H. R. 4173—745 
window lending programs, and open market operations; 
and 
‘‘(ii) make any recommendations on whether the 
exemption described in clause (i) should remain in 
effect. 
‘‘(B) REPORT.—Not later than 30 months after the date 
of enactment of this section, the Inspector General of the 
Board of Governors of the Federal Reserve System shall 
submit a report on the findings of the study required under 
subparagraph (A) to the Committee on Banking, Housing, 
and Urban Affairs of the Senate and the Committee on 
Financial Services of the House of Representatives, and 
publish the report on the website of the Board. 
‘‘(9) RULE OF CONSTRUCTION.—Nothing in this section is 
meant to affect any pending litigation or lawsuit filed under 
section 552 of title 5, United States Code (popularly known 
as the Freedom of Information Act), on or before the date 
of enactment of the Dodd-Frank Wall Street Reform and Con-
sumer Protection Act.’’. 
SEC. 1104. LIQUIDITY EVENT DETERMINATION. 
(a) DETERMINATION AND WRITTEN RECOMMENDATION.— 
(1) DETERMINATION REQUEST.—The Secretary may request 
the Corporation and the Board of Governors to determine 
whether a liquidity event exists that warrants use of the guar-
antee program authorized under section 1105. 
(2) REQUIREMENTS OF DETERMINATION.—Any determination 
pursuant to paragraph (1) shall— 
(A) be written; and 
(B) contain an evaluation of the evidence that— 
(i) a liquidity event exists; 
(ii) failure to take action would have serious 
adverse effects on financial stability or economic condi-
tions in the United States; and 
(iii) actions authorized under section 1105 are 
needed to avoid or mitigate potential adverse effects 
on the United States financial system or economic 
conditions. 
(b) PROCEDURES.—Notwithstanding any other provision of Fed-
eral or State law, upon the determination of both the Corporation 
(upon a vote of not fewer than 2⁄3 of the members of the Corporation 
then serving) and the Board of Governors (upon a vote of not 
fewer than 2⁄3 of the members of the Board of Governors then 
serving) under subsection (a) that a liquidity event exists that 
warrants use of the guarantee program authorized under section 
1105, and with the written consent of the Secretary— 
(1) the Corporation shall take action in accordance with 
section 1105(a); and 
(2) the Secretary (in consultation with the President) shall 
take action in accordance with section 1105(c). 
(c) DOCUMENTATION AND REVIEW.— 
(1) DOCUMENTATION.—The Secretary shall— 
(A) maintain the written documentation of each deter-
mination of the Corporation and the Board of Governors 
under this section; and 
(B) provide the documentation for review under para-
graph (2).
H. R. 4173—746 
(2) GAO REVIEW.—The Comptroller General of the United 
States shall review and report to Congress on any determina-
tion of the Corporation and the Board of Governors under 
subsection (a), including— 
(A) the basis for the determination; and 
(B) the likely effect of the actions taken. 
(d) REPORT TO CONGRESS.—On the earlier of the date of a 
submission made to Congress under section 1105(c), or within 30 
days of the date of a determination under subsection (a), the Sec-
retary shall provide written notice of the determination of the 
Corporation and the Board of Governors to the Committee on 
Banking, Housing, and Urban Affairs of the Senate and the Com-
mittee on Financial Services of the House of Representatives, 
including a description of the basis for the determination. 
SEC. 1105. EMERGENCY FINANCIAL STABILIZATION. 
(a) IN GENERAL.—Upon the written determination of the Cor-
poration and the Board of Governors under section 1104, the Cor-
poration shall create a widely available program to guarantee 
obligations of solvent insured depository institutions or solvent 
depository institution holding companies (including any affiliates 
thereof) during times of severe economic distress, except that a 
guarantee of obligations under this section may not include the 
provision of equity in any form. 
(b) RULEMAKING AND TERMS AND CONDITIONS.— 
(1) POLICIES AND PROCEDURES.—As soon as is practicable 
after the date of enactment of this Act, the Corporation shall 
establish, by regulation, and in consultation with the Secretary, 
policies and procedures governing the issuance of guarantees 
authorized by this section. Such policies and procedures may 
include a requirement of collateral as a condition of any such 
guarantee. 
(2) TERMS AND CONDITIONS.—The terms and conditions of 
any guarantee program shall be established by the Corporation, 
with the concurrence of the Secretary. 
(c) DETERMINATION OF GUARANTEED AMOUNT.— 
(1) IN GENERAL.—In connection with any program estab-
lished pursuant to subsection (a) and subject to paragraph 
(2) of this subsection, the Secretary (in consultation with the 
President) shall determine the maximum amount of debt out-
standing that the Corporation may guarantee under this sec-
tion, and the President may transmit to Congress a written 
report on the plan of the Corporation to exercise the authority 
under this section to issue guarantees up to that maximum 
amount and a request for approval of such plan. The Corpora-
tion shall exercise the authority under this section to issue 
guarantees up to that specified maximum amount upon passage 
of the joint resolution of approval, as provided in subsection 
(d). Absent such approval, the Corporation shall issue no such 
guarantees. 
(2) ADDITIONAL DEBT GUARANTEE AUTHORITY.—If the Sec-
retary (in consultation with the President) determines, after 
a submission to Congress under paragraph (1), that the max-
imum guarantee amount should be raised, and the Council 
concurs with that determination, the President may transmit 
to Congress a written report on the plan of the Corporation 
to exercise the authority under this section to issue guarantees
H. R. 4173—747 
up to the increased maximum debt guarantee amount. The 
Corporation shall exercise the authority under this section to 
issue guarantees up to that specified maximum amount upon 
passage of the joint resolution of approval, as provided in 
subsection (d). Absent such approval, the Corporation shall 
issue no such guarantees. 
(d) RESOLUTION OF APPROVAL.— 
(1) ADDITIONAL DEBT GUARANTEE AUTHORITY.—A request 
by the President under this section shall be considered granted 
by Congress upon adoption of a joint resolution approving such 
request. Such joint resolution shall be considered in the Senate 
under expedited procedures. 
(2) FAST TRACK CONSIDERATION IN SENATE.— 
(A) RECONVENING.—Upon receipt of a request under 
subsection (c), if the Senate has adjourned or recessed 
for more than 2 days, the majority leader of the Senate, 
after consultation with the minority leader of the Senate, 
shall notify the Members of the Senate that, pursuant 
to this section, the Senate shall convene not later than 
the second calendar day after receipt of such message. 
(B) PLACEMENT ON CALENDAR.—Upon introduction in 
the Senate, the joint resolution shall be placed immediately 
on the calendar. 
(C) FLOOR CONSIDERATION.— 
(i) IN GENERAL.—Notwithstanding Rule XXII of the 
Standing Rules of the Senate, it is in order at any 
time during the period beginning on the 4th day after 
the date on which Congress receives a request under 
subsection (c), and ending on the 7th day after that 
date (even though a previous motion to the same effect 
has been disagreed to) to move 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 to pro-
ceed is not debatable. The motion is not subject to 
a motion to postpone. 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 consider-
ation of the resolution is agreed to, the joint resolution 
shall remain the unfinished business until disposed 
of. 
(ii) DEBATE.—Debate on the joint resolution, and 
on all debatable motions and appeals in connection 
therewith, shall be limited to not more than 10 hours, 
which shall be divided equally between the majority 
and minority leaders or their designees. A motion fur-
ther to limit debate is in order and not debatable. 
An amendment to, or a motion to postpone, or a motion 
to proceed to the consideration of other business, or 
a motion to recommit the joint resolution is not in 
order. 
(iii) VOTE ON PASSAGE.—The vote on passage shall 
occur immediately following the conclusion of the 
debate on the joint resolution, and a single quorum 
call at the conclusion of the debate if requested in 
accordance with the rules of the Senate.
H. R. 4173—748 
(iv) RULINGS
OF
THE
CHAIR
ON
PROCEDURE.— 
Appeals from the decisions of the Chair relating to 
the application of the rules of the Senate, as the case 
may be, to the procedure relating to a joint resolution 
shall be decided without debate. 
(3) RULES.— 
(A) COORDINATION
WITH
ACTION
BY
HOUSE
OF
REP-
RESENTATIVES.—If, before the passage by the Senate of 
a joint resolution of the Senate, the Senate receives a 
joint resolution, from the House of Representatives, then 
the following procedures shall apply: 
(i) The joint resolution of the House of Representa-
tives shall not be referred to a committee. 
(ii) With respect to a joint resolution of the 
Senate— 
(I) the procedure in the Senate shall be the 
same as if no joint resolution had been received 
from the other House; but 
(II) the vote on passage shall be on the joint 
resolution of the House of Representatives. 
(B) TREATMENT OF JOINT RESOLUTION OF HOUSE OF 
REPRESENTATIVES.—If the Senate fails to introduce or con-
sider a joint resolution under this section, the joint resolu-
tion of the House of Representatives shall be entitled to 
expedited floor procedures under this subsection. 
(C) TREATMENT
OF
COMPANION
MEASURES.—If, fol-
lowing passage of the joint resolution in the Senate, the 
Senate then receives the companion measure from the 
House of Representatives, the companion measure shall 
not be debatable. 
(D) RULES OF THE SENATE.—This subsection is enacted 
by Congress— 
(i) as an exercise of the rulemaking power of the 
Senate, and as such it is deemed a part of the rules 
of the Senate, but applicable only with respect to the 
procedure to be followed in the Senate in the case 
of a joint resolution, and it supersedes other rules, 
only to the extent that it is inconsistent with such 
rules; and 
(ii) with full recognition of the constitutional right 
of the Senate to change the rules (so far as relating 
to the procedure of the Senate) at any time, in the 
same manner, and to the same extent as in the case 
of any other rule of the Senate. 
(4) DEFINITION.—As used in this subsection, the term ‘‘joint 
resolution’’ means only a joint resolution— 
(A) that is introduced not later than 3 calendar days 
after the date on which the request referred to in subsection 
(c) is received by Congress; 
(B) that does not have a preamble; 
(C) the title of which is as follows: ‘‘Joint resolution 
relating to the approval of a plan to guarantee obligations 
under section 1105 of the Dodd-Frank Wall Street Reform 
and Consumer Protection Act’’; and 
(D) the matter after the resolving clause of which 
is as follows: ‘‘That Congress approves the obligation of
H. R. 4173—749 
any amount described in section 1105(c) of the Dodd-Frank 
Wall Street Reform and Consumer Protection Act.’’. 
(e) FUNDING.— 
(1) FEES
AND
OTHER
CHARGES.—The Corporation shall 
charge fees and other assessments to all participants in the 
program established pursuant to this section, in such amounts 
as are necessary to offset projected losses and administrative 
expenses, including amounts borrowed pursuant to paragraph 
(3), and such amounts shall be available to the Corporation. 
(2) EXCESS FUNDS.—If, at the conclusion of the program 
established under this section, there are any excess funds col-
lected from the fees associated with such program, the funds 
shall be deposited in the General Fund of the Treasury. 
(3) AUTHORITY OF CORPORATION.—The Corporation— 
(A) may borrow funds from the Secretary of the 
Treasury and issue obligations of the Corporation to the 
Secretary for amounts borrowed, and the amounts borrowed 
shall be available to the Corporation for purposes of car-
rying out a program established pursuant to this section, 
including the payment of reasonable costs of administering 
the program, and the obligations issued shall be repaid 
in full with interest through fees and charges paid by 
participants in accordance with paragraphs (1) and (4), 
as applicable; and 
(B) may not borrow funds from the Deposit Insurance 
Fund established pursuant to section 11(a)(4) of the Federal 
Deposit Insurance Act. 
(4) BACKUP SPECIAL ASSESSMENTS.—To the extent that the 
funds collected pursuant to paragraph (1) are insufficient to 
cover any losses or expenses, including amounts borrowed 
pursuant to paragraph (3), arising from a program established 
pursuant to this section, the Corporation shall impose a special 
assessment solely on participants in the program, in amounts 
necessary to address such insufficiency, and which shall be 
available to the Corporation to cover such losses or expenses. 
(5) AUTHORITY
OF
THE
SECRETARY.—The Secretary may 
purchase any obligations issued under paragraph (3)(A). For 
such purpose, the Secretary may use the proceeds of the sale 
of any securities issued under chapter 31 of title 31, United 
States Code, and the purposes for which securities may be 
issued under that chapter 31 are extended to include such 
purchases, and the amount of any securities issued under that 
chapter 31 for such purpose shall be treated in the same 
manner as securities issued under section 208(n)(5)(E). 
(f) RULE OF CONSTRUCTION.—For purposes of this section, a 
guarantee of deposits held by insured depository institutions shall 
not be treated as a debt guarantee program. 
(g) DEFINITIONS.—For purposes of this section, the following 
definitions shall apply: 
(1) COMPANY.—The term ‘‘company’’ means any entity other 
than a natural person that is incorporated or organized under 
Federal law or the laws of any State. 
(2) DEPOSITORY INSTITUTION HOLDING COMPANY.—The term 
‘‘depository institution holding company’’ has the same meaning 
as in section 3 of the Federal Deposit Insurance Act (12 U.S.C. 
1813). 
(3) LIQUIDITY EVENT.—The term ‘‘liquidity event’’ means—
H. R. 4173—750 
(A) an exceptional and broad reduction in the general 
ability of financial market participants— 
(i) to sell financial assets without an unusual and 
significant discount; or 
(ii) to borrow using financial assets as collateral 
without an unusual and significant increase in margin; 
or 
(B) an unusual and significant reduction in the ability 
of financial market participants to obtain unsecured credit. 
(4) SOLVENT.—The term ‘‘solvent’’ means that the value 
of the assets of an entity exceed its obligations to creditors. 
SEC. 1106. ADDITIONAL RELATED AMENDMENTS. 
(a) SUSPENSION OF PARALLEL FEDERAL DEPOSIT INSURANCE ACT 
AUTHORITY.—Effective upon the date of enactment of this section, 
the Corporation may not exercise its authority under section 
13(c)(4)(G)(i) of the Federal Deposit Insurance Act (12 U.S.C. 
1823(c)(4)(G)(i)) to establish any widely available debt guarantee 
program for which section 1105 would provide authority. 
(b) FEDERAL DEPOSIT INSURANCE ACT.—Section 13(c)(4)(G) of 
the Federal Deposit Insurance Act (12 U.S.C. 1823(c)(4)(G)) is 
amended— 
(1) in clause (i)— 
(A) in subclause (I), by inserting ‘‘for which the Cor-
poration has been appointed receiver’’ before ‘‘would have 
serious’’; and 
(B) in the undesignated matter following subclause 
(II), by inserting ‘‘for the purpose of winding up the insured 
depository institution for which the Corporation has been 
appointed receiver’’ after ‘‘provide assistance under this 
section’’; and 
(2) in clause (v)(I), by striking ‘‘The’’ and inserting ‘‘Not 
later than 3 days after making a determination under clause 
(i), the’’. 
(c) EFFECT OF DEFAULT ON AN FDIC GUARANTEE.—If an insured 
depository institution or depository institution holding company 
(as those terms are defined in section 3 of the Federal Deposit 
Insurance Act) participating in a program under section 1105, or 
any participant in a debt guarantee program established pursuant 
to section 13(c)(4)(G)(i) of the Federal Deposit Insurance Act defaults 
on any obligation guaranteed by the Corporation after the date 
of enactment of this Act, the Corporation shall— 
(1) appoint itself as receiver for the insured depository 
institution that defaults; and 
(2) with respect to any other participating company that 
is not an insured depository institution that defaults— 
(A) require— 
(i) consideration of whether a determination shall 
be made, as provided in section 203 to resolve the 
company under section 202; and 
(ii) the company to file a petition for bankruptcy 
under section 301 of title 11, United States Code, if 
the Corporation is not appointed receiver pursuant 
to section 202 within 30 days of the date of default; 
or
H. R. 4173—751 
(B) file a petition for involuntary bankruptcy on behalf 
of the company under section 303 of title 11, United States 
Code. 
SEC. 1107. FEDERAL RESERVE ACT AMENDMENTS ON FEDERAL 
RESERVE BANK GOVERNANCE. 
The 5th subparagraph of the 4th undesignated paragraph of 
section 4 of the Federal Reserve Act (12 U.S.C. 341) is amended 
by striking the 2nd sentence and inserting the following: ‘‘The 
president shall be the chief executive officer of the bank and shall 
be appointed by the Class B and Class C directors of the bank, 
with the approval of the Board of Governors of the Federal Reserve 
System, for a term of 5 years; and all other executive officers 
and all employees of the bank shall be directly responsible to 
the president.’’. 
SEC. 1108. FEDERAL RESERVE ACT AMENDMENTS ON SUPERVISION 
AND REGULATION POLICY. 
(a) ESTABLISHMENT OF THE POSITION OF VICE CHAIRMAN FOR 
SUPERVISION.— 
(1) POSITION ESTABLISHED.—The second undesignated para-
graph of section 10 of the Federal Reserve Act (12 U.S.C. 
242) (relating to the Chairman and Vice Chairman of the Board) 
is amended by striking the third sentence and inserting the 
following: ‘‘Of the persons thus appointed, 1 shall be designated 
by the President, by and with the advice and consent of the 
Senate, to serve as Chairman of the Board for a term of 4 
years, and 2 shall be designated by the President, by and 
with the advice and consent of the Senate, to serve as Vice 
Chairmen of the Board, each for a term of 4 years, 1 of whom 
shall serve in the absence of the Chairman, as provided in 
the fourth undesignated paragraph of this section, and 1 of 
whom shall be designated Vice Chairman for Supervision. The 
Vice Chairman for Supervision shall develop policy rec-
ommendations for the Board regarding supervision and regula-
tion of depository institution holding companies and other finan-
cial firms supervised by the Board, and shall oversee the super-
vision and regulation of such firms.’’. 
(2) EFFECTIVE DATE.—The amendment made by subsection 
(a) takes effect on the date of enactment of this title and 
applies to individuals who are designated by the President 
on or after that date to serve as Vice Chairman of Supervision. 
(b) APPEARANCES BEFORE CONGRESS.—Section 10 of the Federal 
Reserve Act (12 U.S.C. 241 et seq.) is amended by adding at the 
end the following: 
‘‘(12) APPEARANCES BEFORE CONGRESS.—The Vice Chair-
man for Supervision shall appear before the Committee on 
Banking, Housing, and Urban Affairs of the Senate and the 
Committee on Financial Services of the House of Representa-
tives and at semi-annual hearings regarding the efforts, activi-
ties, objectives, and plans of the Board with respect to the 
conduct of supervision and regulation of depository institution 
holding companies and other financial firms supervised by the 
Board.’’. 
(c) BOARD RESPONSIBILITY TO SET SUPERVISION
AND REGU-
LATORY POLICY.—Section 11 of the Federal Reserve Act (12 U.S.C. 
248) (relating to enumerated powers of the Board) is amended 
by adding at the end of subsection (k) (relating to delegation)
H. R. 4173—752 
the following: ‘‘The Board of Governors may not delegate to a 
Federal reserve bank its functions for the establishment of policies 
for the supervision and regulation of depository institution holding 
companies and other financial firms supervised by the Board of 
Governors.’’. 
(d) EXERCISE OF FEDERAL RESERVE AUTHORITY.— 
(1) NO DECISIONS BY FEDERAL RESERVE BANK PRESIDENTS.— 
No provision of title I relating to the authority of the Board 
of Governors shall be construed as conferring any decision- 
making authority on presidents of Federal reserve banks. 
(2) VOTING DECISIONS BY BOARD.—The Board of Governors 
shall not delegate the authority to make any voting decision 
that the Board of Governors is authorized or required to make 
under title I of this Act in contravention of section 11(k) of 
the Federal Reserve Act. 
SEC. 1109. GAO AUDIT OF THE FEDERAL RESERVE FACILITIES; 
PUBLICATION OF BOARD ACTIONS. 
(a) GAO AUDIT.— 
(1) IN GENERAL.—Notwithstanding section 714(b) of title 
31, United States Code, or any other provision of law, the 
Comptroller General of the United States (in this subsection 
referred to as the ‘‘Comptroller General’’) shall conduct a one- 
time audit of all loans and other financial assistance provided 
during the period beginning on December 1, 2007 and ending 
on the date of enactment of this Act by the Board of Governors 
or a Federal reserve bank under the Asset-Backed Commercial 
Paper Money Market Mutual Fund Liquidity Facility, the Term 
Asset-Backed Securities Loan Facility, the Primary Dealer 
Credit Facility, the Commercial Paper Funding Facility, the 
Term Securities Lending Facility, the Term Auction Facility, 
Maiden Lane, Maiden Lane II, Maiden Lane III, the agency 
Mortgage-Backed Securities program, foreign currency liquidity 
swap lines, and any other program created as a result of 
section 13(3) of the Federal Reserve Act (as so designated 
by this title). 
(2) ASSESSMENTS.—In conducting the audit under para-
graph (1), the Comptroller General shall assess— 
(A) the operational integrity, accounting, financial 
reporting, and internal controls of the credit facility; 
(B) the effectiveness of the security and collateral poli-
cies established for the facility in mitigating risk to the 
relevant Federal reserve bank and taxpayers; 
(C) whether the credit facility inappropriately favors 
one or more specific participants over other institutions 
eligible to utilize the facility; 
(D) the policies governing the use, selection, or pay-
ment of third-party contractors by or for any credit facility; 
and 
(E) whether there were conflicts of interest with respect 
to the manner in which such facility was established or 
operated. 
(3) TIMING.—The audit required by this subsection shall 
be commenced not later than 30 days after the date of enact-
ment of this Act, and shall be completed not later than 12 
months after that date of enactment.
H. R. 4173—753 
(4) REPORT
REQUIRED.—The Comptroller General shall 
submit a report on the audit conducted under paragraph (1) 
to the Congress not later than 12 months after the date of 
enactment of this Act, and such report shall be made available 
to— 
(A) the Speaker of the House of Representatives; 
(B) the majority and minority leaders of the House 
of Representatives; 
(C) the majority and minority leaders of the Senate; 
(D) the Chairman and Ranking Member of the Com-
mittee on Banking, Housing, and Urban Affairs of the 
Senate and of the Committee on Financial Services of the 
House of Representatives; and 
(E) any member of Congress who requests it. 
(b) AUDIT OF FEDERAL RESERVE BANK GOVERNANCE.— 
(1) AUDIT.— 
(A) IN GENERAL.—Not later than 1 year after the date 
of enactment of this Act, the Comptroller General shall 
complete an audit of the governance of the Federal reserve 
bank system. 
(B) REQUIRED
EXAMINATIONS.—The audit required 
under subparagraph (A) shall— 
(i) examine the extent to which the current system 
of appointing Federal reserve bank directors effectively 
represents ‘‘the public, without discrimination on the 
basis of race, creed, color, sex or national origin, and 
with due but not exclusive consideration to the 
interests of agriculture, commerce, industry, services, 
labor, and consumers’’ in the selection of bank direc-
tors, as such requirement is set forth under section 
4 of the Federal Reserve Act; 
(ii) examine whether there are actual or potential 
conflicts of interest created when the directors of Fed-
eral reserve banks, which execute the supervisory func-
tions of the Board of Governors of the Federal Reserve 
System, are elected by member banks; 
(iii) examine the establishment and operations of 
each facility described in subsection (a)(1) and each 
Federal reserve bank involved in the establishment 
and operations thereof; and 
(iv) identify changes to selection procedures for 
Federal reserve bank directors, or to other aspects 
of Federal reserve bank governance, that would— 
(I) improve how the public is represented; 
(II) eliminate actual or potential conflicts of 
interest in bank supervision; 
(III) increase the availability of information 
useful for the formation and execution of monetary 
policy; or 
(IV) in other ways increase the effectiveness 
or efficiency of reserve banks. 
(2) REPORT REQUIRED.—A report on the audit conducted 
under paragraph (1) shall be submitted by the Comptroller 
General to the Congress before the end of the 90-day period 
beginning on the date on which such audit is completed, and 
such report shall be made available to— 
(A) the Speaker of the House of Representatives;