646 
(A) a small business concern (as defined 
under section 3 of the Small Business Act (15 
U.S.C. 632); 
(B) a family farm; 
(C) an independent contractor; and 
(D) any other class of businesses to which 
the Board of Governors determines loans would 
promote full employment and price stability. 
SEC. 202. SMALL BUSINESS FINANCIAL ASSISTANCE PRO-
GRAM. 
(a) IN GENERAL.—The Secretary of the Treasury 
shall establish a Small Business Financial Assistance Pro-
gram under which the Secretary shall provide loans and 
loan guarantees to small businesses. 
(b) APPLICATION.—In making loans and loan guar-
antees under this section, the Secretary shall— 
(1) provide a simple application process for bor-
rowers; and 
(2) establish clear and easy to understand un-
derwriting standards for such loans. 
(c) ZERO-INTEREST LOANS.—Loans made by or 
guaranteed by the Secretary under this section shall be 
zero-interest loans, if the small business receiving such 
loan does not involuntarily terminate any employee of the 
small business during the COVID–19 emergency. 
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647 
(d) ADVANCE.— 
(1) IN GENERAL.—Upon request from an appli-
cant for a loan under this section, the Secretary may 
provide to such applicant an advance, in cash, to 
such applicant. 
(2) AMOUNT.—An advance provided under 
paragraph (1) shall be in an amount equal to the 
revenue of the applicant for the period beginning 
January 1, 2020 and ending January 31, 2020. 
(3) PROCEDURES.— 
(A) REVIEW.—The Secretary shall have 1 
week from the receipt of a request for an ad-
vance under paragraph (1) to conduct a risk as-
sessment of the applicant to determine whether 
to approve or deny such request. 
(B) APPROVAL.—If the Secretary does not 
deny a request under subparagraph (A), the ad-
vance shall be directly deposited into the ac-
count identified by the applicant. 
(C) REMAINING FUNDS.—Not later than 4 
weeks after approving a request of an applicant 
under subparagraph (A), the Secretary shall 
disburse the remaining funds to such applicant. 
(e) FORGIVENESS.—If small business that receives a 
loan or loan guarantee under this section demonstrates to 
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648 
the Secretary that the number of full-time employees of 
such small business on the date such small business sub-
mitted an application under this section is greater than 
or equal to the number of full-time employees of such 
small business on the date that is 1 year after the date 
of such submission, the Secretary shall forgive the remain-
ing outstanding principal and interest on such loan or loan 
guarantee. 
(f) 
FUNDING.—The 
Secretary 
shall 
use 
$50,000,000,000 from the Exchange Stabilization Fund, 
without further appropriation, to carry out this section. 
(g) DEFINITIONS.—In this section: 
(1) 
COVID–19 
EMERGENCY.—The 
term 
‘‘COVID–19 emergency’’ means the period that— 
(A) begins on the declaration of the emer-
gency declared on March 13, 2020, by the 
President under the Robert T. Stafford Dis-
aster Relief and Emergency Assistance Act (42 
U.S.C. 
4121 
et 
seq.) 
relating 
to 
the 
Coronavirus Disease 2019 (COVID–19) pan-
demic; and 
(B) ends on the termination by the Federal 
Emergency Management Agency of such emer-
gency. 
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649 
(2) SMALL BUSINESS.—The term ‘‘small busi-
ness’’ means— 
(A) a small business concern (as defined 
under section 3 of the Small Business Act (15 
U.S.C. 632); 
(B) a family farm; and 
(C) an independent contractor. 
SEC. 203. LOAN AND OBLIGATION PAYMENT RELIEF FOR 
AFFECTED SMALL BUSINESSES AND NON- 
PROFITS. 
(a) IN GENERAL.— 
(1) IN
GENERAL.—During the COVID–19 
emergency, a debt collector may not, with respect to 
a debt of a small business or non-profit (other than 
debt related to a federally related mortgage loan)— 
(A) capitalize unpaid interest; 
(B) apply a higher interest rate triggered 
by the nonpayment of a debt to the debt bal-
ance; 
(C) charge a fee triggered by the non-
payment of a debt; 
(D) sue or threaten to sue for nonpayment 
of a debt; 
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(E) continue litigation to collect a debt 
that was initiated before the date of enactment 
of this section; 
(F) submit or cause to be submitted a con-
fession of judgment to any court; 
(G) enforce a security interest through re-
possession, limitation of use, or foreclosure; 
(H) take or threaten to take any action to 
enforce collection, or any adverse action for 
nonpayment of a debt, or for nonappearance at 
any hearing relating to a debt; 
(I) commence or continue any action to 
cause or to seek to cause the collection of a 
debt, including pursuant to a court order issued 
before the end of the 120-day period following 
the end of the COVID–19 emergency, from 
wages, Federal benefits, or other amounts due 
to a small business or non-profit by way of gar-
nishment, deduction, offset, or other seizure; 
(J) cause or seek to cause the collection of 
a debt, including pursuant to a court order 
issued before the end of the 120-day period fol-
lowing the end of the COVID–19 emergency, by 
levying on funds from a bank account or seizing 
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651 
any other assets of a small business or non- 
profit; 
(K) commence or continue an action to 
evict a small business or non-profit from real or 
personal property; or 
(L) disconnect or terminate service from 
utility service, including electricity, natural gas, 
telecommunications or broadband, water, or 
sewer. 
(2) RULE OF CONSTRUCTION.—Nothing in this 
subsection may be construed to prohibit a small 
business or non-profit from voluntarily paying, in 
whole or in part, a debt. 
(3) REPAYMENT PERIOD.—After the expiration 
of the COVID–19 emergency, with respect to a debt 
described under paragraph (1), a debt collector— 
(A) may not add to the debt balance any 
interest or fee prohibited by paragraph (1); 
(B) shall, for credit with a defined term or 
payment period, extend the time period to repay 
the debt balance by 1 payment period for each 
payment that a small business or non-profit 
missed during the COVID–19 emergency, with 
the payments due in the same amounts and at 
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652 
the same intervals as the pre-existing payment 
schedule; 
(C) shall, for an open end credit plan (as 
defined under section 103 of the Truth in 
Lending Act) or other credit without a defined 
term, allow the small business or non-profit to 
repay the debt balance in a manner that does 
not exceed the amounts permitted by formulas 
under section 170(c) of the Truth in Lending 
Act and regulations promulgated thereunder; 
and 
(D) shall, when the small business or non- 
profit notifies the debt collector, offer reason-
able and affordable repayment plans, loan 
modifications, refinancing, options with a rea-
sonable time in which to repay the debt. 
(4) COMMUNICATIONS
IN
CONNECTION
WITH 
THE COLLECTION OF A DEBT.— 
(A) IN GENERAL.—During the COVID–19 
emergency, without prior consent of a small 
business or non-profit given directly to a debt 
collector during the COVID–19 emergency, or 
the express permission of a court of competent 
jurisdiction, a debt collector may only commu-
nicate in writing in connection with the collec-
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653 
tion of any debt (other than debt related to a 
federally related mortgage loan). 
(B) REQUIRED DISCLOSURES.— 
(i) IN GENERAL.—All written commu-
nications described under subparagraph 
(A) shall inform the small business or non- 
profit that the communication is for infor-
mational purposes and is not an attempt to 
collect a debt. 
(ii) REQUIREMENTS.—The disclosure 
required under clause (i) shall be made— 
(I) in type or lettering not small-
er than 14-point bold type; 
(II) separate from any other dis-
closure; 
(III) in a manner designed to en-
sure that the recipient sees the disclo-
sure clearly; 
(IV) in English and Spanish and 
in any additional languages in which 
the debt collector communicates, in-
cluding the language in which the 
loan was negotiated, to the extent 
known by the debt collector; and 
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654 
(V) may be provided by first- 
class mail or electronically, if the bor-
rower has otherwise consented to elec-
tronic communication with the debt 
collector and has not revoked such 
consent. 
(iii) ORAL NOTIFICATION.—Any oral 
notification shall be provided in the lan-
guage the debt collector otherwise uses to 
communicate with the borrower. 
(iv) 
WRITTEN
TRANSLATIONS.—In 
providing written notifications in languages 
other than English in this Section, a debt 
collector may rely on written translations 
developed by the Bureau of Consumer Fi-
nancial Protection. 
(5) VIOLATIONS.— 
(A) IN
GENERAL.—Any person who vio-
lates this section shall— 
(i) except as provided under clause 
(ii), be subject to civil liability in accord-
ance with section 813 of the Fair Debt 
Collection Practices Act, as if the person is 
a debt collector for purposes of that sec-
tion. 
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655 
(B) PREDISPUTE
ARBITRATION
AGREE-
MENTS.—Notwithstanding any other provision 
of law, no predispute arbitration agreement or 
predispute joint-action waiver shall be valid or 
enforceable with respect to a dispute brought 
under this section, including a dispute as to the 
applicability of this section, which shall be de-
termined under Federal law. 
(6) TOLLING.—Except as provided in para-
graph (7)(D), any applicable time limitations, in-
cluding statutes of limitations, related to a debt 
under Federal or State law shall be tolled during the 
COVID–19 emergency. 
(7) CLAIMS
OF
AFFECTED
CREDITORS
AND 
DEBT COLLECTORS.— 
(A) VALUATION OF PROPERTY.—With re-
spect to any action asserting a taking under the 
Fifth Amendment of the Constitution of the 
United States as a result of this section or 
seeking a declaratory judgment regarding the 
constitutionality of this section, the value of the 
property alleged to have been taken without 
just compensation shall be evaluated— 
(i) with consideration of the likelihood 
of full and timely payment of the obliga-
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656 
tion without the actions taken pursuant to 
this section; and 
(ii) without consideration of any as-
sistance provided directly or indirectly to 
the small business or non-profit from other 
Federal, State, and local government pro-
grams instituted or legislation enacted in 
response to the COVID–19 emergency. 
(B) SCOPE OF JUST COMPENSATION.—In 
an action described in subparagraph (A), any 
assistance or benefit provided directly or indi-
rectly to the person from other Federal, State, 
and local government programs instituted in or 
legislation enacted response to the COVID–19 
emergency, shall be deemed to be compensation 
for the property taken, even if such assistance 
or benefit is not specifically provided as com-
pensation for property taken by this section. 
(C) APPEALS.—Any appeal from an action 
under this section shall be treated under section 
158 of title 28, United States Code, as if it 
were an appeal in a case under title 11, United 
States Code. 
(D) REPOSE.—Any action asserting a tak-
ing under the Fifth Amendment to the Con-
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657 
stitution of the United States as a result of this 
section shall be brought within not later than 
180 days after the end of the COVID–19 emer-
gency. 
(8) DEFINITIONS.—In this section: 
(A) COVID–19 EMERGENCY.—The term 
‘‘COVID–19 emergency’’ means the period that 
begins upon the date of the enactment of this 
Act and ends on the date of the termination by 
the Federal Emergency Management Agency of 
the emergency declared on March 13, 2020, by 
the President under the Robert T. Stafford Dis-
aster Relief and Emergency Assistance Act (42 
U.S.C. 
4121 
et 
seq.) 
relating 
to 
the 
Coronavirus Disease 2019 (COVID–19) pan-
demic. 
(B) 
CREDITOR.—The 
term 
‘‘creditor’’ 
means— 
(i) any person who offers or extends 
credit creating a debt or to whom a debt 
is owed or other obligation for payment; 
(ii) any lessor of real or personal 
property; or 
(iii) any provider of utility services. 
(C) DEBT.—The term ‘‘debt’’— 
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658 
(i) means any obligation or alleged ob-
ligation— 
(I) for which the original agree-
ment, or if there is no agreement, the 
original obligation to pay was created 
before or during the COVID–19 emer-
gency, whether or not such obligation 
has been reduced to judgment; and 
(II) that arises out of a trans-
action with a small business or non- 
profit; and 
(ii) does not include a federally re-
lated mortgage loan. 
(D) DEBT COLLECTOR.—The term ‘‘debt 
collector’’ means a creditor, and any person or 
entity that engages in the collection of debt, in-
cluding the Federal Government and a State 
government, irrespective of whether the debt is 
allegedly owed to or assigned to that person or 
to the entity. 
(E) 
FEDERALLY
RELATED
MORTGAGE 
LOAN.—The term ‘‘federally related mortgage 
loan’’ has the meaning given that term under 
section 3 of the Real Estate Settlement Proce-
dures Act of 1974 (12 U.S.C. 2602). 
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659 
(F) NON-PROFIT.—The term ‘‘non-profit’’ 
means an organization described in section 
501(c)(3) of the Internal Revenue Code of 1986 
and exempt from taxation under section 501(a) 
of such Code. 
(G) SMALL BUSINESS.—The term ‘‘small 
business’’ has the meaning given the term 
‘‘small business concern’’ under section 3 of the 
Small Business Act. 
(b) CREDIT FACILITY FOR OTHER PURPOSES.—The 
Board of Governors of the Federal Reserve System shall 
establish a facility that the Board of Governors shall use 
to make payments to holders of loans or obligations to 
compensate such holders for documented financial 
losses— 
(1) with respect to a loan made to an indi-
vidual, small business, or non-profit; and 
(2) where such losses were caused by a suspen-
sion of payments required under Federal law in con-
nection with the COVID–19 emergency. 
SEC. 204. REAUTHORIZATION OF THE STATE SMALL BUSI-
NESS CREDIT INITIATIVE ACT OF 2010. 
The State Small Business Credit Initiative Act of 
2010 (15 U.S.C. 5701 et seq.) is amended— 
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660 
(1) by striking ‘‘2009 allocation’’ each place 
such term appears and inserting ‘‘2019 allocation’’; 
(2) by striking ‘‘2010 allocation’’ each place 
such term appears and inserting ‘‘2020 allocation’’; 
(3) by striking ‘‘date of enactment of this Act’’ 
each place it appears and inserting ‘‘date of the en-
actment of the Small Business Support and Access 
to Capital Act of 2020’’; 
(4) by striking ‘‘date of the enactment of this 
Act’’ each place it appears and inserting ‘‘date of 
the enactment of the Small Business Support and 
Access to Capital Act of 2020’’; 
(5) in section 3003(b)(2)— 
(A) in the section heading, by striking 
‘‘2009 ALLOCATION FORMULA’’ and inserting 
striking ‘‘2019 ALLOCATION FORMULA’’; 
(B) by striking ‘‘2008 State employment 
decline’’ each place such term appears and in-
serting ‘‘2018 State employment decline’’; 
(C) in subparagraph (A), by striking 
‘‘2009 allocation’’ and inserting ‘‘2019 alloca-
tion’’; and 
(D) in subparagraph (C)— 
(i) in the subparagraph heading, by 
striking ‘‘2008
STATE
EMPLOYMENT
DE-
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661 
CLINE
DEFINED’’ and inserting ‘‘2018 
STATE EMPLOYMENT DECLINE DEFINED’’; 
(ii) in clause (i), by striking ‘‘Decem-
ber 
2007’’ 
and 
inserting 
‘‘December 
2017’’; and 
(iii) in clause (ii), by striking ‘‘Decem-
ber 
2008’’ 
and 
inserting 
‘‘December 
2018’’; 
(6) in section 3003(b)(3)— 
(A) in the section heading, by striking 
‘‘2010 ALLOCATION FORMULA’’ and inserting 
striking ‘‘2020 ALLOCATION FORMULA’’; 
(B) by striking ‘‘2009 unemployment num-
ber’’ each place such term appears and insert-
ing ‘‘2019 unemployment number’’; and 
(C) in subparagraph (C)— 
(i) in the subparagraph heading, by 
striking ‘‘2009
UNEMPLOYMENT
NUMBER 
DEFINED’’ and inserting ‘‘2019 UNEMPLOY-
MENT NUMBER DEFINED’’; and 
(ii) by striking ‘‘December 2009’’ and 
inserting ‘‘December 2019’’; 
(7) in section 3005(e), by striking ‘‘to the Sec-
retary a report’’ and inserting ‘‘to the Secretary and 
Congress a report’’; 
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662 
(8) in section 3007— 
(A) in subsection (a)(1), by striking ‘‘ to 
the Secretary a report’’ and inserting ‘‘to the 
Secretary and Congress a report’’; and 
(B) in subsection (b)— 
(i) by striking ‘‘March 31, 2011’’ and 
inserting ‘‘March 31, 2021’’; and 
(ii) by striking ‘‘to the Secretary’’ and 
inserting ‘‘to the Secretary and Congress’’; 
and 
(9) in section 3009— 
(A) 
in 
subsection 
(b), 
by 
striking 
‘‘$1,500,000,000’’ 
and 
inserting 
‘‘$10,000,000,000’’; 
(B) in subsection (c), by adding at the end 
the following new sentence: ‘‘At the end of such 
period, any amounts that remain unexpended or 
unobligated shall be transferred to the Commu-
nity Development Financial Institutions Fund 
established under section 104(a) of the Riegle 
Community Development and Regulatory Im-
provement Act of 1994.’’. 
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663 
SEC. 205. FUNDING OF THE INITIATIVE TO BUILD GROWTH 
EQUITY FUNDS FOR MINORITY BUSINESSES. 
(a) GRANT.—The Minority Business Development 
Agency shall provide a grant of $3,000,0000,000 to fully 
implement the Initiative to Build Growth Equity Funds 
for Minority Businesses (the ‘‘Initiative’’; award number 
MB19OBD8020113), including to use such amounts as 
capital for the Equity Funds. 
(b) ADMINISTRATIVE EXPENSES.—Of the amounts 
provided under subsection (a), the grant recipient may use 
not more than 2.25 percent of such amount for adminis-
trative expenses, of which— 
(1) not more than 1.5 percent per annum may 
be used for fees to be paid to investment managers 
for fund investment activities, including deal 
sourcing, due diligence, investment monitoring, and 
investment reporting; and 
(2) not more than 0.75 percent per annum may 
be used for fund administration activities by the 
grant recipient, including fund manager evaluation, 
selection, monitoring, and overall fund program 
management. 
(c) TREATMENT
OF INTEREST.—Notwithstanding 
any other provision of law, with the approval of the Minor-
ity Business Development Agency, grant funds made 
available under subsection (a) may be deposited in inter-
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664 
est-bearing accounts pending disbursement, and any inter-
est which accrues may be retained without returning such 
interest to the Treasury of the United States and interest 
earned may be obligated and expended for the purposes 
for which the grant was made available without further 
appropriation. 
(d) REPORTING AND AUDIT REQUIREMENTS.— 
(1) REPORTING BY RECIPIENT.—The grant re-
cipient under this section shall issue a report to the 
Minority Business Development Agency every 6 
months detailing the use of grant funds received 
under this section and any other information that 
the Minority Business Development Agency may re-
quire. 
(2) ANNUAL REPORT TO CONGRESS.—The Mi-
nority Business Development Agency shall issue an 
annual report to the Congress containing the infor-
mation received under paragraph (1) and an anal-
ysis of the implementation of the Initiative. 
(3) GAO AUDIT.—The Comptroller General of 
the United States shall, every 2 years, carry out an 
audit of the Initiative and issue a report to the Con-
gress and the Minority Business Development Agen-
cy containing the results of such audit. 
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665 
(4) FUND
MANAGERS.—Fund managers shall 
annually report on their fund management activities, 
including— 
(A) fund performance; 
(B) impacts of capital investments by in-
dustry and geography; 
(C) racial, ethnic, and gender demo-
graphics of minority businesses receiving capital 
from the Initiative; and 
(D) any other ancillary and economic bene-
fits of capital investments from the Initiative. 
(e) FUNDING.—There is authorized to be appro-
priated to the Minority Business Development Agency 
$3,000,000,000 to make the grant described under sub-
section (a). 
SEC. 206. COMMUNITY DEVELOPMENT FINANCIAL INSTITU-
TIONS FUND SUPPLEMENTAL APPROPRIA-
TION AUTHORIZATION. 
There 
is 
authorized 
to 
be 
appropriated 
$1,000,000,000 for fiscal year 2020, for providing finan-
cial assistance and technical assistance under subpara-
graphs (A) and (B) of section 108(a)(1) of the Community 
Development Banking and Financial Institutions Act of 
1994 (12 U.S.C. 4707(a)(1)), except that subsections (d) 
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666 
and (e) of such section 108 shall not apply to the provision 
of such assistance. 
SEC. 207. MINORITY DEPOSITORY INSTITUTION. 
(a) SENSE OF CONGRESS ON FUNDING THE LOAN- 
LOSS RESERVE FUND FOR SMALL DOLLAR LOANS.—The 
sense of Congress is the following: 
(1) The Community Development Financial In-
stitutions Fund (the ‘‘CDFI Fund’’) is an agency of 
the Department of the Treasury, and was estab-
lished by the Riegle Community Development and 
Regulatory Improvement Act of 1994. The mission 
of the CDFI Fund is ‘‘to expand economic oppor-
tunity for underserved people and communities by 
supporting the growth and capacity of a national 
network of community development lenders, inves-
tors, and financial service providers’’. A community 
development financial institution (a ‘‘CDFI’’) is a 
specialized financial institution serving low-income 
communities and a Community Development Entity 
(a ‘‘CDE’’) is a domestic corporation or partnership 
that is an intermediary vehicle for the provision of 
loans, investments, or financial counseling in low-in-
come communities. The CDFI Fund certifies CDFIs 
and CDEs. Becoming a certified CDFI or CDE al-
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667 
lows organizations to participate in various CDFI 
Fund programs as follows: 
(A) The Bank Enterprise Award Program, 
which provides FDIC-insured depository institu-
tions awards for a demonstrated increase in 
lending and investments in distressed commu-
nities and CDFIs. 
(B) The CDFI Program, which provides 
Financial and Technical Assistance awards to 
CDFIs to reinvest in the CDFI, and to build 
the capacity of the CDFI, including financing 
product development and loan loss reserves. 
(C) The Native American CDFI Assistance 
Program, which provides CDFIs and spon-
soring entities Financial and Technical Assist-
ance awards to increase lending and grow the 
number of CDFIs owned by Native Americans 
to help build capacity of such CDFIs. 
(D) The New Market Tax Credit Program, 
which provides tax credits for making equity in-
vestments in CDEs that stimulate capital in-
vestments in low-income communities. 
(E) The Capital Magnet Fund, which pro-
vides awards to CDFIs and nonprofit affordable 
housing organizations to finance affordable 
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housing solutions and related economic develop-
ment activities. 
(F) The Bond Guarantee Program, a 
source of long-term, patient capital for CDFIs 
to expand lending and investment capacity for 
community and economic development purposes. 
(2) The Department of the Treasury is author-
ized to create multi-year grant programs designed to 
encourage low-to-moderate income individuals to es-
tablish accounts at federally insured banks, and to 
improve low-to-moderate income individuals’ access 
to such accounts on reasonable terms. 
(3) Under this authority, grants to participants 
in CDFI Fund programs may be used for loan-loss 
reserves and to establish small-dollar loan programs 
by subsidizing related losses. These grants also allow 
for the providing recipients with the financial coun-
seling and education necessary to conduct trans-
actions and manage their accounts. These loans pro-
vide low-cost alternatives to payday loans and other 
nontraditional forms of financing that often impose 
excessive interest rates and fees on borrowers, and 
lead millions of Americans to fall into debt traps. 
Small-dollar loans can only be made pursuant to 
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669 
terms, conditions, and practices that are reasonable 
for the individual consumer obtaining the loan. 
(4) Program participation is restricted to eligi-
ble institutions, which are limited to organizations 
listed in section 501(c)(3) of the Internal Revenue 
Code and exempt from tax under 501(a) of such 
Code, federally insured depository institutions, com-
munity development financial institutions and State, 
local, or Tribal government entities. 
(5) Since its founding, the CDFI Fund has 
awarded over $3,300,000,000 to CDFIs and CDEs, 
allocated $54,000,000,000 in tax credits, and 
$1,510,000,000 in bond guarantees. According to 
the CDFI Fund, some programs attract as much as 
$10 in private capital for every $1 invested by the 
CDFI Fund. The Administration and the Congress 
should prioritize appropriation of funds for the loan 
loss reserve fund and technical assistance programs 
administered by the Community Development Finan-
cial Institution Fund, as included in the version of 
the ‘‘Financial Services and General Government 
Appropriations Act, 2020’’ (H.R. 3351) that passed 
the House of Representatives on June, 26, 2019. 
(b) DEFINITIONS.—In this section: 
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(1) COMMUNITY DEVELOPMENT FINANCIAL IN-
STITUTION.—The term ‘‘community development fi-
nancial institution’’ has the meaning given under 
section 103 of the Riegle Community Development 
and Regulatory Improvement Act of 1994 (12 
U.S.C. 4702). 
(2) MINORITY DEPOSITORY INSTITUTION.—The 
term ‘‘minority depository institution’’ has the 
meaning given under section 308 of the Financial 
Institutions Reform, Recovery, and Enforcement Act 
of 1989 (12 U.S.C. 1463 note), as amended by this 
Act. 
(c) INCLUSION OF WOMEN’S BANKS IN THE DEFINI-
TION OF MINORITY DEPOSITORY INSTITUTION.—Section 
308(b)(1) of the Financial Institutions Reform, Recovery, 
and Enforcement Act of 1989 (12 U.S.C. 1463 note) is 
amended— 
(1) by redesignating subparagraphs (A), (B), 
and (C) as clauses (i), (ii), and (iii), respectively; 
(2) by striking ‘‘means any’’ and inserting the 
following: ‘‘means— 
‘‘(A) any’’; and 
(3) in clause (iii) (as so redesignated), by strik-
ing the period at the end and inserting ‘‘; or’’; and 
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671 
(4) by inserting at the end the following new 
subparagraph: 
‘‘(B) any bank described in clause (i), (ii), 
or (iii) of section 19(b)(1)(A) of the Federal 
Reserve Act— 
‘‘(i) more than 50 percent of the out-
standing shares of which are held by 1 or 
more women; and 
‘‘(ii) the majority of the directors on 
the board of directors of which are 
women.’’. 
(d) ESTABLISHMENT OF IMPACT BANK DESIGNA-
TION.— 
(1) IN
GENERAL.—Each appropriate Federal 
banking agency shall establish a program under 
which a depository institution with total consolidated 
assets of less than $10,000,000,000 may elect to be 
designated as an impact bank if 50 percent or more 
of the loans extended by such covered bank are ex-
tended to low-income borrowers. 
(2) DESIGNATION.—Based on data obtained 
through examinations, an appropriate Federal bank-
ing agency shall submit a notification to a depository 
institution stating that the depository institution 
qualifies for designation as an impact bank. 
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672 
(3) APPLICATION.—A depository institution 
that does not receive a notification described in 
paragraph (2) may submit an application to the ap-
propriate Federal banking agency demonstrating 
that the depository institution qualifies for designa-
tion as an impact bank. 
(4) ADDITIONAL DATA OR OVERSIGHT.—A de-
pository institution is not required to submit addi-
tional data to an appropriate Federal banking agen-
cy or be subject to additional oversight from such an 
agency if such data or oversight is related specifi-
cally and solely for consideration for a designation 
as an impact bank. 
(5) REMOVAL OF DESIGNATION.—If an appro-
priate Federal banking agency determines that a de-
pository institution designated as an impact bank no 
longer meets the criteria for such designation, the 
appropriate Federal banking agency shall rescind 
the designation and notify the depository institution 
of such rescission. 
(6) RECONSIDERATION
OF
DESIGNATION; AP-
PEALS.—A depository institution may— 
(A) submit to the appropriate Federal 
banking agency a request to reconsider a deter-
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673 
mination that such depository institution no 
longer meets the criteria for the designation; or 
(B) file an appeal in accordance with pro-
cedures established by the appropriate Federal 
banking agency. 
(7) RULEMAKING.—Not later than 1 year after 
the date of the enactment of this Act, the appro-
priate Federal banking agencies shall jointly issue 
rules to carry out the requirements of this sub-
section, including by providing a definition of a low- 
income borrower. 
(8) FEDERAL DEPOSIT INSURANCE ACT DEFINI-
TIONS.—In this subsection, the terms ‘‘depository 
institution’’ and ‘‘appropriate Federal banking agen-
cy’’ have the meanings given such terms, respec-
tively, in section 3 of the Federal Deposit Insurance 
Act (12 U.S.C. 1813). 
(e) MINORITY DEPOSITORY INSTITUTIONS ADVISORY 
COMMITTEES.— 
(1) ESTABLISHMENT.—Each covered regulator 
shall establish an advisory committee to be called the 
‘‘Minority Depository Institutions Advisory Com-
mittee’’. 
(2) DUTIES.—Each Minority Depository Insti-
tutions Advisory Committee shall provide advice to 
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674 
the respective covered regulator on meeting the goals 
established by section 308 of the Financial Institu-
tions Reform, Recovery, and Enforcement Act of 
1989 (12 U.S.C. 1463 note) to preserve the present 
number of covered minority institutions, preserve the 
minority character of minority-owned institutions in 
cases involving mergers or acquisitions, provide tech-
nical assistance, and encourage the creation of new 
covered minority institutions. The scope of the work 
of each such Minority Depository Institutions Advi-
sory Committee shall include an assessment of the 
current condition of covered minority institutions, 
what regulatory changes or other steps the respec-
tive agencies may be able to take to fulfill the re-
quirements of such section 308, and other issues of 
concern to minority depository institutions. 
(3) MEMBERSHIP.— 
(A) IN GENERAL.—Each Minority Deposi-
tory Institutions Advisory Committee shall con-
sist of no more than 10 members, who— 
(i) shall serve for one two-year term; 
(ii) shall serve as a representative of 
a depository institution or an insured cred-
it union with respect to which the respec-
tive covered regulator is the covered regu-
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675 
lator of such depository institution or in-
sured credit union; and 
(iii) shall not receive pay by reason of 
their service on the advisory committee, 
but may receive travel or transportation 
expenses in accordance with section 5703 
of title 5, United States Code. 
(B) DIVERSITY.—To the extent prac-
ticable, each covered regulator shall ensure that 
the members of Minority Depository Institu-
tions Advisory Committee of such agency reflect 
the diversity of depository institutions. 
(4) MEETINGS.— 
(A) IN GENERAL.—Each Minority Deposi-
tory Institutions Advisory Committee shall meet 
not less frequently than twice each year. 
(B) INVITATIONS.—Each Minority Deposi-
tory Institutions Advisory Committee shall in-
vite the attendance at each meeting of the Mi-
nority Depository Institutions Advisory Com-
mittee of— 
(i) one member of the majority party 
and one member of the minority party of 
the Committee on Financial Services of the 
House of Representatives and the Com-
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676 
mittee on Banking, Housing, and Urban 
Affairs of the Senate; and 
(ii) one member of the majority party 
and one member of the minority party of 
any relevant subcommittees of such com-
mittees. 
(5) NO TERMINATION OF ADVISORY COMMIT-
TEES.—The termination requirements under section 
14 of the Federal Advisory Committee Act (5 U.S.C. 
app.) shall not apply to a Minority Depository Insti-
tutions Advisory Committee established pursuant to 
this subsection. 
(6) DEFINITIONS.—In this subsection: 
(A) COVERED
REGULATOR.—The term 
‘‘covered regulator’’ means the Comptroller of 
the Currency, the Board of Governors of the 
Federal Reserve System, the Federal Deposit 
Insurance Corporation, and the National Credit 
Union Administration. 
(B) COVERED
MINORITY
INSTITUTION.— 
The term ‘‘covered minority institution’’ means 
a minority depository institution (as defined in 
section 308(b) of the Financial Institutions Re-
form, Recovery, and Enforcement Act of 1989 
(12 U.S.C. 1463 note)) or a minority credit 
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677 
union (as defined in section 1204(c) of the Fi-
nancial Institutions Reform, Recovery, and En-
forcement Act of 1989, as amended by this 
Act). 
(C) DEPOSITORY INSTITUTION.—The term 
‘‘depository institution’’ has the meaning given 
under section 3 of the Federal Deposit Insur-
ance Act (12 U.S.C. 1813). 
(D) INSURED CREDIT UNION.—The term 
‘‘insured credit union’’ has the meaning given 
in section 101 of the Federal Credit Union Act 
(12 U.S.C. 1752). 
(7) TECHNICAL AMENDMENT.—Section 308(b) 
of the Financial Institutions Reform, Recovery, and 
Enforcement Act of 1989 (12 U.S.C. 1463 note) is 
amended by adding at the end the following new 
paragraph: 
‘‘(3) DEPOSITORY INSTITUTION.—The term ‘de-
pository institution’ means an ‘insured depository in-
stitution’ (as defined in section 3 of the Federal De-
posit Insurance Act (12 U.S.C. 1813)) and an in-
sured credit union (as defined in section 101 of the 
Federal Credit Union Act (12 U.S.C. 1752)).’’. 
(f) FEDERAL DEPOSITS IN MINORITY DEPOSITORY 
INSTITUTIONS.— 
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678 
(1) IN GENERAL.—Section 308 of the Financial 
Institutions Reform, Recovery, and Enforcement Act 
of 1989 (12 U.S.C. 1463 note) is amended— 
(A) by adding at the end the following new 
subsection: 
‘‘(d) FEDERAL DEPOSITS.—The Secretary of the 
Treasury shall ensure that deposits made by Federal agen-
cies in minority depository institutions and impact banks 
are fully collateralized or fully insured, as determined by 
the Secretary. Such deposits shall include reciprocal de-
posits as defined in section 337.6(e)(2)(v) of title 12, Code 
of Federal Regulations (as in effect on March 6, 2019).’’; 
and 
(B) in subsection (b), as amended by sec-
tion 6(g), by adding at the end the following 
new paragraph: 
‘‘(4) IMPACT BANK.—The term ‘impact bank’ 
means a depository institution designated by an ap-
propriate Federal banking agency pursuant to sec-
tion 5 of the Ensuring Diversity in Community 
Banking Act of 2020.’’. 
(2) TECHNICAL AMENDMENTS.—Section 308 of 
the Financial Institutions Reform, Recovery, and 
Enforcement Act of 1989 (12 U.S.C. 1463 note) is 
amended— 
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679 
(A) in the matter preceding paragraph (1), 
by striking ‘‘section—’’ and inserting ‘‘sec-
tion:’’; and 
(B) in the paragraph heading for para-
graph (1), by striking ‘‘FINANCIAL’’ and insert-
ing ‘‘DEPOSITORY’’. 
(g) MINORITY BANK DEPOSIT PROGRAM.— 
(1) IN GENERAL.—Section 1204 of the Finan-
cial Institutions Reform, Recovery, and Enforcement 
Act of 1989 (12 U.S.C. 1811 note) is amended to 
read as follows: 
‘‘SEC. 1204. EXPANSION OF USE OF MINORITY BANKS AND 
MINORITY CREDIT UNIONS. 
‘‘(a) MINORITY BANK DEPOSIT PROGRAM.— 
‘‘(1) ESTABLISHMENT.—There is established a 
program to be known as the ‘Minority Bank Deposit 
Program’ to expand the use of minority banks and 
minority credit unions. 
‘‘(2) ADMINISTRATION.—The Secretary of the 
Treasury, acting through the Fiscal Service, shall— 
‘‘(A) on application by a depository institu-
tion or credit union, certify whether such depos-
itory institution or credit union is a minority 
bank or minority credit union; 
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680 
‘‘(B) maintain and publish a list of all de-
pository institutions and credit unions that have 
been certified pursuant to subparagraph (A); 
and 
‘‘(C) periodically distribute the list de-
scribed in subparagraph (B) to— 
‘‘(i) all Federal departments and 
agencies; 
‘‘(ii) interested State and local govern-
ments; and 
‘‘(iii) interested private sector compa-
nies. 
‘‘(3) INCLUSION
OF
CERTAIN
ENTITIES
ON 
LIST.—A depository institution or credit union that, 
on the date of the enactment of this section, has a 
current certification from the Secretary of the 
Treasury stating that such depository institution or 
credit union is a minority bank or minority credit 
union shall be included on the list described under 
paragraph (2)(B). 
‘‘(b) EXPANDED USE AMONG FEDERAL DEPART-
MENTS AND AGENCIES.— 
‘‘(1) IN GENERAL.—Not later than 1 year after 
the establishment of the program described in sub-
section (a), the head of each Federal department or 
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681 
agency shall develop and implement standards and 
procedures to ensure, to the maximum extent pos-
sible as permitted by law, the use of minority banks 
and minority credit unions to serve the financial 
needs of each such department or agency. 
‘‘(2) REPORT TO CONGRESS.—Not later than 2 
years after the establishment of the program de-
scribed in subsection (a), and annually thereafter, 
the head of each Federal department or agency shall 
submit to Congress a report on the actions taken to 
increase the use of minority banks and minority 
credit unions to serve the financial needs of each 
such department or agency. 
‘‘(c) DEFINITIONS.—For purposes of this section: 
‘‘(1) CREDIT UNION.—The term ‘credit union’ 
has the meaning given the term ‘insured credit 
union’ in section 101 of the Federal Credit Union 
Act (12 U.S.C. 1752). 
‘‘(2) DEPOSITORY INSTITUTION.—The term ‘de-
pository institution’ has the meaning given the term 
‘insured depository institution’ in section 3 of the 
Federal Deposit Insurance Act (12 U.S.C. 1813). 
‘‘(3) MINORITY.—The term ‘minority’ means 
any Black American, Native American, Hispanic 
American, or Asian American. 
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682 
‘‘(4) MINORITY
BANK.—The term ‘minority 
bank’ means a minority depository institution as de-
fined in section 308 of this Act. 
‘‘(5) MINORITY CREDIT UNION.—The term ‘mi-
nority credit union’ means any credit union for 
which more than 50 percent of the membership (in-
cluding board members) of such credit union are mi-
nority individuals, as determined by the National 
Credit Union Administration pursuant to section 
308 of this Act.’’. 
(2) 
CONFORMING
AMENDMENTS.—The 
fol-
lowing 
provisions 
are 
amended 
by 
striking 
‘‘1204(c)(3)’’ and inserting ‘‘1204(c)’’: 
(A) Section 808(b)(3) of the Community 
Reinvestment 
Act 
of 
1977 
(12 
U.S.C. 
2907(b)(3)). 
(B) Section 40(g)(1)(B) of the Federal De-
posit 
Insurance 
Act 
(12 
U.S.C. 
1831q(g)(1)(B)). 
(C) Section 704B(h)(4) of the Equal Cred-
it Opportunity Act (15 U.S.C. 1691c–2(h)(4)). 
(h) DIVERSITY REPORT AND BEST PRACTICES.— 
(1) ANNUAL REPORT.—Each covered regulator 
shall submit to Congress an annual report on diver-
sity including the following: 
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683 
(A) Data, based on voluntary self-identi-
fication, on the racial, ethnic, and gender com-
position of the examiners of each covered regu-
lator, disaggregated by length of time served as 
an examiner. 
(B) The status of any examiners of cov-
ered regulators, based on voluntary self-identi-
fication, as a veteran. 
(C) Whether any covered regulator, as of 
the date on which the report required under 
this subsection is submitted, has adopted a pol-
icy, plan, or strategy to promote racial, ethnic, 
and gender diversity among examiners of the 
covered regulator. 
(D) Whether any special training is devel-
oped and provided for examiners related specifi-
cally to working with banks that serve commu-
nities that are predominantly minorities, low in-
come, or rural, and the key focus of such train-
ing. 
(2) BEST PRACTICES.—Each Office of Minority 
and Women Inclusion of a covered regulator shall 
develop, provide to the head of the covered regulator, 
and make publicly available best practices— 
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684 
(A) for increasing the diversity of can-
didates applying for examiner positions, includ-
ing through outreach efforts to recruit diverse 
candidate to apply for entry-level examiner posi-
tions; and 
(B) for retaining and providing fair consid-
eration for promotions within the examiner 
staff for purposes of achieving diversity among 
examiners. 
(3) COVERED REGULATOR DEFINED.—In this 
subsection, the term ‘‘covered regulator’’ means the 
Comptroller of the Currency, the Board of Gov-
ernors of the Federal Reserve System, the Federal 
Deposit Insurance Corporation, and the National 
Credit Union Administration. 
(i) INVESTMENTS IN MINORITY DEPOSITORY INSTI-
TUTIONS AND IMPACT BANKS.— 
(1) CONTROL
FOR
CERTAIN
INSTITUTIONS.— 
Section 7(j)(8)(B) of the Federal Deposit Insurance 
Act (12 U.S.C. 1817(j)(8)(B)) is amended to read 
as follows: 
‘‘(B) ‘control’ means the power, directly or indi-
rectly— 
‘‘(i) to direct the management or policies 
of an insured depository institution; or 
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685 
‘‘(ii)(I) with respect to an insured deposi-
tory institution, of a person to vote 25 per cen-
tum or more of any class of voting securities of 
such institution; or 
‘‘(II) with respect to an insured depository 
institution that is an impact bank (as des-
ignated pursuant to section 5 of the Ensuring 
Diversity in Community Banking Act of 2020) 
or a minority depository institution (as defined 
in section 308(b) of the Financial Institutions 
Reform, Recovery, and Enforcement Act of 
1989), of an individual to vote 30 percent of 
more of any class of voting securities of such an 
impact bank or a minority depository institu-
tion.’’. 
(2) RULEMAKING.—The appropriate Federal 
banking agency (as defined in section 3 of the Fed-
eral Deposit Insurance Act (12 U.S.C. 1813)) shall 
jointly issue rules for de novo minority depository in-
stitutions and de novo impact banks (as designated 
pursuant to section 5) to allow 3 years to meet the 
capital requirements otherwise applicable to minority 
depository institutions and impact banks. 
(3) REPORT.—Not later than 1 year after the 
date of the enactment of this Act, the appropriate 
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686 
Federal banking agencies shall jointly submit to 
Congress a report on— 
(A) the principal causes for the low num-
ber of de novo minority depository institutions 
during the 10-year period preceding the date of 
the report; 
(B) the main challenges to the creation of 
de novo minority depository institutions and de 
novo impact banks; and 
(C) regulatory and legislative consider-
ations to promote the establishment of de novo 
minority depository institutions and de novo im-
pact banks. 
(j) REQUIREMENT TO MENTOR MINORITY DEPOSI-
TORY INSTITUTIONS OR COMMUNITY DEVELOPMENT FI-
NANCIAL INSTITUTIONS TO SERVE AS A DEPOSITARY OR 
FINANCIAL AGENT.— 
(1) IN GENERAL.—Before a large financial in-
stitution may be employed as a financial agent of 
the Department of the Treasury or perform any rea-
sonable duties as depositary of public moneys of the 
Department of the Treasury, the large financial in-
stitution shall demonstrate participation as a mentor 
in a covered mentor-protege program to a protege 
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687 
firm that is a minority depository institution or a 
community development financial institution. 
(2) REPORT.—Not later than 6 months after 
the date of the enactment of this Act and annually 
thereafter, the Secretary of the Treasury shall sub-
mit to Congress a report on participants in a cov-
ered mentor-protege program, including an analysis 
of outcomes of such program. 
(3) PROCEDURES.—The Secretary of the Treas-
ury shall publish procedures for compliance with the 
requirements of this subsection for large financial 
institutions. 
(4) DEFINITIONS.—In this subsection: 
(A) COVERED
MENTOR-PROTEGE
PRO-
GRAM.—The term ‘‘covered mentor-protege pro-
gram’’ means a mentor-protege program estab-
lished by the Secretary of the Treasury pursu-
ant to section 45 of the Small Business Act (15 
U.S.C. 657r). 
(B) LARGE FINANCIAL INSTITUTION.—The 
term ‘‘large financial institution’’ means any 
entity— 
(i) regulated by the Comptroller of the 
Currency, the Board of Governors of the 
Federal Reserve System, the Federal De-
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688 
posit Insurance Corporation, or the Na-
tional Credit Union Administration; and 
(ii) that has total consolidated assets 
greater than or equal to $50,000,000,000. 
(k) CUSTODIAL DEPOSIT PROGRAM FOR COVERED 
MINORITY
DEPOSITORY
INSTITUTIONS
AND
IMPACT 
BANKS.— 
(1) ESTABLISHMENT.—The Secretary of the 
Treasury shall establish a custodial deposit program 
(in this subsection referred to as the ‘‘Program’’) 
under which a covered bank shall receive monthly 
deposits from a qualifying account. 
(2) APPLICATION.—A covered bank shall sub-
mit to the Secretary an application to participate in 
the Program at such time, in such manner, and con-
taining such information as the Secretary may deter-
mine. 
(3) PROGRAM OPERATIONS.— 
(A) DESIGNATION
OF
CUSTODIAL
ENTI-
TIES.—The Secretary shall designate eligible 
custodial entities to make monthly deposits with 
covered banks selected for participation in the 
Program on behalf of a qualifying account. 
(B) CUSTODIAL ACCOUNTS.— 
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(i) IN GENERAL.—The Secretary shall 
establish a custodial deposit account for 
each qualifying account with the eligible 
custodial entity designated to make depos-
its with covered banks for each such quali-
fying account. 
(ii) AMOUNT.—The Secretary shall 
deposit a total amount not greater than 5 
percent of a qualifying account into any 
custodial 
deposit 
accounts 
established 
under subparagraph (A). 
(iii) DEPOSITS WITH PROGRAM PAR-
TICIPANTS.— 
(I) MONTHLY
DEPOSITS.—Each 
month, each eligible custodial entity 
designated by the Secretary shall de-
posit an amount not greater than the 
insured amount, in the aggregate, 
from each custodial deposit account, 
in a single covered bank. 
(II) LIMITATION.—With respect 
to the funds of an individual quali-
fying account, the eligible custodial 
entity may not deposit an amount 
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greater than the insured amount in a 
single covered bank. 
(III) 
INSURED
AMOUNT
DE-
FINED.—In this clause, the term ‘‘in-
sured amount’’ means the amount 
that is the greater of— 
(aa) the standard maximum 
deposit insurance amount (as de-
fined in section 11(a)(1)(E) of 
the Federal Deposit Insurance 
Act (12 U.S.C. 1821(a)(1)(E))); 
or 
(bb) such higher amount ne-
gotiated between the Secretary 
and the Corporation under which 
the Corporation will insure all de-
posits of such higher amount. 
(iv) LIMITATIONS.—The total amount 
of funds deposited under the Program in a 
covered bank may not exceed the lesser 
of— 
(I) 10 percent of the average 
amount of deposits held by such cov-
ered bank in the previous quarter; or 
(II) $100,000,000. 
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(C) INTEREST.— 
(i) IN GENERAL.—Each eligible custo-
dial entity designated by the Secretary 
shall— 
(I) collect interest from each cov-
ered bank in which such custodial en-
tity deposits funds pursuant to sub-
paragraph (B); and 
(II) disburse such interest to the 
Secretary each month. 
(ii) INTEREST RATE.—The rate of any 
interest collected under this subparagraph 
may not exceed 50 percent of the discount 
window primary credit interest rate most 
recently published on the Federal Reserve 
Statistical Release on selected interest 
rates (daily or weekly), commonly referred 
to as the H.15 release (commonly known 
as the ‘‘Federal funds rate’’). 
(D) STATEMENTS.—Each eligible custodial 
entity designated by the Secretary shall submit 
to the Secretary monthly statements that in-
clude the total amount of funds deposited with, 
and interest rate received from, each covered 
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bank by the eligible custodial entity on behalf of 
qualifying entities. 
(E) RECORDS.—The Secretary shall issue 
a quarterly report to Congress and make pub-
licly available a record identifying all covered 
banks participating in the Program and 
amounts deposited under the Program in cov-
ered banks. 
(4) REQUIREMENTS RELATING TO DEPOSITS.— 
Deposits made with covered banks under this sub-
section may not— 
(A) be considered by the Corporation to be 
funds obtained, directly or indirectly, by or 
through any deposit broker for deposit into 1 or 
more deposit accounts (as described under sec-
tion 29 of the Federal Deposit Insurance Act 
(12 U.S.C. 1831f)); or 
(B) be subject to insurance fees from the 
Corporation that are greater than insurance 
fees for typical demand deposits not obtained, 
directly or indirectly, by or through any deposit 
broker (commonly known as ‘‘core deposits’’). 
(5) MODIFICATIONS.— 
(A) IN
GENERAL.—The Secretary shall 
provide a 3-month period for public notice and 
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comment before making any material change to 
the operation of the Program. 
(B) EXCEPTION.—The requirements of 
subparagraph (A) shall not apply if the Sec-
retary makes a material change to the Program 
to comply with safety and soundness standards 
or other law. 
(6) TERMINATION.— 
(A) BY COVERED BANK.—A covered bank 
selected for participation in the Program pursu-
ant to paragraph (3) may terminate participa-
tion in the Program by providing the Secretary 
a notification 60 days prior to termination. 
(B) BY SECRETARY.—The Secretary may 
terminate the participation of a covered bank in 
the Program if the Secretary determines the 
covered bank— 
(i) violated any terms of participation 
in the Program; 
(ii) failed to comply with Federal 
bank secrecy laws, as documented in writ-
ing by the primary regulator of the covered 
bank; 
(iii) failed to remain well capitalized; 
or 
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