I 
119TH CONGRESS 
1ST SESSION H. R. 6705 
To prohibit a large banking institution from paying discretionary bonus pay-
ments when the institution is subject to a Matter Requiring Immediate 
Attention and does not provide the appropriate Federal banking agency 
with a remediation plan to correct the matter, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
DECEMBER 15, 2025 
Ms. PETTERSEN introduced the following bill; which was referred to the 
Committee on Financial Services 
A BILL 
To prohibit a large banking institution from paying discre-
tionary bonus payments when the institution is subject 
to a Matter Requiring Immediate Attention and does 
not provide the appropriate Federal banking agency with 
a remediation plan to correct the matter, 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 ‘‘Stopping Bonuses for 
Unsafe and Unsound Banking Act’’. 
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SEC. 2. FREEZE ON DISCRETIONARY BONUS PAYMENTS BY 
LARGE BANKING INSTITUTIONS IN CERTAIN 
CIRCUMSTANCES. 
(a) IN GENERAL.—If the appropriate Federal bank-
ing agency issues a ‘‘matter requiring immediate atten-
tion’’ (or similar supervisory notice) to a covered banking 
institution, the institution may not make any discretionary 
bonus payment to a senior executive officer until the mat-
ter is resolved to the satisfaction of the appropriate Fed-
eral banking agency. 
(b) REMEDIATION PLAN EXCEPTION.—Subsection 
(a) shall not apply to a covered banking institution receiv-
ing a ‘‘matter requiring immediate attention’’ (or similar 
supervisory notice)— 
(1) during the period beginning on the date the 
covered banking institution receives the ‘‘matter re-
quiring immediate attention’’ (or similar supervisory 
notice) and ending on the date of the deadline de-
scribed under paragraph (2) to submit a remediation 
plan; and 
(2) if the covered banking institution provides 
the appropriate Federal banking agency with a re-
mediation plan (which shall include an implementa-
tion period) to correct the matter that is accepted by 
the appropriate Federal banking agency by such 
deadline as determined by the appropriate Federal 
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banking agency, during the period beginning on the 
date the remediation plan is accepted and the end of 
the implementation period. 
(c) DEFINITIONS.—In this section: 
(1) COVERED
BANKING
INSTITUTION.—The 
term ‘‘covered banking institution’’ means— 
(A) a bank holding company with more 
than $50,000,000,000 in consolidated assets; 
(B) a bank subsidiary of a bank holding 
company described under subparagraph (A); 
and 
(C) a bank that does not have a bank hold-
ing 
company 
and 
that 
has 
more 
than 
$50,000,000,000 in consolidated assets. 
(2) OTHER
TERMS.—The terms ‘‘appropriate 
Federal banking agency’’, ‘‘bank’’, ‘‘bank holding 
company’’, and ‘‘Federal banking agency’’ have the 
meanings given those terms, respectively, under sec-
tion 3 of the Federal Deposit Insurance Act. 
Æ 
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