IB 
Union Calendar No. 100 
115TH CONGRESS 
1ST SESSION 
H. R. 10 
[Report No. 115–153, Part I] 
To create hope and opportunity for investors, consumers, and entrepreneurs 
by ending bailouts and Too Big to Fail, holding Washington and Wall 
Street accountable, eliminating red tape to increase access to capital 
and credit, and repealing the provisions of the Dodd-Frank Act that 
make America less prosperous, less stable, and less free, and for other 
purposes. 
IN THE HOUSE OF REPRESENTATIVES 
APRIL 26, 2017 
Mr. HENSARLING (for himself, Mr. MCHENRY, Mr. HUIZENGA, Mr. LUETKE-
MEYER, Mr. DUFFY, Mr. BARR, Mrs. WAGNER, and Mr. PEARCE) intro-
duced the following bill; which was referred to the Committee on Finan-
cial Services, and in addition to the Committees on Agriculture, Ways 
and Means, the Judiciary, Oversight and Government Reform, Transpor-
tation and Infrastructure, Rules, the Budget, and Education and the 
Workforce, for a period to be subsequently determined by the Speaker, 
in each case for consideration of such provisions as fall within the juris-
diction of the committee concerned 
MAY 25, 2017 
Additional sponsors: Mr. BANKS of Indiana, Mr. LOUDERMILK, Mr. MEAD-
OWS, Mr. KUSTOFF of Tennessee, Mr. WILLIAMS, Mr. HILL, Mr. HOL-
LINGSWORTH, Mr. WALKER, Mr. PITTENGER, Mr. ROTHFUS, Mr. DAVID-
SON, Mr. ARRINGTON, Mr. MCCLINTOCK, Mr. FRANKS of Arizona, Mr. 
BUDD, Mr. WITTMAN, Mr. FLORES, Mr. PALMER, Mr. TROTT, Mrs. 
LOVE, Mr. TIPTON, Mr. MOONEY of West Virginia, Mr. POSEY, Mr. 
ZELDIN, Mr. THORNBERRY, Mr. STIVERS, Mr. MACARTHUR, Ms. 
TENNEY, Mr. SMITH of Nebraska, Mr. ESTES of Kansas, Mr. EMMER, 
Mr. KING of New York, and Mr. ROYCE of California 
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MAY 25, 2017 
Reported from the Committee on Financial Services with an amendment 
[Strike out all after the enacting clause and insert the part printed in italic] 
MAY 25, 2017 
The Committees on Agriculture, Ways and Means, the Judiciary, Oversight 
and Government Reform, Transportation and Infrastructure, Rules, the 
Budget, and Education and the Workforce discharged; committed to the 
Committee of the Whole House on the State of the Union and ordered 
to be printed 
[For text of introduced bill, see copy of bill as introduced on April 26, 2017] 
A BILL 
To create hope and opportunity for investors, consumers, 
and entrepreneurs by ending bailouts and Too Big to 
Fail, holding Washington and Wall Street accountable, 
eliminating red tape to increase access to capital and 
credit, and repealing the provisions of the Dodd-Frank 
Act that make America less prosperous, less stable, and 
less free, 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; TABLE OF CONTENTS. 
(a) SHORT TITLE.—This Act may be cited as the ‘‘Fi-
nancial CHOICE Act of 2017’’. 
(b) TABLE OF CONTENTS.—The table of contents for 
this Act is as follows: 
Sec. 1. Short title; table of contents. 
TITLE I—ENDING ‘‘TOO BIG TO FAIL’’ AND BANK BAILOUTS 
Subtitle A—Repeal of the Orderly Liquidation Authority 
Sec. 111. Repeal of the orderly liquidation authority. 
Subtitle B—Financial Institution Bankruptcy 
Sec. 121. General provisions relating to covered financial corporations. 
Sec. 122. Liquidation, reorganization, or recapitalization of a covered financial 
corporation. 
Sec. 123. Amendments to title 28, United States Code. 
Subtitle C—Ending Government Guarantees 
Sec. 131. Repeal of obligation guarantee program. 
Sec. 132. Repeal of systemic risk determination in resolutions. 
Sec. 133. Restrictions on use of the Exchange Stabilization Fund. 
Subtitle D—Eliminating Financial Market Utility Designations 
Sec. 141. Repeal of title VIII. 
Subtitle E—Reform of the Financial Stability Act of 2010 
Sec. 151. Repeal and modification of provisions of the Financial Stability Act of 
2010. 
Sec. 152. Operational risk capital requirements for banking organizations. 
TITLE II—DEMANDING ACCOUNTABILITY FROM WALL STREET 
Subtitle A—SEC Penalties Modernization 
Sec. 211. Enhancement of civil penalties for securities laws violations. 
Sec. 212. Updated civil money penalties of Public Company Accounting Oversight 
Board. 
Sec. 213. Updated civil money penalty for controlling persons in connection with 
insider trading. 
Sec. 214. Update of certain other penalties. 
Sec. 215. Monetary sanctions to be used for the relief of victims. 
Sec. 216. GAO report on use of civil money penalty authority by Commission. 
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Subtitle B—FIRREA Penalties Modernization 
Sec. 221. Increase of civil and criminal penalties originally established in the Fi-
nancial Institutions Reform, Recovery, and Enforcement Act of 
1989. 
TITLE III—DEMANDING ACCOUNTABILITY FROM FINANCIAL 
REGULATORS AND DEVOLVING POWER AWAY FROM WASHINGTON 
Subtitle A—Cost-Benefit Analyses 
Sec. 311. Definitions. 
Sec. 312. Required regulatory analysis. 
Sec. 313. Rule of construction. 
Sec. 314. Public availability of data and regulatory analysis. 
Sec. 315. Five-year regulatory impact analysis. 
Sec. 316. Retrospective review of existing rules. 
Sec. 317. Judicial review. 
Sec. 318. Chief Economists Council. 
Sec. 319. Conforming amendments. 
Sec. 320. Other regulatory entities. 
Sec. 321. Avoidance of duplicative or unnecessary analyses. 
Subtitle B—Congressional Review of Federal Financial Agency Rulemaking 
Sec. 331. Congressional review. 
Sec. 332. Congressional approval procedure for major rules. 
Sec. 333. Congressional disapproval procedure for nonmajor rules. 
Sec. 334. Definitions. 
Sec. 335. Judicial review. 
Sec. 336. Effective date of certain rules. 
Sec. 337. Budgetary effects of rules subject to section 332 of the Financial 
CHOICE Act of 2017. 
Subtitle C—Judicial Review of Agency Actions 
Sec. 341. Scope of judicial review of agency actions. 
Subtitle D—Leadership of Financial Regulators 
Sec. 351. Federal Deposit Insurance Corporation. 
Sec. 352. Federal Housing Finance Agency. 
Subtitle E—Congressional Oversight of Appropriations 
Sec. 361. Bringing the Federal Deposit Insurance Corporation into the appro-
priations process. 
Sec. 362. Bringing the Federal Housing Finance Agency into the appropriations 
process. 
Sec. 363. Bringing the National Credit Union Administration into the appro-
priations process. 
Sec. 364. Bringing the Office of the Comptroller of the Currency into the appro-
priations process. 
Sec. 365. Bringing the non-monetary policy related functions of the Board of 
Governors of the Federal Reserve System into the appropriations 
process. 
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Subtitle F—International Processes 
Sec. 371. Requirements for international processes. 
Subtitle G—Unfunded Mandates Reform 
Sec. 381. Definitions. 
Sec. 382. Statements to accompany significant regulatory actions. 
Sec. 383. Small government agency plan. 
Sec. 384. State, local, and tribal government and private sector input. 
Sec. 385. Least burdensome option or explanation required. 
Sec. 386. Assistance to the Office of Information and Regulatory Affairs. 
Sec. 387. Office of Information and Regulatory Affairs responsibilities. 
Sec. 388. Judicial review. 
Subtitle H—Enforcement Coordination 
Sec. 391. Policies to minimize duplication of enforcement efforts. 
Subtitle I—Penalties for Unauthorized Disclosures 
Sec. 392. Criminal penalty for unauthorized disclosures. 
Subtitle II—Stop Settlement Slush Funds 
Sec. 393. Limitation on donations made pursuant to settlement agreements to 
which certain departments or agencies are a party. 
TITLE IV—UNLEASHING OPPORTUNITIES FOR SMALL BUSINESSES, 
INNOVATORS, AND JOB CREATORS BY FACILITATING CAPITAL 
FORMATION 
Subtitle A—Small Business Mergers, Acquisitions, Sales, and Brokerage 
Simplification 
Sec. 401. Registration exemption for merger and acquisition brokers. 
Sec. 402. Effective date. 
Subtitle B—Encouraging Employee Ownership 
Sec. 406. Increased threshold for disclosures relating to compensatory benefit 
plans. 
Subtitle C—Small Company Disclosure Simplification 
Sec. 411. Exemption from XBRL requirements for emerging growth companies 
and other smaller companies. 
Sec. 412. Analysis by the SEC. 
Sec. 413. Report to Congress. 
Sec. 414. Definitions. 
Subtitle D—Securities and Exchange Commission Overpayment Credit 
Sec. 416. Refunding or crediting overpayment of section 31 fees. 
Subtitle E—Fair Access to Investment Research 
Sec. 421. Safe harbor for investment fund research. 
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Subtitle F—Accelerating Access to Capital 
Sec. 426. Expanded eligibility for use of Form S–3. 
Subtitle G—Enhancing the RAISE Act 
Sec. 431. Certain accredited investor transactions. 
Subtitle H—Small Business Credit Availability 
Sec. 436. Business development company ownership of securities of investment 
advisers and certain financial companies. 
Sec. 437. Expanding access to capital for business development companies. 
Sec. 438. Parity for business development companies regarding offering and 
proxy rules. 
Subtitle I—Fostering Innovation 
Sec. 441. Temporary exemption for low-revenue issuers. 
Subtitle J—Small Business Capital Formation Enhancement 
Sec. 446. Annual review of government-business forum on capital formation. 
Subtitle K—Helping Angels Lead Our Startups 
Sec. 451. Definition of angel investor group. 
Sec. 452. Clarification of general solicitation. 
Subtitle L—Main Street Growth 
Sec. 456. Venture exchanges. 
Subtitle M—Micro Offering Safe Harbor 
Sec. 461. Exemptions for micro-offerings. 
Subtitle N—Private Placement Improvement 
Sec. 466. Revisions to SEC Regulation D. 
Subtitle O—Supporting America’s Innovators 
Sec. 471. Investor limitation for qualifying venture capital funds. 
Subtitle P—Fix Crowdfunding 
Sec. 476. Crowdfunding exemption. 
Sec. 477. Exclusion of crowdfunding investors from shareholder cap. 
Sec. 478. Preemption of State law. 
Sec. 479. Treatment of funding portals. 
Subtitle Q—Corporate Governance Reform and Transparency 
Sec. 481. Definitions. 
Sec. 482. Registration of proxy advisory firms. 
Sec. 483. Commission annual report. 
Subtitle R—Senior Safe 
Sec. 491. Immunity. 
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Sec. 492. Training required. 
Sec. 493. Relationship to State law. 
Subtitle S—National Securities Exchange Regulatory Parity 
Sec. 496. Application of exemption. 
Subtitle T—Private Company Flexibility and Growth 
Sec. 497. Shareholder threshold for registration. 
Subtitle U—Small Company Capital Formation Enhancements 
Sec. 498. JOBS Act-related exemption. 
Subtitle V—Encouraging Public Offerings 
Sec. 499. Expanding testing the waters and confidential submissions. 
TITLE V—REGULATORY RELIEF FOR MAIN STREET AND 
COMMUNITY FINANCIAL INSTITUTIONS 
Subtitle A—Preserving Access to Manufactured Housing 
Sec. 501. Mortgage originator definition. 
Sec. 502. High-Cost mortgage definition. 
Subtitle B—Mortgage Choice 
Sec. 506. Definition of points and fees. 
Subtitle C—Financial Institution Customer Protection 
Sec. 511. Requirements for deposit account termination requests and orders. 
Sec. 512. Amendments to the Financial Institutions Reform, Recovery, and En-
forcement Act of 1989. 
Subtitle D—Portfolio Lending and Mortgage Access 
Sec. 516. Safe harbor for certain loans held on portfolio. 
Subtitle E—Application of the Expedited Funds Availability Act 
Sec. 521. Application of the Expedited Funds Availability Act. 
Subtitle F—Small Bank Holding Company Policy Statement 
Sec. 526. Changes required to small bank holding company policy statement on 
assessment of financial and managerial factors. 
Subtitle G—Community Institution Mortgage Relief 
Sec. 531. Community financial institution mortgage relief. 
Subtitle H—Financial Institutions Examination Fairness and Reform 
Sec. 536. Timeliness of examination reports. 
Subtitle I—National Credit Union Administration Budget Transparency 
Sec. 541. Budget transparency for the NCUA. 
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Subtitle J—Taking Account of Institutions With Low Operation Risk 
Sec. 546. Regulations appropriate to business models. 
Subtitle K—Federal Savings Association Charter Flexibility 
Sec. 551. Option for Federal savings associations to operate as a covered savings 
association. 
Subtitle L—SAFE Transitional Licensing 
Sec. 556. Eliminating barriers to jobs for loan originators. 
Subtitle M—Right to Lend 
Sec. 561. Small business loan data collection requirement. 
Subtitle N—Community Bank Reporting Relief 
Sec. 566. Short form call report. 
Subtitle O—Homeowner Information Privacy Protection 
Sec. 571. Study regarding privacy of information collected under the Home Mort-
gage Disclosure Act of 1975. 
Subtitle P—Home Mortgage Disclosure Adjustment 
Sec. 576. Depository institutions subject to maintenance of records and disclosure 
requirements. 
Subtitle Q—Protecting Consumers’ Access to Credit 
Sec. 581. Rate of interest after transfer of loan. 
Subtitle R—NCUA Overhead Transparency 
Sec. 586. Fund transparency. 
Subtitle S—Housing Opportunities Made Easier 
Sec. 591. Clarification of donated services to non-profits. 
TITLE VI—REGULATORY RELIEF FOR STRONGLY CAPITALIZED, 
WELL MANAGED BANKING ORGANIZATIONS 
Sec. 601. Capital election. 
Sec. 602. Regulatory relief. 
Sec. 603. Contingent capital study. 
Sec. 604. Study on altering the current prompt corrective action rules. 
Sec. 605. Definitions. 
TITLE VII—EMPOWERING AMERICANS TO ACHIEVE FINANCIAL 
INDEPENDENCE 
Subtitle A—Separation of Powers and Liberty Enhancements 
Sec. 711. Consumer Law Enforcement Agency. 
Sec. 712. Authority of the Office of Information and Regulatory Affairs. 
Sec. 713. Bringing the Agency into the regular appropriations process. 
Sec. 714. Consumer Law Enforcement Agency Inspector General Reform. 
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Sec. 715. Private parties authorized to compel the Agency to seek sanctions by fil-
ing civil actions; Adjudications deemed actions. 
Sec. 716. Civil investigative demands to be appealed to courts. 
Sec. 717. Agency dual mandate and economic analysis. 
Sec. 718. No deference to Agency interpretation. 
Subtitle B—Administrative Enhancements 
Sec. 721. Advisory opinions. 
Sec. 722. Reform of Consumer Financial Civil Penalty Fund. 
Sec. 723. Agency pay fairness. 
Sec. 724. Elimination of market monitoring functions. 
Sec. 725. Reforms to mandatory functional units. 
Sec. 726. Repeal of mandatory advisory board. 
Sec. 727. Elimination of supervision authority. 
Sec. 728. Transfer of old OTS building from OCC to GSA. 
Sec. 729. Limitation on Agency authority. 
Subtitle C—Policy Enhancements 
Sec. 731. Consumer right to financial privacy. 
Sec. 732. Repeal of Council authority to set aside Agency rules and requirement 
of safety and soundness considerations when issuing rules. 
Sec. 733. Removal of authority to regulate small-dollar credit. 
Sec. 734. Reforming indirect auto financing guidance. 
Sec. 735. Prohibition of Government price controls for payment card trans-
actions. 
Sec. 736. Removal of Agency UDAAP authority. 
Sec. 737. Preservation of UDAP authority for Federal banking regulators. 
Sec. 738. Repeal of authority to restrict arbitration. 
TITLE VIII—CAPITAL MARKETS IMPROVEMENTS 
Subtitle A—SEC Reform, Restructuring, and Accountability 
Sec. 801. Authorization of appropriations. 
Sec. 802. Report on unobligated appropriations. 
Sec. 803. SEC Reserve Fund abolished. 
Sec. 804. Fees to offset appropriations. 
Sec. 805. Commission relocation funding prohibition. 
Sec. 806. Implementation of recommendations. 
Sec. 807. Office of Credit Ratings to report to the Division of Trading and Mar-
kets. 
Sec. 808. Office of Municipal Securities to report to the Division of Trading and 
Markets. 
Sec. 809. Independence of Commission Ombudsman. 
Sec. 810. Investor Advisory Committee improvements. 
Sec. 811. Duties of Investor Advocate. 
Sec. 812. Elimination of exemption of Small Business Capital Formation Advi-
sory Committee from Federal Advisory Committee Act. 
Sec. 813. Internal risk controls. 
Sec. 814. Applicability of notice and comment requirements of the Administrative 
Procedure Act to guidance voted on by the Commission. 
Sec. 815. Limitation on pilot programs. 
Sec. 816. Procedure for obtaining certain intellectual property. 
Sec. 817. Process for closing investigations. 
Sec. 818. Enforcement Ombudsman. 
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Sec. 819. Adequate notice. 
Sec. 820. Advisory committee on Commission’s enforcement policies and practices. 
Sec. 821. Process to permit recipient of Wells notification to appear before Com-
mission staff in-person. 
Sec. 822. Publication of enforcement manual. 
Sec. 823. Private parties authorized to compel the Securities and Exchange Com-
mission to seek sanctions by filing civil actions. 
Sec. 824. Certain findings required to approve civil money penalties against 
issuers. 
Sec. 825. Repeal of authority of the Commission to prohibit persons from serving 
as officers or directors. 
Sec. 826. Subpoena duration and renewal. 
Sec. 827. Elimination of automatic disqualifications. 
Sec. 828. Denial of award to culpable whistleblowers. 
Sec. 829. Confidentiality of records obtained from foreign securities and law en-
forcement authorities. 
Sec. 830. Clarification of authority to impose sanctions on persons associated 
with a broker or dealer. 
Sec. 831. Complaint and burden of proof requirements for certain actions for 
breach of fiduciary duty. 
Sec. 832. Congressional access to information held by the Public Company Ac-
counting Oversight Board. 
Sec. 833. Abolishing Investor Advisory Group. 
Sec. 834. Repeal of requirement for Public Company Accounting Oversight Board 
to use certain funds for merit scholarship program. 
Sec. 835. Reallocation of fines for violations of rules of municipal securities rule-
making board. 
Subtitle B—Eliminating Excessive Government Intrusion in the Capital 
Markets 
Sec. 841. Repeal of Department of Labor fiduciary rule and requirements prior 
to rulemaking relating to standards of conduct for brokers and 
dealers. 
Sec. 842. Exemption from risk retention requirements for nonresidential mort-
gage. 
Sec. 843. Frequency of shareholder approval of executive compensation. 
Sec. 844. Shareholder Proposals. 
Sec. 845. Prohibition on requiring a single ballot. 
Sec. 846. Requirement for municipal advisor for issuers of municipal securities. 
Sec. 847. Small issuer exemption from internal control evaluation. 
Sec. 848. Streamlining of applications for an exemption from the Investment 
Company Act of 1940. 
Sec. 849. Restriction on recovery of erroneously awarded compensation. 
Sec. 850. Exemptive authority for certain provisions relating to registration of 
nationally recognized statistical rating organizations. 
Sec. 851. Risk-based examinations of Nationally Recognized Statistical Rating 
Organizations. 
Sec. 852. Transparency of credit rating methodologies. 
Sec. 853. Repeal of certain attestation requirements relating to credit ratings. 
Sec. 854. Look-back review by NRSRO. 
Sec. 855. Approval of credit rating procedures and methodologies. 
Sec. 856. Exception for providing certain material information relating to a 
credit rating. 
Sec. 857. Repeals. 
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Sec. 858. Exemption of and reporting by private equity fund advisers. 
Sec. 859. Records and reports of private funds. 
Sec. 860. Definition of accredited investor. 
Sec. 861. Repeal of certain provisions requiring a study and report to Congress. 
Sec. 862. Repeal. 
Subtitle C—Harmonization of Derivatives Rules 
Sec. 871. Commissions review and harmonization of rules relating to the regula-
tion of over-the-counter swaps markets. 
Sec. 872. Treatment of transactions between affiliates. 
TITLE IX—REPEAL OF THE VOLCKER RULE AND OTHER 
PROVISIONS 
Sec. 901. Repeals. 
TITLE X—FED OVERSIGHT REFORM AND MODERNIZATION 
Sec. 1001. Requirements for policy rules of the Federal Open Market Committee. 
Sec. 1002. Federal Open Market Committee blackout period. 
Sec. 1003. Public transcripts of FOMC meetings. 
Sec. 1004. Membership of Federal Open Market Committee. 
Sec. 1005. Frequency of testimony of the Chairman of the Board of Governors of 
the Federal Reserve System to Congress. 
Sec. 1006. Vice Chairman for Supervision report requirement. 
Sec. 1007. Salaries, financial disclosures, and office staff of the Board of Gov-
ernors of the Federal Reserve System. 
Sec. 1008. Amendments to powers of the Board of Governors of the Federal Re-
serve System. 
Sec. 1009. Interest rates on balances maintained at a Federal Reserve bank by 
depository institutions established by Federal Open Market Com-
mittee. 
Sec. 1010. Audit reform and transparency for the Board of Governors of the Fed-
eral Reserve System. 
Sec. 1011. Establishment of a Centennial Monetary Commission. 
TITLE XI—IMPROVING INSURANCE COORDINATION THROUGH AN 
INDEPENDENT ADVOCATE 
Sec. 1101. Repeal of the Federal Insurance Office; Creation of the Office of the 
Independent Insurance Advocate. 
Sec. 1102. Treatment of covered agreements. 
TITLE XII—TECHNICAL CORRECTIONS 
Sec. 1201. Table of contents; Definitional corrections. 
Sec. 1202. Antitrust savings clause corrections. 
Sec. 1203. Title I corrections. 
Sec. 1204. Title III corrections. 
Sec. 1205. Title IV correction. 
Sec. 1206. Title VI corrections. 
Sec. 1207. Title VII corrections. 
Sec. 1208. Title IX corrections. 
Sec. 1209. Title X corrections. 
Sec. 1210. Title XII correction. 
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Sec. 1211. Title XIV correction. 
Sec. 1212. Technical corrections to other statutes. 
TITLE I—ENDING ‘‘TOO BIG TO 
FAIL’’ AND BANK BAILOUTS 
Subtitle A—Repeal of the Orderly 
Liquidation Authority 
SEC. 111. REPEAL OF THE ORDERLY LIQUIDATION AUTHOR-
ITY. 
(a) IN GENERAL.—Title II of the Dodd-Frank Wall 
Street Reform and Consumer Protection Act is hereby re-
pealed and any Federal law amended by such title shall, 
on and after the effective date of this Act, be effective as 
if title II of the Dodd-Frank Wall Street Reform and Con-
sumer Protection Act had not been enacted. 
(b) CONFORMING AMENDMENTS.— 
(1) DODD-FRANK
WALL
STREET
REFORM
AND 
CONSUMER PROTECTION ACT.—The Dodd-Frank Wall 
Street Reform and Consumer Protection Act is 
amended— 
(A) in the table of contents for such Act, by 
striking all items relating to title II; 
(B) in section 165(d)— 
(i) in paragraph (1), by striking ‘‘, the 
Council, and the Corporation’’ and insert-
ing ‘‘and the Council’’; 
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(ii) in paragraph (2), by striking ‘‘, 
the Council, and the Corporation’’ and in-
serting ‘‘and the Council’’; 
(iii) in paragraph (3), by striking 
‘‘and the Corporation’’; 
(iv) in paragraph (4)— 
(I) by striking ‘‘and the Corpora-
tion jointly determine’’ and inserting 
‘‘determines’’; 
(II) by striking ‘‘their’’ and in-
serting ‘‘its’’; 
(III) in subparagraph (A), by 
striking ‘‘and the Corporation’’; and 
(IV) in subparagraph (B), by 
striking ‘‘and the Corporation’’; 
(v) in paragraph (5)— 
(I) in subparagraph (A), by strik-
ing ‘‘and the Corporation may jointly’’ 
and inserting ‘‘may’’; and 
(II) in subparagraph (B)— 
(aa) by striking ‘‘and the 
Corporation’’ 
each 
place 
such 
term appears; 
(bb) by striking ‘‘may joint-
ly’’ and inserting ‘‘may’’; 
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(cc) by striking ‘‘have joint-
ly’’ and inserting ‘‘has’’; 
(vi) in paragraph (6), by striking ‘‘, a 
receiver appointed under title II,’’; and 
(vii) by amending paragraph (8) to 
read as follows: 
‘‘(8) RULES.—Not later than 12 months after en-
actment of this paragraph, the Board of Governors 
shall issue final rules implementing this section.’’; 
and 
(C) in section 716(g), by striking ‘‘or a cov-
ered financial company under title II’’. 
(2) FEDERAL DEPOSIT INSURANCE ACT.—Section 
10(b)(3) of the Federal Deposit Insurance Act (12 
U.S.C. 1820(b)(3)) is amended by striking ‘‘, or of 
such nonbank financial company supervised by the 
Board of Governors or bank holding company de-
scribed in section 165(a) of the Financial Stability 
Act of 2010, for the purpose of implementing its au-
thority to provide for orderly liquidation of any such 
company under title II of that Act’’. 
(3) FEDERAL RESERVE ACT.—Section 13(3) of 
the Federal Reserve Act is amended— 
(A) in subparagraph (B)— 
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(i) in clause (ii), by striking ‘‘, resolu-
tion under title II of the Dodd-Frank Wall 
Street Reform and Consumer Protection 
Act, or’’ and inserting ‘‘or is subject to reso-
lution under’’; and 
(ii) in clause (iii), by striking ‘‘, reso-
lution under title II of the Dodd-Frank 
Wall Street Reform and Consumer Protec-
tion Act, or’’ and inserting ‘‘or resolution 
under’’; and 
(B) by striking subparagraph (E). 
Subtitle B—Financial Institution 
Bankruptcy 
SEC. 121. GENERAL PROVISIONS RELATING TO COVERED FI-
NANCIAL CORPORATIONS. 
(a) DEFINITION.—Section 101 of title 11, United 
States Code, is amended by inserting the following after 
paragraph (9): 
‘‘(9A) The term ‘covered financial corporation’ 
means any corporation incorporated or organized 
under any Federal or State law, other than a stock-
broker, a commodity broker, or an entity of the kind 
specified in paragraph (2) or (3) of section 109(b), 
that is— 
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‘‘(A) a bank holding company, as defined in 
section 2(a) of the Bank Holding Company Act 
of 1956; or 
‘‘(B) a corporation that exists for the pri-
mary purpose of owning, controlling and financ-
ing its subsidiaries, that has total consolidated 
assets of $50,000,000,000 or greater, and for 
which, in its most recently completed fiscal 
year— 
‘‘(i) annual gross revenues derived by 
the corporation and all of its subsidiaries 
from activities that are financial in nature 
(as defined in section 4(k) of the Bank 
Holding Company Act of 1956) and, if ap-
plicable, from the ownership or control of 
one or more insured depository institutions, 
represents 85 percent or more of the consoli-
dated annual gross revenues of the corpora-
tion; or 
‘‘(ii) the consolidated assets of the cor-
poration and all of its subsidiaries related 
to activities that are financial in nature (as 
defined in section 4(k) of the Bank Holding 
Company Act of 1956) and, if applicable, 
related to the ownership or control of one or 
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more insured depository institutions, rep-
resents 85 percent or more of the consoli-
dated assets of the corporation.’’. 
(b) APPLICABILITY
OF CHAPTERS.—Section 103 of 
title 11, United States Code, is amended by adding at the 
end the following: 
‘‘(l) Subchapter V of chapter 11 of this title applies 
only in a case under chapter 11 concerning a covered finan-
cial corporation.’’. 
(c) WHO MAY BE A DEBTOR.—Section 109 of title 11, 
United States Code, is amended— 
(1) in subsection (b)— 
(A) in paragraph (2), by striking ‘‘or’’ at 
the end; 
(B) in paragraph (3)(B), by striking the pe-
riod at the end and inserting ‘‘; or’’; and 
(C) by adding at the end the following: 
‘‘(4) a covered financial corporation.’’; and 
(2) in subsection (d)— 
(A) by striking ‘‘and’’ before ‘‘an uninsured 
State member bank’’; 
(B) by striking ‘‘or’’ before ‘‘a corporation’’; 
and 
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(C) by inserting ‘‘, or a covered financial 
corporation’’ after ‘‘Federal Deposit Insurance 
Corporation Improvement Act of 1991’’. 
(d) CONVERSION TO CHAPTER 7.—Section 1112 of title 
11, United States Code, is amended by adding at the end 
the following: 
‘‘(g) Notwithstanding section 109(b), the court may 
convert a case under subchapter V to a case under chapter 
7 if— 
‘‘(1) a transfer approved under section 1185 has 
been consummated; 
‘‘(2) the court has ordered the appointment of a 
special trustee under section 1186; and 
‘‘(3) the court finds, after notice and a hearing, 
that conversion is in the best interest of the creditors 
and the estate.’’. 
(e)(1) Section 726(a)(1) of title 11, United States 
Code, is amended by inserting after ‘‘first,’’ the following: 
‘‘in payment of any unpaid fees, costs, and expenses of a 
special trustee appointed under section 1186, and then’’. 
(2) Section 1129(a) of title 11, United States Code, 
is amended by inserting after paragraph (16) the following: 
‘‘(17) In a case under subchapter V, all payable 
fees, costs, and expenses of the special trustee have 
been paid or the plan provides for the payment of all 
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such fees, costs, and expenses on the effective date of 
the plan. 
‘‘(18) In a case under subchapter V, confirma-
tion of the plan is not likely to cause serious adverse 
effects on financial stability in the United States.’’. 
(f) Section 322(b)(2) of title 11, United States Code, 
is amended by striking ‘‘The’’ and inserting ‘‘In cases under 
subchapter V, the United States trustee shall recommend to 
the court, and in all other cases, the’’. 
SEC. 122. LIQUIDATION, REORGANIZATION, OR RECAPITAL-
IZATION OF A COVERED FINANCIAL COR-
PORATION. 
Chapter 11 of title 11, United States Code, is amended 
by adding at the end the following (and conforming the 
table of contents for such chapter accordingly): 
‘‘SUBCHAPTER V—LIQUIDATION, REORGANIZA-
TION, OR RECAPITALIZATION OF A COVERED 
FINANCIAL CORPORATION 
‘‘§ 1181. Inapplicability of other sections 
‘‘Sections 303 and 321(c) do not apply in a case under 
this subchapter concerning a covered financial corporation. 
Section 365 does not apply to a transfer under section 1185, 
1187, or 1188. 
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‘‘§ 1182. Definitions for this subchapter 
‘‘In this subchapter, the following definitions shall 
apply: 
‘‘(1) The term ‘Board’ means the Board of Gov-
ernors of the Federal Reserve System. 
‘‘(2) The term ‘bridge company’ means a newly 
formed corporation to which property of the estate 
may be transferred under section 1185(a) and the eq-
uity securities of which may be transferred to a spe-
cial trustee under section 1186(a). 
‘‘(3) The term ‘capital structure debt’ means all 
unsecured debt of the debtor for borrowed money for 
which the debtor is the primary obligor, other than a 
qualified financial contract and other than debt se-
cured by a lien on property of the estate that is to 
be transferred to a bridge company pursuant to an 
order of the court under section 1185(a). 
‘‘(4) The term ‘contractual right’ means a con-
tractual right of a kind defined in section 555, 556, 
559, 560, or 561. 
‘‘(5) The term ‘qualified financial contract’ 
means any contract of a kind defined in paragraph 
(25), (38A), (47), or (53B) of section 101, section 
741(7), or paragraph (4), (5), (11), or (13) of section 
761. 
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‘‘(6) The term ‘special trustee’ means the trustee 
of a trust formed under section 1186(a)(1). 
‘‘§ 1183. Commencement of a case concerning a cov-
ered financial corporation 
‘‘(a) A case under this subchapter concerning a covered 
financial corporation may be commenced by the filing of 
a petition with the court by the debtor under section 301 
only if the debtor states to the best of its knowledge under 
penalty of perjury in the petition that it is a covered finan-
cial corporation. 
‘‘(b) The commencement of a case under subsection (a) 
constitutes an order for relief under this subchapter. 
‘‘(c) The members of the board of directors (or body 
performing similar functions) of a covered financial com-
pany shall have no liability to shareholders, creditors, or 
other parties in interest for a good faith filing of a petition 
to commence a case under this subchapter, or for any rea-
sonable action taken in good faith in contemplation of such 
a petition or a transfer under section 1185 or section 1186, 
whether prior to or after commencement of the case. 
‘‘(d) Counsel to the debtor shall provide, to the greatest 
extent practicable without disclosing the identity of the po-
tential debtor, sufficient confidential notice to the chief 
judge of the court of appeals for the circuit embracing the 
district in which such counsel intends to file a petition to 
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commence a case under this subchapter regarding the poten-
tial commencement of such case. The chief judge of such 
court shall randomly assign to preside over such case a 
bankruptcy judge selected from among the bankruptcy 
judges designated by the Chief Justice of the United States 
under section 298 of title 28. 
‘‘§ 1184. Regulators 
‘‘The Board, the Securities Exchange Commission, the 
Office of the Comptroller of the Currency of the Department 
of the Treasury, the Commodity Futures Trading Commis-
sion, and the Federal Deposit Insurance Corporation may 
raise and may appear and be heard on any issue in any 
case or proceeding under this subchapter. 
‘‘§ 1185. Special transfer of property of the estate 
‘‘(a) On request of the trustee, and after notice and 
a hearing that shall occur not less than 24 hours after the 
order for relief, the court may order a transfer under this 
section of property of the estate, and the assignment of exec-
utory contracts, unexpired leases, and qualified financial 
contracts of the debtor, to a bridge company. Upon the entry 
of an order approving such transfer, any property trans-
ferred, and any executory contracts, unexpired leases, and 
qualified financial contracts assigned under such order 
shall no longer be property of the estate. Except as provided 
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under this section, the provisions of section 363 shall apply 
to a transfer and assignment under this section. 
‘‘(b) Unless the court orders otherwise, notice of a re-
quest for an order under subsection (a) shall consist of elec-
tronic or telephonic notice of not less than 24 hours to— 
‘‘(1) the debtor; 
‘‘(2) the holders of the 20 largest secured claims 
against the debtor; 
‘‘(3) the holders of the 20 largest unsecured 
claims against the debtor; 
‘‘(4) counterparties to any debt, executory con-
tract, unexpired lease, and qualified financial con-
tract requested to be transferred under this section; 
‘‘(5) the Board; 
‘‘(6) the Federal Deposit Insurance Corporation; 
‘‘(7) the Secretary of the Treasury and the Office 
of the Comptroller of the Currency of the Treasury; 
‘‘(8) the Commodity Futures Trading Commis-
sion; 
‘‘(9) the Securities and Exchange Commission; 
‘‘(10) the United States trustee or bankruptcy 
administrator; and 
‘‘(11) each primary financial regulatory agency, 
as defined in section 2(12) of the Dodd-Frank Wall 
Street Reform and Consumer Protection Act, with re-
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spect to any affiliate the equity securities of which are 
proposed to be transferred under this section. 
‘‘(c) The court may not order a transfer under this 
section unless the court determines, based upon a prepon-
derance of the evidence, that— 
‘‘(1) the transfer under this section is necessary 
to prevent serious adverse effects on financial stability 
in the United States; 
‘‘(2) the transfer does not provide for the as-
sumption of any capital structure debt by the bridge 
company; 
‘‘(3) the transfer does not provide for the transfer 
to the bridge company of any property of the estate 
that is subject to a lien securing a debt, executory 
contract, unexpired lease or agreement (including a 
qualified financial contract) of the debtor unless— 
‘‘(A)(i) the bridge company assumes such 
debt, executory contract, unexpired lease or 
agreement (including a qualified financial con-
tract), including any claims arising in respect 
thereof that would not be allowed secured claims 
under section 506(a)(1) and after giving effect to 
such transfer, such property remains subject to 
the lien securing such debt, executory contract, 
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unexpired lease or agreement (including a quali-
fied financial contract); and 
‘‘(ii) the court has determined that assump-
tion of such debt, executory contract, unexpired 
lease or agreement (including a qualified finan-
cial contract) by the bridge company is in the 
best interests of the estate; or 
‘‘(B) such property is being transferred to 
the bridge company in accordance with the pro-
visions of section 363; 
‘‘(4) the transfer does not provide for the as-
sumption by the bridge company of any debt, execu-
tory contract, unexpired lease or agreement (includ-
ing a qualified financial contract) of the debtor se-
cured by a lien on property of the estate unless the 
transfer provides for such property to be transferred 
to the bridge company in accordance with paragraph 
(3)(A) of this subsection; 
‘‘(5) the transfer does not provide for the transfer 
of the equity of the debtor; 
‘‘(6) the trustee has demonstrated that the bridge 
company is not likely to fail to meet the obligations 
of any debt, executory contract, qualified financial 
contract, or unexpired lease assumed and assigned to 
the bridge company; 
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‘‘(7) the transfer provides for the transfer to a 
special trustee all of the equity securities in the bridge 
company and appointment of a special trustee in ac-
cordance with section 1186; 
‘‘(8) after giving effect to the transfer, adequate 
provision has been made for the fees, costs, and ex-
penses of the estate and special trustee; and 
‘‘(9) the bridge company will have governing 
documents, and initial directors and senior officers, 
that are in the best interest of creditors and the estate. 
‘‘(d) Immediately before a transfer under this section, 
the bridge company that is the recipient of the transfer 
shall— 
‘‘(1) not have any property, executory contracts, 
unexpired leases, qualified financial contracts, or 
debts, other than any property acquired or executory 
contracts, unexpired leases, or debts assumed when 
acting as a transferee of a transfer under this section; 
and 
‘‘(2) have equity securities that are property of 
the estate, which may be sold or distributed in accord-
ance with this title. 
‘‘§ 1186. Special trustee 
‘‘(a)(1) An order approving a transfer under section 
1185 shall require the trustee to transfer to a qualified and 
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independent special trustee, who is appointed by the court, 
all of the equity securities in the bridge company that is 
the recipient of a transfer under section 1185 to hold in 
trust for the sole benefit of the estate, subject to satisfaction 
of the special trustee’s fees, costs, and expenses. The trust 
of which the special trustee is the trustee shall be a newly 
formed trust governed by a trust agreement approved by 
the court as in the best interests of the estate, and shall 
exist for the sole purpose of holding and administering, and 
shall be permitted to dispose of, the equity securities of the 
bridge company in accordance with the trust agreement. 
‘‘(2) In connection with the hearing to approve a 
transfer under section 1185, the trustee shall confirm to the 
court that the Board has been consulted regarding the iden-
tity of the proposed special trustee and advise the court of 
the results of such consultation. 
‘‘(b) The trust agreement governing the trust shall pro-
vide— 
‘‘(1) for the payment of the fees, costs, expenses, 
and indemnities of the special trustee from the assets 
of the debtor’s estate; 
‘‘(2) that the special trustee provide— 
‘‘(A) quarterly reporting to the estate, which 
shall be filed with the court; and 
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‘‘(B) information about the bridge company 
reasonably requested by a party in interest to 
prepare a disclosure statement for a plan pro-
viding for distribution of any securities of the 
bridge company if such information is necessary 
to prepare such disclosure statement; 
‘‘(3) that for as long as the equity securities of 
the bridge company are held by the trust, the special 
trustee shall file a notice with the court in connection 
with— 
‘‘(A) any change in a director or senior offi-
cer of the bridge company; 
‘‘(B) any modification to the governing doc-
uments of the bridge company; and 
‘‘(C) any material corporate action of the 
bridge company, including— 
‘‘(i) recapitalization; 
‘‘(ii) a material borrowing; 
‘‘(iii) termination of an intercompany 
debt or guarantee; 
‘‘(iv) a transfer of a substantial por-
tion of the assets of the bridge company; or 
‘‘(v) the issuance or sale of any securi-
ties of the bridge company; 
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‘‘(4) that any sale of any equity securities of the 
bridge company shall not be consummated until the 
special trustee consults with the Federal Deposit In-
surance Corporation and the Board regarding such 
sale and discloses the results of such consultation with 
the court; 
‘‘(5) that, subject to reserves for payments per-
mitted under paragraph (1) provided for in the trust 
agreement, the proceeds of the sale of any equity secu-
rities of the bridge company by the special trustee be 
held in trust for the benefit of or transferred to the 
estate; 
‘‘(6) the process and guidelines for the replace-
ment of the special trustee; and 
‘‘(7) that the property held in trust by the spe-
cial trustee is subject to distribution in accordance 
with subsection (c). 
‘‘(c)(1) The special trustee shall distribute the assets 
held in trust— 
‘‘(A) if the court confirms a plan in the case, in 
accordance with the plan on the effective date of the 
plan; or 
‘‘(B) if the case is converted to a case under 
chapter 7, as ordered by the court. 
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‘‘(2) As soon as practicable after a final distribution 
under paragraph (1), the office of the special trustee shall 
terminate, except as may be necessary to wind up and con-
clude the business and financial affairs of the trust. 
‘‘(d) After a transfer to the special trustee under this 
section, the special trustee shall be subject only to applicable 
nonbankruptcy law, and the actions and conduct of the spe-
cial trustee shall no longer be subject to approval by the 
court in the case under this subchapter. 
‘‘§ 1187. Temporary and supplemental automatic stay; 
assumed debt 
‘‘(a)(1) A petition filed under section 1183 operates 
as a stay, applicable to all entities, of the termination, ac-
celeration, or modification of any debt, contract, lease, or 
agreement of the kind described in paragraph (2), or of any 
right or obligation under any such debt, contract, lease, or 
agreement, solely because of— 
‘‘(A) a default by the debtor under any such 
debt, contract, lease, or agreement; or 
‘‘(B) a provision in such debt, contract, lease, or 
agreement, or in applicable nonbankruptcy law, that 
is conditioned on— 
‘‘(i) the insolvency or financial condition of 
the debtor at any time before the closing of the 
case; 
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‘‘(ii) the commencement of a case under this 
title concerning the debtor; 
‘‘(iii) the appointment of or taking posses-
sion by a trustee in a case under this title con-
cerning the debtor or by a custodian before the 
commencement of the case; or 
‘‘(iv) a credit rating agency rating, or ab-
sence or withdrawal of a credit rating agency 
rating— 
‘‘(I) of the debtor at any time after the 
commencement of the case; 
‘‘(II) of an affiliate during the period 
from the commencement of the case until 48 
hours after such order is entered; 
‘‘(III) of the bridge company while the 
trustee or the special trustee is a direct or 
indirect beneficial holder of more than 50 
percent of the equity securities of— 
‘‘(aa) the bridge company; or 
‘‘(bb) the affiliate, if all of the di-
rect or indirect interests in the affiliate 
that are property of the estate are 
transferred under section 1185; or 
‘‘(IV) of an affiliate while the trustee 
or the special trustee is a direct or indirect 
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beneficial holder of more than 50 percent of 
the equity securities of— 
‘‘(aa) the bridge company; or 
‘‘(bb) the affiliate, if all of the di-
rect or indirect interests in the affiliate 
that are property of the estate are 
transferred under section 1185. 
‘‘(2) A debt, contract, lease, or agreement described in 
this paragraph is— 
‘‘(A) any debt (other than capital structure 
debt), executory contract, or unexpired lease of the 
debtor (other than a qualified financial contract); 
‘‘(B) any agreement under which the debtor 
issued or is obligated for debt (other than capital 
structure debt); 
‘‘(C) any debt, executory contract, or unexpired 
lease of an affiliate (other than a qualified financial 
contract); or 
‘‘(D) any agreement under which an affiliate 
issued or is obligated for debt. 
‘‘(3) The stay under this subsection terminates— 
‘‘(A) for the benefit of the debtor, upon the ear-
liest of— 
‘‘(i) 48 hours after the commencement of the 
case; 
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‘‘(ii) assumption of the debt, contract, lease, 
or agreement by the bridge company under an 
order authorizing a transfer under section 1185; 
‘‘(iii) a final order of the court denying the 
request for a transfer under section 1185; or 
‘‘(iv) the time the case is dismissed; and 
‘‘(B) for the benefit of an affiliate, upon the ear-
liest of— 
‘‘(i) the entry of an order authorizing a 
transfer under section 1185 in which the direct 
or indirect interests in the affiliate that are 
property of the estate are not transferred under 
section 1185; 
‘‘(ii) a final order by the court denying the 
request for a transfer under section 1185; 
‘‘(iii) 48 hours after the commencement of 
the case if the court has not ordered a transfer 
under section 1185; or 
‘‘(iv) the time the case is dismissed. 
‘‘(4) Subsections (d), (e), (f), and (g) of section 362 
apply to a stay under this subsection. 
‘‘(b) A debt, executory contract (other than a qualified 
financial contract), or unexpired lease of the debtor, or an 
agreement under which the debtor has issued or is obligated 
for any debt, may be assumed by a bridge company in a 
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transfer under section 1185 notwithstanding any provision 
in an agreement or in applicable nonbankruptcy law 
that— 
‘‘(1) prohibits, restricts, or conditions the assign-
ment of the debt, contract, lease, or agreement; or 
‘‘(2) accelerates, terminates, or modifies, or per-
mits a party other than the debtor to terminate or 
modify, the debt, contract, lease, or agreement on ac-
count of— 
‘‘(A) the assignment of the debt, contract, 
lease, or agreement; or 
‘‘(B) a change in control of any party to the 
debt, contract, lease, or agreement. 
‘‘(c)(1) A debt, contract, lease, or agreement of the kind 
described in subparagraph (A) or (B) of subsection (a)(2) 
may not be accelerated, terminated, or modified, and any 
right or obligation under such debt, contract, lease, or agree-
ment may not be accelerated, terminated, or modified, as 
to the bridge company solely because of a provision in the 
debt, contract, lease, or agreement or in applicable non-
bankruptcy law— 
‘‘(A) of the kind described in subsection (a)(1)(B) 
as applied to the debtor; 
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‘‘(B) that prohibits, restricts, or conditions the 
assignment of the debt, contract, lease, or agreement; 
or 
‘‘(C) that accelerates, terminates, or modifies, or 
permits a party other than the debtor to terminate or 
modify, the debt, contract, lease or agreement on ac-
count of— 
‘‘(i) the assignment of the debt, contract, 
lease, or agreement; or 
‘‘(ii) a change in control of any party to the 
debt, contract, lease, or agreement. 
‘‘(2) If there is a default by the debtor under a provi-
sion other than the kind described in paragraph (1) in a 
debt, contract, lease or agreement of the kind described in 
subparagraph (A) or (B) of subsection (a)(2), the bridge 
company may assume such debt, contract, lease, or agree-
ment only if the bridge company— 
‘‘(A) shall cure the default; 
‘‘(B) compensates, or provides adequate assur-
ance in connection with a transfer under section 1185 
that the bridge company will promptly compensate, a 
party other than the debtor to the debt, contract, lease, 
or agreement, for any actual pecuniary loss to the 
party resulting from the default; and 
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‘‘(C) provides adequate assurance in connection 
with a transfer under section 1185 of future perform-
ance under the debt, contract, lease, or agreement, as 
determined by the court under section 1185(c)(4). 
‘‘§ 1188. Treatment of qualified financial contracts 
and affiliate contracts 
‘‘(a) Notwithstanding sections 362(b)(6), 362(b)(7), 
362(b)(17), 362(b)(27), 362(o), 555, 556, 559, 560, and 561, 
a petition filed under section 1183 operates as a stay, dur-
ing the period specified in section 1187(a)(3)(A), applicable 
to all entities, of the exercise of a contractual right— 
‘‘(1) to cause the modification, liquidation, ter-
mination, or acceleration of a qualified financial con-
tract of the debtor or an affiliate; 
‘‘(2) to offset or net out any termination value, 
payment amount, or other transfer obligation arising 
under or in connection with a qualified financial con-
tract of the debtor or an affiliate; or 
‘‘(3) under any security agreement or arrange-
ment or other credit enhancement forming a part of 
or related to a qualified financial contract of the debt-
or or an affiliate. 
‘‘(b)(1) During the period specified in section 
1187(a)(3)(A), the trustee or the affiliate shall perform all 
payment and delivery obligations under such qualified fi-
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srobinson on DSKBC5CHB2PROD with BILLS
nancial contract of the debtor or the affiliate, as the case 
may be, that become due after the commencement of the 
case. The stay provided under subsection (a) terminates as 
to a qualified financial contract of the debtor or an affiliate 
immediately upon the failure of the trustee or the affiliate, 
as the case may be, to perform any such obligation during 
such period. 
‘‘(2) Any failure by a counterparty to any qualified 
financial contract of the debtor or any affiliate to perform 
any payment or delivery obligation under such qualified 
financial contract, including during the pendency of the 
stay provided under subsection (a), shall constitute a breach 
of such qualified financial contract by the counterparty. 
‘‘(c) Subject to the court’s approval, a qualified finan-
cial contract between an entity and the debtor may be as-
signed to or assumed by the bridge company in a transfer 
under, and in accordance with, section 1185 if and only 
if— 
‘‘(1) all qualified financial contracts between the 
entity and the debtor are assigned to and assumed by 
the bridge company in the transfer under section 
1185; 
‘‘(2) all claims of the entity against the debtor 
in respect of any qualified financial contract between 
the entity and the debtor (other than any claim that, 
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under the terms of the qualified financial contract, is 
subordinated to the claims of general unsecured credi-
tors) are assigned to and assumed by the bridge com-
pany; 
‘‘(3) all claims of the debtor against the entity 
under any qualified financial contract between the 
entity and the debtor are assigned to and assumed by 
the bridge company; and 
‘‘(4) all property securing or any other credit en-
hancement furnished by the debtor for any qualified 
financial contract described in paragraph (1) or any 
claim described in paragraph (2) or (3) under any 
qualified financial contract between the entity and 
the debtor is assigned to and assumed by the bridge 
company. 
‘‘(d) Notwithstanding any provision of a qualified fi-
nancial contract or of applicable nonbankruptcy law, a 
qualified financial contract of the debtor that is assumed 
or assigned in a transfer under section 1185 may not be 
accelerated, terminated, or modified, after the entry of the 
order approving a transfer under section 1185, and any 
right or obligation under the qualified financial contract 
may not be accelerated, terminated, or modified, after the 
entry of the order approving a transfer under section 1185 
solely because of a condition described in section 1187(c)(1), 
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other than a condition of the kind specified in section 
1187(b) that occurs after property of the estate no longer 
includes a direct beneficial interest or an indirect beneficial 
interest through the special trustee, in more than 50 percent 
of the equity securities of the bridge company. 
‘‘(e) Notwithstanding any provision of any agreement 
or in applicable nonbankruptcy law, an agreement of an 
affiliate (including an executory contract, an unexpired 
lease, qualified financial contract, or an agreement under 
which the affiliate issued or is obligated for debt) and any 
right or obligation under such agreement may not be accel-
erated, terminated, or modified, solely because of a condi-
tion described in section 1187(c)(1), other than a condition 
of the kind specified in section 1187(b) that occurs after 
the bridge company is no longer a direct or indirect bene-
ficial holder of more than 50 percent of the equity securities 
of the affiliate, at any time after the commencement of the 
case if— 
‘‘(1) all direct or indirect interests in the affil-
iate that are property of the estate are transferred 
under section 1185 to the bridge company within the 
period specified in subsection (a); 
‘‘(2) the bridge company assumes— 
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‘‘(A) any guarantee or other credit enhance-
ment issued by the debtor relating to the agree-
ment of the affiliate; and 
‘‘(B) any obligations in respect of rights of 
setoff, netting arrangement, or debt of the debtor 
that directly arises out of or directly relates to 
the guarantee or credit enhancement; and 
‘‘(3) any property of the estate that directly 
serves as collateral for the guarantee or credit en-
hancement is transferred to the bridge company. 
‘‘§ 1189. Licenses, permits, and registrations 
‘‘(a) Notwithstanding any otherwise applicable non-
bankruptcy law, if a request is made under section 1185 
for a transfer of property of the estate, any Federal, State, 
or local license, permit, or registration that the debtor or 
an affiliate had immediately before the commencement of 
the case and that is proposed to be transferred under section 
1185 may not be accelerated, terminated, or modified at 
any time after the request solely on account of— 
‘‘(1) the insolvency or financial condition of the 
debtor at any time before the closing of the case; 
‘‘(2) the commencement of a case under this title 
concerning the debtor; 
‘‘(3) the appointment of or taking possession by 
a trustee in a case under this title concerning the 
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debtor or by a custodian before the commencement of 
the case; or 
‘‘(4) a transfer under section 1185. 
‘‘(b) Notwithstanding any otherwise applicable non-
bankruptcy law, any Federal, State, or local license, permit, 
or registration that the debtor had immediately before the 
commencement of the case that is included in a transfer 
under section 1185 shall be valid and all rights and obliga-
tions thereunder shall vest in the bridge company. 
‘‘§ 1190. Exemption from securities laws 
‘‘For purposes of section 1145, a security of the bridge 
company shall be deemed to be a security of a successor 
to the debtor under a plan if the court approves the disclo-
sure statement for the plan as providing adequate informa-
tion (as defined in section 1125(a)) about the bridge com-
pany and the security. 
‘‘§ 1191. Inapplicability of certain avoiding powers 
‘‘A transfer made or an obligation incurred by the 
debtor to an affiliate prior to or after the commencement 
of the case, including any obligation released by the debtor 
or the estate to or for the benefit of an affiliate, in con-
templation of or in connection with a transfer under section 
1185 is not avoidable under section 544, 547, 548(a)(1)(B), 
or 549, or under any similar nonbankruptcy law. 
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‘‘§ 1192. Consideration of financial stability 
‘‘The court may consider the effect that any decision 
in connection with this subchapter may have on financial 
stability in the United States.’’. 
SEC. 123. AMENDMENTS TO TITLE 28, UNITED STATES 
CODE. 
(a) AMENDMENT TO CHAPTER 13.—Chapter 13 of title 
28, United States Code, is amended by adding at the end 
the following: 
‘‘§ 298. Judge for a case under subchapter V of chap-
ter 11 of title 11 
‘‘(a)(1) Notwithstanding section 295, the Chief Justice 
of the United States shall designate not fewer than 10 bank-
ruptcy judges to be available to hear a case under sub-
chapter V of chapter 11 of title 11. Bankruptcy judges may 
request to be considered by the Chief Justice of the United 
States for such designation. 
‘‘(2) Notwithstanding section 155, a case under sub-
chapter V of chapter 11 of title 11 shall be heard under 
section 157 by a bankruptcy judge designated under para-
graph (1), who shall be randomly assigned to hear such case 
by the chief judge of the court of appeals for the circuit 
embracing the district in which the case is pending. To the 
greatest extent practicable, the approvals required under 
section 155 should be obtained. 
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‘‘(3) If the bankruptcy judge assigned to hear a case 
under paragraph (2) is not assigned to the district in which 
the case is pending, the bankruptcy judge shall be tempo-
rarily assigned to the district. 
‘‘(b) A case under subchapter V of chapter 11 of title 
11, and all proceedings in the case, shall take place in the 
district in which the case is pending. 
‘‘(c) In this section, the term ‘covered financial cor-
poration’ has the meaning given that term in section 
101(9A) of title 11.’’. 
(b) AMENDMENT TO SECTION 1334 OF TITLE 28.—Sec-
tion 1334 of title 28, United States Code, is amended by 
adding at the end the following: 
‘‘(f) This section does not grant jurisdiction to the dis-
trict court after a transfer pursuant to an order under sec-
tion 1185 of title 11 of any proceeding related to a special 
trustee appointed, or to a bridge company formed, in con-
nection with a case under subchapter V of chapter 11 of 
title 11.’’. 
(c) TECHNICAL AND CONFORMING AMENDMENT.—The 
table of sections for chapter 13 of title 28, United States 
Code, is amended by adding at the end the following: 
‘‘298. Judge for a case under subchapter V of chapter 11 of title 11.’’. 
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Subtitle C—Ending Government 
Guarantees 
SEC. 131. REPEAL OF OBLIGATION GUARANTEE PROGRAM. 
(a) IN GENERAL.—The following sections of the Dodd- 
Frank Wall Street Reform and Consumer Protection Act 
(12 U.S.C. 5301 et seq.) are repealed: 
(1) Section 1104. 
(2) Section 1105. 
(3) Section 1106. 
(b) CLERICAL AMENDMENT.—The table of contents 
under section 1(b) of the Dodd-Frank Wall Street Reform 
and Consumer Protection Act is amended by striking the 
items relating to sections 1104, 1105, and 1106. 
SEC. 132. REPEAL OF SYSTEMIC RISK DETERMINATION IN 
RESOLUTIONS. 
Section 13(c)(4)(G) of the Federal Deposit Insurance 
Act (12 U.S.C. 1823(c)(4)(G)) is hereby repealed. 
SEC. 133. RESTRICTIONS ON USE OF THE EXCHANGE STA-
BILIZATION FUND. 
(a) IN GENERAL.—Section 5302 of title 31, United 
States Code, is amended by adding at the end the following: 
‘‘(e) Amounts in the fund may not be used for the es-
tablishment of a guaranty program for any nongovern-
mental entity.’’. 
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(b) CONFORMING AMENDMENT.—Section 131(b) of the 
Emergency Economic Stabilization Act of 2008 (12 U.S.C. 
5236(b)) is amended by inserting ‘‘, or for the purposes of 
preventing the liquidation or insolvency of any entity’’ be-
fore the period. 
Subtitle D—Eliminating Financial 
Market Utility Designations 
SEC. 141. REPEAL OF TITLE VIII. 
(a) REPEAL.—Title VIII of the Dodd-Frank Wall 
Street Reform and Consumer Protection Act (12 U.S.C. 
5461 et seq.) is repealed, and provisions of law amended 
by such title are restored and revived as if such title had 
never been enacted. 
(b) CLERICAL AMENDMENT.—The table of contents in 
section 1(b) of the Dodd-Frank Wall Street Reform and 
Consumer Protection Act is amended by striking the items 
relating to title VIII. 
Subtitle E—Reform of the Financial 
Stability Act of 2010 
SEC. 151. REPEAL AND MODIFICATION OF PROVISIONS OF 
THE FINANCIAL STABILITY ACT OF 2010. 
(a) REPEALS.—The following provisions of the Finan-
cial Stability Act of 2010 are repealed, and the provisions 
of law amended or repealed by such provisions are restored 
or revived as if such provisions had not been enacted: 
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srobinson on DSKBC5CHB2PROD with BILLS
(1) Subtitle B. 
(2) Section 113. 
(3) Section 114. 
(4) Section 115. 
(5) Section 116. 
(6) Section 117. 
(7) Section 119. 
(8) Section 120. 
(9) Section 121. 
(10) Section 161. 
(11) Section 162. 
(12) Section 164. 
(13) Section 166. 
(14) Section 167. 
(15) Section 168. 
(16) Section 170. 
(17) Section 172. 
(18) Section 174. 
(19) Section 175. 
(b) ADDITIONAL MODIFICATIONS.—The Financial Sta-
bility Act of 2010 (12 U.S.C. 5311 et seq.) is amended— 
(1) in section 102(a), by striking paragraph (5); 
(2) in section 111— 
(A) in subsection (b)— 
(i) in paragraph (1)— 
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(I) by striking ‘‘who shall each’’ 
and inserting ‘‘who shall, except as 
provided below, each’’; and 
(II) by striking subparagraphs 
(B) through (J) and inserting the fol-
lowing: 
‘‘(B) each member of the Board of Gov-
ernors, who shall collectively have 1 vote on the 
Council; 
‘‘(C) the Comptroller of the Currency; 
‘‘(D) the Director of the Consumer Law En-
forcement Agency; 
‘‘(E) each member of the Commission, who 
shall collectively have 1 vote on the Council; 
‘‘(F) each member of the Corporation, who 
shall collectively have 1 vote on the Council; 
‘‘(G) each member of the Commodity Fu-
tures Trading Commission, who shall collectively 
have 1 vote on the Council; 
‘‘(H) the Director of the Federal Housing 
Finance Agency; 
‘‘(I) each member of the National Credit 
Union Administration Board, who shall collec-
tively have 1 vote on the Council; and 
‘‘(J) the Independent Insurance Advocate.’’; 
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(ii) in paragraph (2)— 
(I) by striking subparagraphs (A) 
and (B); and 
(II) by redesignating subpara-
graphs (C), (D), and (E) as subpara-
graphs (A), (B), and (C), respectively; 
and 
(iii) by adding at the end the fol-
lowing: 
‘‘(4) VOTING BY MULTI-PERSON ENTITY.— 
‘‘(A) VOTING WITHIN THE ENTITY.—An en-
tity described under subparagraph (B), (E), (F), 
(G), or (I) of paragraph (1) shall determine the 
entity’s Council vote by using the voting process 
normally applicable to votes by the entity’s mem-
bers. 
‘‘(B) CASTING OF ENTITY VOTE.—The 1 col-
lective Council vote of an entity described under 
subparagraph (A) shall be cast by the head of 
such agency or, in the event such head is unable 
to cast such vote, the next most senior member of 
the entity available.’’; 
(B) in subsection (c), by striking ‘‘subpara-
graphs (C), (D), and (E)’’ and inserting ‘‘sub-
paragraphs (B), (C), and (D)’’; 
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(C) in subsection (e), by adding at the end 
the following: 
‘‘(3) STAFF ACCESS.—Any member of the Coun-
cil may select to have one or more individuals on the 
member’s staff attend a meeting of the Council, in-
cluding any meeting of representatives of the member 
agencies other than the members themselves. 
‘‘(4) CONGRESSIONAL OVERSIGHT.—All meetings 
of the Council, whether or not open to the public, shall 
be open to the attendance by members of the Com-
mittee on Financial Services of the House of Rep-
resentatives and the Committee on Banking, Housing, 
and Urban Affairs of the Senate. 
‘‘(5) MEMBER AGENCY MEETINGS.—Any meeting 
of representatives of the member agencies other than 
the members themselves shall be open to attendance by 
staff of the Committee on Financial Services of the 
House of Representatives and the Committee on 
Banking, Housing, and Urban Affairs of the Senate.’’; 
(D) by striking subsection (g) (relating to 
the nonapplicability of FACA); 
(E) by inserting after subsection (f) the fol-
lowing: 
‘‘(g) OPEN MEETING REQUIREMENT.—The Council 
shall be an agency for purposes of section 552b of title 5, 
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United States Code (commonly referred to as the ‘Govern-
ment in the Sunshine Act’). 
‘‘(h) CONFIDENTIAL CONGRESSIONAL BRIEFINGS.—At 
the request of the Chairman of the Committee on Financial 
Services of the House of Representatives or the Chairman 
of the Committee on Banking, Housing, and Urban Affairs 
of the Senate, the Chairperson shall appear before Congress 
to provide a confidential briefing.’’; and 
(F) by redesignating subsections (h) through 
(j) as subsections (i) through (k), respectively; 
(3) in section 112— 
(A) in subsection (a)(2)— 
(i) in subparagraph (A), by striking 
‘‘the Federal Insurance Office and, if nec-
essary to assess risks to the United States fi-
nancial system, direct the Office of Finan-
cial Research to’’ and inserting ‘‘and, if 
necessary to assess risks to the United 
States financial system,’’; 
(ii) by striking subparagraphs (B), 
(H), (I), and (J); 
(iii) by redesignating subparagraphs 
(C), (D), (E), (F), (G), (K), (L), (M), and 
(N) as subparagraphs (B), (C), (D), (E), 
(F), (G), (H), (I), and (J), respectively; 
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(iv) in subparagraph (J), as so redes-
ignated— 
(I) in clause (iii), by adding 
‘‘and’’ at the end; 
(II) by striking clauses (iv) and 
(v); and 
(III) by redesignating clause (vi) 
as clause (iv); and 
(B) in subsection (d)— 
(i) in paragraph (1), by striking ‘‘the 
Office of Financial Research, member agen-
cies, and the Federal Insurance Office’’ and 
inserting ‘‘member agencies’’; 
(ii) in paragraph (2), by striking ‘‘the 
Office of Financial Research, any member 
agency, and the Federal Insurance Office,’’ 
and inserting ‘‘member agencies’’; 
(iii) in paragraph (3)— 
(I) by striking ‘‘, acting through 
the Office of Financial Research,’’ each 
place it appears; and 
(II) in subparagraph (B), by 
striking ‘‘the Office of Financial Re-
search or’’; and 
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(iv) in paragraph (5)(A), by striking 
‘‘, the Office of Financial Research,’’; 
(4) by amending section 118 to read as follows: 
‘‘SEC. 118. COUNCIL FUNDING. 
‘‘There is authorized to be appropriated to the Council 
$4,000,000 for fiscal year 2017 and each fiscal year there-
after to carry out the duties of the Council.’’; 
(5) in section 163— 
(A) by striking subsection (a); 
(B) by redesignating subsection (b) as sub-
section (a); and 
(C) in subsection (a), as so redesignated— 
(i) by striking ‘‘or a nonbank financial 
company supervised by the Board of Gov-
ernors’’ each place such term appears; 
(ii) in paragraph (4), by striking ‘‘In 
addition’’ and inserting the following: 
‘‘(A) IN GENERAL.—In addition’’; and 
(iii) by adding at the end the fol-
lowing: 
‘‘(B) EXCEPTION FOR QUALIFYING BANKING 
ORGANIZATION.—Subparagraph (A) shall not 
apply to a proposed acquisition by a qualifying 
banking organization, as defined under section 
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605 of the Financial CHOICE Act of 2017.’’; 
and 
(6) in section 165— 
(A) by striking ‘‘nonbank financial compa-
nies supervised by the Board of Governors and’’ 
each place such term appears; 
(B) by striking ‘‘nonbank financial com-
pany supervised by the Board of Governors and’’ 
each place such term appears; 
(C) in subsection (a), by amending para-
graph (2) to read as follows: 
‘‘(2) TAILORED
APPLICATION.—In prescribing 
more stringent prudential standards under this sec-
tion, the Board of Governors may differentiate among 
companies on an individual basis or by category, tak-
ing into consideration their capital structure, riski-
ness, complexity, financial activities (including the fi-
nancial activities of their subsidiaries), size, and any 
other risk-related factors that the Board of Governors 
deems appropriate.’’; 
(D) in subsection (b)— 
(i) in paragraph (1)(B)(iv), by strik-
ing ‘‘, on its own or pursuant to a rec-
ommendation made by the Council in ac-
cordance with section 115,’’; 
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(ii) in paragraph (2)— 
(I) by striking ‘‘foreign nonbank 
financial company supervised by the 
Board of Governors or’’; 
(II) by striking ‘‘shall—’’ and all 
that follows through ‘‘give due’’ and in-
serting ‘‘shall give due’’; 
(III) in subparagraph (A), by 
striking ‘‘; and’’ and inserting a pe-
riod; and 
(IV) by striking subparagraph 
(B); 
(iii) in paragraph (3)— 
(I) in subparagraph (A)— 
(aa) by striking clause (i); 
(bb) by redesignating clauses 
(ii), (iii), and (iv) as clauses (i), 
(ii), and (iii), respectively; and 
(cc) in clause (iii), as so re-
designated, by adding ‘‘and’’ at 
the end; 
(II) by striking subparagraphs 
(B) and (C); and 
(III) by redesignating subpara-
graph (D) as subparagraph (B); and 
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srobinson on DSKBC5CHB2PROD with BILLS
(iv) in paragraph (4), by striking ‘‘a 
nonbank financial company supervised by 
the Board of Governors or’’; 
(E) in subsection (c)— 
(i) in paragraph (1), by striking 
‘‘under section 115(c)’’; and 
(ii) in paragraph (2)— 
(I) by amending subparagraph 
(A) to read as follows: 
‘‘(A) any recommendations of the Council;’’; 
and 
(II) in subparagraph (D), by 
striking ‘‘nonbank financial company 
supervised by the Board of Governors 
or’’; 
(F) in subsection (d)— 
(i) by striking ‘‘a nonbank financial 
company supervised by the Board of Gov-
ernors or’’ each place such term appears; 
(ii) in paragraph (1), by striking ‘‘pe-
riodically’’ and inserting ‘‘not more often 
than every 2 years’’; 
(iii) in paragraph (3)— 
(I) by striking ‘‘The Board’’ and 
inserting the following: 
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‘‘(A) IN GENERAL.—The Board’’; 
(II) by striking ‘‘shall review’’ 
and inserting the following: ‘‘shall— 
‘‘(i) review’’; 
(III) by striking the period and 
inserting ‘‘; and’’; and 
(IV) by adding at the end the fol-
lowing: 
‘‘(ii) not later than the end of the 6- 
month period beginning on the date the 
bank holding company submits the resolu-
tion plan, provide feedback to the bank 
holding company on such plan. 
‘‘(B) DISCLOSURE OF ASSESSMENT FRAME-
WORK.—The Board of Governors shall publicly 
disclose the assessment framework that is used to 
review information under this paragraph and 
shall provide the public with a notice and com-
ment period before finalizing such assessment 
framework.’’. 
(iv) in paragraph (6), by striking 
‘‘nonbank financial company supervised by 
the Board, any bank holding company,’’ 
and inserting ‘‘bank holding company’’; 
(G) in subsection (e)— 
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srobinson on DSKBC5CHB2PROD with BILLS
(i) in paragraph (1), by striking ‘‘a 
nonbank financial company supervised by 
the Board of Governors or’’; 
(ii) in paragraph (3), by striking ‘‘the 
nonbank financial company supervised by 
the Board of Governors or’’ each place such 
term appears; and 
(iii) in paragraph (4), by striking ‘‘a 
nonbank financial company supervised by 
the Board of Governors or’’; 
(H) in subsection (g)(1), by striking ‘‘and 
any nonbank financial company supervised by 
the Board of Governors’’; 
(I) in subsection (h)— 
(i) by striking paragraph (1); 
(ii) by redesignating paragraphs (2), 
(3), and (4) as paragraphs (1), (2), and (3), 
respectively; 
(iii) in paragraph (1), as so redesig-
nated, by striking ‘‘paragraph (3)’’ each 
place such term appears and inserting 
‘‘paragraph (2)’’; and 
(iv) in paragraph (2), as so redesig-
nated— 
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(I) in subparagraph (A), by strik-
ing ‘‘the nonbank financial company 
supervised by the Board of Governors 
or bank holding company described in 
subsection (a), as applicable’’ and in-
serting ‘‘a bank holding company de-
scribed in subsection (a)’’; and 
(II) in subparagraph (B), by 
striking ‘‘the nonbank financial com-
pany supervised by the Board of Gov-
ernors or a bank holding company de-
scribed in subsection (a), as applica-
ble’’ and inserting ‘‘a bank holding 
company described in subsection (a)’’; 
(J) in subsection (i)— 
(i) in paragraph (1)— 
(I) in subparagraph (A), by strik-
ing ‘‘, in coordination with the appro-
priate primary financial regulatory 
agencies and the Federal Insurance Of-
fice,’’; 
(II) in subparagraph (B)— 
(aa) by amending clause (i) 
to read as follows: 
‘‘(i) shall— 
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‘‘(I) issue regulations, after pro-
viding for public notice and comment, 
that provide for at least 3 different sets 
of conditions under which the evalua-
tion required by this subsection shall 
be conducted, including baseline, ad-
verse, and severely adverse, and meth-
odologies, including models used to es-
timate losses on certain assets, and the 
Board of Governors shall not carry out 
any such evaluation until 60 days 
after such regulations are issued; and 
‘‘(II) provide copies of such regu-
lations to the Comptroller General of 
the United States and the Panel of 
Economic Advisors of the Congres-
sional Budget Office before publishing 
such regulations;’’; 
(bb) in clause (ii), by strik-
ing ‘‘and nonbank financial com-
panies’’; 
(cc) in clause (iv), by strik-
ing ‘‘and’’ at the end; 
(dd) in clause (v), by strik-
ing the period and inserting the 
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following: ‘‘, including any results 
of a resubmitted test;’’; and 
(ee) by adding at the end the 
following: 
‘‘(vi) shall, in establishing the severely 
adverse condition under clause (i), provide 
detailed consideration of the model’s effects 
on financial stability and the cost and 
availability of credit; 
‘‘(vii) shall, in developing the models 
and methodologies and providing them for 
notice and comment under this subpara-
graph, publish a process to test the models 
and methodologies for their potential to 
magnify systemic and institutional risks in-
stead of facilitating increased resiliency; 
‘‘(viii) shall design and publish a proc-
ess to test and document the sensitivity and 
uncertainty associated with the model sys-
tem’s data quality, specifications, and as-
sumptions; and 
‘‘(ix) shall communicate the range and 
sources of uncertainty surrounding the mod-
els and methodologies.’’; and 
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(III) by adding at the end the fol-
lowing: 
‘‘(C) CCAR REQUIREMENTS.— 
‘‘(i) PARAMETERS AND CONSEQUENCES 
APPLICABLE TO CCAR.—The requirements of 
subparagraph (B) shall apply to CCAR. 
‘‘(ii) 
TWO-YEAR
LIMITATION.—The 
Board of Governors may not subject a com-
pany to CCAR more than once every two 
years. 
‘‘(iii) MID-CYCLE RESUBMISSION.—If a 
company receives a quantitative objection 
to, or otherwise desires to amend the com-
pany’s capital plan, the company may file 
a new streamlined plan at any time after 
a capital planning exercise has been com-
pleted and before a subsequent capital plan-
ning exercise. 
‘‘(iv) LIMITATION
ON
QUALITATIVE 
CAPITAL
PLANNING
OBJECTIONS.—In car-
rying out CCAR, the Board of Governors 
may not object to a company’s capital plan 
on the basis of qualitative deficiencies in the 
company’s capital planning process. 
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‘‘(v) COMPANY INQUIRIES.—The Board 
of Governors shall establish and publish 
procedures for responding to inquiries from 
companies subject to CCAR, including es-
tablishing the time frame in which such re-
sponses will be made, and make such proce-
dures publicly available. 
‘‘(vi) CCAR DEFINED.—For purposes 
of this subparagraph and subparagraph 
(E), the term ‘CCAR’ means the Com-
prehensive Capital Analysis and Review es-
tablished by the Board of Governors.’’; and 
(ii) in paragraph (2)— 
(I) in subparagraph (A)— 
(aa) by striking ‘‘a bank 
holding company’’ and inserting 
‘‘bank holding company’’; 
(bb) 
by 
striking 
‘‘semi-
annual’’ and inserting ‘‘annual’’; 
(cc) by striking ‘‘All other fi-
nancial companies’’ and inserting 
‘‘All other bank holding compa-
nies’’; and 
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(dd) by striking ‘‘and are 
regulated by a primary Federal 
financial regulatory agency’’; 
(II) in subparagraph (B)— 
(aa) by striking ‘‘and to its 
primary 
financial 
regulatory 
agency’’; and 
(bb) by striking ‘‘primary fi-
nancial regulatory agency’’ the 
second time it appears and insert-
ing ‘‘Board of Governors’’; and 
(III) in subparagraph (C)— 
(aa) by striking ‘‘Each Fed-
eral primary financial regulatory 
agency, in coordination with the 
Board of Governors and the Fed-
eral Insurance Office,’’ and insert-
ing ‘‘The Board of Governors’’; 
and 
(bb) by striking ‘‘consistent 
and comparable’’. 
(K) in subsection (j)— 
(i) in paragraph (1), by striking ‘‘or a 
nonbank financial company supervised by 
the Board of Governors’’; and 
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(ii) in paragraph (2), by striking ‘‘the 
factors described in subsections (a) and (b) 
of section 113 and any other’’ and inserting 
‘‘any’’; 
(L) in subsection (k)(1), by striking ‘‘or 
nonbank financial company supervised by the 
Board of Governors’’; and 
(M) by adding at the end the following: 
‘‘(l) EXEMPTION FOR QUALIFYING BANKING ORGANI-
ZATIONS.—This section shall not apply to a proposed acqui-
sition by a qualifying banking organization, as defined 
under section 605 of the Financial CHOICE Act of 2017.’’. 
(c) TREATMENT OF OTHER RESOLUTION PLAN RE-
QUIREMENTS.— 
(1) IN
GENERAL.—With respect to an appro-
priate Federal banking agency that requires a bank-
ing organization to submit to the agency a resolution 
plan not described under section 165(d) of the Dodd- 
Frank Wall Street Reform and Consumer Protection 
Act— 
(A) the agency shall comply with the re-
quirements of paragraphs (3) and (4) of such 
section 165(d); 
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(B) the agency may not require the submis-
sion of such a resolution plan more often than 
every 2 years; and 
(C) paragraphs (6) and (7) of such section 
165(d) shall apply to such a resolution plan. 
(2) DEFINITIONS.—For purposes of this sub-
section, the terms ‘‘appropriate Federal banking agen-
cy’’ and ‘‘banking organization’’ have the meaning 
given those terms, respectively, under section 105. 
(d) ACTIONS
TO CREATE
A BANK HOLDING COM-
PANY.—Section 3(b)(1) of the Bank Holding Company Act 
of 1956 (12 U.S.C. 1842(b)(1)) is amended— 
(1) by striking ‘‘Upon receiving’’ and inserting 
the following: 
‘‘(A) IN GENERAL.—Upon receiving’’; 
(2) by striking ‘‘Notwithstanding any other pro-
vision’’ and inserting the following: 
‘‘(B) IMMEDIATE ACTION.— 
‘‘(i) IN
GENERAL.—Notwithstanding 
any other provision’’; and 
(3) by adding at the end the following: 
‘‘(ii) EXCEPTION.—The Board may not 
take any action pursuant to clause (i) on 
an application that would cause any com-
pany to become a bank holding company 
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unless such application involves the com-
pany acquiring a bank that is critically 
undercapitalized (as such term is defined 
under section 38(b) of the Federal Deposit 
Insurance Act).’’. 
(e) CONCENTRATION LIMITS APPLIED ONLY TO BANK-
ING ORGANIZATIONS.—Section 14 of the Bank Holding 
Company Act of 1956 (12 U.S.C. 1852) is amended— 
(1) by striking ‘‘financial company’’ each place 
such term appears and inserting ‘‘banking organiza-
tion’’; 
(2) in subsection (a)— 
(A) by amending paragraph (2) to read as 
follows: 
‘‘(2) the term ‘banking organization’ means— 
‘‘(A) an insured depository institution; 
‘‘(B) a bank holding company; 
‘‘(C) a savings and loan holding company; 
‘‘(D) a company that controls an insured 
depository institution; and 
‘‘(E) a foreign bank or company that is 
treated as a bank holding company for purposes 
of this Act; and’’; 
(B) in paragraph (3)— 
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(i) in subparagraph (A)(ii), by adding 
‘‘and’’ at the end; 
(ii) in subparagraph (B)(ii), by strik-
ing ‘‘; and’’ and inserting a period; and 
(iii) by striking subparagraph (C); 
and 
(3) in subsection (b), by striking ‘‘financial com-
panies’’ and inserting ‘‘banking organizations’’. 
(f) CONFORMING AMENDMENT.—Section 3502(5) of 
title 44, United States Code, is amended by striking ‘‘the 
Office of Financial Research,’’. 
(g) CLERICAL AMENDMENT.—The table of contents 
under section 1(b) of the Dodd-Frank Wall Street Reform 
and Consumer Protection Act is amended by striking the 
items relating to subtitle B of title I and 113, 114, 115, 
116, 117, 119, 120, 121, 161, 162, 164, 166, 167, 168, 170, 
172, 174, and 175. 
SEC. 152. OPERATIONAL RISK CAPITAL REQUIREMENTS 
FOR BANKING ORGANIZATIONS. 
(a) IN GENERAL.—An appropriate Federal banking 
agency may not establish an operational risk capital re-
quirement for banking organizations, unless such require-
ment— 
(1) is based on the risks posed by a banking or-
ganization’s current activities and businesses; 
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(2) is appropriately sensitive to the risks posed 
by such current activities and businesses; 
(3) is determined under a forward-looking assess-
ment of potential losses that may arise out of a bank-
ing organization’s current activities and businesses, 
which is not solely based on a banking organization’s 
historical losses; and 
(4) permits adjustments based on qualifying 
operational risk mitigants. 
(b) DEFINITIONS.—For purposes of this section, the 
terms ‘‘appropriate Federal banking agency’’ and ‘‘banking 
organization’’ have the meaning given those terms, respec-
tively, under section 605. 
TITLE 
II—DEMANDING 
AC-
COUNTABILITY 
FROM 
WALL 
STREET 
Subtitle A—SEC Penalties 
Modernization 
SEC. 211. ENHANCEMENT OF CIVIL PENALTIES FOR SECURI-
TIES LAWS VIOLATIONS. 
(a) UPDATED CIVIL MONEY PENALTIES.— 
(1) SECURITIES ACT OF 1933.— 
(A) MONEY PENALTIES IN ADMINISTRATIVE 
ACTIONS.—Section 8A(g)(2) of the Securities Act 
of 1933 (15 U.S.C. 77h–1(g)(2)) is amended— 
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(i) in subparagraph (A)— 
(I) by striking ‘‘$7,500’’ and in-
serting ‘‘$10,000’’; and 
(II) by striking ‘‘$75,000’’ and in-
serting ‘‘$100,000’’; 
(ii) in subparagraph (B)— 
(I) by striking ‘‘$75,000’’ and in-
serting ‘‘$100,000’’; and 
(II) by striking ‘‘$375,000’’ and 
inserting ‘‘$500,000’’; and 
(iii) by striking subparagraph (C) and 
inserting the following: 
‘‘(C) THIRD TIER.— 
‘‘(i) IN
GENERAL.—Notwithstanding 
subparagraphs (A) and (B), the amount of 
penalty for each such act or omission shall 
not exceed the amount specified in clause 
(ii) if— 
‘‘(I) the act or omission described 
in paragraph (1) involved fraud, de-
ceit, manipulation, or deliberate or 
reckless disregard of a regulatory re-
quirement; and 
‘‘(II) such act or omission directly 
or indirectly resulted in— 
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‘‘(aa) substantial losses or 
created a significant risk of sub-
stantial losses to other persons; or 
‘‘(bb) substantial pecuniary 
gain to the person who committed 
the act or omission. 
‘‘(ii) MAXIMUM
AMOUNT
OF
PEN-
ALTY.—The amount referred to in clause (i) 
is the greatest of— 
‘‘(I) $300,000 for a natural per-
son or $1,450,000 for any other person; 
‘‘(II) 3 times the gross amount of 
pecuniary gain to the person who com-
mitted the act or omission; or 
‘‘(III) the amount of losses in-
curred by victims as a result of the act 
or omission.’’. 
(B) MONEY PENALTIES IN CIVIL ACTIONS.— 
Section 20(d)(2) of the Securities Act of 1933 (15 
U.S.C. 77t(d)(2)) is amended— 
(i) in subparagraph (A)— 
(I) by striking ‘‘$5,000’’ and in-
serting ‘‘$10,000’’; and 
(II) by striking ‘‘$50,000’’ and in-
serting ‘‘$100,000’’; 
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(ii) in subparagraph (B)— 
(I) by striking ‘‘$50,000’’ and in-
serting ‘‘$100,000’’; and 
(II) by striking ‘‘$250,000’’ and 
inserting ‘‘$500,000’’; and 
(iii) by striking subparagraph (C) and 
inserting the following: 
‘‘(C) THIRD TIER.— 
‘‘(i) IN
GENERAL.—Notwithstanding 
subparagraphs (A) and (B), the amount of 
penalty for each such violation shall not ex-
ceed the amount specified in clause (ii) if— 
‘‘(I) the violation described in 
paragraph (1) involved fraud, deceit, 
manipulation, or deliberate or reckless 
disregard of a regulatory requirement; 
and 
‘‘(II) such violation directly or in-
directly resulted in substantial losses 
or created a significant risk of substan-
tial losses to other persons. 
‘‘(ii) MAXIMUM
AMOUNT
OF
PEN-
ALTY.—The amount referred to in clause (i) 
is the greatest of— 
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‘‘(I) $300,000 for a natural per-
son or $1,450,000 for any other person; 
‘‘(II) 3 times the gross amount of 
pecuniary gain to such defendant as a 
result of the violation; or 
‘‘(III) the amount of losses in-
curred by victims as a result of the vio-
lation.’’. 
(2) SECURITIES EXCHANGE ACT OF 1934.— 
(A) MONEY PENALTIES IN CIVIL ACTIONS.— 
Section 21(d)(3)(B) of the Securities Exchange 
Act of 1934 (15 U.S.C. 78u(d)(3)(B)) is amend-
ed— 
(i) in clause (i)— 
(I) by striking ‘‘$5,000’’ and in-
serting ‘‘$10,000’’; and 
(II) by striking ‘‘$50,000’’ and in-
serting ‘‘$100,000’’; 
(ii) in clause (ii)— 
(I) by striking ‘‘$50,000’’ and in-
serting ‘‘$100,000’’; and 
(II) by striking ‘‘$250,000’’ and 
inserting ‘‘$500,000’’; and 
(iii) by striking clause (iii) and insert-
ing the following: 
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‘‘(iii) THIRD TIER.— 
‘‘(I) IN
GENERAL.—Notwithstanding 
clauses (i) and (ii), the amount of penalty 
for each such violation shall not exceed the 
amount specified in subclause (II) if— 
‘‘(aa) the violation described in 
subparagraph (A) involved fraud, de-
ceit, manipulation, or deliberate or 
reckless disregard of a regulatory re-
quirement; and 
‘‘(bb) such violation directly or 
indirectly resulted in substantial losses 
or created a significant risk of substan-
tial losses to other persons. 
‘‘(II) MAXIMUM
AMOUNT
OF
PEN-
ALTY.—The amount referred to in subclause 
(I) is the greatest of— 
‘‘(aa) $300,000 for a natural per-
son or $1,450,000 for any other person; 
‘‘(bb) 3 times the gross amount of 
pecuniary gain to such defendant as a 
result of the violation; or 
‘‘(cc) the amount of losses in-
curred by victims as a result of the vio-
lation.’’. 
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(B) MONEY PENALTIES IN ADMINISTRATIVE 
ACTIONS.—Section 21B(b) of the Securities Ex-
change Act of 1934 (15 U.S.C. 78u–2(b)) is 
amended— 
(i) in paragraph (1)— 
(I) by striking ‘‘$5,000’’ and in-
serting ‘‘$10,000’’; and 
(II) by striking ‘‘$50,000’’ and in-
serting ‘‘$100,000’’; 
(ii) in paragraph (2)— 
(I) by striking ‘‘$50,000’’ and in-
serting ‘‘$100,000’’; and 
(II) by striking ‘‘$250,000’’ and 
inserting ‘‘$500,000’’; and 
(iii) by striking paragraph (3) and in-
serting the following: 
‘‘(3) THIRD TIER.— 
‘‘(A) IN GENERAL.—Notwithstanding para-
graphs (1) and (2), the amount of penalty for 
each such act or omission shall not exceed the 
amount specified in subparagraph (B) if— 
‘‘(i) the act or omission described in 
subsection (a) involved fraud, deceit, ma-
nipulation, or deliberate or reckless dis-
regard of a regulatory requirement; and 
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‘‘(ii) such act or omission directly or 
indirectly resulted in substantial losses or 
created a significant risk of substantial 
losses to other persons or resulted in sub-
stantial pecuniary gain to the person who 
committed the act or omission. 
‘‘(B) MAXIMUM AMOUNT OF PENALTY.—The 
amount referred to in subparagraph (A) is the 
greatest of— 
‘‘(i) $300,000 for a natural person or 
$1,450,000 for any other person; 
‘‘(ii) 3 times the gross amount of pecu-
niary gain to the person who committed the 
act or omission; or 
‘‘(iii) the amount of losses incurred by 
victims as a result of the act or omission.’’. 
(3) INVESTMENT COMPANY ACT OF 1940.— 
(A) MONEY PENALTIES IN ADMINISTRATIVE 
ACTIONS.—Section 9(d)(2) of the Investment 
Company Act of 1940 (15 U.S.C. 80a–9(d)(2)) is 
amended— 
(i) in subparagraph (A)— 
(I) by striking ‘‘$5,000’’ and in-
serting ‘‘$10,000’’; and 
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(II) by striking ‘‘$50,000’’ and in-
serting ‘‘$100,000’’; 
(ii) in subparagraph (B)— 
(I) by striking ‘‘$50,000’’ and in-
serting ‘‘$100,000’’; and 
(II) by striking ‘‘$250,000’’ and 
inserting ‘‘$500,000’’; and 
(iii) by striking subparagraph (C) and 
inserting the following: 
‘‘(C) THIRD TIER.— 
‘‘(i) IN
GENERAL.—Notwithstanding 
subparagraphs (A) and (B), the amount of 
penalty for each such act or omission shall 
not exceed the amount specified in clause 
(ii) if— 
‘‘(I) the act or omission described 
in paragraph (1) involved fraud, de-
ceit, manipulation, or deliberate or 
reckless disregard of a regulatory re-
quirement; and 
‘‘(II) such act or omission directly 
or indirectly resulted in substantial 
losses or created a significant risk of 
substantial losses to other persons or 
resulted in substantial pecuniary gain 
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to the person who committed the act or 
omission. 
‘‘(ii) MAXIMUM
AMOUNT
OF
PEN-
ALTY.—The amount referred to in clause (i) 
is the greatest of— 
‘‘(I) $300,000 for a natural per-
son or $1,450,000 for any other person; 
‘‘(II) 3 times the gross amount of 
pecuniary gain to the person who com-
mitted the act or omission; or 
‘‘(III) the amount of losses in-
curred by victims as a result of the act 
or omission.’’. 
(B) MONEY PENALTIES IN CIVIL ACTIONS.— 
Section 42(e)(2) of the Investment Company Act 
of 1940 (15 U.S.C. 80a–41(e)(2)) is amended— 
(i) in subparagraph (A)— 
(I) by striking ‘‘$5,000’’ and in-
serting ‘‘$10,000’’; and 
(II) by striking ‘‘$50,000’’ and in-
serting ‘‘$100,000’’; 
(ii) in subparagraph (B)— 
(I) by striking ‘‘$50,000’’ and in-
serting ‘‘$100,000’’; and 
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(II) by striking ‘‘$250,000’’ and 
inserting ‘‘$500,000’’; and 
(iii) by striking subparagraph (C) and 
inserting the following: 
‘‘(C) THIRD TIER.— 
‘‘(i) IN
GENERAL.—Notwithstanding 
subparagraphs (A) and (B), the amount of 
penalty for each such violation shall not ex-
ceed the amount specified in clause (ii) if— 
‘‘(I) the violation described in 
paragraph (1) involved fraud, deceit, 
manipulation, or deliberate or reckless 
disregard of a regulatory requirement; 
and 
‘‘(II) such violation directly or in-
directly resulted in substantial losses 
or created a significant risk of substan-
tial losses to other persons. 
‘‘(ii) MAXIMUM
AMOUNT
OF
PEN-
ALTY.—The amount referred to in clause (i) 
is the greatest of— 
‘‘(I) $300,000 for a natural per-
son or $1,450,000 for any other person; 
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‘‘(II) 3 times the gross amount of 
pecuniary gain to such defendant as a 
result of the violation; or 
‘‘(III) the amount of losses in-
curred by victims as a result of the vio-
lation.’’. 
(4) INVESTMENT ADVISERS ACT OF 1940.— 
(A) MONEY PENALTIES IN ADMINISTRATIVE 
ACTIONS.—Section 203(i)(2) of the Investment 
Advisers Act of 1940 (15 U.S.C. 80b–3(i)(2)) is 
amended— 
(i) in subparagraph (A)— 
(I) by striking ‘‘$5,000’’ and in-
serting ‘‘$10,000’’; and 
(II) by striking ‘‘$50,000’’ and in-
serting ‘‘$100,000’’; 
(ii) in subparagraph (B)— 
(I) by striking ‘‘$50,000’’ and in-
serting ‘‘$100,000’’; and 
(II) by striking ‘‘$250,000’’ and 
inserting ‘‘$500,000’’; and 
(iii) by striking subparagraph (C) and 
inserting the following: 
‘‘(C) THIRD TIER.— 
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‘‘(i) IN
GENERAL.—Notwithstanding 
subparagraphs (A) and (B), the amount of 
penalty for each such act or omission shall 
not exceed the amount specified in clause 
(ii) if— 
‘‘(I) the act or omission described 
in paragraph (1) involved fraud, de-
ceit, manipulation, or deliberate or 
reckless disregard of a regulatory re-
quirement; and 
‘‘(II) such act or omission directly 
or indirectly resulted in substantial 
losses or created a significant risk of 
substantial losses to other persons or 
resulted in substantial pecuniary gain 
to the person who committed the act or 
omission. 
‘‘(ii) MAXIMUM
AMOUNT
OF
PEN-
ALTY.—The amount referred to in clause (i) 
is the greatest of— 
‘‘(I) $300,000 for a natural per-
son or $1,450,000 for any other person; 
‘‘(II) 3 times the gross amount of 
pecuniary gain to the person who com-
mitted the act or omission; or 
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‘‘(III) the amount of losses in-
curred by victims as a result of the act 
or omission.’’. 
(B) MONEY PENALTIES IN CIVIL ACTIONS.— 
Section 209(e)(2) of the Investment Advisers Act 
of 1940 (15 U.S.C. 80b–9(e)(2)) is amended— 
(i) in subparagraph (A)— 
(I) by striking ‘‘$5,000’’ and in-
serting ‘‘$10,000’’; and 
(II) by striking ‘‘$50,000’’ and in-
serting ‘‘$100,000’’; 
(ii) in subparagraph (B)— 
(I) by striking ‘‘$50,000’’ and in-
serting ‘‘$100,000’’; and 
(II) by striking ‘‘$250,000’’ and 
inserting ‘‘$500,000’’; and 
(iii) by striking subparagraph (C) and 
inserting the following: 
‘‘(C) THIRD TIER.— 
‘‘(i) IN
GENERAL.—Notwithstanding 
subparagraphs (A) and (B), the amount of 
penalty for each such violation shall not ex-
ceed the amount specified in clause (ii) if— 
‘‘(I) the violation described in 
paragraph (1) involved fraud, deceit, 
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manipulation, or deliberate or reckless 
disregard of a regulatory requirement; 
and 
‘‘(II) such violation directly or in-
directly resulted in substantial losses 
or created a significant risk of substan-
tial losses to other persons. 
‘‘(ii) MAXIMUM
AMOUNT
OF
PEN-
ALTY.—The amount referred to in clause (i) 
is the greatest of— 
‘‘(I) $300,000 for a natural per-
son or $1,450,000 for any other person; 
‘‘(II) 3 times the gross amount of 
pecuniary gain to such defendant as a 
result of the violation; or 
‘‘(III) the amount of losses in-
curred by victims as a result of the vio-
lation.’’. 
(b) PENALTIES FOR RECIDIVISTS.— 
(1) SECURITIES ACT OF 1933.— 
(A) MONEY PENALTIES IN ADMINISTRATIVE 
ACTIONS.—Section 8A(g)(2) of the Securities Act 
of 1933 (15 U.S.C. 77h–1(g)(2)) is amended by 
adding at the end the following: 
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‘‘(D) FOURTH TIER.—Notwithstanding sub-
paragraphs (A), (B), and (C), the maximum 
amount of penalty for each such act or omission 
shall be 3 times the otherwise applicable amount 
in such subparagraphs if, within the 5-year pe-
riod preceding such act or omission, the person 
who committed the act or omission was crimi-
nally convicted for securities fraud or became 
subject to a judgment or order imposing mone-
tary, equitable, or administrative relief in any 
Commission action alleging fraud by that per-
son.’’. 
(B) MONEY PENALTIES IN CIVIL ACTIONS.— 
Section 20(d)(2) of the Securities Act of 1933 (15 
U.S.C. 77t(d)(2)) is amended by adding at the 
end the following: 
‘‘(D) FOURTH TIER.—Notwithstanding sub-
paragraphs (A), (B), and (C), the maximum 
amount of penalty for each such violation shall 
be 3 times the otherwise applicable amount in 
such subparagraphs if, within the 5-year period 
preceding such violation, the defendant was 
criminally convicted for securities fraud or be-
came subject to a judgment or order imposing 
monetary, equitable, or administrative relief in 
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any Commission action alleging fraud by that 
defendant.’’. 
(2) SECURITIES EXCHANGE ACT OF 1934.— 
(A) MONEY PENALTIES IN CIVIL ACTIONS.— 
Section 21(d)(3)(B) of the Securities Exchange 
Act of 1934 (15 U.S.C. 78u(d)(3)(B)) is amended 
by adding at the end the following: 
‘‘(iv) FOURTH TIER.—Notwithstanding 
clauses (i), (ii), and (iii), the maximum 
amount of penalty for each such violation 
shall be 3 times the otherwise applicable 
amount in such clauses if, within the 5-year 
period preceding such violation, the defend-
ant was criminally convicted for securities 
fraud or became subject to a judgment or 
order imposing monetary, equitable, or ad-
ministrative relief in any Commission ac-
tion alleging fraud by that defendant.’’. 
(B) MONEY PENALTIES IN ADMINISTRATIVE 
ACTIONS.—Section 21B(b) of the Securities Ex-
change Act of 1934 (15 U.S.C. 78u–2(b)) is 
amended by adding at the end the following: 
‘‘(4) FOURTH
TIER.—Notwithstanding para-
graphs (1), (2), and (3), the maximum amount of 
penalty for each such act or omission shall be 3 times 
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the otherwise applicable amount in such paragraphs 
if, within the 5-year period preceding such act or 
omission, the person who committed the act or omis-
sion was criminally convicted for securities fraud or 
became subject to a judgment or order imposing mon-
etary, equitable, or administrative relief in any Com-
mission action alleging fraud by that person.’’. 
(3) INVESTMENT COMPANY ACT OF 1940.— 
(A) MONEY PENALTIES IN ADMINISTRATIVE 
ACTIONS.—Section 9(d)(2) of the Investment 
Company Act of 1940 (15 U.S.C. 80a–9(d)(2)) is 
amended by adding at the end the following: 
‘‘(D) FOURTH TIER.—Notwithstanding sub-
paragraphs (A), (B), and (C), the maximum 
amount of penalty for each such act or omission 
shall be 3 times the otherwise applicable amount 
in such subparagraphs if, within the 5-year pe-
riod preceding such act or omission, the person 
who committed the act or omission was crimi-
nally convicted for securities fraud or became 
subject to a judgment or order imposing mone-
tary, equitable, or administrative relief in any 
Commission action alleging fraud by that per-
son.’’. 
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(B) MONEY PENALTIES IN CIVIL ACTIONS.— 
Section 42(e)(2) of the Investment Company Act 
of 1940 (15 U.S.C. 80a–41(e)(2)) is amended by 
adding at the end the following: 
‘‘(D) FOURTH TIER.—Notwithstanding sub-
paragraphs (A), (B), and (C), the maximum 
amount of penalty for each such violation shall 
be 3 times the otherwise applicable amount in 
such subparagraphs if, within the 5-year period 
preceding such violation, the defendant was 
criminally convicted for securities fraud or be-
came subject to a judgment or order imposing 
monetary, equitable, or administrative relief in 
any Commission action alleging fraud by that 
defendant.’’. 
(4) INVESTMENT ADVISERS ACT OF 1940.— 
(A) MONEY PENALTIES IN ADMINISTRATIVE 
ACTIONS.—Section 203(i)(2) of the Investment 
Advisers Act of 1940 (15 U.S.C. 80b–3(i)(2)) is 
amended by adding at the end the following: 
‘‘(D) FOURTH TIER.—Notwithstanding sub-
paragraphs (A), (B), and (C), the maximum 
amount of penalty for each such act or omission 
shall be 3 times the otherwise applicable amount 
in such subparagraphs if, within the 5-year pe-
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riod preceding such act or omission, the person 
who committed the act or omission was crimi-
nally convicted for securities fraud or became 
subject to a judgment or order imposing mone-
tary, equitable, or administrative relief in any 
Commission action alleging fraud by that per-
son.’’. 
(B) MONEY PENALTIES IN CIVIL ACTIONS.— 
Section 209(e)(2) of the Investment Advisers Act 
of 1940 (15 U.S.C. 80b–9(e)(2)) is amended by 
adding at the end the following: 
‘‘(D) FOURTH TIER.—Notwithstanding sub-
paragraphs (A), (B), and (C), the maximum 
amount of penalty for each such violation shall 
be 3 times the otherwise applicable amount in 
such subparagraphs if, within the 5-year period 
preceding such violation, the defendant was 
criminally convicted for securities fraud or be-
came subject to a judgment or order imposing 
monetary, equitable, or administrative relief in 
any Commission action alleging fraud by that 
defendant.’’. 
(c) VIOLATIONS OF INJUNCTIONS AND BARS.— 
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(1) SECURITIES ACT OF 1933.—Section 20(d) of 
the Securities Act of 1933 (15 U.S.C. 77t(d)) is 
amended— 
(A) in paragraph (1), by inserting after 
‘‘the rules or regulations thereunder,’’ the fol-
lowing: ‘‘a Federal court injunction or a bar ob-
tained or entered by the Commission under this 
title,’’; and 
(B) by striking paragraph (4) and inserting 
the following: 
‘‘(4) SPECIAL PROVISIONS RELATING TO A VIOLA-
TION OF AN INJUNCTION OR CERTAIN ORDERS.— 
‘‘(A) IN GENERAL.—Each separate violation 
of an injunction or order described in subpara-
graph (B) shall be a separate offense, except that 
in the case of a violation through a continuing 
failure to comply with such injunction or order, 
each day of the failure to comply with the in-
junction or order shall be deemed a separate of-
fense. 
‘‘(B) INJUNCTIONS AND ORDERS.—Subpara-
graph (A) shall apply with respect to any action 
to enforce— 
‘‘(i) a Federal court injunction ob-
tained pursuant to this title; 
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‘‘(ii) an order entered or obtained by 
the Commission pursuant to this title that 
bars, suspends, places limitations on the ac-
tivities or functions of, or prohibits the ac-
tivities of, a person; or 
‘‘(iii) a cease-and-desist order entered 
by the Commission pursuant to section 
8A.’’. 
(2) SECURITIES EXCHANGE ACT OF 1934.—Sec-
tion 21(d)(3) of the Securities Exchange Act of 1934 
(15 U.S.C. 78u(d)(3)) is amended— 
(A) in subparagraph (A), by inserting after 
‘‘the rules or regulations thereunder,’’ the fol-
lowing: ‘‘a Federal court injunction or a bar ob-
tained or entered by the Commission under this 
title,’’; and 
(B) by striking subparagraph (D) and in-
serting the following: 
‘‘(D) SPECIAL PROVISIONS RELATING TO A VIO-
LATION OF AN INJUNCTION OR CERTAIN ORDERS.— 
‘‘(i) IN GENERAL.—Each separate violation 
of an injunction or order described in clause (ii) 
shall be a separate offense, except that in the case 
of a violation through a continuing failure to 
comply with such injunction or order, each day 
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of the failure to comply with the injunction or 
order shall be deemed a separate offense. 
‘‘(ii) INJUNCTIONS
AND
ORDERS.—Clause 
(i) shall apply with respect to an action to en-
force— 
‘‘(I) a Federal court injunction ob-
tained pursuant to this title; 
‘‘(II) an order entered or obtained by 
the Commission pursuant to this title that 
bars, suspends, places limitations on the ac-
tivities or functions of, or prohibits the ac-
tivities of, a person; or 
‘‘(III) a cease-and-desist order entered 
by the Commission pursuant to section 
21C.’’. 
(3) INVESTMENT COMPANY ACT OF 1940.—Section 
42(e) of the Investment Company Act of 1940 (15 
U.S.C. 80a–41(e)) is amended— 
(A) in paragraph (1), by inserting after 
‘‘the rules or regulations thereunder,’’ the fol-
lowing: ‘‘a Federal court injunction or a bar ob-
tained or entered by the Commission under this 
title,’’; and 
(B) by striking paragraph (4) and inserting 
the following: 
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‘‘(4) SPECIAL PROVISIONS RELATING TO A VIOLA-
TION OF AN INJUNCTION OR CERTAIN ORDERS.— 
‘‘(A) IN GENERAL.—Each separate violation 
of an injunction or order described in subpara-
graph (B) shall be a separate offense, except that 
in the case of a violation through a continuing 
failure to comply with such injunction or order, 
each day of the failure to comply with the in-
junction or order shall be deemed a separate of-
fense. 
‘‘(B) INJUNCTIONS AND ORDERS.—Subpara-
graph (A) shall apply with respect to any action 
to enforce— 
‘‘(i) a Federal court injunction ob-
tained pursuant to this title; 
‘‘(ii) an order entered or obtained by 
the Commission pursuant to this title that 
bars, suspends, places limitations on the ac-
tivities or functions of, or prohibits the ac-
tivities of, a person; or 
‘‘(iii) a cease-and-desist order entered 
by the Commission pursuant to section 
9(f).’’. 
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(4) INVESTMENT ADVISERS ACT OF 1940.—Sec-
tion 209(e) of the Investment Advisers Act of 1940 (15 
U.S.C. 80b–9(e)) is amended— 
(A) in paragraph (1), by inserting after 
‘‘the rules or regulations thereunder,’’ the fol-
lowing: ‘‘a Federal court injunction or a bar ob-
tained or entered by the Commission under this 
title,’’; and 
(B) by striking paragraph (4) and inserting 
the following: 
‘‘(4) SPECIAL PROVISIONS RELATING TO A VIOLA-
TION OF AN INJUNCTION OR CERTAIN ORDERS.— 
‘‘(A) IN GENERAL.—Each separate violation 
of an injunction or order described in subpara-
graph (B) shall be a separate offense, except that 
in the case of a violation through a continuing 
failure to comply with such injunction or order, 
each day of the failure to comply with the in-
junction or order shall be deemed a separate of-
fense. 
‘‘(B) INJUNCTIONS AND ORDERS.—Subpara-
graph (A) shall apply with respect to any action 
to enforce— 
‘‘(i) a Federal court injunction ob-
tained pursuant to this title; 
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‘‘(ii) an order entered or obtained by 
the Commission pursuant to this title that 
bars, suspends, places limitations on the ac-
tivities or functions of, or prohibits the ac-
tivities of, a person; or 
‘‘(iii) a cease-and-desist order entered 
by the Commission pursuant to section 
203(k).’’. 
(d) EFFECTIVE DATE.—The amendments made by this 
section shall apply with respect to conduct that occurs after 
the date of the enactment of this Act. 
SEC. 212. UPDATED CIVIL MONEY PENALTIES OF PUBLIC 
COMPANY ACCOUNTING OVERSIGHT BOARD. 
(a) IN GENERAL.—Section 105(c)(4)(D) of the Sar-
banes-Oxley Act of 2002 (15 U.S.C. 7215(c)(4)(D)) is 
amended— 
(1) in clause (i)— 
(A) by striking ‘‘$100,000’’ and inserting 
‘‘$200,000’’; and 
(B) by striking ‘‘$2,000,000’’ and inserting 
‘‘$4,000,000’’; and 
(2) in clause (ii)— 
(A) by striking ‘‘$750,000’’ and inserting 
‘‘$1,500,000’’; and 
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(B) by striking ‘‘$15,000,000’’ and inserting 
‘‘$22,000,000’’. 
(b) EFFECTIVE DATE.—The amendments made by this 
section shall apply with respect to conduct that occurs after 
the date of the enactment of this Act. 
SEC. 213. UPDATED CIVIL MONEY PENALTY FOR CONTROL-
LING PERSONS IN CONNECTION WITH IN-
SIDER TRADING. 
(a) IN GENERAL.—Section 21A(a)(3) of the Securities 
Exchange Act of 1934 (15 U.S.C. 78u–1(a)(3)) is amended 
by striking ‘‘$1,000,000’’ and inserting ‘‘$2,500,000’’. 
(b) EFFECTIVE DATE.—The amendment made by this 
section shall apply with respect to conduct that occurs after 
the date of the enactment of this Act. 
SEC. 214. UPDATE OF CERTAIN OTHER PENALTIES. 
(a) IN GENERAL.—Section 32 of the Securities Ex-
change Act of 1934 (15 U.S.C. 78ff) is amended— 
(1) in subsection (a), by striking ‘‘$5,000,000’’ 
and inserting ‘‘$7,000,000’’; and 
(2) in subsection (c)— 
(A) in paragraph (1)— 
(i) in subparagraph (A), by striking 
‘‘$2,000,000’’ and inserting ‘‘$4,000,000’’; 
and 
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(ii) in subparagraph (B), by striking 
‘‘$10,000’’ and inserting ‘‘$50,000’’; and 
(B) in paragraph (2)— 
(i) in subparagraph (A), by striking 
‘‘$100,000’’ and inserting ‘‘$250,000’’; and 
(ii) in subparagraph (B), by striking 
‘‘$10,000’’ and inserting ‘‘$50,000’’. 
(b) EFFECTIVE DATE.—The amendments made by this 
section shall apply with respect to conduct that occurs after 
the date of the enactment of this Act. 
SEC. 215. MONETARY SANCTIONS TO BE USED FOR THE RE-
LIEF OF VICTIMS. 
(a) IN GENERAL.—Section 308(a) of the Sarbanes- 
Oxley Act of 2002 (15 U.S.C. 7246(a)) is amended to read 
as follows: 
‘‘(a) MONETARY SANCTIONS TO BE USED FOR THE 
RELIEF OF VICTIMS.— 
‘‘(1) IN GENERAL.—If, in any judicial or admin-
istrative action brought by the Commission under the 
securities laws, the Commission obtains a monetary 
sanction (as defined in section 21F(a) of the Securi-
ties Exchange Act of 1934) against any person for a 
violation of such laws, or such person agrees, in settle-
ment of any such action, to such monetary sanction, 
the amount of such monetary sanction shall, on the 
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motion or at the direction of the Commission, be 
added to and become part of a disgorgement fund or 
other fund established for the benefit of the victims of 
such violation. 
‘‘(2) DEFINITION OF VICTIM.—In this subsection, 
the term ‘victim’ has the meaning given the term 
‘crime victim’ in section 3771(e) of title 18, United 
States Code.’’. 
(b) 
MONETARY
SANCTION
DEFINED.—Section 
21F(a)(4)(A) of the Securities Exchange Act of 1934 (15 
U.S.C. 78u–6(a)(4)(A)) is amended by striking ‘‘ordered’’ 
and inserting ‘‘required’’. 
(c) EFFECTIVE DATE.—The amendments made by this 
section apply with respect to any monetary sanction or-
dered or required to be paid before or after the date of enact-
ment of this Act. 
SEC. 216. GAO REPORT ON USE OF CIVIL MONEY PENALTY 
AUTHORITY BY COMMISSION. 
(a) IN GENERAL.—Not later than 2 years after the 
date of the enactment of this Act, the Comptroller General 
of the United States shall submit to the Committee on Fi-
nancial Services of the House of Representatives and the 
Committee on Banking, Housing, and Urban Affairs of the 
Senate a report on the use by the Commission of the author-
ity to impose or obtain civil money penalties for violations 
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of the securities laws during the period beginning on June 
1, 2010, and ending on the date of the enactment of this 
Act. 
(b) MATTERS REQUIRED TO BE INCLUDED.—The 
matters covered by the report required by subsection (a) 
shall include the following: 
(1) The types of violations for which civil money 
penalties were imposed or obtained. 
(2) The types of persons on whom civil money 
penalties were imposed or from whom such penalties 
were obtained. 
(3) The number and dollar amount of civil 
money penalties imposed or obtained, disaggregated 
as follows: 
(A) Penalties imposed in administrative ac-
tions and penalties obtained in judicial actions. 
(B) Penalties imposed on or obtained from 
issuers (individual and aggregate filers) and 
penalties imposed on or obtained from other per-
sons. 
(C) Penalties permitted to be retained for 
use by the Commission and penalties deposited 
in the general fund of the Treasury of the United 
States. 
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(4) For penalties imposed on or obtained from 
issuers: 
(A) Whether the violations involved resulted 
in direct economic benefit to the issuers. 
(B) The impact of the penalties on the 
shareholders of the issuers. 
(c) DEFINITIONS.—In this section, the terms ‘‘Commis-
sion’’, ‘‘issuer’’, and ‘‘securities laws’’ have the meanings 
given such terms in section 3(a) of the Securities Exchange 
Act of 1934 (15 U.S.C. 78c(a)). 
Subtitle B—FIRREA Penalties 
Modernization 
SEC. 221. INCREASE OF CIVIL AND CRIMINAL PENALTIES 
ORIGINALLY ESTABLISHED IN THE FINAN-
CIAL 
INSTITUTIONS 
REFORM, 
RECOVERY, 
AND ENFORCEMENT ACT OF 1989. 
(a) AMENDMENTS TO FIRREA.—Section 951(b) of the 
Financial Institutions Reform, Recovery, and Enforcement 
Act of 1989 (12 U.S.C. 1833a(b)) is amended— 
(1) in paragraph (1), by striking ‘‘$1,000,000’’ 
and inserting ‘‘$1,500,000’’; and 
(2) in paragraph (2), by striking ‘‘$1,000,000 
per day or $5,000,000’’ and inserting ‘‘$1,500,000 per 
day or $7,500,000’’. 
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(b) AMENDMENTS
TO
THE HOME OWNERS’ LOAN 
ACT.—The Home Owners’ Loan Act (12 U.S.C. 1461 et 
seq.) is amended— 
(1) in section 5(v)(6), by striking ‘‘$1,000,000’’ 
and inserting ‘‘$1,500,000’’; and 
(2) in section 10— 
(A) 
in 
subsection 
(r)(3), 
by 
striking 
‘‘$1,000,000’’ and inserting ‘‘$1,500,000’’; and 
(B) in subsection (i)(1)(B), by striking 
‘‘$1,000,000’’ and inserting ‘‘$1,500,000’’. 
(c) AMENDMENTS TO THE FEDERAL DEPOSIT INSUR-
ANCE ACT.—The Federal Deposit Insurance Act (12 U.S.C. 
1811 et seq.) is amended— 
(1) in section 7— 
(A) in subsection (a)(1), by striking 
‘‘$1,000,000’’ and inserting ‘‘$1,500,000’’; and 
(B) in subsection (j)(16)(D), by striking 
‘‘$1,000,000’’ each place such term appears and 
inserting ‘‘$1,500,000’’; 
(2) in section 8— 
(A) in subsection (i)(2)(D), by striking 
‘‘$1,000,000’’ each place such term appears and 
inserting ‘‘$1,500,000’’; and 
(B) 
in 
subsection 
(j), 
by 
striking 
‘‘$1,000,000’’ and inserting ‘‘$1,500,000’’; and 
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(3) in section 19(b), by striking ‘‘$1,000,000’’ 
and inserting ‘‘$1,500,000’’. 
(d) AMENDMENTS TO THE FEDERAL CREDIT UNION 
ACT.—The Federal Credit Union Act (12 U.S.C. 1751 et 
seq.) is amended— 
(1) 
in 
section 
202(a)(3), 
by 
striking 
‘‘$1,000,000’’ and inserting ‘‘$1,500,000’’; 
(2) 
in 
section 
205(d)(3), 
by 
striking 
‘‘$1,000,000’’ and inserting ‘‘$1,500,000’’; and 
(3) in section 206— 
(A) in subsection (k)(2)(D), by striking 
‘‘$1,000,000’’ each place such term appears and 
inserting ‘‘$1,500,000’’; and 
(B) 
in 
subsection 
(l), 
by 
striking 
‘‘$1,000,000’’ and inserting ‘‘$1,500,000’’. 
(e) AMENDMENTS TO THE REVISED STATUTES OF THE 
UNITED STATES.—Title LXII of the Revised Statutes of the 
United States is amended— 
(1) in section 5213(c), by striking ‘‘$1,000,000’’ 
and inserting ‘‘$1,500,000’’; and 
(2) 
in 
section 
5239(b)(4), 
by 
striking 
‘‘$1,000,000’’ each place such term appears and in-
serting ‘‘$1,500,000’’. 
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101 
(f) AMENDMENTS TO THE FEDERAL RESERVE ACT.— 
The Federal Reserve Act (12 U.S.C. 221 et seq.) is amend-
ed— 
(1) in the 6th undesignated paragraph of section 
9, 
by 
striking 
‘‘$1,000,000’’ 
and 
inserting 
‘‘$1,500,000’’; 
(2) in section 19(l)(4), by striking ‘‘$1,000,000’’ 
each 
place 
such 
term 
appears 
and 
inserting 
‘‘$1,500,000’’; and 
(3) in section 29(d), by striking ‘‘$1,000,000’’ 
each 
place 
such 
term 
appears 
and 
inserting 
‘‘$1,500,000’’. 
(g) AMENDMENTS TO THE BANK HOLDING COMPANY 
ACT AMENDMENTS OF 1970.—Section 106(b)(2)(F)(iv) of 
the Bank Holding Company Act Amendments of 1970 (12 
U.S.C. 
1978(b)(2)(F)(iv)) 
is 
amended 
by 
striking 
‘‘$1,000,000’’ each place such term appears and inserting 
‘‘$1,500,000’’. 
(h) AMENDMENTS TO THE BANK HOLDING COMPANY 
ACT OF 1956.—Section 8 of the Bank Holding Company 
Act of 1956 (12 U.S.C. 1847) is amended— 
(1) 
in 
subsection 
(a)(2), 
by 
striking 
‘‘$1,000,000’’ and inserting ‘‘$1,500,000’’; and 
(2) 
in 
subsection 
(d)(3), 
by 
striking 
‘‘$1,000,000’’ and inserting ‘‘$1,500,000’’. 
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(i) AMENDMENTS
TO TITLE 18, UNITED STATES 
CODE.—Title 18, United States Code, is amended— 
(1) in section 215(a) of chapter 11, by striking 
‘‘$1,000,000’’ and inserting ‘‘$1,500,000’’; 
(2) in chapter 31— 
(A) in section 656, by striking ‘‘$1,000,000’’ 
and inserting ‘‘$1,500,000’’; and 
(B) in section 657, by striking ‘‘$1,000,000’’ 
and inserting ‘‘$1,500,000’’; 
(3) in chapter 47— 
(A) 
in 
section 
1005, 
by 
striking 
‘‘$1,000,000’’ and inserting ‘‘$1,500,000’’; 
(B) 
in 
section 
1006, 
by 
striking 
‘‘$1,000,000’’ and inserting ‘‘$1,500,000’’; 
(C) 
in 
section 
1007, 
by 
striking 
‘‘$1,000,000’’ and inserting ‘‘$1,500,000’’; and 
(D) 
in 
section 
1014, 
by 
striking 
‘‘$1,000,000’’ and inserting ‘‘$1,500,000’’; and 
(4) in chapter 63— 
(A) 
in 
section 
1341, 
by 
striking 
‘‘$1,000,000’’ and inserting ‘‘$1,500,000’’; 
(B) 
in 
section 
1343, 
by 
striking 
‘‘$1,000,000’’ and inserting ‘‘$1,500,000’’; and 
(C) 
in 
section 
1344, 
by 
striking 
‘‘$1,000,000’’ and inserting ‘‘$1,500,000’’. 
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TITLE 
III—DEMANDING 
AC-
COUNTABILITY FROM FINAN-
CIAL REGULATORS AND DE-
VOLVING POWER AWAY FROM 
WASHINGTON 
Subtitle A—Cost-Benefit Analyses 
SEC. 311. DEFINITIONS. 
As used in this subtitle— 
(1) the term ‘‘agency’’ means the Board of Gov-
ernors of the Federal Reserve System, the Consumer 
Law Enforcement Agency, the Commodity Futures 
Trading Commission, the Federal Deposit Insurance 
Corporation, the Federal Housing Finance Agency, 
the Office of the Comptroller of the Currency, the Na-
tional Credit Union Administration, and the Securi-
ties and Exchange Commission; 
(2) the term ‘‘chief economist’’ means— 
(A) with respect to the Board of Governors 
of the Federal Reserve System, the Director of the 
Division of Research and Statistics, or an em-
ployee of the agency with comparable authority; 
(B) with respect to the Consumer Law En-
forcement Agency, the Head of the Office of Eco-
nomic Analysis, or an employee of the agency 
with comparable authority; 
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(4) the term ‘‘regulation’’— 
(A) means an agency statement of general 
applicability and future effect that is designed to 
implement, interpret, or prescribe law or policy 
or to describe the procedure or practice require-
ments of an agency, including rules, orders of 
general applicability, interpretive releases, and 
other statements of general applicability that the 
agency intends to have the force and effect of 
law; and 
(B) does not include— 
(i) a regulation issued in accordance 
with the formal rulemaking provisions of 
section 556 or 557 of title 5, United States 
Code; 
(ii) a regulation that is limited to 
agency organization, management, or per-
sonnel matters; 
(iii) a regulation promulgated pursu-
ant to statutory authority that expressly 
prohibits compliance with this provision; 
(iv) a regulation that is certified by 
the agency to be an emergency action, if 
such certification is published in the Fed-
eral Register; 
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(v) a regulation that is promulgated by 
the Board of Governors of the Federal Re-
serve System or the Federal Open Market 
Committee under section 10A, 10B, 13, 
13A, or 19 of the Federal Reserve Act, or 
any of subsections (a) through (f) of section 
14 of that Act; or 
(vi) a regulation filed with the Com-
mission by the Public Company Accounting 
Oversight Board, the Municipal Securities 
Rulemaking Board, or any national securi-
ties association registered under section 15A 
of the Securities Exchange Act of 1934 (15 
U.S.C. 78o–4(a)) for which the board or as-
sociation has itself conducted the cost-benefit 
analysis and otherwise complied with the 
requirements of section 312. 
SEC. 312. REQUIRED REGULATORY ANALYSIS. 
(a) REQUIREMENTS
FOR NOTICES
OF PROPOSED 
RULEMAKING.—An agency may not issue a notice of pro-
posed rulemaking unless the agency includes in the notice 
of proposed rulemaking an analysis that contains, at a 
minimum, with respect to each regulation that is being pro-
posed— 
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(1) an identification of the need for the regula-
tion and the regulatory objective, including identifica-
tion of the nature and significance of the market fail-
ure, regulatory failure, or other problem that neces-
sitates the regulation; 
(2) an explanation of why the private market or 
State, local, or tribal authorities cannot adequately 
address the identified market failure or other problem; 
(3) an analysis of the adverse impacts to regu-
lated entities, other market participants, economic ac-
tivity, or agency effectiveness that are engendered by 
the regulation and the magnitude of such adverse im-
pacts; 
(4) a quantitative and qualitative assessment of 
all anticipated direct and indirect costs and benefits 
of the regulation (as compared to a benchmark that 
assumes the absence of the regulation), including— 
(A) compliance costs; 
(B) effects on economic activity, net job cre-
ation (excluding jobs related to ensuring compli-
ance with the regulation), efficiency, competi-
tion, and capital formation; 
(C) regulatory administrative costs; and 
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(D) costs imposed by the regulation on 
State, local, or tribal governments or other regu-
latory authorities; 
(5) if quantified benefits do not outweigh quan-
titative costs, a justification for the regulation; 
(6) an identification and assessment of all avail-
able alternatives to the regulation, including modi-
fication of an existing regulation or statute, together 
with— 
(A) an explanation of why the regulation 
meets the objectives of the regulation more effec-
tively than the alternatives, and if the agency is 
proposing multiple alternatives, an explanation 
of why a notice of proposed rulemaking, rather 
than an advanced notice of proposed rulemaking, 
is appropriate; and 
(B) if the regulation is not a pilot program, 
an explanation of why a pilot program is not 
appropriate; 
(7) if the regulation specifies the behavior or 
manner of compliance, an explanation of why the 
agency did not instead specify performance objectives; 
(8) an assessment of how the burden imposed by 
the regulation will be distributed among market par-
ticipants, including whether consumers, investors, 
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small businesses, or independent financial firms and 
advisors will be disproportionately burdened; 
(9) an assessment of the extent to which the regu-
lation is inconsistent, incompatible, or duplicative 
with the existing regulations of the agency or those of 
other domestic and international regulatory authori-
ties with overlapping jurisdiction; 
(10) a description of any studies, surveys, or 
other data relied upon in preparing the analysis; 
(11) an assessment of the degree to which the key 
assumptions underlying the analysis are subject to 
uncertainty; and 
(12) an explanation of predicted changes in 
market structure and infrastructure and in behavior 
by market participants, including consumers and in-
vestors, assuming that they will pursue their economic 
interests. 
(b) REQUIREMENTS FOR NOTICES OF FINAL RULE-
MAKING.— 
(1) IN
GENERAL.—Notwithstanding any other 
provision of law, an agency may not issue a notice 
of final rulemaking with respect to a regulation un-
less the agency— 
(A) has issued a notice of proposed rule-
making for the relevant regulation; 
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110 
(B) has conducted and includes in the no-
tice of final rulemaking an analysis that con-
tains, at a minimum, the elements required 
under subsection (a); and 
(C) includes in the notice of final rule-
making regulatory impact metrics selected by the 
chief economist to be used in preparing the re-
port required pursuant to section 315. 
(2) CONSIDERATION OF COMMENTS.—The agency 
shall incorporate in the elements described in para-
graph (1)(B) the data and analyses provided to the 
agency by commenters during the comment period, or 
explain why the data or analyses are not being incor-
porated. 
(3) COMMENT
PERIOD.—An agency shall not 
publish a notice of final rulemaking with respect to 
a regulation, unless the agency— 
(A) has allowed at least 90 days from the 
date of publication in the Federal Register of the 
notice of proposed rulemaking for the submission 
of public comments; or 
(B) includes in the notice of final rule-
making an explanation of why the agency was 
not able to provide a 90-day comment period. 
(4) PROHIBITED RULES.— 
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(A) IN GENERAL.—An agency may not pub-
lish a notice of final rulemaking if the agency, 
in its analysis under paragraph (1)(B), deter-
mines that the quantified costs are greater than 
the quantified benefits under subsection (a)(5). 
(B) PUBLICATION
OF
ANALYSIS.—If the 
agency is precluded by subparagraph (A) from 
publishing a notice of final rulemaking, the 
agency shall publish in the Federal Register and 
on the public website of the agency its analysis 
under paragraph (1)(B), and provide the anal-
ysis to each House of Congress. 
(C) CONGRESSIONAL WAIVER.—If the agen-
cy is precluded by subparagraph (A) from pub-
lishing a notice of final rulemaking, Congress, by 
joint resolution pursuant to the procedures set 
forth for joint resolutions in section 802 of title 
5, United States Code, may direct the agency to 
publish a notice of final rulemaking notwith-
standing the prohibition contained in subpara-
graph (A). In applying section 802 of title 5, 
United States Code, for purposes of this para-
graph, section 802(e)(2) shall not apply and the 
terms— 
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(i) ‘‘joint resolution’’ or ‘‘joint resolu-
tion described in subsection (a)’’ means only 
a joint resolution introduced during the pe-
riod beginning on the submission or publi-
cation date and ending 60 days thereafter 
(excluding days either House of Congress is 
adjourned for more than 3 days during a 
session of Congress), the matter after the re-
solving clause of which is as follows: ‘‘That 
Congress directs, notwithstanding the prohi-
bition contained in section 312(b)(4)(A) of 
the Financial CHOICE Act of 2017, the 
ll to publish the notice of final rule-
making for the regulation or regulations 
that were the subject of the analysis sub-
mitted by the ll to Congress on ll.’’ 
(The blank spaces being appropriately filled 
in.); and 
(ii) ‘‘submission or publication date’’ 
means— 
(I) the date on which the analysis 
under paragraph (1)(B) is submitted 
to Congress under paragraph (4)(B); 
or 
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(II) if the analysis is submitted to 
Congress less than 60 session days or 
60 legislative days before the date on 
which the Congress adjourns a session 
of Congress, the date on which the 
same or succeeding Congress first con-
venes its next session. 
SEC. 313. RULE OF CONSTRUCTION. 
For purposes of the Paperwork Reduction Act (44 
U.S.C. 3501 et seq.), obtaining, causing to be obtained, or 
soliciting information for purposes of complying with sec-
tion 312 with respect to a proposed rulemaking shall not 
be construed to be a collection of information, provided that 
the agency has first issued an advanced notice of proposed 
rulemaking in connection with the regulation, identifies 
that advanced notice of proposed rulemaking in its solicita-
tion of information, and informs the person from whom the 
information is obtained or solicited that the provision of 
information is voluntary. 
SEC. 314. PUBLIC AVAILABILITY OF DATA AND REGULATORY 
ANALYSIS. 
(a) IN GENERAL.—At or before the commencement of 
the public comment period with respect to a regulation, the 
agency shall make available on its public website sufficient 
information about the data, methodologies, and assump-
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114 
tions underlying the analyses performed pursuant to section 
312 so that the analytical results of the agency are capable 
of being substantially reproduced, subject to an acceptable 
degree of imprecision or error. 
(b) CONFIDENTIALITY.—The agency shall comply with 
subsection (a) in a manner that preserves the confiden-
tiality of nonpublic information, including confidential 
trade secrets, confidential commercial or financial informa-
tion, and confidential information about positions, trans-
actions, or business practices. 
SEC. 315. FIVE-YEAR REGULATORY IMPACT ANALYSIS. 
(a) IN GENERAL.—Not later than 5 years after the 
date of publication in the Federal Register of a notice of 
final rulemaking, the chief economist of the agency shall 
issue a report that examines the economic impact of the 
subject regulation, including the direct and indirect costs 
and benefits of the regulation. 
(b) REGULATORY IMPACT METRICS.—In preparing the 
report required by subsection (a), the chief economist shall 
employ the regulatory impact metrics included in the notice 
of final rulemaking pursuant to section 312(b)(1)(C). 
(c) REPRODUCIBILITY.—The report shall include the 
data, methodologies, and assumptions underlying the eval-
uation so that the agency’s analytical results are capable 
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of being substantially reproduced, subject to an acceptable 
degree of imprecision or error. 
(d) CONFIDENTIALITY.—The agency shall comply with 
subsection (c) in a manner that preserves the confidentiality 
of nonpublic information, including confidential trade se-
crets, confidential commercial or financial information, 
and confidential information about positions, transactions, 
or business practices. 
(e) REPORT.—The agency shall submit the report re-
quired by subsection (a) to the Committee on Banking, 
Housing, and Urban Affairs of the Senate and the Com-
mittee on Financial Services of the House of Representa-
tives and post it on the public website of the agency. The 
Commodity Futures Trading Commission shall also submit 
its report to the Committee on Agriculture, Nutrition, and 
Forestry of the Senate and the Committee on Agriculture 
of the House of Representatives. 
SEC. 316. RETROSPECTIVE REVIEW OF EXISTING RULES. 
(a) REGULATORY IMPROVEMENT PLAN.—Not later 
than 1 year after the date of enactment of this Act and 
every 5 years thereafter, each agency shall develop, submit 
to the Committee on Banking, Housing, and Urban Affairs 
of the Senate and the Committee on Financial Services of 
the House of Representatives, and post on the public website 
of the agency a plan, consistent with law and its resources 
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116 
and regulatory priorities, under which the agency will mod-
ify, streamline, expand, or repeal existing regulations so as 
to make the regulatory program of the agency more effective 
or less burdensome in achieving the regulatory objectives. 
The Commodity Futures Trading Commission shall also 
submit its plan to the Committee on Agriculture, Nutrition, 
and Forestry of the Senate and the Committee on Agri-
culture of the House of Representatives. 
(b) 
IMPLEMENTATION
PROGRESS
REPORT.—Two 
years after the date of submission of each plan required 
under subsection (a), each agency shall develop, submit to 
the Committee on Banking, Housing, and Urban Affairs 
of the Senate and the Committee on Financial Services of 
the House of Representatives, and post on the public website 
of the agency a report of the steps that it has taken to imple-
ment the plan, steps that remain to be taken to implement 
the plan, and, if any parts of the plan will not be imple-
mented, reasons for not implementing those parts of the 
plan. The Commodity Futures Trading Commission shall 
also submit its plan to the Committee on Agriculture, Nu-
trition, and Forestry of the Senate and the Committee on 
Agriculture of the House of Representatives. 
SEC. 317. JUDICIAL REVIEW. 
(a) IN GENERAL.—Notwithstanding any other provi-
sion of law, during the period beginning on the date on 
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117 
which a notice of final rulemaking for a regulation is pub-
lished in the Federal Register and ending 1 year later, a 
person that is adversely affected or aggrieved by the regula-
tion is entitled to bring an action in the United States 
Court of Appeals for the District of Columbia Circuit for 
judicial review of agency compliance with the requirements 
of section 312. 
(b) STAY.—The court may stay the effective date of the 
regulation or any provision thereof. 
(c) RELIEF.—If the court finds that an agency has not 
complied with the requirements of section 312, the court 
shall vacate the subject regulation, unless the agency shows 
by clear and convincing evidence that vacating the regula-
tion would result in irreparable harm. Nothing in this sec-
tion affects other limitations on judicial review or the power 
or duty of the court to dismiss any action or deny relief 
on any other appropriate legal or equitable ground. 
SEC. 318. CHIEF ECONOMISTS COUNCIL. 
(a) ESTABLISHMENT.—There is established the Chief 
Economists Council. 
(b) MEMBERSHIP.—The Council shall consist of the 
chief economist of each agency. The members of the Council 
shall select the first chairperson of the Council. Thereafter 
the position of Chairperson shall rotate annually among the 
members of the Council. 
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(c) MEETINGS.—The Council shall meet at the call of 
the Chairperson, but not less frequently than quarterly. 
(d) REPORT.—One year after the effective date of this 
Act and annually thereafter, the Council shall prepare and 
submit to the Committee on Banking, Housing, and Urban 
Affairs and the Committee on Agriculture, Nutrition, and 
Forestry of the Senate and the Committee on Financial 
Services and the Committee on Agriculture of the House 
of Representatives a report on— 
(1) the benefits and costs of regulations adopted 
by the agencies during the past 12 months; 
(2) the regulatory actions planned by the agen-
cies for the upcoming 12 months; 
(3) the cumulative effect of the existing regula-
tions of the agencies on economic activity, innovation, 
international competitiveness of entities regulated by 
the agencies, and net job creation (excluding jobs re-
lated to ensuring compliance with the regulation); 
(4) the training and qualifications of the persons 
who prepared the cost-benefit analyses of each agency 
during the past 12 months; 
(5) the sufficiency of the resources available to 
the chief economists during the past 12 months for the 
conduct of the activities required by this subtitle; and 
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(6) recommendations for legislative or regulatory 
action to enhance the efficiency and effectiveness of fi-
nancial regulation in the United States. 
SEC. 319. CONFORMING AMENDMENTS. 
Section 15(a) of the Commodity Exchange Act (7 
U.S.C. 19(a)) is amended— 
(1) by striking paragraph (1); 
(2) in paragraph (2), by striking ‘‘(2)’’ and all 
that follows through ‘‘light of—’’ and inserting the 
following: 
‘‘(1) CONSIDERATIONS.—Before promulgating a 
regulation under this chapter or issuing an order (ex-
cept as provided in paragraph (2)), the Commission 
shall take into consideration—’’; 
(3) in paragraph (1), as so redesignated— 
(A) in subparagraph (B), by striking ‘‘fu-
tures’’ and inserting ‘‘the relevant’’; 
(B) in subparagraph (C), by adding ‘‘and’’ 
at the end; 
(C) in subparagraph (D), by striking ‘‘; 
and’’ and inserting a period; and 
(D) by striking subparagraph (E); and 
(4) by redesignating paragraph (3) as para-
graph (2). 
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SEC. 320. OTHER REGULATORY ENTITIES. 
Not later than 1 year after the date of enactment of 
this Act, the Securities and Exchange Commission shall 
provide to the Committee on Banking, Housing, and Urban 
Affairs of the Senate and the Committee on Financial Serv-
ices of the House of Representatives a report setting forth 
a plan for subjecting the Public Company Accounting Over-
sight Board, the Municipal Securities Rulemaking Board, 
and any national securities association registered under 
section 15A of the Securities Exchange Act of 1934 (15 
U.S.C. 78o–4(a)) to the requirements of this subtitle, other 
than direct representation on the Council. 
SEC. 321. AVOIDANCE OF DUPLICATIVE OR UNNECESSARY 
ANALYSES. 
An agency may perform the analyses required by this 
subtitle in conjunction with, or as a part of, any other agen-
da or analysis required by any other provision of law, if 
such other analysis satisfies the provisions of this subtitle. 
Subtitle B—Congressional Review 
of 
Federal 
Financial 
Agency 
Rulemaking 
SEC. 331. CONGRESSIONAL REVIEW. 
(a)(1)(A) Before a rule may take effect, a Federal fi-
nancial agency shall publish in the Federal Register a list 
of information on which the rule is based, including data, 
scientific and economic studies, and cost-benefit analyses, 
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and identify how the public can access such information 
online, and shall submit to each House of the Congress and 
to the Comptroller General a report containing— 
(i) a copy of the rule; 
(ii) a concise general statement relating to the 
rule; 
(iii) a classification of the rule as a major or 
nonmajor rule, including an explanation of the classi-
fication specifically addressing each criteria for a 
major rule contained within subparagraphs (A) 
through (C) of section 334(2); 
(iv) a list of any other related regulatory actions 
intended to implement the same statutory provision 
or regulatory objective as well as the individual and 
aggregate economic effects of those actions; and 
(v) the proposed effective date of the rule. 
(B) On the date of the submission of the report under 
subparagraph (A), the Federal financial agency shall sub-
mit to the Comptroller General and make available to each 
House of Congress— 
(i) a complete copy of the cost-benefit analysis of 
the rule, if any, including an analysis of any jobs 
added or lost, differentiating between public and pri-
vate sector jobs; 
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(ii) the Federal financial agency’s actions pursu-
ant to sections 603, 604, 605, 607, and 609 of title 
5, United States Code; 
(iii) the Federal financial agency’s actions pur-
suant to sections 202, 203, 204, and 205 of the Un-
funded Mandates Reform Act of 1995; and 
(iv) any other relevant information or require-
ments under any other Act and any relevant Execu-
tive orders. 
(C) Upon receipt of a report submitted under subpara-
graph (A), each House shall provide copies of the report 
to the chairman and ranking member of each standing com-
mittee with jurisdiction under the rules of the House of Rep-
resentatives or the Senate to report a bill to amend the pro-
vision of law under which the rule is issued. 
(2)(A) The Comptroller General shall provide a report 
on each major rule to the committees of jurisdiction by the 
end of 15 calendar days after the submission or publication 
date. The report of the Comptroller General shall include 
an assessment of the Federal financial agency’s compliance 
with procedural steps required by paragraph (1)(B) and 
an assessment of whether the major rule imposes any new 
limits or mandates on private-sector activity. 
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(B) Federal financial agencies shall cooperate with the 
Comptroller General by providing information relevant to 
the Comptroller General’s report under subparagraph (A). 
(3) A major rule relating to a report submitted under 
paragraph (1) shall take effect upon enactment of a joint 
resolution of approval described in section 332 or as pro-
vided for in the rule following enactment of a joint resolu-
tion of approval described in section 332, whichever is later. 
(4) A nonmajor rule shall take effect as provided by 
section 333 after submission to Congress under paragraph 
(1). 
(5) If a joint resolution of approval relating to a major 
rule is not enacted within the period provided in subsection 
(b)(2), then a joint resolution of approval relating to the 
same rule may not be considered under this subtitle in the 
same Congress by either the House of Representatives or the 
Senate. 
(b)(1) A major rule shall not take effect unless the Con-
gress enacts a joint resolution of approval described under 
section 332. 
(2) If a joint resolution described in subsection (a) is 
not enacted into law by the end of 70 session days or legisla-
tive days, as applicable, beginning on the date on which 
the report referred to in subsection (a)(1)(A) is received by 
Congress (excluding days either House of Congress is ad-
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journed for more than 3 days during a session of Congress), 
then the rule described in that resolution shall be deemed 
not to be approved and such rule shall not take effect. 
(c)(1) Notwithstanding any other provision of this sec-
tion (except subject to paragraph (3)), a major rule may 
take effect for one 90-calendar-day period if the President 
makes a determination under paragraph (2) and submits 
written notice of such determination to the Congress. 
(2) Paragraph (1) applies to a determination made 
by the President by Executive order that the major rule 
should take effect because such rule is— 
(A) necessary because of an imminent threat to 
health or safety or other emergency; 
(B) necessary for the enforcement of criminal 
laws; 
(C) necessary for national security; or 
(D) issued pursuant to any statute implementing 
an international trade agreement. 
(3) An exercise by the President of the authority under 
this subsection shall have no effect on the procedures under 
section 332. 
(d)(1) In addition to the opportunity for review other-
wise provided under this subtitle, in the case of any rule 
for which a report was submitted in accordance with sub-
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section (a)(1)(A) during the period beginning on the date 
occurring— 
(A) in the case of the Senate, 60 session days; or 
(B) in the case of the House of Representatives, 
60 legislative days, 
before the date the Congress is scheduled to adjourn a session 
of Congress through the date on which the same or suc-
ceeding Congress first convenes its next session, sections 332 
and 333 shall apply to such rule in the succeeding session 
of Congress. 
(2)(A) In applying sections 332 and 333 for purposes 
of such additional review, a rule described under paragraph 
(1) shall be treated as though— 
(i) such rule were published in the Federal Reg-
ister on— 
(I) in the case of the Senate, the 15th ses-
sion day; or 
(II) in the case of the House of Representa-
tives, the 15th legislative day, 
after the succeeding session of Congress first convenes; 
and 
(ii) a report on such rule were submitted to Con-
gress under subsection (a)(1) on such date. 
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(B) Nothing in this paragraph shall be construed to 
affect the requirement under subsection (a)(1) that a report 
shall be submitted to Congress before a rule can take effect. 
(3) A rule described under paragraph (1) shall take 
effect as otherwise provided by law (including other sub-
sections of this section). 
SEC. 332. CONGRESSIONAL APPROVAL PROCEDURE FOR 
MAJOR RULES. 
(a)(1) For purposes of this section, the term ‘‘joint res-
olution’’ means only a joint resolution addressing a report 
classifying 
a 
rule 
as 
major 
pursuant 
to 
section 
331(a)(1)(A)(iii) that— 
(A) bears no preamble; 
(B) bears the following title (with blanks filled as 
appropriate): ‘‘Approving the rule submitted by 
lll relating to lll.’’; 
(C) includes after its resolving clause only the 
following (with blanks filled as appropriate): ‘‘That 
Congress approves the rule submitted by lll re-
lating to lll.’’; and 
(D) is introduced pursuant to paragraph (2). 
(2) After a House of Congress receives a report 
classifying 
a 
rule 
as 
major 
pursuant 
to 
section 
331(a)(1)(A)(iii), the majority leader of that House (or his 
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or her respective designee) shall introduce (by request, if ap-
propriate) a joint resolution described in paragraph (1)— 
(A) in the case of the House of Representatives, 
within 3 legislative days; and 
(B) in the case of the Senate, within 3 session 
days. 
(3) A joint resolution described in paragraph (1) shall 
not be subject to amendment at any stage of proceeding. 
(b) A joint resolution described in subsection (a) shall 
be referred in each House of Congress to the committees hav-
ing jurisdiction over the provision of law under which the 
rule is issued. 
(c) In the Senate, if the committee or committees to 
which a joint resolution described in subsection (a) has been 
referred have not reported it at the end of 15 session days 
after its introduction, such committee or committees shall 
be automatically discharged from further consideration of 
the resolution and it shall be placed on the calendar. A vote 
on final passage of the resolution shall be taken on or before 
the close of the 15th session day after the resolution is re-
ported by the committee or committees to which it was re-
ferred, or after such committee or committees have been dis-
charged from further consideration of the resolution. 
(d)(1) In the Senate, when the committee or commit-
tees to which a joint resolution is referred have reported, 
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or when a committee or committees are discharged (under 
subsection (c)) from further consideration of a joint resolu-
tion described in subsection (a), it is at any time thereafter 
in order (even though a previous motion to the same effect 
has been disagreed to) for a motion to proceed to the consid-
eration of the joint resolution, and all points of order 
against the joint resolution (and against consideration of 
the joint resolution) are waived. The motion is not subject 
to amendment, or to a motion to postpone, or to a motion 
to proceed to the consideration of other business. A motion 
to reconsider the vote by which the motion is agreed to or 
disagreed to shall not be in order. If a motion to proceed 
to the consideration of the joint resolution is agreed to, the 
joint resolution shall remain the unfinished business of the 
Senate until disposed of. 
(2) In the Senate, debate on the joint resolution, and 
on all debatable motions and appeals in connection there-
with, shall be limited to not more than 2 hours, which shall 
be divided equally between those favoring and those oppos-
ing the joint resolution. A motion to further limit debate 
is in order and not debatable. An amendment to, or a mo-
tion to postpone, or a motion to proceed to the consideration 
of other business, or a motion to recommit the joint resolu-
tion is not in order. 
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(3) In the Senate, immediately following the conclu-
sion of the debate on a joint resolution described in sub-
section (a), and a single quorum call at the conclusion of 
the debate if requested in accordance with the rules of the 
Senate, the vote on final passage of the joint resolution shall 
occur. 
(4) Appeals from the decisions of the Chair relating 
to the application of the rules of the Senate to the procedure 
relating to a joint resolution described in subsection (a) 
shall be decided without debate. 
(e) In the House of Representatives, if any committee 
to which a joint resolution described in subsection (a) has 
been referred has not reported it to the House at the end 
of 15 legislative days after its introduction, such committee 
shall be discharged from further consideration of the joint 
resolution, and it shall be placed on the appropriate cal-
endar. On the second and fourth Thursdays of each month 
it shall be in order at any time for the Speaker to recognize 
a Member who favors passage of a joint resolution that has 
appeared on the calendar for at least 5 legislative days to 
call up that joint resolution for immediate consideration 
in the House without intervention of any point of order. 
When so called up a joint resolution shall be considered as 
read and shall be debatable for 1 hour equally divided and 
controlled by the proponent and an opponent, and the pre-
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vious question shall be considered as ordered to its passage 
without intervening motion. It shall not be in order to re-
consider the vote on passage. If a vote on final passage of 
the joint resolution has not been taken by the third Thurs-
day on which the Speaker may recognize a Member under 
this subsection, such vote shall be taken on that day. 
(f)(1) If, before passing a joint resolution described in 
subsection (a), one House receives from the other a joint 
resolution having the same text, then— 
(A) the joint resolution of the other House shall 
not be referred to a committee; and 
(B) the procedure in the receiving House shall be 
the same as if no joint resolution had been received 
from the other House until the vote on passage, when 
the joint resolution received from the other House 
shall supplant the joint resolution of the receiving 
House. 
(2) This subsection shall not apply to the House of 
Representatives if the joint resolution received from the Sen-
ate is a revenue measure. 
(g) If either House has not taken a vote on final pas-
sage of the joint resolution by the last day of the period 
described in section 331(b)(2), then such vote shall be taken 
on that day. 
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(h) This section and section 333 are enacted by Con-
gress— 
(1) as an exercise of the rulemaking power of the 
Senate and House of Representatives, respectively, 
and as such is deemed to be part of the rules of each 
House, respectively, but applicable only with respect 
to the procedure to be followed in that House in the 
case of a joint resolution described in subsection (a) 
and superseding other rules only where explicitly so; 
and 
(2) with full recognition of the Constitutional 
right of either House to change the rules (so far as 
they relate to the procedure of that House) at any 
time, in the same manner and to the same extent as 
in the case of any other rule of that House. 
SEC. 333. CONGRESSIONAL DISAPPROVAL PROCEDURE FOR 
NONMAJOR RULES. 
(a) For purposes of this section, the term ‘‘joint resolu-
tion’’ means only a joint resolution introduced in the period 
beginning on the date on which the report referred to in 
section 331(a)(1)(A) is received by Congress and ending 60 
days thereafter (excluding days either House of Congress is 
adjourned for more than 3 days during a session of Con-
gress), the matter after the resolving clause of which is as 
follows: ‘‘That Congress disapproves the nonmajor rule sub-
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mitted by the lll relating to lll, and such rule 
shall have no force or effect.’’ (The blank spaces being appro-
priately filled in). 
(b) A joint resolution described in subsection (a) shall 
be referred to the committees in each House of Congress with 
jurisdiction. 
(c) In the Senate, if the committee to which is referred 
a joint resolution described in subsection (a) has not re-
ported such joint resolution (or an identical joint resolu-
tion) at the end of 15 session days after the date of introduc-
tion of the joint resolution, such committee may be dis-
charged from further consideration of such joint resolution 
upon a petition supported in writing by 30 Members of the 
Senate, and such joint resolution shall be placed on the cal-
endar. 
(d)(1) In the Senate, when the committee to which a 
joint resolution is referred has reported, or when a com-
mittee is discharged (under subsection (c)) from further con-
sideration of a joint resolution described in subsection (a), 
it is at any time thereafter in order (even though a previous 
motion to the same effect has been disagreed to) for a motion 
to proceed to the consideration of the joint resolution, and 
all points of order against the joint resolution (and against 
consideration of the joint resolution) are waived. The mo-
tion is not subject to amendment, or to a motion to post-
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pone, or to a motion to proceed to the consideration of other 
business. A motion to reconsider the vote by which the mo-
tion is agreed to or disagreed to shall not be in order. If 
a motion to proceed to the consideration of the joint resolu-
tion is agreed to, the joint resolution shall remain the unfin-
ished business of the Senate until disposed of. 
(2) In the Senate, debate on the joint resolution, and 
on all debatable motions and appeals in connection there-
with, shall be limited to not more than 10 hours, which 
shall be divided equally between those favoring and those 
opposing the joint resolution. A motion to further limit de-
bate is in order and not debatable. An amendment to, or 
a motion to postpone, or a motion to proceed to the consid-
eration of other business, or a motion to recommit the joint 
resolution is not in order. 
(3) In the Senate, immediately following the conclu-
sion of the debate on a joint resolution described in sub-
section (a), and a single quorum call at the conclusion of 
the debate if requested in accordance with the rules of the 
Senate, the vote on final passage of the joint resolution shall 
occur. 
(4) Appeals from the decisions of the Chair relating 
to the application of the rules of the Senate to the procedure 
relating to a joint resolution described in subsection (a) 
shall be decided without debate. 
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