and the balance in the Troubled Assets Insurance Fi-
nancing Fund. 
(d) 
TROUBLED
ASSETS
INSURANCE
FINANCING 
FUND.— 
(1) DEPOSITS.—The Secretary shall deposit fees 
collected under this section into the Fund established 
under paragraph (2). 
(2) ESTABLISHMENT.—There is established a 
Troubled Assets Insurance Financing Fund that shall 
consist of the amounts collected pursuant to para-
graph (1), and any balance in such fund shall be in-
vested by the Secretary in United States Treasury se-
curities, or kept in cash on hand or on deposit, as 
necessary. 
(3) PAYMENTS FROM FUND.—The Secretary shall 
make payments from amounts deposited in the Fund 
to fulfill obligations of the guarantees provided to fi-
nancial institutions under subsection (a). 
SEC. 103. CONSIDERATIONS. 
In exercising the authorities granted in this Act, the 
Secretary shall take into consideration— 
(1) protecting the interests of taxpayers by maxi-
mizing overall returns and minimizing the impact on 
the national debt;
(2) providing stability and preventing disrup-
tion to financial markets in order to limit the impact 
on the economy and protect American jobs, savings, 
and retirement security; 
(3) the need to help families keep their homes 
and to stabilize communities; 
(4) in determining whether to engage in a direct 
purchase from an individual financial institution, the 
long-term viability of the financial institution in de-
termining whether the purchase represents the most 
efficient use of funds under this Act; 
(5) ensuring that all financial institutions are 
eligible to participate in the program, without dis-
crimination based on size, geography, form of organi-
zation, or the size, type, and number of assets eligible 
for purchase under this Act; 
(6) providing financial assistance to financial 
institutions, including those serving low- and mod-
erate-income populations and other underserved com-
munities, 
and 
that 
have 
assets 
less 
than 
$1,000,000,000, that were well or adequately capital-
ized as of June 30, 2008, and that as a result of the 
devaluation of the preferred government-sponsored en-
terprises stock will drop one or more capital levels, in
a manner sufficient to restore the financial institu-
tions to at least an adequately capitalized level; 
(7) the need to ensure stability for United States 
public instrumentalities, such as counties and cities, 
that may have suffered significant increased costs or 
losses in the current market turmoil; 
(8) protecting the retirement security of Ameri-
cans by purchasing troubled assets held by or on be-
half of an eligible retirement plan described in clause 
(iii), (iv), (v), or (vi) of section 402(c)(8)(B) of the 
Internal Revenue Code of 1986, except that such au-
thority shall not extend to any compensation arrange-
ments subject to section 409A of such Code; and 
(9) the utility of purchasing other real estate 
owned and instruments backed by mortgages on mul-
tifamily properties. 
SEC. 104. FINANCIAL STABILITY OVERSIGHT BOARD. 
(a) ESTABLISHMENT.—There is established the Finan-
cial Stability Oversight Board, which shall be responsible 
for— 
(1) reviewing the exercise of authority under a 
program developed in accordance with this Act, in-
cluding— 
(A) policies implemented by the Secretary 
and the Office of Financial Stability created
under sections 101 and 102, including the ap-
pointment of financial agents, the designation of 
asset classes to be purchased, and plans for the 
structure of vehicles used to purchase troubled as-
sets; and 
(B) the effect of such actions in assisting 
American families in preserving home owner-
ship, stabilizing financial markets, and pro-
tecting taxpayers; 
(2) making recommendations, as appropriate, to 
the Secretary regarding use of the authority under 
this Act; and 
(3) reporting any suspected fraud, misrepresen-
tation, or malfeasance to the Special Inspector Gen-
eral for the Troubled Assets Relief Program or the At-
torney General of the United States, consistent with 
section 535(b) of title 28, United States Code. 
(b) MEMBERSHIP.—The Financial Stability Oversight 
Board shall be comprised of— 
(1) the Chairman of the Board of Governors of 
the Federal Reserve System; 
(2) the Secretary; 
(3) the Director of the Federal Housing Finance 
Agency;
(4) the Chairman of the Securities Exchange 
Commission; and 
(5) the Secretary of Housing and Urban Devel-
opment. 
(c) CHAIRPERSON.—The chairperson of the Financial 
Stability Oversight Board shall be elected by the members 
of the Board from among the members other than the Sec-
retary. 
(d) MEETINGS.—The Financial Stability Oversight 
Board shall meet 2 weeks after the first exercise of the pur-
chase authority of the Secretary under this Act, and month-
ly thereafter. 
(e) ADDITIONAL AUTHORITIES.—In addition to the re-
sponsibilities described in subsection (a), the Financial Sta-
bility Oversight Board shall have the authority to ensure 
that the policies implemented by the Secretary are— 
(1) in accordance with the purposes of this Act; 
(2) in the economic interests of the United 
States; and 
(3) consistent with protecting taxpayers, in ac-
cordance with section 113(a). 
(f) CREDIT REVIEW COMMITTEE.—The Financial Sta-
bility Oversight Board may appoint a credit review com-
mittee for the purpose of evaluating the exercise of the pur-
chase authority provided under this Act and the assets ac-
quired through the exercise of such authority, as the Finan-
cial Stability Oversight Board determines appropriate. 
(g) REPORTS.—The Financial Stability Oversight 
Board shall report to the appropriate committees of Con-
gress and the Congressional Oversight Panel established 
under section 125, not less frequently than quarterly, on 
the matters described under subsection (a)(1). 
(h) TERMINATION.—The Financial Stability Oversight 
Board, and its authority under this section, shall terminate 
on the expiration of the 15-day period beginning upon the 
later of— 
(1) the date that the last troubled asset acquired 
by the Secretary under section 101 has been sold or 
transferred out of the ownership or control of the Fed-
eral Government; or 
(2) the date of expiration of the last insurance 
contract issued under section 102. 
SEC. 105. REPORTS. 
(a) IN GENERAL.—Before the expiration of the 60-day 
period beginning on the date of the first exercise of the au-
thority granted in section 101(a), or of the first exercise 
of the authority granted in section 102, whichever occurs 
first, and every 30-day period thereafter, the Secretary shall 
report to the appropriate committees of Congress, with re-
spect to each such period—
(1) an overview of actions taken by the Sec-
retary, including the considerations required by sec-
tion 103 and the efforts under section 109; 
(2) the actual obligation and expenditure of the 
funds provided for administrative expenses by section 
118 during such period and the expected expenditure 
of such funds in the subsequent period; and 
(3) a detailed financial statement with respect to 
the exercise of authority under this Act, including— 
(A) all agreements made or renewed; 
(B) all insurance contracts entered into 
pursuant to section 102; 
(C) all transactions occurring during such 
period, including the types of parties involved; 
(D) the nature of the assets purchased; 
(E) all projected costs and liabilities; 
(F) operating expenses, including com-
pensation for financial agents; 
(G) the valuation or pricing method used 
for each transaction; and 
(H) a description of the vehicles established 
to exercise such authority. 
(b) TRANCHE REPORTS TO CONGRESS.— 
(1) REPORTS.—The Secretary shall provide to 
the appropriate committees of Congress, at the times
specified in paragraph (2), a written report, includ-
ing— 
(A) a description of all of the transactions 
made during the reporting period; 
(B) a description of the pricing mechanism 
for the transactions; 
(C) a justification of the price paid for and 
other financial terms associated with the trans-
actions; 
(D) a description of the impact of the exer-
cise of such authority on the financial system, 
supported, to the extent possible, by specific data; 
(E) a description of challenges that remain 
in the financial system, including any bench-
marks yet to be achieved; and 
(F) an estimate of additional actions under 
the authority provided under this Act that may 
be necessary to address such challenges. 
(2) TIMING.—The report required by this sub-
section shall be submitted not later than 7 days after 
the date on which commitments to purchase troubled 
assets under the authorities provided in this Act first 
reach an aggregate of $50,000,000,000 and not later 
than 7 days after each $50,000,000,000 interval of 
such commitments is reached thereafter.
(c) REGULATORY MODERNIZATION REPORT.—The Sec-
retary shall review the current state of the financial markets 
and the regulatory system and submit a written report to 
the appropriate committees of Congress not later than April 
30, 2009, analyzing the current state of the regulatory sys-
tem and its effectiveness at overseeing the participants in 
the financial markets, including the over-the-counter swaps 
market and government-sponsored enterprises, and pro-
viding recommendations for improvement, including— 
(1) recommendations regarding— 
(A) whether any participants in the finan-
cial markets that are currently outside the regu-
latory system should become subject to the regu-
latory system; and 
(B) enhancement of the clearing and settle-
ment of over-the-counter swaps; and 
(2) the rationale underlying such recommenda-
tions. 
(d) SHARING OF INFORMATION.—Any report required 
under this section shall also be submitted to the Congres-
sional Oversight Panel established under section 125. 
(e) SUNSET.—The reporting requirements under this 
section shall terminate on the later of— 
(1) the date that the last troubled asset acquired 
by the Secretary under section 101 has been sold or