I 
117TH CONGRESS 
1ST SESSION H. R. 3968 
To require the Board of Governors of the Federal Reserve System, the 
Federal Deposit Insurance Corporation, the Financial Crimes Enforce-
ment Network, the National Credit Union Administration, the Office 
of the Comptroller of the Currency, and the United States Department 
of the Treasury to update guidance on customer identification regulations 
with respect to the use of identification cards issued by a municipality, 
and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
JUNE 17, 2021 
Mr. TORRES of New York (for himself, Mr. SHERMAN, Ms. VELA´ZQUEZ, Mr. 
MEEKS, Mrs. CAROLYN B. MALONEY of New York, Ms. CLARKE of New 
York, Mr. SUOZZI, Mr. ESPAILLAT, Mr. NADLER, Ms. OCASIO-CORTEZ, 
Ms. MENG, Mr. JEFFRIES, and Mr. BOWMAN) introduced the following 
bill; which was referred to the Committee on Financial Services 
A BILL 
To require the Board of Governors of the Federal Reserve 
System, the Federal Deposit Insurance Corporation, the 
Financial Crimes Enforcement Network, the National 
Credit Union Administration, the Office of the Comp-
troller of the Currency, and the United States Depart-
ment of the Treasury to update guidance on customer 
identification regulations with respect to the use of iden-
tification cards issued by a municipality, 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 ‘‘Municipal IDs Accept-
ance Act’’. 
SEC. 2. FINDINGS. 
Congress finds the following: 
(1) Current law and regulations require certain 
financial institutions, including depository institu-
tions, savings associations, and credit unions, to 
have a Customer Identification Program to identify 
customers who wish to open accounts. 
(2) A financial institution must have risk-based 
procedures for evaluating new customers that allow 
the financial institution to form a reasonable belief 
that the financial institution knows the true identity 
of the customer. 
(3) Guidance on the Consumer Identification 
Program has not been updated since the staff of the 
Board of Governors of the Federal Reserve System, 
Federal Deposit Insurance Corporation, Financial 
Crimes Enforcement Network, National Credit 
Union Administration, Office of the Comptroller of 
the Currency, Office of Thrift Supervision, and the 
United States Department of the Treasury (in this 
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section referred to as ‘‘the Agencies’’) issued ‘‘Inter-
agency Interpretive Guidance on Customer Identi-
fication Program Requirements under Section 326 
of the USA PATRIOT Act, 2005 FAQs’’. 
(4) Over the last decade more than two dozen 
cities and counties in the United States have insti-
tuted municipal identification programs, issuing a 
form of identification to residents who typically do 
not have driver’s licenses, including young people, 
the elderly, homeless residents, and immigrants. 
(5) Municipal identification programs help vul-
nerable populations access private and public serv-
ices, including library services, utility accounts, food, 
medical care, and housing assistance. 
(6) While the Agencies have issued statements 
about the use of municipal identification for con-
sumer identification, many financial institutions 
have been hesitant to incorporate municipal identi-
fication into the Consumer Identification Programs, 
limiting access to banking for underserved popu-
lations. 
(7) It is important for the Agencies to clarify, 
in guidance, that financial institutions may accept 
municipal identification to establish a customer’s 
identity if such identification enables the bank to 
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form a reasonable belief that the bank knows the 
true identity of the customer. 
SEC. 3. UPDATING GUIDANCE ON CUSTOMER IDENTIFICA-
TION REGULATIONS. 
The Board of Governors of the Federal Reserve Sys-
tem, the Federal Deposit Insurance Corporation, the Fi-
nancial Crimes Enforcement Network, the National Credit 
Union Administration, the Office of the Comptroller of the 
Currency, and the Department of the Treasury shall up-
date the guidance titled ‘‘Guidance on Customer Identi-
fication Regulations Financial Crimes Enforcement Net-
work FAQs: Final CIP Rule’’ issued on January 8, 2004, 
to state that an identification card issued by a munici-
pality may be used by a bank to verify the identity of a 
customer if such identification card enables the bank to 
form a reasonable belief that the bank knows the true 
identity of the customer. 
Æ 
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