIMUM
REQUIREMENT.—Notwith-
standing paragraph (1), the head of each Federal 
department or agency shall ensure that at least 10 
percent of the financial needs of each such depart-
ment or agency are met by the use of minority 
banks, women’s banks, and low-income credit 
unions. 
‘‘(3) REPORT TO CONGRESS.—Not later than 2 
years after the establishment of the program de-
scribed in subsection (a), and annually thereafter, 
the head of each Federal department or agency shall 
submit to Congress a report on the actions taken to 
increase the use of minority banks, women’s banks, 
and low-income credit unions to serve the financial 
needs of each such department or agency. 
‘‘(c) DEFINITIONS.—For purposes of this section: 
‘‘(1) CREDIT UNION.—The term ‘credit union’ 
has the meaning given the term ‘insured credit 
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union’ in section 101 of the Federal Credit Union 
Act (12 U.S.C. 1752). 
‘‘(2) DEPOSITORY INSTITUTION.—The term ‘de-
pository institution’ has the meaning given the term 
‘insured depository institution’ in section 3 of the 
Federal Deposit Insurance Act (12 U.S.C. 1813). 
‘‘(3) LOW-INCOME CREDIT UNION.—The term 
‘low-income credit union’ means any entity described 
in section 19(b)(1)(A)(iv) of the Federal Reserve 
Act. 
‘‘(4) MINORITY.—The term ‘minority’ means 
any Black American, Native American, Hispanic 
American, or Asian American. 
‘‘(5) MINORITY
BANK.—The term ‘minority 
bank’ means any bank described in clause (i), (ii), 
or (iii) of section 19(b)(1)(A) of the Federal Reserve 
Act for which— 
‘‘(A) more than 50 percent of the out-
standing shares of which are held by 1 or more 
minority individuals; 
‘‘(B) the majority of the directors on the 
board of directors of which are minority individ-
uals; and 
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‘‘(C) a significant percentage of senior 
management positions of which are held by mi-
nority individuals. 
‘‘(6) WOMEN’S
BANK.—The term ‘women’s 
bank’ means any bank described in clause (i), (ii), 
or (iii) of section 19(b)(1)(A) of the Federal Reserve 
Act for which— 
‘‘(A) more than 50 percent of the out-
standing shares of which are held by 1 or more 
women; 
‘‘(B) the majority of the directors on the 
board of directors of which are women; and 
‘‘(C) a significant percentage of senior 
management positions of which are held by 
women.’’. 
(2) 
CONFORMING
AMENDMENTS.—The 
fol-
lowing 
provisions 
are 
amended 
by 
striking 
‘‘1204(c)(3)’’ and inserting ‘‘1204(c)’’: 
(A) Section 808(b)(3) of the Community 
Reinvestment 
Act 
of 
1977 
(12 
U.S.C. 
2907(b)(3)). 
(B) Section 40(g)(1)(B) of the Federal De-
posit 
Insurance 
Act 
(12 
U.S.C. 
1831q(g)(1)(B)). 
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(C) Section 704B(h)(4) of the Equal Cred-
it Opportunity Act (15 U.S.C. 1691c–2(h)(4)). 
(b) AMENDMENTS TO THE COMMUNITY REINVEST-
MENT ACT.—Section 804(b) of the Community Reinvest-
ment Act of 1977 (12 U.S.C. 2903(b)) is amended to read 
as follows: 
‘‘(b) 
COOPERATION
WITH
MINORITY
BANKS, 
WOMEN’S BANKS, AND LOW-INCOME CREDIT UNIONS 
CONSIDERED.— 
‘‘(1) IN
GENERAL.—In assessing and taking 
into account, under subsection (a), the record of a 
financial institution, the appropriate Federal finan-
cial supervisory agency shall consider as a factor 
capital investment, loan participation, and other ven-
tures undertaken by the institution in cooperation 
with minority banks, women’s banks, community de-
velopment financial institutions, and low-income 
credit unions provided that these activities help meet 
the credit needs of local communities in which such 
institutions and credit unions are chartered. 
‘‘(2) DEFINITIONS.— 
‘‘(A) FIRREA DEFINITIONS.—The terms 
‘low-income credit union’, ‘minority bank’, and 
‘women’s bank’ have the meanings given such 
terms, respectively, in section 1204(c) of the Fi-
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nancial Institutions Reform, Recovery, and En-
forcement Act of 1989 (12 U.S.C. 1811 note). 
‘‘(B) COMMUNITY
DEVELOPMENT
FINAN-
CIAL INSTITUTION.—The term ‘community de-
velopment financial institution’ has the meaning 
given in section 103(5) of the Riegle Commu-
nity Development and Regulatory Improvement 
Act of 1994 (12 U.S.C. 4702(5)).’’. 
(c) CONSIDERATIONS WHEN ASSESSING FINANCIAL 
INCLUSION FOR FEDERALLY CHARTERED FINANCIAL IN-
STITUTIONS.— 
(1) IN GENERAL.—In assessing and taking into 
account the record of a federally chartered financial 
institution under any financial inclusion assessment 
process created by the Comptroller of the Currency 
in any rule relating to the chartering of a financial 
institution, the Comptroller shall consider as a fac-
tor capital investment, loan participation, and other 
ventures undertaken by the bank in cooperation with 
Black banks, women’s banks, community develop-
ment financial institutions, and low-income credit 
unions, provided that these activities help meet the 
financial needs of local communities in which the 
federally chartered financial institution provides fi-
nancial products or services. 
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(2) DEFINITIONS.—For purposes of this sec-
tion: 
(A) COMMUNITY
DEVELOPMENT
FINAN-
CIAL INSTITUTION.—The term ‘‘community de-
velopment financial institution’’ has the mean-
ing given in section 103(5) of the Riegle Com-
munity Development and Regulatory Improve-
ment Act of 1994 (12 U.S.C. 4702(5)). 
(B) FINANCIAL
INCLUSION
ASSESSMENT 
PROCESS.—The term ‘‘financial inclusion as-
sessment process’’ means any process relating 
to the chartering of a financial institution 
whereby the Comptroller of the Currency as-
sesses and takes into account the financial in-
stitution’s record of meeting the financial needs 
of the bank’s entire community, including low- 
and moderate-income neighborhoods, consistent 
with the safe and sound operation of such bank. 
(C) FINANCIAL PRODUCT OR SERVICE.— 
The term ‘‘financial product or service’’ has the 
meaning given such term in section 1002 of the 
Dodd-Frank Wall Street Reform and Consumer 
Protection Act (12 U.S.C. 5481). 
(D) FIRREA DEFINITIONS.—The terms 
‘‘low-income credit union’’ and ‘‘women’s bank’’ 
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have the meanings given such terms, respec-
tively, in section 1204(c) of the Financial Insti-
tutions Reform, Recovery, and Enforcement Act 
of 1989 (12 U.S.C. 1811 note). 
SEC. 4. GAO STUDIES. 
(a) NEW
MARKETS
TAX
CREDIT
STUDY.—The 
Comptroller General of the United States shall carry out 
a study on the award of the new markets tax credit by— 
(1) surveying communities and specifically talk-
ing to Black banks, community banks, and CDFIs 
that wish to receive the tax credit about why they 
are not receiving the tax credit; 
(2) determining where the tax credit money ac-
tually went and what it was used for; and 
(3) to the extent possible, using a case study 
approach. 
(b) 
LOWER-VALUE
HOME
MORTGAGE
LOAN 
STUDY.—The Comptroller General of the United States 
shall carry out a study on mortgage loans with a principal 
amount of $100,000 or less, including— 
(1) who is making such loans currently; 
(2) how communities are encouraging such 
loans; 
(3) what changes could encourage banks and 
other persons to provide more such loans; and 
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