A bill to amend the Federal Deposit Insurance Act to remove the Comptroller of the Currency and the Director of the Bureau of Consumer Financial Protection from the Board of Directors of the Federal Deposit Insurance Corporation, and for other purposes.
Bill: S.3540 | Sponsor: Sen. Scott, Tim (R-SC)
Policy area: Finance and Financial Sector

Summary:
This bill revises membership of the Board of Directors of the Federal Deposit Insurance Corporation. Currently, the Comptroller of the Currency and the Director of the Consumer Financial Protection Bureau have statutorily designated seats on the five-member board. The bill removes this requirement and bars any officer of either agency from holding seats on the board. Additionally, the bill revises the continuation of service requirements to limit a board member's service beyond the end of their term.

To amend the Federal Deposit Insurance Act to remove the Comptroller of 
   the Currency and the Director of the Bureau of Consumer Financial 
Protection from the Board of Directors of the Federal Deposit Insurance 
                  Corporation, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. MANAGEMENT OF BOARD OF DIRECTORS OF FDIC.

    Section 2 of the Federal Deposit Insurance Act (12 U.S.C. 1812) is 
amended--
            (1) in subsection (a), by striking paragraph (1) and 
        inserting the following:
            ``(1) In general.--The management of the Corporation shall 
        be vested in a Board of Directors consisting of 5 members who 
        shall be appointed by the President, by and with the advice and 
        consent of the Senate, from among individuals who are citizens 
        of the United States, 1 of whom shall have State bank 
        supervisory experience.'';
            (2) in subsection (c)--
                    (A) by striking paragraph (3) and inserting the 
                following:
            ``(3) Continuation of service.--The Chairperson, Vice 
        Chairperson, and each appointed member may continue to serve 
        after the expiration of the term of office to which such member 
        was appointed until the earlier of--
                    ``(A) the date on which a successor has been 
                appointed and qualified; or
                    ``(B) the date on which the next session of 
                Congress subsequent to the expiration of such term 
                expires.''; and
                    (B) by adding at the end the following:
            ``(4) Limitation.--No appointed member shall serve more 
        than 12 years--
                    ``(A) including any service described in paragraph 
                (2); and
                    ``(B) not including any service described in 
                paragraph (3).'';
            (3) by striking subsection (d) and inserting the following:
    ``(d) Vacancy.--Any vacancy on the Board of Directors shall be 
filled in the manner in which the original appointment was made.'';
            (4) in subsection (e)(2)--
                    (A) in subparagraph (A), by striking ``or'' at the 
                end;
                    (B) in subparagraph (B), by striking the period at 
                the end and inserting ``; or''; and
                    (C) by adding at the end the following:
                    ``(C) be the Director or any other officer of the 
                Bureau of Consumer Financial Protection; or
                    ``(D) be the Comptroller of the Currency or any 
                other officer of the Office of the Comptroller of the 
                Currency.''; and
            (5) in subsection (f)--
                    (A) by striking paragraph (2); and
                    (B) by redesignating paragraph (3) as paragraph 
                (2).
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