SEC. 12. CUSTODIAL DEPOSIT PROGRAM FOR COVERED MI-
NORITY DEPOSITORY INSTITUTIONS AND IM-
PACT BANKS. 
(a) IN GENERAL.—Not later than one year after the 
date of the enactment of this Act, the Secretary of the 
Treasury shall issue rules establishing a custodial deposit 
program under which a covered bank may receive deposits 
from a qualifying account. 
(b) REQUIREMENTS.—In issuing rules under sub-
section (a), the Secretary of the Treasury shall— 
(1) consult with the Federal banking agencies; 
(2) ensure each covered bank participating in 
the program established under this section— 
(A) has appropriate policies relating to 
management of assets, including measures to 
ensure the safety and soundness of each such 
covered bank; and 
(B) is compliant with applicable law; and 
(3) ensure, to the extent practicable that the 
rules do not conflict with goals described in section 
308(a) of the Financial Institutions Reform, Recov-
ery, and Enforcement Act of 1989 (12 U.S.C. 1463 
note). 
(c) LIMITATIONS.— 
(1) DEPOSITS.—With respect to the funds of an 
individual qualifying account, an entity may not de-
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posit an amount greater than the insured amount in 
a single covered bank. 
(2) TOTAL
DEPOSITS.—The total amount of 
funds deposited in a covered bank under the custo-
dial deposit program described under this section 
may not exceed the lesser of— 
(A) 10 percent of the average amount of 
deposits held by such covered bank in the pre-
vious quarter; or 
(B) $100,000,000 (as adjusted for infla-
tion). 
(d) REPORT.—Each quarter, the Secretary of the 
Treasury shall submit to Congress a report on the imple-
mentation of the program established under this section 
including information identifying participating covered 
banks and the total amount of deposits received by covered 
banks under the program. 
(e) DEFINITIONS.—In this section: 
(1) COVERED BANK.—The term ‘‘covered bank’’ 
means— 
(A) a minority depository institution that 
is well capitalized, as defined by the appropriate 
Federal banking agency; or 
(B) a depository institution designated 
pursuant to section 5 of the Ensuring Diversity 
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in Community Banking Act that is well capital-
ized, as defined by the appropriate Federal 
banking agency. 
(2) INSURED
AMOUNT.—The term ‘‘insured 
amount’’ means the amount that is the greater of— 
(A) the standard maximum deposit insur-
ance amount (as defined in section 11(a)(1)(E) 
of the Federal Deposit Insurance Act (12 
U.S.C. 1821(a)(1)(E))); or 
(B) such higher amount negotiated be-
tween the Secretary of the Treasury and the 
Federal Deposit Insurance Corporation under 
which the Corporation will insure all deposits of 
such higher amount. 
(3) FEDERAL BANKING AGENCIES.—The terms 
‘‘appropriate Federal banking agency’’ and ‘‘Federal 
banking agencies’’ have the meaning given those 
terms, respectively, under section 3 of the Federal 
Deposit Insurance Act. 
(4) QUALIFYING ACCOUNT.—The term ‘‘quali-
fying account’’ means any account established in the 
Department of the Treasury that— 
(A) is controlled by the Secretary; and 
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(B) is expected to maintain a balance 
greater than $200,000,000 for the following 24- 
month period. 
SEC. 13. STREAMLINED COMMUNITY DEVELOPMENT FI-
NANCIAL INSTITUTION APPLICATIONS AND 
REPORTING. 
(a) APPLICATION PROCESSES.—Not later than 12 
months after the date of the enactment of this Act and 
with respect to any person having assets under 
$3,000,000,000 that submits an application for deposit in-
surance with the Federal Deposit Insurance Corporation 
that could also become a community development financial 
institution, the Federal Deposit Insurance Corporation, in 
consultation with the Administrator of the Community 
Development Financial Institutions Fund, shall— 
(1) develop systems and procedures to record 
necessary information to allow the Administrator to 
conduct preliminary analysis for such person to also 
become a community development financial institu-
tion; and 
(2) develop procedures to streamline the appli-
cation and annual certification processes and to re-
duce costs for such person to become, and maintain 
certification as, a community development financial 
institution. 
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