I
106TH CONGRESS
1ST SESSION
H. R. 3503
To provide for basic low-cost banking accounts, to eliminate certain automated
teller machine surcharges, and to reauthorize a bank fee survey con-
ducted by the Board of Governors of the Federal Reserve System, and
for other purposes.
IN THE HOUSE OF REPRESENTATIVES
NOVEMBER 18, 1999
Ms. WATERS introduced the following bill; which was referred to the
Committee on Banking and Financial Services
A BILL
To provide for basic low-cost banking accounts, to eliminate
certain automated teller machine surcharges, and to re-
authorize a bank fee survey conducted by the Board
of Governors of the Federal Reserve System, 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 ‘‘ATM Surcharge Elimi-
nation and Consumer Empowerment Act’’.
SEC. 2. LIFELINE BANKING REQUIREMENT FOR FINANCIAL
HOLDING COMPANIES AND FINANCIAL SUB-
SIDIARIES.
(a) FINANCIAL HOLDING COMPANIES.—
(1) IN GENERAL.—Section 4(l)(1) of the Bank
Holding 
Company 
Act 
of 
1956 
(12 
U.S.C.
1843(l)(1)), as added by the Gramm-Leach-Bliley
Act, is amended—
(A) by striking ‘‘and’’ at the end of sub-
paragraph (B);
(B) by redesignating subparagraph (C) as
subparagraph (D);
(C) by inserting after subparagraph (B)
the following new subparagraph:
‘‘(C) all of the subsidiary depository insti-
tutions of the bank holding company have a de-
monstrable record of performance in the provi-
sion of low-cost lifeline bank accounts; and’’;
and
(D) in subparagraph (D) (as so redesig-
nated by subparagraph (B) of this paragraph),
by striking ‘‘and (B)’’ and inserting ‘‘, (B), and
(C)’’.
(2) TECHNICAL
AND
CONFORMING
AMEND-
MENTS.—
(A) Section 5(a) of the Bank Holding
Company Act of 1956 (12 U.S.C. 1844(a)), as
amended by the Gramm-Leach-Bliley Act, is
amended by striking ‘‘4(l)(1)(C)’’ and inserting
‘‘4(l)(1)(D)’’.
(B) Section 8(c) of the International
Banking Act of 1978 (12 U.S.C. 3106(c)), as
amended by the Gramm-Leach-Bliley Act, is
amended by striking ‘‘4(l)(1)(C)’’ and inserting
‘‘4(l)(1)(D)’’.
(C) Section 4(c) of the Community Rein-
vestment Act of 1977 (12 U.S.C. 2903(c)), as
added by the Gramm-Leach-Bliley Act, is
amended in paragraphs (1)(A) and (2) by strik-
ing ‘‘4(l)(1)(C)’’ and inserting ‘‘4(l)(1)(D)’’.
(b) 
FINANCIAL
SUBSIDIARIES.—Section
5136A(a)(2)(C) of the Revised Statutes of the United
States, as added by the Gramm-Leach-Bliley Act, is
amended to read as follows:
‘‘(C) the national bank and each insured
depository institution affiliate of the national
bank—
‘‘(i) are well capitalized;
‘‘(ii) are well managed: and
‘‘(iii) have a demonstrable record of
performance in the provision of low-cost
lifeline bank accounts;’’.
SEC. 3. PRESERVATION OF BANK FEE REPORT REQUIRE-
MENTS.
(a) IN GENERAL.—Section 3003(a)(1) of the Federal
Reports Elimination and Sunset Act of 1995 (31 U.S.C.
1113 note) shall not apply to any report required to be
submitted under section 1002(b) of Financial Institutions
Reform, Recovery, and Enforcement Act of 1989.
(b) SUNSET OF REPORT.—Section 1002(b) of Finan-
cial Institutions Reform, Recovery, and Enforcement Act
of 1989 (12 U.S.C. 1811 note) is amended by adding at
the end the following new paragraph:
‘‘(4) SUNSET.—Notwithstanding section 108(b)
of the Riegle-Neil Interstate Banking and Branching
Efficiency Act of 1994, no report shall be required
under this subsection after the end of the 10-year
period beginning on the date of the enactment of the
Financial Services Modernization Act of 1999.’’.
(c) CREDIT UNIONS INCLUDED IN SURVEY.—Section
1002(a)(1) of Financial Institutions Reform, Recovery,
and Enforcement Act of 1989 (12 U.S.C. 1811 note) is
amended by inserting ‘‘, including credit unions’’ after
‘‘insured depository institutions’’.
SEC. 4. PROHIBITION ON CERTAIN FEES.
The Electronic Fund Transfer Act (15 U.S.C. 1693
et seq.) is amended—
(1) by redesignating sections 918, 919, 920,
and 921 as sections 919, 920, 921, and 922, respec-
tively; and
(2) by inserting after section 917 the following
new section:
‘‘SEC. 918. FEES.
‘‘In the case of any electronic fund transfer which—
‘‘(1) is initiated by a consumer from an elec-
tronic terminal operated by a person other than the
financial institution holding the account of the con-
sumer; and
‘‘(2) utilizes a national or regional communica-
tion network to effect the transaction between such
person and the financial institution holding the ac-
count of the consumer,
no fee may be imposed on the consumer with respect to
such transaction by the person operating the electronic
terminal at which the transfer is initiated.’’.
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