101
(B) by striking ‘‘1/3’’ and inserting ‘‘1/4’’. 
(b) PROSPECTIVE
APPLICATION.—The amendment 
made by subsection (a) shall not apply to the term of office 
in which any director of a Federal home loan bank is serv-
ing as of the date of the enactment of this Act, including 
any director elected or appointed to fill a vacancy in any 
such term of office.
SEC. 618. BIENNIAL REPORTS ON THE STATUS OF AGENCY 
EMPLOYMENT OF MINORITIES AND WOMEN. 
(a) IN GENERAL.—Before December 31, 2003, and the 
end of each 2-year period beginning after such date, each 
Federal banking agency shall submit a report to the Con-
gress on the status of the employment by the agency of mi-
nority individuals and women. 
(b) FACTORS TO BE INCLUDED.—The report shall in-
clude a detailed assessment of each of the following: 
(1) The extent of hiring of minority individuals 
and women by the agency as of the time the report 
is prepared. 
(2) The successes achieved and challenges faced 
by the agency in operating minority and women out-
reach programs. 
(3) Challenges the agency may face in finding 
qualified minority individual and women applicants.
102
(4) Such other information, findings, and con-
clusions, and recommendations for legislative or agen-
cy action, as the agency may determine to be appro-
priate to include in the report. 
(c) DEFINITIONS.—For purposes of this section, the fol-
lowing definitions shall apply: 
(1) FEDERAL
BANKING
AGENCY.—The term 
‘‘Federal banking agency’’—
(A) has the same meaning as in section 3(z) 
of the Federal Deposit Insurance Act; and 
(B) includes the National Credit Union Ad-
ministration. 
(2) MINORITY.—The term ‘‘minority’’ has the 
same meaning as in section 1204(c)(3) of the Finan-
cial Institutions Reform, Recovery, and Enforcement 
Act of 1989. 
SEC. 619. COORDINATION OF STATE EXAMINATION AU-
THORITY. 
Section 10(h) of the Federal Deposit Insurance Act (12 
U.S.C. 1820(h)) is amended to read as follows: 
‘‘(h) COORDINATION OF EXAMINATION AUTHORITY.—
‘‘(1) IN GENERAL.—The appropriate State bank 
supervisor of the home State of an insured State bank 
has authority to examine and supervise the bank. The 
State bank supervisor of the home State of an insured
103
State bank shall exercise its authority to supervise 
and examine the branches of the bank in a host State 
in accordance with the terms of any applicable coop-
erative agreement between the home State bank super-
visor and the State bank supervisor of the relevant 
host State. Except as expressly provided in a coopera-
tive agreement between the State bank supervisors of 
the home State and host State(s) of an insured State 
bank, only the State bank supervisor of the home 
State of an insured State bank may levy or charge 
State supervisory fees on the bank. 
‘‘(2) HOST STATE EXAMINATION.—With respect 
to a branch operated in a host State by an out-of-
State insured State bank that resulted from an inter-
state merger transaction approved under section 44 or 
that was established in such State pursuant to section 
5155(g) of the Revised Statutes, the third undesig-
nated paragraph of section 9 of the Federal Reserve 
Act or section 18(d)(4) of this Act, the appropriate 
State bank supervisor of such host State may—
‘‘(A) with written notice to the State bank 
supervisor of the bank’s home State and subject 
to the terms of any applicable cooperative agree-
ment with the State bank supervisor of such 
home State, examine such branch for the purpose
104
of determining compliance with host State laws 
that are applicable pursuant to section 24(j) of 
this Act, including those that govern community 
reinvestment, fair lending, and consumer protec-
tion; and 
‘‘(B) if expressly permitted under and sub-
ject to the terms of a cooperative agreement with 
the State bank supervisor of the bank’s home 
State or if such out-of-State insured State bank 
has been determined to be in a troubled condi-
tion by either the State bank supervisor of the 
bank’s home State or the bank’s appropriate 
Federal banking agency, participate in the ex-
amination of the bank by the State bank super-
visor of the bank’s home State to ascertain that 
the activities of the branch in such host State are 
not conducted in an unsafe or unsound manner. 
The State bank supervisor of the home State of 
an insured State bank shall notify the State 
bank supervisor of each host State of the bank if 
there has been a final determination that the 
bank is in a troubled condition. The State bank 
supervisor of the bank’s home State shall provide 
such notice as soon as reasonably possible but in 
all cases within 15 business days after the State
105
bank supervisor has made such final determina-
tion or has received written notification of such 
final determination. 
‘‘(3) HOST STATE ENFORCEMENT.—If the State 
bank supervisor of a host State determines that a 
branch of an out-of-State State insured State bank is 
violating any law of the host State that is applicable 
to such branch pursuant to section 24(j) of this Act, 
including a law that governs community reinvest-
ment, fair lending, or consumer protection, the State 
bank supervisor of the host State or, to the extent au-
thorized by the law of the host State, a host State law 
enforcement officer may, with written notice to the 
State bank supervisor of the bank’s home State and
subject to the terms of any applicable cooperative 
agreement with the State bank supervisor of the 
bank’s home State, undertake such enforcement ac-
tions and proceedings as would be permitted under 
the law of the host State as if the branch were a bank 
chartered by that host State. 
‘‘(4) COOPERATIVE
AGREEMENT.—The State 
bank supervisors from 2 or more States may enter 
into cooperative agreements to facilitate State regu-
latory supervision of State banks, including coopera-
tive agreements relating to the coordination of exami-
106
nations and joint participation in examinations. For 
purposes of this subsection (h), the term ‘‘cooperative 
agreement’’ means a written agreement that is signed 
by the home State bank supervisor and host State 
bank supervisor to facilitate State regulatory super-
vision of State banks and includes nationwide or 
multi-state cooperative agreements and cooperative 
agreements solely between the home State and host 
State. Except for State bank supervisors, no provision 
of this subsection (h) relating to such cooperative 
agreements shall be construed as limiting in any way 
the authority of home and host State law enforcement 
officers, regulatory supervisors, or other officials that 
have not signed such cooperative agreements to enforce 
host State laws that are applicable to a branch of an 
out-of-State insured State bank located in the host 
State pursuant to section 24(j) of this Act. 
‘‘(5) FEDERAL
REGULATORY
AUTHORITY.—No 
provision of this subsection shall be construed as lim-
iting in any way the authority of any Federal bank-
ing agency. 
‘‘(6) STATE
TAXATION
AUTHORITY
NOT
AF-
FECTED.—No provision of this subsection (h) shall be 
construed as affecting the authority of any State or 
political subdivision of any State to adopt, apply, or
107
administer any tax or method of taxation to any 
bank, bank holding company, or foreign bank, or any 
affiliate of any bank, bank holding company, or for-
eign bank, to the extent such tax or tax method is oth-
erwise permissible by or under the Constitution of the 
United States or other Federal law. 
‘‘(7) DEFINITIONS.—For purpose of this section, 
the following definition shall apply: 
‘‘(A) The terms ‘host State’, ‘home State’, 
and ‘out-of-State bank’ have the same meanings 
as in section 44(g). 
‘‘(B) The term ‘State supervisory fees’ 
means assessments, examination fees, branch fees, 
license fees, and all other fees that are levied or 
charged by a State bank supervisor directly upon 
an insured State bank or upon branches of an 
insured State bank. 
‘‘(C) Solely for purposes of subparagraph 
(2)(B) of this subsection (h), an insured State 
bank has been determined to be in ‘troubled con-
dition’ if the bank—
‘‘(i) has a composite rating, as deter-
mined in its most recent report of examina-
tion, of 4 or 5 under the Uniform Financial 
Institutions Ratings System (UFIRS); or
108
‘‘(ii) is subject to a proceeding initi-
ated by the Corporation for termination or 
suspension of deposit insurance; or 
‘‘(iii) is subject to a proceeding initi-
ated by the State bank supervisor of the 
bank’s home State to vacate, revoke, or ter-
minate the charter of the bank, or to liq-
uidate the bank, or to appoint a receiver for 
the bank. 
‘‘(D) For the purposes of paragraph (2)(B), 
the term ‘final determination’ means the trans-
mittal of a Report of Examination to the bank 
or transmittal of official notice of proceedings to 
the bank.’’.
TITLE VII—CLERICAL AND 
TECHNICAL AMENDMENTS 
SEC. 701. CLERICAL AMENDMENTS TO THE HOME OWNERS’ 
LOAN ACT. 
(a) AMENDMENT TO TABLE OF CONTENTS.—The table 
of contents in section 1 of the Home Owners’ Loan Act (12 
U.S.C. 1461) is amended by striking the items relating to 
sections 5 and 6 and inserting the following new items:
‘‘Sec. 5. Savings associations. 
‘‘Sec. 6. [Repealed.]’’.
(b) CLERICAL AMENDMENTS TO HEADINGS.—
109
(1) The heading for section 4(a) of the Home 
Owners’ Loan Act (12 U.S.C. 1463(a)) is amended by 
striking ‘‘(a) FEDERAL SAVINGS ASSOCIATIONS.—’’ 
and inserting ‘‘(a) GENERAL RESPONSIBILITIES OF 
THE DIRECTOR.—’’. 
(2) The section heading for section 5 of the Home 
Owners’ Loan Act (12 U.S.C. 1464) is amended to 
read as follows: 
‘‘SEC. 5. SAVINGS ASSOCIATIONS.’’. 
SEC. 702. TECHNICAL CORRECTIONS TO THE FEDERAL 
CREDIT UNION ACT. 
The Federal Credit Union Act (12 U.S.C. 1751 et seq.) 
is amended as follows: 
(1) In section 101(3), strike ‘‘and’’ after the 
semicolon.
(2) In section 101(5), strike the terms ‘‘account 
account’’ and ‘‘account accounts’’ each place any such 
term appears and insert ‘‘account’’. 
(3) In section 107(a)(5)(E) (as so designated by 
section 303 of this Act), strike the period at the end 
and insert a semicolon.
(4) In paragraphs (6) and (7) of section 107(a) 
(as so designated by section 303 of this Act), strike the 
period at the end and insert a semicolon.
110
(5) In section 107(a)(7)(D) (as so designated by 
section 303 of this Act), strike ‘‘the Federal Savings 
and Loan Insurance Corporation or’’. 
(6) In section 107(a)(7)(E) (as so designated by 
section 303 of this Act), strike ‘‘the Federal Home 
Loan Bank Board,’’ and insert ‘‘the Federal Housing 
Finance Board,’’. 
(7) In section 107(a)(9) (as so designated by sec-
tion 303 of this Act), strike ‘‘subchapter III’’ and in-
sert ‘‘title III’’. 
(8) In section 107(a)(13) (as so designated by 
section 303 of this Act), strike the ‘‘and’’ after the 
semicolon at the end. 
(9) In section 109(c)(2)(A)(i), strike ‘‘(12 U.S.C. 
4703(16))’’. 
(10) In section 120(h), strike ‘‘under the Act ap-
proved July 30, 1947 (6 U.S.C., secs. 6–13),’’ and in-
sert ‘‘chapter 93 of title 31, United States Code,’’. 
(11) In section 201(b)(5), strike ‘‘section 116 of’’. 
(12) 
In 
section 
202(h)(3), 
strike 
‘‘section 
207(c)(1)’’ and insert ‘‘section 207(k)(1)’’. 
(13) In section 204(b), strike ‘‘such others pow-
ers’’ and insert ‘‘such other powers’’. 
(14) In section 206(e)(3)(D), strike ‘‘and’’ after 
the semicolon at the end.
111
(15) In section 206(f)(1), strike ‘‘subsection 
(e)(3)(B)’’ and insert ‘‘subsection (e)(3)’’. 
(16) In section 206(g)(7)(D), strike ‘‘and sub-
section (1)’’. 
(17) In section 206(t)(2)(B), insert ‘‘regulations’’ 
after ‘‘as defined in’’. 
(18) In section 206(t)(2)(C), strike ‘‘material af-
fect’’ and insert ‘‘material effect’’. 
(19) In section 206(t)(4)(A)(ii)(II), strike ‘‘or’’ 
after the semicolon at the end. 
(20) In section 206A(a)(2)(A), strike ‘‘regulator 
agency’’ and insert ‘‘regulatory agency’’. 
(21) In section 207(c)(5)(B)(i)(I), insert ‘‘and’’ 
after the semicolon at the end. 
(22) In section 207(c)(8)(D)(ii)(I), insert a clos-
ing parenthesis after ‘‘Act of 1934’’. 
(23) In the heading for subparagraph (A) of sec-
tion 207(d)(3), strike ‘‘TO’’ and insert ‘‘WITH’’. 
(24) In section 207(f)(3)(A), strike ‘‘category or 
claimants’’ and insert ‘‘category of claimants’’. 
(25) In section 209(a)(8), strike the period at the 
end and insert a semicolon. 
(26) In section 216(n), insert ‘‘any action’’ be-
fore ‘‘that is required’’.
112
(27) In section 304(b)(3), strike ‘‘the affairs or 
such credit union’’ and insert ‘‘the affairs of such 
credit union’’. 
(28) In section 310, strike ‘‘section 102(e)’’ and 
insert ‘‘section 102(d)’’. 
SEC. 703. OTHER TECHNICAL CORRECTIONS. 
(a) Section 1306 of title 18, United States Code, is 
amended by striking ‘‘5136A’’ and inserting ‘‘5136B’’. 
(b) Section 5239 of the Revised Statutes of the United 
States (12 U.S.C. 93) is amended by redesignating the sec-
ond of the 2 subsections designated as subsection (d) (as 
added by section 331(b)(3) of the Riegle Community Devel-
opment and Regulatory Improvement Act of 1994) as sub-
section (e). 
SEC. 704. REPEAL OF OBSOLETE PROVISIONS OF THE BANK 
HOLDING COMPANY ACT OF 1956. 
(a) IN GENERAL.—Section 2 of the Bank Holding 
Company Act of 1956 (12 U.S.C. 1841) is amended—
(1) in subsection (c)(2), by striking subpara-
graphs (I) and (J); and 
(2) by striking subsection (m) and inserting the 
following new subsection: 
‘‘(m) [Repealed]’’. 
(b) TECHNICAL
AND CONFORMING AMENDMENTS.—
Paragraphs (1) and (2) of section 4(h) of the Bank Holding