of Proposed Rulemaking issued in June 2012, and for 
other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Basel III Capital Im-
pact Study Act’’. 
SEC. 2. STUDY REQUIRED. 
The Office of the Comptroller of the Currency, the 
Board of Governors of the Federal Reserve System, and 
the Federal Deposit Insurance Corporation (hereinafter, 
the ‘‘Federal banking agencies’’) shall conduct the study 
and issue the report to Congress required by section 3, 
prior to issuing any final rule amending the agencies’ gen-
eral risk-based capital requirements for— 
(1) determining risk-weighted assets as pro-
posed in the Standardized Approach for Risk 
Weighted Assets Notice of Proposed Rulemaking 
issued in June 2012 (hereinafter, the ‘‘Standardized 
Approach NPR’’); 
(2) determining risk-weighted assets as pro-
posed in the Advanced Approaches Risk-based Cap-
ital Rule; Market Risk Capital Rule Notice of Pro-
posed Rulemaking issued in June 2012 (hereinafter, 
the ‘‘Advanced Approach NPR’’); and 
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(3) determining minimum regulatory capital ra-
tios as proposed in the Regulatory Capital, Imple-
mentation of Basel III, Minimum Regulatory Capital 
Ratios, Capital Adequacy, Transition Provisions, and 
Prompt Corrective Action Notice of Proposed Rule-
making issued in June 2012 (hereinafter, the ‘‘Basel 
III NPR’’). 
SEC. 3. STUDY AND REPORT. 
(a) STUDY.— 
(1) IN GENERAL.—The Federal banking agen-
cies shall, jointly, conduct a study of the impact of 
the Standardized Approach NPR and the Advanced 
Approach NPR, respectively, on the minimum regu-
latory capital requirements of insured depository in-
stitutions and insured depository institution holding 
companies. As part of this study, the Federal bank-
ing agencies shall separately identify the various 
provisions of the Dodd-Frank Wall Street Reform 
and Consumer Protection Act, and of amendments 
made by that Act, that affect capital quality, capital 
levels, asset quality, and the risk management activi-
ties of insured depository institutions and insured 
depository holding companies (hereinafter ‘‘identified 
provisions’’) and take into consideration the impact 
of such provisions. Without excluding any provisions 
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the Federal banking agencies identify as affecting 
capital quality, capital levels, asset quality, and the 
risk management activities of insured depository in-
stitutions and insured depository holding companies, 
the identified provisions shall include the following 
provisions of the Dodd-Frank Wall Street Reform 
and Consumer Protection Act, and the amendments 
made by such provisions of such Act: 
(A) Section 115 (regarding enhanced su-
pervision and prudential standards). 
(B) Section 165 (regarding enhanced su-
pervision and prudential standards). 
(C) Section 166 (regarding early remedi-
ation requirements). 
(D) Section 171 (regarding leverage and 
risk-based capital requirements). 
(E) Section 619 (regarding prohibitions on 
proprietary trading and certain relationships 
with hedge funds and private equity funds). 
(F) Section 939 (regarding the removal of 
statutory references to credit ratings). 
(G) Section 941 (regarding regulation of 
credit risk retention and exemption of qualified 
residential mortgages). 
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(H) Section 1412 (regarding safe harbor 
and rebuttable presumptions for qualified mort-
gages). 
(2) CONTENTS OF STUDY.—In conducting the 
study required in paragraph (1), the Federal bank-
ing agencies shall determine and make projections of 
the likely cumulative impact of the Standardized Ap-
proach NPR, the Advanced Approach NPR, the 
Basel III NPR, and the identified provisions on re-
quired regulatory capital levels, capital quality, asset 
quality, and risk management at covered financial 
institutions. Based on these findings, the Federal 
banking agencies shall provide an assessment re-
garding— 
(A) changes to required capital levels; 
(B) the aggregate increase or decrease of 
total risk-weighted asset levels for the institu-
tions to which the Standardized Approach NPR 
or Advanced Approach NPR would be applica-
ble based on current assets; 
(C) whether the NPRs and identified pro-
visions will cause capital levels at covered insti-
tutions to fluctuate with more frequency or by 
greater amounts than the current rules and in-
dicate what, if any, safety and soundness issues 
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such fluctuations raise for financial institutions 
or the financial system; 
(D) whether the NPRs and the identified 
provisions will result in the discontinuation of 
the use of certain risk management tools by 
covered financial institutions and the impact on 
the safety and soundness of financial institu-
tions and the financial system; 
(E) the impact the NPRs and the identi-
fied provisions will have on residential mortgage 
lending and home equity lines of credit; 
(F) the likely cumulative impact of the 
NPRs and the identified provisions will have on 
the availability of credit, generally and in low- 
and moderate-income areas; 
(G) the variance in required capital levels, 
assets, and asset quality between institutions 
that implement the advanced approaches or ap-
proaches to risk weighting of assets and those 
that use the Standardized Approach NPR or 
the Advanced Approach NPR and the impact 
on competition between entities using different 
approaches; and 
(H) historical probability of default and 
loss given default of residential mortgage loans 
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and the proposed risk weightings in the Stand-
ardized Approach NPR and the Advanced Ap-
proach NPR, and whether such proposed risk 
weightings are appropriately and fairly cali-
brated. 
(3) VOLUNTARY PARTICIPATION.—The Federal 
banking agencies may seek input and participation 
from insured depository institutions and insured de-
pository institution holding companies, however, par-
ticipation in the study by insured depository institu-
tions and insured depository institution holding com-
panies shall be voluntary. 
(b) REPORT.— 
(1) IN GENERAL.—The Federal banking agen-
cies shall issue a report to the Committee on Bank-
ing, Housing, and Urban Affairs of the Senate and 
the Committee on Financial Services of the House of 
Representatives on the results of the study required 
by subsection (a). 
(2) CONTENTS.—The Federal banking agencies 
shall include the methodologies and assumptions 
used in the study as well as the required elements 
of the study listed in subsection (a) in the report re-
quired in this subsection. 
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