IB 
Union Calendar No. 313 
115TH CONGRESS 
1ST SESSION H. R. 3312 
[Report No. 115–423] 
To amend the Dodd-Frank Wall Street Reform and Consumer Protection 
Act to specify when bank holding companies may be subject to certain 
enhanced supervision, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
JULY 19, 2017 
Mr. LUETKEMEYER (for himself, Ms. SINEMA, Mr. WILLIAMS, Mr. DAVID 
SCOTT of Georgia, Mr. HILL, Mr. GOTTHEIMER, Mr. BUDD, Mr. STIV-
ERS, and Mr. MEEKS) introduced the following bill; which was referred 
to the Committee on Financial Services 
NOVEMBER 28, 2017 
Additional sponsors: Mrs. BEATTY, Mr. SESSIONS, Mrs. LOVE, Ms. SEWELL 
of 
Alabama, 
Mr. 
HASTINGS, 
Mr. 
PEARCE, 
Mr. 
PETERS, 
Mr. 
LOUDERMILK, Mr. POSEY, Mr. MEADOWS, Mr. VEASEY, Mrs. MURPHY 
of Florida, Mrs. WAGNER, Mr. BARR, Mr. HULTGREN, Mr. TIPTON, Ms. 
JACKSON LEE, Mr. SCHWEIKERT, Mr. GOSAR, Mr. HOLLINGSWORTH, 
Ms. KELLY of Illinois, Mr. CURBELO of Florida, Mr. YOHO, Mr. WEB-
STER of Florida, Mr. BROOKS of Alabama, Mr. CARTER of Texas, Mr. 
BUCHANAN, Ms. BLUNT
ROCHESTER, Mr. BUCSHON, Ms. ROS- 
LEHTINEN, Mr. MAST, Mr. SMITH of Missouri, Mr. RATCLIFFE, Mr. 
FITZPATRICK, Mr. HIGGINS of New York, Mr. RUTHERFORD, Mr. NOR-
MAN, Mr. ROTHFUS, Mr. ROSS, Mr. MARCHANT, Mr. DUNN, Mr. POE of 
Texas, Mr. PITTENGER, Mr. GRAVES of Georgia, Mr. SCHNEIDER, Mr. 
WALKER, Mr. FLEISCHMANN, Mr. FRANCIS ROONEY of Florida, Mr. 
MESSER, Mr. KUSTOFF of Tennessee, Mr. DESJARLAIS, Mr. KING of 
New York, Mr. SAM JOHNSON of Texas, Mr. MARSHALL, Mr. EMMER, 
Mr. COOPER, Mrs. BROOKS of Indiana, Ms. JENKINS of Kansas, Mr. 
PAULSEN, Mrs. WALORSKI, and Mr. COFFMAN 
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NOVEMBER 28, 2017 
Reported with an amendment, committed to the Committee of the Whole 
House on the State of the Union, and ordered to be printed 
[Omit the part struck through and insert the part printed in italic] 
A BILL 
To amend the Dodd-Frank Wall Street Reform and Con-
sumer Protection Act to specify when bank holding com-
panies may be subject to certain enhanced supervision, 
and for other purposes. 
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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 ‘‘Systemic Risk Des-
ignation Improvement Act of 2017’’. 
SEC. 2. REVISIONS TO COUNCIL AUTHORITY. 
(a) PURPOSES AND DUTIES.—Section 112 of the 
Dodd-Frank Wall Street Reform and Consumer Protec-
tion Act (12 U.S.C. 5322) is amended in subsection 
(a)(2)(I) by inserting before the semicolon ‘‘, which have 
been identified as global systemically important bank hold-
ing companies pursuant to section 217.402 of title 12, 
Code of Federal Regulations, or subjected to a determina-
tion under subsection (l) of section 165’’. 
(b) ENHANCED SUPERVISION.—Section 115 of the 
Dodd-Frank Wall Street Reform and Consumer Protec-
tion Act (12 U.S.C. 5325) is amended— 
(1) in subsection (a)(1), by striking ‘‘large, 
interconnected bank holding companies’’ and insert-
ing ‘‘bank holding companies which have been iden-
tified as global systemically important bank holding 
companies pursuant to section 217.402 of title 12, 
Code of Federal Regulations, or subjected to a de-
termination under subsection (l) of section 165’’; 
and 
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(2) in subsection (a)(2)— 
(A) in subparagraph (A), by striking ‘‘; 
or’’ at the end and inserting a period; 
(B) by striking ‘‘the Council may’’ and all 
that follows through ‘‘differentiate’’ and insert-
ing ‘‘the Council may differentiate’’; and 
(C) by striking subparagraph (B). 
(c) REPORTS.—Section 116(a) of the Dodd-Frank 
Wall Street Reform and Consumer Protection Act (12 
U.S.C. 5326(a)) is amended by striking ‘‘with total con-
solidated assets of $50,000,000,000 or greater’’ and in-
serting ‘‘which has been identified as a global systemically 
important bank holding company pursuant to section 
217.402 of title 12, Code of Federal Regulations, or sub-
jected to a determination under subsection (l) of section 
165’’. 
(d) MITIGATION.—Section 121(a) of the Dodd-Frank 
Wall Street Reform and Consumer Protection Act (12 
U.S.C. 5331) is amended by striking ‘‘with total consoli-
dated assets of $50,000,000,000 or more’’ and inserting 
‘‘which has been identified as a global systemically impor-
tant bank holding company pursuant to section 217.402 
of title 12, Code of Federal Regulations, or subjected to 
a determination under subsection (l) of section 165’’. 
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(e) OFFICE OF FINANCIAL RESEARCH.—Section 155 
of the Dodd-Frank Wall Street Reform and Consumer 
Protection Act (12 U.S.C. 5345) is amended in subsection 
(d) by striking ‘‘with total consolidated assets of 
50,000,000,000 or greater’’ and inserting ‘‘which have 
been identified as global systemically important bank hold-
ing companies pursuant to section 217.402 of title 12, 
Code of Federal Regulations, or subjected to a determina-
tion under subsection (l) of section 165’’. 
SEC. 3. REVISIONS TO BOARD AUTHORITY. 
(a) ACQUISITIONS.—Section 163 of the Dodd-Frank 
Wall Street Reform and Consumer Protection Act (12 
U.S.C. 5363) is amended by striking ‘‘with total consoli-
dated assets equal to or greater than $50,000,000,000’’ 
each place such term appears and inserting ‘‘which has 
been identified as a global systemically important bank 
holding company pursuant to section 217.402 of title 12, 
Code of Federal Regulations, or subjected to a determina-
tion under subsection (l) of section 165’’. 
(b) MANAGEMENT INTERLOCKS.—Section 164 of the 
Dodd-Frank Wall Street Reform and Consumer Protec-
tion Act (12 U.S.C. 5364) is amended by striking ‘‘with 
total consolidated assets equal to or greater than 
$50,000,000,000’’ and inserting ‘‘which has been identi-
fied as a global systemically important bank holding com-
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title 12, Code of Federal Regulations, or subjected 
to a determination under subsection (l)’’. 
(d) ADVANCED TAILORING.—Section 165 of the 
Dodd-Frank Wall Street Reform and Consumer Protec-
tion Act (12 U.S.C. 5365) is amended by adding at the 
end the following: 
‘‘(l) ADDITIONAL BANK HOLDING COMPANIES SUB-
JECT
TO ENHANCED SUPERVISION
AND PRUDENTIAL 
STANDARDS BY TAILORED REGULATION.— 
‘‘(1) DETERMINATION.—The Board of Gov-
ernors may, within the limits of its existing re-
sources— 
‘‘(A) determine that a bank holding com-
pany that has not been identified as a global 
systemically important bank holding company 
pursuant to section 217.402 of title 12, Code of 
Federal Regulations, shall be subject to certain 
enhanced supervision or prudential standards 
under this section, tailored to the risks pre-
sented, based on the considerations in para-
graph (3), where material financial distress at 
the bank holding company, or the nature, scope, 
size, scale, concentration, interconnectedness, or 
mix of the activities of the individual bank hold-
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ing company, could pose a threat to the finan-
cial stability of the United States; or 
‘‘(B) by regulation determine that a cat-
egory of bank holding companies that have not 
been identified as global systemically important 
bank holding companies pursuant to section 
217.402 of title 12, Code of Federal Regula-
tions, shall be subject to certain enhanced su-
pervision or prudential standards under this 
section, tailored to the risk presented by the 
category of bank holding companies, based on 
the considerations in paragraph (3), where ma-
terial financial distress at the category of bank 
holding companies, or the nature, scope, size, 
scale, concentration, interconnectedness, or mix 
of the activities of the category of bank holding 
companies, could pose a threat to the financial 
stability of the United States. 
‘‘(2) COUNCIL
APPROVAL
OF
REGULATIONS 
WITH RESPECT TO CATEGORIES.—Notwithstanding 
paragraph (1)(B), a regulation issued by the Board 
of Governors to make a determination under such 
paragraph (1)(B) shall not take effect unless the 
Council, by a vote of not fewer than 2⁄3 of the voting 
members then serving, including an affirmative vote 
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by the Chairperson, approves the metrics used by 
the Board of Governors in establishing such regula-
tion. 
‘‘(3) CONSIDERATIONS.—In making any deter-
mination under paragraph (1), the Board of Gov-
ernors shall consider the following factors: 
‘‘(A) The size of the bank holding com-
pany. 
‘‘(B) The interconnectedness of the bank 
holding company. 
‘‘(C) The extent of readily available sub-
stitutes or financial institution infrastructure 
for the services of the bank holding company. 
‘‘(D) The global cross-jurisdictional activ-
ity of the bank holding company. 
‘‘(E) The complexity of the bank holding 
company. 
‘‘(4) CONSISTENT APPLICATION OF CONSIDER-
ATIONS.—In making a determination under para-
graph (1), the Board of Governors shall ensure that 
bank holding companies that are similarly situated 
with respect to the factors described under para-
graph (3), are treated similarly for purposes of any 
enhanced supervision or prudential standards ap-
plied under this section. 
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‘‘(5) USE OF CURRENTLY REPORTED DATA TO 
AVOID
UNNECESSARY
BURDEN.—For purposes of 
making a determination under paragraph (1), the 
Board of Governors shall make use of data already 
being reported to the Board of Governors, including 
from calculating a bank holding company’s systemic 
indicator score, in order to avoid placing an unneces-
sary burden on bank holding companies.’’. 
(e) SYSTEMIC IDENTIFICATION.—Section 165 of the 
Dodd-Frank Wall Street Reform and Consumer Protec-
tion Act (12 U.S.C. 5365), as amended by subsection (d), 
is further amended by adding at the end the following: 
‘‘(m) SYSTEMIC IDENTIFICATION.—With respect to 
the identification of bank holding companies as global sys-
temically important bank holding companies pursuant to 
section 217.402 of title 12, Code of Federal Regulations, 
or subjected to a determination under subsection (l), the 
Board of Governors shall— 
‘‘(1) publish, including on the Board of 
Governors’s website, a list of all bank holding com-
panies that have been so identified, and keep such 
list current; and 
‘‘(2) solicit feedback from the Council on the 
identification process and on the application of such 
process to specific bank holding companies.’’. 
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(f) CONFORMING AMENDMENT.—The second sub-
section (s) (relating to ‘‘Assessments, Fees, and Other 
Charges for Certain Companies’’) of section 11 of the Fed-
eral Reserve Act (12 U.S.C. 248) is amended— 
(1) by redesignating such subsection as sub-
section (t); and 
(2) in paragraph (2)(A), by striking ‘‘having 
total consolidated assets of $50,000,000,000 or 
more’’ and inserting ‘‘which have been identified as 
global systemically important bank holding compa-
nies pursuant to section 217.402 of title 12, Code of 
Federal Regulations, or subjected to a determination 
under subsection (l) of section 165 of the Dodd- 
Frank Wall Street Reform and Consumer Protection 
Act’’. 
SEC. 4. RULE OF CONSTRUCTION. 
Nothing in this Act or the amendments made by this 
Act shall be construed to prohibit the Board of Governors 
of the Federal Reserve System from prescribing enhanced 
prudential standards for any bank holding company which 
the Board of Governors determines, based upon the bank 
holding company’s size, interconnectedness, substitut-
ability, global cross-jurisdictional activity, and complexity, 
could pose a safety and soundness risk to the stability of 
the United States banking or financial system but has not 
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