Financial Stability Oversight Council Improvement Act of 2023

Bill: 118-hr-3812
Sponsor: full_name: Rep. Foster, Bill [D-IL-11]
Introduced: 2023-06-05
Policy area: Finance and Financial Sector
Latest action: action_date: 2023-06-05
text: Referred to the House Committee on Financial Services.

Summaries:
action_date: 2023-06-05
action_desc: Introduced in House
text: <p><b>Financial Stability Oversight Council Improvement Act of 2023</b></p> <p>The bill requires the Financial Stability Oversight Council, prior to determining that a U.S. nonbank financial company shall be supervised by the Federal Reserve Board and therefore subject to certain prudential standards, to first determine that certain alternative actions would not mitigate the threat the company may pose to U.S. financial stability.</p>

tv_txt: I 118th CONGRESS 1st Session H. R. 3812 IN THE HOUSE OF REPRESENTATIVES June 5, 2023 Mr. Foster (for himself and Mr. Huizenga ) introduced the following bill; which was referred to the Committee on Financial Services A BILL To amend the Financial Stability Act of 2010 to require the Financial Stability Oversight Council to consider alternative approaches before determining that a U.S. nonbank financial company shall be supervised by the Board of Governors of the Federal Reserve System, and for other purposes.

1. Short title This Act may be cited as the Financial Stability Oversight Council Improvement Act of 2023 . 2. Financial Stability Oversight Council Section 113 of the Financial Stability Act of 2010 ( 12 U.S.C. 5323 ) is amended— (1) in subsection (a)— (A) in paragraph (1), by striking The Council and inserting Subject to paragraph (3), the Council ; and (B) by adding at the end the following: (3) Initial determination The Council may not vote on a proposed determination with respect to a U.S. nonbank financial company under paragraph (1) unless the Council first determines, in consultation with the company and the primary financial regulatory agency with respect to the company, that a different action by the Council or the agency (including the application of new or heightened standards and safeguards under section 120), or by the company under a written plan that is submitted promptly to the Council, is impracticable or insufficient to mitigate the threat that the company could pose to the financial stability of the United States. ; and (2) in subsection (f)(1), by striking subsection (e) and inserting subsections (a)(3) and (e) .