I 
117TH CONGRESS 
2D SESSION 
H. R. 7623 
To increase the effectiveness and accountability of the Financial Crimes 
Enforcement Network of the Department of the Treasury and to protect 
the freedom and privacy of Americans, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
APRIL 28, 2022 
Mr. DAVIDSON introduced the following bill; which was referred to the 
Committee on Financial Services 
A BILL 
To increase the effectiveness and accountability of the Finan-
cial Crimes Enforcement Network of the Department 
of the Treasury and to protect the freedom and privacy 
of Americans, 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 ‘‘Financial Crimes En-
forcement Network Improvements Act’’. 
SEC. 2. BANK SECRECY ACT DEFINED. 
In this Act, the term ‘‘Bank Secrecy Act’’ means— 
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(1) section 21 of the Federal Deposit Insurance 
Act (12 U.S.C. 1829b); 
(2) chapter 2 of title I of Public Law 91–508 
(12 U.S.C. 1951 et seq.); and 
(3) subchapter II of chapter 53 of title 31, 
United States Code. 
SEC. 3. DIRECTOR OF THE FINANCIAL CRIMES ENFORCE-
MENT NETWORK. 
(a) APPOINTMENT OF DIRECTOR.—Section 310(b)(1) 
of title 31, United States Code, is amended by striking 
‘‘who shall be appointed by the Secretary of the Treasury’’ 
and inserting ‘‘who shall be appointed by the President, 
by and with the advice and consent of the Senate’’. 
(b) PAY OF DIRECTOR.—Section 310(b)(1) of title 
31, United States Code, is amended by adding at the end 
the following: ‘‘The Director shall be compensated at the 
rate provided under level IV of the Executive Schedule 
under section 5315 of title 5’’. 
SEC. 4. INSPECTOR GENERAL FUNCTIONS. 
(a) ESTABLISHMENT OF OFFICE.—There is estab-
lished within the Office of the Inspector General of the 
Department of the Treasury an Office of Audit and Inves-
tigations for the Financial Crimes Enforcement Network. 
(b) DEPUTY INSPECTOR GENERAL.—The Inspector 
General of the Department of the Treasury shall designate 
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a member of the Senior Executive Service to head the Of-
fice of Audit and Investigations for the Financial Crimes 
Enforcement Network. Such member shall be known as 
the Deputy Inspector General for the Financial Crimes 
Enforcement Network. 
(c) SUPERVISION, AUTHORITY, AND RESOURCES.— 
The Inspector General of the Department of the Treasury 
shall supervise the Deputy Inspector General for the Fi-
nancial Crimes Enforcement Network and shall ensure 
that the Deputy Inspector General has the authority and 
resources necessary and appropriate to perform inspector 
general functions with respect to the Financial Crimes En-
forcement Network. 
(d) PRIORITIES.—The Inspector General of the De-
partment of the Treasury shall ensure that the Office of 
Audit and Investigations for the Financial Crimes En-
forcement Network gives substantial priority in con-
ducting audits and investigations to protection of the civil 
liberties and privacy of American citizens by the Financial 
Crimes Enforcement Network, including in the implemen-
tation of the Bank Secrecy Act and subsections (b), (c), 
and (d) of section 310 of title 31, United States Code, 
by the Financial Crimes Enforcement Network. 
(e) ANNUAL REPORT.—The Inspector General of the 
Department of the Treasury shall submit to the Com-
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(4) such other information relating to that Of-
fice as the Inspector General determines appro-
priate. 
SEC. 5. CIVIL LIBERTIES PROTECTION OFFICER FOR THE 
FINANCIAL 
CRIMES 
ENFORCEMENT 
NET-
WORK. 
Section 301 of title 31, United States Code, is 
amended by adding at the end the following: 
‘‘(h) CIVIL LIBERTIES PROTECTION OFFICER FOR 
THE FINANCIAL CRIMES ENFORCEMENT NETWORK.— 
‘‘(1) IN GENERAL.—Within the Office of the 
Secretary of the Treasury, there shall be a Civil Lib-
erties Protection Officer for the Financial Crimes 
Enforcement Network who shall— 
‘‘(A) be designated by the Secretary of the 
Treasury from among members of the Senior 
Executive Service; and 
‘‘(B) report directly to and be supervised 
directly by the Secretary of the Treasury or, if 
so assigned by the Secretary, the Deputy Sec-
retary of the Treasury. 
‘‘(2) DUTIES.—The Civil Liberties Protection 
Officer for the Financial Crimes Enforcement Net-
work shall— 
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‘‘(A) ensure that protection of civil liberties 
and privacy is appropriately incorporated in the 
activities conducted by the Financial Crimes 
Enforcement Network; 
‘‘(B) oversee compliance by the Financial 
Crimes Enforcement Network with require-
ments under the Constitution and all laws, reg-
ulations, and implementing guidelines relating 
to civil liberties and privacy; 
‘‘(C) review and assess complaints and 
other information indicating possible abuses of 
civil liberties and privacy in the administration 
of the programs and operations of the Financial 
Crimes Enforcement Network and, as appro-
priate, refer such complaints or information for 
investigation to the Office of Audit and Inves-
tigations for the Financial Crimes Enforcement 
Network; 
‘‘(D) ensure that the use by the Financial 
Crimes Enforcement Network of technologies 
sustains, and does not erode, privacy protec-
tions relating to the use, collection, and disclo-
sure of personal information; 
‘‘(E) ensure that personal information con-
tained in a system of records subject to section 
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552a of title 5 (commonly referred to as the 
‘Privacy Act’) is handled by the Financial 
Crimes Enforcement Network in compliance 
with that section; 
‘‘(F) conduct privacy impact assessments 
of the Financial Crimes Enforcement Network 
when appropriate, directed, or required by law; 
and 
‘‘(G) perform such other duties relating di-
rectly to protection of civil liberties and privacy 
by the Financial Crimes Enforcement Network 
as may be prescribed by the Secretary of the 
Treasury. 
‘‘(3) COORDINATION.—The Civil Liberties Pro-
tection Officer for the Financial Crimes Enforce-
ment Network shall keep the following individuals 
appropriately informed of the Officer’s activities: 
‘‘(A) The Department of the Treasury’s 
Chief Privacy Officer (as described under sec-
tion 522 of division H of the Consolidated Ap-
propriations Act, 2005 (42 U.S.C. 2000ee–2)). 
‘‘(B) The Department of the Treasury’s 
Privacy and Civil Liberties Officer (as des-
ignated pursuant to section 1062 of the Na-
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tional Security Intelligence Reform Act of 2004 
(42 U.S.C. 2000ee–1)).’’. 
SEC. 6. TRANSPARENCY IN RULEMAKING AND SECRE-
TARIAL EXCEPTIONS. 
(a) RESERVATION TO THE SECRETARY OF AUTHOR-
ITY TO MAKE EXCEPTIONS.—No officer or employee of 
the Department of the Treasury, except the Secretary of 
the Treasury or the person performing the duties of the 
Secretary of the Treasury when that office is vacant or 
the Secretary is unable to perform the duties of that office, 
shall, with respect to a proposed or final rule relating to 
activities of the Financial Crimes Enforcement Network, 
including implementation of the Bank Secrecy Act— 
(1) make findings of good cause under sub-
section (b) or (d) of section 553 of title 5, United 
States Code; 
(2) exercise authority to certify, delay, or waive 
under section 605 or 608 of title 5, United States 
Code; or 
(3) make findings of good cause under section 
808(2) of title 5, United States Code. 
(b) COVERED AGENCY STATUS FOR REGULATORY 
FLEXIBILITY.—Section 310 of title 31, United States 
Code, is amended by adding at the end thereof the fol-
lowing new subsection: 
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‘‘(m) The Financial Crimes Enforcement Network 
shall be a ‘covered agency’ for purposes of section 609(d) 
of title 5.’’. 
SEC. 7. TRANSPARENCY WITH CONTROLLING DOCUMENTS. 
(a) DEFINITION OF CONTROLLING DOCUMENT.—As 
used in this section, the term ‘‘controlling document’’ re-
fers to any record (as defined in section 3301 of title 44, 
United States Code) issued by or under the authority of 
the Secretary, Deputy Secretary, Under Secretary for En-
forcement, or any other officer or employee of the Depart-
ment of the Treasury, that delegates authority to the Fi-
nancial Crimes Enforcement Network or its Director, or 
contains direction binding upon the Financial Crimes En-
forcement Network or its Director, in the implementation 
of section 310 of title 31, United States Code, or the Bank 
Secrecy Act, including delegations, prescriptions, regula-
tions, protocols, priorities, policies, standards, guidelines, 
and requirements issued in accordance with subsections 
(b)(2)(C), (b)(2)(E), (b)(2)(I), (b)(2)(J), (b)(2)(O), (c), 
and (i)(2)(C)(ii) of section 310 of such title 31 and sub-
sections (b)(1), (b)(2), (b)(4), (c)(2)(A), (c)(2)(C), (c)(3), 
(c)(5), (d)(3), and (h)(3)(C)(i)(I)(bb) of section 5336 of 
such title 31. 
(b) DISCLOSURE TO CONGRESS.—The Secretary of 
the Treasury shall promptly provide to the Committee on 
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Financial Services of the House of Representatives and 
the Committee on Banking, Housing, and Urban Affairs 
of the Senate— 
(1) controlling documents in force as of the en-
actment of this Act; 
(2) any controlling documents issued thereafter; 
and 
(3) any changes to controlling documents de-
scribed in paragraphs (1) and (2) made thereafter, 
including any revocations thereof. 
(c) DISCLOSURE TO THE PUBLIC.—The Secretary of 
the Treasury shall make available promptly to the public 
the controlling documents and changes that the Secretary 
is required to provide to the committees listed in sub-
section (b), excluding such reasonably segregable portions 
of controlling documents or changes as would fall within 
an exemption in section 552(b) of title 5, United States 
Code. 
SEC. 8. INFORMATION FOR CONSTITUTIONAL FUNCTIONS 
OF CONGRESS. 
(a) KEEPING CONGRESS INFORMED.—The Secretary 
of the Treasury shall keep the Committee on Financial 
Services of the House of Representatives and the Com-
mittee on Banking, Housing, and Urban Affairs of the 
Senate fully and currently informed of the activities of the 
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