I 
116TH CONGRESS 
1ST SESSION H. R. 4384 
To amend the Federal Deposit Insurance Act to ensure that certain custodial 
deposits of a well capitalized insured depository institution are not consid-
ered to be funds obtained by or through a deposit broker, and for 
other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
SEPTEMBER 18, 2019 
Mr. CRIST (for himself and Mr. HILL of Arkansas) introduced the following 
bill; which was referred to the Committee on Financial Services 
A BILL 
To amend the Federal Deposit Insurance Act to ensure that 
certain custodial deposits of a well capitalized insured 
depository institution are not considered to be funds 
obtained by or through a deposit broker, 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 ‘‘Community Bank De-
posit Access Act of 2019’’. 
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SEC. 2. LIMITED EXCEPTION FOR CUSTODIAL DEPOSITS. 
(a) IN GENERAL.—Section 29 of the Federal Deposit 
Insurance Act (12 U.S.C. 1831f) is amended by adding 
at the end the following: 
‘‘(j) LIMITED EXCEPTION FOR CUSTODIAL DEPOS-
ITS.— 
‘‘(1) IN GENERAL.—Custodial deposits of an el-
igible institution shall not be considered to be funds 
obtained, directly or indirectly, by or through a de-
posit broker to the extent that the total amount of 
such custodial deposits does not exceed the lesser 
of— 
‘‘(A) $5,000,000,000; or 
‘‘(B) an amount equal to 10 percent of the 
total liabilities of the eligible institution. 
‘‘(2) DEFINITIONS.—In this subsection: 
‘‘(A) CUSTODIAL
DEPOSIT.—The term 
‘custodial deposit’ means a deposit that would 
otherwise be considered to be obtained, directly 
or indirectly, by or through a deposit broker, if 
it is deposited at 1 or more insured depository 
institutions, for the purpose of providing or 
maintaining deposit insurance for the benefit of 
a third party, by or through any of the fol-
lowing, each acting in a formal custodial or fi-
duciary capacity for the benefit of a third party: 
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‘‘(i) An insured depository institution 
serving as agent, trustee, or custodian. 
‘‘(ii) A trust entity controlled by an 
insured depository institution serving as 
agent, trustee, or custodian. 
‘‘(iii) A State-chartered trust company 
serving as agent, trustee, or custodian. 
‘‘(iv) A plan administrator or invest-
ment advisor, acting in a formal custodial 
or fiduciary capacity for the benefit of a 
plan defined in section 3(3) of the Em-
ployee Retirement Income Security Act of 
1974 (29 U.S.C. 1002(3)). 
‘‘(B) ELIGIBLE
INSTITUTION.—The term 
‘eligible institution’ means an insured deposi-
tory institution that accepts custodial deposits, 
that were not placed there in return for fees 
paid by the insured depository institution pur-
suant to an agreement with a third party, if the 
insured depository institution— 
‘‘(i)(I) when most recently examined 
under section 10(d) was found to have a 
composite condition of outstanding or 
good; and 
‘‘(II) is well capitalized; or 
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‘‘(ii) has obtained a waiver pursuant 
to subsection (c). 
‘‘(C) PLAN
ADMINISTRATOR.—The term 
‘plan administrator’ has the meaning given the 
term ‘administrator’ in section 3(16) of the 
Employee Retirement Income Security Act of 
1974 (29 U.S.C. 1002(16)). 
‘‘(D) WELL CAPITALIZED.—The term ‘well 
capitalized’ has the meaning given the term in 
section 38(b)(1)(A).’’. 
(b) INTEREST RATE RESTRICTION.—Section 29 of 
the Federal Deposit Insurance Act (12 U.S.C. 1831f) is 
amended by striking subsection (e) and inserting the fol-
lowing: 
‘‘(e) RESTRICTION ON INTEREST RATE PAID.— 
‘‘(1) DEFINITIONS.—In this subsection— 
‘‘(A) the terms ‘custodial deposit’, ‘eligible 
institution’, and ‘well capitalized’ have the 
meanings given those terms, respectively, in 
subsection (j); and 
‘‘(B) the term ‘covered insured depository 
institution’ means an insured depository institu-
tion that— 
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‘‘(i) under subsection (c) or (d), ac-
cepts funds obtained, directly or indirectly, 
by or through a deposit broker, or 
‘‘(ii) while acting as an eligible insti-
tution under subsection (j), accepts custo-
dial deposits while not well capitalized. 
‘‘(2) PROHIBITION.—A covered insured deposi-
tory institution may not pay a rate of interest on 
funds that, under subsection (c) or (d), are obtained, 
directly or indirectly, by or through a deposit broker 
or on custodial deposits that are accepted while not 
well capitalized that, at the time the funds or custo-
dial deposits are accepted, significantly exceeds the 
limit set forth in paragraph (3). 
‘‘(3) LIMIT ON INTEREST RATES.—The limit on 
the rate of interest referred to in paragraph (2) shall 
be— 
‘‘(A) the rate paid on deposits of similar 
maturity in the normal market area of the cov-
ered insured depository institution for deposits 
accepted in the normal market area of the cov-
ered insured depository institution; or 
‘‘(B) the national rate paid on deposits of 
comparable maturity, as established by the Cor-
poration, for deposits accepted outside the nor-
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mal market area of the covered insured deposi-
tory institution.’’. 
Æ 
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