Title: Preventing Regulatory Penalties for PPP Lenders Act
Policy area: Finance and Financial Sector

Summary:
Preventing Regulatory Penalties for PPP Lenders Act
This bill prohibits federal banking agencies from including Paycheck Protection Program loans as assets when calculating capital ratios, deposit insurance premiums, and other asset thresholds for certain small financial institutions.

[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[H.R. 8675 Introduced in House (IH)]

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116th CONGRESS
  2d Session
                                H. R. 8675

To require the Federal banking agencies to exclude Paycheck Protection 
             Program loans from certain asset calculations.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            October 23, 2020

Mr. Loudermilk (for himself, Mr. David Scott of Georgia, Mr. Lucas, Mr. 
    Stivers, Mr. Williams, Mr. Budd, Mr. Kustoff of Tennessee, Mr. 
 Hollingsworth, Mr. John W. Rose of Tennessee, Mr. Riggleman, and Mr. 
   Taylor) introduced the following bill; which was referred to the 
                    Committee on Financial Services

_______________________________________________________________________

                                 A BILL


 
To require the Federal banking agencies to exclude Paycheck Protection 
             Program loans from certain asset calculations.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Preventing Regulatory Penalties for 
PPP Lenders Act''.

SEC. 2. EXCLUDING PAYCHECK PROTECTION PROGRAM LOANS FROM CERTAIN ASSET 
              CALCULATIONS.

    (a) In General.--For purposes of determining capital ratios, 
deposit insurance premiums, and other asset thresholds and categories 
under Federal banking regulations with respect to a credit union, 
depository institution, or depository institution holding company with 
less than $15,000,000,000 in consolidated assets, the appropriate 
Federal banking agency shall exclude Paycheck Protection Program loans.
    (b) Specific Exclusion.--Subsection (a) shall not apply to call 
reports filed by a credit union, depository institution, or depository 
institution holding company.
    (c) Rulemaking.--Not later than the end of the 30-day period 
beginning on the date of enactment of this Act, the Federal banking 
agencies shall issue regulations to carry out this section.
    (d) Definitions.--In this section:
            (1) Appropriate federal banking agency.--The term 
        ``appropriate Federal banking agency''--
                    (A) has the meaning given such term under section 3 
                of the Federal Deposit Insurance Act;
                    (B) means the National Credit Union Administration, 
                in the case of a credit union; and
                    (C) means the Bureau of Consumer Financial 
                Protection, for purposes of calculating asset 
                thresholds under section 1025 and 1026 of the Consumer 
                Financial Protection Act of 2010 (12 U.S.C. 5515 and 
                5516).
            (2) Credit union.--The term ``credit union'' means a State 
        credit union and a Federal credit union, as such terms are 
        defined, respectively, under section 101 of the Federal Credit 
        Union Act.
            (3) Federal banking agencies.--The term ``Federal banking 
        agencies'' means the agencies described under paragraph (1).
            (4) Federal deposit insurance act terms.--The term 
        ``depository institution'', and ``depository institution 
        holding company'' have the meaning given those terms, 
        respectively, under section 3 of the Federal Deposit Insurance 
        Act.
            (5) Paycheck protection program loan.--The term ``Paycheck 
        Protection Program loan'' means a loan guaranteed under section 
        7(a)(36) of the Small Business Act.
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