I 
111TH CONGRESS 
1ST SESSION H. R. 2904 
To prohibit the Federal Government from holding ownership interests, and 
for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
JUNE 16, 2009 
Mr. MORAN of Kansas introduced the following bill; which was referred to the 
Committee on Financial Services 
A BILL 
To prohibit the Federal Government from holding ownership 
interests, 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 ‘‘Government Owner-
ship Exit Plan Act of 2009’’. 
SEC. 2. DEFINITION. 
In this Act— 
(1) the term ‘‘ownership interest’’ means an in-
terest in a troubled asset described in section 
3(9)(B) of the Emergency Economic Stabilization 
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Act of 2008 (12 U.S.C. 5202(a)(1)), as in effect on 
the day before the date of enactment of this Act, 
that was purchased by the Secretary under section 
101(a)(1) of such Act (12 U.S.C. 5211(a)(1)); and 
(2) the term ‘‘Secretary’’ means the Secretary 
of the Treasury. 
SEC. 3. RE-PRIVATIZATION OF PRIVATE ENTITIES. 
(a) PROHIBITION ON FEDERAL GOVERNMENT HOLD-
ING OWNERSHIP INTERESTS.— 
(1) IN GENERAL.—Beginning on the date of en-
actment of this Act, the Federal Government may 
not acquire, directly or indirectly, any ownership in-
terest. 
(2) DIVESTITURE.—Except as provided in sub-
section (b), the Secretary shall divest the Federal 
Government of any ownership interest not later than 
July 1, 2010. 
(b) LIMITED AUTHORITY.— 
(1) IN GENERAL.—Beginning on July 1, 2010, 
the Secretary may hold an ownership interest with 
respect to a particular entity for a period of not 
more than 6 months if, not later than July 1, 2010, 
the Secretary submits a report to Congress with re-
spect to that entity stating that— 
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(A) compliance with subsection (a)(2) with 
respect to such entity would have a significant 
adverse impact on the taxpayers of the United 
States; and 
(B) there is a reasonable expectation that 
a waiver of subsection (a)(2) would allow the 
Secretary to recover the cost to the Federal 
Government of acquiring such ownership inter-
est. 
(2) SINGLE
RENEWAL.—The Secretary may 
renew an extension under paragraph (1) for a single 
period of not more than 6 months, if the Secretary 
submits to Congress a report stating that the condi-
tions described in subparagraphs (A) and (B) of 
paragraph (1) still exist with respect to the subject 
ownership interest. 
(c) CONFORMING AMENDMENT.—Section 3(9) of the 
Emergency Economic Stabilization Act of 2008 (12 
U.S.C. 5202(9)) is amended— 
(1) in subparagraph (A), by striking ‘‘; and’’ at 
the end and inserting a period; 
(2) by striking ‘‘means—’’ and all that follows 
through ‘‘residential’’ in subparagraph (A) and in-
serting ‘‘means residential’’; and 
(3) by striking subparagraph (B). 
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(d) DEPOSIT OF FUNDS.— 
(1) IN
GENERAL.—Section 115(a)(3) of the 
Emergency Economic Stabilization Act of 2008 (12 
U.S.C. 5225(a)(3)) is amended by striking ‘‘out-
standing at any one time’’. 
(2) DEPOSIT OF FUNDS INTO TREASURY.— 
(A) IN GENERAL.—On and after the date 
of enactment of this Act, all repayments of obli-
gations arising under the Emergency Economic 
Stabilization Act of 2008 (12 U.S.C. 5201 et 
seq.), and all proceeds from the sale of assets 
acquired by the Federal Government under that 
Act, shall be paid into the general fund of the 
Treasury for reduction of the public debt, in ac-
cordance with section 106(d) of that Act (12 
U.S.C. 5216(d)), as amended by this sub-
section. 
(B) CONFORMING
AMENDMENT.—Section 
106(d) of the Emergency Economic Stabiliza-
tion Act of 2008 (12 U.S.C. 5216(d)) is amend-
ed by inserting ‘‘, and repayments of obligations 
arising under this Act,’’ after ‘‘section 113’’. 
(e) INFLUENCE OF MANAGEMENT DECISIONS.—Title 
I of the Emergency Economic Stabilization Act of 2008 
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(12 U.S.C. 5211 et seq.) is amended by adding at the end 
the following: 
‘‘SEC. 137. INFLUENCE OF MANAGEMENT DECISIONS. 
‘‘(a) DEFINITIONS.—For purposes of this section, the 
following definitions shall apply: 
‘‘(1) COVERED
PERSON.—The term ‘covered 
person’ means any person who is an officer or em-
ployee (including a special Government employee (as 
defined in section 202(a) of title 18, United States 
Code)) of the executive branch of the United States 
(including any independent agency of the United 
States). 
‘‘(2) SIGNIFICANT
MANAGEMENT
DECISION.— 
The term ‘significant management decision’ includes 
the appointment of senior executives or board mem-
bers, business strategies relating to production and 
manufacturing, plant closings, the relocation of the 
headquarters of an entity, the modification of labor 
contracts, and other financial decisions. 
‘‘(b) INFLUENCE PROHIBITED.— 
‘‘(1) IN GENERAL.—It shall be unlawful for any 
covered person to knowingly make, with the intent 
to influence, a communication regarding a signifi-
cant management decision of a recipient of assist-
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ance under this title to any officer or employee of 
the recipient. 
‘‘(2) CRIMINAL PENALTY.—Any covered person 
who violates paragraph (1) shall be fined under title 
18, United States Code, imprisoned for not more 
than 1 year, or both. 
‘‘(c) CIVIL ACTIONS.— 
‘‘(1) IN GENERAL.—The Attorney General of 
the United States may bring a civil action in an ap-
propriate United States district court against any 
covered person to enforce subsection (b). 
‘‘(2) CIVIL PENALTY.—Any covered person who, 
upon proof by a preponderance of the evidence, vio-
lates subsection (b) shall be subject to a civil penalty 
of not more than $50,000 for each violation. The 
imposition of a civil penalty under this paragraph 
shall not preclude any other criminal or civil statu-
tory, common law, or administrative remedy, which 
is available by law to the United States or any other 
person. 
‘‘(3) ORDERS.—If the Attorney General of the 
United States has reason to believe that a covered 
person is engaging in conduct that violates sub-
section (b), the Attorney General may petition an 
appropriate United States district court for an order 
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prohibiting the covered person from engaging in the 
conduct. The court may issue an order prohibiting 
the covered person from engaging in the conduct if 
the court finds that the conduct constitutes a viola-
tion of subsection (b). The filing of a petition under 
this paragraph shall not preclude any other remedy 
which is available by law to the United States or any 
other person.’’. 
(f) FEDERAL DEPOSIT INSURANCE CORPORATION.— 
Nothing in this Act may be construed to impede the ability 
of the Federal Deposit Insurance Corporation to maintain 
the stability of the banking system. 
SEC. 4. OVERSIGHT BY FINANCIAL STABILITY OVERSIGHT 
BOARD. 
Section 104(a) of the Emergency Economic Stabiliza-
tion Act of 2008 (12 U.S.C. 5214(a)) is amended— 
(1) in paragraph (2), by striking ‘‘and’’ at the 
end; 
(2) in paragraph (3), by striking the semicolon 
at the end and inserting ‘‘; and’’; and 
(3) by adding at the end the following: 
‘‘(4) reviewing the implementation of section 3 
of the Government Ownership Exit Plan Act of 
2009.’’. 
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SEC. 5. REPORTS REQUIRED. 
(a) REPORT ON FEDERAL GOVERNMENT OWNER-
SHIP.— 
(1) REPORTS REQUIRED.—The Secretary shall 
make (and shall publicly disclose) periodic reports 
detailing any ownership interest held by the Federal 
Government, including any loan or loan guarantee 
made by the Board of Governors of the Federal Re-
serve System. 
(2) TIMING OF REPORTS.—The Secretary shall 
submit the reports under paragraph (1)— 
(A) not later than October 1, 2009; and 
(B) each quarter of the fiscal year there-
after. 
(b) REPORTS
ON WINDING DOWN
OR DIVEST-
MENT.— 
(1) REPORTS REQUIRED.—The Secretary shall 
submit to Congress periodic reports on the plans of 
the Secretary for compliance with this Act, including 
any plans to wind down or divest an ownership in-
terest. 
(2) TIMING OF REPORTS.—The Secretary shall 
submit the reports under paragraph (1)— 
(A) not later than April 1, 2010; and 
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(B) each month thereafter until all owner-
ship interests are divested under section 
3(a)(2). 
SEC. 6. PLAN FOR GOVERNMENT SPONSORED ENTER-
PRISES. 
Not later than 90 days after the date of enactment 
of this Act, the Secretary shall submit to Congress a re-
port describing a plan of the Secretary— 
(1) to end the conservatorship by the Federal 
Government of the Federal National Mortgage Asso-
ciation and the Federal Home Loan Mortgage Cor-
poration; and 
(2) to eliminate any form of direct ownership by 
the Federal Government of the Federal National 
Mortgage Association and the Federal Home Loan 
Mortgage Corporation. 
Æ 
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