115 HR 4296 RH: To place requirements on operational risk capital requirements for banking organizations established by an appropriate Federal banking agency. U.S. House of Representatives 2017-11-08 text/xml EN Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain.

IBUnion Calendar No. 434115th CONGRESS2d SessionH. R. 4296[Report No. 115–574]IN THE HOUSE OF REPRESENTATIVESNovember 8, 2017Mr. Luetkemeyer (for himself and Mr. Meeks) introduced the following bill; which was referred to the Committee on Financial ServicesFebruary 23, 2018Additional sponsor: Mr. SessionsFebruary 23, 2018Reported with an amendment, committed to the Committee of the Whole House on the State of the Union, and ordered to be printedStrike out all after the enacting clause and insert the part printed in italicFor text of introduced bill, see copy of bill as introduced on November 8, 2017A BILLTo place requirements on operational risk capital requirements for banking organizations established by an appropriate Federal banking agency.

1.

Operational risk capital requirements for banking organizations

(a)

In general

An appropriate Federal banking agency may not establish an operational risk capital requirement for banking organizations, unless such requirement— (1)is based primarily on the risks posed by a banking organization’s current activities and businesses; (2)is appropriately sensitive to the risks posed by such current activities and businesses; (3)is determined under a forward-looking assessment of potential losses that may arise out of a banking organization’s current activities, businesses, and exposures, which is not solely based on a banking organization’s historical losses; and (4)permits adjustments based on qualifying operational risk mitigants. (b)

Definitions

For purposes of 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; and (B)means the National Credit Union Administration, in the case of an insured credit union. (2)

Banking organization

The term banking organization means— (A)an insured depository institution (as defined under section 3 of the Federal Deposit Insurance Act); (B)an insured credit union (as defined under section 101 of the Federal Credit Union Act); (C)a depository institution holding company (as defined under section 3 of the Federal Deposit Insurance Act); (D)a company that is treated as a bank holding company for purposes of section 8 of the International Banking Act; and (E)a U.S. intermediate holding company established by a foreign banking organization pursuant to section 252.153 of title 12, Code of Federal Regulations.

February 23, 2018Reported with an amendment, committed to the Committee of the Whole House on the State of the Union, and ordered to be printed