IB 
Union Calendar No. 219 
115TH CONGRESS 
1ST SESSION H. R. 1624 
[Report No. 115–306] 
To require the appropriate Federal banking agencies to treat certain 
municipal obligations as level 2A liquid assets, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
MARCH 20, 2017 
Mr. MESSER (for himself, Mrs. CAROLYN B. MALONEY of New York, Mr. 
HULTGREN, Mr. MEEKS, Ms. KELLY of Illinois, Ms. SEWELL of Ala-
bama, Ms. SINEMA, Mr. KING of New York, Ms. NORTON, Ms. MOORE, 
Mr. POLIQUIN, Mr. VEASEY, Mr. SHERMAN, and Mr. KIND) introduced 
the following bill; which was referred to the Committee on Financial Serv-
ices 
SEPTEMBER 12, 2017 
Additional sponsors: Mr. HUDSON, Mr. CURBELO of Florida, Mr. ROSS, Ms. 
VELA´ZQUEZ, Mr. DELANEY, and Mr. FITZPATRICK 
SEPTEMBER 12, 2017 
Reported with amendments, committed to the Committee of the Whole House 
on the State of the Union, and ordered to be printed 
[Strike out all after the enacting clause and insert the part printed in italic] 
[For text of introduced bill, see copy of bill as introduced on March 20, 2017] 
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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 Finance Sup-
port Act of 2017’’. 
SEC. 2. TREATMENT OF CERTAIN MUNICIPAL OBLIGATIONS. 
(a) IN GENERAL.—Section 18 of the Federal Deposit 
Insurance Act (12 U.S.C. 1828) is amended— 
(1) by moving subsection (z) so that it appears 
after subsection (y); and 
(2) by adding at the end the following: 
‘‘(aa) TREATMENT OF CERTAIN MUNICIPAL OBLIGA-
TIONS.— 
‘‘(1) IN
GENERAL.—For purposes of the final 
rule titled ‘Liquidity Coverage Ratio: Liquidity Risk 
Measurement Standards; Final Rule’ (79 Fed. Reg. 
61439; published October 10, 2014) (the ‘Final Rule’) 
and any other regulation which incorporates a defini-
tion of the term ‘high-quality liquid asset’, the appro-
priate Federal banking agencies shall treat a munic-
ipal obligation that is both liquid and readily mar-
ketable (as defined in the Final Rule) and investment 
grade as of the calculation date as a high-quality liq-
uid asset that is no lower than a level 2B liquid asset. 
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‘‘(2) DEFINITIONS.—For purposes of this sub-
section: 
‘‘(A) INVESTMENT GRADE.—With respect to 
an obligation, the term ‘investment grade’ has 
the meaning given that term under part 1 of 
title 12, Code of Federal Regulations. 
‘‘(B) MUNICIPAL
OBLIGATION.—The term 
‘municipal obligation’ means an obligation of a 
State or any political subdivision thereof, or any 
agency or instrumentality of a State or any po-
litical subdivision thereof.’’. 
(b) AMENDMENT
TO LIQUIDITY COVERAGE RATIO 
REGULATIONS.—Not later than the end of the 3-month pe-
riod beginning on the date of the enactment of this Act, 
the Federal Deposit Insurance Corporation, the Board of 
Governors of the Federal Reserve System, and the Comp-
troller of the Currency shall amend the final rule titled ‘‘Li-
quidity Coverage Ratio: Liquidity Risk Measurement 
Standards; Final Rule’’ (79 Fed. Reg. 61439; published Oc-
tober 10, 2014) to implement the amendments made by this 
Act. 
Amend the title so as to read: ‘‘A bill to require the 
appropriate Federal banking agencies to treat certain 
municipal obligations as no lower than level 2B liquid as-
sets, and for other purposes.’’. 
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Union Calendar No. 219 
115TH CONGRESS 
1ST SESSION 
H. R. 1624 
[Report No. 115–306] 
A BILL 
To require the appropriate Federal banking agen-
cies to treat certain municipal obligations as level 
2A liquid assets, and for other purposes. 
SEPTEMBER 12, 2017 
Reported with amendments, committed to the Committee 
of the Whole House on the State of the Union, and or-
dered to be printed 
VerDate Sep 11 2014 
21:00 Sep 12, 2017
Jkt 069200
PO 00000
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