IB 
Union Calendar No. 6 
111TH CONGRESS 
1ST SESSION 
H. R. 786 
[Report No. 111–18] 
To make permanent the temporary increase in deposit insurance coverage, 
and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
FEBRUARY 2, 2009 
Mr. FRANK of Massachusetts introduced the following bill; which was referred 
to the Committee on Financial Services 
FEBRUARY 23, 2009 
Reported with an amendment, 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 February 2, 2009] 
A BILL 
To make permanent the temporary increase in deposit 
insurance coverage, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
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SECTION 1. PERMANENT INCREASE IN DEPOSIT INSUR-
ANCE. 
(a) AMENDMENTS TO FEDERAL DEPOSIT INSURANCE 
ACT.—Effective upon the date of the enactment of this Act, 
section 11(a) of the Federal Deposit Insurance Act (12 
U.S.C. 1821(a)) is amended— 
(1) in paragraph (1)(E), by striking ‘‘$100,000’’ 
and inserting ‘‘$250,000’’; 
(2) in paragraph (1)(F)(i), by striking ‘‘2010’’ 
and inserting ‘‘2015’’; 
(3) in subclause (I) of paragraph (1)(F)(i), by 
striking ‘‘$100,000’’ and inserting ‘‘$250,000’’; 
(4) in subclause (II) of paragraph (1)(F)(i), by 
striking ‘‘the calendar year preceding the date this 
subparagraph takes effect under the Federal Deposit 
Insurance Reform Act of 2005’’ and inserting ‘‘cal-
endar year 2008’’; and 
(5) in paragraph (3)(A), by striking ‘‘, except 
that $250,000 shall be substituted for $100,000 wher-
ever such term appears in such paragraph’’. 
(b) AMENDMENT TO FEDERAL CREDIT UNION ACT.— 
Section 207(k) of the Federal Credit Union Act (12 U.S.C. 
1787(k)) is amended— 
(1) in paragraph (3)— 
(A) by striking the opening quotation mark 
before ‘‘$250,000’’; 
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(B) by striking ‘‘, except that $250,000 shall 
be substituted for $100,000 wherever such term 
appears in such section’’; and 
(C) by striking the closing quotation mark 
after the closing parenthesis; and 
(2) in paragraph (5), by striking ‘‘$100,000’’ 
and inserting ‘‘$250,000’’. 
(c) RULE OF CONSTRUCTION.—No provision of law, 
other than a provision of the Federal Deposit Insurance Act 
(with respect to the Federal Deposit Insurance Corporation 
and insured depository institutions) or the Federal Credit 
Union Act (with respect to the National Credit Union Ad-
ministration and insured credit unions), may be construed 
as limiting the authority of— 
(1) the Board of Directors of the Federal Deposit 
Insurance Corporation to set assessments under sec-
tion 7(b)(2) of the Federal Deposit Insurance Act or 
to make any inflation adjustment under section 
11(a)(1)(F) of such Act; or 
(2) the National Credit Union Administration 
Board to periodically adjust the amount of an in-
sured credit union’s deposit under section 202(c)(1) of 
the Federal Credit Union Act, set the insurance pre-
mium charge under section 202(c)(2) of such Act, or 
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to make any inflation adjustment pursuant to section 
207(k)(5) of such Act. 
SEC. 2. EXTENSION OF RESTORATION PLAN PERIOD. 
Section 7(b)(3)(E)(ii) of the Federal Deposit Insurance 
Act (12 U.S.C. 1817(b)(3)(E)(ii)) is amended by striking 
‘‘5-year period’’ and inserting ‘‘8-year period’’. 
SEC. 3. FDIC AND NCUA BORROWING AUTHORITY. 
(a) FDIC.—Section 14(a) of the Federal Deposit In-
surance Act (12 U.S.C. 1824(a)) is amended by striking 
‘‘$30,000,000,000’’ and inserting ‘‘$100,000,000,000’’. 
(b) NCUA.—Section 203(d)(1) of the Federal Credit 
Union Act (12 U.S.C. 1783(d)(1)) is amended by striking 
‘‘$100,000,000’’ and inserting ‘‘$6,000,000,000’’. 
SEC. 4. EXPANDING SYSTEMIC RISK SPECIAL ASSESS-
MENTS. 
Section 13(c)(4)(G)(ii) of the Federal Deposit Insur-
ance Act (12 U.S.C. 1823(c)(4)(G)(ii)) is amended to read 
as follows: 
‘‘(ii) REPAYMENT OF LOSS.— 
‘‘(I) IN GENERAL.—The Corpora-
tion shall recover the loss to the De-
posit Insurance Fund arising from 
any action taken or assistance pro-
vided with respect to an insured depos-
itory institution under clause (i) from 
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1 or more special assessments on in-
sured depository institutions, deposi-
tory institution holding companies 
(with the concurrence of the Secretary 
of the Treasury with respect to holding 
companies), or both, as the Corpora-
tion determines to be appropriate. 
‘‘(II) TREATMENT OF DEPOSITORY 
INSTITUTION
HOLDING
COMPANIES.— 
For purposes of this clause, sections 
7(c)(2) and 18(h) shall apply to depos-
itory institution holding companies as 
if they were insured depository institu-
tions. 
‘‘(III) REGULATIONS.—The Cor-
poration shall prescribe such regula-
tions as it deems necessary to imple-
ment this clause. In prescribing such 
regulations, defining terms, and setting 
the appropriate assessment rate or 
rates, the Corporation shall establish 
rates sufficient to cover the losses in-
curred as a result of the actions of the 
Corporation under clause (i) and shall 
consider: the types of entities that ben-
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efit from any action taken or assist-
ance provided under this subpara-
graph; economic conditions, the effects 
on the industry, and such other factors 
as the Corporation deems appropriate 
and relevant to the action taken or the 
assistance provided. Any funds so col-
lected that exceed actual losses shall be 
placed 
in 
the 
Deposit 
Insurance 
Fund.’’. 
SEC. 5. ESTABLISHMENT OF A NATIONAL CREDIT UNION 
SHARE 
INSURANCE 
FUND 
RESTORATION 
PLAN PERIOD. 
Section 202(c)(2) of the Federal Credit Union Act (12 
U.S.C. 1782(c)(2)) is amended by adding at the end the 
following new subparagraph: 
‘‘(D) FUND RESTORATION PLANS.— 
‘‘(i) IN GENERAL.—Whenever— 
‘‘(I) the Board projects that the 
equity ratio of the Fund will, within 6 
months of such determination, fall 
below the minimum amount specified 
in subparagraph (C) for the designated 
equity ratio; or 
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‘‘(II) the equity ratio of the Fund 
actually falls below the minimum 
amount specified in subparagraph (C) 
for the equity ratio without any deter-
mination under sub-clause (I) having 
been made, 
the Board shall establish and implement a 
Share Insurance Fund restoration plan 
within 90 days that meets the requirements 
of clause (ii) and such other conditions as 
the Board determines to be appropriate. 
‘‘(ii) REQUIREMENTS OF RESTORATION 
PLAN.—A Share Insurance Fund restora-
tion plan meets the requirements of this 
clause if the plan provides that the equity 
ratio of the Fund will meet or exceed the 
minimum amount specified in subpara-
graph (C) for the designated equity ratio be-
fore the end of the 5-year period beginning 
upon the implementation of the plan (or 
such longer period as the Board may deter-
mine to be necessary due to extraordinary 
circumstances). 
‘‘(iii) TRANSPARENCY.—Not more than 
30 days after the Board establishes and im-
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plements a restoration plan under clause 
(i), the Board shall publish in the Federal 
Register a detailed analysis of the factors 
considered and the basis for the actions 
taken with regard to the plan.’’. 
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Union Calendar No. 6 
111TH CONGRESS 
1ST SESSION 
H. R. 786 
[Report No. 111–18] 
A BILL 
To make permanent the temporary increase in 
deposit insurance coverage, and for other purposes. 
FEBRUARY 23, 2009 
Reported with an amendment, committed to the Com-
mittee of the Whole House on the State of the Union, 
and ordered to be printed 
VerDate Nov 24 2008 
22:24 Feb 23, 2009
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