(2) areas in which the Chairperson anticipates 
systemic risk to the financial system of the United 
States; and 
(3) areas for which the Council or a Federal fi-
nancial regulator needs legislative authority to fulfill 
its mission of preventing such systemic risks. 
(f) 
CONSULTATION
WITH
FOREIGN
GOVERN-
MENTS.—Under the direction of the President, and in a 
manner consistent with section 207 of the Foreign Service 
Act of 1980 (22 U.S.C. 3927), the Chairperson, in con-
sultation with the Council, shall regularly consult with the 
financial regulatory entities and other appropriate organi-
zations of foreign governments or international organiza-
tions on matters relating to systemic risk to the inter-
national financial system. 
SEC. 113. DUTIES AND AUTHORITY OF THE COUNCIL. 
(a) IN GENERAL.—The Council shall— 
(1) review, and approve or prohibit issuance of, 
or require modification of, any rule or regulation of 
any Federal financial regulator identified by the 
Chairperson for such review under section 112; 
(2) require each Federal financial regulator to 
issue or revise its rules and regulations in conform-
ance with the determination of the Council; 
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(3) review new financial products and services 
and recommend regulations for such products and 
services to the appropriate Federal financial regu-
lator; and 
(4) direct each Federal financial regulator to 
impose appropriate solvency requirements, including 
capital requirements and long-term debt ratios on 
any financial institution within its jurisdiction, as 
the Council deems necessary to prevent systemic risk 
to the financial system of the United States. 
(b) INSURANCE INDUSTRY AUTHORITY.—The Coun-
cil may exercise any of the authorities described in sub-
sections (a) and (d) with respect to products and activities 
that are financial in nature that are carried out by insur-
ers and affiliates thereof, if the Council determines that 
such products or activities pose a systemic risk to the fi-
nancial system of the United States. 
(c) OTHER AUTHORITY.— 
(1) HEARINGS.—The Council may, for the pur-
pose of carrying out this title— 
(A) hold such hearings, sit and act at such 
times and places, take such testimony, receive 
such evidence, administer such oaths; and 
(B) require, by subpoena or otherwise, the 
production of such books, records, correspond-
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ence, memoranda, papers, documents, tapes, 
and materials as the Council considers advis-
able. 
(2) ISSUANCE
AND
ENFORCEMENT
OF
SUB-
POENAS.— 
(A) ISSUANCE.—Subpoenas issued pursu-
ant to paragraph (1) shall bear the signature of 
the Chairperson and shall be served by any per-
son or class of persons designated by the Chair-
person for that purpose. 
(B) ENFORCEMENT.—In the case of contu-
macy or failure to obey a subpoena issued 
under paragraph (1), the subpoena shall be en-
forceable by order of any appropriate district 
court of the United States. Any failure to obey 
the order of the court may be punished by the 
court as a contempt of that court. 
(d) AUTHORITY OF THE COUNCIL TO ISSUE REGU-
LATIONS.—For any product or activity that is financial 
in nature and that is not otherwise within the jurisdiction 
or authority of a Federal financial regulator, the Council 
may issue and enforce regulations designed to prevent 
such product or activity from creating systemic risk to the 
financial system of the United States, in accordance with 
applicable provisions of title 5, United States Code. 
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(e) ACTIONS OF THE COUNCIL.—All determinations 
and actions of the Council with respect to its duties and 
authority under this section shall be subject to a majority 
vote of a quorum of the Council. 
(f) QUORUM.—Three members of the Council, includ-
ing the Chairperson, shall constitute a quorum for the 
transaction of business. 
SEC. 114. JUDICIAL REVIEW. 
Nothing in this title affects any otherwise available 
judicial review of agency action or creates any right or 
benefit, substantive or procedural, enforceable at law or 
equity by a party against the United States, its agencies 
or instrumentalities, its officers or employees, or any other 
person. 
SEC. 115. CIVIL PENALTIES. 
(a) IN GENERAL.—Any person who violates this title 
or fails to comply with a rule, regulation, or order of the 
Council issued under this title shall be subject to a civil 
penalty in an amount established by the Council and pub-
lished under subsection (b). Each such violation or failure 
shall constitute a separate civil offense. 
(b) PUBLICATION.—The Council shall annually pre-
scribe and publish in the Federal Register a schedule of 
the maximum authorized civil penalty for any violation of 
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this title or any regulatory action of the Council under 
this title. 
SEC. 116. PRECEDENCE OF COUNCIL ACTIONS. 
To the extent that any regulatory action of the Coun-
cil presents a conflict with any regulatory action of a Fed-
eral financial regulator, the regulatory action of the Coun-
cil shall take precedence, except as otherwise expressly 
provided by law. 
SEC. 117. CONFLICTING PROVISIONS TERMINATED. 
Executive Order Number 12631, issued by the Presi-
dent on March 18, 1988, may not be enforced on or after 
the date of the enactment of this Act. 
SEC. 118. REPORTING AND RECORDKEEPING FOR POSI-
TIONS INVOLVING CREDIT-DEFAULT SWAPS. 
(a) IN GENERAL.—Section 2(h) of the Commodity 
Exchange Act (7 U.S.C. 2(h)) is amended by adding at 
the end the following: 
‘‘(8) REPORTING
AND
RECORDKEEPING
FOR 
POSITIONS INVOLVING CREDIT-DEFAULT SWAPS.— 
‘‘(A) DEFINITIONS.—In this paragraph: 
‘‘(i) CREDIT-DEFAULT
SWAP.—The 
term ‘credit-default swap’ means a bilat-
eral derivative contract that transfers, in 
exchange for 1 or more lump-sum or other 
payments, from 1 party to another, the 
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