II 118th CONGRESS 1st Session S. 2252 IN THE SENATE OF THE UNITED STATES July 12, 2023 Mr. Kennedy (for himself and Ms. Smith ) introduced the following bill; which was read twice and referred to the Committee on Banking, Housing, and Urban Affairs A BILL To require the Federal banking regulators to jointly conduct a study and develop a strategic plan to address challenges faced by proposed depository institutions seeking de novo depository institution charters, and for other purposes.

1. Short title This Act may be cited as the Promoting New and Diverse Depository Institutions Act . 2. Definitions In this Act: (1) Depository institution The term depository institution — (A) has the meaning given the term in section 3 of the Federal Deposit Insurance Act ( 12 U.S.C. 1813 ); and (B) includes a Federal credit union and a State credit union, as those terms are defined in section 101 of the Federal Credit Union Act ( 12 U.S.C. 1752 ). (2) Community development financial institution The term community development financial institution has the meaning given in section 103 of the Riegle Community Development and Regulatory Improvement Act of 1994 ( 12 U.S.C. 4702 ). (3) Federal banking regulators The term Federal banking regulators means the Board of Governors of the Federal Reserve System, the Comptroller of the Currency, the Federal Deposit Insurance Corporation, the National Credit Union Administration, and the Director of the Bureau of Consumer Financial Protection. (4) Minority depository institution The term minority depository institution has the meaning given in section 308(b) of the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 ( 12 U.S.C. 1463 note). 3. Study and strategic plan (a) In general The Federal banking regulators shall jointly— (1) conduct a study about the challenges faced by proposed depository institutions, including proposed minority depository institutions, seeking de novo depository institution charters; and (2) not later than 18 months after the date of enactment of this section, submit 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 publically— (A) an analysis based on the study conducted pursuant to paragraph (1); (B) any findings from the study conducted pursuant to paragraph (1); and (C) any legislative recommendations that the Federal banking regulators developed based on the study conducted pursuant to paragraph (1). (b) Strategic plan (1) In general Not later than 18 months after the date of enactment of this section, the Federal banking regulators shall jointly submit 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 publically a strategic plan based on the study conducted pursuant to subsection (a) and designed to help proposed depository institutions (including proposed minority depository institutions) successfully apply for de novo depository institution charters in a manner that promotes increased availability of banking and financial services, safety and soundness, consumer protection, community reinvestment, financial stability, and a level playing field. (2) Contents of strategic plan The strategic plan described in paragraph (1) shall— (A) promote the chartering of de novo depository institutions, including— (i) proposed minority depository institutions; and (ii) proposed depository institutions that could be certified as community development financial institutions; and (B) describe actions the Federal banking regulators may take that would increase the number of depository institutions located in geographic areas where consumers lack access to a branch of a depository institution. (c) Public involvement When conducting the study and developing the strategic plan required by this Act, the Federal banking regulators shall invite comments and other feedback from the public to inform the study and strategic plan.