location) and across positions, except that the prior 
consent of the Corporation (which may require a 
new application) shall be required for any proposed 
significant changes in the individual’s security-re-
lated duties or responsibilities, such as promotion to 
an officer or other positions that the employer deter-
mines will require higher security screening creden-
tials. 
‘‘(g) DEFINITIONS.—In this section: 
‘‘(1) CONSENT APPLICATION.—The term ‘con-
sent application’ means an application filed with 
Corporation by an individual (or by an insured de-
pository institution or depository institution holding 
company on behalf of an individual) seeking the 
written consent of the Corporation under subsection 
(a)(1). 
‘‘(2) CRIMINAL OFFENSE INVOLVING DISHON-
ESTY.—The term ‘criminal offense involving dishon-
esty’— 
‘‘(A) means an offense under which an in-
dividual, directly or indirectly— 
‘‘(i) cheats or defrauds; or 
‘‘(ii) wrongfully takes property belong-
ing to another in violation of a criminal 
statute; 
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‘‘(B) includes an offense that Federal, 
State, or local law defines as dishonest, or for 
which dishonestly is an element of the offense; 
and 
‘‘(C) does not include— 
‘‘(i) a misdemeanor criminal offense 
committed more than one year before the 
date on which an individual files a consent 
application, excluding any period of incar-
ceration; or 
‘‘(ii) an offense involving the posses-
sion, sale, manufacturing, or distribution 
of controlled substances. 
‘‘(3) PRETRIAL
DIVERSION
OR
SIMILAR
PRO-
GRAM.—The term ‘pretrial diversion or similar pro-
gram’ means a program characterized by a suspen-
sion or eventual dismissal or reversal of charges or 
criminal prosecution upon agreement by the accused 
to restitution, drug or alcohol rehabilitation, anger 
management, or community service.’’. 
SEC. 3. FEDERAL CREDIT UNION ACT. 
Section 205(d) of the Federal Credit Union Act (12 
U.S.C. 1785(d)) is amended by adding at the end the fol-
lowing: 
‘‘(4) EXCEPTIONS.— 
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‘‘(A) CERTAIN OLDER OFFENSES.— 
‘‘(i) IN GENERAL.—With respect to an 
individual, paragraph (1) shall not apply to 
an offense if— 
‘‘(I) it has been 7 years or more 
since the offense occurred; or 
‘‘(II) the individual was incarcer-
ated with respect to the offense and it 
has been 5 years or more since the in-
dividual was released from incarcer-
ation. 
‘‘(ii) OFFENSES COMMITTED BY INDI-
VIDUALS 21 OR YOUNGER.—For individuals 
who committed an offense when they were 
21 years of age or younger, paragraph (1) 
shall not apply to the offense if it has been 
more than 30 months since the sentencing 
occurred. 
‘‘(iii) 
LIMITATION.—This 
subpara-
graph shall not apply to an offense de-
scribed under paragraph (1)(B). 
‘‘(B) EXPUNGEMENT AND SEALING.—With 
respect to an individual, paragraph (1) shall not 
apply to an offense if— 
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‘‘(i) there is an order of expungement, 
sealing, or dismissal that has been issued 
in regard to the conviction in connection 
with such offense; and 
‘‘(ii) it is intended by the language in 
the order itself, or in the legislative provi-
sions under which the order was issued, 
that the conviction shall be destroyed or 
sealed from the individual’s State or Fed-
eral record, even if exceptions allow the 
record to be considered for certain char-
acter and fitness evaluation purposes. 
‘‘(C) DE MINIMIS EXEMPTION.— 
‘‘(i) IN
GENERAL.—Paragraph (1) 
shall not apply to such de minimis offenses 
as the Board determines, by rule. 
‘‘(ii) CONFINEMENT
CRITERIA.—In 
issuing rules under clause (i), the Board 
shall include a requirement that the of-
fense was punishable by a term of three 
years or less confined in a correctional fa-
cility, where such confinement— 
‘‘(I) is calculated based on the 
time an individual spent incarcerated 
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as a punishment or a sanction, not as 
pretrial detention; and 
‘‘(II) does not include probation 
or parole where an individual was re-
stricted to a particular jurisdiction or 
was required to report occasionally to 
an individual or a specific location. 
‘‘(iii) BAD CHECK CRITERIA.—In set-
ting the criteria for de minimis offenses 
under clause (i), if the Board establishes 
criteria with respect to insufficient funds 
checks, the Board shall require that the 
aggregate total face value of all insufficient 
funds checks across all convictions or pro-
gram entries related to insufficient funds 
checks is $2,000 or less. 
‘‘(iv) 
DESIGNATED
LESSER
OF-
FENSES.—Paragraph (1) shall not apply to 
certain lesser offenses (including the use of 
a fake ID, shoplifting, trespass, fare eva-
sion, driving with an expired license or tag, 
and such other low-risk offenses as the 
Board may designate) if 1 year or more 
has passed since the applicable conviction 
or program entry. 
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‘‘(i) shall be reviewed by such office; 
and 
‘‘(ii) may be approved or denied by 
such office, if such authority has been dele-
gated to such office by the Board, except 
with respect to— 
‘‘(I) cases involving an offense 
described under paragraph (1)(B); 
and 
‘‘(II) such other high-level secu-
rity cases as may be designated by the 
Board. 
‘‘(D) NATIONAL
OFFICE
REVIEW.—The 
national office of the Board shall— 
‘‘(i) review any consent application 
with respect to which a regional office is 
not authorized to approve or deny the ap-
plication; and 
‘‘(ii) review any consent application 
that is denied by a regional office, if the 
individual requests a review by the national 
office. 
‘‘(E) FORMS AND INSTRUCTIONS.— 
‘‘(i) AVAILABILITY.—The Board shall 
make all forms and instructions related to 
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consent applications available to the public, 
including on the website of the Board. 
‘‘(ii) CONTENTS.—The forms and in-
structions described under clause (i) shall 
provide a sample cover letter and a com-
prehensive list of items that may accom-
pany the application, including clear guid-
ance on evidence that may support a find-
ing of rehabilitation. 
‘‘(F) CONSIDERATION
OF
CRIMINAL
HIS-
TORY.— 
‘‘(i) REGIONAL
OFFICE
CONSIDER-
ATION.—In reviewing a consent applica-
tion, a regional office shall— 
‘‘(I) primarily rely on the crimi-
nal history record of the Federal Bu-
reau of Investigation; and 
‘‘(II) provide such record to the 
applicant to review for accuracy. 
‘‘(ii) CERTIFIED COPIES.—The Board 
may not require an applicant to provide 
certified copies of criminal history records 
unless the Board determines that there is 
a clear and compelling justification to re-
quire additional information to verify the 
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accuracy of the criminal history record of 
the Federal Bureau of Investigation. 
‘‘(G) CONSIDERATION
OF
REHABILITA-
TION.—Consistent with title VII of the Civil 
Rights Act of 1964 (42 U.S.C. 2000e et seq.), 
the Board shall— 
‘‘(i) conduct an individualized assess-
ment when evaluating consent applications 
that takes into account evidence of reha-
bilitation, the applicant’s age at the time 
of the conviction or program entry, the 
time that has elapsed since conviction or 
program entry, and the relationship of in-
dividual’s offense to the responsibilities of 
the applicable position; 
‘‘(ii) presume that the individual is re-
habilitated if four years have passed since 
the individual’s offense and the individual 
has no subsequent convictions; and 
‘‘(iii) consider the individual’s employ-
ment history, letters of recommendation, 
certificates documenting participation in 
substance abuse programs, successful par-
ticipating in job preparation and edu-
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cational programs, and other relevant miti-
gating evidence. 
‘‘(H) SCOPE OF EMPLOYMENT.—With re-
spect to an approved consent application filed 
by an insured credit union on behalf of an indi-
vidual, if the Board determines it appropriate, 
such approved consent application shall allow 
the individual to work for the same employer 
(without restrictions on the location) and across 
positions, except that the prior consent of the 
Board (which may require a new application) 
shall be required for any proposed significant 
changes in the individual’s security-related du-
ties or responsibilities, such as promotion to an 
officer or other positions that the employer de-
termines will require higher security screening 
credentials. 
‘‘(6) DEFINITIONS.—In this subsection: 
‘‘(A) CONSENT
APPLICATION.—The term 
‘consent application’ means an application filed 
with the Board by an individual (or by an in-
sured credit union on behalf of an individual) 
seeking the written consent of the Board under 
paragraph (1)(A). 
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‘‘(B) CRIMINAL OFFENSE INVOLVING DIS-
HONESTY.—The term ‘criminal offense involv-
ing dishonesty’— 
‘‘(i) means an offense under which an 
individual, directly or indirectly— 
‘‘(I) cheats or defrauds; or 
‘‘(II) wrongfully takes property 
belonging to another in violation of a 
criminal statute; 
‘‘(ii) includes an offense that Federal, 
State, or local law defines as dishonest, or 
for which dishonestly is an element of the 
offense; and 
‘‘(iii) does not include— 
‘‘(I) a misdemeanor criminal of-
fense committed more than one year 
before the date on which an individual 
files a consent application, excluding 
any period of incarceration; or 
‘‘(II) an offense involving the 
possession, sale, manufacturing, or 
distribution of controlled substances. 
‘‘(C) PRETRIAL
DIVERSION
OR
SIMILAR 
PROGRAM.—The term ‘pretrial diversion or 
similar program’ means a program character-
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ized by a suspension or eventual dismissal or 
reversal of charges or criminal prosecution upon 
agreement by the accused to restitution, drug 
or alcohol rehabilitation, anger management, or 
community service.’’. 
SEC. 4. REVIEW AND REPORT TO CONGRESS. 
Not later than the end of the 2-year period beginning 
on the date of enactment of this Act, the Federal Deposit 
Insurance Corporation and the National Credit Union Ad-
ministration shall— 
(1) review the rules issued to carry out this Act 
and the amendments made by this Act on— 
(A) the application of section 19 of the 
Federal Deposit Insurance Act (12 U.S.C. 
1829) and section 205(d) of the Federal Credit 
Union Act (12 U.S.C. 1785(d)); and 
(B) the rates of approval and denial for 
consent applications under such sections; 
(2) make the results of the review required 
under paragraph (1) available to the public; and 
(3) issue a report to Congress containing any 
legislative or regulatory recommendations for ex-
panding employment opportunities for those with a 
previous minor criminal offense. 
Æ 
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