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114th Congress    }                                   {    Report
                       HOUSE OF REPRESENTATIVES
                  }            
 2d Session                                           {   114-624
_______________________________________________________________________

                                     

                                                                       


  FINANCIAL SERVICES AND GENERAL GOVERNMENT APPROPRIATIONS BILL, 2017

                               ----------                              

                              R E P O R T

                                 of the

                      COMMITTEE ON APPROPRIATIONS

                             together with

                            DISSENTING VIEWS

                        [TO ACCOMPANY H.R. 5485]






 June 15, 2016.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed
              
              
              
              
              
              
              


  FINANCIAL SERVICES AND GENERAL GOVERNMENT APPROPRIATIONS BILL, 2017
  
  
  
  
  
  
  
  
  
114th Congress    }                                        {    Report
                        HOUSE OF REPRESENTATIVES                
 2d Session       }                                        {   114-624
_______________________________________________________________________

                                     

                                                                       


  FINANCIAL SERVICES AND GENERAL GOVERNMENT APPROPRIATIONS BILL, 2017

                               __________

                              R E P O R T

                                 of the

                      COMMITTEE ON APPROPRIATIONS

                             together with

                            DISSENTING VIEWS

                        [TO ACCOMPANY H.R. 5485]
                        
                        
                        








 June 15, 2016.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed
              
              
              
              
                              _________ 

                  U.S. GOVERNMENT PUBLISHING OFFICE
                  
 20-395                   WASHINGTON : 2016         
   
   
              



              
              

114th Congress      }                                      {     Report
                        HOUSE OF REPRESENTATIVES
 2d Session         }                                      {     114-624

======================================================================



 
  FINANCIAL SERVICES AND GENERAL GOVERNMENT APPROPRIATIONS BILL, 2017

                                _______
                                

 June 15, 2016.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed

                                _______
                                

          Mr. Crenshaw, from the Committee on Appropriations, 
                        submitted the following

                              R E P O R T

                             together with

                            DISSENTING VIEWS

                        [To accompany H.R. 5485]

    The Committee on Appropriations submits the following 
report in explanation of the accompanying bill making 
appropriations for financial services and general government 
for the fiscal year ending September 30, 2017.

                        INDEX TO BILL AND REPORT

                                                            Page Number

                                                            Bill  Report

Title I--Department of the Treasury........................     2
                                                                      7
Title II--Executive Office of the President and Funds 
    Appropriated to the President..........................    30
                                                                     28
Title III--The Judiciary...................................    44
                                                                     38
Title IV--District of Columbia.............................    56
                                                                     43
Title V--Independent Agencies..............................    65
                                                                     48
Administrative Conference of the United States.............    65
                                                                     48
Bureau of Consumer Financial Protection....................    65
                                                                     48
Consumer Product Safety Commission.........................    85
                                                                     53
Election Assistance Commission.............................    87
                                                                     55
Federal Communications Commission..........................    87
                                                                     56
Federal Deposit Insurance Corporation......................    88
                                                                     60
Federal Election Commission................................    89
                                                                     61
Federal Labor Relations Authority..........................    89
                                                                     61
Federal Trade Commission...................................    90
                                                                     62
General Services Administration............................    91
                                                                     63
Merit Systems Protection Board.............................   105
                                                                     73
National Archives and Records Administration...............   105
                                                                     73
National Credit Union Administration.......................   107
                                                                     73
Office of Government Ethics................................   107
                                                                     75
Office of Personnel Management.............................   107
                                                                     76
Office of Special Counsel..................................   112
                                                                     79
Postal Regulatory Commission...............................   113
                                                                     79
Privacy and Civil Liberties Oversight Board................   113
                                                                     80
Securities and Exchange Commission.........................   114
                                                                     80
Selective Service System...................................   115
                                                                     83
Small Business Administration..............................   116
                                                                     83
United States Postal Service...............................   122
                                                                     88
United States Tax Court....................................   123
                                                                     90
Title VI--General Provisions--This Act.....................   123
                                                                     90
Title VII--General Provisions--Government-wide: 
    Departments, Agencies, and Corporations................   148
                                                                     94
Title VIII--General Provisions--District of Columbia.......   184
                                                                     97
Title IX--Scholarships for Opportunity and Results Act.....   195
                                                                     98
Title X--SEC Small Business Advocate Act...................   221
                                                                     98
Title XI--Financial Institution Bankruptcy Act.............   235
                                                                     98
Title XII--Additional General Provision--Spending Reduction 
    Account................................................   265
                                                                     98
House of Representatives Report Requirements...............
                                                                     98
Dissenting Views...........................................
                                                                    376

                         Highlights of the Bill

    The Financial Services and General Government Subcommittee 
has jurisdiction over a diverse group of agencies responsible 
for regulating the financial and telecommunications industries; 
collecting taxes and providing taxpayer assistance; supporting 
the operations of the White House, the Federal Judiciary, and 
the District of Columbia; managing Federal buildings; and 
overseeing the Federal workforce. The activities of these 
agencies impact nearly every American and are integral to the 
operations of our government.
    However, with the gross Federal debt growing in excess of 
$19 trillion, the Subcommittee is committed to reducing the 
cost and size of government. The bill provides a total of 
$21,735,000,000 in discretionary budget authority for fiscal 
year 2017 which is $1,500,000,000, or 6.5 percent, below the 
fiscal year 2016 discretionary allocation. The bill is 
$2,692,335,000, or 11 percent, below the Administration's 
request.


                         TOTAL BUDGET AUTHORITY
                             ($ in millions)
------------------------------------------------------------------------
                                  FY 2016      FY 2017        FY 2017
                                  Enacted      Request    Recommendation
------------------------------------------------------------------------
Discretionary.................       23,235       24,427          21,735
Mandatory.....................       21,512       21,937          21,937
------------------------------------------------------------------------

                        Internal Revenue Service

    The Internal Revenue Service (IRS) revels in paying out 
over $400 billion in refunds annually, but the respect and 
affection of the American people is not for sale. The IRS 
betrayed the trust of Americans when it became known that the 
IRS inappropriately singled out certain tax-exempt groups for 
extra scrutiny based on their political beliefs. The magnitude 
of this betrayal cannot be overstated, but it is just one 
incident--albeit a mammoth one--of the seemingly never-ending 
torrent of IRS mismanagement.
    To address the inappropriate scrutiny, the bill includes 
language to:
     Prohibit funds for finalizing any regulation 
related to the standards used to determine the tax-exempt 
status of a 501(c)(4) organization;
     Prohibit funds for targeting groups for regulatory 
scrutiny based on their ideological beliefs;
     Prohibit funds for targeting citizens for 
exercising their First Amendment rights;
     Prohibit the White House from ordering the IRS to 
determine the tax-exempt status of an organization;
     Require compliance with the Federal Records Act, 
which prohibits the destruction of official records;
     Require IRS employees to be trained in the 
impartial application of tax law; and
     Provide the Treasury Inspector General for Tax 
Administration (TIGTA) with $170 million to enhance its audit 
and investigative oversight of the IRS.
    The Committee is troubled by the IRS's willingness to 
neglect taxpayers in need of assistance and by a recent 
revelation of cybersecurity weaknesses. The IRS blames budget 
cuts without acknowledging the degree of discretion it has to 
spend funds relatively unencumbered. The Government 
Accountability Office, however, has observed, ``Although 
resources are constrained, IRS has flexibility in how it 
allocates resources to ensure that limited resources are 
utilized as effectively as possible . . . [magnifying] the 
importance of strategically managing operations to make tough 
choices about which services to continue providing and which 
services to cut.'' The Committee strongly advises the IRS to 
make improving the quality and security of customer service a 
high priority and includes an additional $290,000,000 for this 
purpose.
    The Committee continues to be concerned with the IRS' role 
in implementation of the Affordable Care Act and, in 
particular, the individual mandate. At a time when the IRS has 
demonstrated little ability to either self-police or self-
correct, the IRS has even more authority over Americans' health 
coverage. The Committee finds this expansion of IRS authority 
to be unacceptable and, therefore, prohibits funding to 
implement the individual mandate and prohibits transfers from 
the Department of Health and Human Services to fund the IRS' 
implementation of the Affordable Care Act.

                    Small Business and Job Creation

    The bill makes programs that support small businesses and 
assist in private sector job creation a priority by providing 
$157,064,000 for the Small Business Administration's business 
loan program to support $28,500,000,000 in 7(a) lending and 
$7,500,000,000 in 504 lending. The bill also provides 
$125,000,000 for Small Business Development Centers, 
$19,000,000 for Women's Business Centers, $31,000,000 for 
Microloan Technical Assistance, and $250,000,000 for the 
Treasury's Community Development Financial Institutions Fund 
program. In support of small breweries and distilleries, the 
bill provides $111,439,000 for the Alcohol and Tobacco Tax and 
Trade Bureau, including additional funds for label and formula 
processing and enforcement activities. The bill also requires 
certain regulatory agencies to report to the Committee on their 
efforts to eliminate duplicative, outdated and burdensome 
regulations.

                  Law Enforcement and Counterterrorism

    The bill provides $6,955,503,000 in discretionary funds for 
the operations of the Federal Judiciary to fulfill their 
statutory requirements to process criminal, civil, bankruptcy 
and appellate cases; to supervise defendants and offenders 
living in our communities; and provide defendant representation 
to those that cannot afford it.
    The bill continues to make combating illegal drugs a 
priority by providing $253,000,000 for High Intensity Drug 
Trafficking Areas, which is $56,590,000 above the 
Administration's request, and $97,000,000 for the Drug-Free 
Communities program, which is $8,470,000 above the 
Administration's request.
    For the District of Columbia, the bill provides 
$274,541,000 for the operations of the District of Columbia 
Courts and $246,386,000 for the supervision of offenders and 
defendants, which are $140,000 and $1,622,000, respectively, 
less than the request.
    For Treasury's financial intelligence activities, the bill 
provides $120,000,000 for the Office of Terrorism and Financial 
Intelligence to enhance their capabilities to combat drug 
lords, terrorists, weapons of mass destruction proliferators, 
rogue nations and other threats. This is $3,000,000 above the 
enacted level and the Administration's request. In addition, 
the bill provides $116,000,000 for the Financial Crimes 
Enforcement Network to support the financial intelligence 
requirements of law enforcement and intelligence agencies.

                  Program Reductions and Terminations

    In order to pay for the small business and law enforcement 
priorities described above while reducing overall spending, the 
Committee has reduced the operating expenses for many agencies 
below the fiscal year 2016 level including: the Bureau of 
Fiscal Service; the Internal Revenue Service; National Security 
Council and Homeland Security Council; the Office of Management 
and Budget (OMB); the Office of National Drug Control Policy--
Salaries and Expenses; OMB--Information and Technology 
Oversight and Reform; the Court of Appeals for the Federal 
Circuit; Fees for Jurors; Federal payments for Resident Tuition 
Support; the Consumer Product Safety Commission; Election 
Assistance Commission; the Federal Communications Commission; 
the General Services Administration; the Privacy and Civil 
Liberties Oversight Board; Securities and Exchange Commission; 
the Small Business Administration--Disaster Loan 
Administration; and the Postal Service.
    In addition, the bill eliminates funding for several 
programs including: Department of the Treasury--Department-Wide 
Systems and Capital Investments; Executive Office of the 
President-Unanticipated Needs; Federal payment for the District 
of Columbia Water and Sewer Authority; the Harry S Truman 
Scholarship Foundation; the Morris K. Udall and Stewart L. 
Udall Foundation; and the Public Company and Accounting 
Oversight Board's scholarship program.

                      OVERSIGHT AND ACCOUNTABILITY

    In furtherance of the Committee's oversight 
responsibilities and commitment to accountability, the 
Committee has included the following language:
     Makes the Office of Financial Research (OFR) and 
the Consumer Financial Protection Bureau (CFPB) subject to the 
appropriations process starting in fiscal year 2018.
     Requires the CFPB to notify Congress when it 
requests a transfer of funds from the Board of Governors of the 
Federal Reserve System in fiscal year 2017.
     Changes the leadership structure of the CPFB from 
a single director to a five-member commission.
     Prohibits the CFPB from outlawing pre-dispute 
arbitration.
     Prohibits the Financial Stability Oversight 
Council from designating nonbanks as systemically important 
financial institutions until it identifies the risks to 
financial stability presented by the nonbank and allows the 
nonbank to present a plan to modify its business, structure, or 
operation to mitigate the identified risk prior to final 
designation.
     Requires additional reporting on mandatory 
expenses from OFR, CFPB, the Office of Financial Stability and 
the Judgment Fund.
     Makes the General Services Administration provide 
extensive reports on spending and activities.
     Freezes pay for the Vice President and senior 
Executive Branch political appointees.
     Checks the expansion of Executive Branch 
authorities by: prohibiting funds for signing statements that 
abrogate existing law; prohibiting funds for Executive Orders 
that contravene existing law; requiring budgetary impact 
statements for new or revoked Executive Orders and Presidential 
Memorandums; prohibits funding for so-called ``czars''; and 
prohibiting changes in agency spending without the enactment of 
an appropriations bill.
     Rescinds unobligated balances from the Securities 
and Exchange Commission's (SEC) mandatory reserve fund, making 
the SEC live within the appropriation provided.
     Prohibits the SEC from requiring firms to disclose 
their political contributions.
     Prohibits funds to be used in contravention of the 
Federal Records Act.
     Requires agencies to conduct investigations in 
compliance with the Fourth Amendment.
     Prohibits funds to implement Executive Order No. 
13690 (entitled ``Establishing a Federal Flood Risk Management 
Standard and a Process for Further Soliciting and Considering 
Stakeholder Input'') until certain conditions are met.
     Requires the Office of Management and Budget to 
report on the costs of Dodd-Frank.
     Prohibits the Federal Communications Commission 
(FCC) from implementing, administering, or enforcing any rule 
unless the FCC published the text of the rule at least 21 days 
before a vote on the rule.
     Prohibits the FCC from regulating rates for either 
broadband or wireless internet providers.
     Prohibits the FCC from implementing the net 
neutrality order until certain court challenges are decided.
     Prohibits the FCC from going forward with a 
proposed rule on set-top boxes until a peer-reviewed study is 
done by an academic institution and the FCC addresses concerns 
expressed by stakeholders.
    The Committee expects agencies to respond to Congressional 
requests for information in the form and manner requested and 
in a timely fashion. The process for handling Congressional 
requests, on occasion, necessitates a negotiation of mutual 
accommodation, but without resulting in delay or denial.

              OPERATING PLAN AND REPROGRAMMING PROCEDURES

    The Committee will continue to evaluate reprogrammings 
proposed by agencies. Although reprogrammings may not change 
either the total amount available in an account or the purposes 
for which the appropriation is legally available, they 
represent a significant departure from budget plans presented 
to the Committee in an agency's budget justification and 
supporting documents, which are the basis of this 
appropriations Act. The Committee expects agencies' 
reprogramming requests to explain thoroughly the reasons for 
the reprogramming and to include an assessment of whether the 
reprogramming will affect budget requirements for the 
subsequent fiscal year.
    Section 608 of this Act requires agencies or entities 
funded by the Act to notify the Committee and obtain prior 
approval from the Committee for any reprogramming of funds 
that: (1) creates a new program; (2) eliminates a program, 
project, or activity; (3) increases funds or personnel for any 
program, project, or activity for which funds have been denied 
or restricted by the Congress; (4) proposes to use funds 
directed for a specific activity by either the House or Senate 
Committees on Appropriations for a different purpose; (5) 
augments existing programs, projects, or activities in excess 
of $5,000,000 or 10 percent, whichever is less; (6) reduces 
existing programs, projects, or activities by $5,000,000 or 10 
percent, whichever is less; or (7) creates or reorganizes 
offices, programs, or activities.
    Additionally, the Committee expects to be promptly notified 
of all reprogramming actions which involve less than the above-
mentioned amounts if such actions would have the effect of 
significantly changing an agency's funding requirements in 
future years, or if programs or projects specifically cited in 
the Committee's reports are affected by the reprogramming. 
Reprogrammings meeting these criteria must be approved by the 
Committee regardless of the amount proposed to be reallocated.
    Section 608 also requires agencies to consult with the 
Committees on Appropriations prior to any significant 
reorganization or restructuring of offices, programs, or 
activities. This provision applies regardless of whether the 
reorganization or restructuring involves a reprogramming of 
funds. Agencies are encouraged to consult with the Committees 
early in the process so that any questions or concerns the 
Committees may have can be addressed in a timely manner.
    Agencies are directed under section 608 to submit operating 
plans for the Committee's review within 60 days of the bill's 
enactment. Each operating plan should include: (1) a table for 
each appropriation with a separate column to display the 
President's budget request, adjustments made by Congress, 
adjustments due to enacted rescissions, if appropriate, and the 
fiscal year enacted level; (2) a delineation in the table for 
each appropriation both by object class and program, project, 
and activity as detailed in the budget appendix for the 
respective appropriation; and (3) an identification of items of 
special congressional interest.

                  TITLE I--DEPARTMENT OF THE TREASURY


                          Departmental Offices


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................      $222,500,000
Budget request, fiscal year 2017*.....................       334,376,000
Recommended in the bill...............................       250,000,000
Bill compared with:
  Appropriation, fiscal year 2016.....................       +27,500,000
  Budget request, fiscal year 2017....................       -84,376,000
 
*Funding for the Office of Terrorism and Financial Intelligence was
  requested within the Departmental Office heading. Funding for the
  Department-wide Systems and Capital Investments Program and a new
  Cybersecurity Enhancement Account was requested as a separate heading.

    The Departmental Offices' function in the Department of the 
Treasury is to support the Secretary of the Treasury in his 
capacity as the chief operating executive of the Department and 
in his role in determining the tax, economic, and financial 
management policies of the Federal Government. The Secretary's 
responsibilities funded by the Salaries and Expenses 
appropriation include: recommending and implementing domestic 
and international economic and tax policy; providing 
recommendations regarding fiscal policy; governing the fiscal 
operations of the government; managing the public debt; 
managing development of financial policy; representing the U.S. 
on international monetary, trade and investment issues; 
overseeing Treasury Department overseas operations; directing 
the administrative operations of the Treasury Department; and 
providing executive oversight of the bureaus within the 
Treasury Department.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $250,000,000 
for Departmental Offices, Salaries and Expenses. The 
recommendation fully funds the Department's contributions to 
international governmental associations, and administrative 
expenses for implementing Resources and Ecosystems 
Sustainability, Tourism Opportunities, and Revived Economy of 
the Gulf Coast Act (RESTORE Act). The Committee provides 
sufficient funds to support the Department's cyber security 
initiatives.
    Wildlife Trafficking and Ivory Poaching.--The Department is 
directed to pursue and enforce money laundering and other 
related laws as related to wildlife trafficking and the illegal 
ivory trade, particularly in Africa, and to report to the 
Committees on Appropriations of the House and Senate 
semiannually during fiscal year 2017 on enforcement actions and 
other steps taken to carry out the Implementation Plan of the 
National Strategy on Wildlife Trafficking during such fiscal 
year.
    The Committee is encouraged by the variety of programs that 
apply innovative, science and data-based analytical tools to 
combat wildlife trade and trafficking and encourages enhanced 
monitoring and evaluation mechanisms and sharing of interagency 
findings and best practices to comprehensively target the 
financial underpinnings of wildlife trafficking. The Committee 
directs Treasury to work with the Department of State, the 
United States Agency for International Development, and the 
United States Fish and Wildlife Service to integrate 
information and share existing data and analytic capabilities 
to support a common operating platform that will inform 
strategies to combat money laundering and illicit trafficking 
and trade.
    Financial Transactions.--The Committee encourages the 
Department of the Treasury to work with Federal bank 
regulators, financial institutions, and money service 
businesses to ensure that legitimate financial transactions 
move freely and globally. The Committee is frustrated that the 
Department has failed to report on its efforts to ensure the 
appropriate flow of legitimate financial transactions and 
directs the Department to submit a report to the Committees on 
Appropriations of the House and Senate on this matter not later 
than 90 days after enactment of this Act.
    Puerto Rico.--Within 90 days of the date of enactment of 
this Act, the Department is directed to provide a report to the 
Committees on Appropriations of the House and Senate describing 
how the Department has used its authority to provide technical 
assistance to Puerto Rico in fiscal year 2016 and how it plans 
to use it in fiscal year 2017.
    Data Localization.--Laws that require U.S. financial 
institutions to build in-country data centers in order to 
operate in foreign markets are becoming increasingly 
challenging. These laws compound risks, increase the complexity 
of regulatory obligations, add security challenges, and raise 
the cost of operating globally. Since various Federal agencies 
have been examining the effect of these laws on different 
sectors of U.S. economy, the Committee assumes the Department 
of the Treasury is conducting the assessment on the financial 
sector and expects to be kept apprised on potential risks 
posed.
    Financial Stability Oversight Council and the Office of 
Financial Research.--The Committee believes the Office of 
Financial Research (OFR), established under P.L. 111-203, is 
unnecessarily opaque in its operations. The OFR and Financial 
Stability Oversight Council (FSOC) set their own budgets and 
then assess private institutions to pay for their operations, 
with no Congressional review of their funding. The Committee 
believes there should be adequate checks on OFR and FSOC 
actions, procedures, and funding. Therefore, the Committee has 
included language (sections 128, 129, and 130) which requires 
quarterly reporting on budget obligations, 90 day notice and 
comment for OFR reports and rules, and brings OFR under the 
appropriations process so that this office can be more 
transparent to the American people and Congress. For fiscal 
year 2017, the Administration estimates OFR and FSOC spending 
will total $105,000,000 and $18,000,000, respectively. When 
conducting research to support regulation of large swaths of 
the economy, both OFR and FSOC should be more receptive to the 
concerns, oversight, and counsel from the Legislative Branch.
    International Negotiations.--The Committee believes that 
there should be more transparency surrounding negotiations, 
agreements, meetings, and consultations conducted by members of 
FSOC with the Financial Stability Board (FSB) and other 
international financial and economic organizations. Better 
coordination among global financial regulators is critical due 
to the far reaching impact these negotiations have on 
businesses across the globe. Currently, there is a significant 
lack of public information about these activities. The U.S. 
must retain its ability to compete in the global marketplace 
and, as such, a transparent dialog between international and 
U.S. regulators that justifies the rationale for risk 
management systems is critical to making certain U.S. companies 
are not placed at a competitive disadvantage. The Committee 
advises FSOC not to pursue failed or untested domestic policies 
through international agreements.
    Basel Standards.--The Committee remains concerned that the 
U.S. prudential regulators have inappropriately applied several 
standards developed by the Basel Committee on Bank Supervision 
(Basel), including liquidity coverage ratio and the Advanced 
Approaches Risk-Based Capital Framework, which are explicitly 
designed for only the most internationally active, globally 
systemic, and highly complex banking organizations, also known 
as Globally Systemically Important Banks (G-SIBs), to less 
complex organizations like regional banking organizations, 
which have only limited foreign exposure and do not pose a 
threat to the U.S. or global financial system. The Committee 
encourages Treasury and other prudential regulators to 
reexamine the impact of certain liquidity and capital standards 
as they apply to U.S. regional banks and other less complex 
organizations.
    Cybersecurity.--The Committee recognizes the need to 
protect the financial services sector and its customers from 
the devastating effects of cyberattacks. While both industry 
and government have taken significant steps to mitigate this 
threat, there is more work to be done. The Committee encourages 
the continued coordination to develop consistent and workable 
cybersecurity safeguards across the financial services sector. 
Consistent with this goal, the Committee directs the Office of 
Critical Infrastructure Protection and Compliance Policy (OCIP) 
to report to the Committees on Appropriations of the House and 
Senate, the Committee on Financial Services of the House, and 
the Committee on Banking, Housing, and Urban Affairs of the 
Senate within 60 days of enactment of this Act on the status of 
this collaboration and ways to improve cybersecurity controls 
and safeguards.
    SIFI Designations.--The Committee is concerned that the 
FSOC is misusing its authority by designating certain nonbank 
financial institutions as systemically important financial 
institutions (SIFI). As such, the Committee believes that the 
FSOC would benefit from early and close consultation with the 
primary regulators of nonbank financial companies before 
determining a SIFI designation.
    The Committee strongly encourages the FSOC, in designating 
SIFIs, to take into account the distinctions between different 
asset management organizations, as well as the true risk to 
markets and the U.S. financial system. The FSOC should focus on 
activity-based designations, not size-based designations. In 
addition, the Committee expects the FSOC to solicit expert 
advice from and work closely with the Securities and Exchange 
Commission (SEC) in areas regarding securities regulation and 
management.
    The Committee has included section 626 which allows nonbank 
financial companies to shed any risk-prone areas of their 
business, as identified by the FSOC, prior to designation.
    The Committee notes the recent court decision related to 
the FSOC's SIFI designation of a nonbank. In light of this 
verdict, the Committee advises the FSOC to be prudent when 
making SIFI designations in the future. The Committee will 
continue to monitor this as the case works its way through the 
judicial review process. In addition, the Committee believes 
the FSOC should review and reevaluate SIFI designations 
annually and at the request of nonbank financial companies if 
there is a material change in their operations, activities, or 
in regulatory market conditions. During this review process, 
the FSOC should give companies a written analysis outlining 
specific activities that would be relevant to reevaluation, and 
the opportunity for the company to respond with relevant 
materials.
    Insurance.--Under P.L. 111-203, the Federal Reserve Board 
(Board) was given authority to oversee certain nonbank holding 
companies, including a few bank and savings and loan holding 
companies with insurance affiliates, as well as certain SIFIs, 
which currently include three insurance companies. P.L. 111-203 
also gave the Federal Insurance Office (FIO), within the 
Department of the Treasury, the authority to consult with the 
States on international issues and represent the U.S., as 
appropriate, in the International Association of Insurance 
Supervisors (IAIS).
    The Committee notes that the State-based system of 
insurance regulation has served our nation well for more than 
150 years. Any federal regulation of insurance can take final 
form only with explicit approval by Congress. It is important 
to note that other international financial agreements have had 
deleterious impacts on some of our nation's financial 
institutions.
    The Committee is concerned about the ongoing negotiations 
held by the IAIS to develop standards on a variety of issues, 
including capital and a definition of non-traditional, non-
insurance products, and believes the U.S. agencies party to 
those negotiations must appropriately fulfill their duties to 
advocate for the U.S. insurance market and State-based 
regulatory regime. The Committee also notes the importance of 
developing a domestic capital standard, pursuant to P.L. 111-
203 and P.L. 113-279, that is based on the existing domestic 
regulatory structure. The Committee believes it essential that 
a domestic standard should be set before approval of any 
international standard that will or could ultimately be applied 
to U.S. insurers. Finally, the Committee reminds those Federal 
agencies party to IAIS or Financial Stability Board (FSB) 
negotiations to not support consolidated group-wide insurance 
capital standards for domestically-chartered internationally 
active insurance groups that are inconsistent with current 
state-based insurance standards, which are designed solely for 
the protection of the policyholder.
    DATA Act.--The Committee is supportive of the Department's 
efforts to implement the Digital Accountability and 
Transparency Act of 2014 (DATA Act) and directs the Department 
to continue to emphasize a data-centric approach to federal 
financial reporting and to work with the Office of Management 
and Budget (OMB) to assure fully standardized automated agency 
data submissions. The Department is expected to keep the 
Committee informed on its DATA implementation efforts.
    Cross-border Regulatory Cooperation and Harmonization.--The 
Committee is concerned that both the Dodd-Frank Act and U.S. 
prudential regulators are creating a fragmented international 
financial system through an excessive ring-fencing regime of 
U.S. subsidiaries that does not recognize, and may 
disincentivize, cross-border regulatory cooperation. U.S. 
regulators should take into account the extent to which a 
foreign financial company is subject to home country standards, 
on a consolidated basis, that are comparable to, or exceed, 
those applied to financial companies in the United States. The 
Committee expects U.S. regulators to demonstrate cross-border 
regulatory cooperation, to include the mutual recognition of 
comparable or higher standards in certain jurisdictions, and to 
better coordinate with home country regulators to establish a 
mutual recognition framework so as to create greater incentives 
for all jurisdictions to raise their standards to U.S. levels.
    Multiemployer Pension Plans.--The Committee is concerned by 
possible federal budget implications of current means to 
address the insolvency of multiemployer pension plans.
    Hardest Hit.--The Hardest Hit Fund provides significant 
resources to States that were hardest hit by the economic 
crisis for 2008 and targets critical resources toward programs 
that help Americans avoid foreclosure and stablize housing 
markets. Using the Hardest Hit Fund to maintain vacant and 
abandoned properties and to demolish commercial structures 
would also be beneficial. The Committee does not recommend that 
additional funding for the Hardest Hit Fund be provided through 
this Act.

             OFFICE OF TERRORISM AND FINANCIAL INTELLIGENCE

                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................      $117,000,000
Budget request, fiscal year 2017*.....................       117,000,000
Recommended in the bill...............................       120,000,000
Bill compared with:
  Appropriation, fiscal year 2016.....................        +3,000,000
  Budget request, fiscal year 2017....................        +3,000,000
 
*Funding for the Office of Terrorism and Financial Intelligence was
  requested within the Departmental Office heading.

    Economic and trade sanctions issued and enforced by the 
Office of Terrorism and Financial Intelligence's (TFI) Office 
of Foreign Assets Control (OFAC) protect the financial system 
from being polluted with criminal and illicit activities and 
counteract national security threats from drug lords, 
terrorists, weapons of mass destruction proliferators, and 
rogue nations, among others. In addition to the enforcement of 
sanctions, TFI also produces vital analysis with regards to 
foreign intelligence and counterintelligence across all 
elements of the national security community.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $120,000,000 
for the Office of Terrorism and Financial Intelligence to carry 
out its central role in detecting and defeating security 
threats. The recommended level is $3,000,000 above the amount 
requested for these activities within ``Departmental Offices, 
Salaries and Expenses'' in fiscal year 2017 and $3,000,000 
above the fiscal year 2016 level. The Committee expects these 
additional funds to be used to strengthen the development and 
enforcement of sanction programs.
    Iran Sanctions Act.--The Committee directs the Department 
of the Treasury to report to Congress on the status of 
implementation and enforcement of non-nuclear, bilateral and 
multilateral sanctions against Iran and actions taken by the 
U.S. and international community to enforce such sanctions.
    Iran Nuclear Deal.--The Committee notes that the Joint 
Comprehensive Plan of Action (JCPOA), also known as the Iran 
nuclear deal is not binding for State and local governments. 
The existing framework under which States have passed 
restrictions on doing business with Iran is still in place, and 
States are fully within their rights to enact new restrictions, 
or maintain current laws.
    Sanctions Enforcement in Africa.--Protracted conflicts in 
nations such as Sudan, South Sudan, the Central African 
Republic, and the Democratic Republic of Congo have led to 
sanctions regimes and international arms embargoes to cut off 
the money flows that are fueling wars and contributing to 
regional destabilization. The Committee is concerned about the 
escalation of conflict and failure to abide by diplomatic 
agreements in these particular African states, even after 
sanctions have been imposed. The Committee supports the use of 
funds to enhance regional expertise and capacity for sanctions 
investigations, policy development, and enforcement of 
sanctions.

                      OFFICE OF INSPECTOR GENERAL

                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................       $35,416,000
Budget request, fiscal year 2017......................        37,044,000
Recommended in the bill...............................        37,044,000
Bill compared with:
  Appropriation, fiscal year 2016.....................        +1,628,000
  Budget request, fiscal year 2017....................             - - -
 

    The Office of Inspector General (OIG) provides agency-wide 
audit and investigative functions to identify and correct 
operational and administrative deficiencies that create 
conditions for fraud, waste, and mismanagement. The audit 
function provides contract, program, and financial statement 
audit services. Contract audits provide professional advice to 
agency contracting officials on accounting and financial 
matters relative to negotiation, award, administration, 
repricing, and settlement of contracts. Program audits review 
and evaluate all facets of agency operations. Financial 
statement audits assess whether financial statements fairly 
present the agency's financial condition and results of 
operations, the adequacy of accounting controls, and compliance 
with laws and regulations. The investigative function provides 
for the detection and investigation of improper and illegal 
activities involving programs, personnel, and operations.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $37,044,000 
for the OIG. The recommendation fully funds the cost of 
overseeing the Department's Resources and Ecosystems 
Sustainability, Tourism Opportunities, and Revived Economy of 
the Gulf Coast Act (RESTORE Act) activities.

           TREASURY INSPECTOR GENERAL FOR TAX ADMINISTRATION

                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................      $167,275,000
Budget request, fiscal year 2017......................       169,634,000
Recommended in the bill...............................       169,634,000
Bill compared with:
  Appropriation, fiscal year 2016.....................        +2,359,000
  Budget request, fiscal year 2017....................             - - -
 

    The Office of Treasury Inspector General for Tax 
Administration (TIGTA) conducts audits, investigations, and 
evaluations to assess the operations and programs of the IRS 
and its related entities, the IRS Oversight Board, and the 
Office of Chief Counsel. The purpose of those audits and 
investigations is as follows: (1) To promote the economic, 
efficient, and effective administration of the Nation's tax 
laws and to detect and deter fraud and abuse in IRS programs 
and operations; and (2) to recommend actions to resolve fraud 
and other serious problems, abuses, and deficiencies in these 
programs and operations.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $169,634,000 
for TIGTA. The Committee appreciates the many issues that TIGTA 
has brought to its attention and provides funding above the 
request to enhance TIGTA's oversight of IRS activities and use 
of appropriated funds.
    Cybersecurity.--Since cyberattacks continue to be a threat 
to the Federal Government, the Committee is concerned with the 
potential damage such an attack would have on the Internal 
Revenue Service. Therefore, the Committee directs the TIGTA to 
submit a report to the Committees on Appropriations of the 
House and Senate not less than six months after enactment of 
this Act describing the cyberattacks and attempted cyberattacks 
against the agency and their consequences; the steps taken to 
prevent, mitigate or otherwise respond to such attacks; the 
cybersecurity policies and procedures in place, including 
policies about ensuring safe use of computer and mobile devices 
by individual employees; and a description of all outreach 
efforts undertaken to increase awareness among employees and 
contractors of cybersecurity risks as well as an update on 
prior reported cyber incidents.

    SPECIAL INSPECTOR GENERAL FOR THE TROUBLED ASSET RELIEF PROGRAM

                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................       $40,671,000
Budget request, fiscal year 2017......................        41,160,000
Recommended in the bill...............................        41,160,000
Bill compared with:
  Appropriation, fiscal year 2016.....................          +489,000
  Budget request, fiscal year 2017....................             - - -
 

    The Office of the Special Inspector General for the 
Troubled Asset Relief Program (SIGTARP) was established in the 
Emergency Economic Stabilization Act of 2008 (Public Law 110-
343). Its mission is to conduct, supervise, and coordinate 
audits and investigations of the purchase, management, and sale 
of assets by the Secretary of the Treasury under programs 
established pursuant to the Troubled Asset Relief Program 
(TARP).

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $41,160,000 
for SIGTARP.
    SIGTARP's operating expenses were initially funded with 
mandatory appropriations in the TARP. These funds, however, 
were provided in a limited amount. As such, every year the 
amount of remaining mandatory funds has been decreasing over 
time. In order to continue vigorous oversight of the 
outstanding TARP amounts, additional discretionary 
appropriations are provided.

                  Financial Crimes Enforcement Network


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................      $112,979,000
Budget request, fiscal year 2017......................       115,003,000
Recommended in the bill...............................       116,000,000
Bill compared with:
  Appropriation, fiscal year 2016.....................        +3,021,000
  Budget request, fiscal year 2017....................          +997,000
 

    The Financial Crimes Enforcement Network (FinCEN) is 
responsible for implementing Treasury's anti-money laundering 
regulations through administration of the Bank Secrecy Act 
(BSA). It also collects and analyzes information to assist in 
the investigation of money laundering and other financial 
crimes. FinCEN supports law enforcement investigative efforts 
by Federal, State, local and international agencies, and 
fosters interagency and global cooperation against domestic and 
international financial crimes.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $116,000,000 
for FinCEN. The recommended amount is intended to ensure 
FinCEN's information is accessible to the law enforcement and 
intelligence communities and to ensure FinCEN can respond to 
requests for assistance from law enforcement. The data compiled 
and analyzed by FinCEN is a critical tool for investigating, 
among other crimes, money laundering, mortgage fraud, drug 
cartels, and terrorist financing.
    Human Trafficking.--The Committee appreciates FinCEN's 
history of supporting law enforcement cases that combat human 
trafficking, including its 2014 Guidance on Recognizing 
Activity that May be Associated with Human Smuggling and Human 
Trafficking to financial institutions, and emphasizes the 
importance of continuing this effort as part of the bureau's 
broader mission to detect and disrupt all forms of financial 
crime. Wherever possible, FinCEN shall marshal its unique 
expertise in analyzing financial flows for this important 
effort in the course of ongoing strategic operations, such as 
the Southwest Border Initiative, and provide the appropriate 
assistance to law enforcement agencies in their human 
trafficking investigations.

                        Treasury Forfeiture Fund


                              (RESCISSION)

 
 
 
Appropriation, fiscal year 2016.......................     -$700,000,000
Budget request, fiscal year 2017......................      -657,000,000
Recommended in the bill...............................      -753,610,000
Bill compared with:
  Appropriation, fiscal year 2016.....................       -53,610,000
  Budget request, fiscal year 2017....................       -96,600,000
 

                        COMMITTEE RECOMMENDATION

    The Committee recommends a rescission of $753,610,000 of 
unobligated balances in the Treasury Forfeiture Fund. The funds 
collected, disbursed and rescinded out of the Treasury 
Forfeiture Fund (the Fund) are incidental to law enforcement 
activities and priorities that led to the seizures and 
forfeitures. Disrupting and dismantling criminal organizations 
that pose the greatest threat to public safety and security is 
the highest priority of any law enforcement agency. The Fund 
can ensure resources are managed efficiently to cover the costs 
of an effective asset seizure and forfeiture program, including 
the costs of seizing, evaluating, inventorying, maintaining, 
protecting, advertising, forfeiting and disposing of property, 
but it must neither augment agency funding nor circumvent the 
appropriations process. Reliance on the Fund to offset the day-
to-day operations, or to pay for new activities, creates an 
incentive to pursue cases suspected of high valued forfeitures 
rather than to target individuals or organizations that 
perpetrate the worst crimes against society.
    The Committee directs the Department to submit to the 
Committees on Appropriations of the House and Senate a detailed 
table every month reporting the interest earned, forfeiture 
revenue collected, unobligated balances, recoveries, expenses 
to date, and expenses estimated for the remainder of the fiscal 
year.

                      Bureau of the Fiscal Service


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................      $363,850,000
Budget request, fiscal year 2017......................       353,057,000
Recommended in the bill...............................       353,057,000
Bill compared with:
  Appropriation, fiscal year 2016.....................       -10,793,000
  Budget request, fiscal year 2017....................             - - -
 

    The mission of the Bureau of the Fiscal Service is to 
promote the financial integrity and operational efficiency of 
the U.S. Government through accounting, borrowing, collections, 
payments, and shared services. The Fiscal Service is the 
Federal Government's central financial agent. The Fiscal 
Service also develops and implements reliable and efficient 
financial methods and systems to operate the government's cash 
management, credit management, and debt collection programs in 
order to maintain government accounts and report on the status 
of the government's finances. In addition, the Fiscal Service 
is the primary agency for collecting Federal non-tax debt owed 
to the government, and is responsible for the conduct of all 
public debt operations and the promotion of the sale of U.S. 
securities.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $353,057,000 
for the Fiscal Service. Of the funds provided, $4,210,000 is 
available until September 30, 2019, for information systems 
modernization.
    The Committee is pleased that the Fiscal Service continues 
to realize cost-savings from the consolidation of the Bureau of 
Public Debt and the Financial Management Service.
    DATA Act.--The Committee is supportive of the Department's 
implementation of the DATA Act (P.L. 113-101). The Fiscal 
Service has worked to establish a DATA Act Schema that 
leverages industry standards to create a government-wide data 
structure for federal spending information. However, the 
Committee is concerned about the Administration's ability to 
meet the May 2017 reporting deadline without clear, final 
guidance from the Office of Management and Budget (OMB). 
Specifically, the Committee is concerned by the findings in a 
recent January 2016 GAO report (``Data Standards Established, 
but More Complete and Timely Guidance Is Needed to Ensure 
Effective Implementation''; GAO 16 261), which found that many 
of the 57 draft data elements released by OMB and the Treasury 
Department in August 2015 (``Federal Spending Transparency Data 
Standards'') to have ambiguous or vague definitions that could 
inhibit government-wide aggregation of agency reported data. 
Moreover, final reporting guidance needs to be issued to 
agencies to clarify how they are to extract, compile, 
standardize, and report their spending data in advance of the 
law's May 2017 deadline.
    Within this appropriation, funding is included for 
USAspending.gov. The Committee expects the Fiscal Service to 
meet its transparency goals within USAspending.gov related to 
the DATA Act and will monitor progress in achieving government 
spending transparency. The Committee directs the Fiscal Service 
to meet its transparency goals within USAspending.gov and 
coordinate with OMB to publish all unclassified vendor 
contracts and grant awards for all federal agencies on 
USAspending.gov. The Committee directs the Fiscal Service to 
display this information online and report to the Committees on 
Appropriations of the House and Senate within 90 days of the 
enactment of this Act on its progress in achieving government 
spending transparency.
    Judgment Fund.--The Committee appreciates Treasury's 
release of the fiscal year 2015 annual report regarding 
payments made by the Judgment Fund under 31 U.S.C. 1304. The 
Committee directs the Department to issue the 2016 report 
within 60 days of enactment of this Act for the 2016 fiscal 
year, and directs that the report include all judgment fund 
payments since 2008, unless the disclosure of such information 
is otherwise prohibited by law or court order. The report shall 
consist of: (1) the name of the plaintiff or claimant; (2) the 
name of the counsel for the plaintiff or claimant; (3) the name 
of the agency that submitted the claim; (4) a brief description 
of the facts that gave rise to the claim; and (5) the amount 
paid representing principal, attorney fees, and interest, if 
applicable.
    Do Not Pay Business Center.--The Committee supports the Do 
Not Pay Business Center's goal of preventing ineligible 
recipients from receiving payments or awards from the Federal 
Government. This program supports the implementation of the 
Improper Payments Elimination and Recovery Improvement Act of 
2012 (P.L. 112-248) which requires executive agencies to review 
all payments and awards before issuance. The Committee expects 
the Fiscal Service to sufficiently support the Do Not Pay 
Business Center within the Fiscal Service appropriation for 
fiscal year 2017.

                Alcohol and Tobacco Tax and Trade Bureau


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................      $106,439,000
Budget request, fiscal year 2017......................       106,439,000
Recommended in the bill...............................       111,439,000
Bill compared with:
  Appropriation, fiscal year 2016.....................        +5,000,000
  Budget request, fiscal year 2017....................        +5,000,000
 

    The Alcohol and Tobacco Tax and Trade Bureau (TTB) is 
responsible for the enforcement of laws designed to eliminate 
certain illicit activities and to regulate lawful activities 
relating to distilled spirits, beer, wine, and nonbeverage 
alcohol products, and tobacco. TTB focuses on collecting 
revenue; reducing taxpayer burden and improving service while 
preventing diversion; and protecting the public and preventing 
consumer deception in certain regulated commodities.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $111,439,000 
for the TTB.
    Within this amount, an additional $5,000,000 is included to 
help accelerate processing time for label and formula 
applications, and an additional $5,000,000 is included for 
increased enforcement of the Federal Alcohol Administration Act 
(FAA Act).
    Enforcement.--The Committee has included an additional 
$5,000,000 over the fiscal year 2016 level for TTB to increase 
enforcement efforts for industry trade practice violations. 
Enforcement of basic trade practice functions, required under 
the FAA Act, is critical to ensuring a competitive, fair, and 
safe marketplace. The Committee directs the TTB to report to 
the Committees on Appropriations of the House and Senate, 
within 60 days of enactment of this Act, on how the additional 
funding will be used to bolster enforcement, forensic audits, 
and investigations particularly in known points in the supply 
chain that are susceptible to illegal activity.
    Processing Time.--The Committee has again included 
$5,000,000 for TTB to accelerate processing times for formula 
and label applications. The Committee continues to be concerned 
by the delays involved in securing basic label and formula 
approvals required under the FAA Act and has directed 
additional funding to the agency for enforcement of the 
regulations under the FAA Act. Building on the report from last 
year, the Committee directs the TTB to again report to the 
Committees on Appropriations of the House and Senate, within 60 
days of enactment of this Act, on how the additional funding 
will be used to create greater efficiencies in responding to 
the growing demand from stakeholders.

                           United States Mint


               UNITED STATES MINT PUBLIC ENTERPRISE FUND

    The United States Mint manufactures coins, receives 
deposits of gold and silver bullion, and safeguards the Federal 
Government's holdings of monetary metals. In 1997, Congress 
established the United States Mint Public Enterprise Fund 
(Public Law 104-52), which authorized the Mint to use proceeds 
from the sale of coins to finance the costs of its operations 
and consolidated all existing Mint accounts into a single fund. 
Public Law 104-52 also provided that, in certain situations, 
the levels of capital investments for circulating coins and 
protective services shall factor into the decisions of the 
Congress.

                        COMMITTEE RECOMMENDATION

    The Committee recommends a spending level for capital 
investments by the Mint for circulating coinage and protective 
services of $30,000,000 for fiscal year 2017.

   Community Development Financial Institutions Fund Program Account


 
 
 
Appropriation, fiscal year 2016.......................      $233,523,000
Budget request, fiscal year 2017......................       245,923,000
Recommended in the bill...............................       250,000,000
Bill compared with:
  Appropriation, fiscal year 2016.....................       +16,477,000
  Budget request, fiscal year 2017....................        +4,077,000
 

    The Community Development Financial Institutions (CDFI) 
Fund provides grants, loans, equity investments, and technical 
assistance, on a competitive basis, to new and existing CDFIs 
such as community development banks, community development 
credit unions, and housing and microenterprise loan funds. 
Recipients use the funds to support mortgages, small business 
and economic development lending in underserved and distressed 
neighborhoods and to support the availability of financial 
services in these neighborhoods. The CDFI Fund is also 
responsible for implementation of the New Markets Tax Credits.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $250,000,000 
for the CDFI Fund program. Of the amounts provided, 
$184,000,000 is for financial and technical assistance grants, 
$6,000,000 is for CDFIs to provide technical and financial 
assistance to individuals with disabilities, $16,000,000 is for 
Native Initiatives, $19,000,000 is for the Bank Enterprise 
Award Program, and $25,000,000 is for the administrative 
expenses for all programs of which no less than $2,000,000 is 
to build a stronger network of CDFIs to integrate their 
programs with individuals with disabilities. In addition, the 
Committee recommends a loan level of $250,000,000 for the Bond 
Guarantee Program.
    CDFIs in U.S. Insular Areas.--The Committee notes the 
absence of CDFIs serving American Samoa, Northern Mariana 
Islands and other U.S. insular areas and recommends that the 
CDFI Fund use its Capacity Building Initiative to expand 
service, to the extent practical, to these areas.
    Likewise, the Committee encourages the expansion of CDFIs 
in Puerto Rico.
    CDFI Program Integration for Individuals with 
Disabilities.-- The Committee is pleased to provide dedicated 
funds for financial and technical assistance grants to position 
more CDFI's to respond to the housing, transportation, 
education, and employment needs of underserved, low-income, 
individuals with disabilities. By increasing the visibility of 
the disability community, the Committee expects CDFI's to 
incorporate the needs of the disabled into their business plans 
and practices. Additional funds are provided for capacity 
building to provide instruction and education on how the needs 
of low-income, individuals with disabilities can be integrated 
into an array of investments and financial services.
    The Committee directs the CDFI to submit a quarterly report 
no later than 30 days following the end of each calendar 
quarter in fiscal year 2017 to the Committees on Appropriations 
of the House and Senate that include a summary of the progress 
made toward developing a competitive application pool of CDFIs 
to compete for these funds along with objective selection 
criteria, promoting CDFI growth to assist individuals with 
disabilities, and creating a timeline with milestones to 
complete these activities. Additionally, the Committee is 
interested in the number of awards, amount of each award, types 
of programs and impact the funding has made on the disability 
community. The report should also include CDFI's findings and 
recommendations to improve upon the implementation of these 
activities.

                        Internal Revenue Service

    The Committee recommends providing $10,999,000,000 for the 
IRS, which is $236,000,000 below current level and 
$1,281,095,000 below the request. This recommendation would 
fund the IRS, in total, below their fiscal year 2008 level. 
Funding for the Taxpayer Service account is at $2,156,554, 
which is equal to their current level. However, Congress 
recommends an additional $290,000,000 dedicated to improve 
taxpayer services, identity theft, and cybersecurity.
    In addition, the Committee includes language to:
     Prohibit funds for finalizing any regulation 
related to the standards used to determine the tax-exempt 
status of a 501(c)(4) organization;
     Prohibit funds for IRS employee bonuses and awards 
that do not consider the conduct and tax compliance of such 
employees;
     Prohibit funds for hiring former IRS employees 
without considering the employees past conduct and tax 
compliance;
     Prohibit funds for targeting groups for regulatory 
scrutiny based on their ideological beliefs;
     Prohibit funds for targeting citizens for 
exercising their First Amendment rights;
     Prohibit funds for conferences that do not comply 
with the Treasury Inspector General for Tax Administration's 
(TIGTA) recommendations regarding conferences;
     Prohibit funds for the production of videos that 
have not been reviewed for cost, topic, tone, and purpose and 
certified to be appropriate;
     Prohibit the White House from ordering the IRS to 
determine the tax-exempt status of an organization;
     Require extensive reporting on IRS spending; and
     Provide TIGTA with $170 million for its audit and 
investigative oversight of the IRS.
    The Committee remains aggrieved by the IRS' past attempt to 
propose new regulations for determining the tax-exempt status 
of 501(c)(4) organizations, which offended organizations across 
the political spectrum. It is not evident what clarity these 
proposed regulations will provide and it is likely they will 
breed confusion among organizations regarding their tax-exempt 
status. Given these concerns, the Committee continues a funding 
prohibition to prevent the Department of the Treasury from 
implementing their proposed or revised regulation regarding the 
standards and definitions used to determine the tax-exempt 
status of organizations under section 501(c)(4) of the Internal 
Revenue Code.
    A description of the Committee's recommendation by 
appropriation is provided below.

                           TAXPAYER SERVICES

 
 
 
Appropriation, fiscal year 2016.......................    $2,156,554,000
Budget request, fiscal year 2017......................     2,406,318,000
Recommended in the bill...............................     2,156,554,000
Bill compared with:
  Appropriation, fiscal year 2016.....................             - - -
  Budget request, fiscal year 2017....................      -249,764,000
 

    The Taxpayer Services appropriation provides for taxpayer 
services, including forms and publications; processing tax 
returns and related documents; filing and account services; 
taxpayer advocacy services; and assisting taxpayers to 
understand their tax obligations, correctly file their returns, 
and pay taxes due in a timely manner.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $2,156,554,000 
for Taxpayer Services, which is $83 million below the account's 
pre-sequestration funding level. Within the amount provided, 
the Committee expects the IRS to sufficiently fund the Taxpayer 
Advocate Service.
    Identity Theft.--Identity theft remains a persistent 
obstacle to accurate, fair, and efficient tax collection. 
Innocent taxpayers, who otherwise comply with their tax 
obligations, have their refunds delayed and are drawn 
unwittingly into the IRS examination process because their 
identity was stolen and misused. This problem is especially 
pernicious in the U.S. territories and possessions, where 
organized schemes fraudulently use the taxpayer identification 
numbers of territorial residents to obtain credits or refunds 
on tax returns filed with the United States, costing American 
taxpayers billions of dollars.
    The Committee requires a report, reviewed by the National 
Taxpayer Advocate, from the IRS that covers 2010-2016 period 
on: the number of taxpayers who have had their tax return 
rejected because their Social Security or taxpayer 
identification number was improperly used by another individual 
to commit tax fraud; the average time to resolve the situation 
and provide innocent taxpayers with their refund, when a refund 
is due; and the number of cases involving taxpayer 
identification numbers of residents of the territories. The 
report will also include a discussion on IRS's progress and 
plans to expedite resolution for these taxpayers, to prevent 
non-victims from becoming victims, to educate the public on the 
threat of identity theft, and to detect, prevent, and combat 
identity-based tax fraud and actions. The report should address 
IRS' plans and progress to implement the GAO recommendations 
listed in its March 28, 2016, report ``Information Security''. 
The Committee directs the IRS to submit the report to the 
Committees on Appropriations of the House and Senate by June 
17, 2017.
    Pre-Filled or Simple Tax Returns.--The Committee believes 
that converting a voluntary compliance system to a bill 
presentment model would represent a significant change in the 
relationship between taxpayers and their government. The simple 
return model would also strain IRS resources and the data 
retrieval systems required would create new burdens on 
employers, particularly small businesses. In addition, a 
fundamental conflict of interest seems to be inherent in the 
nation's tax collector and compliance enforcer taking on the 
simultaneous role of tax preparer and financial advisor. The 
Committee expects that the IRS will not begin work on a simple 
tax return pilot program or associated systems without first 
seeking specific authorization and appropriations from 
Congress, and should instead focus on helping Congress and the 
Administration achieve real tax simplification and reform.
    Level of Service Plan.--The IRS would benefit from 
exploring new customer service innovations to deliver quality 
and timely telephone and written correspondence service to 
taxpayers. The Committee agrees with the Government Accounting 
Office recommendation that the IRS should systematically and 
periodically compare its level of telephone service to the best 
in business to identify gaps between actual and desired 
performance and directs IRS to submit a plan to the Committees 
on Appropriations of the House and Senate six months after the 
enactment of this Act. This should include a customer service 
plan with specific goals, strategies, and resources to achieve 
those goals.
    Earned Income Tax Credits.--The Committee recognizes the 
importance of continued efforts to improve the administration 
of the Earned Income Tax Credits (EITC) for all taxpayers and 
encourages the IRS to explore new strategies to reduce 
fraudulent EITC claims.

                              ENFORCEMENT

 
 
 
Appropriation, fiscal year 2016.......................    $4,860,000,000
Budget request, fiscal year 2017......................     5,216,263,000
Recommended in the bill...............................     4,760,000,000
Bill compared with:
  Appropriation, fiscal year 2016.....................      -100,000,000
  Budget request, fiscal year 2017....................      -456,263,000
 

    The Enforcement appropriation provides for the examination 
of tax returns, both domestic and international; the 
administrative and judicial settlement of taxpayer appeals of 
examination findings; technical rulings; monitoring employee 
pension plans; determining qualifications of organizations 
seeking tax-exempt status; examining tax returns of exempt 
organizations; enforcing statutes relating to detection and 
investigation of criminal violations of the internal revenue 
laws; identifying underreporting of tax obligations; securing 
unfiled tax returns; and collecting unpaid accounts.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $4,760,000,000 
for Enforcement. Of the funds provided, the Committee 
recommends not less than $60,257,000 to support IRS activities 
under the Interagency Crime and Drug Enforcement program. None 
of the funds requested for implementation of the Patient 
Protection and Affordable Care Act are provided.
    Regulation of Paid Preparers.--Last year, the Committee 
requested a report by the IRS on the regulation of paid 
preparers to be reviewed by the Government Accountability 
Office. The Committee is looking forward to the report in order 
to learn more about the cost-effectiveness of education and 
filing season readiness standards.
    Favorable Determination Letters.--The Committee believes 
the Favorable Determination Letter program is a valuable and 
useful service, assuring tax administrators that they are 
operating employee plans in compliance with tax law.
    Guidelines for Pari-mutuel Winnings.--The Committee 
appreciates the Department of the Treasury's proposed rule 
(REG-132253-11) published on March 4, 2015, along with the 
associated public hearing held on June 17, 2015. The Committee 
encourages the Treasury to expedite final consideration of the 
guidance which would modernize the rules governing pari-mutuel 
wagering.
    Foreign Account Tax Compliance Act.--No later than 180 days 
after enactment of this Act, the Department of the Treasury 
shall submit a report to the Committees of Appropriations of 
the House and Senate on its decision (TD 9610 (78 FR 5874)) and 
TD 9657 (79 FR 12811)) to require withholding on non-cash value 
insurance premiums, including payments by foreign insurance 
brokers. No later than 180 days after enactment of this Act, 
the Committee directs the Government Accountability Office to 
determine the impacts of FATCA on United States citizens living 
abroad and make recommendations on FATCA implementation.

                           OPERATIONS SUPPORT

 
 
 
Appropriation, fiscal year 2016.......................    $3,638,446,000
Budget request, fiscal year 2017......................     4,314,099,000
Recommended in the bill...............................     3,502,446,000
Bill compared with:
  Appropriation, fiscal year 2016.....................      -136,000,000
  Budget request, fiscal year 2017....................      -811,653,000
 

    The Operations Support appropriation provides for overall 
planning and direction of the IRS, including shared service 
support related to facilities services, rent payments, 
printing, postage, and security. Specific activities include 
headquarters management activities such as strategic planning, 
communications and liaison, finance, human resources, Equal 
Employment Opportunity and diversity, research, information 
technology, and telecommunications.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $3,502,446,000 
for Operations Support. None of the funds requested for 
implementation of the Patient Protection and Affordable Care 
Act are provided.
    Printed Forms and Instructions.--The Committee encourages 
the IRS to continue to provide printed forms and instructions 
to vulnerable populations, especially rural communities where 
internet usage rates are below the national average.
    Obligations and Employment.--Not later than 45 days after 
the end of each quarter, the Internal Revenue Service shall 
submit reports on its activities to the House and the Senate 
Committees on Appropriations. The reports shall include 
information about the obligations made during the previous 
quarter by appropriation, object class, office, and activity; 
the estimated obligations for the remainder of the fiscal year 
by appropriation, object class, office, and activity; the 
number of full-time equivalents within each office during the 
previous quarter; and the estimated number of full-time 
equivalents within each office for the remainder of the fiscal 
year.
    Information Technology Reports.--The Committee directs the 
IRS to submit quarterly reports on particular major project 
activities to the Committees on Appropriations of the House and 
the Senate and the GAO, no later than 30 days following the end 
of each calendar quarter in fiscal year 2017. The Committee 
expects the reports to include detailed, plain English 
explanations of the cumulative expenditures and schedule 
performance to date, specified by fiscal year; the costs and 
schedules for the previous 3 months; the anticipated costs and 
schedules for the upcoming 3 months; and the total expected 
costs to complete the following major information technology 
project activities: IRS.gov; Returns Remittance Processing; 
EDAS/IPM; Information Returns and Document Matching; E-
services; Taxpayer Advocate Service Integrated System; 
Affordable Care Act administration; and other projects 
associated with significant changes in law. In addition, the 
quarterly report should clearly explain when the project was 
started; the expected date of completion; the percentage of 
work completed as compared to planned work; the current and 
expected state of functionality; any changes in schedule; and 
current risks unrelated to funding amounts and mitigation 
strategies. The Committee directs the Department of the 
Treasury to conduct a semi-annual review of IRS's IT 
investments to ensure the cost, schedule, and scope of the 
projects goals are transparent. The Committee further directs 
GAO to review and provide an annual report to the Committees 
evaluating the cost and schedule of activities of all major IRS 
information technology projects for the year, with particular 
focus on the projects about which the IRS is submitting 
quarterly reports to the Committee.
    Identity Protection Personal Identification Numbers.--The 
IRS' Identity Protection Personal Identification Numbers (IP 
PIN) pilot program, conducted in Florida, Georgia, and the 
District of Columbia to prevent tax refund fraud by identity 
theft, was suspended in FY 2016 due to ID PIN theft. The 
Committee directs the IRS to submit a detailed report to the 
Committees of Appropriations in the House and Senate not later 
than 120 days after enactment of this Act on the security 
enhancements implemented to prevent stolen ID PINs and make the 
system operational again, cost of system improvements, the 
number of people with stolen ID PINs, the number and total 
dollar amount of refunds provided as a result of the stolen ID 
PINs and the timeframe and assistance provided to victims of ID 
PIN theft to file their taxes, obtain their refunds, and secure 
their personal information.

                     BUSINESS SYSTEMS MODERNIZATION

 
 
 
Appropriation, fiscal year 2016.......................      $290,000,000
Budget request, fiscal year 2017......................       343,415,000
Recommended in the bill...............................       290,000,000
Bill compared with:
  Appropriation, fiscal year 2016.....................             - - -
  Budget request, fiscal year 2017....................       -53,415,000
 

    The Business Systems Modernization (BSM) appropriation 
provides funding to modernize key business systems of the 
Internal Revenue Service.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $290,000,000 
for BSM. The Committee continues to support IRS in its efforts 
to modernize its business systems such as CADE 2 and the 
Enterprise Case Management systems as well as the Return Review 
Program that enhances IRS capabilities to detect, address, and 
prevent tax refund fraud.
    Information Technology Reports.--The Committee expects the 
IRS to continue to submit quarterly reports to the Committees 
and GAO during fiscal year 2017, no later than 30 days 
following the end of each calendar quarter. The Committee 
expects the reports to include detailed, plain English 
explanations of the cumulative expenditures and schedule 
performance to date, specified by fiscal year; the costs and 
schedules for the previous 3 months; the anticipated costs and 
schedules for the upcoming 3 months; and the total expected 
costs to complete CADE2 and MeF. In addition, the quarterly 
report should clearly explain when the project was started; the 
expected date of completion; the percentage of work completed 
as compared to planned work; the current and expected state of 
functionality; any changes in schedule; and current risks 
unrelated to funding amounts and mitigation strategies. The 
Committee directs the Department of the Treasury to conduct a 
semi-annual review of CADE2 and MeF to ensure the cost, 
schedule, and scope goals of the projects are transparent. The 
Committee further directs GAO to review and provide an annual 
report to the Committee evaluating the cost and schedule of 
CADE2 and MeF activities for the year, as well as an assessment 
of the functionality achieved.
    Audit Trail Compliance.--Audit trails are a key component 
of effective information technology security. Maintaining 
sufficient audit trails is critical to establishing 
accountability over users and their actions within information 
systems. The Committee directs the IRS to submit quarterly 
reports to the Committees on Appropriations of the House and 
Senate and Treasury Inspector General for Tax Administration 
(TIGTA) on its progress towards implementing the audit trail 
requirements described in TIGTA's ``Semiannual Report to 
Congress April 1, 2015--September 30, 2015'', consistent with 
the Internal Revenue Manual, for legacy and planned business 
systems modernization investments with priority consideration 
to business systems presenting the most significant threats to 
taxpayer information.

          ADMINISTRATIVE PROVISIONS--INTERNAL REVENUE SERVICE

                     (INCLUDING TRANSFERS OF FUNDS)

    Section 101. The Committee continues a provision that 
allows for the transfer of five percent of any appropriation 
made available to the IRS to any other IRS appropriation, upon 
the advance approval of the Committees on Appropriations of the 
House and Senate.
    Section 102. The Committee continues a provision that 
requires the IRS to maintain a training program to include 
taxpayer rights, dealing courteously with taxpayers, cross-
cultural relations, and the impartial application of tax law.
    Section 103. The Committee continues a provision that 
requires the IRS to institute and enforce policies and 
procedures that will safeguard the confidentiality of taxpayer 
information and protect taxpayers against identity theft.
    Section 104. The Committee continues a provision that makes 
funds available for improved facilities and increased staffing 
to provide efficient and effective 1-800 number help line 
service for taxpayers.
    Section 105. The Committee continues a provision with 
modifications requiring videos produced by the IRS to be 
approved in advance by the Service-Wide Video Editorial Board.
    Section 106. The Committee continues a provision that 
requires the IRS to notify employers of any address change 
request and to give special consideration to offers in 
compromise for taxpayers who have been victims of payroll tax 
preparer fraud.
    Section 107. The Committee continues a provision with 
modifications that prohibits the IRS from targeting U.S. 
citizens for exercising their First Amendment rights.
    Section 108. The Committee continues a provision with 
modifications that prohibits the IRS from targeting groups 
based on their ideological beliefs.
    Section 109. The Committee continues a provision with 
modifications that requires the IRS to comply with procedures 
and policies on conference spending as recommended by the 
Treasury Inspector General for Tax Administration.
    Section 110. The Committee includes a new provision that 
prohibits funds made available in the healthcare reform act to 
the Department of Health and Human Services from being 
transferred to the IRS for implementing the healthcare reform 
act.
    Section 111. The Committee includes a new provision that 
prohibits funds from being used to implement the individual 
mandate of the Affordable Care Act.
    Section 112. The Committee continues a provision with 
modifications that prohibits funds for giving bonuses to 
employees or hiring former employees without considering 
conduct and compliance with Federal tax law.
    Section 113. The Committee continues a provision with 
modifications that prohibits funds to violate the 
confidentiality of tax returns.
    Section 114. The Committee continues a provision with 
modifications that prohibits funds for pre-populated returns.
    Section 115. In addition to the amounts otherwise made 
available in this Act for the Internal Revenue Service, 
$290,000,000, to be available until September 30, 2018, shall 
be transferred by the Commissioner to the ``Taxpayer 
Services'', ``Enforcement'', or ``Operations Support'' accounts 
of the Internal Revenue Service for an additional amount to be 
used solely for measurable improvements in the customer service 
representative level of service rate, to improve the 
identification and prevention of refund fraud and identity 
theft, and to enhance cybersecurity to safeguard taxpayer data. 
The required spending plan must include objective, and 
quantifiable measures to improve the level of customer service 
during and after the tax filing season, reduce the number of 
taxpayer ID thefts and improve cybersecurity in order for 
Congress and the public to evaluate how well the IRS achieved 
its goals.

         Administrative Provisions--Department of the Treasury


                     (INCLUDING TRANSFERS OF FUNDS)

    Section 116. The Committee continues a provision that 
authorizes the Department to purchase uniforms, insurance for 
motor vehicles that are overseas, and motor vehicles that are 
overseas without regard to the general purchase price 
limitations; to enter into contracts with the State Department 
for health and medical services for Treasury employees who are 
overseas; and to hire experts or consultants.
    Section 117. The Committee continues a provision, with 
modification, that authorizes transfers, up to two percent, 
between ``Departmental Offices--Salaries and Expenses'', 
``Office of Inspector General'', ``Special Inspector General 
for the Troubled Asset Relief Program'', ``Financial Crimes 
Enforcement Network'', ``Bureau of the Fiscal Service'', 
``Community Development Financial Institutions Fund Program 
Account'', and ``Alcohol and Tobacco Tax and Trade Bureau'' 
appropriations under certain circumstances.
    Section 118. The Committee continues a provision that 
authorizes transfers, up to two percent, between the Internal 
Revenue Service and the Treasury Inspector General for Tax 
Administration under certain circumstances.
    Section 119. The Committee continues a provision that 
prohibits the Department of the Treasury from undertaking a 
redesign of the one dollar Federal Reserve note.
    Section 120. The Committee includes a provision that 
provides for transfers from the Bureau of the Fiscal Service to 
the Debt Collection Fund as necessary for the purposes of debt 
collection.
    Section 121. The Committee continues a provision that 
requires congressional approval for the construction and 
operation of a museum by the United States Mint.
    Section 122. The Committee continues a provision 
prohibiting funds in this or any other Act from being used to 
merge the United States Mint and the Bureau of Engraving and 
Printing without the approval of the House and Senate 
committees of jurisdiction.
    Section 123. The Committee continues a provision deeming 
that funds for the Department of the Treasury's intelligence-
related activities are specifically authorized in fiscal year 
2017 until enactment of the Intelligence Authorization Act for 
fiscal year 2017.
    Section 124. The Committee continues a provision permitting 
the Bureau of Engraving and Printing to use $5,000 from the 
Industrial Revolving Fund for reception and representation 
expenses.
    Section 125. The Committee continues a provision that 
requires the Department to submit a capital investment plan.
    Section 126. The Committee continues a provision that 
requires a report on the Department's Franchise Fund.
    Section 127. The Committee continues a provision that 
prohibits the Department from finalizing any regulation related 
to the standards used to determine the tax-exempt status of a 
501(c)(4) organization.
    Section 128. The Committee continues a provision that 
requires quarterly reports of the Office of Financial Research 
(OFR) and Office of Financial Stability.
    Section 129. The Committee includes a new provision 
requiring the OFR to provide public notice of not less than 90 
days before issuing a rule, report, or regulation.
    Section 130. The Committee includes a new provision that 
limits the fees available for obligation by the OFR to the 
amount provided in appropriations acts beginning in fiscal year 
2018. The Committee believes that the activities of OFR should 
be subject to the annual review of Congress.
    Section 131. The Committee includes a new provision that 
prohibits the Department from enforcing guidance for U.S. 
positions on multilateral development banks which engage with 
developing countries on coal-fired power generation.
    Section 132. The Committee includes a new provision with 
respect to the so-called people-to-people category of travel. 
As set forth in title 31, section 515.565(b)(2) of the Code of 
Federal Regulations, this category of travel contravenes the 
explicit prohibition against tourist activities as provided in 
section 910(b) of the Trade Sanctions Reform and Export 
Enhancement Act of 2000 (TSRA). Furthermore, the stated purpose 
of people-to-people travel, which is to promote the Cuban 
people's independence from Cuban authorities, cannot be 
accomplished through itineraries that mainly feature 
interactions with representatives of a dictatorship that 
actively oppresses the Cuban people, nor can it be accomplished 
through itineraries that do not require meetings with pro-
democracy activists or independent members of Cuban civil 
society.
    Section 133. The Committee includes a new provision to 
prohibit funds to approve, license, facilitate, authorize, or 
otherwise allow the importation of property confiscated by the 
Cuban Government.
    Section 134. The Committee includes a new provision to 
prohibit funds to approve, license, facilitate, authorize, or 
otherwise allow any financial transactions with the Cuban 
military or intelligence service. This section does not apply 
to exports permitted under the Trade Sanctions Reform and 
Export Enhancement Act of 2000 or to financial transactions 
necessary for the maintenance and improvement of the military 
base at Guantanamo Bay, Cuba.
    Section 135. The Committee includes a new provision to 
prohibit funds to approve or otherwise allow the licensing of a 
mark, trade name, or commercial name that is substantially 
similar to one that was used in connection with a business or 
assets that were confiscated unless expressly consented.
    Section 136. The Committee includes a new provision to 
prohibit funds for the Internal Revenue Service (IRS) to 
determine that a church is not exempt from taxation for 
participating in, or intervening in, any political campaign on 
behalf of (or in opposition to) any candidates for public 
office unless the IRS Commissioner consents to such 
determination, the Commissioner notifies the tax committees of 
Congress, and the determination is effective 90 days after such 
notification.

 TITLE II--EXECUTIVE OFFICE OF THE PRESIDENT AND FUNDS APPROPRIATED TO 
                             THE PRESIDENT

    Funds appropriated in this title provide for the staff and 
operations of the White House, along with other organizations 
within the Executive Office of the President (EOP), which 
formulate and coordinate policy on behalf of the President, 
such as the National Security Council and the Office of 
Management and Budget. The title also includes funding for the 
Office of National Drug Control Policy and certain expenses of 
the Vice President.

                            The White House


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................       $55,000,000
Budget request, fiscal year 2017......................        55,214,000
Recommended in the bill...............................        55,000,000
Bill compared with:
  Appropriation, fiscal year 2016.....................             - - -
  Budget request, fiscal year 2017....................          -214,000
 

    The White House Salaries and Expenses account supports 
staff and administrative services necessary for the direct 
support of the President.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $55,000,000 
for the White House.

                 Executive Residence at the White House


                           OPERATING EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................       $12,723,000
Budget request, fiscal year 2017......................        12,723,000
Recommended in the bill...............................        12,723,000
Bill compared with:
  Appropriation, fiscal year 2016.....................             - - -
  Budget request, fiscal year 2017....................             - - -
 

    These funds provide for the care, maintenance, staffing and 
operations of the Executive Residence, including official and 
ceremonial functions of the President.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $12,723,000 
for the Operating Expenses of the Executive Residence. The bill 
continues the same restrictions on reimbursable expenses for 
use of the Executive Residence as were included in past years.

                   White House Repair and Restoration


 
 
 
Appropriation, fiscal year 2016.......................          $750,000
Budget request, fiscal year 2017......................           750,000
Recommended in the bill...............................           750,000
Bill compared with:
  Appropriation, fiscal year 2016.....................             - - -
  Budget request, fiscal year 2017....................             - - -
 

    Funding in this account provides for the repair, 
alteration, and improvement of the Executive Residence at the 
White House.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $750,000 for 
White House Repair and Restoration.

                      Council of Economic Advisers


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................        $4,195,000
Budget request, fiscal year 2017......................         4,201,000
Recommended in the bill...............................         4,200,000
Bill compared with:
  Appropriation, fiscal year 2016.....................            +5,000
  Budget request, fiscal year 2017....................            -1,000
 

    The Council of Economic Advisers analyzes the national 
economy and its various segments, advises the President on 
economic developments, recommends policies for economic growth 
and stability, appraises economic programs and policies of the 
Federal Government, and assists in preparation of the annual 
Economic Report of the President.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $4,200,000 for 
the Council of Economic Advisers.

        National Security Council and Homeland Security Council


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................       $12,800,000
Budget request, fiscal year 2017......................        13,069,000
Recommended in the bill...............................        10,896,000
Bill compared with:
  Appropriation, fiscal year 2016.....................        -1,904,000
  Budget request, fiscal year 2017....................        -2,173,000
 

    The National Security Council and the Homeland Security 
Council have been combined to form the National Security Staff 
which advises and assists the President in the integration of 
domestic, foreign, military, intelligence, and economic aspects 
of national security policy, and serves as the principal means 
of coordinating executive departments and agencies in the 
development and implementation of national security and 
homeland security policies.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $10,896,000 
for the National Security Council and Homeland Security 
Council.
    Staffing report.--The Committee is concerned about the size 
of the National Security Council (NSC). What once was an 
interagency review process has become a growing bureaucracy 
that inhibits Secretary-level recommendations especially as 
they relate to critical national security policy decisions. In 
an effort to streamline the NSC, the Committee has reduced 
funding for the NSC relative to its enacted level. In addition, 
the Committee directs, within 90 days of enactment of this Act, 
the NSC provide a report outlining the roles and 
responsibilities of all of its full time equivalent (FTE) 
employees. This report shall include a breakout of all 
positions and FTEs that are assigned from other agencies to the 
NSC and all FTEs which the NSC has detailed to other agencies 
as well as associated start and end dates of assignment and any 
unreimbursed costs. Finally, the report shall contain a 
staffing reduction plan on how the NSC proposes to meet the 
budget reduction.

                        Office of Administration


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................       $96,116,000
Budget request, fiscal year 2017......................        96,116,000
Recommended in the bill...............................        96,116,000
Bill compared with:
  Appropriation, fiscal year 2016.....................             - - -
  Budget request, fiscal year 2017....................             - - -
 

    The Office of Administration is responsible for providing 
administrative services to the Executive Office of the 
President. These services include financial, personnel, 
procurement, information technology, records management, and 
general office services.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $96,116,000 
for the Office of Administration. Of the recommended amount, 
not to exceed $12,760,000 is available until expended for 
modernization of the information technology infrastructure 
within the Executive Office of the President.

             Presidential Transition Administrative Support


                     (INCLUDING TRANSFER OF FUNDS)

 
 
 
Appropriation, fiscal year 2016.......................             - - -
Budget request, fiscal year 2017......................        $7,582,000
Recommended in the bill...............................         7,582,000
Bill compared with:
  Appropriation, fiscal year 2016.....................        +7,582,000
  Budget request, fiscal year 2017....................             - - -
 

    The Presidential Transition Administrative Support account 
is for costs of processing of records of departing President 
and Vice President under the Presidential Records Act for 
transfer to the National Archives and Records Administration 
and other transition-related administrative expenses.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $7,582,000 for 
the Presidential Transition Administrative Support account. The 
Committee directs the Office of Administration to provide the 
Committee on Appropriations of the House and Senate with 
quarterly reports detailing how funds in this account are 
spent.

                    Office of Management and Budget


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................       $95,000,000
Budget request, fiscal year 2017......................       100,725,000
Recommended in the bill...............................        91,000,000
Bill compared with:
  Appropriation, fiscal year 2016.....................        -4,000,000
  Budget request, fiscal year 2017....................        -9,725,000
 

    The Office of Management and Budget (OMB) assists the 
President in the discharge of budgetary, economic, management, 
and other executive responsibilities.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $91,000,000 
for OMB. The recommendation also continues several long-
standing provisos, not requested by the President, limiting 
certain OMB activities.
    Budget Submission.--The recommendation provides sufficient 
funds for OMB to consult with and provide Congressional 
Committees with an appropriate number of printed and electronic 
copies of the President's fiscal year 2018 budget request, 
including documents such as the Appendix, Historical Tables, 
and Analytical Perspectives. The Committee believes that if the 
Administration wants the Congress to consider its proposed 
budget that it should provide the Congress with copies of the 
budget request.
    Personnel and Obligations Report.--The Committee directs 
OMB to provide the Committees on Appropriations of the House 
and Senate with quarterly reports on personnel and obligations 
consisting of on-board staffing levels, estimated staffing 
levels by office for the remainder of the fiscal year, total 
obligations incurred to date, estimated total obligations for 
the remainder of the fiscal year, and a narrative description 
of current hiring initiatives.
    Unobligated Balances Report.--OMB is directed to report to 
the Committees on Appropriations of the House and Senate within 
45 days of the end of each fiscal quarter on available balances 
at the start of the fiscal year, current year obligations, and 
resulting unobligated balances for each discretionary account 
within the Financial Services and General Government 
subcommittee's jurisdiction.
    Contracting models.--The Committee notes that in some 
instances using transaction-based or no-cost contracting models 
for delivering or procuring information technology goods and 
services can save resources and increase efficiencies. The 
Committee believes that OMB should provide guidance to agencies 
on transaction-based and no-cost funding models, including when 
it is appropriate to consider using these contract tools, how 
to calculate potential savings from their use, and standards 
and best practices for conducting their procurement.
    Social Cost of Carbon.--The Committee believes that the 
OIRA should not allow any regulations to be finalized using the 
Technical Support Document: Technical Update of the Social Cost 
of Carbon for Regulatory Impact Analysis Under Executive Order 
12866, Interagency Working Group on Social Cost of Carbon, 
United States Government, May 2013 until a new working group is 
convened. The working group should include the relevant 
agencies and affected stakeholders, re-examine the social cost 
of carbon using the best available science, and revise the 
estimates using an accurate discount rate and domestic estimate 
in accordance with Executive Order 12866 and OMB Circular A-94. 
To increase transparency, the working group should solicit 
public comment prior to finalizing any updates.
    Intellectual Property.--The Committee continues to strongly 
support the Office of the Intellectual Property Enforcement 
Coordinator (IPEC), including its important work promoting 
private sector efforts to reduce online copyright infringement. 
The Committee encourages IPEC to work with U.S.-based Internet 
registrars and registries to ensure that parties are taking 
voluntary, cooperative action against illegal activities 
online. Given the growing threat of cybercrime and the link 
between intellectual property theft and other forms of 
cybercrime, including malware and hacking, OMB should provide 
IPEC with an additional full-time equivalent position above its 
current staffing level to focus on the area of cybercrime.
    Rulemakings.--The Committee notes that Executive Order 
13563 requires each agency to ensure the objectivity of any 
scientific and technological information and processes used to 
support the agency's regulatory actions. The Committee 
emphasizes the requirement that federal agencies are 
appropriately evaluating the quality, objectivity, utility, and 
integrity of any scientific and economic information used to 
support agency guidance and rulemakings.
    Travel.--As part of OMB Memorandum M-12-12, Federal 
agencies are directed to reduce their travel expenses by 30 
percent below the fiscal year 2010 level. The Committee 
supports OMB's efforts to reduce costs across Federal agencies 
by eliminating unnecessary travel expenses and directs OMB to 
submit a report to the Committee on Appropriations of the House 
and Senate no later than 120 days after enactment of this Act 
on whether agencies have complied with this memorandum during 
the previous fiscal year. The report shall identify the savings 
achieved by each agency, whether the 30 percent savings goal 
was achieved, and how or if the changes in travel and 
conference policies have impacted agencies' ability to perform 
mission critical activities. The report shall also include 
recommendations to improve upon OMB's travel policies. OMB 
shall ensure that agencies are implementing policies regarding 
travel, event, meeting or conference locations based on the 
most efficient use of taxpayer funds.
    Improper Payments.--The Committee believes OMB should work 
with agencies across the Federal Government to ensure processes 
are in place to eliminate payments to deceased persons. OMB is 
directed to report to the Committees on Appropriations of the 
House and Senate within 120 days of enactment of this Act on 
how it is ensuring that agencies are not making improper 
payments to deceased individuals.
    DATA Act.--The Committee recognizes OMB's responsibilities 
related to implementation of the Digital Accountability and 
Transparency Act of 2014 (DATA Act). The Committee is concerned 
that OMB has not adequately prioritized DATA Act 
implementation. The Committee directs OMB to ensure agency 
compliance of the data-centric approach to federal financial 
reporting and fully standardized automated agency data 
submissions. The Committee includes funding for activities 
associated with DATA Act implementation and expects OMB to keep 
the Committee informed on its DATA implementation efforts.
    Federal Privacy Council.--In accordance with Executive 
Order 13719, OMB shall convene the Federal Privacy Council at 
least annually. The Director shall issue a public notice to 
Congress regarding its meetings. The Council will be comprised 
of the Senior Agency Officials for Privacy from the 24 
departments and agencies listed in the Executive Order, and any 
others that the Office of Management and Budget may deem 
appropriate.
    Customer Service.--The Committee appreciates that the 
Administration has tried to improve customer service in 
accordance with Executive Order 13571--Streamlining Service 
Delivery and Improving Customer Service. However, more needs to 
be done to improve the services that the government provides 
whether it is citizens calling the Internal Revenue Service 
with questions, or Office of Personnel Management processing 
Federal employment retirement claims. The Committee directs OMB 
to develop standards to improve customer service for all 
agencies, and provide to the Committees on Appropriations of 
the House and Senate a report on how these standards are 
incorporated into the performance plans required under 31 
U.S.C. 1115 within 90 days of the enactment of this Act.
    Performance Measures.--In fiscal year 2014, the Committee 
directed that the head of each agency link its performance 
plans with their funding requests included in the President's 
budget request. While some progress was made on this effort in 
fiscal years 2015, 2016, and 2017, more needs to be done. 
Performance measures in future budget justifications should 
clearly demonstrate the extent to which performance reporting 
under 31 U.S.C. 1116 demonstrates that prior year investments 
in programs, projects, and activities are tied to progress 
toward achieving performance and priority goals and include 
estimates for how proposed investments will contribute to 
additional progress. In particular, performance measures should 
examine outcome measures, output measures, efficiency measures 
and customer service measures as defined in 31 U.S.C. 1115(h). 
The Committee urges OMB to work with agencies to ensure that 
agency funding requests in fiscal year 2018 are directly linked 
to agency performance plans. The Committee directs OMB to 
report to the Committees on Appropriations of the House and 
Senate within 180 days of enactment of this Act on its progress 
improving the use of performance measures in the Executive 
Branch's budgeting processes.
    Poverty.--Strengthening America's social safety net to 
better help those in need and improving education and training 
programs will give individuals the ability to enter or reenter, 
remain in, and, ultimately, succeed in the workforce. The 
Federal Government administers over 100 programs and tax 
credits designed to provide a pathway out of poverty. The 
impact of this funding, however, is dulled by the bureaucratic, 
fragmented, and formulaic nature of these programs. In its 
central role for developing budget and policy, OMB can access 
and coordinate the effectiveness of these programs.
    Merit-based Grant Making Procedures.--The Committee notes 
that current OMB Uniform Guidance requires agencies to design 
and execute a merit review process for competitive grant 
applications.
    Online Budget Repository.--The Committee encourages OMB to 
develop a central online repository where all Federal agency 
budgets and their respective justifications are publicly 
available in a consistent searchable, sortable, and machine 
readable format.
    Human Trafficking.--The Committee directs OMB to ensure 
agencies fully comply with the Executive Order 13627.

                 Office of National Drug Control Policy


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................       $20,047,000
Budget request, fiscal year 2017......................        19,274,000
Recommended in the bill...............................        19,274,000
Bill compared with:
  Appropriation, fiscal year 2016.....................          -773,000
  Budget request, fiscal year 2017....................             - - -
 

    The Office of National Drug Control Policy (ONDCP) was 
established by the Anti-Drug Abuse Act of 1988. As the 
President's primary source of support for counter-drug policy 
development and program oversight, ONDCP is responsible for 
developing and updating a National Drug Control Strategy, 
developing a National Drug Control Budget, and coordinating and 
evaluating the implementation of Federal drug control 
activities. In addition, ONDCP manages several counter-drug 
programs which are discussed under the ``Federal Drug Control 
Programs'' heading below. These programs include the High 
Intensity Drug Trafficking Areas (HIDTA) program and Drug-Free 
Communities grants.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $19,274,000 
for ONDCP Salaries and Expenses. The Committee expects ONDCP to 
focus resources on the counter-drug policy development, 
coordination and evaluation functions which are the primary 
mission of the Office and the origins of its existence.
    The Committee is pleased that the ONDCP is addressing the 
heroin epidemic. It is the responsibility of ONDCP to ensure 
that all Federal agencies involved in the Heroin Response 
Strategy are coordinated and using resources efficiently. The 
Committee directs ONDCP to report 180 days after enactment of 
this Act to the Committees on Appropriations of the House and 
Senate regarding all the expenditures and activities that the 
ONDCP is overseeing in regards to the Heroin Response Strategy.
    The Committee is aware of and recognizes the difficulty 
that small and rural law enforcement agencies face with regard 
to overtime compensation for participation in multi-agency drug 
task forces. The Committee expects the ONDCP to coordinate with 
small and rural law enforcement agencies and develop strategies 
to improve the effectiveness of drug eradication efforts 
through shared intelligence, technology, and manpower despite 
limited resources.

                     FEDERAL DRUG CONTROL PROGRAMS

             HIGH INTENSITY DRUG TRAFFICKING AREAS PROGRAM

                     (INCLUDING TRANSFERS OF FUNDS)

 
 
 
Appropriation, fiscal year 2016.......................      $250,000,000
Budget request, fiscal year 2017......................       196,410,000
Recommended in the bill...............................       253,000,000
Bill compared with:
  Appropriation, fiscal year 2016.....................        +3,000,000
  Budget request, fiscal year 2017....................       +56,590,000
 

    The High Intensity Drug Trafficking Areas (HIDTA) Program 
provides resources to Federal and State, local, and tribal 
agencies in designated HIDTAs to combat the production, 
transportation and distribution of illegal drugs; to seize 
assets derived from drug trafficking; to address violence in 
drug-plagued communities; and to disrupt the drug marketplace.
    Currently, 28 HIDTAs operate in 48 States plus the District 
of Columbia, Puerto Rico, and the Virgin Islands. Each HIDTA is 
managed by an Executive Board comprised of equal numbers of 
Federal, State, local or tribal officials. Each HIDTA Executive 
Board is responsible for designing and implementing initiatives 
for the specific drug trafficking threats in its region. 
Intelligence and information sharing are key elements of all 
HIDTA programs.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $253,000,000 
for the HIDTA Program. The Committee believes that the HIDTA 
program has demonstrated its effectiveness and can serve as an 
important tool in combating problems of drug trafficking and 
drug-related violence.
    The Committee includes language requiring that existing 
HIDTAs receive funding at least equal to the fiscal year 2016 
level unless the Director submits a justification for doing 
otherwise to the Committees on Appropriations, based on clearly 
articulated priorities and published performance measures.
    The recommendation includes language directing ONDCP to 
notify the Committees on Appropriations of the initial 
allocation of HIDTA funds no later than 45 days after 
enactment, and to notify the Committees of the proposed use of 
funds no later than 90 days after enactment. The language 
directs the ONDCP Director to work in consultation with the 
HIDTA Directors in determining the uses of that discretionary 
funding.
    Finally, the Committee recommendation specifies that up to 
$2,700,000 may be used for auditing services and related 
activities.

                  OTHER FEDERAL DRUG CONTROL PROGRAMS

                     (INCLUDING TRANSFERS OF FUNDS)

 
 
 
Appropriation, fiscal year 2016.......................      $109,810,000
Budget request, fiscal year 2017......................        98,480,000
Recommended in the bill...............................       111,871,000
Bill compared with:
  Appropriation, fiscal year 2016.....................        +2,061,000
  Budget request, fiscal year 2017....................       +13,391,000
 

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $111,871,000 
for Other Federal Drug Control Programs. The recommended level 
for fiscal year 2017 is distributed among specific programs and 
activities as follows:

 
 
 
Drug-Free Communities.................................       $97,000,000
  [Training (Section 4 of P.L. 107-82)................        2,000,000]
Drug court training and technical assistance..........         2,000,000
Anti-Doping activities................................         9,500,000
World Anti-Doping Agency dues.........................         2,121,000
Activities as authorized by Section 1105 of P.L. 109-          1,250,000
 469..................................................
 

    Within the total for the account, the Committee recommends 
$97,000,000 for the Drug-Free Communities program. Within this 
amount, $2,000,000 is for training authorized by Section 4 of 
P.L. 107-82. This program makes grants of up to $125,000 per 
year available to support local coalitions to develop and 
implement community-based plans to reduce drug abuse among 
youth. These coalitions are required to include participants 
from a wide range of interests, including local government 
agencies, schools, the media, service organizations, law 
enforcement, parents, youth, and the business community. Local 
matching contributions are required. Grants are awarded on a 
competitive basis, and may be renewed for up to five years, 
after which time the coalition must compete again for any 
further funding.
    Within this account, the Committee recommends $2,000,000 
for drug court training and technical assistance and $9,500,000 
for anti-doping activities. Anti-doping activities support 
athlete drug testing programs, research initiatives, 
educational programs, and enforce compliance with the World 
Anti-Doping Code. Additionally, the Committee recommends 
$2,121,000 for the United States membership dues to the World 
Anti-Doping Agency (WADA). WADA is the international agency 
created to promote, coordinate, and monitor efforts against 
doping and illicit drug use in sport on a global basis.
    In addition, the Committee includes $1,250,000 for 
assistance to States in implementing effective drug laws 
(section 1105 of P.L. 109-469). All funds under this heading 
are to be awarded under a competitive process.

              Information Technology Oversight and Reform


                     (INCLUDING TRANSFER OF FUNDS)

 
 
 
Appropriation, fiscal year 2016.......................       $30,000,000
Budget request, fiscal year 2017......................        35,200,000
Recommended in the bill...............................        25,000,000
Bill compared with:
  Appropriation, fiscal year 2016.....................        -5,000,000
  Budget request, fiscal year 2017....................       -10,200,000
 

    These funds support efforts to make the Federal 
Government's investments in information technology (IT) more 
efficient, secure and effective.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $25,000,000. 
The Committee appreciates OMB's efforts to improve program and 
contract management of information technology investments as 
well as the Administration's efforts to utilize cloud computing 
and consolidate data centers. The Committee expects OMB to 
improve the processes used to develop information technology 
systems. The Committee directs OMB to provide the Committees on 
Appropriations of the House and the Senate with quarterly 
reports on savings this program identifies by fiscal year, 
agency and appropriation.

                  Special Assistance to the President


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................        $4,228,000
Budget request, fiscal year 2017......................         4,228,000
Recommended in the bill...............................         4,228,000
Bill compared with:
  Appropriation, fiscal year 2016.....................             - - -
  Budget request, fiscal year 2017....................             - - -
 

    These funds support the executive functions of the Office 
of the Vice President.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $4,228,000 for 
the Office of the Vice President.

                Official Residence of the Vice President


                           OPERATING EXPENSES

                     (INCLUDING TRANSFER OF FUNDS)

 
 
 
Appropriation, fiscal year 2016.......................          $299,000
Budget request, fiscal year 2017......................           299,000
Recommended in the bill...............................           299,000
Bill compared with:
  Appropriation, fiscal year 2016.....................             - - -
  Budget request, fiscal year 2017....................             - - -
 

    These funds support the care and operation of the Vice 
President's residence and specifically support equipment, 
furnishings, dining facilities, and services required to 
perform and discharge the Vice President's official duties, 
functions and obligations.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $299,000 for 
the Operating Expenses of the Vice President's residence.

Administrative Provisions--Executive Office of the President and Funds 
                     Appropriated to the President


                     (INCLUDING TRANSFER OF FUNDS)

    Section 201. The Committee includes language permitting the 
transfer of not to exceed ten percent of funds between various 
accounts within the Executive Office of the President, with 
advance approval of the Committees on Appropriations. The 
amount of an appropriation shall not be increased by more than 
50 percent.
    Section 202. The Committee continues language requiring the 
Director of the Office of Management and Budget to report on 
the costs of implementing the Dodd-Frank Wall Street Reform and 
Consumer Protection Act (Public Law 111-203).
    Section 203. The Committee includes language requiring the 
Director of the Office of Management and Budget to include a 
statement of budgetary impact with any Executive Order or 
Presidential Memorandum issued or rescinded during fiscal year 
2017. The Committee believes the American people should 
understand the impact on costs and revenues when the President 
issues Executive Orders or Presidential Memorandums.
    Section 204. The Committee includes language prohibiting 
funds to prepare, sign or approve statements abrogating 
legislation passed by the House of Representatives and the 
Senate and signed by the President.
    Section 205. The Committee includes language prohibiting 
funds to prepare or implement Executive Orders or Presidential 
Memorandums in contravention of existing law.

                        TITLE III--THE JUDICIARY

    The funds recommended by the Committee in title III of the 
accompanying bill are for the operation and maintenance of 
United States Courts and include the salaries of judges, 
probation and pretrial services officers, public defenders, 
court clerks, law clerks, and other supporting personnel, as 
well as security costs, information technology, and other 
expenses of the Federal Judiciary. The Committee recommends a 
total of $6,955,503,000 in discretionary funding for the 
Judiciary in fiscal year 2017.
    In addition to direct appropriations, the Judiciary 
collects various fees and has certain multiyear funding 
authorities. The Judiciary uses these non-appropriated funds to 
offset its direct appropriation requirements. Consistent with 
prior year practices and section 608 of this Act, the Committee 
expects the Judiciary to submit a financial plan, within 60 
days of enactment of this Act, allocating all sources of 
available funds including appropriations, fee collections, and 
carryover balances. This financial plan will be the baseline 
for purposes of reprogramming notification.
    Improving the physical security at buildings occupied by 
the Judiciary and U.S. Marshals Service (USMS) and ensuring the 
integrity of the judicial process by providing secure 
facilities to conduct judicial business is a priority for the 
Committee. Under the General Services Administration's (GSA) 
Federal Buildings Fund appropriation, the Committee recommends 
$26,700,000 for the Judiciary Capital Security program for 
alterations to improve physical security in buildings occupied 
by the Judiciary and USMS.

                   Supreme Court of the United States


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................       $75,838,000
Budget request, fiscal year 2017......................        76,668,000
Recommended in the bill...............................        76,668,000
Bill compared with:
  Appropriation, fiscal year 2016.....................          +830,000
  Budget request, fiscal year 2017....................             - - -
 

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $76,668,000 
for fiscal year 2017 for the salaries and expenses of personnel 
and the cost of operating the Supreme Court, excluding the care 
of the building and grounds. The Committee includes bill 
language making $1,500,000 available until expended for the 
purpose of making information technology investments. The 
Committee directs the Court to include an annual report with 
its budget justification materials, showing information 
technology carryover balances and describing expenditures made 
in the previous fiscal year and planned expenditures in the 
budget year.

                    CARE OF THE BUILDING AND GROUNDS

 
 
 
Appropriation, fiscal year 2016.......................        $9,964,000
Budget request, fiscal year 2017......................        14,868,000
Recommended in the bill...............................        14,868,000
Bill compared with:
  Appropriation, fiscal year 2016.....................        +4,904,000
  Budget request, fiscal year 2017....................             - - -
 

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $14,868,000 
for fiscal year 2017, to remain available until expended, for 
personnel and other services relating to the structural and 
mechanical care of the Supreme Court building and grounds. The 
Architect of the Capitol has responsibility for these functions 
and supervises the use of this appropriation.

         United States Court of Appeals for the Federal Circuit


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................       $30,872,000
Budget request, fiscal year 2017......................        30,108,000
Recommended in the bill...............................        30,108,000
Bill compared with:
  Appropriation, fiscal year 2016.....................          -764,000
  Budget request, fiscal year 2017....................             - - -
 

                        COMMITTEE RECOMMENDATION

    The Court of Appeals for the Federal Circuit has exclusive 
national jurisdiction over a large number of diverse subject 
areas, including government contracts, patents, trademarks, 
Federal personnel, and veterans' benefits. The Committee 
recommends an appropriation of $30,108,000 for fiscal year 
2017.

               United States Court of International Trade


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................       $18,160,000
Budget request, fiscal year 2017......................        18,462,000
Recommended in the bill...............................        18,462,000
Bill compared with:
  Appropriation, fiscal year 2016.....................          +302,000
  Budget request, fiscal year 2017....................             - - -
 

                        COMMITTEE RECOMMENDATION

    The Court of International Trade has exclusive nationwide 
jurisdiction of civil actions against the United States and 
certain civil actions brought by the United States, arising out 
of import transactions and administration and enforcement of 
the Federal customs and international trade laws. The Committee 
recommends an appropriation of $18,462,000 for fiscal year 
2017.

    Courts of Appeals, District Courts, and Other Judicial Services


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................    $4,918,969,000
Budget request, fiscal year 2017......................     5,045,785,000
Recommended in the bill...............................     5,010,000,000
Bill compared with:
  Appropriation, fiscal year 2016.....................       +91,031,000
  Budget request, fiscal year 2017....................       -35,785,000
 

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $5,010,000,000 
for the operations of the regional courts of appeals, district 
courts, bankruptcy courts, the Court of Federal Claims, and 
probation and pretrial services offices.
    The Committee recommends a reimbursement of $6,260,000 for 
fiscal year 2017 from the Vaccine Injury Compensation Trust 
Fund to cover expenses of the United States Court of Federal 
Claims associated with processing cases under the National 
Childhood Vaccine Injury Act of 1986.

                           DEFENDER SERVICES

 
 
 
Appropriation, fiscal year 2016.......................    $1,004,949,000
Budget request, fiscal year 2017......................     1,056,326,000
Recommended in the bill...............................     1,056,326,000
Bill compared with:
  Appropriation, fiscal year 2016.....................       +51,377,000
  Budget request, fiscal year 2017....................             - - -
 

                        COMMITTEE RECOMMENDATION

    This account provides funding for the operation of the 
Federal Public Defender and Community Defender organizations 
and for compensation and reimbursement of expenses of panel 
attorneys appointed pursuant to the Criminal Justice Act for 
representation in criminal cases. The Committee recommends an 
appropriation of $1,056,326,000 for fiscal year 2017.

                    FEES OF JURORS AND COMMISSIONERS

 
 
 
Appropriation, fiscal year 2016.......................       $44,199,000
Budget request, fiscal year 2017......................        43,723,000
Recommended in the bill...............................        43,723,000
Bill compared with:
  Appropriation, fiscal year 2016.....................          -476,000
  Budget request, fiscal year 2017....................             - - -
 

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $43,723,000 
for payments to jurors and land commissioners for fiscal year 
2017.

                             COURT SECURITY

                     (INCLUDING TRANSFERS OF FUNDS)

 
 
 
Appropriation, fiscal year 2016.......................      $538,196,000
Budget request, fiscal year 2017......................       565,388,000
Recommended in the bill...............................       565,388,000
Bill compared with:
  Appropriation, fiscal year 2016.....................       +27,192,000
  Budget request, fiscal year 2017....................             - - -
 

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $565,388,000 
for Court Security in fiscal year 2017 to provide for necessary 
expenses of security and protective services in courtrooms and 
adjacent areas. The recommendation will provide for the highest 
priority security needs identified by the courts and the U.S. 
Marshals Service.

           Administrative Office of the United States Courts


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................       $85,665,000
Budget request, fiscal year 2017......................        87,748,000
Recommended in the bill...............................        87,500,000
Bill compared with:
  Appropriation, fiscal year 2016.....................        +1,835,000
  Budget request, fiscal year 2017....................          -248,000
 

                        COMMITTEE RECOMMENDATION

    The Administrative Office of the United States Courts (AO) 
provides administrative and management support to the United 
States Courts, including the probation and bankruptcy systems. 
It also supports the Judicial Conference of the United States 
in determining Federal Judiciary policies, in developing 
methods to assist the courts to conduct business efficiently 
and economically, and in enhancing the use of information 
technology in the courts. The Committee recommends an 
appropriation of $87,500,000 for the AO for fiscal year 2017.

                        Federal Judicial Center


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................       $27,719,000
Budget request, fiscal year 2017......................        28,335,000
Recommended in the bill...............................        28,200,000
Bill compared with:
  Appropriation, fiscal year 2016.....................          +481,000
  Budget request, fiscal year 2017....................          -135,000
 

                        COMMITTEE RECOMMENDATION

    The Federal Judicial Center (FJC) improves the management 
of Federal Judicial dockets and court administration through 
education for judges and staff, and research, evaluation, and 
planning assistance for the courts and the Judicial Conference. 
The Committee recommends an appropriation of $28,200,000 for 
the FJC for fiscal year 2018.

                  United States Sentencing Commission


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................       $17,570,000
Budget request, fiscal year 2017......................        18,150,000
Recommended in the bill...............................        18,000,000
Bill compared with:
  Appropriation, fiscal year 2016.....................          +430,000
  Budget request, fiscal year 2017....................          -150,000
 

                        COMMITTEE RECOMMENDATION

    The purpose of the U.S. Sentencing Commission is to 
establish, review, and revise sentencing guidelines, policies, 
and practices for the Federal criminal justice system. The 
Commission is also required to monitor the operation of the 
guidelines and to identify and report necessary changes to the 
Congress. The Committee recommends $18,000,000 for the 
Commission for fiscal year 2017.

                Administrative Provisions--The Judiciary


                     (INCLUDING TRANSFER OF FUNDS)

    Section 301. The Committee continues language to permit 
funds for salaries and expenses to be available for employment 
of experts and consultant services as authorized by 5 U.S.C. 
3109.
    Section 302. The Committee continues language that permits 
up to five percent of any appropriation made available for 
fiscal year 2017 to be transferred between Judiciary 
appropriations provided that no appropriation shall be 
decreased by more than five percent or increased by more than 
ten percent by any such transfer except in certain 
circumstances. In addition, the language provides that any such 
transfer shall be treated as a reprogramming of funds under 
sections 604 and 608 of the accompanying bill and shall not be 
available for obligation or expenditure except in compliance 
with the procedures set forth in those sections.
    Section 303. The Committee continues language authorizing 
not to exceed $11,000 to be used for official reception and 
representation expenses incurred by the Judicial Conference of 
the United States.
    Section 304. The Committee continues language through 
fiscal year 2017 regarding the delegation of authority to the 
Judiciary for contracts for repairs of less than $100,000.
    Section 305. The Committee continues language to authorize 
a court security pilot program.
    Section 306. The Committee includes language requested by 
the Judicial Conference of the United States to extend 
temporary judgeships in Alabama, Arizona, California, Florida, 
Kansas, Missouri, New Mexico, North Carolina and Texas.
    Section 307. The Committee includes new language to 
authorize an increase of the daily juror attendance fee by $10.
    Section 308. The Committee includes language requested by 
the Judicial Conference of the United States to extend 
temporary bankruptcy judgeships in Virginia, Michigan, Puerto 
Rico, Delaware, and Florida.

                     TITLE IV--DISTRICT OF COLUMBIA


                             Federal Funds

    The Appropriations Committees have a special relationship 
with the District of Columbia that is unlike any other city in 
the country. For example, the Appropriations Committees are 
authorized by law to fund the court operations of the District 
of Columbia. Title IV of this Act provides a Federal payment 
totaling $612,176,000 for the cost of judges, court personnel, 
offender and defendant supervision, and defendant 
representation. Title IV also provides Federal Payments to 
District of Columbia programs in areas such as education and 
security. In addition, the United States Department of Justice 
provides hundreds of United States Attorneys and Deputy United 
States Marshals to prosecute local crimes and provide security 
for the D.C. Court system. The Federal Bureau of Prisons houses 
thousands of District of Columbia prisoners. Federal taxpayers 
do not fund similar activities for any other city.

              FEDERAL PAYMENT FOR RESIDENT TUITION SUPPORT

 
 
 
Appropriation, fiscal year 2016.......................       $40,000,000
Budget request, fiscal year 2017......................        40,000,000
Recommended in the bill...............................        20,000,000
Bill compared with:
  Appropriation, fiscal year 2016.....................       -20,000,000
  Budget request, fiscal year 2017....................       -20,000,000
 

    The Resident Tuition Support program, also known as the DC 
Tuition Assistance Grant (DCTAG) program, provides up to 
$10,000 annually for undergraduate District students to attend 
eligible four-year public universities and colleges nationwide 
at in-state tuition rates. Grants of up to $2,500 per year are 
available for students to attend private universities and 
colleges in the D.C. metropolitan area, private Historically 
Black Colleges and Universities nationwide, and public two-year 
community colleges nationwide.

                        COMMITTEE RECOMMENDATION

    The Committee recommends a Federal payment of $20,000,000 
for the resident tuition support program. The District of 
Columbia can contribute local funds to this program and is 
authorized to prioritize applications based on income and need 
if there is demand for the program beyond the available level 
of Federal funds.

   FEDERAL PAYMENT FOR EMERGENCY PLANNING AND SECURITY COSTS IN THE 
                          DISTRICT OF COLUMBIA

 
 
 
Appropriation, fiscal year 2016.......................       $13,000,000
Budget request, fiscal year 2017......................        34,895,000
Recommended in the bill...............................        40,000,000
Bill compared with:
  Appropriation, fiscal year 2016.....................       +27,000,000
  Budget request, fiscal year 2017....................        +5,105,000
 

    As the seat of the national government, the District of 
Columbia has a unique and significant responsibility for 
protecting the property and personnel of the Federal 
Government. The Federal Payment for Emergency Planning and 
Security Costs is provided to help address the impact of the 
Federal presence on public safety in the District of Columbia.

                        COMMITTEE RECOMMENDATION

    The Committee recommends a Federal payment of $40,000,000 
for emergency planning and security costs. The recommendation 
includes an increase for Presidential inauguration-related 
activities. Prior-year balances are available if needs exceed 
the funds provided in the bill.

           FEDERAL PAYMENT TO THE DISTRICT OF COLUMBIA COURTS

 
 
 
Appropriation, fiscal year 2016.......................      $274,401,000
Budget request, fiscal year 2017......................       274,681,000
Recommended in the bill...............................       274,541,000
Bill compared with:
  Appropriation, fiscal year 2016.....................          +140,000
  Budget request, fiscal year 2017....................          -140,000
 

    Under the National Capital Revitalization and Self-
Government Improvement Act of 1997, the Federal Government is 
required to finance the District of Columbia Courts. This 
Federal payment to the District of Columbia Courts funds the 
operations of the District of Columbia Court of Appeals, 
Superior Court, the Court System, and the Capital Improvement 
Program.

                        COMMITTEE RECOMMENDATION

    The Committee recommends a Federal payment of $274,541,000 
for operation of the District of Columbia Courts. This amount 
includes $14,303,000 for the Court of Appeals; $124,800,000 for 
the Superior Court; $74,783,000 for the Court System; and 
$60,655,000 for capital improvements to courthouse facilities.
    The District of Columbia Courts are directed to provide 
quarterly expenditures, unobligated balances and staffing 
reports to the Committees on Appropriations of the House and 
Senate for all programs, to be submitted within 30 days after 
the end of each quarter.

   FEDERAL PAYMENT FOR DEFENDER SERVICES IN THE DISTRICT OF COLUMBIA 
                                 COURTS

 
 
 
Appropriation, fiscal year 2016.......................       $49,890,000
Budget request, fiscal year 2017......................        49,890,000
Recommended in the bill...............................        49,890,000
Bill compared with:
  Appropriation, fiscal year 2016.....................             - - -
  Budget request, fiscal year 2017....................             - - -
 

    The District of Columbia Courts appoint and compensate 
attorneys to represent persons who are financially unable to 
obtain such representation.

                        COMMITTEE RECOMMENDATION

    The Committee recommends $49,890,000 for Defender Services 
in the District of Columbia Courts.
    The District of Columbia Courts are directed to provide 
quarterly expenditure and unobligated balance reports to the 
Committees on Appropriations of the House and Senate, within 30 
days after the end of each quarter.

 FEDERAL PAYMENT TO THE COURT SERVICES AND OFFENDER SUPERVISION AGENCY 
                      FOR THE DISTRICT OF COLUMBIA

 
 
 
Appropriation, fiscal year 2016.......................      $244,763,000
Budget request, fiscal year 2017......................       248,008,000
Recommended in the bill...............................       246,386,000
Bill compared with:
  Appropriation, fiscal year 2016.....................        +1,623,000
  Budget request, fiscal year 2017....................        -1,622,000
 

    The Court Services and Offender Supervision Agency (CSOSA) 
for the District of Columbia is an independent Federal agency 
created by the National Capital Revitalization and Self-
Government Improvement Act of 1997. CSOSA acquired the 
operational responsibilities for the former District agencies 
in charge of probation and parole, and houses the Pretrial 
Services Agency (PSA) for the District of Columbia within its 
framework.

                        COMMITTEE RECOMMENDATION

    The Committee recommends a Federal payment of $246,386,000 
for the CSOSA. Of the amounts provided, $182,564,000 is for 
Community Supervision and Sex Offender Registration and 
$63,822,000 is for the PSA.
    In January 2016, the District of Columbia Courts, Public 
Defender Service, and Court Services and Offender Supervision 
Agency Act of 2015 (Public Law 114-118) was signed into law, 
giving permanent authority for CSOSA to accept, solicit, and 
use in-kind donations.
    CSOSA is directed to provide a quarterly report on its 
expenditures, unobligated balances and staffing to the 
Committees on Appropriations of the House and Senate, to be 
submitted within 30 days after the end of each quarter.

  FEDERAL PAYMENT TO THE DISTRICT OF COLUMBIA PUBLIC DEFENDER SERVICE

 
 
 
Appropriation, fiscal year 2016.......................       $40,889,000
Budget request, fiscal year 2017......................        41,829,000
Recommended in the bill...............................        41,359,000
Bill compared with:
  Appropriation, fiscal year 2016.....................          +470,000
  Budget request, fiscal year 2017....................          -470,000
 

    The Public Defender Service (PDS) for the District of 
Columbia is an independent organization authorized by the 
National Capital Revitalization and Self-Government Improvement 
Act of 1997, whose purpose is to provide legal representation 
services within the District of Columbia justice system.

                        COMMITTEE RECOMMENDATION

    The Committee recommends a Federal payment of $41,359,000 
for the PDS for the District of Columbia.

      FEDERAL PAYMENT TO THE CRIMINAL JUSTICE COORDINATING COUNCIL

 
 
 
Appropriation, fiscal year 2016.......................        $1,900,000
Budget request, fiscal year 2017......................         2,000,000
Recommended in the bill...............................         2,000,000
Bill compared with:
  Appropriation, fiscal year 2016.....................              +100
  Budget request, fiscal year 2017....................             - - -
 

    The Criminal Justice Coordinating Council (CJCC) provides a 
forum for District of Columbia and Federal law enforcement to 
identify criminal justice issues and solutions, and improve the 
coordination of their efforts. In addition, the CJCC developed 
and maintains the Justice Integrated Information System which 
provides for the seamless sharing of information with Federal 
and local law enforcement.

                        COMMITTEE RECOMMENDATION

    The Committee recommends a Federal payment of $2,000,000 to 
the CJCC.

                FEDERAL PAYMENT FOR JUDICIAL COMMISSIONS

 
 
 
Appropriation, fiscal year 2016.......................          $565,000
Budget request, fiscal year 2017......................           585,000
Recommended in the bill...............................           585,000
Bill compared with:
  Appropriation, fiscal year 2016.....................           +20,000
  Budget request, fiscal year 2017....................             - - -
 

    This appropriation provides funding for the two judicial 
commissions. The first is the Judicial Nomination Commission 
(JNC), which recommends a panel of three candidates to the 
President for each judicial vacancy in the District of Columbia 
Court of Appeals and Superior Court. From the panel selected by 
the JNC, the President nominates a person for each vacancy and 
submits his or her name for confirmation to the Senate. The 
second commission is the Commission on Judicial Disabilities 
and Tenure (CJDT), which has jurisdiction over all judges of 
the Court of Appeals and Superior Court to determine whether a 
judge's conduct warrants disciplinary action and whether 
involuntary retirement of a judge for health reasons is 
warranted. In addition, the CJDT conducts evaluations of judges 
seeking reappointment and judges who retire and wish to 
continue service as a senior judge.

                        COMMITTEE RECOMMENDATION

    The Committee recommends a Federal payment of $310,000 for 
the Commission on Judicial Disabilities and Tenure, and 
$275,000 for the Judicial Nomination Commission.

                 FEDERAL PAYMENT FOR SCHOOL IMPROVEMENT

 
 
 
Appropriation, fiscal year 2016.......................       $45,000,000
Budget request, fiscal year 2017......................        43,200,000
Recommended in the bill...............................        45,000,000
Bill compared with:
  Appropriation, fiscal year 2016.....................             - - -
  Budget request, fiscal year 2017....................        +1,800,000
 

    The Scholarships for Opportunity and Results (SOAR) Act 
authorizes funds to be evenly divided between District of 
Columbia Public Schools, Public Charter Schools and Opportunity 
Scholarships.

                        COMMITTEE RECOMMENDATION

    The Committee recommends a Federal payment of $45,000,000 
for school improvement. Based on the statutory funding formula, 
this will provide $15,000,000 for District of Columbia Public 
Schools, $15,000,000 for Public Charter Schools and $15,000,000 
for Opportunity Scholarships.

      FEDERAL PAYMENT FOR THE DISTRICT OF COLUMBIA NATIONAL GUARD

 
 
 
Appropriation, fiscal year 2016.......................          $435,000
Budget request, fiscal year 2017......................           450,000
Recommended in the bill...............................           450,000
Bill compared with:
  Appropriation, fiscal year 2016.....................           +15,000
  Budget request, fiscal year 2017....................             - - -
 

    The Major General David F. Wherley, Jr. District of 
Columbia National Guard Retention and College Access Program 
pays for the costs of a tuition assistance program for guard 
members.

                        COMMITTEE RECOMMENDATION

    The Committee recommends a Federal payment of $450,000 for 
the Major General David F. Wherley, Jr. District of Columbia 
National Guard Retention and College Access Program. The 
Committee acknowledges the unique role of the D.C. National 
Guard in addressing emergencies that may occur as a result of 
the presence of the Federal Government.

         FEDERAL PAYMENT FOR TESTING AND TREATMENT OF HIV/AIDS

 
 
 
Appropriation, fiscal year 2016.......................        $5,000,000
Budget request, fiscal year 2017......................         5,000,000
Recommended in the bill...............................         5,000,000
Bill compared with:
  Appropriation, fiscal year 2016.....................             - - -
  Budget request, fiscal year 2017....................             - - -
 

    Currently, 2.4 percent of the population of the District of 
Columbia has been diagnosed with HIV. The World Health 
Organization defines an HIV epidemic as ``severe'' when the 
percent of infection among residents exceeds one percent.

                        COMMITTEE RECOMMENDATION

    The Committee recommendation includes $5,000,000 for a 
Federal payment for testing and treatment of HIV/AIDS.

                       District of Columbia Funds

    The Committee continues to consider the referendum 
providing local funds budget autonomy as an expression of the 
opinion of the District of Columbia residents without any 
authority to change or alter the existing relationship between 
Federal appropriations and the District. The Committee's 
position was affirmed by the Government Accountability Office 
in a January 2014 opinion. Notwithstanding the Superior Court 
of the District of Columbia's decision of March 18, 2016, the 
bill appropriates local funds to the District of Columbia in 
accordance with and required by Article I, Section 8, clause 17 
and Article I, Section 9, clause 7 of the Constitution.
    This bill provides local funds for the operation of the 
District of Columbia as approved by the District of Columbia 
Council and the Mayor. The local budget proposed by the Mayor 
provides an appropriation of $14,089,565,000 for operations of 
the District of Columbia. This amount includes estimated 
funding of $8,190,263,000 of local funds, $2,191,023,000 in 
Medicaid payments, and the remainder from other Federal and 
local funds.
    The Committee includes language that provides the District 
with the authority to spend their local funds in the following 
fiscal year in the event of an absence in appropriations. This 
authority is continued in section 816 of this Act.

                     TITLE V--INDEPENDENT AGENCIES


             Administrative Conference of the United States


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................        $3,100,000
Budget request, fiscal year 2017......................         3,200,000
Recommended in the bill...............................         3,100,000
Bill compared with:
  Appropriation, fiscal year 2016.....................             - - -
  Budget request, fiscal year 2017....................          -100,000
 

    The Administrative Conference of the United States (ACUS) 
is an independent agency that studies Federal administrative 
procedures and processes to recommend improvements to the 
President, Congress and other agencies.

                        COMMITTEE RECOMMENDATION

    The Committee recommends $3,100,000 for ACUS.

                Bureau of Consumer Financial Protection


                       ADMINISTRATIVE PROVISIONS

    Five-Member Commission.--The CFPB has oversight over a wide 
range of consumer financial products. As such, the CFPB's 
activities have the potential to significantly affect 
consumers' access to credit and the operations of both banks 
and nonbanks. The Committee believes the Dodd-Frank Wall Street 
Reform and Consumer Protection Act provides inadequate checks 
on the CFPB's powers. The Committee's experience overseeing the 
Federal Communications Commission, the Federal Trade 
Commission, the Securities and Exchange Commission, the 
Consumer Product Safety Commission, and other Federal agencies 
with powers to protect consumers and investors leads the 
Committee to conclude that a five-member commission is more 
suitable for guiding the CFPB than a single director. A 
commission ensures that multiple disciplines, experiences, and 
perspectives are brought to bear on CFPB rules, policies, and 
enforcement actions. The appointment and removal process and 
staggered terms of commissioners can provide checks and 
balances to an agency's operations and priorities, as well as a 
measure of continuity that a single director cannot. The 
Committee includes section 505 to address this issue.
    Arbitration.--The Committee has included bill language that 
prohibits any funding to be used by the CFPB and restricts the 
legal effectiveness of any rule or regulation finalized by the 
CFPB to regulate pre-dispute arbitration agreements, including 
any rules or guidelines pursuant to section 1028(b) of Public 
Law 111-203 (12 U.S.C. 5518(b)), until the CFPB fully complies 
with requirements regarding pre-dispute arbitration as follows.
    Prior to completion of the study and before preparation of 
the report to Congress, the Bureau shall issue a public notice 
identifying with specificity the topics that may be addressed 
in the report and soliciting public comment with respect to the 
appropriateness of addressing those topics, and any additional 
topics that should be addressed in the report. After 
considering the comments, the CFPB shall publish a notice 
identifying with specificity the topics that may be addressed 
in the report and soliciting public comment, including 
empirical data, regarding those topics. The deadline for filing 
comments shall be no earlier than ninety days after publication 
of the notice in the Federal Register. The topics addressed in 
the report shall also include the following: (A) how, for the 
kinds of disputes that most consumers are likely to have, the 
accessibility, cost, fairness, and efficiency of the process 
afforded by litigation compares to the accessibility, cost, 
fairness, and efficiency of the process afforded by pre-dispute 
arbitration; (B) the extent to which arbitration and litigation 
encourage companies to resolve disputes before their customers 
file formal claims; (C) whether consumers' use of arbitration 
is adversely affected by a lack of information and the steps 
that could be taken to better inform consumers about 
arbitration and to make arbitration more accessible to 
consumers; (D) the extent to which private class action 
proceedings on behalf of consumers regarding consumer financial 
products and services will provide net benefits to consumers in 
light of the CFPB's enforcement and examination authority; (E) 
the extent to which particular limitations or conditions on the 
use of pre-dispute arbitration will have the practical effect 
of eliminating pre-dispute arbitration; and (F) the impact on 
cost and availability of credit to consumers and small 
businesses of prohibiting or limiting pre-dispute arbitration.
    After it has adopted tentative conclusions, but before 
those conclusions have been finalized, the CFPB shall publish 
those conclusions together with sufficient supporting and 
explanatory information, and solicit public comment regarding 
the tentative conclusions. The deadline for filing comments 
shall be no earlier than forty-five days after publication of 
the tentative conclusions. The CFPB shall consider the public 
comments in formulating its final conclusions and shall explain 
in the report to Congress its reason for disagreeing with 
significant comments. In carrying out the study, the CFPB shall 
use a research process that includes peer review of the CFPB's 
methodology and findings by a diverse group of individuals with 
relevant expertise in quantitative and qualitative research 
methods from the private and public sectors. The Director of 
the CFPB shall select individuals whose expertise in research 
methods is unrelated to dispute resolution. The composition of 
the peer review panel shall be subject to the procedures for a 
rulemaking under section 553 of title 5, United States Code, 
including its procedures for notice and comment. No political 
appointee may participate on a peer review panel. The Director 
of the CFPB shall promulgate a conflict of interest policy that 
ensures public transparency and accountability, and requires 
full disclosure of any real or potential conflicts of interest 
on the parts of individuals that participate in the peer review 
process. The term ``political appointee'' means any individual 
who is employed in a position described in sections 5312 
through 5316 of title 5, United States Code (relating to the 
executive schedule); is a limited term appointee, limited 
emergency appointee, or non-career appointee in the Senior 
Executive Service, as defined under paragraphs (5), (6), and 
(7), respectively, of section 3132(a) of title 5, United States 
Code; is employed in a position in the executive branch of the 
Government of a confidential or policy-determining character 
under schedule C of subpart C of part 213 of title 5, Code of 
Federal Regulations; or is employed in a position described in 
section 1011(b) of Public Law 111-203 (12 U.S.C. 5491(b)).
    When the CFPB submits the report to Congress, the CFPB 
shall at the same time make publicly available a description of 
the peer review process, including an explanation of the peer 
review panel's conclusions about the CFPB's methodology and 
findings, sufficient to provide a basis for judicial review 
under section 706 of title 5 United States Code, of the 
report's conclusions to the extent the CFPB sought to use them 
as the basis for a proposed or final regulation under section 
1028(b) of Public Law 111-203 (12 U.S.C. 5518(b)). The deadline 
for filing comments shall be no earlier than ninety days after 
publication of the notice in the Federal Register. In addition, 
in determining whether any rule or final regulation 
implementing a prohibition or imposition of conditions or 
limitations on the use of an agreement between a covered person 
and a consumer for a consumer financial product or service 
providing for arbitration of any future dispute between the 
parties is in the public interest and for the protection of 
consumers, the CFPB shall consider the costs and benefits to 
consumers including: (1) the practical effect on consumers' 
access to low cost, fair, and efficient means of resolving 
claims for the types of injuries that consumers most often 
incur and that are less likely to be the subject of government 
enforcement actions; (2) the extent to which private class 
action proceedings on behalf of consumers regarding consumer 
financial products and services provide net benefits to 
consumers in light of the CFPB's and other regulators' 
enforcement and examination authority; (3) the practical effect 
of any proposed or final regulation on the availability of pre-
dispute arbitration; and (4) the impact of any proposed or 
final regulation on the cost and availability of credit to 
consumers and small business. The CFPB shall make a 
determination based on the information before it that the 
demonstrable benefits of any proposed or final regulation or 
rule to consumers outweigh the costs to consumers, taking into 
account the factors enumerated just above and other relevant 
factors; and, the rule subjects pre-dispute arbitration to no 
more regulation than is necessary to serve the public interest 
and protect consumers. Such determinations, together with the 
CFPB analysis and underlying data, shall be published in the 
Federal Register.
    Small Institutions Exemption.--The Committee believes the 
CFPB should strongly consider the impact the Bureau's rules 
have on small institutions, like community banks and credit 
unions. While these entities are not under direct supervisory 
oversight by the Bureau, they are still required to comply with 
rules written for entities many times their size. The Committee 
is concerned the Bureau may be unintentionally burdening 
community-based financial institutions and limiting their 
ability to provide consumer credit. The Dodd-Frank Act gave the 
Bureau explicit power in section 1022 to tailor its regulations 
to exempt ``any class'' of entity from individual rulemakings. 
To date, the CFPB has made very limited use of this authority. 
The Committee believes that the CFPB must do more in this area 
to better tailor its rules to ensure that the Bureau's 
regulations do not unnecessarily burden smaller institutions.
    The Committee directs the Bureau to report to the 
Committees on Appropriations of the House and Senate, the 
Committee on Financial Services of the House, and the Committee 
on Banking, Housing, and Urban Affairs of the Senate, within 
120 days of enactment of this Act, on how it has used its 
authority under section 1022 in rulemakings to exempt certain 
classes, any plans to revisit previous rulemakings to more 
carefully tailor or grant exemptions to rules that have been 
especially burdensome, and the process for the Bureau to 
consider exemptions to community institutions in future 
rulemakings.
    Short-term Lending.--The Committee supports meaningful 
safeguards to prevent predatory lending practices in the short-
term lending market. However, the Committee believes the Bureau 
has not carefully balanced existing regulatory frameworks 
within States and the need to provide consumers with access to 
a range of short-term financial services products. In order to 
ensure viable credit options for all consumers, the Committee 
believes the Bureau needs to better engage stakeholders, 
including States with robust statutes in this area, in an open 
and transparent manner as the Bureau considers any proposed 
rules. The Committee expects the Bureau to base any regulatory 
action on complete data and sound analysis, taking into 
consideration successful State models which have encouraged 
lending practices that are fair and transparent without 
restricting access to credit.
    Pursuant to its mandate in section 1021 of the Dodd-Frank 
Wall Street Reform and Consumer Protection Act, the Bureau 
shall `enforce Federal consumer financial law consistently for 
the purpose of ensuring that all consumers have access to 
markets for consumer financial products and services'. The 
Committee believes the Bureau is statutorily prohibited from 
taking any action that would in any way restrict consumer 
access to credit.
    State-based Insurance.--The U.S. has a strong history of 
promoting State-based regulation of the business of insurance. 
The Committee remains concerned about preemption of these 
effective State-based regulatory models, including those 
products that helps consumers manage the risks associated with 
owning a motor vehicle. Furthermore, the Committee supports 
these products being regulated by State insurance commissioners 
and reiterates that they are exempt under the Dodd-Frank Act 
from direct oversight by the Consumer Financial Protection 
Bureau (CFPB).
    Manufactured Housing.--The Committee does not support 
abusive home financing practices. However, the Committee is 
concerned that since Dodd-Frank, new tests for high-cost loans 
are pricing consumers out of the market, particularly for homes 
valued at $250,000 and below. The Committee believes this 
especially affects consumers who want to purchase manufactured 
homes. Credit for these consumers should not be reduced because 
of overregulation by the Federal Government.
    Indirect Auto Lending.--The Committee is concerned the 
Bureau's recent actions related to auto lending are reducing 
competition, regulating auto dealers--over which the Bureau has 
no jurisdiction--and raising costs to consumers. The Committee 
strongly supports fair lending protections for consumers but 
believes that the Bureau needs to act within the law 
established by Congress and believes that there are significant 
deficiencies in the Bureau's statistical methodology and 
approach to enforcing the Equal Credit Opportunity Act with 
regard to indirect auto lending.
    Qualified Mortgages.--The Committee is supportive of recent 
efforts to allow for residential mortgages held in portfolio by 
lenders to be recognized as qualified mortgages for the 
purposes of the Bureau's mortgage lending rules. These efforts 
would especially help community bankers and credit unions who 
have decreased their mortgage lending business in recent years 
due to onerous regulatory requirements.
    In addition, the Committee supports efforts to clarify the 
definition of ``points and fees'' for qualified mortgages in 
order to improve access to credit for low and moderate income 
borrowers. The change in definition under Dodd-Frank has caused 
many borrowers to be unable to obtain a qualified mortgage, 
causing higher costs and less convenience for the consumers.
    Financial Literacy.--The Committee directs the CFPB, in 
consultation with the Financial Literacy and Education 
Commission, to report to the Committees on Appropriations of 
the House and Senate, not less than one year after enactment of 
this Act, on the feasibility of designating qualified 
institutions, like universities, State and local educational 
agencies, and qualified nonprofit agencies or financial 
institutions as centers of excellence to develop and implement 
effective financial literacy programs.
    The Committee includes the following provisions in the 
bill:
    Section 501. The Committee repeals the prohibition against 
the Committees on Appropriations reviewing transfers from the 
Federal Reserve System to the CFPB. Congress has a duty to 
examine and critique the activities of the CFPB, especially 
since its expenditures, like any other Federal agency, 
contribute to a growing Federal debt.
    Section 502. The Committee changes the CFPB's source of 
funding from transfers from the Federal Reserve System to 
annual appropriations beginning in fiscal year 2018. Under the 
Dodd-Frank Wall Street Reform and Consumer Protection Act, the 
CFPB can spend more than half a billion dollars without an 
annual review by Congress. The Committee believes the CFPB 
needs oversight as much as banks and nonbanks do and further 
reminds the CFPB to remain steadfast to its mission to promote 
fairness and transparency for mortgages, credit cards, and 
other consumer financial products and services and not to stray 
into consumer advocacy.
    Section 503. The Committee repeats, with modifications, a 
provision enacted in fiscal year 2016 that requires CFPB to 
notify the Committees on Appropriations of the House and 
Senate, the Committee on Financial Services of the House, and 
the Committee on Banking, Housing, and Urban Affairs of the 
Senate of requests for a transfer of funds from the Federal 
Reserve System.
    Section 504. The Committee directs the CFPB to submit 
quarterly reports on its activities and to testify on its 
activities when requested. The report shall include, among 
other things, how the CFPB allocates its funds and staff.
    Section 505. The Committee changes the management of the 
CFPB to a five-member Board of Directors, to be appointed by 
the President and approved by the Senate. Most financial 
regulatory agencies have a five-member commission or board. 
More voices at the top of the Bureau's management structure 
will help the CFPB become attuned to more diverse viewpoints.
    Section 506. The Committee prohibits the CFPB from 
implementing a rule regarding the use of arbitration until the 
Bureau addresses certain requirements.

                   Consumer Product Safety Commission


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................      $125,000,000
Budget request, fiscal year 2017......................       130,500,000
Recommended in the bill...............................       121,300,000
Bill compared with:
  Appropriation, fiscal year 2016.....................        -3,700,000
  Budget request, fiscal year 2017....................        -9,200,000
 

    The Consumer Product Safety Act established the Consumer 
Product Safety Commission (CPSC), an independent Federal 
regulatory agency, to reduce the risk of injury associated with 
consumer products.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $121,300,000 
for the CPSC for fiscal year 2017. Within the amount provided 
under this heading, $1,300,000 is for the Virginia Graeme Baker 
Pool and Spa Safety Act grant program and $1,000,000 is for 
CPSC to establish three advisory committees to address (1) the 
importation of products within CPSC's jurisdiction (2) consumer 
product recalls (3) public disclosures of information. Each 
advisory committee shall consist of 20 members appointed by the 
Chairperson of the Commission and approved by a majority of 
Commissioners; meet at least once per quarter and submit a 
quarterly report to the Commission, the Committees on 
Appropriations of the House of Representatives and the Senate, 
the Committee on Energy and Commerce of the House, and the 
Committee on Commerce, Science, and Transportation of the 
Senate. Not later than 30 days after the second quarterly 
meeting of an advisory committee, each such advisory committee 
is directed to submit a report on the findings of the advisory 
committee to the Committees on Appropriations of the House of 
Representatives and the Senate, the Committee on Energy and 
Commerce of the House, and the Committee on Commerce, Science, 
and Transportation of the Senate. These advisory committees 
will terminate at the end of fiscal year 2017.
    Test Burden Reduction.--In fiscal years 2015 and 2016, the 
Committee provided the Commission a total of $2 million for the 
specific purpose of carrying out the congressionally mandated 
responsibility of reducing the burden associated with third-
party testing rules. The Committee is frustrated that there has 
been no real tangible relief to small businesses despite the 
amount of resources the Commission has been provided. The CPSC 
has identified a significant number of opportunities for test 
burden reduction, however, to date nothing in the way of 
meaningful burden reduction has been accomplished. The 
Committee directs the Commission to continue to provide 
quarterly reports updating the Committees on Appropriations of 
the House and Senate on its efforts to reduce the costs of 
third-party testing, including any that the Commission has 
chosen not to pursue.
    Voluntary Recall.--The Committee remains concerned about 
proposed changes to the voluntary recall system that would 
serve to negatively impact small businesses. Despite 
overwhelming opposition, the Commission continues to move 
forward with a final rule on voluntary recalls. The Committee 
opposes making unnecessary changes to a recall system that has 
worked well over the past 40 years, owing to a successful 
partnership between businesses and the Commission. To that end, 
the Committee prohibits funds to finalize, implement, or 
enforce the proposed rule on voluntary recalls.
    Public Disclosures of Information.--Section 6(b) of the 
Consumer Product Safety Act (CPSA) requires CPSC to take 
reasonable steps to ensure that any disclosure of information 
relating to a consumer product safety incident is accurate and 
fair. The Committee remains concerned that the Commission is 
proceeding with a proposed rule on section 6(b) that threatens 
to undermine a successful partnership based on openness and 
trust between industry and the Commission. The Committee 
cautions the Commission about making changes to a process that 
has succeeded in both protecting the consumer against harm and 
protecting industry against inaccurate disclosures of 
information before an investigation has been completed. 
Consequently, the Committee prohibits funds to finalize, 
implement, or enforce the proposed rule on information 
disclosures under Section 6(b).
    Window Coverings.--The Committee continues to support the 
cooperative efforts of CPSC and the window coverings industry 
to educate consumers on window covering safety. The Committee 
encourages continued cooperation between CPSC and industry on 
developing voluntary standards for its products through the 
current voluntary standards setting process.
    Pool and Spa Safety.--The Committee commends the CPSC for 
continuing to provide resources for the national and grassroots 
``Pool Safely'' campaign, a safety information and education 
program designed to reduce child drownings and near-drowning 
injuries and maintain a zero fatality rate for drain 
entrapments. This multifaceted initiative includes consumer and 
industry education efforts, press events, partnerships, 
outreach, and advertising. The Committee provides $1,000,000 
for the Pool Safely campaign.
    In fiscal year 2016, the Commission awarded five local 
governments more than $780,000 for pool and spa safety grants 
established by the Virginia Graeme Baker Pool and Spa Safety 
Act. The funding will provide assistance to local governments 
for education, training, and enforcement of pool safety 
requirements that are intended to save lives and prevent 
serious injuries. The Committee applauds the Commission's 
efforts to distribute guidance and model legislation to assist 
all states in becoming active participants in the enforcement 
and education of the Virginia Graeme Baker Pool and Spa Safety 
Act.
    Flame Retardant Chemicals.-- As the Commission considers 
new upholstered furniture flammability standards, the Committee 
encourages the Commission to take steps to reduce or limit the 
use of flame retardant chemicals.

      ADMINISTRATIVE PROVISION--CONSUMER PRODUCT SAFETY COMMISSION

    Section 510. The Committee continues language prohibiting 
funds to finalize, implement, or enforce the proposed rule on 
recreational off-highway vehicles until a study is completed by 
the National Academy of Sciences.

                     Election Assistance Commission


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................        $9,600,000
Budget request, fiscal year 2017......................         9,800,000
Recommended in the bill...............................         4,900,000
Bill compared with:
  Appropriation, fiscal year 2016.....................        -4,700,000
  Budget request, fiscal year 2017....................        -4,900,000
 

    The Election Assistance Commission (EAC) was established by 
the Help America Vote Act of 2002 (HAVA) and is charged with 
implementing provisions of that Act relating to the reform of 
Federal election administration.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $4,900,000 for 
the Salaries and Expenses of the EAC.
    The Committee strongly supports the successful 
administration of Federal elections and the Help America Vote 
Act (HAVA) of 2002. However, the Committee believes the EAC is 
no longer effectively carrying out its mandate. At present, one 
seat remains vacant and the agency has been operating without 
legislative authorization since 2005. For six years the 
Administration has not requested additional grant funding for 
HAVA grants, and there is currently less than $10 million left 
in grants to distribute. The work of the EAC consists largely 
of auditing HAVA grant money previously distributed, some of 
which is carried out by the EAC Inspector General, and 
examining new voting technologies, the technology aspects of 
which are performed by the National Institute of Standards and 
Technology and private testing laboratories.
    In February 2013, rather than turn to the EAC, the 
President chose to form a new ad hoc commission by Executive 
Order to review and propose best practices related to concerns 
from the 2012 elections regarding polling place wait times, and 
military and oversees voting.
    This Committee is not advocating doing away with the 
changes made to voting law in HAVA. Rather, the Committee 
believes these laws do not require an independent Federal 
agency. The Committee supports legislation that was introduced 
in the 114th Congress and reported by the Committee on House 
Administration to terminate the EAC.

                   Federal Communications Commission


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................      $384,012,000
Budget request, fiscal year 2017......................       358,286,000
Recommended in the bill...............................       314,844,000
Bill compared with:
  Appropriation, fiscal year 2016.....................       -69,168,000
  Budget request, fiscal year 2017....................       -43,442,000
 

    The mission of the Federal Communications Commission (FCC) 
is to implement the Communications Act of 1934 and assure the 
availability of high quality communications services for all 
Americans.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $314,844,000 
for the Salaries and Expenses of the FCC, all of which is to be 
derived from offsetting collections.
    The Committee recommendation includes bill language, 
similar to language included in previous Appropriations Acts, 
which allows: (1) up to $4,000 for official reception and 
representation expenses; (2) purchase and hire of motor 
vehicles; (3) special counsel fees; (4) collection of 
$314,844,000 in section 9 fees; (5) a prohibition on amounts 
collected in excess of $314,844,000 from being available for 
obligation; (6) a prohibition on remaining offsetting 
collections from prior years from being available for 
obligation; (7) a cap of $106,000,000 for the administration 
and implementation of incentive auctions, as required by P.L. 
112-96; and (8) provides not less than $11,751,000 for the 
Office of the Inspector General. The Committee notes its 
support for the Office of Engineering and Technology.
    Net Neutrality/Open Internet.--The Committee has 
purposefully kept funding for the FCC flat since fiscal year 
2012 to keep the agency focused on mission-critical work. 
Instead, the FCC has prioritized politically polarizing 
rulemakings at the expense of the important work the Commission 
has to do. The U.S. has four times more capital investment in 
broadband, twice as much investment in mobile services, and 
more competition and access to high-speed networks than Europe. 
At a time when U.S. innovation, investment, and demand in this 
area is expanding, it is truly concerning that the FCC would 
act to limit both future investment and, potentially, consumer 
choice. With an increased level of competition in the 
marketplace, there should be less need for regulation. The 
internet has been an unparalleled catalyst for innovation, yet 
the FCC has voted to constrain and control something that has 
brought about innumerable technological advancements and 
American jobs.
    The Committee has included sections 630, 631, and 632 to 
address some of these concerns.
    Incentive Auction.--The Middle Class Tax Relief and Job 
Creation Act of 2012 (P.L. 112-96) authorized the FCC to 
conduct a voluntary broadcast incentive auction and Congress 
allocated $1.75 billion to reimburse the service and equipment 
costs of channel relocation incurred by the television 
broadcast industry, such as changes to antennas, transmitters, 
transmission lines, and towers. The Committee is aware of 
concerns about the length of time and funds available to 
broadcasters to repack stations at the conclusion of the 
incentive auction. The Committee intends to monitor this issue 
closely. Both broadcasters and those purchasing spectrum must 
participate in good faith for the incentive auction to be 
successful. The Committee supports the Commission's 
administration of these auctions and expects the FCC to take 
into careful consideration any participating entity's concerns. 
The Committee has consistently supported the incentive auction 
and expects the FCC to continue to work toward its success.
    Auction Administration.--The Committee has been supportive 
of the FCC's administration of the incentive auction, as 
required by Public Law 112-96, and recognizes the substantial 
work associated with the implementation of these auctions. Over 
the past three years, the Committee has increased the FCC's 
auction administration cap in order to support the 
administration of the incentive auction. However, the Committee 
is concerned the Commission may have confused increased funding 
for a specific time-limited activity with increased funding in 
general. Any increase in funding for auction administration is 
less funding for deficit reduction. The FCC should carefully 
consider any further requested increases to the auction 
administration cap and provide sufficient justification for the 
increase in funding.
    In addition, the Committee believes greater budget 
transparency is still needed in order to better understand how 
the use of these funds fits into the Commission's overall 
budget request. In fiscal year 2015, the Committee directed the 
Commission to provide annually in the budget submission a 
detailed justification on how the Commission intends to spend 
these funds, including FTE levels and programmatic initiatives. 
The Committee believes the disclosures of how auction 
administration funds are spent is an important part of its 
oversight of the Commission and directs the FCC to continue to 
include a detailed justification in its annual budget 
submission and to make the detailed report on the use of 
auction funds publically available on the Commission's website.
    Enforcement.--The Committee is concerned that the penalties 
the Commission has imposed in recent years are less tied to the 
evidence of harm and clear metrics, and more to bring attention 
to the Commission. While the Committee generally supports FCC's 
efforts in protecting consumers, the Commission must be 
cognizant of its responsibility to find clear evidence of 
violations before imposing penalties, and to provide the 
subject of an enforcement action adequate prior notice and the 
opportunity to respond to the alleged violation. If the 
Commission finds evidence of wrongdoing, the Committee expects 
the Commission to collect fines in a timely manner.
    Fines.--The Committee is concerned that the Commission is 
not collecting fines in a timely manner, potentially rendering 
fines uncollectable due to the statute of limitations. 
Beginning not later than 90 days after enactment of this Act, 
the FCC shall submit quarterly reports to the Committees on 
Appropriations of the House and Senate, the Committee on Energy 
and Commerce in the House, and the Committee on Commerce, 
Science, and Transportation in the Senate on the status of its 
efforts on tracking and collecting monetary penalties assessed 
by the agency. The reports shall include a list of all Notices 
of Apparent Liability (NALs) pending, including the date it was 
issued; all NALs released, including the date of release; all 
forfeiture orderspending, including the date it was issued; all 
forfeiture orders released, including date of release and date 
upon which payment is due; all timely paid forfeiture orders; 
all forfeiture orders referred to the Department of Justice for 
collection, including date of referral; all consent decrees, 
including date adopted; and all consent decrees that have 
resulting in a payment, including date of payment. 
Additionally, for each of the items listed above, the 
Commission shall provide the date on which the U.S. Government 
will no longer be able to effectively prosecute the alleged 
violation as a result of the statute of limitations. The 
initial report shall also include a description of the FCC's 
collection process.
    Set-Top Boxes.--The Committee has strong concerns with the 
recent proposal related to set-top boxes. While the Committee 
supports advances in technology in this area that benefit 
consumers, the Committee believes the Commission's proposal 
falls short, especially with regard to privacy and copyright 
concerns. Consumer privacy and legal copyright concerns are not 
adequately addressed in the FCC's proposal, nor is the clear 
fact that most set-top boxes will be obsolete in the coming 
years. It seems that technology and active marketplace 
competition are outpacing the Commission's rulemakings. The 
Committee strongly encourages the Commission to further review 
its proposal for the widespread impact it may have on consumer 
privacy, all parties in the video programming marketplace, 
content diversity, and intellectual property and content 
licensing. These impacts should be carefully studied and 
considered before the Commission moves forward with any final 
rule. The Committee has included section 636 to address this 
issue.
    Telephone Consumer Protection Act.--The Committee believes 
that the FCC must do more to ensure that consumers are able to 
receive important notifications and timely updates about 
financial developments that will impact their existing accounts 
at depository institutions. The Committee is concerned that the 
FCC's recent Order related to the Telephone Consumer Protection 
Act (TCPA) will make it more difficult for financial 
institutions to contact their members about identity theft or 
data breaches. While the FCC adopted an exemption for ``free 
end user calls'' made by financial institutions, specifically 
for the purpose of: (1) calls intended to prevent fraudulent 
transactions or identity theft; (2) data security breach 
notifications; (3) measures consumers may take to prevent 
identity theft following a data breach; and (4) money transfer 
notifications, there is still a great deal of confusion. The 
Committee strongly encourages the FCC to revisit the Order and 
address technical questions that have been raised that may be 
impossible for a financial institution to resolve, such as 
whether or not the consumer will be charged for such texts or 
calls by their plan provider, or if they will count against 
their plan limits. The Committee also believes that the FCC 
should provide more flexibility to the prescriptive 
requirements for financial institutions using this exemption, 
especially because this exemption was meant to apply in exigent 
circumstances to protect consumers. The Committee notes the 
Commission currently has a number of outstanding petitions to 
clarify its TCPA Order.
    Broadband Access.--The Committee strongly encourages the 
FCC to continue to work with the Universal Service 
Administrative Company (USAC) to allocate Universal Service 
Funds for broadband expansion, especially in areas that could 
most benefit from increased job opportunities that can come 
from access to broadband. In particular, the Committee believes 
the Commission should support and focus efforts on broadband 
expansion in rural and economically disadvantaged areas in 
order to maximize the use of USF funds. The Committee believes 
the deployment of broadband in rural and economically 
disadvantaged areas is a driver of economic development and 
jobs and expects the Commission to prioritize these efforts.
    Rate floor.--As the Commission works to complete a rule to 
develop a ``rate floor'' methodology, the Committee encourages 
the Commission to be sure the methodology is more reflective of 
the effective value of local voice telephony service to a given 
customer in high-cost rural areas (including the number of 
other customers that can be reached via a local call) and that 
ultimately sets the ``rate floor'' at a range below the 
national average of local urban rates plus state regulated fees 
for such service that better reflects reasonable comparability 
of local voice telephony rates as required by law.
    Universal Service.--In recognition of the ongoing rapidly 
changing communications industry landscape, the Committee 
believes it is imperative that the Federal State Joint Board on 
Universal Service identify and provide Universal Service Fund 
(USF) contributions reform recommendations to the FCC. The 
committee further urges that such recommendations should 
expressly recognize that continuing to base contributions only 
on legacy telecommunications services revenues (and a limited 
number of other service revenues) will undermine, and 
ultimately threaten universal access to advanced communications 
by eroding the sustainability of the USF program and placing 
unfair and inequitable burdens for support of the program on a 
small subset of communications network users.
    Universal Service Fund High Cost Program.--The Committee 
believes the Commission should continue to move toward 
concluding its work of updating the rate-of-return distribution 
mechanism of the Universal Service Fund (USF) High Cost program 
in a manner that is consistent with the statutory mandate of 
providing specific, predictable, and sufficient support to 
ensure universal access to reasonably comparable services at 
reasonably comparable rates. The reformed mechanism should 
allow rural consumers to purchase standalone broadband at 
affordable rates, and support the construction, maintenance, 
and operation of networks that can be efficiently upgraded over 
time to keep pace with consumer needs. The FCC should also be 
mindful of the potential impacts of any reforms on other 
important federal governmental programs, such as those 
administered by the Rural Utilities Service (RUS), which 
promote and sustain the deployment of broadband-capable 
networks to customers in rural areas, particularly given that 
such impacts could also adversely affect the Federal budget. 
Finally, the Commission should work quickly and collaboratively 
with Congress, the RUS, other agencies, and other affected 
stakeholders if any adverse or negative unintended consequences 
arise out of the reforms.
    Call Completion.--The FCC shall submit a report to the 
Committees on Appropriations of the House and Senate within 90 
days of enactment of this Act detailing the agency's efforts to 
resolve call completion issues and to prevent discriminatory 
delivery of calls to any area of the country.
    Territories and Tribal Lands.--The Committee is concerned 
about the disparity in access to broadband between the 
territories, tribal lands, and the 50 states. The Committee 
encourages the Commission to implement policies that increase 
broadband access and adoption in these areas.
    Vacant Channels.--The Committee is concerned about the 
FCC's ``vacant channel'' proceeding, in which the FCC 
contemplates setting aside additional broadcast television 
spectrum after the broadcast incentive auction for unlicensed 
use. The broadcast spectrum the Commission is considering for 
unlicensed could otherwise meet demand for LPTV and translator 
licenses in the post-auction broadcast band. While the 
Committee recognizes the value of unlicensed spectrum to our 
national information economy, LPTV and translators also serve 
an important role in serving rural and underserved television 
viewing audiences. Given the uncertainty LPTV and translator 
licensees face at the end of the incentive auction, the FCC 
should not pursue additional unlicensed spectrum in the 
broadcast band at the expense of LPTV and translator licensees 
until the incentive auction is complete, so that it can 
accurately assess the need for spectrum to serve communities 
with LPTV stations and translators.

                 Federal Deposit Insurance Corporation


                    OFFICE OF THE INSPECTOR GENERAL

 
 
 
Appropriation, fiscal year 2016.......................       $34,568,000
Budget request, fiscal year 2017......................        35,958,000
Recommended in the bill...............................        35,958,000
Bill compared with:
  Appropriation, fiscal year 2016.....................        +1,390,000
  Budget request, fiscal year 2017....................             - - -
 

    Funding for the Office of the Inspector General (OIG) at 
the Federal Deposit Insurance Corporation (FDIC) is provided 
pursuant to 31 U.S.C. 1105(a)(25), which requires a separate 
appropriation for each Office of Inspector General established 
under section 11(2) of the Inspector General Act of 1978.

                        COMMITTEE RECOMMENDATION

    The Committee recommends $35,958,000 from the Deposit 
Insurance Fund and the Federal Savings and Loan Insurance 
Corporation (FSLIC) Resolution Fund to finance the OIG.

                      Federal Election Commission


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................       $76,119,000
Budget request, fiscal year 2017......................        80,540,000
Recommended in the bill...............................        80,540,000
Bill compared with:
  Appropriation, fiscal year 2016.....................        +4,421,000
  Budget request, fiscal year 2017....................             - - -
 

    The Federal Election Commission (FEC) administers the 
disclosure of campaign finance information, enforces 
limitations on contributions and expenditures, and performs 
other tasks related to Federal elections.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $80,540,000 
for the Salaries and Expenses of the FEC.
    In fiscal year 2016, the Committee provided the FEC with 
$5,000,000 for costs associated with a facilities relocation, 
and provides an additional $8,000,000 in fiscal year 2017. The 
Committee is supportive of providing the FEC with adequate 
resources for its facilities and expects future funding 
requests to be reduced.

                   Federal Labor Relations Authority


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................       $26,200,000
Budget request, fiscal year 2017......................        27,062,000
Recommended in the bill...............................        26,631,000
Bill compared with:
  Appropriation, fiscal year 2016.....................          +431,000
  Budget request, fiscal year 2017....................          -431,000
 

    Established by title VII of the Civil Service Reform Act of 
1978, the Federal Labor Relations Authority (FLRA) serves as a 
neutral arbiter in the labor activities of non-postal Federal 
employees, Departments and agencies, and Federal unions on 
matters outlined in the Act, including collective bargaining 
and the settlement of disputes. Establishment of the FLRA gives 
full recognition to the role of the Federal Government as an 
employer. Under the Foreign Service Act of 1980, the FLRA also 
addresses similar issues affecting Foreign Service personnel by 
providing staff support for the Foreign Service Impasse 
Disputes Panel and the Foreign Service Labor Relations Board.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $26,631,000 
for the FLRA for fiscal year 2017.

                        Federal Trade Commission


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................      $306,900,000
Budget request, fiscal year 2017......................       342,000,000
Recommended in the bill...............................       317,000,000
Bill compared with:
  Appropriation, fiscal year 2016.....................       +10,100,000
  Budget request, fiscal year 2017....................       -25,000,000
 

    The mission of the Federal Trade Commission (FTC) is to 
enforce a variety of Federal antitrust and consumer protection 
laws. Appropriations for both the Antitrust Division of the 
Department of Justice and the Commission are partially financed 
by Hart-Scott-Rodino Act pre-merger filing fees. The 
Commission's appropriation is also partially offset by Do-Not-
Call registry fees.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $317,000,000 
for the Salaries and Expenses of the FTC. The Congressional 
Budget Office estimates $125,000,000 of collections from Hart-
Scott-Rodino premerger filing fees and $15,000,000 of 
collections from Do-Not-Call list fees will partially offset 
the appropriation requirement for this account.
    Deceptive Online Marketing.--The Committee remains 
concerned that certain market conditions create incentives for 
fraudulent and deceptive online activity associated with third-
party online hotel resellers or affiliates that do not have 
direct contractual relationship with hotel companies. The 
Committee believes the FTC should further investigate deceptive 
online advertising that misleads consumers into mistakenly 
providing their credit card information to fraudulent online 
websites purporting to be a hotel's website or online booking 
portal. Financial harm to the consumer is significant and 
growing as more consumers utilize internet booking from mobile 
devices. The Committee directs the Commission to study the 
mobile and online hotel booking market focusing on deceptive 
activity associated with third party online hotel resellers or 
affiliates that do not have a contract with a hotel company. 
The Committee directs the Commission to report back to the 
Committees on Appropriations of the House and Senate within 90 
days of enactment on recommended enforcement actions against 
deceptive marketers engaging in the online hotel booking market 
and appropriate remedies to apply in this area to protect 
consumers from falling victim to these scams.
    Credit Education.--The Committee believes that consumers 
should be able to obtain personalized, legitimate credit 
education products and tools in order to improve their 
financial health. However, the Committee is concerned that the 
broad scope of the Credit Repair Organizations Act (CROA) has 
created a barrier for legitimate companies from being able to 
provide these valuable services in a consumer-friendly manner. 
The Committee directs the FTC to report to the Committees on 
Appropriations of the House and Senate, the Committee on Energy 
and Commerce of the House, the Committee on Commerce, Science, 
and Transportation of the Senate, the Committee on Financial 
Services of the House, and the Committee on Banking, Housing, 
and Urban Affairs of the Senate, not later than 120 days after 
the date of enactment of this Act, on the benefits of consumer 
access to credit education and improvement services, and the 
extent to which CROA impedes the research, development, and 
provision of new credit education products, services, and 
technology in the marketplace by consumer reporting agencies as 
defined by the Fair Credit Reporting Act and other entities. 
The FTC shall publish the report on its website.
    Contact Lenses.--The Committee is aware of the FTC's 
ongoing review of its contact lens rule and urges the agency to 
make modifications to the rule that prioritize patient safety 
and strengthen enforcement mechanisms.
    Agency Overlap.--The creation of the Bureau of Consumer 
Financial Protection (CFPB) transferred some areas of consumer 
protection jurisdiction that were once the sole purview of the 
FTC to the CFPB. The Committee is aware of the Memorandum of 
Understanding signed by both the CFPB and the FTC and 
understands that the agencies consult on areas of common 
jurisdiction, such as debt collection. However, the Committee 
intends to continue to monitor this issue as duplicative 
efforts in regulatory rulemaking and enforcement activities 
waste agency resources, and could place unnecessary burdens on 
businesses, the economy, and the American taxpayer. The 
Committee expects the FTC to continue to ensure duplicative 
efforts on rulemakings are avoided before agency resources are 
wasted.

                    General Services Administration

    The Committee continues several reporting requirements for 
the General Services Administration (GSA) for fiscal year 2017.
    Takings and Exchanges.--Using existing statutory 
authorities, GSA has been working to dispose of properties that 
no longer meet the needs of Federal agencies in exchange for 
assets of like value. Some of these exchanges are very complex 
in nature and involve multi-year, multi-party, and multi-
billion dollar contracts. In addition, GSA also has the 
statutory authority to take properties. The Committee believes 
in some instances employing such authorities can result in 
savings to the taxpayer when appropriately executed and wants 
to be kept informed of these activities. In order to provide 
increased transparency for the use and planned use of these 
authorities, the Administrator is directed to report to the 
Committees on Appropriations of the House and Senate not later 
than 30 days after the end of each quarter on the use of these 
authorities. The report shall include a description of all 
takings and exchange actions that occurred or were considered 
during the most recently completed quarter of the fiscal year, 
including the costs, benefits, and risks for each action. The 
report shall also include the planned or considered use of 
takings and exchange authorities during the remainder of the 
fiscal year, including the costs, benefits, and risks of each 
action.
    Spending Report.--Within 50 days after the end of each 
quarter, GSA shall submit spending reports to the Committees on 
Appropriations of the House and Senate. The reports shall 
include actual obligations incurred and estimated obligations 
for the remainder of the fiscal year for each appropriation in 
the Federal Buildings Fund and regular discretionary 
appropriations. The reports shall include obligations by object 
class, program, project and activity.
    State of the Portfolio.--Not later than 45 days after the 
date of enactment of this Act, the Administrator shall submit 
to the Committees on Appropriations of the House and Senate a 
report on the state of the Public Buildings Service's real 
estate portfolio for fiscal year 2016. The content included in 
the report shall be comparable to the tabular information 
provided in past State of the Portfolio reports, including, but 
not limited to, the number of leases; the number of buildings; 
amount of square feet, revenue, expenses by type, and vacant 
space; top customers by square feet and annual rent; completed 
new construction, completed major repairs and alterations, and 
disposals, in total and by region where appropriate.
    Land Ports of Entry State of the Portfolio.--Within 90 days 
of the date of enactment of this Act, GSA is directed to 
provide the Committees on Appropriations of the House and 
Senate a report on the state of the land ports of entry 
portfolio. The content of this report shall include, but shall 
not be limited to, a prioritized list of new construction and 
major repairs and alterations projects.
    Activities Report.--The Committee directs GSA to submit a 
report no later than 120 days after the enactment of this Act 
regarding how it ensures an appropriate level of minority, 
women, and veteran owned firms' participation in its facilities 
and procurement activities.
    Courthouse Construction.--The Committee provided 
significant funding for new courthouse construction in fiscal 
year 2016. The Committee is encouraged by the collaborative 
working relationship of the Administrative Office of the U.S. 
Courts, the U.S. Marshals Service, and GSA to ensure 
construction projects are completed on schedule and on budget.
    Alamo Mission.--The State of Texas is working to develop a 
Master Plan for the Alamo Mission that will preserve and 
interpret this historic shrine for future generations. With 
Federally-owned buildings located adjacent to the Alamo 
Mission, the Committee encourages the GSA to be an active 
participant in the development of a Master Plan, including 
offering federal property for lease or sale to the State of 
Texas for fair market value.

                        REAL PROPERTY ACTIVITIES

                         FEDERAL BUILDINGS FUND

                 LIMITATIONS ON AVAILABILITY OF REVENUE

                     (INCLUDING TRANSFERS OF FUNDS)

 
 
 
Limitations on Availability of Revenue:
Limitation on availability, fiscal year 2016..........   $10,196,124,000
Limitation on availability, budget request, fiscal        10,178,338,000
 year 2017............................................
Recommended in the bill...............................     9,244,808,000
Bill compared with:
  Availability limitation, fiscal year 2016...........      -951,316,000
  Availability limitation, fiscal year 2017 request...      -933,530,000
 

    The Federal Buildings Fund (FBF) accounts for the 
activities of the Public Buildings Service (PBS), which 
provides space and services for Federal agencies in a 
relationship similar to that of landlord and tenant. The FBF, 
established in 1975, replaces direct appropriations with income 
derived from rent assessments, which approximate commercial 
rates for comparable space and services. The Committee makes 
funds available through a process of placing limitations on 
obligations from the FBF as a way of allocating funds for 
various FBF activities.

                        COMMITTEE RECOMMENDATION

    The Committee recommends a limitation on the availability 
of funds of $9,244,808,000 for the FBF.
    To carry out the purposes of the FBF, the revenues and 
collections deposited into the FBF shall be available for 
necessary expenses in the aggregate amount of $9,244,808,000 of 
which: $504,918,000 is for construction and acquisition, 
$758,790,000 is for repairs and alterations, $5,645,000,000 is 
for rental of space, and $2,336,100,000 is for building 
operations.
    Historically, prior to obligating funding for prospectus-
level construction, alterations, or leases, the Administration 
has waited for the project to be authorized through a 
resolution approved by the Committee on Transportation and 
Infrastructure in the House and the Committee on Environment 
and Public Works in the Senate as required by title 40 of the 
United States Code and in accordance with the proviso included 
in the FBF appropriations limiting the obligation of funds to 
prospectus-level projects approved by the authorizing 
committees. The Committee supports this process and believes 
that prospectus-level projects warrant a thorough review from 
both the Appropriations Committee and the authorizing 
committees. The Committee expects the Administration to 
continue to follow this process.

                      CONSTRUCTION AND ACQUISITION

 
 
 
Limitations on Availability of Revenue:
Limitation on availability, fiscal year 2016..........    $1,607,738,000
Limitation on availability, budget request, fiscal         1,330,522,000
 year 2017............................................
Recommended in the bill...............................       504,918,000
Bill compared with:
  Availability limitation, fiscal year 2016...........    -1,102,820,000
  Availability limitation, fiscal year 2017 request...      -825,604,000
 

    The construction and acquisition fund finances the project 
cost of design, construction, and management and inspection 
costs of new Federal facilities.

                        COMMITTEE RECOMMENDATION

    The Committee recommends a limitation of $504,918,000 for 
construction and acquisition:
     $200,000,000 for the FBI Headquarters 
Consolidation;
     $248,213,000 for the Calexico West, California, 
United States Land Port of Entry;
     $7,000,000 for the Southeast Federal Center 
Remediation, District of Columbia, Washington;
     $5,749,000 for the United States Department of 
Agriculture Animal and Plant Health Inspection Service, 
Pembina, North Dakota;
     $31,200,000 for a Federal Office Building, Boyers, 
Pennsylvania;
     $12,756,000 for the Internal Revenue Service Annex 
Building, Austin, Texas.

                        REPAIRS AND ALTERATIONS

 
 
 
Limitations on Availability of Revenue:
Limitation on availability, fiscal year 2016..........      $735,331,000
Limitation on availability, budget request, fiscal           841,617,000
 year 2017............................................
Recommended in the bill...............................       758,790,000
Bill compared with:
  Availability limitation, fiscal year 2016...........       +23,459,000
  Availability limitation, fiscal year 2017 request...       -82,827,000
 

    The repairs and alterations activity funds the project cost 
of design, construction, management and inspection for the 
repair, alteration, and modernization of existing real estate 
assets in addition to various special programs.

                        COMMITTEE RECOMMENDATION

    The Committee recommends a limitation of $758,790,000 to 
remain available until expended for repairs and alterations.
    Major Repairs and Alterations.--The Committee recommends 
$300,000,000 for repairs and alterations projects that exceed 
the prospectus threshold. The funds are provided to address 
GSA's highest priority facility needs. The Committee directs 
GSA to submit a detailed plan, by project, regarding the use of 
Major Repairs and Alterations funds, not later than 45 days 
after enactment of this Act. GSA is directed to provide 
notification to the Committees on Appropriations of the House 
and Senate within 15 days prior to any changes in the use of 
these funds.
    Basic Repairs and Alterations.--The Committee recommends 
$312,090,000 for non-recurring repairs and alterations projects 
between $10,000 and the current prospectus threshold of 
$2,850,000.
    Fire and Life Safety.--The Committee recommends $20,000,000 
to improve building safety, abate hazardous material, and 
repair structural deficiencies. These projects include, but are 
not limited to, fire alarm, sprinkler, electrical, ventilation, 
heating, and elevator systems.
    Judiciary Court Security Program.--The Committee recommends 
$26,700,000 for the construction, acquisition, repair, 
alteration, and security projects for the Judiciary as 
prioritized by the Judicial Conference of the United States.
    Consolidation Activities.--The Committee recommends 
$100,000,000 for the cost of consolidating space. Given the 
reduction in the Federal workforce and Federal agency budgets, 
the Committee believes that it is prudent to reduce the GSA 
building inventory, particularly with regard to the thousands 
of surplus and underutilized buildings. The Committee 
appreciates the Administration's commitment to ``freeze the 
footprint'' of the Federal Government (OMB management 
procedures memorandum 2013-02) by prohibiting increases in the 
total square footage of domestic offices and warehouses. 
Projects selected for consolidation should result in reduced 
annual rent paid by the agency, not exceed $10,000,000 in 
costs, and have an approved prospectus. GSA is required to 
submit a spend plan and explanation for each project including 
estimated savings to the Committees on Appropriations of the 
House and Senate before obligating funds.
    Federal Bureau of Investigation (FBI) Headquarters.--The 
Committee recommends $200,000,000 for the FBI Headquarters 
consolidation.
    In fiscal year 2016, the Committee provided GSA with $75 
million in recognition of the need for a new consolidated FBI 
Headquarters. However, GSA's insistence on using its exchange 
authorities to fund the design and construction of a new 
headquarters through the sale of the J. Edgar Hoover Building 
is another example of weak property disposal. GSA's request for 
$1.4 billion for the FBI in fiscal year 2017 is evidence of its 
inexperience and inability to execute an exchange of this 
scale.
    This Committee has consistently questioned whether an 
exchange was financially and practically advisable and whether 
GSA's decision to forgo the normal disposal process would 
obtain the best deal for the taxpayer. To date, GSA has not 
provided the Committee with the total project cost, estimated 
costs of site acquisition, or its current valuation of the J. 
Edgar Hoover Building.
    Furthermore, GSA has failed to explain the massive 
miscalculation of construction and acquisition costs compared 
to its original projection that the value of the Hoover 
building would more than pay for a new FBI Headquarters. The 
absence of a House Transportation and Infrastructure Committee 
approved prospectus for the FBI Headquarters consolidation 
casts further doubt about the exchange. The Committee is 
frustrated by the lack of detail regarding the project cost and 
expects GSA to be more forthcoming with information.

                            RENTAL OF SPACE

 
 
 
Limitations on Availability of Revenue:
Limitation on availability, fiscal year 2016..........    $5,579,055,000
Limitation on availability, budget request, fiscal         5,655,581,000
 year 2017............................................
Recommended in the bill...............................     5,645,000,000
Bill compared with:
  Availability limitation, fiscal year 2016...........       +65,945,000
  Availability limitation, fiscal year 2017 request...       -10,581,000
 

    The rental of space program funds lease payments made to 
privately-owned buildings, temporary space for Federal 
employees during major repair and alteration projects, and 
relocations from Federal buildings due to forced moves and 
relocations as a result of health and safety conditions.

                        COMMITTEE RECOMMENDATION

    The Committee recommends a limitation of $5,645,000,000 for 
rental of space. The Committee expects GSA to reduce the amount 
of leased space in its inventory at a faster pace.

                          BUILDING OPERATIONS

 
 
 
Limitations on Availability of Revenue:
Limitation on availability, fiscal year 2016..........    $2,274,000,000
Limitation on availability, budget request, fiscal         2,350,618,000
 year 2017............................................
Recommended in the bill...............................     2,336,100,000
Bill compared with:
  Availability limitation, fiscal year 2016...........       +62,100,000
  Availability limitation, fiscal year 2017 request...       -14,518,000
 

    The building operations account funds services that Federal 
agencies in GSA-owned buildings and occasionally in GSA-leased 
buildings, when not provided by the lessor, directly benefit 
from such as building security, cleaning, utilities, window 
washing, snow removal, pest control, and maintenance of 
heating, air conditioning, ventilating, plumbing, sewage, 
electrical, elevator, escalator, and fire protection systems. 
In addition, this account funds all the personnel and 
administrative expenses for carrying out construction and 
acquisition, repair and alteration, and leasing activities.

                        COMMITTEE RECOMMENDATION

    The Committee recommends a limitation of $2,336,100,000 for 
Building Operations and Maintenance. Within this amount, 
$1,184,790,000 is for building services and $1,151,310,000 is 
for salaries and expenses. Up to five percent of the funds may 
be transferred between these activities upon the advance 
notification to the Committees on Appropriations of the House 
and Senate. Not later than 60 days after the date of enactment 
of this Act, the Administrator shall submit a spend plan, by 
region, regarding the use of these funds to the Committees on 
Appropriations of the House and Senate.

                           GENERAL ACTIVITIES

                         GOVERNMENT-WIDE POLICY

 
 
 
Appropriation, fiscal year 2016.......................       $58,000,000
Budget request, fiscal year 2017......................        64,497,000
Recommended in the bill...............................        58,000,000
Bill compared with:
  Appropriation, fiscal year 2016.....................             - - -
  Budget request, fiscal year 2017....................        -6,497,000
 

    The Office of Government-Wide Policy provides Federal 
agencies with guidelines, best practices, and performance 
measures for complying with all the laws, regulations, and 
executive orders related to: acquisition and procurement, 
personal and real property management, travel and 
transportation management, electronic customer service 
delivery, and use of Federal advisory committees.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $58,000,000 
for Government-wide Policy.
    Green Buildings.--The Committee shares the GSA's goal of 
reducing building expenses through the efficient use of energy 
and water and encourages energy efficiency to be considered 
when purchasing construction and building materials, such as 
sustainable wood products. The Committee is concerned, however, 
that GSA's current green building policies and practices are 
tailored to reflect the standards of a specific third-party 
certification system rather than the public interest in greater 
energy and water efficiency. All agencies should be wary of 
becoming captured; no third-party certification program has a 
monopoly on how to attain efficiency, much less sustainability. 
For example, efficiency and sustainability can be achieved not 
just through the design of buildings or major renovations and 
the selection of materials, but also through proper building 
maintenance and usage, building codes, energy codes, energy 
efficiency rating systems, or a combination thereof.
    The Committee recognizes sustainable roofing systems as a 
viable option for government buildings. The Committee notes 
that proper thermal insulation is a cost-effective and energy 
efficient technology.
    Information Technology Supply Chain Report.--No later than 
120 days after the enactment of this act, the GSA shall consult 
with the Department of Defense (DOD) about the effectiveness of 
DOD's implementation of the supply chain security requirements 
set forth in Section 806 of the Fiscal Year 2011 National 
Defense Authorization Act, which required DOD to better manage 
its information technology supply chain. After consultation 
with DOD, GSA shall submit an unclassified report to the 
Committees on Appropriations of the House and Senate on the 
feasibility of adopting DOD-like supply chain security 
initiatives. This report should also include an unclassified 
assessment of the supply chain risks posed by potentially 
untrustworthy sub-contractors, as well as a general plan to 
mitigate such risks.
    SDVOSB Participation.--The Committee encourages GSA to work 
with the Department of Veterans Affairs and other Federal 
agencies to ensure the participation of Service-Disabled 
Veteran-Owned Small Businesses (SDVOSBs), consistent with the 
provisions of P.L. 109-461 and Executive Order 13360, in 
conjunction with the Federal Strategic Sourcing Initiative 
(FSSI) for purchasing channel decisions, other agency 
contracting and procurement opportunities relevant to 
Janitorial and Sanitation products, and other areas. The 
Committee encourages GSA to take proactive steps to ensure 
SDVOSBs have fair and reasonable opportunities to participate 
in GSA procurement processes when they have valid Federal 
Supply Schedules (FSS).

                           OPERATING EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................       $49,376,000
Budget request, fiscal year 2017......................        50,174,000
Recommended in the bill...............................        47,966,000
Bill compared with:
  Appropriation, fiscal year 2016.....................        -1,410,000
  Budget request, fiscal year 2017....................        -2,208,000
 

    This account provides appropriations for activities that 
are not feasible for a user fee arrangement. Included under 
this heading are personal property utilization and donation 
activities of the Federal Acquisition Service; real property 
utilization and disposal activities of the Public Buildings 
Service; select management and administration activities 
including support of government-wide emergency management 
activities; and top-level, agency-wide management communication 
activities.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $47,966,000 
for operating expenses. Within the amount provided under this 
heading, $24,569,000 is for Real and Personal Property 
Management and Disposal, and $23,397,000 is for the Office of 
the Administrator.
    Federal Real Property Profile.--The Committee remains 
extremely frustrated with the slow pace at which GSA and other 
Federal agencies are improving the accuracy of the Federal Real 
Property Profile. The U.S. Government Accountability Office 
(GAO) named managing Federal real property to its 2015 High 
Risk List. The Committee is concerned that despite language in 
the fiscal year 2015 and 2016 reports, GSA has not made 
progress on the value and accuracy of its inventory, taken 
steps to include public lands as required by Executive Order 
13327, made the FRPP available to the public, or geo-enabling 
the FRPP. The Committee is outraged that the Federal Government 
cannot provide an accurate accounting to the American public of 
all the property that it owns. The Committee expects GSA to 
work with agencies across government and utilize geographic 
information technology to improve the data contained in this 
report and enhance transparency to the American taxpayer. The 
Committee directs GSA to report to the Committees on 
Appropriations of the House and Senate on steps taken to 
improve the quality and transparency of the profile within 60 
days after the enactment of this Act.

                   CIVILIAN BOARD OF CONTRACT APPEALS

 
 
 
Appropriation, fiscal year 2016.......................        $9,184,000
Budget request, fiscal year 2017......................         9,275,000
Recommended in the bill...............................         9,275,000
Bill compared with:
  Appropriation, fiscal year 2016.....................           +91,000
  Budget request, fiscal year 2017....................             - - -
 

    This account provides appropriations for the Civilian Board 
of Contract Appeals (CBCA). The CBCA is charged with 
facilitating the prompt, efficient, and inexpensive resolution 
of disputes through the use of alternate dispute resolution.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $9,275,000 for 
the Civilian Board of Contract Appeals.

                      OFFICE OF INSPECTOR GENERAL

 
 
 
Appropriation, fiscal year 2016.......................       $65,000,000
Budget request, fiscal year 2017......................        66,000,000
Recommended in the bill...............................        65,000,000
Bill compared with:
  Appropriation, fiscal year 2016.....................             - - -
  Budget request, fiscal year 2017....................        -1,000,000
 

    This appropriation provides agency-wide audit and 
investigative functions to identify and correct GSA management 
and administrative deficiencies that create conditions for 
existing or potential instances of fraud, waste, and 
mismanagement. The audit function provides internal and 
contract audits. Internal audits review and evaluate all facets 
of GSA operations and programs, test internal control systems, 
and develop information to improve operating efficiencies and 
enhance customer services. Contract audits provide professional 
advice to GSA contracting officials on accounting and financial 
matters relative to the negotiation, award, administration, 
repricing, and settlement of contracts. The investigative 
function provides for the detection and investigation of 
improper and illegal activities involving GSA programs, 
personnel, and operations.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $65,000,000 
for the Office of Inspector General.

           ALLOWANCES AND OFFICE STAFF FOR FORMER PRESIDENTS

 
 
 
Appropriation, fiscal year 2016.......................        $3,277,000
Budget request, fiscal year 2017......................         3,865,000
Recommended in the bill...............................         1,932,000
Bill compared with:
  Appropriation, fiscal year 2016.....................        -1,345,000
  Budget request, fiscal year 2017....................        -1,933,000
 

    This appropriation provides pensions, office staff, and 
related expenses for former Presidents Jimmy Carter, George 
H.W. Bush, William Clinton, and George W. Bush, and future 
former President Barack Obama.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $1,932,000 for 
allowances and office staff for former Presidents.

                   EXPENSES, PRESIDENTIAL TRANSITION

                     (INCLUDING TRANSFER OF FUNDS)

 
 
 
Appropriation, fiscal year 2016.......................             - - -
Budget request, fiscal year 2017......................        $9,500,000
Recommended in the bill...............................         9,500,000
Bill compared with:
  Appropriation, fiscal year 2016.....................        +9,500,000
  Budget request, fiscal year 2017....................             - - -
 

    In accordance with the Presidential Transition Act of 1963, 
as amended, this appropriation provides for transition services 
to the outgoing and incoming Presidential offices. The 
Committee directs GSA to provide the Committee on 
Appropriations of the House and Senate with quarterly reports 
detailing how funds in this account are spent.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $9,500,000 for 
presidential transition.

                     FEDERAL CITIZEN SERVICES FUND

                     (INCLUDING TRANSFERS OF FUNDS)

 
 
 
Appropriation, fiscal year 2016.......................       $55,894,000
Budget request, fiscal year 2017......................        58,428,000
Recommended in the bill...............................        55,894,000
Bill compared with:
  Appropriation, fiscal year 2016.....................             - - -
  Budget request, fiscal year 2017....................        -2,534,000
 

    The Federal Citizen Services Fund (the Fund) appropriation 
provides for the salaries and expenses of GSA's Office of 
Citizen Services and Innovative Technologies (OCSIT). The Fund 
enables citizen access and engagement with government through 
an array of operational programs and direct citizen facing 
services. The Fund provides electronic or other methods of 
access to and understanding of Federal information, benefits, 
and services to citizens, businesses, local governments, and 
the media.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $55,894,000 
for the Federal Citizen Services Fund. The Committee expects 
the funds provided for these activities, combined with 
efficiency gains and resource prioritization will result in 
increased delivery of information to the public and in the ease 
of transaction with the government.
    All the income collected by the Office of Citizen Services 
and Innovative Technologies (OCSIT) in the form of 
reimbursements from Federal agencies, user fees for 
publications ordered by the public, payments from private 
entities for services rendered, and gifts from the public is 
available to the OCSIT without regard to fiscal year 
limitations, but is subject to an annual limitation of 
$150,000,000. Any revenues accruing in excess of this amount 
shall remain in the fund and are not available for expenditure 
except as authorized in Appropriation Acts.

       Administrative Provisions--General Services Administration


                     (INCLUDING TRANSFER OF FUNDS)

    Section 520. The Committee continues the provision 
providing authority for the use of funds for the hire of motor 
vehicles.
    Section 521. The Committee continues the provision 
providing that funds made available for activities of the 
Federal Buildings Fund may be transferred between 
appropriations with advance approval of the Committees on 
Appropriations of the House and Senate.
    Section 522. The Committee continues the provision 
requiring funds proposed for developing courthouse construction 
requests to meet appropriate standards and the priorities of 
the Judicial Conference.
    Section 523. The Committee continues the provision 
providing that no funds may be used to increase the amount of 
occupiable square feet, provide cleaning services, security 
enhancements, or any other service usually provided, to any 
agency which does not pay the assessed rent.
    Section 524. The Committee continues the provision that 
permits GSA to pay small claims (up to $250,000) made against 
the Federal Government.
    Section 525. The Committee continues the provision 
requiring the Administrator to ensure that the delineated area 
of procurement for all lease agreements is identical to the 
delineated area included in the prospectus unless prior notice 
is given to the committees of jurisdiction.
    Section 526. The Committee continues the provision 
requiring a spend plan for certain accounts and programs.
    Section 527. The Committee includes a new provision 
eliminating GSA's authority from transferring lapsed funds into 
the Working Capital Fund.

                     Merit Systems Protection Board


                         SALARIES AND EXPENSES

                     (INCLUDING TRANSFER OF FUNDS)

 
 
 
Appropriation, fiscal year 2016.......................       $46,835,000
Budget request, fiscal year 2017......................        47,428,000
Recommended in the bill...............................        47,131,000
Bill compared with:
  Appropriation, fiscal year 2016.....................          +296,000
  Budget request, fiscal year 2017....................          -297,000
 

    The Merit Systems Protection Board (MSPB) is an 
independent, quasi-judicial agency established to protect the 
civil service merit system. The MSPB adjudicates appeals 
primarily involving personnel actions, certain Federal employee 
complaints, and retirement benefits issues. The MSPB reports to 
the President whether merit systems are sufficiently free of 
prohibited employment practices.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $47,131,000 
for the MSPB. The recommendation includes a transfer of 
$2,345,000 from the Civil Service Retirement and Disability 
Fund.

              National Archives and Records Administration


                           OPERATING EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................      $379,393,000
Budget request, fiscal year 2017......................       380,634,000
Recommended in the bill...............................       380,634,000
Bill compared with:
  Appropriation, fiscal year 2016.....................        +1,241,000
  Budget request, fiscal year 2017....................             - - -
 

    This appropriation provides NARA with funds for its basic 
operations for management of the Federal Government's archives 
and records, services to the public, operation of Presidential 
libraries, review for declassification of classified security 
information, and includes funding for the Electronic Records 
Archives which preserves, stores, and manages digital Federal 
records for archival purposes, ensuring long-term access.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $380,634,000 
for the Operating Expenses of NARA.
    Records Management.--The Committee encourages NARA to 
leverage private sector records management capabilities, where 
private vendors have invested their own capital to develop 
facilities that are compliant with NARA's stringent building 
standards. The Committee encourages NARA to identify NARA 
records management storage facilities that can be cost 
effectively managed by private records management companies, 
especially those housing temporary Federal records.
    The Committee directs NARA to submit a report to the 
Committees on Appropriations of the House and Senate, no later 
than April 30, 2017, detailing the Archives' activity and 
spending related to the Presidential transition.

                      OFFICE OF INSPECTOR GENERAL

 
 
 
Appropriation, fiscal year 2016.......................        $4,180,000
Budget request, fiscal year 2017......................         4,801,000
Recommended in the bill...............................         4,801,000
Bill compared with:
  Appropriation, fiscal year 2016.....................          +621,000
  Budget request, fiscal year 2017....................             - - -
 

    The Office of Inspector General (OIG) provides audits and 
investigations and serves as an independent, internal advocate 
to promote economy, efficiency, and effectiveness within NARA.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $4,801,000 for 
the OIG for fiscal year 2016.

                        REPAIRS AND RESTORATION

 
 
 
Appropriation, fiscal year 2016.......................        $7,500,000
Budget request, fiscal year 2017......................         7,500,000
Recommended in the bill...............................         7,500,000
Bill compared with:
  Appropriation, fiscal year 2016.....................             - - -
  Budget request, fiscal year 2017....................             - - -
 

    This appropriation provides for the repair, alteration, and 
improvement of Archives facilities and Presidential libraries 
nationwide. It enables the National Archives to maintain its 
facilities in proper condition for visitors, researchers, and 
employees, and also maintain the structural integrity of the 
buildings.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $7,500,000 for 
repairs and restoration.

 NATIONAL HISTORICAL PUBLICATIONS AND RECORDS COMMISSION GRANTS PROGRAM

 
 
 
Appropriation, fiscal year 2016.......................        $5,000,000
Budget request, fiscal year 2017......................         5,000,000
Recommended in the bill...............................         6,000,000
Bill compared with:
  Appropriation, fiscal year 2016.....................        +1,000,000
  Budget request, fiscal year 2017....................        +1,000,000
 

    The National Historical Publications and Records Commission 
(NHPRC) program provides for grants to preserve and publish 
records that document American history. Administered within the 
National Archives and Records Administration, the NHPRC helps 
State, local, and private institutions preserve non-Federal 
records, helps publish the papers of major figures in American 
history, and helps archivists and records managers improve 
their techniques, training, and ability to serve a range of 
information users.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $6,000,000 
NHPRC.

                  National Credit Union Administration


               COMMUNITY DEVELOPMENT REVOLVING LOAN FUND

 
 
 
Appropriation, fiscal year 2016.......................        $2,000,000
Budget request, fiscal year 2017......................         2,000,000
Recommended in the bill...............................         2,000,000
Bill compared with:
  Appropriation, fiscal year 2016.....................             - - -
  Budget request, fiscal year 2017....................             - - -
 

    The Community Development Revolving Loan Fund Program 
(CDRLF) was established in 1979 to assist officially designated 
``low-income'' credit unions in providing basic financial 
services to low-income communities. Low-interest loans and 
deposits are made available to assist these credit unions. 
Loans or deposits are normally repaid in five years, although 
shorter repayment periods may be considered. Technical 
assistance grants are also available to low-income credit 
unions. Earnings generated from the CDRLF are available to fund 
technical assistance grants in addition to funds provided for 
specifically in appropriations acts. Grants are available for 
improving operations as well as addressing safety and soundness 
issues.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $2,000,000 for 
the National Credit Union Administration's CDRLF for technical 
assistance grants. The Committee expects the CDRLF to continue 
making loans from their available funds derived from repaid 
loans and interest earned on previous loans to designated 
credit unions.

                      Office of Government Ethics


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................       $15,742,000
Budget request, fiscal year 2017......................        16,090,000
Recommended in the bill...............................        16,090,000
Bill compared with:
  Appropriation, fiscal year 2016.....................          +348,000
  Budget request, fiscal year 2017....................             - - -
 

    The Office of Government Ethics (OGE) established by the 
Ethics in Government Act of 1978, partners with other executive 
branch Departments and agencies to foster high ethical 
standards. The OGE issues and monitors rules regulations, and 
memoranda pertaining to the prevention and resolution of 
conflicts of interest, post-employment restrictions, standards 
of conduct, and financial disclosure for executive branch 
employees. The OGE is also responsible for creating and running 
an electronic financial disclosure system under the Stop 
Trading on Congressional Knowledge (STOCK) Act.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $16,090,000 
for the OGE.

                     Office of Personnel Management


                         SALARIES AND EXPENSES

                  (INCLUDING TRANSFER OF TRUST FUNDS)

 
 
 
Appropriation, fiscal year 2016.......................      $245,238,000
Budget request, fiscal year 2017......................       289,520,000
Recommended in the bill...............................       286,478,000
Bill compared with:
  Appropriation, fiscal year 2016.....................       +41,240,000
  Budget request, fiscal year 2017....................        -3,042,000
 

    The Office of Personnel Management (OPM) is the Federal 
agency responsible for management of Federal human resources 
policy and oversight of the merit civil service system. OPM 
provides a government-wide policy framework for personnel 
matters, advises and assists agencies (often on a reimbursable 
basis), and ensures that agency operations are consistent with 
requirements of law, with emphasis on such issues as veterans 
preference. OPM oversees examining of applicants for 
employment; issues regulations and policies on hiring, 
classification and pay, training, investigations; and many 
other aspects of personnel management, and operates a 
reimbursable training program for the Federal Government's 
managers and executives. OPM is also responsible for 
administering the retirement, health benefits and life 
insurance programs affecting most Federal employees, retired 
Federal employees, and their survivors.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $144,867,000 
for the General Fund. The Committee also recommends 
$141,611,000 for administrative expenses, to be transferred 
from the appropriate trust funds.
    OPM has struggled for decades to process Federal retirees' 
pension claims quickly and accurately. As a result, tens of 
thousands of new retirees wait months to receive their complete 
annuities--some wait more than a year--and in the meantime they 
may be constrained by reduced interim pensions. The Committee 
expects OPM to continue to make retirement processing a 
priority and move to a fully-automated electronic filing 
system. The Committee believes that the backlog and delays in 
retirement processing are unacceptable and directs OPM to 
continue to provide the Committees on Appropriations of the 
House and Senate with monthly reports on its progress in 
addressing the backlog in claims.
    In the wake of the two massive data breaches, OPM must 
continue to take steps to secure the personally identifiable 
information and material relating to security clearances of all 
current, former, and prospective federal government employees. 
The Committee has provided full funding for the 
Administration's fiscal years 2016 and 2017 requests for 
cybersecurity and expects OPM to continue with IT upgrades to 
secure its networks against future attacks.
    National Bureau of Investigations.--The Committee requires 
more information about the Administration's proposal to create 
the National Bureau of Investigations (NBIB), which will 
replace OPM's Federal Investigative Services Branch, and, 
therefore, directs OPM to submit to the Committees on 
Appropriations of the House and Senate quarterly progress 
reports highlighting the NBIB implementation plan, timeline, 
and milestones; costs for each phase of implementation and 
anticipated outyear costs; governance, resource management, and 
accountability policies between OPM and Department of Defense; 
and a human capital plan as well as other significant issues 
related to standing-up the NBIB.
    Critical Functions.--The recent security breaches, focus on 
system upgrades, and the new National Background Investigations 
Bureau should not detract OPM from fulfilling its critical 
functions such as recruiting, retaining and developing a 
Federal workforce to serve the American people. OPM serves the 
Federal workforce by directing human resources and employee 
management services, and administering retirement benefits, 
managing healthcare and insurance programs, overseeing merit-
based and inclusive hiring in to the civil service, and 
providing a secure employment process. The Committee reminds 
OPM's senior management to not lose sight of its mission as it 
responds to critical IT challenges.
    Recruitment.--The Committee is concerned with the length of 
time it often takes the Federal Government to hire qualified 
employees. Rigid rules along with long delays in the hiring and 
interview process discourage top candidates from applying for 
or accepting Federal positions. The Committee encourages the 
OPM to seek feedback on its recruitment process, explore and 
implement hiring policies to reduce barriers to Federal 
employment, such as those faced by the re-entry population, and 
to reduce the delays in the hiring and notification process, 
and improve overall the Federal recruitment process.
    As part of OPM's mission to recruit and hire the most 
talented and diverse Federal workforce, the Committee 
encourages Federal agencies to increase recruitment efforts 
within the United States and the territories and at Hispanic 
Serving Institutions and Historically Black Colleges and 
Universities.
    CyberCorps.--A concern throughout the Federal Government is 
hiring qualified cyber security staff. The CyberCorps 
Scholarship for Service Program is a unique program designed to 
increase and strengthen the cadre of cyber professionals by 
providing students with academic scholarships in return for 
their service in Federal, state, or local government. A greater 
effort is needed to promote Federal cyber positions among 
recent CyberCorps graduates and to streamline the hiring 
process to attract these individuals to Federal service. OPM is 
directed to submit a report to the Committees on Appropriations 
of the House and Senate, House Permanent Select Committee on 
Intelligence, and the Senate Select Committee on Intelligence 
within 90 days of enactment of this Act outlining the steps OPM 
will take to improve the hiring process of CyberCorps 
graduates.
    Domestic Violence, Sexual Assault, and Stalking.--The 
Committee directs the Office of Personnel Management to create 
a report no later than 180 days of enactment of this Act 
detailing the impact of the February 2013 Guidance for Agency-
specific Domestic Violence, Sexual Assault, and Stalking on 
Federal agency employee leave policies. The Committee directs 
the Office of Personnel Management to publish, at minimum, the 
following information: (1) a comprehensive summary of agency 
leave policies in a 12-month period for domestic violence, 
sexual assault, and stalking survivors; (2) a comprehensive 
summary of agency safety precaution policies for domestic 
violence, sexual assault, and stalking survivors; and (3) a 
list of agencies that have not yet submitted final policies 
adhering to the 2013 Office of Personnel Management guidance or 
are not engaged in active implementation efforts.

                      Office of Inspector General


                         SALARIES AND EXPENSES

                  (INCLUDING TRANSFER OF TRUST FUNDS)

 
 
 
Appropriation, fiscal year 2016.......................       $26,844,000
Budget request, fiscal year 2017......................        31,734,000
Recommended in the bill...............................        31,734,000
Bill compared with:
  Appropriation, fiscal year 2016.....................        +4,890,000
  Budget request, fiscal year 2017....................             - - -
 

    This appropriation provides for the Office of Inspector 
General's (OIG) agency-wide audit, investigative, evaluation, 
and inspection functions, which identify management and 
administrative deficiencies, fraud, waste and mismanagement. 
The OIG performs internal agency audits and insurance audits, 
and offers contract audit services. Internal audits review and 
evaluate all facets of agency operations, including financial 
statements. Evaluation and inspection services provide detailed 
technical evaluations of agency operations. Insurance audits 
review the operations of health and life insurance carriers, 
health care providers, and insurance subscribers. Contract 
auditors provide professional advice to agency contracting 
officials on accounting and financial matters regarding the 
negotiation, award, administration, repricing, and settlement 
of contracts. The investigative function provides for the 
detection and investigation of improper and illegal activities 
involving programs, personnel, and operations.

                        COMMITTEE RECOMMENDATION

    The Committee recommends a general fund appropriation of 
$5,072,000 for the OIG. In addition, the recommendation 
provides $26,662,000 from appropriate trust funds.
    National Bureau of Investigations.--Of particular interest 
to the Committee is the implementation of OPM's National 
Background Investigations Bureau (NBIB). The Committee directs 
the Inspector General to submit a report to the Committees on 
Appropriations of the House and Senate not less than 12 months 
after enactment of this Act assessing the implementation of 
NBIB; staff transitions from the Federal Investigative Services 
and future staffing needs; current and future costs; governance 
and accountability structure among the NBIB, Department of 
Defense, OPM IG and Performance Accountability Council; and 
recommendations and weaknesses found.

                       Office of Special Counsel


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................       $24,119,000
Budget request, fiscal year 2017......................        26,535,000
Recommended in the bill...............................        25,735,000
Bill compared with:
  Appropriation, fiscal year 2016.....................        +1,616,000
  Budget request, fiscal year 2017....................          -800,000
 

    The Office of Special Counsel (OSC): (1) investigates 
Federal employee allegations of prohibited personnel practices 
(including reprisal for whistleblowing) and, when appropriate, 
prosecutes before the Merit Systems Protection Board; (2) 
provides a channel for whistleblowing by Federal employees; and 
(3) enforces the Hatch Act. The Office may transmit 
whistleblower allegations to the agency head concerned and 
require an agency investigation and a report to the Congress 
and the President when appropriate. Additionally, the Office 
enforces the civilian employment and reemployment rights of 
military service members under the Uniformed Services 
Employment and Re-employment Rights Act.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $25,735,000 
for the OSC.

                      Postal Regulatory Commission


                         SALARIES AND EXPENSES

                     (INCLUDING TRANSFER OF FUNDS)

 
 
 
Appropriation, fiscal year 2016.......................       $15,200,000
Budget request, fiscal year 2017......................        17,726,000
Recommended in the bill...............................        16,200,000
Bill compared with:
  Appropriation, fiscal year 2016.....................        +1,000,000
  Budget request, fiscal year 2017....................        -1,526,000
 

    The Commission establishes and maintains the U.S. Postal 
Service's ratemaking systems, measures service and performance, 
ensures accountability, and has enforcement mechanisms, 
including the authority to issue subpoenas.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation, out of the 
Postal Fund, of $16,200,000 for the Postal Regulatory 
Commission (Commission). The Committee believes the Commission 
can make better use of its office space and reduce annual 
rental costs through consolidation and reconfiguration. The 
Committee directs the Commission to work with the General 
Services Administration on optimizing the Commission's space to 
reduce the Commission's footprint and save additional 
resources.

              Privacy and Civil Liberties Oversight Board


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................       $21,297,000
Budget request, fiscal year 2017......................        10,081,000
Recommended in the bill...............................         8,297,000
Bill compared with:
  Appropriation, fiscal year 2016.....................       -13,000,000
  Budget request, fiscal year 2017....................        -1,784,000
 

    The Privacy and Civil Liberties Oversight Board (the Board) 
is an independent agency within the Executive Branch whose 
purpose is to (1) analyze and review actions the Executive 
Branch takes to protect the nation from terrorism, ensuring 
that the need for such actions is balanced with the need to 
protect privacy and civil liberties; and (2) ensure that 
liberty concerns are appropriately considered in the 
development and implementation of laws, regulations, and 
policies related to efforts to protect the nation against 
terrorism. The Board consists of 4 part-time members and full-
time chairman.

                        COMMITTEE RECOMMENDATION

    The Committee recommends $8,297,000 for the Board.
    The Committee is appreciative of the Board's decision to 
secure the most cost-effective facilities lease and encourages 
the Board to continue to work with the General Services 
Administration in maintaining such measures, particularly at a 
time when resources are limited. The Committee directs the 
Board to provide quarterly briefings to the Committees on 
Appropriations of the House and Senate on the progress of the 
Board's facilities move.

                   Securities and Exchange Commission


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................    $1,605,000,000
Budget request, fiscal year 2017......................     1,781,457,278
Recommended in the bill...............................     1,555,000,000
Bill compared with:
  Appropriation, fiscal year 2016.....................       -50,000,000
  Budget request, fiscal year 2017....................      -226,457,278
 

    The primary mission of the Securities and Exchange 
Commission (SEC) is to protect investors, maintain the 
integrity of the securities markets, and assure adequate 
information on the capital markets is made available to market 
participants and policy makers. This includes monitoring the 
rapid evolution of the capital markets, ensuring full 
disclosure of all appropriate financial information, regulating 
the Nation's securities markets, and preventing fraud and 
malpractice in the securities and financial markets.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $1,555,000,000 
for the SEC. The Committee designates not less than $14,700,000 
for Office of Inspector General and $72,049,000 for the 
Division of Economic and Risk Analysis.
    Reserve Fund/Information Technology.--The Committee is 
supportive of the SEC's prioritization of robust and effective 
information technology (IT) systems within the Commission. The 
SEC has indicated that the planned use of the Dodd-Frank 
mandatory Reserve Fund is to support the Commission's IT 
initiatives. However, this fund is not overseen by Congress and 
it is left to the discretion of the Commission as to its use. 
The Committee believes emergency reserve funds should be used 
for natural disaster emergencies and other crises, not 
discretionary priorities within a Federal agency. While the 
Committee does not support the use of the Reserve Fund, an 
increase to IT funding is provided through the Commission's 
overall appropriation. The Committee's recommended funding 
level for IT initiatives increases the overall funding level by 
$50,000,000 specifically to support IT funding priorities. The 
Committee includes a limitation (section 624) prohibiting funds 
from the Reserve Fund from being used by the Commission.
    The Committee expects the Commission to continue to improve 
network safeguards and security controls, both physical and 
cyber, from potential intrusions. The Committee expects the 
Commission to prioritize and fully implement the information 
security program as soon as possible.
    Fiduciary Standard.--The Committee remains concerned with 
the Department of Labor (DOL) newly released rule regarding 
fiduciary standards for broker-dealers. This rule overlaps with 
SEC's jurisdiction and the implications for regulatory conflict 
and investor harm are far-reaching. The DOL is neither an 
expert in the area of overseeing investment advisors, nor the 
primary regulator for broker-dealers. The Committee knows of no 
peer-reviewed studies that have established causation between a 
fiduciary standard and returns on investment. Further, the 
impact on low to moderate income retail investors is of 
significant concern. The Committee will continue to closely 
monitor any SEC rulemaking in this area and expects the SEC to 
take into consideration the impact on retail investors and the 
availability of affordable investment advice.
    Liquidity.--The Committee believes the SEC is the expert 
regulator with regard to the U.S. capital markets. Since the 
passage of the Dodd-Frank Wall Street Reform and Consumer 
Protection Act (Dodd-Frank Act), prudential regulators, through 
the Financial Stability Oversight Council (FSOC), have been 
able to influence and, in many cases, impair the U.S. markets' 
functionality. Although both the banking sector and capital 
markets affect the U.S. and global economy, prudential 
regulation and market regulation are inherently different and 
should be treated as such.
    The Committee has strong concerns about the effect that the 
Dodd-Frank Act and other layers of financial regulation have 
had, and will continue to have, on overall market liquidity. 
The Committee believes these layers of regulation have resulted 
in an alarming lack of liquidity in U.S. markets, particularly 
fixed income markets. In FY 2016 the Committee directed the 
SEC's Division of Economic and Risk Analysis (DERA) to report 
to the Committee within one year of enactment of this Act, on 
the combined impacts that the Dodd-Frank Act--especially 
section 619--and other financial regulations, such as Basel 
III, have had on: (1) access to capital for consumers, 
investors, and businesses, and (2) market liquidity, to include 
U.S. Treasury markets and corporate debt. The Committee looks 
forward to reviewing this report.
    The Committee has been supportive of DERA in order to 
encourage the Commission prioritize robust and thorough expert 
economic analysis of SEC rulemakings. The Committee expects 
DERA, when it performs economic analysis for proposed SEC 
regulations, to consider the overall economic effects of all 
financial regulations--not just those proposed by the SEC--and 
their effect on the U.S. markets.
    BDC Modernization.--Congress created Business Development 
Companies (BDCs) in 1980 to facilitate capital formation in 
small and medium size companies. BDCs have recently invested in 
small and medium-size companies that provide vital services to 
the American public, including companies involved in disease 
treatment and prevention, education, information technology 
security, agriculture, and construction. Many BDCs specialize 
in financing acquisitions made by private equity firms. While 
there is a wide variation among BDCs in the size of their 
investments, the companies they invest in, and the industries 
in which they concentrate, they all share a common investment 
objective of making it easier for small and medium-sized 
companies to obtain access to capital. Funding from BDCs has 
become more important for small businesses as the stifling 
regulatory environment resulting from the regulatory 
overreaction to the financial crisis has restricted bank and 
other traditional financing options for these companies. The 
Committee instructs the SEC to modernize the business 
development company regulatory regime consistent with H.R. 
3868, the Small Business Credit Availability Act as reported by 
the Committee on Financial Services on November 3, 2015.
    BDC Acquired Fund Fee and Expense Rule.--The SEC issued its 
acquired fund fees and expenses (AFFE) rule in 2003 to deal 
with the ``Funds of Funds'' business models. As the law does 
not consider BDCs to be Funds of Funds, the SEC did not mention 
BDCs in the rule. Today the BDC industry has grown dramatically 
and the AFFE rule unnecessarily harms the industry. Retail 
investors benefit from having professional firms and indexes 
analyze BDC securities. However, retail investors are not being 
given adequate market protections because the AFFE rule 
prohibits BDC securities from inclusion in indexes, which 
results in fewer research analysts that cover the BDC industry. 
The Committee recommends that the SEC re-open the AFFE rule for 
public comment to consider the impacts on the BDC industry and 
its investors.
    Disclosures.--Effective disclosures are at the core of 
investor protection and must be timely, accurate, and 
understandable to both retail and institutional investors. 
Corporate disclosures should also be provided in an easily 
accessible format. The current disclosure regime system must be 
overhauled in order to eliminate obsolete and onerous 
disclosures, which the SEC has previously acknowledged. The 
Committee directs the SEC submit a report, within 90 days of 
enactment of this Act, to the Committees on Appropriations of 
the House and Senate outlining the Commission's efforts to 
modernize the disclosure requirements.
    Organizational Structure.--The Committee remains concerned 
that a lack of managerial accountability, focus, 
prioritization, and internal communication hampers the 
effectiveness of the SEC. The Committee has concurred with the 
recommendation put forth in the Boston Consulting Group (BCG) 
report that the SEC must reorganize in order to become more 
efficient. While progress has been made in reorganizing certain 
offices, the Committee believes there is more to be done to 
make the Commission better able to respond to dynamic markets. 
The Committee again directs the SEC to provide an updated 
report on a reorganization plan outlining areas of improvement. 
Within the report the Committee directs the SEC to undertake a 
review of the overall organizational structure. This report is 
to be delivered to the Committees on Appropriations of the 
House and Senate within 90 days of enactment of this Act.
    Financial Accounting Standards.--Any proposals issued by 
the SEC on whether to adopt International Financial Reporting 
Standards (IFRS) by U.S. public companies must account for the 
impact on U.S. tax and accounting policies, and the differences 
between U.S. Generally Accepted Accounting Principles (GAAP) 
and IFRS. The SEC must also consider the economic costs that 
IFRS could impose on cost of capital and investment in the U.S. 
The Committee expects that the SEC would subject any proposal 
to adopt IFRS to be subject to the notice-and-comment 
requirements of the Administrative Procedure Act so that the 
SEC can receive input from all interested parties.
    Joint Rulemakings.--The Committee directs the SEC to work 
cooperatively with the Commodity Futures Trading Commission 
(CFTC) on all joint rulemakings as required by the Dodd-Frank 
Wall Street Reform and Consumer Protection Act.

                        Selective Service System


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................       $22,703,000
Budget request, fiscal year 2017......................        22,900,000
Recommended in the bill...............................        22,703,000
Bill compared with:
  Appropriation, fiscal year 2016.....................             - - -
  Budget request, fiscal year 2017....................          -197,000
 

    The Selective Service System was established by the 
Selective Service Act of 1948. The mission of the System is to 
be prepared to supply manpower to the Armed Forces adequate to 
ensure the security of the United States during a time of 
national emergency. Since 1973, the Armed Forces have relied on 
volunteers to fill military manpower requirements, but 
selective service registration was reinstituted in July 1980.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $22,703,000 
for the Selective Service System.

                     Small Business Administration

    The Small Business Administration (SBA) assists small 
businesses through programs including loans, grants, and 
contracting preferences. These programs maintain and strengthen 
an economy that depends on small businesses for 60 to 80 
percent of job creation. SBA programs also serve disadvantaged 
populations so that these small business enterprises may 
overcome economic and social obstacles to success.
    The recommendation provides a total of $883,361,000 for the 
SBA for fiscal year 2017. Detailed guidance for the SBA 
appropriations accounts is presented below.

                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................      $268,000,000
Budget request, fiscal year 2017......................       275,033,000
Recommended in the bill...............................       268,000,000
Bill compared with:
  Appropriation, fiscal year 2016.....................             - - -
  Budget request, fiscal year 2017....................        -7,033,000
 

                        COMMITTEE RECOMMENDATION

    The Committee recommends $268,000,000 for the salaries and 
expenses of the SBA.
    SBIC Virtual Data Rooms.--The Committee believes the SBA 
has longstanding problems with maintaining and updating 
technology. The SBA continues to use inadequate technological 
systems to share files, reports, contracts, and other 
information that is communicated between SBA staff as well as 
between SBICs and the SBA. Virtual Data Rooms (VDR) are 
regularly used in the private sector and would make data more 
secure and increase operational efficiencies for both SBA and 
SBICs. VDRs could also streamline the collection of data by SBA 
staff, removing redundant processes at the SBA and saving time 
and resources. The Committee recommends that the SBA should 
give SBICs the option to select their own VDR provider which 
would serve as a communication vehicle for SBICs and the SBA in 
a single, secure location for all regulatory documents, 
submissions, requests, and communications.
    SBIC Program and State Data.--For decades an important set 
of consolidated SBIC Program data has routinely been shared 
with industry, Congress, and the public. This important 
information, which is both a meaningful economic indicator on 
the small business sector as well as an indicator of SBA's 
activities and performance, was made available on a monthly 
basis. In addition to the SBIC Program data, the SBA routinely 
released annual data on the impact of SBIC investments as well 
as specific companies in all fifty states. The SBA has only 
released the SBIC program data once since the end of the 2015 
fiscal year and the SBA has not released the state data since 
the 2013 fiscal year. The Committee recommends that SBA should 
release this data to industry and Congress to allow for a 
thorough review of the impact of the SBIC Program on the 
economy and an analysis of the performance of the SBA.
    SBIC Program Licensing.--The Committee continues to be 
concerned with the slow pace of licensing at the SBIC Program. 
SBA has a six month goal to approve licenses that are in the 
application process. The SBA fails to meet this basic goal and 
the average time to license is often well over a year. These 
delays are occurring in contradiction to the fact that the 
number of applications has decreased. The Committee again 
recommends that the SBA should create a meaningfully expedited 
and streamlined licensing process of repeat licensees, those 
SBICs that have the same management teams and proven track 
record in the SBIC Program. This fast track process for repeat 
licensees should be completed no longer than 45 days after an 
application is submitted to the SBA, which will allow SBA to 
properly redirect their resources to first time funds. The 
Committee also believes the SBA Investment Division should 
consider reorganizing the SBIC licensing process and personnel 
to more efficiently use the resources allocated. In particular, 
the SBA should: combine the licensing and development staff; 
reduce the number of licensing committees and steps for all 
applicants; and create a meaningful green light letter process 
that clearly outlines for applicants the needed benchmarks for 
license approval without changing any of the terms on the 
applicant during licensing.
    Credit Elsewhere.--The Committee believes that SBA 
guaranteed loans should be targeted at borrowers who would 
otherwise not be able to receive a loan elsewhere. The 
Committee directs the Government Accountability Office (GAO) to 
conduct a study and report to the Committees on Appropriations 
of the House and Senate, and the Committee on Small Business of 
the House, and the Committee on Small Business and 
Entrepreneuship of the Senate no later than 120 days after 
enactment of this Act on credit elsewhere, to include an 
analysis of the criteria currently used to identify whether 
businesses are unable to obtain credit elsewhere is sufficient, 
and if not, what additional criteria could be used.
    The Committee recognizes the value of the 8(a) program in 
helping small and disadvantaged businesses compete in the 
marketplace. The bill provides sufficient funding to execute 
the 8(a) program.

                  ENTREPRENEURIAL DEVELOPMENT PROGRAMS

 
 
 
Appropriation, fiscal year 2016.......................      $231,100,000
Budget request, fiscal year 2017......................       230,600,000
Recommended in the bill...............................       243,100,000
Bill compared with:
  Appropriation, fiscal year 2016.....................       +12,000,000
  Budget request, fiscal year 2017....................       +12,500,000
 

    The SBA's Entrepreneurial Development Programs support non-
credit business assistance to entrepreneurs. The appropriation 
includes funding for a network of resource partners located 
throughout the United States that provide training, counseling, 
and technical assistance to small business entrepreneurs.

                        COMMITTEE RECOMMENDATION

    The Committee recommendations for Entrepreneurial 
Development Programs, by program, are displayed in the 
following table:

                  ENTREPRENEURIAL DEVELOPMENT PROGRAMS

                       [In thousands of dollars]

                        [In thousands of dollars]
 
 
 
7(j) Technical Assistance.............................            $2,800
Entrepreneurship Education............................            10,000
HUBZone Program.......................................             4,000
Microloan Technical Assistance........................            31,000
National Women's Business Council.....................             1,500
Native American Outreach..............................             2,000
PRIME Technical Assistance............................             5,000
SCORE.................................................            10,500
Small Business Development Centers (SBDCs)............           125,000
State & Trade Export Promotion (STEP).................            20,000
Veterans Outreach*....................................            12,300
Women's Business Centers (WBC)........................            19,000
                                                       -----------------
  Total, Entrepreneurial Development Programs.........          $243,100
 
*Veterans Outreach includes funding for: Boots to Business, Veterans
  Business Outreach Centers (VBOC), Veteran Women Igniting the Spirit of
  Entrepreneurship (V Wise), Entrepreneurship Bootcamp for Veterans with
  Disabilities (EBV), and Boots to Business reboot.

    The SBA shall not reduce these non-credit programs from the 
amounts specified above and the SBA shall not merge any of the 
non-credit programs without advance written approval from the 
Committee. The Committee strongly supports the development 
programs listed in the table above and will carefully monitor 
SBA support of these programs.
    Women's Business Centers.--The Committee notes the absence 
of WBCs serving many of the U.S. territories and other U.S. 
insular areas, and recommends that the SBA consider including 
these areas in WBC services.
    Veterans Programs.--The Committee strongly supports 
programs for veterans transitioning from active duty who are 
interested in starting small businesses. The Committee 
recognizes that many veterans are small businesses owners and 
believes these veteran-owned businesses should be supported by 
the SBA through trainings and other educational opportunities. 
The Committee continues to fully fund the request for veterans' 
entrepreneurial programs for fiscal year 2017.

                      OFFICE OF INSPECTOR GENERAL

 
 
 
Appropriation, fiscal year 2016.......................       $19,900,000
Budget request, fiscal year 2017......................        19,900,000
Recommended in the bill...............................        19,900,000
Bill compared with:
  Appropriation, fiscal year 2016.....................             - - -
  Budget request, fiscal year 2017....................             - - -
 

                        COMMITTEE RECOMMENDATION

    The Committee recommends $19,900,000 for the Office of 
Inspector General of the SBA.

                           OFFICE OF ADVOCACY

 
 
 
Appropriation, fiscal year 2016.......................        $9,120,000
Budget request, fiscal year 2017......................         9,320,000
Recommended in the bill...............................         9,320,000
Bill compared with:
  Appropriation, fiscal year 2016.....................          +200,000
  Budget request, fiscal year 2017....................             - - -
 

                        COMMITTEE RECOMMENDATION

    The Committee recommends $9,320,000 for the Office of 
Advocacy of the SBA. The Committee supports the Office's 
mission to reduce regulatory burdens that Federal policies 
impose on small businesses and to maximize the benefits small 
businesses receive from the government.

                     BUSINESS LOANS PROGRAM ACCOUNT

                     (INCLUDING TRANSFER OF FUNDS)

 
 
 
Appropriation, fiscal year 2016.......................      $156,064,000
Budget request, fiscal year 2017......................       157,064,000
Recommended in the bill...............................       157,064,000
Bill compared with:
  Appropriation, fiscal year 2016.....................        +1,000,000
  Budget request, fiscal year 2017....................             - - -
 

    The SBA Business Loans Program serves as an important 
source of capital for America's small businesses. The 
recommendation supports the 7(a) business loan program at a 
level of $28.5 billion, the 504 certified development company 
program at a level of $7.5 billion, Small Business Investment 
Company (SBIC) debentures, and the Secondary Market Guarantee 
Program.

                        COMMITTEE RECOMMENDATION

    The Committee recommends a total of $157,064,000 for the 
Business Loans Program Account. Of the amount appropriated, 
$152,726,000 is for administrative expenses related to business 
loan programs. The amount provided for administrative expenses 
may be transferred to and merged with the appropriation for SBA 
salaries and expenses to cover the common overhead expenses 
associated with business loans. Funding is included to fully 
support the Microloan program.
    The Committee notes the mission of the Surety Bond 
Guarantee (SBG) program is to provide and manage surety bond 
guarantees for qualified small and emerging businesses, in 
direct partnership with surety companies and their agents, 
utilizing the most efficient and effective operational policies 
and procedures. The Committee is supportive of SBG's efforts to 
encourage surety companies to bond small businesses who 
otherwise would have difficulty obtaining bonding on their own.

                     DISASTER LOANS PROGRAM ACCOUNT

                     (INCLUDING TRANSFERS OF FUNDS)

 
 
 
Appropriation, fiscal year 2016.......................      $186,858,000
Budget request, fiscal year 2017*.....................       185,977,000
Recommended in the bill...............................       185,977,000
Bill compared with:
  Appropriation, fiscal year 2016.....................          -881,000
  Budget request, fiscal year 2017....................             - - -
 
*The Committee funds this program within its discretionary allocation.
  The Administration proposed funding most of these costs with a
  disaster cap adjustment.

                        COMMITTEE RECOMMENDATION

    The Committee recommends a total of $185,977,000 for 
Disaster Loan Program administrative expenses which may be 
transferred and merged with Salaries and Expenses. The 
Committee provides $1,000,000 for the Office of Inspector 
General for audits and reviews of the disaster loans program.
    The Committee wants to ensure that disaster victims have 
full access to SBA's programs. The Committee has been very 
supportive of the SBA Disaster Loan Program in past fiscal 
years, including appropriating $804,000,000 for the Hurricane 
Sandy disaster in fiscal year 2013. However, SBA has not 
obligated all the funds appropriated for the Sandy Disaster and 
has continued to carry over large amounts of no-year funding 
for disaster subsidy. The Committee expects the SBA to take 
into consideration these balances in future requests.
    The Committee directs the SBA to continue providing updates 
on available resources for the disaster loans program on a 
monthly basis.
    Pre-mitigation activities within the Disaster Loan 
Program.--The Committee urges the SBA to coordinate with 
Federal Emergency Management Agency (FEMA) to evaluate the 
feasibility of expanding the SBA Disaster Loan Program to allow 
applicants in areas of high flood or natural disaster risk to 
utilize loans for pre-disaster mitigation projects that adhere 
to FEMA's standards of mitigation activities that significantly 
reduce a structure's long-term flood risk. The SBA should 
coordinate with FEMA to weigh the financial exposure of the SBA 
against the potential reduction of claims payments from the 
National Flood Insurance Program.

        ADMINISTRATIVE PROVISIONS--SMALL BUSINESS ADMINISTRATION

              (INCLUDING TRANSFER AND RESCISSION OF FUNDS)

    Section 530. The Committee continues a provision for the 
SBA authorizing transfers of up to five percent of any SBA 
appropriation to other appropriations, provided that transfers 
do not increase an appropriation by more than 10 percent. The 
provision also requires that transfers be treated as a 
reprogramming of funds.
    Section 531. The Committee continues a provision waiving 
7(a) loan guarantee fees for veterans and their spouses.
    Section 532. The Committee includes a provision rescinding 
prior year unobligated balances related to business loan 
subsidy for programs that are now zero subsidy.

                      United States Postal Service


                   PAYMENT TO THE POSTAL SERVICE FUND

 
 
 
Appropriation, fiscal year 2016.......................       $55,075,000
Budget request, fiscal year 2017......................        63,658,000
Recommended in the bill...............................        41,151,000
Bill compared with:
  Appropriation, fiscal year 2016.....................       -13,924,000
  Budget request, fiscal year 2017....................       -22,507,000
 

    The United States Postal Service (USPS) is funded almost 
entirely by Postal ratepayers rather than taxpayers. Funds 
provided to the Postal Service in the Payment to the Postal 
Service Fund include appropriations for revenue forgone, 
including providing free mail for the blind, and for overseas 
absentee voting.

                        COMMITTEE RECOMMENDATION

    The Committee recommends appropriations totaling 
$41,151,000 for Payment to the Postal Service Fund. The 
recommendation funds free mail for the blind and overseas 
voting and reconciliation of prior year cost adjustment. The 
recommendation includes language requiring the Postal Service 
to maintain and comply with service standards for First Class 
Mail and periodicals effective on July 1, 2012.
    Rural Post Offices.--The Committee believes that the United 
States postal facility network is an asset of significant 
value. The closure of post offices in rural communities creates 
an economic burden for people in the United States that depend 
on the Postal Service for communication and package services. 
In addition to typical postal services, post offices are part 
of the identity of rural communities and provide a significant 
social value. The closure process of post offices does not 
adequately take into account community input.
    Notification to Congress.--Title 39 of the U.S. Code 
requires the Postal Service to provide the public with notice 
prior to closing or consolidating a post office. The Committee 
understands that it is the Postal Service's policy to inform 
Member of Congress' district and Washington, D.C. offices when 
the public receives notice. The Committee directs the Postal 
Service to keep Members of Congress informed of Postal Service 
activities impacting their constituents and expects the Postal 
Service to ensure that Members of Congress are appropriately 
informed simultaneously or prior to all public notices.
    Postmarks on Mail.--The Committee believes postmarks on 
mail should accurately reflect the day on which it was received 
by the Postal Service.
    Preservation.--The Committee appreciates the Postal 
Service's mission to preserve its artistic and historical 
heritage and is pleased that the Postal Service currently 
employs a federal preservation officer and historian to care 
for their collection of Postal Fine Arts, representing more 
than 1,400 murals and sculptures from the New Deal Program, 
that are on display in postal facilities around the country. 
The Committee recognizes the important cultural enrichment that 
these murals and sculptures provide. In addition, the Committee 
recognizes the importance of the arts in local communities 
including the display of art in public spaces including 
interested local postal facilities with the consent of, and at 
no expense to, the U.S. Postal Service.
    Accessibility for Disabled Individuals.--The Committee 
notes that under the Architectural Barriers Act, the Postal 
Service is required to meet accessibility requirements for 
disabled individuals.
    The Committee is pleased with the passage of the 
Multinational Species Conservation Fund Semi-postal Stamp 
Reauthorization Act, but is concerned that sales of the stamp 
will not improve without support from the Postal Service. The 
Committee directs the Postmaster General to submit a report, 
within 90 days of enactment of this Act, on the actions planned 
and taken by the Postal Service to increase sales of the stamp. 
P.L. 113-165 reauthorized the printing of the Multinational 
Species Conservation Fund semi-postal stamp for an additional 4 
years. Although the Postal Service reissued the stamp as 
directed by Congress, disappointingly little effort was made to 
make the public aware of the stamp's return and sales during 
the holiday season. The Committee directs the Postmaster 
General to report quarterly to the Committee on Appropriations 
of the House and Senate on how many stamps have been sold and 
how many remain in stock.

                      OFFICE OF INSPECTOR GENERAL

                         SALARIES AND EXPENSES

                     (INCLUDING TRANSFER OF FUNDS)

 
 
 
Appropriation, fiscal year 2016.......................      $248,600,000
Budget request, fiscal year 2017......................       258,800,000
Recommended in the bill...............................       258,000,000
Bill compared with:
  Appropriation, fiscal year 2016.....................        +9,400,000
  Budget request, fiscal year 2017....................          -800,000
 

    The Office of Inspector General (OIG) conducts audits, 
reviews and investigations, and keeps Congress informed on the 
efficiency and economy of United States Postal Service (USPS) 
programs and operations.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $258,000,000 
for the OIG.

                        United States Tax Court


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2016.......................       $51,300,000
Budget request, fiscal year 2017......................        53,861,000
Recommended in the bill...............................        51,300,000
Bill compared with:
  Appropriation, fiscal year 2016.....................             - - -
  Budget request, fiscal year 2017....................        -2,561,000
 

    The U.S. Tax Court adjudicates controversies involving 
deficiencies in income, estate, and gift taxes. The Court also 
has jurisdiction to determine deficiencies in certain excise 
taxes, to issue declaratory judgments in the areas of 
qualifications of retirement plans and exemptions of charitable 
organizations, and to decide certain cases involving disclosure 
of tax information by the Commissioner of the Internal Revenue 
Service.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $51,300,000 
for the U.S. Tax Court.

                 TITLE VI--GENERAL PROVISIONS--THIS ACT


                         (INCLUDING RESCISSION)

    Section 601. The Committee continues the provision 
prohibiting pay and other expenses for non-Federal parties in 
regulatory or adjudicatory proceedings funded in this Act.
    Section 602. The Committee continues the provision 
prohibiting obligations beyond the current fiscal year and 
prohibits transfers of funds unless expressly so provided 
herein.
    Section 603. The Committee continues the provision limiting 
procurement contracts for consulting service expenditures to 
contracts that are matters of public record and available for 
public inspection.
    Section 604. The Committee continues the provision 
prohibiting transfer of funds in this Act without express 
authority.
    Section 605. The Committee continues the provision 
prohibiting the use of funds to engage in activities that would 
prohibit the enforcement of section 307 of the 1930 Tariff Act.
    Section 606. The Committee continues the provision 
concerning compliance with the Buy American Act.
    Section 607. The Committee continues the provision 
prohibiting the use of funds by any person or entity convicted 
of violating the Buy American Act.
    Section 608. The Committee continues the provision 
specifying reprogramming procedures. The provision requires 
that agencies or entities funded by the Act notify the 
Committee and obtain prior approval from the Committee for any 
reprogramming of funds that: (1) creates a new program; (2) 
eliminates a program, project, or activity; (3) increases funds 
or personnel for any program, project, or activity for which 
funds have been denied or restricted by the Congress; (4) 
proposes to use funds directed for a specific activity by 
either the House or Senate Committees on Appropriations for a 
different purpose; (5) augments existing programs, projects, or 
activities in excess of $5,000,000 or 10 percent, whichever is 
less; (6) reduces existing programs, projects, or activities by 
$5,000,000 or 10 percent, whichever is less; or (7) reorganizes 
offices, programs, or activities. The provision directs 
agencies funded by this Act to consult with the Committee prior 
to any significant reorganization. The provision also directs 
the agencies funded by this Act to submit operating plans for 
the Committee's review within 60 days of the bill's enactment.
    Section 609. The Committee continues the provision 
providing that fifty percent of unobligated balances may remain 
available through September 30, 2018, for certain purposes.
    Section 610. The Committee continues the provision 
prohibiting funding for the Executive Office of the President 
to request either a Federal Bureau of Investigation background 
investigation or Internal Revenue Service determination with 
respect to section 501(a) of the Internal Revenue Code of 1986, 
except with the express consent of the individual involved in 
an investigation or in extraordinary circumstances involving 
national security.
    Section 611. The Committee continues the provision 
regarding cost accounting standards for contracts under the 
Federal Employee Health Benefits Program.
    Section 612. The Committee continues the provision 
regarding non-foreign area cost-of-living allowances.
    Section 613. The Committee continues the provision 
prohibiting the expenditure of funds for abortion under the 
Federal Employees Health Benefits Program.
    Section 614. The Committee continues the provision making 
exceptions to the preceding provision where the life of the 
mother is in danger or the pregnancy is a result of an act of 
rape or incest.
    Section 615. The Committee continues the provision carried 
annually since 2004 waiving restrictions on the purchase of 
non-domestic articles, materials, and supplies in the case of 
acquisition of information technology by the Federal 
Government.
    Section 616. The Committee continues the provision 
prohibiting officers or employees of any regulatory agency or 
commission funded by this Act from accepting travel payments or 
reimbursements from a person or entity regulated by such agency 
or commission.
    Section 617. The Committee continues the provision 
permitting the Securities and Exchange Commission and 
Commodities Futures Trading Commission to fund a joint advisory 
committee to advise on emerging regulatory issues, 
notwithstanding section 708 of this Act.
    Section 618. The Committee continues the provision 
requiring certain agencies in this Act to consult with the 
General Services Administration before seeking new office space 
or making alterations to existing office space.
    Section 619. The Committee continues language providing for 
several appropriated mandatory accounts. These are accounts 
where authorizing language requires the payment of funds. The 
Congressional Budget Office estimates the cost for the 
following programs addressed in this provision: $450,000 for 
Compensation of the President including $50,000 for expenses, 
$161,000,000 for the Judicial Retirement Funds (Judicial 
Officers' Retirement Fund, Judicial Survivors' Annuities Fund, 
and the United States Court of Federal Claims Judges' 
Retirement Fund), $12,699,000,000 for the Government Payment 
for Annuitants, Employee Health Benefits, $47,000,000 for the 
Government Payment for Annuitants, Employee Life Insurance, and 
$8,469,000,000 for the Payment to the Civil Service Retirement 
and Disability Fund.
    Section 620. The Committee continues the provision 
prohibiting funds for the Federal Trade Commission to complete 
the draft report entitled ``Interagency Working Group on Food 
Marketed to Children: Preliminary Proposed Nutrition Principles 
to Guide Industry Self-Regulatory Efforts'' unless the 
Interagency Working Group on Food Marketed to Children complies 
with Executive Order 13563, including the requirement in it to 
provide quantified present and future benefits and costs.
    Section 621. The Committee modifies the provision 
prohibiting funding for certain czars including the Director of 
the White House Office of Health Reform, the Assistant to the 
President for Energy and Climate Change, the Senior Advisor to 
the Secretary of the Treasury assigned to the Presidential Task 
Force on the Auto Industry and Senior Counselor for 
Manufacturing Policy, and the White House Director of Urban 
Affairs, or any substantially similar positions.
    Section 622. The Committee continues the provision 
prohibiting funds in contravention of the Federal Records Act.
    Section 623. The Committee includes language requiring 
certain regulatory agencies to provide a report on increasing 
public participation in rulemaking, improving coordination 
among Federal agencies, and identifying ineffective or 
excessively burdensome regulations.
    Section 624. The Committee includes language permanently 
rescinding funds in fiscal year 2017 from the Securities and 
Exchange Commission Reserve Fund established by the Dodd-Frank 
Wall Street Reform and Consumer Protection Act. The Committee 
believes the Commission should request the level of funding it 
believes is necessary in any given fiscal year and not have 
access to reserve funding that is outside of the Congressional 
review process.
    Section 625. The Committee includes language prohibiting 
funds for the Securities and Exchange Commission to require the 
disclosure of political contributions to tax exempt 
organizations, or dues paid to trade associations.
    Section 626. The Committee includes language prohibiting 
the Financial Stability Oversight Council from designating 
nonbanks as systemically important financial institutions until 
it identifies the risks to financial stability presented by the 
nonbank and allows the nonbank to present a plan to modify its 
business, structure, or operation to mitigate the identified 
risk prior to final designation.
    Section 627. The Committee includes language prohibiting 
agencies from requiring Internet Service Providers (ISPs) to 
disclose electronic communications information in a manner that 
violates the Fourth Amendment.
    Section 628. The Committee includes a new provision 
clarifying language related to joint sales agreements included 
in P.L. 114-113.
    Section 629. The Committee includes language prohibiting 
any modification of Universal Service Fund rules related to 
Mobility Fund Phase II.
    Section 630. The Committee includes language prohibiting 
the Federal Communications Commission (FCC) from implementing, 
administering, or enforcing any rule unless the FCC publishes 
the text of the rule 21 days before a vote on the rule.
    Section 631. The Committee includes language prohibiting 
the Federal Communications Commission from regulating rates for 
either broadband or wireless internet providers.
    Section 632. The Committee includes language prohibiting 
the Federal Communications Commission from implementing FCC 
Order 15-24 regarding open internet until specific court 
challenges have been resolved.
    Section 633. The Committee includes a new provision 
requiring the Office of Management and Budget to submit a 
report on cybersecurity spending.
    Section 634. The Committee includes language to dissolve 
the Christopher Columbus Fellowship Foundation (CCFF) as a 
Federal agency within one year of enactment of this Act. The 
CCFF, if it so chooses, may reconstitute itself as a private, 
non-profit organization and apply for tax exempt status.
    Section 635. The Committee includes a new provision 
prohibiting any funds made available in this Act from being 
used to establish a computer network unless such network blocks 
the viewing, downloading, and exchanging of pornography.
    Section 636. The Committee includes a new provision 
requiring a study and public comment before any proposed rules 
under section 629 of the Communications Act of 1934 (47 U.S.C. 
549) go into effect.
    Section 637. The Committee includes a new provision 
revising the definition of a mortgage originator as the term 
applies to manufactured housing.
    Section 638. The Committee includes a new provision 
revising the definition of a high-cost mortgage as the term 
applies to manufactured housing.
    Section 639. The Committee includes a new provision 
prohibiting funding for the Consumer Financial Protection 
Bureau to issue or enforce any rule with respect to payday 
loans, vehicle title loans, or similar loans during fiscal year 
2017 or after until the Bureau has submitted a report to 
Congress.
    Section 640. The Committee includes a new provision 
prohibiting funds from being used to implement, promulgate, 
finalize or enforce Executive Order 13673 until a study is 
conducted by the Comptroller General and reviewed by the 
Secretary of Labor.
    Section 641. The Committee includes a new provision 
prohibiting funds to pay for an abortion or the administrative 
expenses in connection with a multi-State qualified health plan 
offered under a contract under section 1334 of the Patient 
Protection and Affordable Care Act which provides any benefits 
or coverage for abortions, except for endangerment of the life 
of the mother, rape or incest.

             TITLE VII--GENERAL PROVISIONS--GOVERNMENT WIDE


                Departments, Agencies, and Corporations


                     (INCLUDING TRANSFER OF FUNDS)

    Section 701. The Committee continues the provision 
requiring agencies to administer a policy designed to ensure 
that all of its workplaces are free from the illegal use of 
controlled substances.
    Section 702. The Committee continues the provision 
establishing price limitations on vehicles to be purchased by 
the Federal Government with an exemption for the purchase of 
electric, plug-in hybrid electric, and hydrogen fuel cell 
vehicles.
    Section 703. The Committee continues the provision allowing 
funds made available to agencies for travel to also be used for 
quarters allowances and cost-of-living allowances.
    Section 704. The Committee continues the provision 
prohibiting the employment of noncitizens with certain 
exceptions.
    Section 705. The Committee continues the provision giving 
agencies the authority to pay General Services Administration 
bills for space renovation and other services.
    Section 706. The Committee continues, with modification, 
the provision allowing agencies to finance the costs of 
recycling and waste prevention programs with proceeds from the 
sale of materials recovered through such programs.
    Section 707. The Committee continues the provision 
providing that funds made available to corporations and 
agencies subject to 31 U.S.C. 91 may pay rent and other service 
costs in the District of Columbia.
    Section 708. The Committee continues the provision 
prohibiting interagency financing of groups absent prior 
statutory approval.
    Section 709. The Committee continues the provision 
prohibiting the use of funds for enforcing regulations 
disapproved in accordance with the applicable law of the U.S.
    Section 710. The Committee continues the provision limiting 
the amount of funds that can be used for redecoration of 
offices under certain circumstances.
    Section 711. The Committee continues the provision to allow 
for interagency funding of national security and emergency 
telecommunications initiatives.
    Section 712. The Committee continues the provision 
requiring agencies to certify that a Schedule C appointment was 
not created solely or primarily to detail the employee to the 
White House.
    Section 713. The Committee continues the provision 
prohibiting the payment of any employee who prohibits, 
threatens or prevents another employee from communicating with 
Congress.
    Section 714. The Committee continues the provision 
prohibiting Federal training not directly related to the 
performance of official duties.
    Section 715. The Committee continues the provision 
prohibiting, other than for normal and recognized executive-
legislative relationships, propaganda, publicity and lobbying 
by executive agency personnel in support or defeat of 
legislative initiatives.
    Section 716. The Committee continues the provision 
prohibiting any Federal agency from disclosing an employee's 
home address to any labor organization, absent employee 
authorization or court order.
    Section 717. The Committee continues the provision 
prohibiting funds to be used to provide non-public information 
such as mailing, telephone, or electronic mailing lists to any 
person or organization outside the government without the 
approval of the Committees on Appropriations.
    Section 718. The Committee continues the provision 
prohibiting the use of funds for propaganda and publicity 
purposes not authorized by Congress.
    Section 719. The Committee continues the provision 
directing agency employees to use official time in an honest 
effort to perform official duties.
    Section 720. The Committee continues the provision 
authorizing the use of funds to finance an appropriate share of 
the Federal Accounting Standards Advisory Board.
    Section 721. The Committee continues the provision 
authorizing the transfer of funds to the General Services 
Administration to finance an appropriate share of various 
government-wide boards and councils and for Federal Government 
Priority Goals under certain conditions.
    Section 722. The Committee continues the provision that 
permits breastfeeding in a Federal building or on Federal 
property if the woman and child are authorized to be there.
    Section 723. The Committee continues the provision that 
permits interagency funding of the National Science and 
Technology Council and provides for a report on the budget and 
resources of the National Science and Technology Council.
    Section 724. The Committee continues the provision 
requiring documents involving the distribution of Federal funds 
to indicate the agency providing the funds and the amount 
provided.
    Section 725. The Committee continues the provision 
prohibiting the use of funds to monitor personal access or use 
of Internet sites or to collect, review, or obtain any 
personally identifiable information relating to access to or 
use of an Internet site.
    Section 726. The Committee continues a provision requiring 
health plans participating in the Federal Employees Health 
Benefits Program to provide contraceptive coverage and provides 
exemptions to certain religious plans.
    Section 727. The Committee continues language supporting 
strict adherence to anti-doping activities.
    Section 728. The Committee continues a provision allowing 
funds for official travel to be used by departments and 
agencies, if consistent with OMB Circular A-126, to participate 
in the fractional aircraft ownership pilot program.
    Section 729. The Committee continues a provision 
prohibiting funds for implementation of Office of Personnel 
Management regulations limiting detailees to the Legislative 
Branch, and implementing limitations on the Coast Guard 
Congressional Fellowship Program.
    Section 730. The Committee continues the provision that 
restricts the use of funds for Federal law enforcement training 
facilities.
    Section 731. The Committee continues the provision that 
prohibits Executive Branch agencies from creating prepackaged 
news stories that are broadcast or distributed in the United 
States unless the story includes a clear notification within 
the text or audio of such news story that the prepackaged news 
story was prepared or funded by that executive branch agency. 
This provision confirms the opinion of the Government 
Accountability Office dated February 17, 2005 (B-304272).
    Section 732. The Committee continues the provision 
prohibiting use of funds in contravention of section 552a of 
title 5, United States Code (the Privacy Act) and regulations 
implementing that section.
    Section 733. The Committee continues the provision 
prohibiting funds from being used for any Federal Government 
contract with any foreign incorporated entity which is treated 
as an inverted domestic corporation.
    Section 734. The Committee continues the provision 
requiring agencies to pay a fee to the Office of Personnel 
Management for processing retirement of employees who separate 
under Voluntary Early Retirement Authority or who receive 
Voluntary Separation Incentive payments.
    Section 735. The Committee includes language prohibiting 
funds to require any entity submitting an offer for a Federal 
contract or participating in an acquisition to disclose 
political contributions.
    Section 736. The Committee continues the provision 
prohibiting funds for the painting of a portrait of an employee 
of the Federal Government, including the President, the Vice 
President, a Member of Congress, the head of an executive 
branch agency, or the head of an office of the legislative 
branch.
    Section 737. The Committee continues the provision limiting 
the pay increases of certain prevailing rate employees.
    Section 738. The Committee continues a provision 
eliminating automatic statutory pay increases for the Vice 
President, political appointees paid under the executive 
schedule, ambassadors who are not career members of the Foreign 
Service, politically appointed (non-career) Senior Executive 
Service employees, and any other senior political appointee 
paid at or above level IV of the executive schedule.
    Section 739. The Committee continues a provision, with 
modification, requiring agencies to submit reports to 
Inspectors General concerning expenditures for agency 
conferences.
    Section 740. The Committee continues a provision 
prohibiting funds to be used to increase, eliminate, or reduce 
funding for a program or project unless such change is made 
pursuant to reprogramming or transfer provisions.
    Section 741. The Committee continues the provision ensuring 
contractors are not prevented from reporting waste, fraud, or 
abuse by signing confidentiality agreements that would prohibit 
such disclosure.
    Section 742. The Committee continues the provision 
prohibiting the expenditure of funds for the implementation of 
certain nondisclosure agreements unless certain provisions are 
included in the agreements.
    Section 743. The Committee continues the provision 
prohibiting funds to any corporation with certain unpaid 
Federal tax liabilities unless an agency has considered 
suspension or debarment of the corporation and made a 
determination that further action is not necessary to protect 
the interests of the Government.
    Section 744. The Committee continues the provision 
prohibiting funds to any corporation that was convicted of a 
felony criminal violation within the preceding 24 months unless 
an agency has considered suspension or debarment of the 
corporation and made a determination that further action is not 
necessary to protect the interests of the Government.
    Section 745. The Committee modifies a provision on the 
conditions for implementing Executive Order 13690.
    Section 746. The Committee continues the provision 
concerning the non-application of these general provisions to 
title IV and to title VIII.

          TITLE VIII--GENERAL PROVISIONS--DISTRICT OF COLUMBIA


                     (INCLUDING TRANSFERS OF FUNDS)

    Section 801. The Committee continues language that 
appropriates funds to refund overpayments of taxes collected 
and to pay settlements and judgments against the District of 
Columbia government.
    Section 802. The Committee continues language prohibiting 
the use of Federal funds for publicity or propaganda purposes.
    Section 803. The Committee continues language establishing 
reprogramming procedures for Federal and local funds.
    Section 804. The Committee continues language prohibiting 
the use of Federal funds to provide salaries or other costs 
associated with the offices of United States Senator or 
Representative.
    Section 805. The Committee continues language restricting 
the use of official vehicles to official duties.
    Section 806. The Committee continues language prohibiting 
the use of Federal funds for any petition drive or civil action 
which seeks to require Congress to provide for voting 
representation in Congress for the District of Columbia.
    Section 807. The Committee includes language prohibiting 
the use of Federal funds for needle exchange programs.
    Section 808. The Committee continues language providing for 
a ``conscience clause'' on legislation that pertains to 
contraceptive coverage by health insurance plans.
    Section 809. The Committee continues language prohibiting 
the use of Federal funds to legalize or reduce penalties 
associated with the possession, use, or distribution on any 
schedule I substance under the Controlled Substances Act or any 
tetrahydrocannabinols derivative.
    Language is also included prohibiting local and Federal 
funds to legalize or reduce penalties associated with the 
possession, use, or distribution of any schedule I substance 
under the Controlled Substance Act or any tetrahydrocannabinols 
derivative for recreational use.
    Section 810. The Committee continues the provision that 
prohibits the use of funds for abortion except in the cases of 
rape or incest or if necessary to save the life of the mother.
    Section 811. The Committee continues language requiring the 
Chief Financial Officer (CFO) to submit a revised operating 
budget for all agencies in the D.C. government, no later than 
30 calendar days after the enactment of this Act that realigns 
budgeted data with anticipated actual expenditures.
    Section 812. The Committee continues language requiring the 
CFO to submit a revised operating budget for D.C. Public 
Schools, no later than 30 calendar days after the enactment of 
this Act, that realigns school budgets to actual school 
enrollment.
    Section 813. The Committee continues language allowing the 
transfer of local funds and capital and enterprise funds.
    Section 814. The Committee continues language prohibiting 
the obligation of Federal funds beyond the current fiscal year 
and transfers of funds unless expressly provided herein.
    Section 815. The Committee continues language providing 
that not to exceed 50 percent of unobligated balances from 
Federal appropriations for salaries and expenses may remain 
available for certain purposes. This provision will apply to 
the District of Columbia Courts, the Court Services and 
Offender Supervision Agency and the District of Columbia Public 
Defender Service.
    Section 816. The Committee continues language appropriating 
local funds during fiscal year 2018 if there is an absence of a 
continuing resolution or regular appropriation for the District 
of Columbia. Funds are provided under the same authorities and 
conditions and in the same manner and extent as provided for in 
fiscal year 2017.
    Section 817. The Committee includes a new provision to 
repeal the Local Budget Autonomy Amendment Act of 2012.
    Section 818. The Committee continues language limiting 
references to ``this Act'' as referring to only this title and 
title IV.

         TITLE IX--SCHOLARSHIPS FOR OPPORTUNITY AND RESULTS ACT

    The bill reauthorizes the Scholarships for Opportunity and 
Results Act through fiscal year 2021.

                TITLE X--SEC SMALL BUSINESS ADVOCATE ACT

    The bill establishes the Office of the Advocate for Small 
Business Capital Formation and Small Business Capital Formation 
Advisory Committee.

             TITLE XI--FINANCIAL INSTITUTION BANKRUPTCY ACT

    The bill amends the Bankruptcy Code for financial 
institutions.

                TITLE XII--ADDITIONAL GENERAL PROVISION


                       SPENDING REDUCTION ACCOUNT

    Section 1201. The Committee includes a provision 
establishing a ``Spending Reduction Account'' in the bill.

              HOUSE OF REPRESENTATIVES REPORT REQUIREMENTS

    The following items are included in accordance with various 
requirements of the Rules of the House of Representatives:


         Statement of General Performance Goals and Objectives

    Pursuant to clause 3(c)(4) of rule XIII of the Rules of the 
House of Representatives, the following is a statement of 
general performance goals and objectives for which this measure 
authorizes funding:
    The Committee on Appropriations considers program 
performance, including a program's success in developing and 
attaining outcome-related goals and objectives, in developing 
funding recommendations.

                          Rescission of Funds

    Pursuant to clause 3(f)(2) of rule XIII of the Rules of the 
House of Representatives, the following table is submitted 
describing the rescissions recommended in the accompanying 
bill:

 
 
 
Treasury Forfeiture Fund..............................      $753,610,000
Securities and Exchange Commission....................       $75,000,000
Small Business Administration.........................       $55,000,000
 

                           Transfer of Funds

    Pursuant to clause 3(f)(2) of rule XIII of the Rules of the 
House of Representatives, the following is submitted describing 
the transfer of funds provided in the accompanying bill:

               UNDER TITLE I--DEPARTMENT OF THE TREASURY

    Section 101 allows the transfer of five percent of any 
appropriation made available to the Internal Revenue Service 
(IRS) to any other IRS appropriation, subject to prior 
congressional approval.
    Section 115 authorizes the transfers of funds to IRS to 
improve customer service, fraud prevention, and cybersecurity.
    Section 117 authorizes transfers, up to two percent, 
between Departmental Offices, Office of Inspector General, 
Special Inspector General for Troubled Asset Relief Program, 
Financial Crimes Enforcement Network, Bureau of the Fiscal 
Service, Alcohol and Tobacco Tax and Trade Bureau, and 
Community Development Financial Institutions Fund Program Fund 
Account appropriations under certain circumstances.
    Section 118 authorizes transfers, up to two percent, 
between the IRS and the Treasury Inspector General for Tax 
Administration under certain circumstances.
    Section 120 authorizes the transfer of funds from the 
``Bureau of the Fiscal Service'' to the ``Debt Collection 
Fund'' as necessary to cover the cost of debt collection.

           UNDER TITLE II--EXECUTIVE OFFICE OF THE PRESIDENT

    Language is included under Presidential Transition 
Administrative Support, which allows for the transfer of funds 
within the Executive Office of the President.
    Language is included under Federal Drug Control Programs, 
``High Intensity Drug Trafficking Areas Program'', which allows 
for the transfer of funds to Federal departments or agencies 
and State and local entities.
    Language is included under ``Other Federal Drug Control 
Programs'', allowing the transfers of funds to other Federal 
departments and agencies to carry out activities.
    Language is included under ``Information Technology 
Oversight and Reform'', allowing the transfer of funds to other 
agencies to carry out projects.
    Language is included under the Official Residence of the 
Vice President, ``Operating Expenses'', allowing the transfer 
of funds to other Federal departments or agencies.
    Section 201 permits the Executive Office of the President 
to transfer up to 10 percent of any appropriation, subject to 
approval of the Committee.

                     UNDER TITLE III--THE JUDICIARY

    Language is included under ``Courts of Appeals, District 
Courts, and Other Judicial Services, Court Security'', allowing 
funds to be transferred to the United States Marshals Service 
for courthouse security.
    Section 302 permits the Judiciary to transfer up to five 
percent of any appropriation with certain limitations.

                  UNDER TITLE V--INDEPENDENT AGENCIES

    Under Title V, Independent Agencies, a number of transfers 
are allowed.
    (1) Under the General Services Administration, amounts may 
be transferred within the Federal Buildings Fund, under certain 
circumstances, after approval of the Committee on 
Appropriations.
    (2) Under the General Services Administration, ``Federal 
Citizens Services Fund'', transfers are allowed from the 
Federal Citizens Services Fund to Federal agencies.
    (3) Under the General Services Administration, ``Federal 
Citizens Services Fund'', transfers are allowed from 
unobligated funding provided to the ``Electronic Government 
Fund'' to the Federal Citizens Services Fund.
    (4) Under the General Services Administration, ``Expenses, 
Presidential Transition'', amounts may be transferred to the 
``Acquisition Services Fund'' or ``Federal Buildings Fund''.
    (5) Section 521 permits the General Services Administration 
to transfer funds in the Federal Buildings Fund after approval 
of the Committee on Appropriations.
    (6) Under Merit Systems Protection Board, an amount is 
transferred from the Civil Service Retirement and Disability 
Fund.
    (7) Under Office of Personnel Management, amounts from 
certain trust funds are transferred to the Salaries and 
Expenses and Office of Inspector General accounts for 
administrative expenses;
    (8) Under the Postal Regulatory Commission, amounts are 
transferred from the Postal Service Fund;
    (9) Under Small Business Administration, Business Loans 
Program Account, amounts may be transferred to and merged with 
Salaries and Expenses.
    (10) Under Small Business Administration, Disaster Loans 
Program Account, amounts may be transferred to and merged with 
the Office of Inspector General, and Salaries and Expenses.
    (11) Section 530 permits the Small Business Administration, 
to transfer funds between appropriations of the Small Business 
Administration.
    (12) Under United States Postal Service, Office of 
Inspector General, amounts are transferred from the Postal 
Service Fund.

                    UNDER TITLE VII--GOVERNMENT WIDE

    Section 721 authorizes departments and agencies to transfer 
funds to the General Services Administration to support certain 
financial, information technology, procurement, and other 
management initiatives.

       UNDER TITLE VIII--GENERAL PROVISIONS, DISTRICT OF COLUMBIA

    Section 803 authorizes the District of Columbia to transfer 
local funds and section 813 allows transfer funds between 
operations and capital accounts.

   Disclosure of Earmarks and Congressionally Directed Spending Items

    Neither the bill nor the report contains any Congressional 
earmarks, limited tax benefits, or limited tariff benefits as 
defined in clause 9 of rule XXI of the Rules of the House of 
Representatives.

          Compliance With Rule XIII, Cl. 3(e) (Ramseyer Rule)

  In compliance with clause 3(e) of rule XIII of the Rules of 
the House of Representatives, changes in existing law made by 
the bill, as reported, are shown as follows (existing law 
proposed to be omitted is enclosed in black brackets, new 
matter is printed in italics, existing law in which no change 
is proposed is shown in roman):

       DODD-FRANK WALL STREET REFORM AND CONSUMER PROTECTION ACT


(Public Law 111-203)

           *       *       *       *       *       *       *


TITLE I--FINANCIAL STABILITY

           *       *       *       *       *       *       *


Subtitle B--Office of Financial Research

           *       *       *       *       *       *       *


SEC. 155. FUNDING.

  (a) Financial Research Fund.--
          (1) Fund established.-- There is established in the 
        Treasury of the United States a separate fund to be 
        known as the ``Financial Research Fund''.
          (2) Fund receipts.-- All amounts provided to the 
        Office under subsection (c), and all assessments that 
        the Office receives under subsection (d) shall be 
        deposited into the Financial Research Fund.
          (3) Investments authorized.--
                  (A) Amounts in fund may be invested.-- The 
                Director may request the Secretary to invest 
                the portion of the Financial Research Fund that 
                is not, in the judgment of the Director, 
                required to meet the needs of the Office.
                  (B) Eligible investments.-- Investments shall 
                be made by the Secretary in obligations of the 
                United States or obligations that are 
                guaranteed as to principal and interest by the 
                United States, with maturities suitable to the 
                needs of the Financial Research Fund, as 
                determined by the Director.
          (4) Interest and proceeds credited.-- The interest 
        on, and the proceeds from the sale or redemption of, 
        any obligations held in the Financial Research Fund 
        shall be credited to and form a part of the Financial 
        Research Fund.
  (b) Use of Funds.--
          (1) In general.-- Funds obtained by, transferred to, 
        or credited to the Financial Research Fund shall be 
        [immediately] available to the Office as provided for 
        in appropriation Acts , and shall remain available 
        until expended, to pay the expenses of the Office in 
        carrying out the duties and responsibilities of the 
        Office.
          [(2) Fees, assessments, and other funds not 
        government funds.-- Funds obtained by, transferred to, 
        or credited to the Financial Research Fund shall not be 
        construed to be Government funds or appropriated 
        moneys.]
          [(3)] (2) Amounts not subject to apportionment.-- 
        Notwithstanding any other provision of law, amounts in 
        the Financial Research Fund shall not be subject to 
        apportionment for purposes of chapter 15 of title 31, 
        United States Code, or under any other authority, or 
        for any other purpose.
  (c) Interim Funding.--During the 2-year period following the 
date of enactment of this Act, the Board of Governors shall 
provide to the Office an amount sufficient to cover the 
expenses of the Office.
  (d)  [Permanent Self-funding] Assessment Schedule.--Beginning 
2 years after the date of enactment of this Act, the Secretary 
shall establish, by regulation, and with the approval of the 
Council, an assessment schedule, including the assessment base 
and rates, applicable to bank holding companies with total 
consolidated assets of 50,000,000,000 or greater and nonbank 
financial companies supervised by the Board of Governors, that 
takes into account differences among such companies, based on 
the considerations for establishing the prudential standards 
under section 115, to collect assessments equal to the total 
expenses of the Office.

           *       *       *       *       *       *       *


TITLE X--BUREAU OF CONSUMER FINANCIAL PROTECTION

           *       *       *       *       *       *       *


Subtitle A--Bureau of Consumer Financial Protection

           *       *       *       *       *       *       *


SEC. 1017. FUNDING; PENALTIES AND FINES.

  (a) Transfer of Funds From Board Of Governors.--
          (1) In general.-- Each year (or quarter of such 
        year), beginning on the designated transfer date, and 
        each quarter thereafter, the Board of Governors shall 
        transfer to the Bureau from the combined earnings of 
        the Federal Reserve System, the amount determined by 
        the Director to be reasonably necessary to carry out 
        the authorities of the Bureau under Federal consumer 
        financial law, taking into account such other sums made 
        available to the Bureau from the preceding year (or 
        quarter of such year).
          (2) Funding cap.--
                  (A) In general.-- Notwithstanding paragraph 
                (1), and in accordance with this paragraph, the 
                amount that shall be transferred to the Bureau 
                in each fiscal year shall not exceed a fixed 
                percentage of the total operating expenses of 
                the Federal Reserve System, as reported in the 
                Annual Report, 2009, of the Board of Governors, 
                equal to--
                          (i) 10 percent of such expenses in 
                        fiscal year 2011;
                          (ii) 11 percent of such expenses in 
                        fiscal year 2012; and
                          (iii) 12 percent of such expenses in 
                        fiscal year 2013, and in each year 
                        thereafter.
                  (B) Adjustment of amount.-- The dollar amount 
                referred to in subparagraph (A)(iii) shall be 
                adjusted annually, using the percent increase, 
                if any, in the employment cost index for total 
                compensation for State and local government 
                workers published by the Federal Government, or 
                the successor index thereto, for the 12-month 
                period ending on September 30 of the year 
                preceding the transfer.
                  [(C) Reviewability.-- Notwithstanding any 
                other provision in this title, the funds 
                derived from the Federal Reserve System 
                pursuant to this subsection shall not be 
                subject to review by the Committees on 
                Appropriations of the House of Representatives 
                and the Senate.]
          (3) Transition period.-- Beginning on the date of 
        enactment of this Act and until the designated transfer 
        date, the Board of Governors shall transfer to the 
        Bureau the amount estimated by the Secretary needed to 
        carry out the authorities granted to the Bureau under 
        Federal consumer financial law, from the date of 
        enactment of this Act until the designated transfer 
        date.
          (4) Budget and financial management.--
                  (A) Financial operating plans and 
                forecasts.-- The Director shall provide to the 
                Director of the Office of Management and Budget 
                copies of the financial operating plans and 
                forecasts of the Director, as prepared by the 
                Director in the ordinary course of the 
                operations of the Bureau, and copies of the 
                quarterly reports of the financial condition 
                and results of operations of the Bureau, as 
                prepared by the Director in the ordinary course 
                of the operations of the Bureau.
                  (B) Financial statements.-- The Bureau shall 
                prepare annually a statement of--
                          (i) assets and liabilities and 
                        surplus or deficit;
                          (ii) income and expenses; and
                          (iii) sources and application of 
                        funds.
                  (C) Financial management systems.-- The 
                Bureau shall implement and maintain financial 
                management systems that comply substantially 
                with Federal financial management systems 
                requirements and applicable Federal accounting 
                standards.
                  (D) Assertion of internal controls.-- The 
                Director shall provide to the Comptroller 
                General of the United States an assertion as to 
                the effectiveness of the internal controls that 
                apply to financial reporting by the Bureau, 
                using the standards established in section 
                3512(c) of title 31, United States Code.
                  (E) Rule of construction.-- This subsection 
                may not be construed as implying any obligation 
                on the part of the Director to consult with or 
                obtain the consent or approval of the Director 
                of the Office of Management and Budget with 
                respect to any report, plan, forecast, or other 
                information referred to in subparagraph (A) or 
                any jurisdiction or oversight over the affairs 
                or operations of the Bureau.
                  (F) Financial statements.-- The financial 
                statements of the Bureau shall not be 
                consolidated with the financial statements of 
                either the Board of Governors or the Federal 
                Reserve System.
          (5) Audit of the bureau.--
                  (A) In general.-- The Comptroller General 
                shall annually audit the financial transactions 
                of the Bureau in accordance with the United 
                States generally accepted government auditing 
                standards, as may be prescribed by the 
                Comptroller General of the United States. The 
                audit shall be conducted at the place or places 
                where accounts of the Bureau are normally kept. 
                The representatives of the Government 
                Accountability Office shall have access to the 
                personnel and to all books, accounts, 
                documents, papers, records (including 
                electronic records), reports, files, and all 
                other papers, automated data, things, or 
                property belonging to or under the control of 
                or used or employed by the Bureau pertaining to 
                its financial transactions and necessary to 
                facilitate the audit, and such representatives 
                shall be afforded full facilities for verifying 
                transactions with the balances or securities 
                held by depositories, fiscal agents, and 
                custodians. All such books, accounts, 
                documents, records, reports, files, papers, and 
                property of the Bureau shall remain in 
                possession and custody of the Bureau. The 
                Comptroller General may obtain and duplicate 
                any such books, accounts, documents, records, 
                working papers, automated data and files, or 
                other information relevant to such audit 
                without cost to the Comptroller General, and 
                the right of access of the Comptroller General 
                to such information shall be enforceable 
                pursuant to section 716(c) of title 31, United 
                States Code.
                  (B) Report.-- The Comptroller General shall 
                submit to the Congress a report of each annual 
                audit conducted under this subsection. The 
                report to the Congress shall set forth the 
                scope of the audit and shall include the 
                statement of assets and liabilities and surplus 
                or deficit, the statement of income and 
                expenses, the statement of sources and 
                application of funds, and such comments and 
                information as may be deemed necessary to 
                inform Congress of the financial operations and 
                condition of the Bureau, together with such 
                recommendations with respect thereto as the 
                Comptroller General may deem advisable. A copy 
                of each report shall be furnished to the 
                President and to the Bureau at the time 
                submitted to the Congress.
                  (C) Assistance and costs.-- For the purpose 
                of conducting an audit under this subsection, 
                the Comptroller General may, in the discretion 
                of the Comptroller General, employ by contract, 
                without regard to section 3709 of the Revised 
                Statutes of the United States (41 U.S.C. 5), 
                professional services of firms and 
                organizations of certified public accountants 
                for temporary periods or for special purposes. 
                Upon the request of the Comptroller General, 
                the Director of the Bureau shall transfer to 
                the Government Accountability Office from funds 
                available, the amount requested by the 
                Comptroller General to cover the full costs of 
                any audit and report conducted by the 
                Comptroller General. The Comptroller General 
                shall credit funds transferred to the account 
                established for salaries and expenses of the 
                Government Accountability Office, and such 
                amount shall be available upon receipt and 
                without fiscal year limitation to cover the 
                full costs of the audit and report.
  (b) Consumer Financial Protection Fund.--
          (1) Separate fund in federal reserve established.-- 
        There is established in the Federal Reserve a separate 
        fund, to be known as the ``Bureau of Consumer Financial 
        Protection Fund'' (referred to in this section as the 
        ``Bureau Fund''). The Bureau Fund shall be maintained 
        and established at a Federal reserve bank, in 
        accordance with such requirements as the Board of 
        Governors may impose.
          (2) Fund receipts.-- All amounts transferred to the 
        Bureau under subsection (a) shall be deposited into the 
        Bureau Fund.
          (3) Investment authority.--
                  (A) Amounts in bureau fund may be invested.-- 
                The Bureau may request the Board of Governors 
                to direct the investment of the portion of the 
                Bureau Fund that is not, in the judgment of the 
                Bureau, required to meet the current needs of 
                the Bureau.
                  (B) Eligible investments.-- Investments 
                authorized by this paragraph shall be made in 
                obligations of the United States or obligations 
                that are guaranteed as to principal and 
                interest by the United States, with maturities 
                suitable to the needs of the Bureau Fund, as 
                determined by the Bureau.
                  (C) Interest and proceeds credited.-- The 
                interest on, and the proceeds from the sale or 
                redemption of, any obligations held in the 
                Bureau Fund shall be credited to the Bureau 
                Fund.
  (c) Use of Funds.--
          (1) In general.-- Funds obtained by, transferred to, 
        or credited to the Bureau Fund shall be immediately 
        available to the Bureau and under the control of the 
        Director, and shall remain available until expended, to 
        pay the expenses of the Bureau in carrying out its 
        duties and responsibilities. The compensation of the 
        Director and other employees of the Bureau and all 
        other expenses thereof may be paid from, obtained by, 
        transferred to, or credited to the Bureau Fund under 
        this section.
          (2) Funds that are not government funds.-- Funds 
        obtained by or transferred to the Bureau Fund shall not 
        be construed to be Government funds or appropriated 
        monies.
          (3) Amounts not subject to apportionment.-- 
        Notwithstanding any other provision of law, amounts in 
        the Bureau Fund and in the Civil Penalty Fund 
        established under subsection (d) shall not be subject 
        to apportionment for purposes of chapter 15 of title 
        31, United States Code, or under any other authority.
  (d) Penalties and Fines.--
          (1) Establishment of victims relief fund.-- There is 
        established in the Federal Reserve a separate fund, to 
        be known as the ``Consumer Financial Civil Penalty 
        Fund'' (referred to in this section as the ``Civil 
        Penalty Fund''). The Civil Penalty Fund shall be 
        maintained and established at a Federal reserve bank, 
        in accordance with such requirements as the Board of 
        Governors may impose. If the Bureau obtains a civil 
        penalty against any person in any judicial or 
        administrative action under Federal consumer financial 
        laws, the Bureau shall deposit into the Civil Penalty 
        Fund, the amount of the penalty collected.
          (2) Payment to victims.-- Amounts in the Civil 
        Penalty Fund shall be available to the Bureau, without 
        fiscal year limitation, for payments to the victims of 
        activities for which civil penalties have been imposed 
        under the Federal consumer financial laws. To the 
        extent that such victims cannot be located or such 
        payments are otherwise not practicable, the Bureau may 
        use such funds for the purpose of consumer education 
        and financial literacy programs.
  (e) Authorization of Appropriations; Annual Report.--
          (1) Determination regarding need for appropriated 
        funds.--
                  (A) In general.-- The Director is authorized 
                to determine that sums available to the Bureau 
                under this section will not be sufficient to 
                carry out the authorities of the Bureau under 
                Federal consumer financial law for the upcoming 
                year.
                  (B) Report required.-- When making a 
                determination under subparagraph (A), the 
                Director shall prepare a report regarding the 
                funding of the Bureau, including the assets and 
                liabilities of the Bureau, and the extent to 
                which the funding needs of the Bureau are 
                anticipated to exceed the level of the amount 
                set forth in subsection (a)(2). The Director 
                shall submit the report to the President and to 
                the Committee on Appropriations of the Senate 
                and the Committee on Appropriations of the 
                House of Representatives.
          (2) Authorization of appropriations.-- If the 
        Director makes the determination and submits the report 
        pursuant to paragraph (1), there are hereby authorized 
        to be appropriated to the Bureau, for the purposes of 
        carrying out the authorities granted in Federal 
        consumer financial law, $200,000,000 for each of fiscal 
        years 2010, 2011, 2012, 2013, and 2014.
          (3) Apportionment.-- Notwithstanding any other 
        provision of law, the amounts in paragraph (2) shall be 
        subject to apportionment under section 1517 of title 
        31, United States Code, and restrictions that generally 
        apply to the use of appropriated funds in title 31, 
        United States Code, and other laws.
          (4) Annual report.-- The Director shall prepare and 
        submit a report, on an annual basis, to the Committee 
        on Appropriations of the Senate and the Committee on 
        Appropriations of the House of Representatives 
        regarding the financial operating plans and forecasts 
        of the Director, the financial condition and results of 
        operations of the Bureau, and the sources and 
        application of funds of the Bureau, including any funds 
        appropriated in accordance with this subsection.

           *       *       *       *       *       *       *

                              ----------                              


                   JUDICIAL IMPROVEMENTS ACT OF 1990


TITLE II--FEDERAL JUDGESHIPS

           *       *       *       *       *       *       *


SEC. 203. DISTRICT JUDGES FOR THE DISTRICT COURTS.

  (a) In General.--The President shall appoint, by and with the 
advice and consent of the Senate--
          (1) 1 additional district judge for the western 
        district of Arkansas;
          (2) 2 additional district judges for the northern 
        district of California;
          (3) 5 additional district judges for the central 
        district of California;
          (4) 1 additional district judge for the southern 
        district of California;
          (5) 2 additional district judges for the district of 
        Connecticut;
          (6) 2 additional district judges for the middle 
        district of Florida;
          (7) 1 additional district judge for the northern 
        district of Florida;
          (8) 1 additional district judge for the southern 
        district of Florida;
          (9) 1 additional district judge for the middle 
        district of Georgia;
          (10) 1 additional district judge for the northern 
        district of Illinois;
          (11) 1 additional district judge for the southern 
        district of Iowa;
          (12) 1 additional district judge for the western 
        district of Louisiana;
          (13) 1 additional district judge for the district of 
        Maine;
          (14) 1 additional district judge for the district of 
        Massachusetts;
          (15) 1 additional district judge for the southern 
        district of Mississippi;
          (16) 1 additional district judge for the eastern 
        district of Missouri;
          (17) 1 additional district judge for the district of 
        New Hampshire;
          (18) 3 additional district judges for the district of 
        New Jersey;
          (19) 1 additional district judge for the district of 
        New Mexico;
          (20) 1 additional district judge for the southern 
        district of New York;
          (21) 3 additional district judges for the eastern 
        district of New York;
          (22) 1 additional district judge for the middle 
        district of North Carolina;
          (23) 1 additional district judge for the southern 
        district of Ohio;
          (24) 1 additional district judge for the northern 
        district of Oklahoma;
          (25) 1 additional district judge for the western 
        district of Oklahoma;
          (26) 1 additional district judge for the district of 
        Oregon;
          (27) 3 additional district judges for the eastern 
        district of Pennsylvania;
          (28) 1 additional district judge for the middle 
        district of Pennsylvania;
          (29) 1 additional district judge for the district of 
        South Carolina;
          (30) 1 additional district judge for the eastern 
        district of Tennessee;
          (31) 1 additional district judge for the western 
        district of Tennessee;
          (32) 1 additional district judge for the middle 
        district of Tennessee;
          (33) 2 additional district judges for the northern 
        district of Texas;
          (34) 1 additional district judge for the eastern 
        district of Texas;
          (35) 5 additional district judges for the southern 
        district of Texas;
          (36) 3 additional district judges for the western 
        district of Texas;
          (37) 1 additional district judge for the district of 
        Utah;
          (38) 1 additional district judge for the eastern 
        district of Washington;
          (39) 1 additional district judge for the northern 
        district of West Virginia;
          (40) 1 additional district judge for the southern 
        district of West Virginia; and
          (41) 1 additional district judge for the district of 
        Wyoming.
  (b) Existing Judgeships.--(1) The existing district 
judgeships for the western district of Arkansas, the northern 
district of Illinois, the northern district of Indiana, the 
district of Massachusetts, the western district of New York, 
the eastern district of North Carolina, the northern district 
of Ohio, and the western district of Washington authorized by 
section 202(b) of the Bankruptcy Amendments and Federal 
Judgeship Act of 1984 (Public Law 98-353, 98 Stat. 347-348) 
shall, as of the effective date of this title, be authorized 
under section 133 of title 28, United States Code, and the 
incumbents in those offices shall hold the office under section 
133 of title 28, United States Code, as amended by this title.
  (2)(A) The existing 2 district judgeships for the eastern and 
western districts of Arkansas (provided by section 133 of title 
28, United States Code, as in effect on the day before the 
effective date of this title) shall be district judgeships for 
the eastern district of Arkansas only, and the incumbents of 
such judgeships shall hold the offices under section 133 of 
title 28, United States Code, as amended by this title.
  (B) The existing district judgeship for the northern and 
southern districts of Iowa (provided by section 133 of title 
28, United States Code, as in effect on the day before the 
effective date of this title) shall be a district judgeship for 
the northern district of Iowa only, and the incumbent of such 
judgeship shall hold the office under section 133 of title 28, 
United States Code, as amended by this title.
  (C) The existing district judgeship for the northern, 
eastern, and western districts of Oklahoma (provided by section 
133 of title 28, United States Code, as in effect on the day 
before the effective date of this title) and the occupant of 
which has his or her official duty station at Oklahoma City on 
the date of the enactment of this title, shall be a district 
judgeship for the western district of Oklahoma only, and the 
incumbent of such judgeship shall hold the office under section 
133 of title 28, United States Code, as amended by this title.
  (c) Temporary Judgeships.--The President shall appoint, by 
and with the advice and consent of the Senate--
          (1) 1 additional district judge for the eastern 
        district of California;
          (2) 1 additional district judge for the district of 
        Hawaii;
          (3) 1 additional district judge for the central 
        district of Illinois;
          (4) 1 additional district judge for the southern 
        district of Illinois;
          (5) 1 additional district judge for the district of 
        Kansas;
          (6) 1 additional district judge for the western 
        district of Michigan;
          (7) 1 additional district judge for the eastern 
        district of Missouri;
          (8) 1 additional district judge for the district of 
        Nebraska;
          (9) 1 additional district judge for the northern 
        district of New York;
          (10) 1 additional district judge for the northern 
        district of Ohio;
          (11) 1 additional district judge for the eastern 
        district of Pennsylvania; and
          (12) 1 additional district judge for the eastern 
        district of Virginia.
Except with respect to the district of Kansas, the western 
district of Michigan, the eastern district of Pennsylvania, the 
district of Hawaii, and the northern district of Ohio, the 
first vacancy in the office of district judge in each of the 
judicial districts named in this subsection, occurring 10 years 
or more after the confirmation date of the judge named to fill 
the temporary judgeship created by this subsection, shall not 
be filled. The first vacancy in the office of district judge in 
the district of Kansas occurring [25 years and 6 months] 26 
years and 6 months or more after the confirmation date of the 
judge named to fill the temporary judgeship created for such 
district under this subsection, shall not be filled. The first 
vacancy in the office of district judge in the western district 
of Michigan, occurring after December 1, 1995, shall not be 
filled. The first vacancy in the office of district judge in 
the eastern district of Pennsylvania, occurring 5 years or more 
after the confirmation date of the judge named to fill the 
temporary judgeship created for such district under this 
subsection, shall not be filled. The first vacancy in the 
office of district judge in the northern district of Ohio 
occurring 19 years or more after the confirmation date of the 
judge named to fill the temporary judgeship created under this 
subsection shall not be filled. The first vacancy in the office 
of the district judge in the district of Hawaii occurring 21 
years and 6 months or more after the confirmation date of the 
judge named to fill the temporary judgeship created under this 
subsection shall not be filled. For districts named in this 
subsection for which multiple judgeships are created by this 
Act, the last of those judgeships filled shall be the 
judgeships created under this section.

           *       *       *       *       *       *       *

                              ----------                              


TRANSPORTATION, TREASURY, HOUSING AND URBAN DEVELOPMENT, THE JUDICIARY, 
THE DISTRICT OF COLUMBIA, AND INDEPENDENT AGENCIES APPROPRIATIONS ACT, 
                                  2006


 DIVISION A--TRANSPORTATION, TREASURY, HOUSING AND URBAN DEVELOPMENT, 
THE JUDICIARY, AND INDEPENDENT AGENCIES APPROPRIATIONS ACT, 2006

           *       *       *       *       *       *       *



TITLE IV--THE JUDICIARY

           *       *       *       *       *       *       *


  Sec. 406. The existing judgeship for the eastern district of 
Missouri authorized by section 203(c) of the Judicial 
Improvements Act of 1990 (Public Law 101-650, 104 Stat. 5089) 
as amended by Public Law 105-53, as of the effective date of 
this Act, shall be extended. The first vacancy in the office of 
district judge in this district occurring [23 years and 6 
months] 24 years and 6 months or more after the confirmation 
date of the judge named to fill the temporary judgeship created 
by section 203(c) shall not be filled.

           *       *       *       *       *       *       *

                              ----------                              


  21ST CENTURY DEPARTMENT OF JUSTICE APPROPRIATIONS AUTHORIZATION ACT




           *       *       *       *       *       *       *
     DIVISION A--21ST CENTURY DEPARTMENT OF JUSTICE APPROPRIATIONS 
AUTHORIZATION ACT

           *       *       *       *       *       *       *



TITLE III--MISCELLANEOUS

           *       *       *       *       *       *       *



SEC. 312. ADDITIONAL FEDERAL JUDGESHIPS.

  (a) Permanent District Judges for the District Courts.--
          (1) In general.-- The President shall appoint, by and 
        with the advice and consent of the Senate--
                  (A) 5 additional district judges for the 
                southern district of California;
                  (B) 1 additional district judge for the 
                western district of North Carolina; and
                  (C) 2 additional district judges for the 
                western district of Texas.
          (2) [Omitted--Amendatory]
  (b) District Judgeships for the Central and Southern 
Districts of Illinois, the Northern District of New York, and 
the Eastern District of Virginia.--
          (1) Conversion of temporary judgeships to permanent 
        judgeships.-- The existing district judgeships for the 
        central district and the southern district of Illinois, 
        the northern district of New York, and the eastern 
        district of Virginia authorized by section 203(c) (3), 
        (4), (9), and (12) of the Judicial Improvements Act of 
        1990 (Public Law 101-650, 28 U.S.C. 133 note) shall be 
        authorized under section 133 of title 28, United States 
        Code, and the incumbents in such offices shall hold the 
        offices under section 133 of title 28, United States 
        Code (as amended by this section).
          (2) [Omitted--Amendatory]
          (3) Effective date.-- With respect to the central or 
        southern district of Illinois, the northern district of 
        New York, or the eastern district of Virginia, this 
        subsection shall take effect on the earlier of--
                  (A) the date on which the first vacancy in 
                the office of district judge occurs in such 
                district; or
                  (B) July 15, 2003.
  (c) Temporary Judgeships.--
          (1) In general.-- The President shall appoint, by and 
        with the advice and consent of the Senate--
                  (A) 1 additional district judge for the 
                northern district of Alabama;
                  (B) 1 additional judge for the district of 
                Arizona;
                  (C) 1 additional judge for the central 
                district of California;
                  (D) 1 additional judge for the southern 
                district of Florida;
                  (E) 1 additional district judge for the 
                district of New Mexico;
                  (F) 1 additional district judge for the 
                western district of North Carolina; and
                  (G) 1 additional district judge for the 
                eastern district of Texas.
          (2) Vacancies not filled.-- The first vacancy in the 
        office of district judge in each of the offices of 
        district judge authorized by this subsection, except in 
        the case of the central district of California and the 
        western district of North Carolina, occurring [14 
        years] 15 years or more after the confirmation date of 
        the judge named to fill the temporary district 
        judgeship created in the applicable district by this 
        subsection, shall not be filled. The first vacancy in 
        the office of district judge in the central district of 
        California occurring [13 years and 6 months] 14 years 
        and 6 months or more after the confirmation date of the 
        judge named to fill the temporary district judgeship 
        created in that district by this subsection, shall not 
        be filled. The first vacancy in the office of district 
        judge in the western district of North Carolina 
        occurring [12 years] 13 years or more after the 
        confirmation date of the judge named to fill the 
        temporary district judgeship created in that district 
        by this subsection, shall not be filled.
          (3) Effective date.-- This subsection shall take 
        effect on July 15, 2003.
  (d) Extension of Temporary Federal District Court Judgeship 
for the Northern District of Ohio.--
          (1)  In general.-- [Omitted--Amendatory]
          (2) Effective date.-- The amendments made by this 
        subsection shall take effect on the date of enactment 
        of this Act.
  (e) Authorization of Appropriations.--There are authorized to 
be appropriated such sums as may be necessary to carry out this 
section, including such sums as may be necessary to provide 
appropriate space and facilities for the judicial positions 
created by this section.

           *       *       *       *       *       *       *

                              ----------                              


                      TITLE 28, UNITED STATES CODE




           *       *       *       *       *       *       *
PART I--ORGANIZATION OF COURTS

           *       *       *       *       *       *       *


            CHAPTER 13--ASSIGNMENT OF JUDGES TO OTHER COURTS


Sec.
291. Circuit judges.
     * * * * * * *
298. Judge for a case under subchapter V of chapter 11 of title 11.

           *       *       *       *       *       *       *


Sec. 298. Judge for a case under subchapter V of chapter 11 of title 11

  (a)(1) Notwithstanding section 295, the Chief Justice of the 
United States shall designate not fewer than 10 bankruptcy 
judges to be available to hear a case under subchapter V of 
chapter 11 of title 11. Bankruptcy judges may request to be 
considered by the Chief Justice of the United States for such 
designation.
  (2) Notwithstanding section 155, a case under subchapter V of 
chapter 11 of title 11 shall be heard under section 157 by a 
bankruptcy judge designated under paragraph (1), who shall be 
randomly assigned to hear such case by the chief judge of the 
court of appeals for the circuit embracing the district in 
which the case is pending. To the greatest extent practicable, 
the approvals required under section 155 should be obtained.
  (3) If the bankruptcy judge assigned to hear a case under 
paragraph (2) is not assigned to the district in which the case 
is pending, the bankruptcy judge shall be temporarily assigned 
to the district.
  (b) A case under subchapter V of chapter 11 of title 11, and 
all proceedings in the case, shall take place in the district 
in which the case is pending.
  (c) In this section, the term ``covered financial 
corporation'' has the meaning given that term in section 
101(9A) of title 11.

           *       *       *       *       *       *       *


PART IV--JURISDICTION AND VENUE

           *       *       *       *       *       *       *


CHAPTER 85--DISTRICT COURTS; JURISDICTION

           *       *       *       *       *       *       *


Sec. 1334. Bankruptcy cases and proceedings

  (a) Except as provided in subsection (b) of this section, the 
district courts shall have original and exclusive jurisdiction 
of all cases under title 11.
  (b) Except as provided in subsection (e)(2), and 
notwithstanding any Act of Congress that confers exclusive 
jurisdiction on a court or courts other than the district 
courts, the district courts shall have original but not 
exclusive jurisdiction of all civil proceedings arising under 
title 11, or arising in or related to cases under title 11.
  (c)(1) Except with respect to a case under chapter 15 of 
title 11, nothing in this section prevents a district court in 
the interest of justice, or in the interest of comity with 
State courts or respect for State law, from abstaining from 
hearing a particular proceeding arising under title 11 or 
arising in or related to a case under title 11.
          (2) Upon timely motion of a party in a proceeding 
        based upon a State law claim or State law cause of 
        action, related to a case under title 11 but not 
        arising under title 11 or arising in a case under title 
        11, with respect to which an action could not have been 
        commenced in a court of the United States absent 
        jurisdiction under this section, the district court 
        shall abstain from hearing such proceeding if an action 
        is commenced, and can be timely adjudicated, in a State 
        forum of appropriate jurisdiction.
  (d) Any decision to abstain or not to abstain made under 
subsection (c) (other than a decision not to abstain in a 
proceeding described in subsection (c)(2)) is not reviewable by 
appeal or otherwise by the court of appeals under section 
158(d), 1291, or 1292 of this title or by the Supreme Court of 
the United States under section 1254 of this title. Subsection 
(c) and this subsection shall not be construed to limit the 
applicability of the stay provided for by section 362 of title 
11, United States Code, as such section applies to an action 
affecting the property of the estate in bankruptcy.
  (e) The district court in which a case under title 11 is 
commenced or is pending shall have exclusive jurisdiction--
          (1) of all the property, wherever located, of the 
        debtor as of the commencement of such case, and of 
        property of the estate; and
          (2) over all claims or causes of action that involve 
        construction of section 327 of title 11, United States 
        Code, or rules relating to disclosure requirements 
        under section 327.
  (f) This section does not grant jurisdiction to the district 
court after a transfer pursuant to an order under section 1185 
of title 11 of any proceeding related to a special trustee 
appointed, or to a bridge company formed, in connection with a 
case under subchapter V of chapter 11 of title 11.

           *       *       *       *       *       *       *


PART V--PROCEDURE

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CHAPTER 121--JURIES; TRIAL BY JURY

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Sec. 1871. Fees

  (a) Grand and petit jurors in district courts appearing 
pursuant to this chapter shall be paid the fees and allowances 
provided by this section. The requisite fees and allowances 
shall be disbursed on the certificate of the clerk of court in 
accordance with the procedure established by the Director of 
the Administrative Office of the United States Courts. 
Attendance fees for extended service under subsection (b) of 
this section shall be certified by the clerk only upon the 
order of a district judge.
  (b)(1) A juror shall be paid an attendance fee of [$40] $50 
per day for actual attendance at the place of trial or hearing. 
A juror shall also be paid the attendance fee for the time 
necessarily occupied in going to and returning from such place 
at the beginning and end of such service or at any time during 
such service.
          (2) A petit juror required to attend more than ten 
        days in hearing one case may be paid, in the discretion 
        of the trial judge, an additional fee, not exceeding 
        $10 more than the attendance fee, for each day in 
        excess of ten days on which he is required to hear such 
        case.
          (3) A grand juror required to attend more than forty-
        five days of actual service may be paid, in the 
        discretion of the district judge in charge of the 
        particular grand jury, an additional fee, not exceeding 
        $10 more than the attendance fee, for each day in 
        excess of forty-five days of actual service.
          (4) A grand or petit juror required to attend more 
        than ten days of actual service may be paid, in the 
        discretion of the judge, the appropriate fees at the 
        end of the first ten days and at the end of every ten 
        days of service thereafter.
          (5) Certification of additional attendance fees may 
        be ordered by the judge to be made effective commencing 
        on the first day of extended service, without reference 
        to the date of such certification.
  (c)(1) A travel allowance not to exceed the maximum rate per 
mile that the Director of the Administrative Office of the 
United States Courts has prescribed pursuant to section 
604(a)(7) of this title for payment to supporting court 
personnel in travel status using privately owned automobiles 
shall be paid to each juror, regardless of the mode of 
transportation actually employed. The prescribed rate shall be 
paid for the distance necessarily traveled to and from a 
juror's residence by the shortest practical route in going to 
and returning from the place of service. Actual mileage in full 
at the prescribed rate is payable at the beginning and at the 
end of a juror's term of service.
          (2) The Director shall promulgate rules regulating 
        interim travel allowances to jurors. Distances traveled 
        to and from court should coincide with the shortest 
        practical route.
          (3) Toll charges for toll roads, bridges, tunnels, 
        and ferries shall be paid in full to the juror 
        incurring such charges. In the discretion of the court, 
        reasonable parking fees may be paid to the juror 
        incurring such fees upon presentation of a valid 
        parking receipt. Parking fees shall not be included in 
        any tabulation of mileage cost allowances.
          (4) Any juror who travels to district court pursuant 
        to summons in an area outside of the contiguous forty-
        eight States of the United States shall be paid the 
        travel expenses provided under this section, or actual 
        reasonable transportation expenses subject to the 
        discretion of the district judge or clerk of court as 
        circumstances indicate, exercising due regard for the 
        mode of transportation, the availability of alternative 
        modes, and the shortest practical route between 
        residence and court.
          (5) A grand juror who travels to district court 
        pursuant to a summons may be paid the travel expenses 
        provided under this section or, under guidelines 
        established by the Judicial Conference, the actual 
        reasonable costs of travel by aircraft when travel by 
        other means is not feasible and when certified by the 
        chief judge of the district court in which the grand 
        juror serves.
  (d)(1) A subsistence allowance covering meals and lodging of 
jurors shall be established from time to time by the Director 
of the Administrative Office of the United States Courts 
pursuant to section 604(a)(7) of this title, except that such 
allowance shall not exceed the allowance for supporting court 
personnel in travel status in the same geographical area. 
Claims for such allowance shall not require itemization.
          (2) A subsistence allowance shall be paid to a juror 
        when an overnight stay is required at the place of 
        holding court, and for the time necessarily spent in 
        traveling to and from the place of attendance if an 
        overnight stay is required.
          (3) A subsistence allowance for jurors serving in 
        district courts outside of the contiguous forty-eight 
        States of the United States shall be allowed at a rate 
        not to exceed that per diem allowance which is paid to 
        supporting court personnel in travel status in those 
        areas where the Director of the Administrative Office 
        of the United States Courts has prescribed an increased 
        per diem fee pursuant to section 604(a)(7) of this 
        title.
  (e) During any period in which a jury is ordered to be kept 
together and not to separate, the actual cost of subsistence 
shall be paid upon the order of the court in lieu of the 
subsistence allowances payable under subsection (d) of this 
section. Such allowance for the jurors ordered to be kept 
separate or sequestered shall include the cost of meals, 
lodging, and other expenditures ordered in the discretion of 
the court for their convenience and comfort.
  (f) A juror who must necessarily use public transportation in 
traveling to and from court, the full cost of which is not met 
by the transportation expenses allowable under subsection (c) 
of this section on account of the short distance traveled in 
miles, may be paid, in the discretion of the court, the actual 
reasonable expense of such public transportation, pursuant to 
the methods of payment provided by this section. Jurors who are 
required to remain at the court beyond the normal business 
closing hour for deliberation or for any other reason may be 
transported to their homes, or to temporary lodgings where such 
lodgings are ordered by the court, in a manner directed by the 
clerk and paid from funds authorized under this section.
  (g) The Director of the Administrative Office of the United 
States Courts shall promulgate such regulations as may be 
necessary to carry out his authority under this section.

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         TEMPORARY BANKRUPTCY JUDGESHIPS EXTENSION ACT OF 2012



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SEC. 2. EXTENSION OF TEMPORARY OFFICE OF BANKRUPTCY JUDGES IN CERTAIN 
                    JUDICIAL DISTRICTS.

  (a) Temporary Office of Bankruptcy Judges Authorized by 
Public Law 109-8.--
          (1) Extensions.-- The temporary office of bankruptcy 
        judges authorized for the following districts by 
        section 1223(b) of Public Law 109-8 (28 U.S.C. 152 
        note) are extended until the applicable vacancy 
        specified in paragraph (2) in the office of a 
        bankruptcy judge for the respective district occurs:
                  (A) The central district of California.
                  (B) The eastern district of California.
                  (C) The district of Delaware.
                  (D) The southern district of Florida.
                  (E) The southern district of Georgia.
                  (F) The district of Maryland.
                  (G) The eastern district of Michigan.
                  (H) The district of New Jersey.
                  (I) The northern district of New York.
                  (J) The eastern district of North Carolina.
                  (K) The eastern district of Pennsylvania.
                  (L) The middle district of Pennsylvania.
                  (M) The district of Puerto Rico.
                  (N) The district of South Carolina.
                  (O) The western district of Tennessee.
                  (P) The eastern district of Virginia.
                  (Q) The district of Nevada.
          (2) Vacancies.--
                  (A) Single vacancies.-- Except as provided in 
                [subparagraphs (B), (C), (D), and (E)] 
                subparagraphs (B), (C), (D), (E), (F), (G), and 
                (H) , the 1st vacancy in the office of a 
                bankruptcy judge for each district specified in 
                paragraph (1)--
                          (i) occurring more than 5 years after 
                        the date of the enactment of this Act, 
                        and
                          (ii) resulting from the death, 
                        retirement, resignation, or removal of 
                        a bankruptcy judge,
                  shall not be filled.
                  (B) Central district of california.-- The 
                1st, 2d, and 3d vacancies in the office of a 
                bankruptcy judge for the central district of 
                California--
                          (i) occurring 5 years or more after 
                        the date of the enactment of this Act, 
                        and
                          (ii) resulting from the death, 
                        retirement, resignation, or removal of 
                        a bankruptcy judge,
                shall not be filled.
                  (C) District of delaware.-- The 1st, 2d, 3d, 
                and 4th vacancies in the office of a bankruptcy 
                judge for the district of Delaware--
                          (i) in the case of the 1st and 2d 
                        vacancies, occurring more than 6 years 
                        after the date of the enactment of this 
                        Act,
                          [(i)] (ii) in the case of the 3d and 
                        4th vacancies, occurring more than 5 
                        years after the date of the enactment 
                        of this Act, and
                          [(ii)] (iii) resulting from the 
                        death, retirement, resignation, or 
                        removal of a bankruptcy judge,
                shall not be filled.
                  (D) Southern district of florida.-- The 1st 
                and 2d vacancies in the office of a bankruptcy 
                judge for the southern district of Florida--
                          (i) occurring more than [5 years] 6 
                        years after the date of the enactment 
                        of this Act, and
                          (ii) resulting from the death, 
                        retirement, resignation, or removal of 
                        a bankruptcy judge,
                shall not be filled.
                  (E) District of maryland.-- The 1st, 2d, and 
                3d vacancies in the office of a bankruptcy 
                judge for the district of Maryland--
                          (i) occurring more than 5 years after 
                        the date of the enactment of this Act, 
                        and
                          (ii) resulting from the death, 
                        retirement, resignation, or removal of 
                        a bankruptcy judge,
                shall not be filled.
                  (F) Eastern district of michigan.-- The 1st 
                vacancy in the office of a bankruptcy judge for 
                the eastern district of Michigan--
                          (i) occurring 6 years or more after 
                        the date of the enactment of this Act, 
                        and
                          (ii) resulting from the death, 
                        retirement, resignation, or removal of 
                        a bankruptcy judge,
                shall not be filled.
                  (G) District of puerto rico.-- The 1st 
                vacancy in the office of a bankruptcy judge for 
                the district of Puerto Rico--
                          (i) occurring 6 years or more after 
                        the date of the enactment of this Act, 
                        and
                          (ii) resulting from the death, 
                        retirement, resignation, or removal of 
                        a bankruptcy judge,
                shall not be filled.
                  (H) Eastern district of virginia.-- The 1st 
                vacancy in the office of a bankruptcy judge for 
                the eastern district of Virginia--
                          (i) occurring 6 years or more after 
                        the date of the enactment of this Act, 
                        and
                          (ii) resulting from the death, 
                        retirement, resignation, or removal of 
                        a bankruptcy judge,
                shall not be filled.
          (3) Applicability of other provisions.-- Except as 
        provided in paragraphs (1) and (2), all other 
        provisions of section 1223(b) of Public Law 109-8 (28 
        U.S.C. 152 note) remain applicable to the temporary 
        office of bankruptcy judges referred to in paragraph 
        (1).
  (b) Temporary Office of Bankruptcy Judges Extended by Public 
Law 109-8.--
          (1) Extensions.-- The temporary office of bankruptcy 
        judges authorized by section 3 of the Bankruptcy 
        Judgeship Act of 1992 (28 U.S.C. 152 note) and extended 
        by section 1223(c) of Public Law 109-8 (28 U.S.C. 152 
        note) for the district of Delaware, the district of 
        Puerto Rico, and the eastern district of Tennessee are 
        extended until the applicable vacancy specified in 
        paragraph (2) in the office of a bankruptcy judge for 
        the respective district occurs.
          (2) Vacancies.--
                  (A) District of delaware.-- The 5th vacancy 
                in the office of a bankruptcy judge for the 
                district of Delaware--
                          (i) occurring more than 5 years after 
                        the date of the enactment of this Act, 
                        and
                          (ii) resulting from the death, 
                        retirement, resignation, or removal of 
                        a bankruptcy judge,
                shall not be filled.
                  (B) District of puerto rico.-- The 2d vacancy 
                in the office of a bankruptcy judge for the 
                district of Puerto Rico--
                          (i) occurring more than 5 years after 
                        the date of the enactment of this Act, 
                        and
                          (ii) resulting from the death, 
                        retirement, resignation, or removal of 
                        a bankruptcy judge,
                shall not be filled.
                  (C) Eastern district of tennessee.-- The 1st 
                vacancy in the office of a bankruptcy judge for 
                the eastern district of Tennessee--
                          (i) occurring more than 5 years after 
                        the date of the enactment of this Act, 
                        and
                          (ii) resulting from the death, 
                        retirement, resignation, or removal of 
                        a bankruptcy judge,
                shall not be filled.
          (3) Applicability of other provisions.-- Except as 
        provided in paragraphs (1) and (2), all other 
        provisions of section 3 of the Bankruptcy Judgeship Act 
        of 1992 (28 U.S.C. 152 note) and section 1223(c) of 
        Public Law 109-8 (28 U.S.C. 152 note) remain applicable 
        to the temporary office of bankruptcy judges referred 
        to in paragraph (1).
  (c) Temporary Office of the Bankruptcy Judge Authorized by 
Public Law 102-361 for the Middle District of North Carolina.--
          (1) Extension.-- The temporary office of the 
        bankruptcy judge authorized by section 3 of the 
        Bankruptcy Judgeship Act of 1992 (28 U.S.C. 152 note) 
        for the middle district of North Carolina is extended 
        until the vacancy specified in paragraph (2) occurs.
          (2) Vacancy.-- The 1st vacancy in the office of a 
        bankruptcy judge for the middle district of North 
        Carolina--
                  (A) occurring more than 5 years after the 
                date of the enactment of this Act, and
                  (B) resulting from the death, retirement, 
                resignation, or removal of a bankruptcy judge,
        shall not be filled.
          (3) Applicability of other provisions.-- Except as 
        provided in paragraphs (1) and (2), all other 
        provisions of section 3 of the Bankruptcy Judgeship Act 
        of 1992 (28 U.S.C. 152 note) remain applicable to the 
        temporary office of the bankruptcy judge referred to in 
        paragraph (1).

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               CONSUMER FINANCIAL PROTECTION ACT OF 2010

            TITLE X--BUREAU OF CONSUMER FINANCIAL PROTECTION

SEC. 1001. SHORT TITLE.

  This title may be cited as the ``Consumer Financial 
Protection Act of 2010''.

SEC. 1002. DEFINITIONS.

  Except as otherwise provided in this title, for purposes of 
this title, the following definitions shall apply:
          (1) Affiliate.-- The term ``affiliate'' means any 
        person that controls, is controlled by, or is under 
        common control with another person.
          (2) Bureau.-- The term ``Bureau'' means the Bureau of 
        Consumer Financial Protection.
          (3) Business of insurance.-- The term ``business of 
        insurance'' means the writing of insurance or the 
        reinsuring of risks by an insurer, including all acts 
        necessary to such writing or reinsuring and the 
        activities relating to the writing of insurance or the 
        reinsuring of risks conducted by persons who act as, or 
        are, officers, directors, agents, or employees of 
        insurers or who are other persons authorized to act on 
        behalf of such persons.
          (4) Consumer.-- The term ``consumer'' means an 
        individual or an agent, trustee, or representative 
        acting on behalf of an individual.
          (5) Consumer financial product or service.-- The term 
        ``consumer financial product or service'' means any 
        financial product or service that is described in one 
        or more categories under--
                  (A) paragraph (15) and is offered or provided 
                for use by consumers primarily for personal, 
                family, or household purposes; or
                  (B) clause (i), (iii), (ix), or (x) of 
                paragraph (15)(A), and is delivered, offered, 
                or provided in connection with a consumer 
                financial product or service referred to in 
                subparagraph (A).
          (6) Covered person.-- The term ``covered person'' 
        means--
                  (A) any person that engages in offering or 
                providing a consumer financial product or 
                service; and
                  (B) any affiliate of a person described in 
                subparagraph (A) if such affiliate acts as a 
                service provider to such person.
          (7) Credit.-- The term ``credit'' means the right 
        granted by a person to a consumer to defer payment of a 
        debt, incur debt and defer its payment, or purchase 
        property or services and defer payment for such 
        purchase.
          (8) Deposit-taking activity.-- The term ``deposit-
        taking activity'' means--
                  (A) the acceptance of deposits, maintenance 
                of deposit accounts, or the provision of 
                services related to the acceptance of deposits 
                or the maintenance of deposit accounts;
                  (B) the acceptance of funds, the provision of 
                other services related to the acceptance of 
                funds, or the maintenance of member share 
                accounts by a credit union; or
                  (C) the receipt of funds or the equivalent 
                thereof, as the Bureau may determine by rule or 
                order, received or held by a covered person (or 
                an agent for a covered person) for the purpose 
                of facilitating a payment or transferring funds 
                or value of funds between a consumer and a 
                third party.
          (9) Designated transfer date.-- The term ``designated 
        transfer date'' means the date established under 
        section 1062.
          [(10) Director.-- The term ``Director'' means the 
        Director of the Bureau.]
          (10) Board.-- The term ``Board'' means the Board of 
        Directors of the Bureau of Consumer Financial 
        Protection.
          (11) Electronic conduit services.-- The term 
        ``electronic conduit services''--
                  (A) means the provision, by a person, of 
                electronic data transmission, routing, 
                intermediate or transient storage, or 
                connections to a telecommunications system or 
                network; and
                  (B) does not include a person that provides 
                electronic conduit services if, when providing 
                such services, the person--
                          (i) selects or modifies the content 
                        of the electronic data;
                          (ii) transmits, routes, stores, or 
                        provides connections for electronic 
                        data, including financial data, in a 
                        manner that such financial data is 
                        differentiated from other types of data 
                        of the same form that such person 
                        transmits, routes, or stores, or with 
                        respect to which, provides connections; 
                        or
                          (iii) is a payee, payor, 
                        correspondent, or similar party to a 
                        payment transaction with a consumer.
          (12) Enumerated consumer laws.-- Except as otherwise 
        specifically provided in section 1029, subtitle G or 
        subtitle H, the term ``enumerated consumer laws'' 
        means--
                  (A) the Alternative Mortgage Transaction 
                Parity Act of 1982 (12 U.S.C. 3801 et seq.);
                  (B) the Consumer Leasing Act of 1976 (15 
                U.S.C. 1667 et seq.);
                  (C) the Electronic Fund Transfer Act (15 
                U.S.C. 1693 et seq.), except with respect to 
                section 920 of that Act;
                  (D) the Equal Credit Opportunity Act (15 
                U.S.C. 1691 et seq.);
                  (E) the Fair Credit Billing Act (15 U.S.C. 
                1666 et seq.);
                  (F) the Fair Credit Reporting Act (15 U.S.C. 
                1681 et seq.), except with respect to sections 
                615(e) and 628 of that Act (15 U.S.C. 1681m(e), 
                1681w);
                  (G) the Home Owners Protection Act of 1998 
                (12 U.S.C. 4901 et seq.);
                  (H) the Fair Debt Collection Practices Act 
                (15 U.S.C. 1692 et seq.);
                  (I) subsections (b) through (f) of section 43 
                of the Federal Deposit Insurance Act (12 U.S.C. 
                1831t(c)-(f));
                  (J) sections 502 through 509 of the Gramm-
                Leach-Bliley Act (15 U.S.C. 6802-6809) except 
                for section 505 as it applies to section 
                501(b);
                  (K) the Home Mortgage Disclosure Act of 1975 
                (12 U.S.C. 2801 et seq.);
                  (L) the Home Ownership and Equity Protection 
                Act of 1994 (15 U.S.C. 1601 note);
                  (M) the Real Estate Settlement Procedures Act 
                of 1974 (12 U.S.C. 2601 et seq.);
                  (N) the S.A.F.E. Mortgage Licensing Act of 
                2008 (12 U.S.C. 5101 et seq.);
                  (O) the Truth in Lending Act (15 U.S.C. 1601 
                et seq.);
                  (P) the Truth in Savings Act (12 U.S.C. 4301 
                et seq.);
                  (Q) section 626 of the Omnibus Appropriations 
                Act, 2009 (Public Law 111-8); and
                  (R) the Interstate Land Sales Full Disclosure 
                Act (15 U.S.C. 1701).
          (13) Fair lending.-- The term ``fair lending'' means 
        fair, equitable, and nondiscriminatory access to credit 
        for consumers.
          (14) Federal consumer financial law.-- The term 
        ``Federal consumer financial law'' means the provisions 
        of this title, the enumerated consumer laws, the laws 
        for which authorities are transferred under subtitles F 
        and H, and any rule or order prescribed by the Bureau 
        under this title, an enumerated consumer law, or 
        pursuant to the authorities transferred under subtitles 
        F and H. The term does not include the Federal Trade 
        Commission Act.
          (15) Financial product or service.--
                  (A) In general.-- The term ``financial 
                product or service'' means--
                          (i) extending credit and servicing 
                        loans, including acquiring, purchasing, 
                        selling, brokering, or other extensions 
                        of credit (other than solely extending 
                        commercial credit to a person who 
                        originates consumer credit 
                        transactions);
                          (ii) extending or brokering leases of 
                        personal or real property that are the 
                        functional equivalent of purchase 
                        finance arrangements, if--
                                  (I) the lease is on a non-
                                operating basis;
                                  (II) the initial term of the 
                                lease is at least 90 days; and
                                  (III) in the case of a lease 
                                involving real property, at the 
                                inception of the initial lease, 
                                the transaction is intended to 
                                result in ownership of the 
                                leased property to be 
                                transferred to the lessee, 
                                subject to standards prescribed 
                                by the Bureau;
                          (iii) providing real estate 
                        settlement services, except such 
                        services excluded under subparagraph 
                        (C), or performing appraisals of real 
                        estate or personal property;
                          (iv) engaging in deposit-taking 
                        activities, transmitting or exchanging 
                        funds, or otherwise acting as a 
                        custodian of funds or any financial 
                        instrument for use by or on behalf of a 
                        consumer;
                          (v) selling, providing, or issuing 
                        stored value or payment instruments, 
                        except that, in the case of a sale of, 
                        or transaction to reload, stored value, 
                        only if the seller exercises 
                        substantial control over the terms or 
                        conditions of the stored value provided 
                        to the consumer where, for purposes of 
                        this clause--
                                  (I) a seller shall not be 
                                found to exercise substantial 
                                control over the terms or 
                                conditions of the stored value 
                                if the seller is not a party to 
                                the contract with the consumer 
                                for the stored value product, 
                                and another person is 
                                principally responsible for 
                                establishing the terms or 
                                conditions of the stored value; 
                                and
                                  (II) advertising the 
                                nonfinancial goods or services 
                                of the seller on the stored 
                                value card or device is not in 
                                itself an exercise of 
                                substantial control over the 
                                terms or conditions;
                          (vi) providing check cashing, check 
                        collection, or check guaranty services;
                          (vii) providing payments or other 
                        financial data processing products or 
                        services to a consumer by any 
                        technological means, including 
                        processing or storing financial or 
                        banking data for any payment 
                        instrument, or through any payments 
                        systems or network used for processing 
                        payments data, including payments made 
                        through an online banking system or 
                        mobile telecommunications network, 
                        except that a person shall not be 
                        deemed to be a covered person with 
                        respect to financial data processing 
                        solely because the person--
                                  (I) is a merchant, retailer, 
                                or seller of any nonfinancial 
                                good or service who engages in 
                                financial data processing by 
                                transmitting or storing 
                                payments data about a consumer 
                                exclusively for purpose of 
                                initiating payments 
                                instructions by the consumer to 
                                pay such person for the 
                                purchase of, or to complete a 
                                commercial transaction for, 
                                such nonfinancial good or 
                                service sold directly by such 
                                person to the consumer; or
                                  (II) provides access to a 
                                host server to a person for 
                                purposes of enabling that 
                                person to establish and 
                                maintain a website;
                          (viii) providing financial advisory 
                        services (other than services relating 
                        to securities provided by a person 
                        regulated by the Commission or a person 
                        regulated by a State securities 
                        Commission, but only to the extent that 
                        such person acts in a regulated 
                        capacity) to consumers on individual 
                        financial matters or relating to 
                        proprietary financial products or 
                        services (other than by publishing any 
                        bona fide newspaper, news magazine, or 
                        business or financial publication of 
                        general and regular circulation, 
                        including publishing market data, news, 
                        or data analytics or investment 
                        information or recommendations that are 
                        not tailored to the individual needs of 
                        a particular consumer), including--
                                  (I) providing credit 
                                counseling to any consumer; and
                                  (II) providing services to 
                                assist a consumer with debt 
                                management or debt settlement, 
                                modifying the terms of any 
                                extension of credit, or 
                                avoiding foreclosure;
                          (ix) collecting, analyzing, 
                        maintaining, or providing consumer 
                        report information or other account 
                        information, including information 
                        relating to the credit history of 
                        consumers, used or expected to be used 
                        in connection with any decision 
                        regarding the offering or provision of 
                        a consumer financial product or 
                        service, except to the extent that--
                                  (I) a person--
                                          (aa) collects, 
                                        analyzes, or maintains 
                                        information that 
                                        relates solely to the 
                                        transactions between a 
                                        consumer and such 
                                        person;
                                          (bb) provides the 
                                        information described 
                                        in item (aa) to an 
                                        affiliate of such 
                                        person; or
                                          (cc) provides 
                                        information that is 
                                        used or expected to be 
                                        used solely in any 
                                        decision regarding the 
                                        offering or provision 
                                        of a product or service 
                                        that is not a consumer 
                                        financial product or 
                                        service, including a 
                                        decision for 
                                        employment, government 
                                        licensing, or a 
                                        residential lease or 
                                        tenancy involving a 
                                        consumer; and
                                  (II) the information 
                                described in subclause (I)(aa) 
                                is not used by such person or 
                                affiliate in connection with 
                                any decision regarding the 
                                offering or provision of a 
                                consumer financial product or 
                                service to the consumer, other 
                                than credit described in 
                                section 1027(a)(2)(A);
                          (x) collecting debt related to any 
                        consumer financial product or service; 
                        and
                          (xi) such other financial product or 
                        service as may be defined by the 
                        Bureau, by regulation, for purposes of 
                        this title, if the Bureau finds that 
                        such financial product or service is--
                                  (I) entered into or conducted 
                                as a subterfuge or with a 
                                purpose to evade any Federal 
                                consumer financial law; or
                                  (II) permissible for a bank 
                                or for a financial holding 
                                company to offer or to provide 
                                under any provision of a 
                                Federal law or regulation 
                                applicable to a bank or a 
                                financial holding company, and 
                                has, or likely will have, a 
                                material impact on consumers.
                  (B) Rule of construction.--
                          (i) In general.-- For purposes of 
                        subparagraph (A)(xi)(II), and subject 
                        to clause (ii) of this subparagraph, 
                        the following activities provided to a 
                        covered person shall not, for purposes 
                        of this title, be considered incidental 
                        or complementary to a financial 
                        activity permissible for a financial 
                        holding company to engage in under any 
                        provision of a Federal law or 
                        regulation applicable to a financial 
                        holding company:
                                  (I) Providing information 
                                products or services to a 
                                covered person for identity 
                                authentication.
                                  (II) Providing information 
                                products or services for fraud 
                                or identify theft detection, 
                                prevention, or investigation.
                                  (III) Providing document 
                                retrieval or delivery services.
                                  (IV) Providing public records 
                                information retrieval.
                                  (V) Providing information 
                                products or services for anti-
                                money laundering activities.
                          (ii) Limitation.-- Nothing in clause 
                        (i) may be construed as modifying or 
                        limiting the authority of the Bureau to 
                        exercise any--
                                  (I) examination or 
                                enforcement powers authority 
                                under this title with respect 
                                to a covered person or service 
                                provider engaging in an 
                                activity described in 
                                subparagraph (A)(ix); or
                                  (II) powers authorized by 
                                this title to prescribe rules, 
                                issue orders, or take other 
                                actions under any enumerated 
                                consumer law or law for which 
                                the authorities are transferred 
                                under subtitle F or H.
                  (C) Exclusions.-- The term ``financial 
                product or service'' does not include--
                          (i) the business of insurance; or
                          (ii) electronic conduit services.
          (16) Foreign exchange.-- The term ``foreign 
        exchange'' means the exchange, for compensation, of 
        currency of the United States or of a foreign 
        government for currency of another government.
          (17) Insured credit union.-- The term ``insured 
        credit union'' has the same meaning as in section 101 
        of the Federal Credit Union Act (12 U.S.C. 1752).
          (18) Payment instrument.-- The term ``payment 
        instrument'' means a check, draft, warrant, money 
        order, traveler's check, electronic instrument, or 
        other instrument, payment of funds, or monetary value 
        (other than currency).
          (19) Person.-- The term ``person'' means an 
        individual, partnership, company, corporation, 
        association (incorporated or unincorporated), trust, 
        estate, cooperative organization, or other entity.
          (20) Person regulated by the commodity futures 
        trading commission.-- The term ``person regulated by 
        the Commodity Futures Trading Commission'' means any 
        person that is registered, or required by statute or 
        regulation to be registered, with the Commodity Futures 
        Trading Commission, but only to the extent that the 
        activities of such person are subject to the 
        jurisdiction of the Commodity Futures Trading 
        Commission under the Commodity Exchange Act.
          (21) Person regulated by the commission.-- The term 
        ``person regulated by the Commission'' means a person 
        who is--
                  (A) a broker or dealer that is required to be 
                registered under the Securities Exchange Act of 
                1934;
                  (B) an investment adviser that is registered 
                under the Investment Advisers Act of 1940;
                  (C) an investment company that is required to 
                be registered under the Investment Company Act 
                of 1940, and any company that has elected to be 
                regulated as a business development company 
                under that Act;
                  (D) a national securities exchange that is 
                required to be registered under the Securities 
                Exchange Act of 1934;
                  (E) a transfer agent that is required to be 
                registered under the Securities Exchange Act of 
                1934;
                  (F) a clearing corporation that is required 
                to be registered under the Securities Exchange 
                Act of 1934;
                  (G) any self-regulatory organization that is 
                required to be registered with the Commission;
                  (H) any nationally recognized statistical 
                rating organization that is required to be 
                registered with the Commission;
                  (I) any securities information processor that 
                is required to be registered with the 
                Commission;
                  (J) any municipal securities dealer that is 
                required to be registered with the Commission;
                  (K) any other person that is required to be 
                registered with the Commission under the 
                Securities Exchange Act of 1934; and
                  (L) any employee, agent, or contractor acting 
                on behalf of, registered with, or providing 
                services to, any person described in any of 
                subparagraphs (A) through (K), but only to the 
                extent that any person described in any of 
                subparagraphs (A) through (K), or the employee, 
                agent, or contractor of such person, acts in a 
                regulated capacity.
          (22) Person regulated by a state insurance 
        regulator.-- The term ``person regulated by a State 
        insurance regulator'' means any person that is engaged 
        in the business of insurance and subject to regulation 
        by any State insurance regulator, but only to the 
        extent that such person acts in such capacity.
          (23) Person that performs income tax preparation 
        activities for consumers.-- The term ``person that 
        performs income tax preparation activities for 
        consumers'' means--
                  (A) any tax return preparer (as defined in 
                section 7701(a)(36) of the Internal Revenue 
                Code of 1986), regardless of whether 
                compensated, but only to the extent that the 
                person acts in such capacity;
                  (B) any person regulated by the Secretary 
                under section 330 of title 31, United States 
                Code, but only to the extent that the person 
                acts in such capacity; and
                  (C) any authorized IRS e-file Providers (as 
                defined for purposes of section 7216 of the 
                Internal Revenue Code of 1986), but only to the 
                extent that the person acts in such capacity.
          (24) Prudential regulator.-- The term ``prudential 
        regulator'' means--
                  (A) in the case of an insured depository 
                institution or depository institution holding 
                company (as defined in section 3 of the Federal 
                Deposit Insurance Act), or subsidiary of such 
                institution or company, the appropriate Federal 
                banking agency, as that term is defined in 
                section 3 of the Federal Deposit Insurance Act; 
                and
                  (B) in the case of an insured credit union, 
                the National Credit Union Administration.
          (25) Related person.-- The term ``related person''--
                  (A) shall apply only with respect to a 
                covered person that is not a bank holding 
                company (as that term is defined in section 2 
                of the Bank Holding Company Act of 1956), 
                credit union, or depository institution;
                  (B) shall be deemed to mean a covered person 
                for all purposes of any provision of Federal 
                consumer financial law; and
                  (C) means--
                          (i) any director, officer, or 
                        employee charged with managerial 
                        responsibility for, or controlling 
                        shareholder of, or agent for, such 
                        covered person;
                          (ii) any shareholder, consultant, 
                        joint venture partner, or other person, 
                        as determined by the Bureau (by rule or 
                        on a case-by-case basis) who materially 
                        participates in the conduct of the 
                        affairs of such covered person; and
                          (iii) any independent contractor 
                        (including any attorney, appraiser, or 
                        accountant) who knowingly or recklessly 
                        participates in any--
                                  (I) violation of any 
                                provision of law or regulation; 
                                or
                                  (II) breach of a fiduciary 
                                duty.
          (26) Service provider.--
                  (A) In general.-- The term ``service 
                provider'' means any person that provides a 
                material service to a covered person in 
                connection with the offering or provision by 
                such covered person of a consumer financial 
                product or service, including a person that--
                          (i) participates in designing, 
                        operating, or maintaining the consumer 
                        financial product or service; or
                          (ii) processes transactions relating 
                        to the consumer financial product or 
                        service (other than unknowingly or 
                        incidentally transmitting or processing 
                        financial data in a manner that such 
                        data is undifferentiated from other 
                        types of data of the same form as the 
                        person transmits or processes).
                  (B) Exceptions.-- The term ``service 
                provider'' does not include a person solely by 
                virtue of such person offering or providing to 
                a covered person--
                          (i) a support service of a type 
                        provided to businesses generally or a 
                        similar ministerial service; or
                          (ii) time or space for an 
                        advertisement for a consumer financial 
                        product or service through print, 
                        newspaper, or electronic media.
                  (C) Rule of construction.-- A person that is 
                a service provider shall be deemed to be a 
                covered person to the extent that such person 
                engages in the offering or provision of its own 
                consumer financial product or service.
          (27) State.-- The term ``State'' means any State, 
        territory, or possession of the United States, the 
        District of Columbia, the Commonwealth of Puerto Rico, 
        the Commonwealth of the Northern Mariana Islands, Guam, 
        American Samoa, or the United States Virgin Islands or 
        any federally recognized Indian tribe, as defined by 
        the Secretary of the Interior under section 104(a) of 
        the Federally Recognized Indian Tribe List Act of 1994 
        (25 U.S.C. 479a-1(a)).
          (28) Stored value.--
                  (A) In general.-- The term ``stored value'' 
                means funds or monetary value represented in 
                any electronic format, whether or not specially 
                encrypted, and stored or capable of storage on 
                electronic media in such a way as to be 
                retrievable and transferred electronically, and 
                includes a prepaid debit card or product, or 
                any other similar product, regardless of 
                whether the amount of the funds or monetary 
                value may be increased or reloaded.
                  (B) Exclusion.-- Notwithstanding subparagraph 
                (A), the term ``stored value'' does not include 
                a special purpose card or certificate, which 
                shall be defined for purposes of this paragraph 
                as funds or monetary value represented in any 
                electronic format, whether or not specially 
                encrypted, that is--
                          (i) issued by a merchant, retailer, 
                        or other seller of nonfinancial goods 
                        or services;
                          (ii) redeemable only for transactions 
                        with the merchant, retailer, or seller 
                        of nonfinancial goods or services or 
                        with an affiliate of such person, which 
                        affiliate itself is a merchant, 
                        retailer, or seller of nonfinancial 
                        goods or services;
                          (iii) issued in a specified amount 
                        that, except in the case of a card or 
                        product used solely for telephone 
                        services, may not be increased or 
                        reloaded;
                          (iv) purchased on a prepaid basis in 
                        exchange for payment; and
                          (v) honored upon presentation to such 
                        merchant, retailer, or seller of 
                        nonfinancial goods or services or an 
                        affiliate of such person, which 
                        affiliate itself is a merchant, 
                        retailer, or seller of nonfinancial 
                        goods or services, only for any 
                        nonfinancial goods or services.
          (29) Transmitting or exchanging funds.-- The term 
        ``transmitting or exchanging funds'' means receiving 
        currency, monetary value, or payment instruments from a 
        consumer for the purpose of exchanging or transmitting 
        the same by any means, including transmission by wire, 
        facsimile, electronic transfer, courier, the Internet, 
        or through bill payment services or through other 
        businesses that facilitate third-party transfers within 
        the United States or to or from the United States.
          (30) Chairperson.-- The term ``Chairperson'' means 
        the Chairperson of the Board of Directors of the Bureau 
        of Consumer Financial Protection.

          Subtitle A--Bureau of Consumer Financial Protection

SEC. 1011. ESTABLISHMENT OF THE BUREAU OF CONSUMER FINANCIAL 
                    PROTECTION.

  (a) Bureau Established.--There is established in the Federal 
Reserve System, an independent bureau to be known as the 
``Bureau of Consumer Financial Protection'', which shall 
regulate the offering and provision of consumer financial 
products or services under the Federal consumer financial laws. 
The Bureau shall be considered an Executive agency, as defined 
in section 105 of title 5, United States Code. Except as 
otherwise provided expressly by law, all Federal laws dealing 
with public or Federal contracts, property, works, officers, 
employees, budgets, or funds, including the provisions of 
chapters 5 and 7 of title 5, shall apply to the exercise of the 
powers of the Bureau.
  [(b) Director and Deputy Director.--
          [(1) In general.-- There is established the position 
        of the Director, who shall serve as the head of the 
        Bureau.
          [(2) Appointment.-- Subject to paragraph (3), the 
        Director shall be appointed by the President, by and 
        with the advice and consent of the Senate.
          [(3) Qualification.-- The President shall nominate 
        the Director from among individuals who are citizens of 
        the United States.
          [(4) Compensation.-- The Director shall be 
        compensated at the rate prescribed for level II of the 
        Executive Schedule under section 5313 of title 5, 
        United States Code.
          [(5) Deputy director.-- There is established the 
        position of Deputy Director, who shall--
                  [(A) be appointed by the Director; and
                  [(B) serve as acting Director in the absence 
                or unavailability of the Director.
  [(c) Term.--
          [(1) In general.-- The Director shall serve for a 
        term of 5 years.
          [(2) Expiration of term.-- An individual may serve as 
        Director after the expiration of the term for which 
        appointed, until a successor has been appointed and 
        qualified.
          [(3) Removal for cause.-- The President may remove 
        the Director for inefficiency, neglect of duty, or 
        malfeasance in office.
  [(d) Service Restriction.--No Director or Deputy Director may 
hold any office, position, or employment in any Federal reserve 
bank, Federal home loan bank, covered person, or service 
provider during the period of service of such person as 
Director or Deputy Director.]
  (b) Management of the Bureau.--
          (1) In general.-- The management of the Bureau 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--
                  (A) are citizens of the United States; and
                  (B) have developed strong competency and 
                understanding of, and have experience working 
                with, financial products and services.
          (2) Terms.--
                  (A) In general.-- Except as provided in 
                subparagraph (B), each member of the Board, 
                including the Chairperson, shall serve for a 
                term of 5 years.
                  (B) Staggered terms.-- The members of the 
                Board shall serve staggered terms, which shall 
                initially be for terms of 1, 2, 3, 4, and 5 
                years, respectively, and such members shall be 
                appointed such that, after the appointments of 
                the initial 5 members of the Board, members of 
                different political parties are appointed 
                alternately.
                  (C) Removal.-- The President may remove any 
                member of the Board for inefficiency, neglect 
                of duty, or malfeasance in office.
                  (D) Vacancies.-- Any member of the Board 
                appointed to fill a vacancy occurring before 
                the expiration of the term to which the 
                predecessor of that member was appointed 
                (including the Chairperson) shall be appointed 
                only for the remainder of the term.
                  (E) Continuation of service.-- Each member of 
                the Board may continue to serve after the 
                expiration of the term of office to which that 
                member was appointed until a successor has been 
                appointed by the President and confirmed by the 
                Senate, except that a member may not continue 
                to serve more than 1 year after the date on 
                which the term of that member would otherwise 
                expire.
                  (F) Successive terms.-- A member of the Board 
                may not be reappointed to a second consecutive 
                term, except that an initial member of the 
                Board appointed for less than a 5-year term may 
                be reappointed to a full 5-year term and a 
                future member appointed to fill an unexpired 
                term may be reappointed for a full 5-year term.
          (3) Affiliation.-- Not more than 3 members of the 
        Board shall be members of any 1 political party.
          (4) Chairperson of the board.--
                  (A) Appointment.-- The President shall 
                appoint 1 of the 5 members of the Board to 
                serve as Chairperson of the Board.
                  (B) Authority.-- The Chairperson shall be the 
                principal executive officer of the Bureau, and 
                shall exercise all of the executive and 
                administrative functions of the Bureau, 
                including with respect to--
                          (i) the supervision of personnel 
                        employed by the Bureau (other than 
                        personnel employed regularly and full 
                        time in the immediate offices of 
                        members of the Board other than the 
                        Chairperson);
                          (ii) the distribution of business 
                        among personnel appointed and 
                        supervised by the Chairperson and among 
                        administrative units of the Bureau; and
                          (iii) the use and expenditure of 
                        funds.
                  (C) Limitation.-- In carrying out any of the 
                functions of the Chairperson under this 
                paragraph, the Chairperson shall be governed by 
                general policies of the Bureau and by such 
                regulatory decisions, findings, and 
                determinations as the Bureau may by law be 
                authorized to make.
                  (D) Requests or estimates related to 
                appropriations.-- Any request or estimate for 
                regular, supplemental, or deficiency 
                appropriations on behalf of the Bureau, 
                including any request for a transfer of funds 
                under section 1017(a), may not be submitted by 
                the Chairperson without the prior approval of 
                the Board.
                  (E) Vacancy.-- The President may designate a 
                member of the Board to serve as Acting 
                Chairperson in the event of a vacancy in the 
                office of the Chairperson.
          (5) Compensation.--
                  (A) Chairperson.-- The Chairperson shall 
                receive compensation at the rate prescribed for 
                level I of the Executive Schedule under section 
                5312 of title 5, United States Code.
                  (B) Other members of the board.-- The 4 
                members of the Board other than the Chairperson 
                shall each receive compensation at the rate 
                prescribed for level II of the Executive 
                Schedule under section 5313 of title 5, United 
                States Code.
          (6) Other employment prohibited.-- A member of the 
        Board may not engage in any other business, vocation, 
        or employment.
  [(e)] (c) Offices.--The principal office of the Bureau shall 
be in the District of Columbia. The Director may establish 
regional offices of the Bureau, including in cities in which 
the Federal reserve banks, or branches of such banks, are 
located, in order to carry out the responsibilities assigned to 
the Bureau under the Federal consumer financial laws.

SEC. 1012. EXECUTIVE AND ADMINISTRATIVE POWERS.

  (a) Powers of the Bureau.--The Bureau is authorized to 
establish the general policies of the Bureau with respect to 
all executive and administrative functions, including--
          (1) the establishment of rules for conducting the 
        general business of the Bureau, in a manner not 
        inconsistent with this title;
          (2) to bind the Bureau and enter into contracts;
          (3) directing the establishment and maintenance of 
        divisions or other offices within the Bureau, in order 
        to carry out the responsibilities under the Federal 
        consumer financial laws, and to satisfy the 
        requirements of other applicable law;
          (4) to coordinate and oversee the operation of all 
        administrative, enforcement, and research activities of 
        the Bureau;
          (5) to adopt and use a seal;
          (6) to determine the character of and the necessity 
        for the obligations and expenditures of the Bureau;
          (7) the appointment and supervision of personnel 
        employed by the Bureau;
          (8) the distribution of business among personnel 
        [appointed and supervised by the Director] appointed by 
        the Board and supervised by the Chairperson and among 
        administrative units of the Bureau;
          (9) the use and expenditure of funds;
          (10) implementing the Federal consumer financial laws 
        through rules, orders, guidance, interpretations, 
        statements of policy, examinations, and enforcement 
        actions; and
          (11) performing such other functions as may be 
        authorized or required by law.
  (b) Delegation of Authority.--The [Director] Board of the 
Bureau may delegate to any duly authorized employee, 
representative, or agent any power vested in the Bureau by law.
  (c) Autonomy of the Bureau.--
          (1) Coordination with the board of governors.-- 
        Notwithstanding any other provision of law applicable 
        to the supervision or examination of persons with 
        respect to Federal consumer financial laws, the Board 
        of Governors may delegate to the Bureau the authorities 
        to examine persons subject to the jurisdiction of the 
        Board of Governors for compliance with the Federal 
        consumer financial laws.
          (2) Autonomy.-- Notwithstanding the authorities 
        granted to the Board of Governors under the Federal 
        Reserve Act, the Board of Governors may not--
                  (A) intervene in any matter or proceeding 
                before the [Director] Board , including 
                examinations or enforcement actions, unless 
                otherwise specifically provided by law;
                  (B) appoint, direct, or remove any officer or 
                employee of the Bureau; or
                  (C) merge or consolidate the Bureau, or any 
                of the functions or responsibilities of the 
                Bureau, with any division or office of the 
                Board of Governors or the Federal reserve 
                banks.
          (3) Rules and orders.-- No rule or order of the 
        Bureau shall be subject to approval or review by the 
        Board of Governors. The Board of Governors may not 
        delay or prevent the issuance of any rule or order of 
        the Bureau.
          (4) Recommendations and testimony.-- No officer or 
        agency of the United States shall have any authority to 
        require [the Director] any member of the Board or any 
        other officer of the Bureau to submit legislative 
        recommendations, or testimony or comments on 
        legislation, to any officer or agency of the United 
        States for approval, comments, or review prior to the 
        submission of such recommendations, testimony, or 
        comments to the Congress, if such recommendations, 
        testimony, or comments to the Congress include a 
        statement indicating that the views expressed therein 
        are those of [the Director] any member of the Board or 
        such officer, and do not necessarily reflect the views 
        of the Board of Governors or the President.
          (5) Clarification of autonomy of the bureau in legal 
        proceedings.-- The Bureau shall not be liable under any 
        provision of law for any action or inaction of the 
        Board of Governors, and the Board of Governors shall 
        not be liable under any provision of law for any action 
        or inaction of the Bureau.

SEC. 1013. ADMINISTRATION.

  (a) Personnel.--
          (1) Appointment.--
                  (A) In general.-- The [Director] Board may 
                fix the number of, and appoint and direct, all 
                employees of the Bureau, in accordance with the 
                applicable provisions of title 5, United States 
                Code.
                  (B) Employees of the bureau.-- The [Director] 
                Board is authorized to employ attorneys, 
                compliance examiners, compliance supervision 
                analysts, economists, statisticians, and other 
                employees as may be deemed necessary to conduct 
                the business of the Bureau. Unless otherwise 
                provided expressly by law, any individual 
                appointed under this section shall be an 
                employee as defined in section 2105 of title 5, 
                United States Code, and subject to the 
                provisions of such title and other laws 
                generally applicable to the employees of an 
                Executive agency.
                  (C) Waiver authority.--
                          (i) In general.-- In making any 
                        appointment under subparagraph (A), the 
                        [Director] Board may waive the 
                        requirements of chapter 33 of title 5, 
                        United States Code, and the regulations 
                        implementing such chapter, to the 
                        extent necessary to appoint employees 
                        on terms and conditions that are 
                        consistent with those set forth in 
                        section 11(1) of the Federal Reserve 
                        Act (12 U.S.C. 248(1)), while providing 
                        for--
                                  (I) fair, credible, and 
                                transparent methods of 
                                establishing qualification 
                                requirements for, recruitment 
                                for, and appointments to 
                                positions;
                                  (II) fair and open 
                                competition and equitable 
                                treatment in the consideration 
                                and selection of individuals to 
                                positions;
                                  (III) fair, credible, and 
                                transparent methods of 
                                assigning, reassigning, 
                                detailing, transferring, and 
                                promoting employees.
                          (ii) Veterans preferences.-- In 
                        implementing this subparagraph, the 
                        [Director] Board shall comply with the 
                        provisions of section 2302(b)(11), 
                        regarding veterans' preference 
                        requirements, in a manner consistent 
                        with that in which such provisions are 
                        applied under chapter 33 of title 5, 
                        United States Code. The authority under 
                        this subparagraph to waive the 
                        requirements of that chapter 33 shall 
                        expire 5 years after the date of 
                        enactment of this Act.
          (2) Compensation.-- Notwithstanding any otherwise 
        applicable provision of title 5, United States Code, 
        concerning compensation, including the provisions of 
        chapter 51 and chapter 53, the following provisions 
        shall apply with respect to employees of the Bureau:
                  (A) The rates of basic pay for all employees 
                of the Bureau may be set and adjusted by the 
                [Director] Board .
                  (B) The [Director] Board shall at all times 
                provide compensation (including benefits) to 
                each class of employees that, at a minimum, are 
                comparable to the compensation and benefits 
                then being provided by the Board of Governors 
                for the corresponding class of employees.
                  (C) All such employees shall be compensated 
                (including benefits) on terms and conditions 
                that are consistent with the terms and 
                conditions set forth in section 11(l) of the 
                Federal Reserve Act (12 U.S.C. 248(l)).
          (3) Bureau participation in federal reserve system 
        retirement plan and federal reserve system thrift 
        plan.--
                  (A) Employee election.-- Employees appointed 
                to the Bureau may elect to participate in 
                either--
                          (i) both the Federal Reserve System 
                        Retirement Plan and the Federal Reserve 
                        System Thrift Plan, under the same 
                        terms on which such participation is 
                        offered to employees of the Board of 
                        Governors who participate in such plans 
                        and under the terms and conditions 
                        specified under section 1064(i)(1)(C); 
                        or
                          (ii) the Civil Service Retirement 
                        System under chapter 83 of title 5, 
                        United States Code, or the Federal 
                        Employees Retirement System under 
                        chapter 84 of title 5, United States 
                        Code, if previously covered under one 
                        of those Federal employee retirement 
                        systems.
                  (B) Election period.-- Bureau employees shall 
                make an election under this paragraph not later 
                than 1 year after the date of appointment by, 
                or transfer under subtitle F to, the Bureau. 
                Participation in, and benefit accruals under, 
                any other retirement plan established or 
                maintained by the Federal Government shall end 
                not later than the date on which participation 
                in, and benefit accruals under, the Federal 
                Reserve System Retirement Plan and Federal 
                Reserve System Thrift Plan begin.
                  (C) Employer contribution.-- The Bureau shall 
                pay an employer contribution to the Federal 
                Reserve System Retirement Plan, in the amount 
                established as an employer contribution under 
                the Federal Employees Retirement System, as 
                established under chapter 84 of title 5, United 
                States Code, for each Bureau employee who 
                elects to participate in the Federal Reserve 
                System Retirement Plan. The Bureau shall pay an 
                employer contribution to the Federal Reserve 
                System Thrift Plan for each Bureau employee who 
                elects to participate in such plan, as required 
                under the terms of such plan.
                  (D) Controlled group status.-- The Bureau is 
                the same employer as the Federal Reserve System 
                (as comprised of the Board of Governors and 
                each of the 12 Federal reserve banks prior to 
                the date of enactment of this Act) for purposes 
                of subsections (b), (c), (m), and (o) of 
                section 414 of the Internal Revenue Code of 
                1986, (26 U.S.C. 414).
          (4) Labor-management relations.-- Chapter 71 of title 
        5, United States Code, shall apply to the Bureau and 
        the employees of the Bureau.
          (5) Agency ombudsman.--
                  (A) Establishment required.-- Not later than 
                180 days after the designated transfer date, 
                the Bureau shall appoint an ombudsman.
                  (B) Duties of ombudsman.-- The ombudsman 
                appointed in accordance with subparagraph (A) 
                shall--
                          (i) act as a liaison between the 
                        Bureau and any affected person with 
                        respect to any problem that such party 
                        may have in dealing with the Bureau, 
                        resulting from the regulatory 
                        activities of the Bureau; and
                          (ii) assure that safeguards exist to 
                        encourage complainants to come forward 
                        and preserve confidentiality.
  (b) Specific Functional Units.--
          (1) Research.-- The [Director] Board shall establish 
        a unit whose functions shall include researching, 
        analyzing, and reporting on--
                  (A) developments in markets for consumer 
                financial products or services, including 
                market areas of alternative consumer financial 
                products or services with high growth rates and 
                areas of risk to consumers;
                  (B) access to fair and affordable credit for 
                traditionally underserved communities;
                  (C) consumer awareness, understanding, and 
                use of disclosures and communications regarding 
                consumer financial products or services;
                  (D) consumer awareness and understanding of 
                costs, risks, and benefits of consumer 
                financial products or services;
                  (E) consumer behavior with respect to 
                consumer financial products or services, 
                including performance on mortgage loans; and
                  (F) experiences of traditionally underserved 
                consumers, including un-banked and under-banked 
                consumers.
          (2) Community affairs.-- The [Director] Board shall 
        establish a unit whose functions shall include 
        providing information, guidance, and technical 
        assistance regarding the offering and provision of 
        consumer financial products or services to 
        traditionally underserved consumers and communities.
          (3) Collecting and tracking complaints.--
                  (A) In general.-- The [Director] Board shall 
                establish a unit whose functions shall include 
                establishing a single, toll-free telephone 
                number, a website, and a database or utilizing 
                an existing database to facilitate the 
                centralized collection of, monitoring of, and 
                response to consumer complaints regarding 
                consumer financial products or services. The 
                [Director] Board shall coordinate with the 
                Federal Trade Commission or other Federal 
                agencies to route complaints to such agencies, 
                where appropriate.
                  (B) Routing calls to states.-- To the extent 
                practicable, State agencies may receive 
                appropriate complaints from the systems 
                established under subparagraph (A), if--
                          (i) the State agency system has the 
                        functional capacity to receive calls or 
                        electronic reports routed by the Bureau 
                        systems;
                          (ii) the State agency has satisfied 
                        any conditions of participation in the 
                        system that the Bureau may establish, 
                        including treatment of personally 
                        identifiable information and sharing of 
                        information on complaint resolution or 
                        related compliance procedures and 
                        resources; and
                          (iii) participation by the State 
                        agency includes measures necessary to 
                        provide for protection of personally 
                        identifiable information that conform 
                        to the standards for protection of the 
                        confidentiality of personally 
                        identifiable information and for data 
                        integrity and security that apply to 
                        the Federal agencies described in 
                        subparagraph (D).
                  (C) Reports to the congress.-- The [Director] 
                Board shall present an annual report to 
                Congress not later than March 31 of each year 
                on the complaints received by the Bureau in the 
                prior year regarding consumer financial 
                products and services. Such report shall 
                include information and analysis about 
                complaint numbers, complaint types, and, where 
                applicable, information about resolution of 
                complaints.
                  (D) Data sharing required.-- To facilitate 
                preparation of the reports required under 
                subparagraph (C), supervision and enforcement 
                activities, and monitoring of the market for 
                consumer financial products and services, the 
                Bureau shall share consumer complaint 
                information with prudential regulators, the 
                Federal Trade Commission, other Federal 
                agencies, and State agencies, subject to the 
                standards applicable to Federal agencies for 
                protection of the confidentiality of personally 
                identifiable information and for data security 
                and integrity. The prudential regulators, the 
                Federal Trade Commission, and other Federal 
                agencies shall share data relating to consumer 
                complaints regarding consumer financial 
                products and services with the Bureau, subject 
                to the standards applicable to Federal agencies 
                for protection of confidentiality of personally 
                identifiable information and for data security 
                and integrity.
  (c) Office of Fair Lending and Equal Opportunity.--
          (1) Establishment.-- The [Director] Board shall 
        establish within the Bureau the Office of Fair Lending 
        and Equal Opportunity.
          (2) Functions.-- The Office of Fair Lending and Equal 
        Opportunity shall have such powers and duties as the 
        [Director] Board may delegate to the Office, 
        including--
                  (A) providing oversight and enforcement of 
                Federal laws intended to ensure the fair, 
                equitable, and nondiscriminatory access to 
                credit for both individuals and communities 
                that are enforced by the Bureau, including the 
                Equal Credit Opportunity Act and the Home 
                Mortgage Disclosure Act;
                  (B) coordinating fair lending efforts of the 
                Bureau with other Federal agencies and State 
                regulators, as appropriate, to promote 
                consistent, efficient, and effective 
                enforcement of Federal fair lending laws;
                  (C) working with private industry, fair 
                lending, civil rights, consumer and community 
                advocates on the promotion of fair lending 
                compliance and education; and
                  (D) providing annual reports to Congress on 
                the efforts of the Bureau to fulfill its fair 
                lending mandate.
          (3) Administration of office.-- There is established 
        the position of [Assistant Director] Head of Office of 
        the Bureau for Fair Lending and Equal Opportunity, 
        who--
                  (A) shall be appointed by [the Director] the 
                Board ; and
                  (B) shall carry out such duties as [the 
                Director] the Board may delegate to such 
                [Assistant Director] Head of Office .
  (d) Office of Financial Education.--
          (1) Establishment.-- The [Director] Board shall 
        establish an Office of Financial Education, which shall 
        be responsible for developing and implementing 
        initiatives intended to educate and empower consumers 
        to make better informed financial decisions.
          (2) Other duties.-- The Office of Financial Education 
        shall develop and implement a strategy to improve the 
        financial literacy of consumers that includes 
        measurable goals and objectives, in consultation with 
        the Financial Literacy and Education Commission, 
        consistent with the National Strategy for Financial 
        Literacy, through activities including providing 
        opportunities for consumers to access--
                  (A) financial counseling, including 
                community-based financial counseling, where 
                practicable;
                  (B) information to assist with the evaluation 
                of credit products and the understanding of 
                credit histories and scores;
                  (C) savings, borrowing, and other services 
                found at mainstream financial institutions;
                  (D) activities intended to--
                          (i) prepare the consumer for 
                        educational expenses and the submission 
                        of financial aid applications, and 
                        other major purchases;
                          (ii) reduce debt; and
                          (iii) improve the financial situation 
                        of the consumer;
                  (E) assistance in developing long-term 
                savings strategies; and
                  (F) wealth building and financial services 
                during the preparation process to claim earned 
                income tax credits and Federal benefits.
          (3) Coordination.-- The Office of Financial Education 
        shall coordinate with other units within the Bureau in 
        carrying out its functions, including--
                  (A) working with the Community Affairs Office 
                to implement the strategy to improve financial 
                literacy of consumers; and
                  (B) working with the research unit 
                established by the [Director] Board to conduct 
                research related to consumer financial 
                education and counseling.
          (4) Report.-- Not later than 24 months after the 
        designated transfer date, and annually thereafter, the 
        [Director] Board shall submit a report on its financial 
        literacy activities and strategy to improve financial 
        literacy of consumers to--
                  (A) the Committee on Banking, Housing, and 
                Urban Affairs of the Senate; and
                  (B) the Committee on Financial Services of 
                the House of Representatives.
          (5) Membership in financial literacy and education 
        commission.-- Section 513(c)(1) of the Financial 
        Literacy and Education Improvement Act (20 U.S.C. 
        9702(c)(1)) is amended--
                  (A) in subparagraph (B), by striking ``and'' 
                at the end;
                  (B) by redesignating subparagraph (C) as 
                subparagraph (D); and
                  (C) by inserting after subparagraph (B) the 
                following new subparagraph:
                  ``(C) the Director of the Bureau of Consumer 
                Financial Protection; and''.
          (6) Conforming amendment.-- Section 513(d) of the 
        Financial Literacy and Education Improvement Act (20 
        U.S.C. 9702(d)) is amended by adding at the end the 
        following: ``The Director of the Bureau of Consumer 
        Financial Protection shall serve as the Vice 
        Chairman.''.
          (7) Study and report on financial literacy program.--
                  (A) In general.-- The Comptroller General of 
                the United States shall conduct a study to 
                identify--
                          (i) the feasibility of certification 
                        of persons providing the programs or 
                        performing the activities described in 
                        paragraph (2), including recognizing 
                        outstanding programs, and developing 
                        guidelines and resources for community-
                        based practitioners, including--
                                  (I) a potential certification 
                                process and standards for 
                                certification;
                                  (II) appropriate certifying 
                                entities;
                                  (III) resources required for 
                                funding such a process; and
                                  (IV) a cost-benefit analysis 
                                of such certification;
                          (ii) technological resources intended 
                        to collect, analyze, evaluate, or 
                        promote financial literacy and 
                        counseling programs;
                          (iii) effective methods, tools, and 
                        strategies intended to educate and 
                        empower consumers about personal 
                        finance management; and
                          (iv) recommendations intended to 
                        encourage the development of programs 
                        that effectively improve financial 
                        education outcomes and empower 
                        consumers to make better informed 
                        financial decisions based on findings.
                  (B) Report.-- Not later than 1 year after the 
                date of enactment of this Act, the Comptroller 
                General of the United States shall submit a 
                report on the results of the study conducted 
                under this paragraph to the Committee on 
                Banking, Housing, and Urban Affairs of the 
                Senate and the Committee on Financial Services 
                of the House of Representatives.
  (e) Office of Service Member Affairs.--
          (1) In general.-- The [Director] Board shall 
        establish an Office of Service Member Affairs, which 
        shall be responsible for developing and implementing 
        initiatives for service members and their families 
        intended to--
                  (A) educate and empower service members and 
                their families to make better informed 
                decisions regarding consumer financial products 
                and services;
                  (B) coordinate with the unit of the Bureau 
                established under subsection (b)(3), in order 
                to monitor complaints by service members and 
                their families and responses to those 
                complaints by the Bureau or other appropriate 
                Federal or State agency; and
                  (C) coordinate efforts among Federal and 
                State agencies, as appropriate, regarding 
                consumer protection measures relating to 
                consumer financial products and services 
                offered to, or used by, service members and 
                their families.
          (2) Coordination.--
                  (A) Regional services.-- The [Director] Board 
                is authorized to assign employees of the Bureau 
                as may be deemed necessary to conduct the 
                business of the Office of Service Member 
                Affairs, including by establishing and 
                maintaining the functions of the Office in 
                regional offices of the Bureau located near 
                military bases, military treatment facilities, 
                or other similar military facilities.
                  (B) Agreements.-- The [Director] Board is 
                authorized to enter into memoranda of 
                understanding and similar agreements with the 
                Department of Defense, including any branch or 
                agency as authorized by the department, in 
                order to carry out the business of the Office 
                of Service Member Affairs.
          (3) Definition.-- As used in this subsection, the 
        term ``service member'' means any member of the United 
        States Armed Forces and any member of the National 
        Guard or Reserves.
  (f) Timing.--The Office of Fair Lending and Equal 
Opportunity, the Office of Financial Education, and the Office 
of Service Member Affairs shall each be established not later 
than 1 year after the designated transfer date.
  (g) Office of Financial Protection for Older Americans.--
          (1) Establishment.--Before the end of the 180-day 
        period beginning on the designated transfer date, the 
        [Director] Board shall establish the Office of 
        Financial Protection for Older Americans, the functions 
        of which shall include activities designed to 
        facilitate the financial literacy of individuals who 
        have attained the age of 62 years or more (in this 
        subsection, referred to as ``seniors'') on protection 
        from unfair, deceptive, and abusive practices and on 
        current and future financial choices, including through 
        the dissemination of materials to seniors on such 
        topics.
          (2)  [Assistant director]  Head of the office .-- The 
        Office of Financial Protection for Older Americans (in 
        this subsection referred to as the ``Office'') shall be 
        headed by [an assistant director] the Head of the 
        Office of Financial Protection for Older Americans .
          (3) Duties.-- The Office shall--
                  (A) develop goals for programs that provide 
                seniors financial literacy and counseling, 
                including programs that--
                          (i) help seniors recognize warning 
                        signs of unfair, deceptive, or abusive 
                        practices, protect themselves from such 
                        practices;
                          (ii) provide one-on-one financial 
                        counseling on issues including long-
                        term savings and later-life economic 
                        security; and
                          (iii) provide personal consumer 
                        credit advocacy to respond to consumer 
                        problems caused by unfair, deceptive, 
                        or abusive practices;
                  (B) monitor certifications or designations of 
                financial advisors who advise seniors and alert 
                the Commission and State regulators of 
                certifications or designations that are 
                identified as unfair, deceptive, or abusive;
                  (C) not later than 18 months after the date 
                of the establishment of the Office, submit to 
                Congress and the Commission any legislative and 
                regulatory recommendations on the best 
                practices for--
                          (i) disseminating information 
                        regarding the legitimacy of 
                        certifications of financial advisers 
                        who advise seniors;
                          (ii) methods in which a senior can 
                        identify the financial advisor most 
                        appropriate for the senior's needs; and
                          (iii) methods in which a senior can 
                        verify a financial advisor's 
                        credentials;
                  (D) conduct research to identify best 
                practices and effective methods, tools, 
                technology and strategies to educate and 
                counsel seniors about personal finance 
                management with a focus on--
                          (i) protecting themselves from 
                        unfair, deceptive, and abusive 
                        practices;
                          (ii) long-term savings; and
                          (iii) planning for retirement and 
                        long-term care;
                  (E) coordinate consumer protection efforts of 
                seniors with other Federal agencies and State 
                regulators, as appropriate, to promote 
                consistent, effective, and efficient 
                enforcement; and
                  (F) work with community organizations, non-
                profit organizations, and other entities that 
                are involved with educating or assisting 
                seniors (including the National Education and 
                Resource Center on Women and Retirement 
                Planning).
  (h) Application of FACA.--Notwithstanding any provision of 
the Federal Advisory Committee Act (5 U.S.C. App.), such Act 
shall apply to each advisory committee of the Bureau and each 
subcommittee of such an advisory committee.

SEC. 1014. CONSUMER ADVISORY BOARD.

  (a) Establishment Required.--The [Director] Board shall 
establish a Consumer Advisory Board to advise and consult with 
the Bureau in the exercise of its functions under the Federal 
consumer financial laws, and to provide information on emerging 
practices in the consumer financial products or services 
industry, including regional trends, concerns, and other 
relevant information.
  (b) Membership.--In appointing the members of the Consumer 
Advisory Board, the [Director] Board shall seek to assemble 
experts in consumer protection, financial services, community 
development, fair lending and civil rights, and consumer 
financial products or services and representatives of 
depository institutions that primarily serve underserved 
communities, and representatives of communities that have been 
significantly impacted by higher-priced mortgage loans, and 
seek representation of the interests of covered persons and 
consumers, without regard to party affiliation. Not fewer than 
6 members shall be appointed upon the recommendation of the 
regional Federal Reserve Bank Presidents, on a rotating basis.
  (c) Meetings.--The Consumer Advisory Board shall meet from 
time to time at the call of the [Director] Board , but, at a 
minimum, shall meet at least twice in each year.
  (d) Compensation and Travel Expenses.--Members of the 
Consumer Advisory Board who are not full-time employees of the 
United States shall--
          (1) be entitled to receive compensation at a rate 
        fixed by the [Director] Board while attending meetings 
        of the Consumer Advisory Board, including travel time; 
        and
          (2) be allowed travel expenses, including 
        transportation and subsistence, while away from their 
        homes or regular places of business.

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SEC. 1016. APPEARANCES BEFORE AND REPORTS TO CONGRESS.

  (a) Appearances Before Congress.--The [Director of the 
Bureau] Chairperson shall appear before the Committee on 
Banking, Housing, and Urban Affairs of the Senate and the 
Committee on Financial Services and the Committee on Energy and 
Commerce of the House of Representatives at semi-annual 
hearings regarding the reports required under subsection (b).
  (b) Reports Required.--The Bureau shall, concurrent with each 
semi-annual hearing referred to in subsection (a), prepare and 
submit to the President and to the Committee on Banking, 
Housing, and Urban Affairs of the Senate and the Committee on 
Financial Services and the Committee on Energy and Commerce of 
the House of Representatives, a report, beginning with the 
session following the designated transfer date. The Bureau may 
also submit such report to the Committee on Commerce, Science, 
and Transportation of the Senate.
  (c) Contents.--The reports required by subsection (b) shall 
include--
          (1) a discussion of the significant problems faced by 
        consumers in shopping for or obtaining consumer 
        financial products or services;
          (2) a justification of the budget request of the 
        previous year;
          (3) a list of the significant rules and orders 
        adopted by the Bureau, as well as other significant 
        initiatives conducted by the Bureau, during the 
        preceding year and the plan of the Bureau for rules, 
        orders, or other initiatives to be undertaken during 
        the upcoming period;
          (4) an analysis of complaints about consumer 
        financial products or services that the Bureau has 
        received and collected in its central database on 
        complaints during the preceding year;
          (5) a list, with a brief statement of the issues, of 
        the public supervisory and enforcement actions to which 
        the Bureau was a party during the preceding year;
          (6) the actions taken regarding rules, orders, and 
        supervisory actions with respect to covered persons 
        which are not credit unions or depository institutions;
          (7) an assessment of significant actions by State 
        attorneys general or State regulators relating to 
        Federal consumer financial law;
          (8) an analysis of the efforts of the Bureau to 
        fulfill the fair lending mission of the Bureau; and
          (9) an analysis of the efforts of the Bureau to 
        increase workforce and contracting diversity consistent 
        with the procedures established by the Office of 
        Minority and Women Inclusion.

           *       *       *       *       *       *       *


SEC. 1017. FUNDING; PENALTIES AND FINES.

  (a) Transfer of Funds From Board Of Governors.--
          (1) In general.-- Each year (or quarter of such 
        year), beginning on the designated transfer date, and 
        each quarter thereafter, the Board of Governors shall 
        transfer to the Bureau from the combined earnings of 
        the Federal Reserve System, the amount determined by 
        the [Director] Board to be reasonably necessary to 
        carry out the authorities of the Bureau under Federal 
        consumer financial law, taking into account such other 
        sums made available to the Bureau from the preceding 
        year (or quarter of such year).
          (2) Funding cap.--
                  (A) In general.-- Notwithstanding paragraph 
                (1), and in accordance with this paragraph, the 
                amount that shall be transferred to the Bureau 
                in each fiscal year shall not exceed a fixed 
                percentage of the total operating expenses of 
                the Federal Reserve System, as reported in the 
                Annual Report, 2009, of the Board of Governors, 
                equal to--
                          (i) 10 percent of such expenses in 
                        fiscal year 2011;
                          (ii) 11 percent of such expenses in 
                        fiscal year 2012; and
                          (iii) 12 percent of such expenses in 
                        fiscal year 2013, and in each year 
                        thereafter.
                  (B) Adjustment of amount.-- The dollar amount 
                referred to in subparagraph (A)(iii) shall be 
                adjusted annually, using the percent increase, 
                if any, in the employment cost index for total 
                compensation for State and local government 
                workers published by the Federal Government, or 
                the successor index thereto, for the 12-month 
                period ending on September 30 of the year 
                preceding the transfer.
                  (C) Reviewability.-- Notwithstanding any 
                other provision in this title, the funds 
                derived from the Federal Reserve System 
                pursuant to this subsection shall not be 
                subject to review by the Committees on 
                Appropriations of the House of Representatives 
                and the Senate.
          (3) Transition period.-- Beginning on the date of 
        enactment of this Act and until the designated transfer 
        date, the Board of Governors shall transfer to the 
        Bureau the amount estimated by the Secretary needed to 
        carry out the authorities granted to the Bureau under 
        Federal consumer financial law, from the date of 
        enactment of this Act until the designated transfer 
        date.
          (4) Budget and financial management.--
                  (A) Financial operating plans and 
                forecasts.-- The [Director shall] Board shall 
                provide to the Director of the Office of 
                Management and Budget copies of the financial 
                operating plans and forecasts of the 
                [Director,] Board, as prepared by the [Director 
                in] Board in the ordinary course of the 
                operations of the Bureau, and copies of the 
                quarterly reports of the financial condition 
                and results of operations of the Bureau, as 
                prepared by the [Director in] Board in the 
                ordinary course of the operations of the 
                Bureau.
                  (B) Financial statements.-- The Bureau shall 
                prepare annually a statement of--
                          (i) assets and liabilities and 
                        surplus or deficit;
                          (ii) income and expenses; and
                          (iii) sources and application of 
                        funds.
                  (C) Financial management systems.-- The 
                Bureau shall implement and maintain financial 
                management systems that comply substantially 
                with Federal financial management systems 
                requirements and applicable Federal accounting 
                standards.
                  (D) Assertion of internal controls.-- The 
                [Director] Board shall provide to the 
                Comptroller General of the United States an 
                assertion as to the effectiveness of the 
                internal controls that apply to financial 
                reporting by the Bureau, using the standards 
                established in section 3512(c) of title 31, 
                United States Code.
                  (E) Rule of construction.-- This subsection 
                may not be construed as implying any obligation 
                on the part of the [Director to] Board to 
                consult with or obtain the consent or approval 
                of the Director of the Office of Management and 
                Budget with respect to any report, plan, 
                forecast, or other information referred to in 
                subparagraph (A) or any jurisdiction or 
                oversight over the affairs or operations of the 
                Bureau.
                  (F) Financial statements.-- The financial 
                statements of the Bureau shall not be 
                consolidated with the financial statements of 
                either the Board of Governors or the Federal 
                Reserve System.
          (5) Audit of the bureau.--
                  (A) In general.-- The Comptroller General 
                shall annually audit the financial transactions 
                of the Bureau in accordance with the United 
                States generally accepted government auditing 
                standards, as may be prescribed by the 
                Comptroller General of the United States. The 
                audit shall be conducted at the place or places 
                where accounts of the Bureau are normally kept. 
                The representatives of the Government 
                Accountability Office shall have access to the 
                personnel and to all books, accounts, 
                documents, papers, records (including 
                electronic records), reports, files, and all 
                other papers, automated data, things, or 
                property belonging to or under the control of 
                or used or employed by the Bureau pertaining to 
                its financial transactions and necessary to 
                facilitate the audit, and such representatives 
                shall be afforded full facilities for verifying 
                transactions with the balances or securities 
                held by depositories, fiscal agents, and 
                custodians. All such books, accounts, 
                documents, records, reports, files, papers, and 
                property of the Bureau shall remain in 
                possession and custody of the Bureau. The 
                Comptroller General may obtain and duplicate 
                any such books, accounts, documents, records, 
                working papers, automated data and files, or 
                other information relevant to such audit 
                without cost to the Comptroller General, and 
                the right of access of the Comptroller General 
                to such information shall be enforceable 
                pursuant to section 716(c) of title 31, United 
                States Code.
                  (B) Report.-- The Comptroller General shall 
                submit to the Congress a report of each annual 
                audit conducted under this subsection. The 
                report to the Congress shall set forth the 
                scope of the audit and shall include the 
                statement of assets and liabilities and surplus 
                or deficit, the statement of income and 
                expenses, the statement of sources and 
                application of funds, and such comments and 
                information as may be deemed necessary to 
                inform Congress of the financial operations and 
                condition of the Bureau, together with such 
                recommendations with respect thereto as the 
                Comptroller General may deem advisable. A copy 
                of each report shall be furnished to the 
                President and to the Bureau at the time 
                submitted to the Congress.
                  (C) Assistance and costs.-- For the purpose 
                of conducting an audit under this subsection, 
                the Comptroller General may, in the discretion 
                of the Comptroller General, employ by contract, 
                without regard to section 3709 of the Revised 
                Statutes of the United States (41 U.S.C. 5), 
                professional services of firms and 
                organizations of certified public accountants 
                for temporary periods or for special purposes. 
                Upon the request of the Comptroller General, 
                the [Director of the Bureau] Chairperson shall 
                transfer to the Government Accountability 
                Office from funds available, the amount 
                requested by the Comptroller General to cover 
                the full costs of any audit and report 
                conducted by the Comptroller General. The 
                Comptroller General shall credit funds 
                transferred to the account established for 
                salaries and expenses of the Government 
                Accountability Office, and such amount shall be 
                available upon receipt and without fiscal year 
                limitation to cover the full costs of the audit 
                and report.
  (b) Consumer Financial Protection Fund.--
          (1) Separate fund in federal reserve established.-- 
        There is established in the Federal Reserve a separate 
        fund, to be known as the ``Bureau of Consumer Financial 
        Protection Fund'' (referred to in this section as the 
        ``Bureau Fund''). The Bureau Fund shall be maintained 
        and established at a Federal reserve bank, in 
        accordance with such requirements as the Board of 
        Governors may impose.
          (2) Fund receipts.-- All amounts transferred to the 
        Bureau under subsection (a) shall be deposited into the 
        Bureau Fund.
          (3) Investment authority.--
                  (A) Amounts in bureau fund may be invested.-- 
                The Bureau may request the Board of Governors 
                to direct the investment of the portion of the 
                Bureau Fund that is not, in the judgment of the 
                Bureau, required to meet the current needs of 
                the Bureau.
                  (B) Eligible investments.-- Investments 
                authorized by this paragraph shall be made in 
                obligations of the United States or obligations 
                that are guaranteed as to principal and 
                interest by the United States, with maturities 
                suitable to the needs of the Bureau Fund, as 
                determined by the Bureau.
                  (C) Interest and proceeds credited.-- The 
                interest on, and the proceeds from the sale or 
                redemption of, any obligations held in the 
                Bureau Fund shall be credited to the Bureau 
                Fund.
  (c) Use of Funds.--
          (1) In general.-- Funds obtained by, transferred to, 
        or credited to the Bureau Fund shall be immediately 
        available to the Bureau and under the control of the 
        [Director,] Board, and shall remain available until 
        expended, to pay the expenses of the Bureau in carrying 
        out its duties and responsibilities. The compensation 
        of the [Director and] the members of the Board and 
        other employees of the Bureau and all other expenses 
        thereof may be paid from, obtained by, transferred to, 
        or credited to the Bureau Fund under this section.
          (2) Funds that are not government funds.-- Funds 
        obtained by or transferred to the Bureau Fund shall not 
        be construed to be Government funds or appropriated 
        monies.
          (3) Amounts not subject to apportionment.-- 
        Notwithstanding any other provision of law, amounts in 
        the Bureau Fund and in the Civil Penalty Fund 
        established under subsection (d) shall not be subject 
        to apportionment for purposes of chapter 15 of title 
        31, United States Code, or under any other authority.
  (d) Penalties and Fines.--
          (1) Establishment of victims relief fund.-- There is 
        established in the Federal Reserve a separate fund, to 
        be known as the ``Consumer Financial Civil Penalty 
        Fund'' (referred to in this section as the ``Civil 
        Penalty Fund''). The Civil Penalty Fund shall be 
        maintained and established at a Federal reserve bank, 
        in accordance with such requirements as the Board of 
        Governors may impose. If the Bureau obtains a civil 
        penalty against any person in any judicial or 
        administrative action under Federal consumer financial 
        laws, the Bureau shall deposit into the Civil Penalty 
        Fund, the amount of the penalty collected.
          (2) Payment to victims.-- Amounts in the Civil 
        Penalty Fund shall be available to the Bureau, without 
        fiscal year limitation, for payments to the victims of 
        activities for which civil penalties have been imposed 
        under the Federal consumer financial laws. To the 
        extent that such victims cannot be located or such 
        payments are otherwise not practicable, the Bureau may 
        use such funds for the purpose of consumer education 
        and financial literacy programs.
  (e) Authorization of Appropriations; Annual Report.--
          (1) Determination regarding need for appropriated 
        funds.--
                  (A) In general.-- The [Director] Board is 
                authorized to determine that sums available to 
                the Bureau under this section will not be 
                sufficient to carry out the authorities of the 
                Bureau under Federal consumer financial law for 
                the upcoming year.
                  (B) Report required.-- When making a 
                determination under subparagraph (A), the 
                [Director] Board shall prepare a report 
                regarding the funding of the Bureau, including 
                the assets and liabilities of the Bureau, and 
                the extent to which the funding needs of the 
                Bureau are anticipated to exceed the level of 
                the amount set forth in subsection (a)(2). The 
                [Director] Board shall submit the report to the 
                President and to the Committee on 
                Appropriations of the Senate and the Committee 
                on Appropriations of the House of 
                Representatives.
          (2) Authorization of appropriations.-- If the 
        [Director] Board makes the determination and submits 
        the report pursuant to paragraph (1), there are hereby 
        authorized to be appropriated to the Bureau, for the 
        purposes of carrying out the authorities granted in 
        Federal consumer financial law, $200,000,000 for each 
        of fiscal years 2010, 2011, 2012, 2013, and 2014.
          (3) Apportionment.-- Notwithstanding any other 
        provision of law, the amounts in paragraph (2) shall be 
        subject to apportionment under section 1517 of title 
        31, United States Code, and restrictions that generally 
        apply to the use of appropriated funds in title 31, 
        United States Code, and other laws.
          (4) Annual report.-- The [Director] Board shall 
        prepare and submit a report, on an annual basis, to the 
        Committee on Appropriations of the Senate and the 
        Committee on Appropriations of the House of 
        Representatives regarding the financial operating plans 
        and forecasts of the [Director] Board , the financial 
        condition and results of operations of the Bureau, and 
        the sources and application of funds of the Bureau, 
        including any funds appropriated in accordance with 
        this subsection.

           *       *       *       *       *       *       *


                Subtitle B--General Powers of the Bureau

SEC. 1021. PURPOSE, OBJECTIVES, AND FUNCTIONS.

  (a) Purpose.--The Bureau shall seek to implement and, where 
applicable, enforce Federal consumer financial law consistently 
for the purpose of ensuring that all consumers have access to 
markets for consumer financial products and services and that 
markets for consumer financial products and services are fair, 
transparent, and competitive.
  (b) Objectives.--The Bureau is authorized to exercise its 
authorities under Federal consumer financial law for the 
purposes of ensuring that, with respect to consumer financial 
products and services--
          (1) consumers are provided with timely and 
        understandable information to make responsible 
        decisions about financial transactions;
          (2) consumers are protected from unfair, deceptive, 
        or abusive acts and practices and from discrimination;
          (3) outdated, unnecessary, or unduly burdensome 
        regulations are regularly identified and addressed in 
        order to reduce unwarranted regulatory burdens;
          (4) Federal consumer financial law is enforced 
        consistently, without regard to the status of a person 
        as a depository institution, in order to promote fair 
        competition; and
          (5) markets for consumer financial products and 
        services operate transparently and efficiently to 
        facilitate access and innovation.
  (c) Functions.--The primary functions of the Bureau are--
          (1) conducting financial education programs;
          (2) collecting, investigating, and responding to 
        consumer complaints;
          (3) collecting, researching, monitoring, and 
        publishing information relevant to the functioning of 
        markets for consumer financial products and services to 
        identify risks to consumers and the proper functioning 
        of such markets;
          (4) subject to sections 1024 through 1026, 
        supervising covered persons for compliance with Federal 
        consumer financial law, and taking appropriate 
        enforcement action to address violations of Federal 
        consumer financial law;
          (5) issuing rules, orders, and guidance implementing 
        Federal consumer financial law; and
          (6) performing such support activities as may be 
        necessary or useful to facilitate the other functions 
        of the Bureau.

SEC. 1022. RULEMAKING AUTHORITY.

  (a) In General.--The Bureau is authorized to exercise its 
authorities under Federal consumer financial law to administer, 
enforce, and otherwise implement the provisions of Federal 
consumer financial law.
  (b) Rulemaking, Orders, and Guidance.--
          (1) General authority.-- The [Director] Board may 
        prescribe rules and issue orders and guidance, as may 
        be necessary or appropriate to enable the Bureau to 
        administer and carry out the purposes and objectives of 
        the Federal consumer financial laws, and to prevent 
        evasions thereof.
          (2) Standards for rulemaking.-- In prescribing a rule 
        under the Federal consumer financial laws--
                  (A) the Bureau shall consider--
                          (i) the potential benefits and costs 
                        to consumers and covered persons, 
                        including the potential reduction of 
                        access by consumers to consumer 
                        financial products or services 
                        resulting from such rule; and
                          (ii) the impact of proposed rules on 
                        covered persons, as described in 
                        section 1026, and the impact on 
                        consumers in rural areas;
                  (B) the Bureau shall consult with the 
                appropriate prudential regulators or other 
                Federal agencies prior to proposing a rule and 
                during the comment process regarding 
                consistency with prudential, market, or 
                systemic objectives administered by such 
                agencies; and
                  (C) if, during the consultation process 
                described in subparagraph (B), a prudential 
                regulator provides the Bureau with a written 
                objection to the proposed rule of the Bureau or 
                a portion thereof, the Bureau shall include in 
                the adopting release a description of the 
                objection and the basis for the Bureau 
                decision, if any, regarding such objection, 
                except that nothing in this clause shall be 
                construed as altering or limiting the 
                procedures under section 1023 that may apply to 
                any rule prescribed by the Bureau.
          (3) Exemptions.--
                  (A) In general.-- The Bureau, by rule, may 
                conditionally or unconditionally exempt any 
                class of covered persons, service providers, or 
                consumer financial products or services, from 
                any provision of this title, or from any rule 
                issued under this title, as the Bureau 
                determines necessary or appropriate to carry 
                out the purposes and objectives of this title, 
                taking into consideration the factors in 
                subparagraph (B).
                  (B) Factors.-- In issuing an exemption, as 
                permitted under subparagraph (A), the Bureau 
                shall, as appropriate, take into 
                consideration--
                          (i) the total assets of the class of 
                        covered persons;
                          (ii) the volume of transactions 
                        involving consumer financial products 
                        or services in which the class of 
                        covered persons engages; and
                          (iii) existing provisions of law 
                        which are applicable to the consumer 
                        financial product or service and the 
                        extent to which such provisions provide 
                        consumers with adequate protections.
          (4) Exclusive rulemaking authority.--
                  (A) In general.-- Notwithstanding any other 
                provisions of Federal law and except as 
                provided in section 1061(b)(5), to the extent 
                that a provision of Federal consumer financial 
                law authorizes the Bureau and another Federal 
                agency to issue regulations under that 
                provision of law for purposes of assuring 
                compliance with Federal consumer financial law 
                and any regulations thereunder, the Bureau 
                shall have the exclusive authority to prescribe 
                rules subject to those provisions of law.
                  (B) Deference.-- Notwithstanding any power 
                granted to any Federal agency or to the Council 
                under this title, and subject to section 
                1061(b)(5)(E), the deference that a court 
                affords to the Bureau with respect to a 
                determination by the Bureau regarding the 
                meaning or interpretation of any provision of a 
                Federal consumer financial law shall be applied 
                as if the Bureau were the only agency 
                authorized to apply, enforce, interpret, or 
                administer the provisions of such Federal 
                consumer financial law.
  (c) Monitoring.--
          (1) In general.-- In order to support its rulemaking 
        and other functions, the Bureau shall monitor for risks 
        to consumers in the offering or provision of consumer 
        financial products or services, including developments 
        in markets for such products or services.
          (2) Considerations.-- In allocating its resources to 
        perform the monitoring required by this section, the 
        Bureau may consider, among other factors--
                  (A) likely risks and costs to consumers 
                associated with buying or using a type of 
                consumer financial product or service;
                  (B) understanding by consumers of the risks 
                of a type of consumer financial product or 
                service;
                  (C) the legal protections applicable to the 
                offering or provision of a consumer financial 
                product or service, including the extent to 
                which the law is likely to adequately protect 
                consumers;
                  (D) rates of growth in the offering or 
                provision of a consumer financial product or 
                service;
                  (E) the extent, if any, to which the risks of 
                a consumer financial product or service may 
                disproportionately affect traditionally 
                underserved consumers; or
                  (F) the types, number, and other pertinent 
                characteristics of covered persons that offer 
                or provide the consumer financial product or 
                service.
          (3) Significant findings.--
                  (A) In general.-- The Bureau shall publish 
                not fewer than 1 report of significant findings 
                of its monitoring required by this subsection 
                in each calendar year, beginning with the first 
                calendar year that begins at least 1 year after 
                the designated transfer date.
                  (B) Confidential information.-- The Bureau 
                may make public such information obtained by 
                the Bureau under this section as is in the 
                public interest, through aggregated reports or 
                other appropriate formats designed to protect 
                confidential information in accordance with 
                paragraphs (4), (6), (8), and (9).
          (4) Collection of information.--
                  (A) In general.-- In conducting any 
                monitoring or assessment required by this 
                section, the Bureau shall have the authority to 
                gather information from time to time regarding 
                the organization, business conduct, markets, 
                and activities of covered persons and service 
                providers.
                  (B) Methodology.-- In order to gather 
                information described in subparagraph (A), the 
                Bureau may--
                          (i) gather and compile information 
                        from a variety of sources, including 
                        examination reports concerning covered 
                        persons or service providers, consumer 
                        complaints, voluntary surveys and 
                        voluntary interviews of consumers, 
                        surveys and interviews with covered 
                        persons and service providers, and 
                        review of available databases; and
                          (ii) require covered persons and 
                        service providers participating in 
                        consumer financial services markets to 
                        file with the Bureau, under oath or 
                        otherwise, in such form and within such 
                        reasonable period of time as the Bureau 
                        may prescribe by rule or order, annual 
                        or special reports, or answers in 
                        writing to specific questions, 
                        furnishing information described in 
                        paragraph (4), as necessary for the 
                        Bureau to fulfill the monitoring, 
                        assessment, and reporting 
                        responsibilities imposed by Congress.
                  (C) Limitation.-- The Bureau may not use its 
                authorities under this paragraph to obtain 
                records from covered persons and service 
                providers participating in consumer financial 
                services markets for purposes of gathering or 
                analyzing the personally identifiable financial 
                information of consumers.
          (5) Limited information gathering.-- In order to 
        assess whether a nondepository is a covered person, as 
        defined in section 1002, the Bureau may require such 
        nondepository to file with the Bureau, under oath or 
        otherwise, in such form and within such reasonable 
        period of time as the Bureau may prescribe by rule or 
        order, annual or special reports, or answers in writing 
        to specific questions.
          (6) Confidentiality rules.--
                  (A) Rulemaking.-- The Bureau shall prescribe 
                rules regarding the confidential treatment of 
                information obtained from persons in connection 
                with the exercise of its authorities under 
                Federal consumer financial law.
                  (B) Access by the bureau to reports of other 
                regulators.--
                          (i) Examination and financial 
                        condition reports.-- Upon providing 
                        reasonable assurances of 
                        confidentiality, the Bureau shall have 
                        access to any report of examination or 
                        financial condition made by a 
                        prudential regulator or other Federal 
                        agency having jurisdiction over a 
                        covered person or service provider, and 
                        to all revisions made to any such 
                        report.
                          (ii) Provision of other reports to 
                        the bureau.-- In addition to the 
                        reports described in clause (i), a 
                        prudential regulator or other Federal 
                        agency having jurisdiction over a 
                        covered person or service provider may, 
                        in its discretion, furnish to the 
                        Bureau any other report or other 
                        confidential supervisory information 
                        concerning any insured depository 
                        institution, credit union, or other 
                        entity examined by such agency under 
                        authority of any provision of Federal 
                        law.
                  (C) Access by other regulators to reports of 
                the bureau.--
                          (i) Examination reports.-- Upon 
                        providing reasonable assurances of 
                        confidentiality, a prudential 
                        regulator, a State regulator, or any 
                        other Federal agency having 
                        jurisdiction over a covered person or 
                        service provider shall have access to 
                        any report of examination made by the 
                        Bureau with respect to such person, and 
                        to all revisions made to any such 
                        report.
                          (ii) Provision of other reports to 
                        other regulators.-- In addition to the 
                        reports described in clause (i), the 
                        Bureau may, in its discretion, furnish 
                        to a prudential regulator or other 
                        agency having jurisdiction over a 
                        covered person or service provider any 
                        other report or other confidential 
                        supervisory information concerning such 
                        person examined by the Bureau under the 
                        authority of any other provision of 
                        Federal law.
          (7) Registration.--
                  (A) In general.-- The Bureau may prescribe 
                rules regarding registration requirements 
                applicable to a covered person, other than an 
                insured depository institution, insured credit 
                union, or related person.
                  (B) Registration information.-- Subject to 
                rules prescribed by the Bureau, the Bureau may 
                publicly disclose registration information to 
                facilitate the ability of consumers to identify 
                covered persons that are registered with the 
                Bureau.
                  (C) Consultation with state agencies.-- In 
                developing and implementing registration 
                requirements under this paragraph, the Bureau 
                shall consult with State agencies regarding 
                requirements or systems (including coordinated 
                or combined systems for registration), where 
                appropriate.
          (8) Privacy considerations.-- In collecting 
        information from any person, publicly releasing 
        information held by the Bureau, or requiring covered 
        persons to publicly report information, the Bureau 
        shall take steps to ensure that proprietary, personal, 
        or confidential consumer information that is protected 
        from public disclosure under section 552(b) or 552a of 
        title 5, United States Code, or any other provision of 
        law, is not made public under this title.
          (9) Consumer privacy.--
                  (A) In general.-- The Bureau may not obtain 
                from a covered person or service provider any 
                personally identifiable financial information 
                about a consumer from the financial records of 
                the covered person or service provider, 
                except--
                          (i) if the financial records are 
                        reasonably described in a request by 
                        the Bureau and the consumer provides 
                        written permission for the disclosure 
                        of such information by the covered 
                        person or service provider to the 
                        Bureau; or
                          (ii) as may be specifically permitted 
                        or required under other applicable 
                        provisions of law and in accordance 
                        with the Right to Financial Privacy Act 
                        of 1978 (12 U.S.C. 3401 et seq.).
                  (B) Treatment of covered person or service 
                provider.-- With respect to the application of 
                any provision of the Right to Financial Privacy 
                Act of 1978, to a disclosure by a covered 
                person or service provider subject to this 
                subsection, the covered person or service 
                provider shall be treated as if it were a 
                ``financial institution'', as defined in 
                section 1101 of that Act (12 U.S.C. 3401).
  (d) Assessment of Significant Rules.--
          (1) In general.-- The Bureau shall conduct an 
        assessment of each significant rule or order adopted by 
        the Bureau under Federal consumer financial law. The 
        assessment shall address, among other relevant factors, 
        the effectiveness of the rule or order in meeting the 
        purposes and objectives of this title and the specific 
        goals stated by the Bureau. The assessment shall 
        reflect available evidence and any data that the Bureau 
        reasonably may collect.
          (2) Reports.-- The Bureau shall publish a report of 
        its assessment under this subsection not later than 5 
        years after the effective date of the subject rule or 
        order.
          (3) Public comment required.-- Before publishing a 
        report of its assessment, the Bureau shall invite 
        public comment on recommendations for modifying, 
        expanding, or eliminating the newly adopted significant 
        rule or order.

SEC. 1023. REVIEW OF BUREAU REGULATIONS.

  (a) Review of Bureau Regulations.--On the petition of a 
member agency of the Council, the Council may set aside a final 
regulation prescribed by the Bureau, or any provision thereof, 
if the Council decides, in accordance with subsection (c), that 
the regulation or provision would put the safety and soundness 
of the United States banking system or the stability of the 
financial system of the United States at risk.
  (b) Petition.--
          (1) Procedure.-- An agency represented by a member of 
        the Council may petition the Council, in writing, and 
        in accordance with rules prescribed pursuant to 
        subsection (f), to stay the effectiveness of, or set 
        aside, a regulation if the member agency filing the 
        petition--
                  (A) has in good faith attempted to work with 
                the Bureau to resolve concerns regarding the 
                effect of the rule on the safety and soundness 
                of the United States banking system or the 
                stability of the financial system of the United 
                States; and
                  (B) files the petition with the Council not 
                later than 10 days after the date on which the 
                regulation has been published in the Federal 
                Register.
          (2) Publication.-- Any petition filed with the 
        Council under this section shall be published in the 
        Federal Register and transmitted contemporaneously with 
        filing to the Committee on Banking, Housing, and Urban 
        Affairs of the Senate and the Committee on Financial 
        Services of the House of Representatives.
  (c) Stays and Set Asides.--
          (1) Stay.--
                  (A) In general.-- Upon the request of any 
                member agency, the Chairperson of the Council 
                may stay the effectiveness of a regulation for 
                the purpose of allowing appropriate 
                consideration of the petition by the Council.
                  (B) Expiration.-- A stay issued under this 
                paragraph shall expire on the earlier of--
                          (i) 90 days after the date of filing 
                        of the petition under subsection (b); 
                        or
                          (ii) the date on which the Council 
                        makes a decision under paragraph (3).
          (2) No adverse inference.-- After the expiration of 
        any stay imposed under this section, no inference shall 
        be drawn regarding the validity or enforceability of a 
        regulation which was the subject of the petition.
          (3) Vote.--
                  (A) In general.-- The decision to issue a 
                stay of, or set aside, any regulation under 
                this section shall be made only with the 
                affirmative vote in accordance with 
                subparagraph (B) of \2/3\ of the members of the 
                Council then serving.
                  (B) Authorization to vote.-- A member of the 
                Council may vote to stay the effectiveness of, 
                or set aside, a final regulation prescribed by 
                the Bureau only if the agency or department 
                represented by that member has--
                          (i) considered any relevant 
                        information provided by the agency 
                        submitting the petition and by the 
                        Bureau; and
                          (ii) made an official determination, 
                        at a public meeting where applicable, 
                        that the regulation which is the 
                        subject of the petition would put the 
                        safety and soundness of the United 
                        States banking system or the stability 
                        of the financial system of the United 
                        States at risk.
          (4) Decisions to set aside.--
                  (A) Effect of decision.-- A decision by the 
                Council to set aside a regulation prescribed by 
                the Bureau, or provision thereof, shall render 
                such regulation, or provision thereof, 
                unenforceable.
                  (B) Timely action required.-- The Council may 
                not issue a decision to set aside a regulation, 
                or provision thereof, which is the subject of a 
                petition under this section after the 
                expiration of the later of--
                          (i) 45 days following the date of 
                        filing of the petition, unless a stay 
                        is issued under paragraph (1); or
                          (ii) the expiration of a stay issued 
                        by the Council under this section.
                  (C) Separate authority.-- The issuance of a 
                stay under this section does not affect the 
                authority of the Council to set aside a 
                regulation.
          (5) Dismissal due to inaction.-- A petition under 
        this section shall be deemed dismissed if the Council 
        has not issued a decision to set aside a regulation, or 
        provision thereof, within the period for timely action 
        under paragraph (4)(B).
          (6) Publication of decision.-- Any decision under 
        this subsection to issue a stay of, or set aside, a 
        regulation or provision thereof shall be published by 
        the Council in the Federal Register as soon as 
        practicable after the decision is made, with an 
        explanation of the reasons for the decision.
          (7) Rulemaking procedures inapplicable.-- The notice 
        and comment procedures under section 553 of title 5, 
        United States Code, shall not apply to any decision 
        under this section of the Council to issue a stay of, 
        or set aside, a regulation.
          (8) Judicial review of decisions by the council.-- A 
        decision by the Council to set aside a regulation 
        prescribed by the Bureau, or provision thereof, shall 
        be subject to review under chapter 7 of title 5, United 
        States Code.
  (d) Application of Other Law.--Nothing in this section shall 
be construed as altering, limiting, or restricting the 
application of any other provision of law, except as otherwise 
specifically provided in this section, including chapter 5 and 
chapter 7 of title 5, United States Code, to a regulation which 
is the subject of a petition filed under this section.
  (e) Savings Clause.--Nothing in this section shall be 
construed as limiting or restricting the Bureau from engaging 
in a rulemaking in accordance with applicable law.
  (f) Implementing Rules.--The Council shall prescribe 
procedural rules to implement this section.

SEC. 1024. SUPERVISION OF NONDEPOSITORY COVERED PERSONS.

  (a) Scope of Coverage.--
          (1) Applicability.-- Notwithstanding any other 
        provision of this title, and except as provided in 
        paragraph (3), this section shall apply to any covered 
        person who--
                  (A) offers or provides origination, 
                brokerage, or servicing of loans secured by 
                real estate for use by consumers primarily for 
                personal, family, or household purposes, or 
                loan modification or foreclosure relief 
                services in connection with such loans;
                  (B) is a larger participant of a market for 
                other consumer financial products or services, 
                as defined by rule in accordance with paragraph 
                (2);
                  (C) the Bureau has reasonable cause to 
                determine, by order, after notice to the 
                covered person and a reasonable opportunity for 
                such covered person to respond, based on 
                complaints collected through the system under 
                section 1013(b)(3) or information from other 
                sources, that such covered person is engaging, 
                or has engaged, in conduct that poses risks to 
                consumers with regard to the offering or 
                provision of consumer financial products or 
                services;
                  (D) offers or provides to a consumer any 
                private education loan, as defined in section 
                140 of the Truth in Lending Act (15 U.S.C. 
                1650), notwithstanding section 1027(a)(2)(A) 
                and subject to section 1027(a)(2)(C); or
                  (E) offers or provides to a consumer a payday 
                loan.
          (2) Rulemaking to define covered persons subject to 
        this section.-- The Bureau shall consult with the 
        Federal Trade Commission prior to issuing a rule, in 
        accordance with paragraph (1)(B), to define covered 
        persons subject to this section. The Bureau shall issue 
        its initial rule not later than 1 year after the 
        designated transfer date.
          (3) Rules of construction.--
                  (A) Certain persons excluded.-- This section 
                shall not apply to persons described in section 
                1025(a) or 1026(a).
                  (B) Activity levels.-- For purposes of 
                computing activity levels under paragraph (1) 
                or rules issued thereunder, activities of 
                affiliated companies (other than insured 
                depository institutions or insured credit 
                unions) shall be aggregated.
  (b) Supervision.--
          (1) In general.-- The Bureau shall require reports 
        and conduct examinations on a periodic basis of persons 
        described in subsection (a)(1) for purposes of--
                  (A) assessing compliance with the 
                requirements of Federal consumer financial law;
                  (B) obtaining information about the 
                activities and compliance systems or procedures 
                of such person; and
                  (C) detecting and assessing risks to 
                consumers and to markets for consumer financial 
                products and services.
          (2) Risk-based supervision program.-- The Bureau 
        shall exercise its authority under paragraph (1) in a 
        manner designed to ensure that such exercise, with 
        respect to persons described in subsection (a)(1), is 
        based on the assessment by the Bureau of the risks 
        posed to consumers in the relevant product markets and 
        geographic markets, and taking into consideration, as 
        applicable--
                  (A) the asset size of the covered person;
                  (B) the volume of transactions involving 
                consumer financial products or services in 
                which the covered person engages;
                  (C) the risks to consumers created by the 
                provision of such consumer financial products 
                or services;
                  (D) the extent to which such institutions are 
                subject to oversight by State authorities for 
                consumer protection; and
                  (E) any other factors that the Bureau 
                determines to be relevant to a class of covered 
                persons.
          (3) Coordination.-- To minimize regulatory burden, 
        the Bureau shall coordinate its supervisory activities 
        with the supervisory activities conducted by prudential 
        regulators, the State bank regulatory authorities, and 
        the State agencies that licence, supervise, or examine 
        the offering of consumer financial products or 
        services, including establishing their respective 
        schedules for examining persons described in subsection 
        (a)(1) and requirements regarding reports to be 
        submitted by such persons. The sharing of information 
        with such regulators, authorities, and agencies shall 
        not be construed as waiving, destroying, or otherwise 
        affecting any privilege or confidentiality such person 
        may claim with respect to such information under 
        Federal or State law as to any person or entity other 
        than such Bureau, agency, supervisor, or authority.
          (4) Use of existing reports.-- The Bureau shall, to 
        the fullest extent possible, use--
                  (A) reports pertaining to persons described 
                in subsection (a)(1) that have been provided or 
                required to have been provided to a Federal or 
                State agency; and
                  (B) information that has been reported 
                publicly.
          (5) Preservation of authority.-- Nothing in this 
        title may be construed as limiting the authority of the 
        [Director] Board to require reports from persons 
        described in subsection (a)(1), as permitted under 
        paragraph (1), regarding information owned or under the 
        control of such person, regardless of whether such 
        information is maintained, stored, or processed by 
        another person.
          (6) Reports of tax law noncompliance.-- The Bureau 
        shall provide the Commissioner of Internal Revenue with 
        any report of examination or related information 
        identifying possible tax law noncompliance.
          (7) Registration, recordkeeping and other 
        requirements for certain persons.--
                  (A) In general.-- The Bureau shall prescribe 
                rules to facilitate supervision of persons 
                described in subsection (a)(1) and assessment 
                and detection of risks to consumers.
                  (B) Recordkeeping.-- The Bureau may require a 
                person described in subsection (a)(1), to 
                generate, provide, or retain records for the 
                purposes of facilitating supervision of such 
                persons and assessing and detecting risks to 
                consumers.
                  (C) Requirements concerning obligations.-- 
                The Bureau may prescribe rules regarding a 
                person described in subsection (a)(1), to 
                ensure that such persons are legitimate 
                entities and are able to perform their 
                obligations to consumers. Such requirements may 
                include background checks for principals, 
                officers, directors, or key personnel and 
                bonding or other appropriate financial 
                requirements.
                  (D) Consultation with state agencies.-- In 
                developing and implementing requirements under 
                this paragraph, the Bureau shall consult with 
                State agencies regarding requirements or 
                systems (including coordinated or combined 
                systems for registration), where appropriate.
  (c) Enforcement Authority.--
          (1) The bureau to have enforcement authority.-- 
        Except as provided in paragraph (3) and section 1061, 
        with respect to any person described in subsection 
        (a)(1), to the extent that Federal law authorizes the 
        Bureau and another Federal agency to enforce Federal 
        consumer financial law, the Bureau shall have exclusive 
        authority to enforce that Federal consumer financial 
        law.
          (2) Referral.-- Any Federal agency authorized to 
        enforce a Federal consumer financial law described in 
        paragraph (1) may recommend in writing to the Bureau 
        that the Bureau initiate an enforcement proceeding, as 
        the Bureau is authorized by that Federal law or by this 
        title.
          (3) Coordination with the federal trade commission.--
                  (A) In general.-- The Bureau and the Federal 
                Trade Commission shall negotiate an agreement 
                for coordinating with respect to enforcement 
                actions by each agency regarding the offering 
                or provision of consumer financial products or 
                services by any covered person that is 
                described in subsection (a)(1), or service 
                providers thereto. The agreement shall include 
                procedures for notice to the other agency, 
                where feasible, prior to initiating a civil 
                action to enforce any Federal law regarding the 
                offering or provision of consumer financial 
                products or services.
                  (B) Civil actions.-- Whenever a civil action 
                has been filed by, or on behalf of, the Bureau 
                or the Federal Trade Commission for any 
                violation of any provision of Federal law 
                described in subparagraph (A), or any 
                regulation prescribed under such provision of 
                law--
                          (i) the other agency may not, during 
                        the pendency of that action, institute 
                        a civil action under such provision of 
                        law against any defendant named in the 
                        complaint in such pending action for 
                        any violation alleged in the complaint; 
                        and
                          (ii) the Bureau or the Federal Trade 
                        Commission may intervene as a party in 
                        any such action brought by the other 
                        agency, and, upon intervening--
                                  (I) be heard on all matters 
                                arising in such enforcement 
                                action; and
                                  (II) file petitions for 
                                appeal in such actions.
                  (C) Agreement terms.-- The terms of any 
                agreement negotiated under subparagraph (A) may 
                modify or supersede the provisions of 
                subparagraph (B).
                  (D) Deadline.-- The agencies shall reach the 
                agreement required under subparagraph (A) not 
                later than 6 months after the designated 
                transfer date.
  (d) Exclusive Rulemaking and Examination Authority.--
Notwithstanding any other provision of Federal law and except 
as provided in section 1061, to the extent that Federal law 
authorizes the Bureau and another Federal agency to issue 
regulations or guidance, conduct examinations, or require 
reports from a person described in subsection (a)(1) under such 
law for purposes of assuring compliance with Federal consumer 
financial law and any regulations thereunder, the Bureau shall 
have the exclusive authority to prescribe rules, issue 
guidance, conduct examinations, require reports, or issue 
exemptions with regard to a person described in subsection 
(a)(1), subject to those provisions of law.
  (e) Service Providers.--A service provider to a person 
described in subsection (a)(1) shall be subject to the 
authority of the Bureau under this section, to the same extent 
as if such service provider were engaged in a service 
relationship with a bank, and the Bureau were an appropriate 
Federal banking agency under section 7(c) of the Bank Service 
Company Act (12 U.S.C. 1867(c)). In conducting any examination 
or requiring any report from a service provider subject to this 
subsection, the Bureau shall coordinate with the appropriate 
prudential regulator, as applicable.
  (f) Preservation of Farm Credit Administration Authority.--No 
provision of this title may be construed as modifying, 
limiting, or otherwise affecting the authority of the Farm 
Credit Administration.

SEC. 1025. SUPERVISION OF VERY LARGE BANKS, SAVINGS ASSOCIATIONS, AND 
                    CREDIT UNIONS.

  (a) Scope of Coverage.--This section shall apply to any 
covered person that is--
          (1) an insured depository institution with total 
        assets of more than $10,000,000,000 and any affiliate 
        thereof; or
          (2) an insured credit union with total assets of more 
        than $10,000,000,000 and any affiliate thereof.
  (b) Supervision.--
          (1) In general.-- The Bureau shall have exclusive 
        authority to require reports and conduct examinations 
        on a periodic basis of persons described in subsection 
        (a) for purposes of--
                  (A) assessing compliance with the 
                requirements of Federal consumer financial 
                laws;
                  (B) obtaining information about the 
                activities subject to such laws and the 
                associated compliance systems or procedures of 
                such persons; and
                  (C) detecting and assessing associated risks 
                to consumers and to markets for consumer 
                financial products and services.
          (2) Coordination.-- To minimize regulatory burden, 
        the Bureau shall coordinate its supervisory activities 
        with the supervisory activities conducted by prudential 
        regulators and the State bank regulatory authorities, 
        including consultation regarding their respective 
        schedules for examining such persons described in 
        subsection (a) and requirements regarding reports to be 
        submitted by such persons.
          (3) Use of existing reports.-- The Bureau shall, to 
        the fullest extent possible, use--
                  (A) reports pertaining to a person described 
                in subsection (a) that have been provided or 
                required to have been provided to a Federal or 
                State agency; and
                  (B) information that has been reported 
                publicly.
          (4) Preservation of authority.-- Nothing in this 
        title may be construed as limiting the authority of the 
        [Director] Board to require reports from a person 
        described in subsection (a), as permitted under 
        paragraph (1), regarding information owned or under the 
        control of such person, regardless of whether such 
        information is maintained, stored, or processed by 
        another person.
          (5) Reports of tax law noncompliance.-- The Bureau 
        shall provide the Commissioner of Internal Revenue with 
        any report of examination or related information 
        identifying possible tax law noncompliance.
  (c) Primary Enforcement Authority.--
          (1) The bureau to have primary enforcement 
        authority.-- To the extent that the Bureau and another 
        Federal agency are authorized to enforce a Federal 
        consumer financial law, the Bureau shall have primary 
        authority to enforce that Federal consumer financial 
        law with respect to any person described in subsection 
        (a).
          (2) Referral.-- Any Federal agency, other than the 
        Federal Trade Commission, that is authorized to enforce 
        a Federal consumer financial law may recommend, in 
        writing, to the Bureau that the Bureau initiate an 
        enforcement proceeding with respect to a person 
        described in subsection (a), as the Bureau is 
        authorized to do by that Federal consumer financial 
        law.
          (3) Backup enforcement authority of other federal 
        agency.-- If the Bureau does not, before the end of the 
        120-day period beginning on the date on which the 
        Bureau receives a recommendation under paragraph (2), 
        initiate an enforcement proceeding, the other agency 
        referred to in paragraph (2) may initiate an 
        enforcement proceeding, including performing follow up 
        supervisory and support functions incidental thereto, 
        to assure compliance with such proceeding.
  (d) Service Providers.--A service provider to a person 
described in subsection (a) shall be subject to the authority 
of the Bureau under this section, to the same extent as if the 
Bureau were an appropriate Federal banking agency under section 
7(c) of the Bank Service Company Act 12 U.S.C. 1867(c). In 
conducting any examination or requiring any report from a 
service provider subject to this subsection, the Bureau shall 
coordinate with the appropriate prudential regulator.
  (e) Simultaneous and Coordinated Supervisory Action.--
          (1) Examinations.-- A prudential regulator and the 
        Bureau shall, with respect to each insured depository 
        institution, insured credit union, or other covered 
        person described in subsection (a) that is supervised 
        by the prudential regulator and the Bureau, 
        respectively--
                  (A) coordinate the scheduling of examinations 
                of the insured depository institution, insured 
                credit union, or other covered person described 
                in subsection (a);
                  (B) conduct simultaneous examinations of each 
                insured depository institution or insured 
                credit union, unless such institution requests 
                examinations to be conducted separately;
                  (C) share each draft report of examination 
                with the other agency and permit the receiving 
                agency a reasonable opportunity (which shall 
                not be less than a period of 30 days after the 
                date of receipt) to comment on the draft report 
                before such report is made final; and
                  (D) prior to issuing a final report of 
                examination or taking supervisory action, take 
                into consideration concerns, if any, raised in 
                the comments made by the other agency.
          (2) Coordination with state bank supervisors.-- The 
        Bureau shall pursue arrangements and agreements with 
        State bank supervisors to coordinate examinations, 
        consistent with paragraph (1).
          (3) Avoidance of conflict in supervision.--
                  (A) Request.-- If the proposed supervisory 
                determinations of the Bureau and a prudential 
                regulator (in this section referred to 
                collectively as the ``agencies'') are 
                conflicting, an insured depository institution, 
                insured credit union, or other covered person 
                described in subsection (a) may request the 
                agencies to coordinate and present a joint 
                statement of coordinated supervisory action.
                  (B) Joint statement.-- The agencies shall 
                provide a joint statement under subparagraph 
                (A), not later than 30 days after the date of 
                receipt of the request of the insured 
                depository institution, credit union, or 
                covered person described in subsection (a).
          (4) Appeals to governing panel.--
                  (A) In general.-- If the agencies do not 
                resolve the conflict or issue a joint statement 
                required by subparagraph (B), or if either of 
                the agencies takes or attempts to take any 
                supervisory action relating to the request for 
                the joint statement without the consent of the 
                other agency, an insured depository 
                institution, insured credit union, or other 
                covered person described in subsection (a) may 
                institute an appeal to a governing panel, as 
                provided in this subsection, not later than 30 
                days after the expiration of the period during 
                which a joint statement is required to be filed 
                under paragraph (3)(B).
                  (B) Composition of governing panel.-- The 
                governing panel for an appeal under this 
                paragraph shall be composed of--
                          (i) a representative from the Bureau 
                        and a representative of the prudential 
                        regulator, both of whom--
                                  (I) have not participated in 
                                the material supervisory 
                                determinations under appeal; 
                                and
                                  (II) do not directly or 
                                indirectly report to the person 
                                who participated materially in 
                                the supervisory determinations 
                                under appeal; and
                          (ii) one individual representative, 
                        to be determined on a rotating basis, 
                        from among the Board of Governors, the 
                        Corporation, the National Credit Union 
                        Administration, and the Office of the 
                        Comptroller of the Currency, other than 
                        any agency involved in the subject 
                        dispute.
                  (C) Conduct of appeal.-- In an appeal under 
                this paragraph--
                          (i) the insured depository 
                        institution, insured credit union, or 
                        other covered person described in 
                        subsection (a)--
                                  (I) shall include in its 
                                appeal all the facts and legal 
                                arguments pertaining to the 
                                matter; and
                                  (II) may, through counsel, 
                                employees, or representatives, 
                                appear before the governing 
                                panel in person or by 
                                telephone; and
                          (ii) the governing panel--
                                  (I) may request the insured 
                                depository institution, insured 
                                credit union, or other covered 
                                person described in subsection 
                                (a), the Bureau, or the 
                                prudential regulator to produce 
                                additional information relevant 
                                to the appeal; and
                                  (II) by a majority vote of 
                                its members, shall provide a 
                                final determination, in 
                                writing, not later than 30 days 
                                after the date of filing of an 
                                informationally complete 
                                appeal, or such longer period 
                                as the panel and the insured 
                                depository institution, insured 
                                credit union, or other covered 
                                person described in subsection 
                                (a) may jointly agree.
                  (D) Public availability of determinations.-- 
                A governing panel shall publish all information 
                contained in a determination by the governing 
                panel, with appropriate redactions of 
                information that would be subject to an 
                exemption from disclosure under section 552 of 
                title 5, United States Code.
                  (E) Prohibition against retaliation.-- The 
                Bureau and the prudential regulators shall 
                prescribe rules to provide safeguards from 
                retaliation against the insured depository 
                institution, insured credit union, or other 
                covered person described in subsection (a) 
                instituting an appeal under this paragraph, as 
                well as their officers and employees.
                  (F) Limitation.-- The process provided in 
                this paragraph shall not apply to a 
                determination by a prudential regulator to 
                appoint a conservator or receiver for an 
                insured depository institution or a liquidating 
                agent for an insured credit union, as the case 
                may be, or a decision to take action pursuant 
                to section 38 of the Federal Deposit Insurance 
                Act (12 U.S.C. 1831o) or section 212 of the 
                Federal Credit Union Act (112 U.S.C. 1790a), as 
                applicable.
                  (G) Effect on other authority.-- Nothing in 
                this section shall modify or limit the 
                authority of the Bureau to interpret, or take 
                enforcement action under, any Federal consumer 
                financial law, or the authority of a prudential 
                regulator to interpret or take enforcement 
                action under any other provision of Federal law 
                for safety and soundness purposes.

SEC. 1026. OTHER BANKS, SAVINGS ASSOCIATIONS, AND CREDIT UNIONS.

  (a) Scope of Coverage.--This section shall apply to any 
covered person that is--
          (1) an insured depository institution with total 
        assets of $10,000,000,000 or less; or
          (2) an insured credit union with total assets of 
        $10,000,000,000 or less.
  (b) Reports.--The [Director] Board may require reports from a 
person described in subsection (a), as necessary to support the 
role of the Bureau in implementing Federal consumer financial 
law, to support its examination activities under subsection 
(c), and to assess and detect risks to consumers and consumer 
financial markets.
          (1) Use of existing reports.-- The Bureau shall, to 
        the fullest extent possible, use--
                  (A) reports pertaining to a person described 
                in subsection (a) that have been provided or 
                required to have been provided to a Federal or 
                State agency; and
                  (B) information that has been reported 
                publicly.
          (2) Preservation of authority.-- Nothing in this 
        subsection may be construed as limiting the authority 
        of the [Director] Board from requiring from a person 
        described in subsection (a), as permitted under 
        paragraph (1), information owned or under the control 
        of such person, regardless of whether such information 
        is maintained, stored, or processed by another person.
          (3) Reports of tax law noncompliance.-- The Bureau 
        shall provide the Commissioner of Internal Revenue with 
        any report of examination or related information 
        identifying possible tax law noncompliance.
  (c) Examinations.--
          (1) In general.-- The Bureau may, at its discretion, 
        include examiners on a sampling basis of the 
        examinations performed by the prudential regulator to 
        assess compliance with the requirements of Federal 
        consumer financial law of persons described in 
        subsection (a).
          (2) Agency coordination.-- The prudential regulator 
        shall--
                  (A) provide all reports, records, and 
                documentation related to the examination 
                process for any institution included in the 
                sample referred to in paragraph (1) to the 
                Bureau on a timely and continual basis;
                  (B) involve such Bureau examiner in the 
                entire examination process for such person; and
                  (C) consider input of the Bureau concerning 
                the scope of an examination, conduct of the 
                examination, the contents of the examination 
                report, the designation of matters requiring 
                attention, and examination ratings.
  (d) Enforcement.--
          (1) In general.-- Except for requiring reports under 
        subsection (b), the prudential regulator is authorized 
        to enforce the requirements of Federal consumer 
        financial laws and, with respect to a covered person 
        described in subsection (a), shall have exclusive 
        authority (relative to the Bureau) to enforce such 
        laws.
          (2) Coordination with prudential regulator.--
                  (A) Referral.-- When the Bureau has reason to 
                believe that a person described in subsection 
                (a) has engaged in a material violation of a 
                Federal consumer financial law, the Bureau 
                shall notify the prudential regulator in 
                writing and recommend appropriate action to 
                respond.
                  (B) Response.-- Upon receiving a 
                recommendation under subparagraph (A), the 
                prudential regulator shall provide a written 
                response to the Bureau not later than 60 days 
                thereafter.
  (e) Service Providers.--A service provider to a substantial 
number of persons described in subsection (a) shall be subject 
to the authority of the Bureau under section 1025 to the same 
extent as if the Bureau were an appropriate Federal bank agency 
under section 7(c) of the Bank Service Company Act (12 U.S.C. 
1867(c)). When conducting any examination or requiring any 
report from a service provider subject to this subsection, the 
Bureau shall coordinate with the appropriate prudential 
regulator.

SEC. 1027. LIMITATIONS ON AUTHORITIES OF THE BUREAU; PRESERVATION OF 
                    AUTHORITIES.

  (a) Exclusion for Merchants, Retailers, and Other Sellers of 
Nonfinancial Goods or Services.--
          (1) Sale or brokerage of nonfinancial good or 
        service.-- The Bureau may not exercise any rulemaking, 
        supervisory, enforcement or other authority under this 
        title with respect to a person who is a merchant, 
        retailer, or seller of any nonfinancial good or service 
        and is engaged in the sale or brokerage of such 
        nonfinancial good or service, except to the extent that 
        such person is engaged in offering or providing any 
        consumer financial product or service, or is otherwise 
        subject to any enumerated consumer law or any law for 
        which authorities are transferred under subtitle F or 
        H.
          (2) Offering or provision of certain consumer 
        financial products or services in connection with the 
        sale or brokerage of nonfinancial good or service.--
                  (A) In general.-- Except as provided in 
                subparagraph (B), and subject to subparagraph 
                (C), the Bureau may not exercise any 
                rulemaking, supervisory, enforcement, or other 
                authority under this title with respect to a 
                merchant, retailer, or seller of nonfinancial 
                goods or services, but only to the extent that 
                such person--
                          (i) extends credit directly to a 
                        consumer, in a case in which the good 
                        or service being provided is not itself 
                        a consumer financial product or service 
                        (other than credit described in this 
                        subparagraph), exclusively for the 
                        purpose of enabling that consumer to 
                        purchase such nonfinancial good or 
                        service directly from the merchant, 
                        retailer, or seller;
                          (ii) directly, or through an 
                        agreement with another person, collects 
                        debt arising from credit extended as 
                        described in clause (i); or
                          (iii) sells or conveys debt described 
                        in clause (i) that is delinquent or 
                        otherwise in default.
                  (B) Applicability.-- Subparagraph (A) does 
                not apply to any credit transaction or 
                collection of debt, other than as described in 
                subparagraph (C)(i), arising from a transaction 
                described in subparagraph (A)--
                          (i) in which the merchant, retailer, 
                        or seller of nonfinancial goods or 
                        services assigns, sells or otherwise 
                        conveys to another person such debt 
                        owed by the consumer (except for a sale 
                        of debt that is delinquent or otherwise 
                        in default, as described in 
                        subparagraph (A)(iii));
                          (ii) in which the credit extended 
                        significantly exceeds the market value 
                        of the nonfinancial good or service 
                        provided, or the Bureau otherwise finds 
                        that the sale of the nonfinancial good 
                        or service is done as a subterfuge, so 
                        as to evade or circumvent the 
                        provisions of this title; or
                          (iii) in which the merchant, 
                        retailer, or seller of nonfinancial 
                        goods or services regularly extends 
                        credit and the credit is subject to a 
                        finance charge.
                  (C) Limitations.--
                          (i) In general.-- Notwithstanding 
                        subparagraph (B), subparagraph (A) 
                        shall apply with respect to a merchant, 
                        retailer, or seller of nonfinancial 
                        goods or services that is not engaged 
                        significantly in offering or providing 
                        consumer financial products or 
                        services.
                          (ii) Exception.-- Subparagraph (A) 
                        and clause (i) of this subparagraph do 
                        not apply to any merchant, retailer, or 
                        seller of nonfinancial goods or 
                        services--
                                  (I) if such merchant, 
                                retailer, or seller of 
                                nonfinancial goods or services 
                                is engaged in a transaction 
                                described in subparagraph 
                                (B)(i) or (B)(ii); or
                                  (II) to the extent that such 
                                merchant, retailer, or seller 
                                is subject to any enumerated 
                                consumer law or any law for 
                                which authorities are 
                                transferred under subtitle F or 
                                H, but the Bureau may exercise 
                                such authority only with 
                                respect to that law.
                  (D) Rules.--
                          (i) Authority of other agencies.-- No 
                        provision of this title shall be 
                        construed as modifying, limiting, or 
                        superseding the supervisory or 
                        enforcement authority of the Federal 
                        Trade Commission or any other agency 
                        (other than the Bureau) with respect to 
                        credit extended, or the collection of 
                        debt arising from such extension, 
                        directly by a merchant or retailer to a 
                        consumer exclusively for the purpose of 
                        enabling that consumer to purchase 
                        nonfinancial goods or services directly 
                        from the merchant or retailer.
                          (ii) Small businesses.-- A merchant, 
                        retailer, or seller of nonfinancial 
                        goods or services that would otherwise 
                        be subject to the authority of the 
                        Bureau solely by virtue of the 
                        application of subparagraph (B)(iii) 
                        shall be deemed not to be engaged 
                        significantly in offering or providing 
                        consumer financial products or services 
                        under subparagraph (C)(i), if such 
                        person--
                                  (I) only extends credit for 
                                the sale of nonfinancial goods 
                                or services, as described in 
                                subparagraph (A)(i);
                                  (II) retains such credit on 
                                its own accounts (except to 
                                sell or convey such debt that 
                                is delinquent or otherwise in 
                                default); and
                                  (III) meets the relevant 
                                industry size threshold to be a 
                                small business concern, based 
                                on annual receipts, pursuant to 
                                section 3 of the Small Business 
                                Act (15 U.S.C. 632) and the 
                                implementing rules thereunder.
                          (iii) Initial year.-- A merchant, 
                        retailer, or seller of nonfinancial 
                        goods or services shall be deemed to 
                        meet the relevant industry size 
                        threshold described in clause (ii)(III) 
                        during the first year of operations of 
                        that business concern if, during that 
                        year, the receipts of that business 
                        concern reasonably are expected to meet 
                        that size threshold.
                          (iv) Other standards for small 
                        business.-- With respect to a merchant, 
                        retailer, or seller of nonfinancial 
                        goods or services that is a classified 
                        on a basis other than annual receipts 
                        for the purposes of section 3 of the 
                        Small Business Act (15 U.S.C. 632) and 
                        the implementing rules thereunder, such 
                        merchant, retailer, or seller shall be 
                        deemed to meet the relevant industry 
                        size threshold described in clause 
                        (ii)(III) if such merchant, retailer, 
                        or seller meets the relevant industry 
                        size threshold to be a small business 
                        concern based on the number of 
                        employees, or other such applicable 
                        measure, established under that Act.
                  (E) Exception from state enforcement.-- To 
                the extent that the Bureau may not exercise 
                authority under this subsection with respect to 
                a merchant, retailer, or seller of nonfinancial 
                goods or services, no action by a State 
                attorney general or State regulator with 
                respect to a claim made under this title may be 
                brought under subsection 1042(a), with respect 
                to an activity described in any of clauses (i) 
                through (iii) of subparagraph (A) by such 
                merchant, retailer, or seller of nonfinancial 
                goods or services.
  (b) Exclusion for Real Estate Brokerage Activities.--
          (1) Real estate brokerage activities excluded.-- 
        Without limiting subsection (a), and except as 
        permitted in paragraph (2), the Bureau may not exercise 
        any rulemaking, supervisory, enforcement, or other 
        authority under this title with respect to a person 
        that is licensed or registered as a real estate broker 
        or real estate agent, in accordance with State law, to 
        the extent that such person--
                  (A) acts as a real estate agent or broker for 
                a buyer, seller, lessor, or lessee of real 
                property;
                  (B) brings together parties interested in the 
                sale, purchase, lease, rental, or exchange of 
                real property;
                  (C) negotiates, on behalf of any party, any 
                portion of a contract relating to the sale, 
                purchase, lease, rental, or exchange of real 
                property (other than in connection with the 
                provision of financing with respect to any such 
                transaction); or
                  (D) offers to engage in any activity, or act 
                in any capacity, described in subparagraph (A), 
                (B), or (C).
          (2) Description of activities.-- The Bureau may 
        exercise rulemaking, supervisory, enforcement, or other 
        authority under this title with respect to a person 
        described in paragraph (1) when such person is--
                  (A) engaged in an activity of offering or 
                providing any consumer financial product or 
                service, except that the Bureau may exercise 
                such authority only with respect to that 
                activity; or
                  (B) otherwise subject to any enumerated 
                consumer law or any law for which authorities 
                are transferred under subtitle F or H, but the 
                Bureau may exercise such authority only with 
                respect to that law.
  (c) Exclusion for Manufactured Home Retailers and Modular 
Home Retailers.--
          (1) In general.-- The [Director] Board may not 
        exercise any rulemaking, supervisory, enforcement, or 
        other authority over a person to the extent that--
                  (A) such person is not described in paragraph 
                (2); and
                  (B) such person--
                          (i) acts as an agent or broker for a 
                        buyer or seller of a manufactured home 
                        or a modular home;
                          (ii) facilitates the purchase by a 
                        consumer of a manufactured home or 
                        modular home, by negotiating the 
                        purchase price or terms of the sales 
                        contract (other than providing 
                        financing with respect to such 
                        transaction); or
                          (iii) offers to engage in any 
                        activity described in clause (i) or 
                        (ii).
          (2) Description of activities.-- A person is 
        described in this paragraph to the extent that such 
        person is engaged in the offering or provision of any 
        consumer financial product or service or is otherwise 
        subject to any enumerated consumer law or any law for 
        which authorities are transferred under subtitle F or 
        H.
          (3) Definitions.-- For purposes of this subsection, 
        the following definitions shall apply:
                  (A) Manufactured home.-- The term 
                ``manufactured home'' has the same meaning as 
                in section 603 of the National Manufactured 
                Housing Construction and Safety Standards Act 
                of 1974 (42 U.S.C. 5402).
                  (B) Modular home.-- The term ``modular home'' 
                means a house built in a factory in 2 or more 
                modules that meet the State or local building 
                codes where the house will be located, and 
                where such modules are transported to the 
                building site, installed on foundations, and 
                completed.
  (d) Exclusion for Accountants and Tax Preparers.--
          (1) In general.-- Except as permitted in paragraph 
        (2), the Bureau may not exercise any rulemaking, 
        supervisory, enforcement, or other authority over--
                  (A) any person that is a certified public 
                accountant, permitted to practice as a 
                certified public accounting firm, or certified 
                or licensed for such purpose by a State, or any 
                individual who is employed by or holds an 
                ownership interest with respect to a person 
                described in this subparagraph, when such 
                person is performing or offering to perform--
                          (i) customary and usual accounting 
                        activities, including the provision of 
                        accounting, tax, advisory, or other 
                        services that are subject to the 
                        regulatory authority of a State board 
                        of accountancy or a Federal authority; 
                        or
                          (ii) other services that are 
                        incidental to such customary and usual 
                        accounting activities, to the extent 
                        that such incidental services are not 
                        offered or provided--
                                  (I) by the person separate 
                                and apart from such customary 
                                and usual accounting 
                                activities; or
                                  (II) to consumers who are not 
                                receiving such customary and 
                                usual accounting activities; or
                  (B) any person, other than a person described 
                in subparagraph (A) that performs income tax 
                preparation activities for consumers.
          (2) Description of activities.--
                  (A) In general.-- Paragraph (1) shall not 
                apply to any person described in paragraph 
                (1)(A) or (1)(B) to the extent that such person 
                is engaged in any activity which is not a 
                customary and usual accounting activity 
                described in paragraph (1)(A) or incidental 
                thereto but which is the offering or provision 
                of any consumer financial product or service, 
                except to the extent that a person described in 
                paragraph (1)(A) is engaged in an activity 
                which is a customary and usual accounting 
                activity described in paragraph (1)(A), or 
                incidental thereto.
                  (B) Not a customary and usual accounting 
                activity.-- For purposes of this subsection, 
                extending or brokering credit is not a 
                customary and usual accounting activity, or 
                incidental thereto.
                  (C) Rule of construction.-- For purposes of 
                subparagraphs (A) and (B), a person described 
                in paragraph (1)(A) shall not be deemed to be 
                extending credit, if such person is only 
                extending credit directly to a consumer, 
                exclusively for the purpose of enabling such 
                consumer to purchase services described in 
                clause (i) or (ii) of paragraph (1)(A) directly 
                from such person, and such credit is--
                          (i) not subject to a finance charge; 
                        and
                          (ii) not payable by written agreement 
                        in more than 4 installments.
                  (D) Other limitations.-- Paragraph (1) does 
                not apply to any person described in paragraph 
                (1)(A) or (1)(B) that is otherwise subject to 
                any enumerated consumer law or any law for 
                which authorities are transferred under 
                subtitle F or H.
  (e) Exclusion for Practice of Law.--
          (1) In general.-- Except as provided under paragraph 
        (2), the Bureau may not exercise any supervisory or 
        enforcement authority with respect to an activity 
        engaged in by an attorney as part of the practice of 
        law under the laws of a State in which the attorney is 
        licensed to practice law.
          (2) Rule of construction.-- Paragraph (1) shall not 
        be construed so as to limit the exercise by the Bureau 
        of any supervisory, enforcement, or other authority 
        regarding the offering or provision of a consumer 
        financial product or service described in any 
        subparagraph of section 1002(5)--
                  (A) that is not offered or provided as part 
                of, or incidental to, the practice of law, 
                occurring exclusively within the scope of the 
                attorney-client relationship; or
                  (B) that is otherwise offered or provided by 
                the attorney in question with respect to any 
                consumer who is not receiving legal advice or 
                services from the attorney in connection with 
                such financial product or service.
          (3) Existing authority.-- Paragraph (1) shall not be 
        construed so as to limit the authority of the Bureau 
        with respect to any attorney, to the extent that such 
        attorney is otherwise subject to any of the enumerated 
        consumer laws or the authorities transferred under 
        subtitle F or H.
  (f) Exclusion for Persons Regulated by a State Insurance 
Regulator.--
          (1) In general.-- No provision of this title shall be 
        construed as altering, amending, or affecting the 
        authority of any State insurance regulator to adopt 
        rules, initiate enforcement proceedings, or take any 
        other action with respect to a person regulated by a 
        State insurance regulator. Except as provided in 
        paragraph (2), the Bureau shall have no authority to 
        exercise any power to enforce this title with respect 
        to a person regulated by a State insurance regulator.
          (2) Description of activities.-- Paragraph (1) does 
        not apply to any person described in such paragraph to 
        the extent that such person is engaged in the offering 
        or provision of any consumer financial product or 
        service or is otherwise subject to any enumerated 
        consumer law or any law for which authorities are 
        transferred under subtitle F or H.
          (3) State insurance authority under gramm-leach-
        bliley.-- Notwithstanding paragraph (2), the Bureau 
        shall not exercise any authorities that are granted a 
        State insurance authority under section 505(a)(6) of 
        the Gramm-Leach-Bliley Act with respect to a person 
        regulated by a State insurance authority.
  (g) Exclusion for Employee Benefit and Compensation Plans and 
Certain Other Arrangements Under the Internal Revenue Code of 
1986.--
          (1) Preservation of authority of other agencies.-- No 
        provision of this title shall be construed as altering, 
        amending, or affecting the authority of the Secretary 
        of the Treasury, the Secretary of Labor, or the 
        Commissioner of Internal Revenue to adopt regulations, 
        initiate enforcement proceedings, or take any actions 
        with respect to any specified plan or arrangement.
          (2) Activities not constituting the offering or 
        provision of any consumer financial product or 
        service.-- For purposes of this title, a person shall 
        not be treated as having engaged in the offering or 
        provision of any consumer financial product or service 
        solely because such person is--
                  (A) a specified plan or arrangement;
                  (B) engaged in the activity of establishing 
                or maintaining, for the benefit of employees of 
                such person (or for members of an employee 
                organization), any specified plan or 
                arrangement; or
                  (C) engaged in the activity of establishing 
                or maintaining a qualified tuition program 
                under section 529(b)(1) of the Internal Revenue 
                Code of 1986 offered by a State or other 
                prepaid tuition program offered by a State.
          (3) Limitation on bureau authority.--
                  (A) In general.-- Except as provided under 
                subparagraphs (B) and (C), the Bureau may not 
                exercise any rulemaking or enforcement 
                authority with respect to products or services 
                that relate to any specified plan or 
                arrangement.
                  (B) Bureau action pursuant to agency 
                request.--
                          (i) Agency request.-- The Secretary 
                        and the Secretary of Labor may jointly 
                        issue a written request to the Bureau 
                        regarding implementation of appropriate 
                        consumer protection standards under 
                        this title with respect to the 
                        provision of services relating to any 
                        specified plan or arrangement.
                          (ii) Agency response.-- In response 
                        to a request by the Bureau, the 
                        Secretary and the Secretary of Labor 
                        shall jointly issue a written response, 
                        not later than 90 days after receipt of 
                        such request, to grant or deny the 
                        request of the Bureau regarding 
                        implementation of appropriate consumer 
                        protection standards under this title 
                        with respect to the provision of 
                        services relating to any specified plan 
                        or arrangement.
                          (iii) Scope of bureau action.-- 
                        Subject to a request or response 
                        pursuant to clause (i) or clause (ii) 
                        by the agencies made under this 
                        subparagraph, the Bureau may exercise 
                        rulemaking authority, and may act to 
                        enforce a rule prescribed pursuant to 
                        such request or response, in accordance 
                        with the provisions of this title. A 
                        request or response made by the 
                        Secretary and the Secretary of Labor 
                        under this subparagraph shall describe 
                        the basis for, and scope of, 
                        appropriate consumer protection 
                        standards to be implemented under this 
                        title with respect to the provision of 
                        services relating to any specified plan 
                        or arrangement.
                  (C) Description of products or services.-- To 
                the extent that a person engaged in providing 
                products or services relating to any specified 
                plan or arrangement is subject to any 
                enumerated consumer law or any law for which 
                authorities are transferred under subtitle F or 
                H, subparagraph (A) shall not apply with 
                respect to that law.
          (4) Specified plan or arrangement.-- For purposes of 
        this subsection, the term ``specified plan or 
        arrangement'' means any plan, account, or arrangement 
        described in section 220, 223, 401(a), 403(a), 403(b), 
        408, 408A, 529, 529A, or 530 of the Internal Revenue 
        Code of 1986, or any employee benefit or compensation 
        plan or arrangement, including a plan that is subject 
        to title I of the Employee Retirement Income Security 
        Act of 1974, or any prepaid tuition program offered by 
        a State.
  (h) Persons Regulated by a State Securities Commission.--
          (1) In general.-- No provision of this title shall be 
        construed as altering, amending, or affecting the 
        authority of any securities commission (or any agency 
        or office performing like functions) of any State to 
        adopt rules, initiate enforcement proceedings, or take 
        any other action with respect to a person regulated by 
        any securities commission (or any agency or office 
        performing like functions) of any State. Except as 
        permitted in paragraph (2) and subsection (f), the 
        Bureau shall have no authority to exercise any power to 
        enforce this title with respect to a person regulated 
        by any securities commission (or any agency or office 
        performing like functions) of any State, but only to 
        the extent that the person acts in such regulated 
        capacity.
          (2) Description of activities.-- Paragraph (1) shall 
        not apply to any person to the extent such person is 
        engaged in the offering or provision of any consumer 
        financial product or service, or is otherwise subject 
        to any enumerated consumer law or any law for which 
        authorities are transferred under subtitle F or H.
  (i) Exclusion for Persons Regulated by the Commission.--
          (1) In general.-- No provision of this title may be 
        construed as altering, amending, or affecting the 
        authority of the Commission to adopt rules, initiate 
        enforcement proceedings, or take any other action with 
        respect to a person regulated by the Commission. The 
        Bureau shall have no authority to exercise any power to 
        enforce this title with respect to a person regulated 
        by the Commission.
          (2) Consultation and coordination.-- Notwithstanding 
        paragraph (1), the Commission shall consult and 
        coordinate, where feasible, with the Bureau with 
        respect to any rule (including any advance notice of 
        proposed rulemaking) regarding an investment product or 
        service that is the same type of product as, or that 
        competes directly with, a consumer financial product or 
        service that is subject to the jurisdiction of the 
        Bureau under this title or under any other law. In 
        carrying out this paragraph, the agencies shall 
        negotiate an agreement to establish procedures for such 
        coordination, including procedures for providing 
        advance notice to the Bureau when the Commission is 
        initiating a rulemaking.
  (j) Exclusion for Persons Regulated by the Commodity Futures 
Trading Commission.--
          (1) In general.-- No provision of this title shall be 
        construed as altering, amending, or affecting the 
        authority of the Commodity Futures Trading Commission 
        to adopt rules, initiate enforcement proceedings, or 
        take any other action with respect to a person 
        regulated by the Commodity Futures Trading Commission. 
        The Bureau shall have no authority to exercise any 
        power to enforce this title with respect to a person 
        regulated by the Commodity Futures Trading Commission.
          (2) Consultation and coordination.-- Notwithstanding 
        paragraph (1), the Commodity Futures Trading Commission 
        shall consult and coordinate with the Bureau with 
        respect to any rule (including any advance notice of 
        proposed rulemaking) regarding a product or service 
        that is the same type of product as, or that competes 
        directly with, a consumer financial product or service 
        that is subject to the jurisdiction of the Bureau under 
        this title or under any other law.
  (k) Exclusion for Persons Regulated by the Farm Credit 
Administration.--
          (1) In general.-- No provision of this title shall be 
        construed as altering, amending, or affecting the 
        authority of the Farm Credit Administration to adopt 
        rules, initiate enforcement proceedings, or take any 
        other action with respect to a person regulated by the 
        Farm Credit Administration. The Bureau shall have no 
        authority to exercise any power to enforce this title 
        with respect to a person regulated by the Farm Credit 
        Administration.
          (2) Definition.-- For purposes of this subsection, 
        the term ``person regulated by the Farm Credit 
        Administration'' means any Farm Credit System 
        institution that is chartered and subject to the 
        provisions of the Farm Credit Act of 1971 (12 U.S.C. 
        2001 et seq.).
  (l) Exclusion for Activities Relating to Charitable 
Contributions.--
          (1) In general.-- The [Director] Board and the Bureau 
        may not exercise any rulemaking, supervisory, 
        enforcement, or other authority, including authority to 
        order penalties, over any activities related to the 
        solicitation or making of voluntary contributions to a 
        tax-exempt organization as recognized by the Internal 
        Revenue Service, by any agent, volunteer, or 
        representative of such organizations to the extent the 
        organization, agent, volunteer, or representative 
        thereof is soliciting or providing advice, information, 
        education, or instruction to any donor or potential 
        donor relating to a contribution to the organization.
          (2) Limitation.-- The exclusion in paragraph (1) does 
        not apply to other activities not described in 
        paragraph (1) that are the offering or provision of any 
        consumer financial product or service, or are otherwise 
        subject to any enumerated consumer law or any law for 
        which authorities are transferred under subtitle F or 
        H.
  (m) Insurance.--The Bureau may not define as a financial 
product or service, by regulation or otherwise, engaging in the 
business of insurance.
  (n) Limited Authority of the Bureau.--Notwithstanding 
subsections (a) through (h) and (l), a person subject to or 
described in one or more of such provisions--
          (1) may be a service provider; and
          (2) may be subject to requests from, or requirements 
        imposed by, the Bureau regarding information in order 
        to carry out the responsibilities and functions of the 
        Bureau and in accordance with section 1022, 1052, or 
        1053.
  (o) No Authority To Impose Usury Limit.--No provision of this 
title shall be construed as conferring authority on the Bureau 
to establish a usury limit applicable to an extension of credit 
offered or made by a covered person to a consumer, unless 
explicitly authorized by law.
  (p) Attorney General.--No provision of this title, including 
section 1024(c)(1), shall affect the authorities of the 
Attorney General under otherwise applicable provisions of law.
  (q) Secretary of the Treasury.--No provision of this title 
shall affect the authorities of the Secretary, including with 
respect to prescribing rules, initiating enforcement 
proceedings, or taking other actions with respect to a person 
that performs income tax preparation activities for consumers.
  (r) Deposit Insurance and Share Insurance.--Nothing in this 
title shall affect the authority of the Corporation under the 
Federal Deposit Insurance Act or the National Credit Union 
Administration Board under the Federal Credit Union Act as to 
matters related to deposit insurance and share insurance, 
respectively.
  (s) Fair Housing Act.--No provision of this title shall be 
construed as affecting any authority arising under the Fair 
Housing Act.

SEC. 1028. AUTHORITY TO RESTRICT MANDATORY PRE-DISPUTE ARBITRATION.

  (a) Study and Report.--The Bureau shall conduct a study of, 
and shall provide a report to Congress concerning, the use of 
agreements providing for arbitration of any future dispute 
between covered persons and consumers in connection with the 
offering or providing of consumer financial products or 
services.
  (b) Further Authority.--The Bureau, by regulation, may 
prohibit or impose conditions or limitations on the use of an 
agreement between a covered person and a consumer for a 
consumer financial product or service providing for arbitration 
of any future dispute between the parties, if the Bureau finds 
that such a prohibition or imposition of conditions or 
limitations is in the public interest and for the protection of 
consumers. The findings in such rule shall be consistent with 
the study conducted under subsection (a).
  (c) Limitation.--The authority described in subsection (b) 
may not be construed to prohibit or restrict a consumer from 
entering into a voluntary arbitration agreement with a covered 
person after a dispute has arisen.
  (d) Effective Date.--Notwithstanding any other provision of 
law, any regulation prescribed by the Bureau under subsection 
(b) shall apply, consistent with the terms of the regulation, 
to any agreement between a consumer and a covered person 
entered into after the end of the 180-day period beginning on 
the effective date of the regulation, as established by the 
Bureau.

SEC. 1029. EXCLUSION FOR AUTO DEALERS.

  (a) Sale, Servicing, and Leasing of Motor Vehicles 
Excluded.--Except as permitted in subsection (b), the Bureau 
may not exercise any rulemaking, supervisory, enforcement or 
any other authority, including any authority to order 
assessments, over a motor vehicle dealer that is predominantly 
engaged in the sale and servicing of motor vehicles, the 
leasing and servicing of motor vehicles, or both.
  (b) Certain Functions Excepted.--Subsection (a) shall not 
apply to any person, to the extent that such person--
          (1) provides consumers with any services related to 
        residential or commercial mortgages or self-financing 
        transactions involving real property;
          (2) operates a line of business--
                  (A) that involves the extension of retail 
                credit or retail leases involving motor 
                vehicles; and
                  (B) in which--
                          (i) the extension of retail credit or 
                        retail leases are provided directly to 
                        consumers; and
                          (ii) the contract governing such 
                        extension of retail credit or retail 
                        leases is not routinely assigned to an 
                        unaffiliated third party finance or 
                        leasing source; or
          (3) offers or provides a consumer financial product 
        or service not involving or related to the sale, 
        financing, leasing, rental, repair, refurbishment, 
        maintenance, or other servicing of motor vehicles, 
        motor vehicle parts, or any related or ancillary 
        product or service.
  (c) Preservation of Authorities of Other Agencies.--Except as 
provided in subsections (b) and (d), nothing in this title, 
including subtitle F, shall be construed as modifying, 
limiting, or superseding the operation of any provision of 
Federal law, or otherwise affecting the authority of the Board 
of Governors, the Federal Trade Commission, or any other 
Federal agency, with respect to a person described in 
subsection (a).
  (d) Federal Trade Commission Authority.--Notwithstanding 
section 18 of the Federal Trade Commission Act, the Federal 
Trade Commission is authorized to prescribe rules under 
sections 5 and 18(a)(1)(B) of the Federal Trade Commission Act. 
in accordance with section 553 of title 5, United States Code, 
with respect to a person described in subsection (a).
  (e) Coordination With Office Of Service Member Affairs.--The 
Board of Governors and the Federal Trade Commission shall 
coordinate with the Office of Service Member Affairs, to ensure 
that--
          (1) service members and their families are educated 
        and empowered to make better informed decisions 
        regarding consumer financial products and services 
        offered by motor vehicle dealers, with a focus on motor 
        vehicle dealers in the proximity of military 
        installations; and
          (2) complaints by service members and their families 
        concerning such motor vehicle dealers are effectively 
        monitored and responded to, and where appropriate, 
        enforcement action is pursued by the authorized 
        agencies.
  (f) Definitions.--For purposes of this section, the following 
definitions shall apply:
          (1) Motor vehicle.-- The term ``motor vehicle'' 
        means--
                  (A) any self-propelled vehicle designed for 
                transporting persons or property on a street, 
                highway, or other road;
                  (B) recreational boats and marine equipment;
                  (C) motorcycles;
                  (D) motor homes, recreational vehicle 
                trailers, and slide-in campers, as those terms 
                are defined in sections 571.3 and 575.103 (d) 
                of title 49, Code of Federal Regulations, or 
                any successor thereto; and
                  (E) other vehicles that are titled and sold 
                through dealers.
          (2) Motor vehicle dealer.-- The term ``motor vehicle 
        dealer'' means any person or resident in the United 
        States, or any territory of the United States, who--
                  (A) is licensed by a State, a territory of 
                the United States, or the District of Columbia 
                to engage in the sale of motor vehicles; and
                  (B) takes title to, holds an ownership in, or 
                takes physical custody of motor vehicles.

SEC. 1029A. EFFECTIVE DATE.

  This subtitle shall become effective on the designated 
transfer date, except that sections 1022, 1024, and 1025(e) 
shall become effective on the date of enactment of this Act.

                Subtitle C--Specific Bureau Authorities

SEC. 1031. PROHIBITING UNFAIR, DECEPTIVE, OR ABUSIVE ACTS OR PRACTICES.

  (a) In General.--The Bureau may take any action authorized 
under subtitle E to prevent a covered person or service 
provider from committing or engaging in an unfair, deceptive, 
or abusive act or practice under Federal law in connection with 
any transaction with a consumer for a consumer financial 
product or service, or the offering of a consumer financial 
product or service.
  (b) Rulemaking.--The Bureau may prescribe rules applicable to 
a covered person or service provider identifying as unlawful 
unfair, deceptive, or abusive acts or practices in connection 
with any transaction with a consumer for a consumer financial 
product or service, or the offering of a consumer financial 
product or service. Rules under this section may include 
requirements for the purpose of preventing such acts or 
practices.
  (c) Unfairness.--
          (1) In general.-- The Bureau shall have no authority 
        under this section to declare an act or practice in 
        connection with a transaction with a consumer for a 
        consumer financial product or service, or the offering 
        of a consumer financial product or service, to be 
        unlawful on the grounds that such act or practice is 
        unfair, unless the Bureau has a reasonable basis to 
        conclude that--
                  (A) the act or practice causes or is likely 
                to cause substantial injury to consumers which 
                is not reasonably avoidable by consumers; and
                  (B) such substantial injury is not outweighed 
                by countervailing benefits to consumers or to 
                competition.
          (2) Consideration of public policies.-- In 
        determining whether an act or practice is unfair, the 
        Bureau may consider established public policies as 
        evidence to be considered with all other evidence. Such 
        public policy considerations may not serve as a primary 
        basis for such determination.
  (d) Abusive.--The Bureau shall have no authority under this 
section to declare an act or practice abusive in connection 
with the provision of a consumer financial product or service, 
unless the act or practice--
          (1) materially interferes with the ability of a 
        consumer to understand a term or condition of a 
        consumer financial product or service; or
          (2) takes unreasonable advantage of--
                  (A) a lack of understanding on the part of 
                the consumer of the material risks, costs, or 
                conditions of the product or service;
                  (B) the inability of the consumer to protect 
                the interests of the consumer in selecting or 
                using a consumer financial product or service; 
                or
                  (C) the reasonable reliance by the consumer 
                on a covered person to act in the interests of 
                the consumer.
  (e) Consultation.--In prescribing rules under this section, 
the Bureau shall consult with the Federal banking agencies, or 
other Federal agencies, as appropriate, concerning the 
consistency of the proposed rule with prudential, market, or 
systemic objectives administered by such agencies.
  (f) Consideration of Seasonal Income.--The rules of the 
Bureau under this section shall provide, with respect to an 
extension of credit secured by residential real estate or a 
dwelling, if documented income of the borrower, including 
income from a small business, is a repayment source for an 
extension of credit secured by residential real estate or a 
dwelling, the creditor may consider the seasonality and 
irregularity of such income in the underwriting of and 
scheduling of payments for such credit.

SEC. 1032. DISCLOSURES.

  (a) In General.--The Bureau may prescribe rules to ensure 
that the features of any consumer financial product or service, 
both initially and over the term of the product or service, are 
fully, accurately, and effectively disclosed to consumers in a 
manner that permits consumers to understand the costs, 
benefits, and risks associated with the product or service, in 
light of the facts and circumstances.
  (b) Model Disclosures.--
          (1) In general.-- Any final rule prescribed by the 
        Bureau under this section requiring disclosures may 
        include a model form that may be used at the option of 
        the covered person for provision of the required 
        disclosures.
          (2) Format.-- A model form issued pursuant to 
        paragraph (1) shall contain a clear and conspicuous 
        disclosure that, at a minimum--
                  (A) uses plain language comprehensible to 
                consumers;
                  (B) contains a clear format and design, such 
                as an easily readable type font; and
                  (C) succinctly explains the information that 
                must be communicated to the consumer.
          (3) Consumer testing.-- Any model form issued 
        pursuant to this subsection shall be validated through 
        consumer testing.
  (c) Basis for Rulemaking.--In prescribing rules under this 
section, the Bureau shall consider available evidence about 
consumer awareness, understanding of, and responses to 
disclosures or communications about the risks, costs, and 
benefits of consumer financial products or services.
  (d) Safe Harbor.--Any covered person that uses a model form 
included with a rule issued under this section shall be deemed 
to be in compliance with the disclosure requirements of this 
section with respect to such model form.
  (e) Trial Disclosure Programs.--
          (1) In general.-- The Bureau may permit a covered 
        person to conduct a trial program that is limited in 
        time and scope, subject to specified standards and 
        procedures, for the purpose of providing trial 
        disclosures to consumers that are designed to improve 
        upon any model form issued pursuant to subsection 
        (b)(1), or any other model form issued to implement an 
        enumerated statute, as applicable.
          (2) Safe harbor.-- The standards and procedures 
        issued by the Bureau shall be designed to encourage 
        covered persons to conduct trial disclosure programs. 
        For the purposes of administering this subsection, the 
        Bureau may establish a limited period during which a 
        covered person conducting a trial disclosure program 
        shall be deemed to be in compliance with, or may be 
        exempted from, a requirement of a rule or an enumerated 
        consumer law.
          (3) Public disclosure.-- The rules of the Bureau 
        shall provide for public disclosure of trial disclosure 
        programs, which public disclosure may be limited, to 
        the extent necessary to encourage covered persons to 
        conduct effective trials.
  (f) Combined Mortgage Loan Disclosure.--Not later than 1 year 
after the designated transfer date, the Bureau shall propose 
for public comment rules and model disclosures that combine the 
disclosures required under the Truth in Lending Act and 
sections 4 and 5 of the Real Estate Settlement Procedures Act 
of 1974, into a single, integrated disclosure for mortgage loan 
transactions covered by those laws, unless the Bureau 
determines that any proposal issued by the Board of Governors 
and the Secretary of Housing and Urban Development carries out 
the same purpose.

SEC. 1033. CONSUMER RIGHTS TO ACCESS INFORMATION.

  (a) In General.--Subject to rules prescribed by the Bureau, a 
covered person shall make available to a consumer, upon 
request, information in the control or possession of the 
covered person concerning the consumer financial product or 
service that the consumer obtained from such covered person, 
including information relating to any transaction, series of 
transactions, or to the account including costs, charges and 
usage data. The information shall be made available in an 
electronic form usable by consumers.
  (b) Exceptions.--A covered person may not be required by this 
section to make available to the consumer--
          (1) any confidential commercial information, 
        including an algorithm used to derive credit scores or 
        other risk scores or predictors;
          (2) any information collected by the covered person 
        for the purpose of preventing fraud or money 
        laundering, or detecting, or making any report 
        regarding other unlawful or potentially unlawful 
        conduct;
          (3) any information required to be kept confidential 
        by any other provision of law; or
          (4) any information that the covered person cannot 
        retrieve in the ordinary course of its business with 
        respect to that information.
  (c) No Duty To Maintain Records.--Nothing in this section 
shall be construed to impose any duty on a covered person to 
maintain or keep any information about a consumer.
  (d) Standardized Formats for Data.--The Bureau, by rule, 
shall prescribe standards applicable to covered persons to 
promote the development and use of standardized formats for 
information, including through the use of machine readable 
files, to be made available to consumers under this section.
  (e) Consultation.--The Bureau shall, when prescribing any 
rule under this section, consult with the Federal banking 
agencies and the Federal Trade Commission to ensure, to the 
extent appropriate, that the rules--
          (1) impose substantively similar requirements on 
        covered persons;
          (2) take into account conditions under which covered 
        persons do business both in the United States and in 
        other countries; and
          (3) do not require or promote the use of any 
        particular technology in order to develop systems for 
        compliance.

SEC. 1034. RESPONSE TO CONSUMER COMPLAINTS AND INQUIRIES.

  (a) Timely Regulator Response to Consumers.--The Bureau shall 
establish, in consultation with the appropriate Federal 
regulatory agencies, reasonable procedures to provide a timely 
response to consumers, in writing where appropriate, to 
complaints against, or inquiries concerning, a covered person, 
including--
          (1) steps that have been taken by the regulator in 
        response to the complaint or inquiry of the consumer;
          (2) any responses received by the regulator from the 
        covered person; and
          (3) any follow-up actions or planned follow-up 
        actions by the regulator in response to the complaint 
        or inquiry of the consumer.
  (b) Timely Response to Regulator by Covered Person.--A 
covered person subject to supervision and primary enforcement 
by the Bureau pursuant to section 1025 shall provide a timely 
response, in writing where appropriate, to the Bureau, the 
prudential regulators, and any other agency having jurisdiction 
over such covered person concerning a consumer complaint or 
inquiry, including--
          (1) steps that have been taken by the covered person 
        to respond to the complaint or inquiry of the consumer;
          (2) responses received by the covered person from the 
        consumer; and
          (3) follow-up actions or planned follow-up actions by 
        the covered person to respond to the complaint or 
        inquiry of the consumer.
  (c) Provision of Information to Consumers.--
          (1) In general.-- A covered person subject to 
        supervision and primary enforcement by the Bureau 
        pursuant to section 1025 shall, in a timely manner, 
        comply with a consumer request for information in the 
        control or possession of such covered person concerning 
        the consumer financial product or service that the 
        consumer obtained from such covered person, including 
        supporting written documentation, concerning the 
        account of the consumer.
          (2) Exceptions.-- A covered person subject to 
        supervision and primary enforcement by the Bureau 
        pursuant to section 1025, a prudential regulator, and 
        any other agency having jurisdiction over a covered 
        person subject to supervision and primary enforcement 
        by the Bureau pursuant to section 1025 may not be 
        required by this section to make available to the 
        consumer--
                  (A) any confidential commercial information, 
                including an algorithm used to derive credit 
                scores or other risk scores or predictors;
                  (B) any information collected by the covered 
                person for the purpose of preventing fraud or 
                money laundering, or detecting or making any 
                report regarding other unlawful or potentially 
                unlawful conduct;
                  (C) any information required to be kept 
                confidential by any other provision of law; or
                  (D) any nonpublic or confidential 
                information, including confidential supervisory 
                information.
  (d) Agreements With Other Agencies.--The Bureau shall enter 
into a memorandum of understanding with any affected Federal 
regulatory agency regarding procedures by which any covered 
person, and the prudential regulators, and any other agency 
having jurisdiction over a covered person, including the 
Secretary of the Department of Housing and Urban Development 
and the Secretary of Education, shall comply with this section.

SEC. 1035. PRIVATE EDUCATION LOAN OMBUDSMAN.

  (a) Establishment.--The Secretary, in consultation with the 
[Director] Board , shall designate a Private Education Loan 
Ombudsman (in this section referred to as the ``Ombudsman'') 
within the Bureau, to provide timely assistance to borrowers of 
private education loans.
  (b) Public Information.--The Secretary and the [Director] 
Board shall disseminate information about the availability and 
functions of the Ombudsman to borrowers and potential 
borrowers, as well as institutions of higher education, 
lenders, guaranty agencies, loan servicers, and other 
participants in private education student loan programs.
  (c) Functions of Ombudsman.--The Ombudsman designated under 
this subsection shall--
          (1) in accordance with regulations of the [Director] 
        Board , receive, review, and attempt to resolve 
        informally complaints from borrowers of loans described 
        in subsection (a), including, as appropriate, attempts 
        to resolve such complaints in collaboration with the 
        Department of Education and with institutions of higher 
        education, lenders, guaranty agencies, loan servicers, 
        and other participants in private education loan 
        programs;
          (2) not later than 90 days after the designated 
        transfer date, establish a memorandum of understanding 
        with the student loan ombudsman established under 
        section 141(f) of the Higher Education Act of 1965 (20 
        U.S.C. 1018(f)), to ensure coordination in providing 
        assistance to and serving borrowers seeking to resolve 
        complaints related to their private education or 
        Federal student loans;
          (3) compile and analyze data on borrower complaints 
        regarding private education loans; and
          (4) make appropriate recommendations to the 
        [Director] Board , the Secretary, the Secretary of 
        Education, the Committee on Banking, Housing, and Urban 
        Affairs and the Committee on Health, Education, Labor, 
        and Pensions of the Senate and the Committee on 
        Financial Services and the Committee on Education and 
        Labor of the House of Representatives.
  (d) Annual Reports.--
          (1) In general.-- The Ombudsman shall prepare an 
        annual report that describes the activities, and 
        evaluates the effectiveness of the Ombudsman during the 
        preceding year.
          (2) Submission.-- The report required by paragraph 
        (1) shall be submitted on the same date annually to the 
        Secretary, the Secretary of Education, the Committee on 
        Banking, Housing, and Urban Affairs and the Committee 
        on Health, Education, Labor, and Pensions of the Senate 
        and the Committee on Financial Services and the 
        Committee on Education and Labor of the House of 
        Representatives.
  (e) Definitions.--For purposes of this section, the terms 
``private education loan'' and ``institution of higher 
education'' have the same meanings as in section 140 of the 
Truth in Lending Act (15 U.S.C. 1650).

SEC. 1036. PROHIBITED ACTS.

  (a) In General.--It shall be unlawful for--
          (1) any covered person or service provider--
                  (A) to offer or provide to a consumer any 
                financial product or service not in conformity 
                with Federal consumer financial law, or 
                otherwise commit any act or omission in 
                violation of a Federal consumer financial law; 
                or
                  (B) to engage in any unfair, deceptive, or 
                abusive act or practice;
          (2) any covered person or service provider to fail or 
        refuse, as required by Federal consumer financial law, 
        or any rule or order issued by the Bureau thereunder--
                  (A) to permit access to or copying of 
                records;
                  (B) to establish or maintain records; or
                  (C) to make reports or provide information to 
                the Bureau; or
          (3) any person to knowingly or recklessly provide 
        substantial assistance to a covered person or service 
        provider in violation of the provisions of section 
        1031, or any rule or order issued thereunder, and 
        notwithstanding any provision of this title, the 
        provider of such substantial assistance shall be deemed 
        to be in violation of that section to the same extent 
        as the person to whom such assistance is provided.
  (b) Exception.--No person shall be held to have violated 
subsection (a)(1) solely by virtue of providing or selling time 
or space to a covered person or service provider placing an 
advertisement.

SEC. 1037. EFFECTIVE DATE.

  This subtitle shall take effect on the designated transfer 
date.

           *       *       *       *       *       *       *


     Subtitle F--Transfer of Functions and Personnel; Transitional 
                               Provisions

SEC. 1061. TRANSFER OF CONSUMER FINANCIAL PROTECTION FUNCTIONS.

  (a) Defined Terms.--For purposes of this subtitle--
          (1) the term ``consumer financial protection 
        functions'' means--
                  (A) all authority to prescribe rules or issue 
                orders or guidelines pursuant to any Federal 
                consumer financial law, including performing 
                appropriate functions to promulgate and review 
                such rules, orders, and guidelines; and
                  (B) the examination authority described in 
                subsection (c)(1), with respect to a person 
                described in subsection 1025(a); and
          (2) the terms ``transferor agency'' and ``transferor 
        agencies'' mean, respectively--
                  (A) the Board of Governors (and any Federal 
                reserve bank, as the context requires), the 
                Federal Deposit Insurance Corporation, the 
                Federal Trade Commission, the National Credit 
                Union Administration, the Office of the 
                Comptroller of the Currency, the Office of 
                Thrift Supervision, and the Department of 
                Housing and Urban Development, and the heads of 
                those agencies; and
                  (B) the agencies listed in subparagraph (A), 
                collectively.
  (b) In General.--Except as provided in subsection (c), 
consumer financial protection functions are transferred as 
follows:
          (1) Board of governors.--
                  (A) Transfer of functions.-- All consumer 
                financial protection functions of the Board of 
                Governors are transferred to the Bureau.
                  (B) Board of governors authority.-- The 
                Bureau shall have all powers and duties that 
                were vested in the Board of Governors, relating 
                to consumer financial protection functions, on 
                the day before the designated transfer date.
          (2) Comptroller of the currency.--
                  (A) Transfer of functions.-- All consumer 
                financial protection functions of the 
                Comptroller of the Currency are transferred to 
                the Bureau.
                  (B) Comptroller authority.-- The Bureau shall 
                have all powers and duties that were vested in 
                the Comptroller of the Currency, relating to 
                consumer financial protection functions, on the 
                day before the designated transfer date.
          (3) Director of the office of thrift supervision.--
                  (A) Transfer of functions.-- All consumer 
                financial protection functions of the Director 
                of the Office of Thrift Supervision are 
                transferred to the Bureau.
                  (B) Director authority.-- The Bureau shall 
                have all powers and duties that were vested in 
                the Director of the Office of Thrift 
                Supervision, relating to consumer financial 
                protection functions, on the day before the 
                designated transfer date.
          (4) Federal deposit insurance corporation.--
                  (A) Transfer of functions.-- All consumer 
                financial protection functions of the Federal 
                Deposit Insurance Corporation are transferred 
                to the Bureau.
                  (B) Corporation authority.-- The Bureau shall 
                have all powers and duties that were vested in 
                the Federal Deposit Insurance Corporation, 
                relating to consumer financial protection 
                functions, on the day before the designated 
                transfer date.
          (5) Federal trade commission.--
                  (A) Transfer of functions.-- The authority of 
                the Federal Trade Commission under an 
                enumerated consumer law to prescribe rules, 
                issue guidelines, or conduct a study or issue a 
                report mandated under such law shall be 
                transferred to the Bureau on the designated 
                transfer date. Nothing in this title shall be 
                construed to require a mandatory transfer of 
                any employee of the Federal Trade Commission.
                  (B) Bureau authority.--
                          (i) In general.-- The Bureau shall 
                        have all powers and duties under the 
                        enumerated consumer laws to prescribe 
                        rules, issue guidelines, or to conduct 
                        studies or issue reports mandated by 
                        such laws, that were vested in the 
                        Federal Trade Commission on the day 
                        before the designated transfer date.
                          (ii) Federal trade commission act.-- 
                        Subject to subtitle B, the Bureau may 
                        enforce a rule prescribed under the 
                        Federal Trade Commission Act by the 
                        Federal Trade Commission with respect 
                        to an unfair or deceptive act or 
                        practice to the extent that such rule 
                        applies to a covered person or service 
                        provider with respect to the offering 
                        or provision of a consumer financial 
                        product or service as if it were a rule 
                        prescribed under section 1031 of this 
                        title.
                  (C) Authority of the federal trade 
                commission.--
                          (i) In general.-- No provision of 
                        this title shall be construed as 
                        modifying, limiting, or otherwise 
                        affecting the authority of the Federal 
                        Trade Commission (including its 
                        authority with respect to affiliates 
                        described in section 1025(a)(1)) under 
                        the Federal Trade Commission Act or any 
                        other law, other than the authority 
                        under an enumerated consumer law to 
                        prescribe rules, issue official 
                        guidelines, or conduct a study or issue 
                        a report mandated under such law.
                          (ii) Commission authority relating to 
                        rules prescribed by the bureau.-- 
                        Subject to subtitle B, the Federal 
                        Trade Commission shall have authority 
                        to enforce under the Federal Trade 
                        Commission Act (15 U.S.C. 41 et seq.) a 
                        rule prescribed by the Bureau under 
                        this title with respect to a covered 
                        person subject to the jurisdiction of 
                        the Federal Trade Commission under that 
                        Act, and a violation of such a rule by 
                        such a person shall be treated as a 
                        violation of a rule issued under 
                        section 18 of that Act (15 U.S.C. 57a) 
                        with respect to unfair or deceptive 
                        acts or practices.
                  (D) Coordination.-- To avoid duplication of 
                or conflict between rules prescribed by the 
                Bureau under section 1031 of this title and the 
                Federal Trade Commission under section 
                18(a)(1)(B) of the Federal Trade Commission Act 
                that apply to a covered person or service 
                provider with respect to the offering or 
                provision of consumer financial products or 
                services, the agencies shall negotiate an 
                agreement with respect to rulemaking by each 
                agency, including consultation with the other 
                agency prior to proposing a rule and during the 
                comment period.
                  (E) Deference.-- No provision of this title 
                shall be construed as altering, limiting, 
                expanding, or otherwise affecting the deference 
                that a court affords to the--
                          (i) Federal Trade Commission in 
                        making determinations regarding the 
                        meaning or interpretation of any 
                        provision of the Federal Trade 
                        Commission Act, or of any other Federal 
                        law for which the Commission has 
                        authority to prescribe rules; or
                          (ii) Bureau in making determinations 
                        regarding the meaning or interpretation 
                        of any provision of a Federal consumer 
                        financial law (other than any law 
                        described in clause (i)).
          (6) National credit union administration.--
                  (A) Transfer of functions.-- All consumer 
                financial protection functions of the National 
                Credit Union Administration are transferred to 
                the Bureau.
                  (B) National credit union administration 
                authority.-- The Bureau shall have all powers 
                and duties that were vested in the National 
                Credit Union Administration, relating to 
                consumer financial protection functions, on the 
                day before the designated transfer date.
          (7) Department of housing and urban development.--
                  (A) Transfer of functions.-- All consumer 
                protection functions of the Secretary of the 
                Department of Housing and Urban Development 
                relating to the Real Estate Settlement 
                Procedures Act of 1974 (12 U.S.C. 2601 et 
                seq.), the Secure and Fair Enforcement for 
                Mortgage Licensing Act of 2008 (12 U.S.C. 5102 
                et seq.), and the Interstate Land Sales Full 
                Disclosure Act (15 U.S.C. 1701 et seq.) are 
                transferred to the Bureau.
                  (B) Authority of the department of housing 
                and urban development.-- The Bureau shall have 
                all powers and duties that were vested in the 
                Secretary of the Department of Housing and 
                Urban Development relating to the Real Estate 
                Settlement Procedures Act of 1974 (12 U.S.C. 
                2601 et seq.), the Secure and Fair Enforcement 
                for Mortgage Licensing Act of 2008 (12 U.S.C. 
                5101 et seq.), and the Interstate Land Sales 
                Full Disclosure Act (15 U.S.C. 1701 et seq.), 
                on the day before the designated transfer date.
  (c) Authorities of the Prudential Regulators.--
          (1) Examination.-- A transferor agency that is a 
        prudential regulator shall have--
                  (A) authority to require reports from and 
                conduct examinations for compliance with 
                Federal consumer financial laws with respect to 
                a person described in section 1025(a), that is 
                incidental to the backup and enforcement 
                procedures provided to the regulator under 
                section 1025(c); and
                  (B) exclusive authority (relative to the 
                Bureau) to require reports from and conduct 
                examinations for compliance with Federal 
                consumer financial laws with respect to a 
                person described in section 1026(a), except as 
                provided to the Bureau under subsections (b) 
                and (c) of section 1026.
          (2) Enforcement.--
                  (A) Limitation.-- The authority of a 
                transferor agency that is a prudential 
                regulator to enforce compliance with Federal 
                consumer financial laws with respect to a 
                person described in section 1025(a), shall be 
                limited to the backup and enforcement 
                procedures in described in section 1025(c).
                  (B) Exclusive authority.-- A transferor 
                agency that is a prudential regulator shall 
                have exclusive authority (relative to the 
                Bureau) to enforce compliance with Federal 
                consumer financial laws with respect to a 
                person described in section 1026(a), except as 
                provided to the Bureau under subsections (b) 
                and (c) of section 1026.
                  (C) Statutory enforcement.-- For purposes of 
                carrying out the authorities under, and subject 
                to the limitations of, subtitle B, each 
                prudential regulator may enforce compliance 
                with the requirements imposed under this title, 
                and any rule or order prescribed by the Bureau 
                under this title, under--
                          (i) the Federal Credit Union Act (12 
                        U.S.C. 1751 et seq.), by the National 
                        Credit Union Administration Board with 
                        respect to any covered person or 
                        service provider that is an insured 
                        credit union, or service provider 
                        thereto, or any affiliate of an insured 
                        credit union, who is subject to the 
                        jurisdiction of [the Board] the 
                        National Credit Union Administration 
                        Board under that Act; and
                          (ii) section 8 of the Federal Deposit 
                        Insurance Act (12 U.S.C. 1818), by the 
                        appropriate Federal banking agency, as 
                        defined in section 3(q) of the Federal 
                        Deposit Insurance Act (12 U.S.C. 
                        1813(q)), with respect to a covered 
                        person or service provider that is a 
                        person described in section 3(q) of 
                        that Act and who is subject to the 
                        jurisdiction of that agency, as set 
                        forth in sections 3(q) and 8 of the 
                        Federal Deposit Insurance Act; or
                          (iii) the Bank Service Company Act 
                        (12 U.S.C. 1861 et seq.).
  (d) Effective Date.--Subsections (b) and (c) shall become 
effective on the designated transfer date.

           *       *       *       *       *       *       *


SEC. 1066. INTERIM AUTHORITY OF THE SECRETARY.

  (a) In General.--The Secretary is authorized to perform the 
functions of the Bureau under this subtitle until the first 
Director of the Bureau is confirmed by the Senate in accordance 
with section 1011.
  (b) Interim Administrative Services by the Department of the 
Treasury.--The Department of the Treasury may provide 
administrative services necessary to support the Bureau before 
the designated transfer date.

           *       *       *       *       *       *       *


Subtitle G--Regulatory Improvements

           *       *       *       *       *       *       *


SEC. 1073. REMITTANCE TRANSFERS.

  (a) [Omitted--Amends other Act]
  (b) Automated Clearinghouse System.--
          (1) Expansion of system.-- The Board of Governors 
        shall work with the Federal reserve banks and the 
        Department of the Treasury to expand the use of the 
        automated clearinghouse system and other payment 
        mechanisms for remittance transfers to foreign 
        countries, with a focus on countries that receive 
        significant remittance transfers from the United 
        States, based on--
                  (A) the number, volume, and size of such 
                transfers;
                  (B) the significance of the volume of such 
                transfers relative to the external financial 
                flows of the receiving country, including--
                          (i) the total amount transferred; and
                          (ii) the total volume of payments 
                        made by United States Government 
                        agencies to beneficiaries and retirees 
                        living abroad;
                  (C) the feasibility of such an expansion; and
                  (D) the ability of the Federal Reserve System 
                to establish payment gateways in different 
                geographic regions and currency zones to 
                receive remittance transfers and route them 
                through the payments systems in the destination 
                countries.
          (2) Report to congress.-- Not later than one calendar 
        year after the date of enactment of this Act, and on 
        April 30 biennially thereafter during the 10-year 
        period beginning on that date of enactment, the Board 
        of Governors shall submit a report to the Committee on 
        Banking, Housing, and Urban Affairs of the Senate and 
        the Committee on Financial Services of the House of 
        Representatives on the status of the automated 
        clearinghouse system and its progress in complying with 
        the requirements of this subsection. The report shall 
        include an analysis of adoption rates of International 
        ACH Transactions rules and formats, the efficacy of 
        increasing adoption rates, and potential 
        recommendations to increase adoption.
  (c) Expansion of Financial Institution Provision of 
Remittance Transfers.--
          (1) Provision of guidelines to institutions.-- Each 
        of the Federal banking agencies and the National Credit 
        Union Administration shall provide guidelines to 
        financial institutions under the jurisdiction of the 
        agency regarding the offering of low-cost remittance 
        transfers and no-cost or low-cost basic consumer 
        accounts, as well as agency services to remittance 
        transfer providers.
          (2) Assistance to financial literacy commission.-- As 
        part of its duties as members of the Financial Literacy 
        and Education Commission, the Bureau, the Federal 
        banking agencies, and the National Credit Union 
        Administration shall assist the Financial Literacy and 
        Education Commission in executing the Strategy for 
        Assuring Financial Empowerment (or the ``SAFE 
        Strategy''), as it relates to remittances.

           *       *       *       *       *       *       *


SEC. 1076. REVERSE MORTGAGE STUDY AND REGULATIONS.

  (a) Study.--Not later than 1 year after the designated 
transfer date, the Bureau shall conduct a study on reverse 
mortgage transactions.
  (b) Regulations.--
          (1) In general.-- If the Bureau determines through 
        the study required under subsection (a) that conditions 
        or limitations on reverse mortgage transactions are 
        necessary or appropriate for accomplishing the purposes 
        and objectives of this title, including protecting 
        borrowers with respect to the obtaining of reverse 
        mortgage loans for the purpose of funding investments, 
        annuities, and other investment products and the 
        suitability of a borrower in obtaining a reverse 
        mortgage for such purpose.
          (2) Identified practices and integrated 
        disclosures.-- The regulations prescribed under 
        paragraph (1) may, as the Bureau may so determine--
                  (A) identify any practice as unfair, 
                deceptive, or abusive in connection with a 
                reverse mortgage transaction; and
                  (B) provide for an integrated disclosure 
                standard and model disclosures for reverse 
                mortgage transactions, consistent with section 
                4302(d), that combines the relevant disclosures 
                required under the Truth in Lending Act (15 
                U.S.C. 1601 et seq.) and the Real Estate 
                Settlement Procedures Act, with the disclosures 
                required to be provided to consumers for Home 
                Equity Conversion Mortgages under section 255 
                of the National Housing Act.
  (c) Rule of Construction.--This section shall not be 
construed as limiting the authority of the Bureau to issue 
regulations, orders, or guidance that apply to reverse 
mortgages prior to the completion of the study required under 
subsection (a).

           *       *       *       *       *       *       *


SEC. 1079. REVIEW, REPORT, AND PROGRAM WITH RESPECT TO EXCHANGE 
                    FACILITATORS.

  (a) Review.--The [Director] Board shall review all Federal 
laws and regulations relating to the protection of consumers 
who use exchange facilitators for transactions primarily for 
personal, family, or household purposes.
  (b) Report.--Not later than 1 year after the designated 
transfer date, the [Director] Board shall submit to Congress a 
report describing--
          (1) recommendations for legislation to ensure the 
        appropriate protection of consumers who use exchange 
        facilitators for transactions primarily for personal, 
        family, or household purposes;
          (2) recommendations for updating the regulations of 
        Federal departments and agencies to ensure the 
        appropriate protection of such consumers; and
          (3) recommendations for regulations to ensure the 
        appropriate protection of such consumers.
  (c) Program.--Not later than 2 years after the date of the 
submission of the report under subsection (b), the Bureau 
shall, consistent with subtitle B, propose regulations or 
otherwise establish a program to protect consumers who use 
exchange facilitators.
  (d) Exchange Facilitator Defined.--In this section, the term 
``exchange facilitator'' means a person that--
          (1) facilitates, for a fee, an exchange of like kind 
        property by entering into an agreement with a taxpayer 
        by which the exchange facilitator acquires from the 
        taxpayer the contractual rights to sell the taxpayer's 
        relinquished property and transfers a replacement 
        property to the taxpayer as a qualified intermediary 
        (within the meaning of Treasury Regulations section 
        1.1031(k)-1(g)(4)) or enters into an agreement with the 
        taxpayer to take title to a property as an exchange 
        accommodation titleholder (within the meaning of 
        Revenue Procedure 2000-37) or enters into an agreement 
        with a taxpayer to act as a qualified trustee or 
        qualified escrow holder (within the meaning of Treasury 
        Regulations section 1.1031(k)-1(g)(3));
          (2) maintains an office for the purpose of soliciting 
        business to perform the services described in paragraph 
        (1); or
          (3) advertises any of the services described in 
        paragraph (1) or solicits clients in printed 
        publications, direct mail, television or radio 
        advertisements, telephone calls, facsimile 
        transmissions, or other electronic communications 
        directed to the general public for purposes of 
        providing any such services.

           *       *       *       *       *       *       *

                              ----------                              


                    FINANCIAL STABILITY ACT OF 2010



           *       *       *       *       *       *       *
TITLE I--FINANCIAL STABILITY

           *       *       *       *       *       *       *


           Subtitle A--Financial Stability Oversight Council

SEC. 111. FINANCIAL STABILITY OVERSIGHT COUNCIL ESTABLISHED.

  (a) Establishment.--Effective on the date of enactment of 
this Act, there is established the Financial Stability 
Oversight Council.
  (b) Membership.--The Council shall consist of the following 
members:
          (1) Voting members.-- The voting members, who shall 
        each have 1 vote on the Council shall be--
                  (A) the Secretary of the Treasury, who shall 
                serve as Chairperson of the Council;
                  (B) the Chairman of the Board of Governors;
                  (C) the Comptroller of the Currency;
                  (D) the [Director of the Bureau] Chairperson 
                of the Board of Directors of the Bureau ;
                  (E) the Chairman of the Commission;
                  (F) the Chairperson of the Corporation;
                  (G) the Chairperson of the Commodity Futures 
                Trading Commission;
                  (H) the Director of the Federal Housing 
                Finance Agency;
                  (I) the Chairman of the National Credit Union 
                Administration Board; and
                  (J) an independent member appointed by the 
                President, by and with the advice and consent 
                of the Senate, having insurance expertise.
          (2) Nonvoting members.-- The nonvoting members, who 
        shall serve in an advisory capacity as a nonvoting 
        member of the Council, shall be--
                  (A) the Director of the Office of Financial 
                Research;
                  (B) the Director of the Federal Insurance 
                Office;
                  (C) a State insurance commissioner, to be 
                designated by a selection process determined by 
                the State insurance commissioners;
                  (D) a State banking supervisor, to be 
                designated by a selection process determined by 
                the State banking supervisors; and
                  (E) a State securities commissioner (or an 
                officer performing like functions), to be 
                designated by a selection process determined by 
                such State securities commissioners.
          (3) Nonvoting member participation.-- The nonvoting 
        members of the Council shall not be excluded from any 
        of the proceedings, meetings, discussions, or 
        deliberations of the Council, except that the 
        Chairperson may, upon an affirmative vote of the member 
        agencies, exclude the nonvoting members from any of the 
        proceedings, meetings, discussions, or deliberations of 
        the Council when necessary to safeguard and promote the 
        free exchange of confidential supervisory information.
  (c) Terms; Vacancy.--
          (1) Terms.-- The independent member of the Council 
        shall serve for a term of 6 years, and each nonvoting 
        member described in subparagraphs (C), (D), and (E) of 
        subsection (b)(2) shall serve for a term of 2 years.
          (2) Vacancy.-- Any vacancy on the Council shall be 
        filled in the manner in which the original appointment 
        was made.
          (3) Acting officials may serve.-- In the event of a 
        vacancy in the office of the head of a member agency or 
        department, and pending the appointment of a successor, 
        or during the absence or disability of the head of a 
        member agency or department, the acting head of the 
        member agency or department shall serve as a member of 
        the Council in the place of that agency or department 
        head.
  (d) Technical and Professional Advisory Committees.--The 
Council may appoint such special advisory, technical, or 
professional committees as may be useful in carrying out the 
functions of the Council, including an advisory committee 
consisting of State regulators, and the members of such 
committees may be members of the Council, or other persons, or 
both.
  (e) Meetings.--
          (1) Timing.-- The Council shall meet at the call of 
        the Chairperson or a majority of the members then 
        serving, but not less frequently than quarterly.
          (2) Rules for conducting business.-- The Council 
        shall adopt such rules as may be necessary for the 
        conduct of the business of the Council. Such rules 
        shall be rules of agency organization, procedure, or 
        practice for purposes of section 553 of title 5, United 
        States Code.
  (f) Voting.--Unless otherwise specified, the Council shall 
make all decisions that it is authorized or required to make by 
a majority vote of the voting members then serving.
  (g) Nonapplicability of FACA.--The Federal Advisory Committee 
Act (5 U.S.C. App.) shall not apply to the Council, or to any 
special advisory, technical, or professional committee 
appointed by the Council, except that, if an advisory, 
technical, or professional committee has one or more members 
who are not employees of or affiliated with the United States 
Government, the Council shall publish a list of the names of 
the members of such committee.
  (h) Assistance From Federal Agencies.--Any department or 
agency of the United States may provide to the Council and any 
special advisory, technical, or professional committee 
appointed by the Council, such services, funds, facilities, 
staff, and other support services as the Council may determine 
advisable.
  (i) Compensation of Members.--
          (1) Federal employee members.-- All members of the 
        Council who are officers or employees of the United 
        States shall serve without compensation in addition to 
        that received for their services as officers or 
        employees of the United States.
          (2) Compensation for non-federal member.-- Section 
        5314 of title 5, United States Code, is amended by 
        adding at the end the following:``Independent Member of 
        the Financial Stability Oversight Council (1).''.
  (j) Detail of Government Employees.--Any employee of the 
Federal Government may be detailed to the Council without 
reimbursement, and such detail shall be without interruption or 
loss of civil service status or privilege. An employee of the 
Federal Government detailed to the Council shall report to and 
be subject to oversight by the Council during the assignment to 
the Council, and shall be compensated by the department or 
agency from which the employee was detailed.

           *       *       *       *       *       *       *

                              ----------                              


             MORTGAGE REFORM AND ANTI-PREDATORY LENDING ACT



           *       *       *       *       *       *       *
TITLE XIV--MORTGAGE REFORM AND ANTI-PREDATORY LENDING ACT

           *       *       *       *       *       *       *


Subtitle D--Office of Housing Counseling

           *       *       *       *       *       *       *


SEC. 1447. DEFAULT AND FORECLOSURE DATABASE.

  (a) Establishment.--The Secretary of Housing and Urban 
Development and the [Director] Board of Directors of the 
Bureau, in consultation with the Federal agencies responsible 
for regulation of banking and financial institutions involved 
in residential mortgage lending and servicing, shall establish 
and maintain a database of information on foreclosures and 
defaults on mortgage loans for one- to four-unit residential 
properties and shall make such information publicly available, 
subject to subsection (e).
  (b) Census Tract Data.--Information in the database may be 
collected, aggregated, and made available on a census tract 
basis.
  (c) Requirements.--Information collected and made available 
through the database shall include--
          (1) the number and percentage of such mortgage loans 
        that are delinquent by more than 30 days;
          (2) the number and percentage of such mortgage loans 
        that are delinquent by more than 90 days;
          (3) the number and percentage of such properties that 
        are real estate-owned;
          (4) number and percentage of such mortgage loans that 
        are in the foreclosure process;
          (5) the number and percentage of such mortgage loans 
        that have an outstanding principal obligation amount 
        that is greater than the value of the property for 
        which the loan was made; and
          (6) such other information as the Secretary of 
        Housing and Urban Development and the [Director] Board 
        of Directors of the Bureau consider appropriate.
  (d) Rule of Construction.--Nothing in this section shall be 
construed to encourage discriminatory or unsound allocation of 
credit or lending policies or practices.
  (e) Privacy and Confidentiality.--In establishing and 
maintaining the database described in subsection (a), the 
Secretary of Housing and Urban Development and the [Director] 
Board of Directors of the Bureau shall--
          (1) be subject to the standards applicable to Federal 
        agencies for the protection of the confidentiality of 
        personally identifiable information and for data 
        security and integrity;
          (2) implement the necessary measures to conform to 
        the standards for data integrity and security described 
        in paragraph (1); and
          (3) collect and make available information under this 
        section, in accordance with paragraphs (5) and (6) of 
        section 1022(c) and the rules prescribed under such 
        paragraphs, in order to protect privacy and 
        confidentiality.

           *       *       *       *       *       *       *

                              ----------                              


            SECTION 920 OF THE ELECTRONIC FUND TRANSFER ACT

SEC. 920. REASONABLE FEES AND RULES FOR PAYMENT CARD TRANSACTIONS.

  (a) Reasonable Interchange Transaction Fees for Electronic 
Debit Transactions.--
          (1) Regulatory authority over interchange transaction 
        fees.-- The Board may prescribe regulations, pursuant 
        to section 553 of title 5, United States Code, 
        regarding any interchange transaction fee that an 
        issuer may receive or charge with respect to an 
        electronic debit transaction, to implement this 
        subsection (including related definitions), and to 
        prevent circumvention or evasion of this subsection.
          (2) Reasonable interchange transaction fees.-- The 
        amount of any interchange transaction fee that an 
        issuer may receive or charge with respect to an 
        electronic debit transaction shall be reasonable and 
        proportional to the cost incurred by the issuer with 
        respect to the transaction.
          (3) Rulemaking required.--
                  (A) In general.-- The Board shall prescribe 
                regulations in final form not later than 9 
                months after the date of enactment of the 
                Consumer Financial Protection Act of 2010, to 
                establish standards for assessing whether the 
                amount of any interchange transaction fee 
                described in paragraph (2) is reasonable and 
                proportional to the cost incurred by the issuer 
                with respect to the transaction.
                  (B) Information collection.-- The Board may 
                require any issuer (or agent of an issuer) or 
                payment card network to provide the Board with 
                such information as may be necessary to carry 
                out the provisions of this subsection and the 
                Board, in issuing rules under subparagraph (A) 
                and on at least a bi-annual basis thereafter, 
                shall disclose such aggregate or summary 
                information concerning the costs incurred, and 
                interchange transaction fees charged or 
                received, by issuers or payment card networks 
                in connection with the authorization, clearance 
                or settlement of electronic debit transactions 
                as the Board considers appropriate and in the 
                public interest.
          (4) Considerations; consultation.-- In prescribing 
        regulations under paragraph (3)(A), the Board shall--
                  (A) consider the functional similarity 
                between--
                          (i) electronic debit transactions; 
                        and
                          (ii) checking transactions that are 
                        required within the Federal Reserve 
                        bank system to clear at par;
                  (B) distinguish between--
                          (i) the incremental cost incurred by 
                        an issuer for the role of the issuer in 
                        the authorization, clearance, or 
                        settlement of a particular electronic 
                        debit transaction, which cost shall be 
                        considered under paragraph (2); and
                          (ii) other costs incurred by an 
                        issuer which are not specific to a 
                        particular electronic debit 
                        transaction, which costs shall not be 
                        considered under paragraph (2); and
                  (C) consult, as appropriate, with the 
                Comptroller of the Currency, the Board of 
                Directors of the Federal Deposit Insurance 
                Corporation, the Director of the Office of 
                Thrift Supervision, the National Credit Union 
                Administration Board, the Administrator of the 
                Small Business Administration, and the 
                [Director of the Bureau] Board of Directors of 
                the Bureau of Consumer Financial Protection.
          (5) Adjustments to interchange transaction fees for 
        fraud prevention costs.--
                  (A) Adjustments.-- The Board may allow for an 
                adjustment to the fee amount received or 
                charged by an issuer under paragraph (2), if--
                          (i) such adjustment is reasonably 
                        necessary to make allowance for costs 
                        incurred by the issuer in preventing 
                        fraud in relation to electronic debit 
                        transactions involving that issuer; and
                          (ii) the issuer complies with the 
                        fraud-related standards established by 
                        the Board under subparagraph (B), which 
                        standards shall--
                                  (I) be designed to ensure 
                                that any fraud-related 
                                adjustment of the issuer is 
                                limited to the amount described 
                                in clause (i) and takes into 
                                account any fraud-related 
                                reimbursements (including 
                                amounts from charge-backs) 
                                received from consumers, 
                                merchants, or payment card 
                                networks in relation to 
                                electronic debit transactions 
                                involving the issuer; and
                                  (II) require issuers to take 
                                effective steps to reduce the 
                                occurrence of, and costs from, 
                                fraud in relation to electronic 
                                debit transactions, including 
                                through the development and 
                                implementation of cost-
                                effective fraud prevention 
                                technology.
                  (B) Rulemaking required.--
                          (i) In general.-- The Board shall 
                        prescribe regulations in final form not 
                        later than 9 months after the date of 
                        enactment of the Consumer Financial 
                        Protection Act of 2010, to establish 
                        standards for making adjustments under 
                        this paragraph.
                          (ii) Factors for consideration.-- In 
                        issuing the standards and prescribing 
                        regulations under this paragraph, the 
                        Board shall consider--
                                  (I) the nature, type, and 
                                occurrence of fraud in 
                                electronic debit transactions;
                                  (II) the extent to which the 
                                occurrence of fraud depends on 
                                whether authorization in an 
                                electronic debit transaction is 
                                based on signature, PIN, or 
                                other means;
                                  (III) the available and 
                                economical means by which fraud 
                                on electronic debit 
                                transactions may be reduced;
                                  (IV) the fraud prevention and 
                                data security costs expended by 
                                each party involved in 
                                electronic debit transactions 
                                (including consumers, persons 
                                who accept debit cards as a 
                                form of payment, financial 
                                institutions, retailers and 
                                payment card networks);
                                  (V) the costs of fraudulent 
                                transactions absorbed by each 
                                party involved in such 
                                transactions (including 
                                consumers, persons who accept 
                                debit cards as a form of 
                                payment, financial 
                                institutions, retailers and 
                                payment card networks);
                                  (VI) the extent to which 
                                interchange transaction fees 
                                have in the past reduced or 
                                increased incentives for 
                                parties involved in electronic 
                                debit transactions to reduce 
                                fraud on such transactions; and
                                  (VII) such other factors as 
                                the Board considers 
                                appropriate.
          (6) Exemption for small issuers.--
                  (A) In general.-- This subsection shall not 
                apply to any issuer that, together with its 
                affiliates, has assets of less than 
                $10,000,000,000, and the Board shall exempt 
                such issuers from regulations prescribed under 
                paragraph (3)(A).
                  (B) Definition.-- For purposes of this 
                paragraph, the term ``issuer'' shall be limited 
                to the person holding the asset account that is 
                debited through an electronic debit 
                transaction.
          (7) Exemption for government-administered payment 
        programs and reloadable prepaid cards.--
                  (A) In general.-- This subsection shall not 
                apply to an interchange transaction fee charged 
                or received with respect to an electronic debit 
                transaction in which a person uses--
                          (i) a debit card or general-use 
                        prepaid card that has been provided to 
                        a person pursuant to a Federal, State 
                        or local government-administered 
                        payment program, in which the person 
                        may only use the debit card or general-
                        use prepaid card to transfer or debit 
                        funds, monetary value, or other assets 
                        that have been provided pursuant to 
                        such program; or
                          (ii) a plastic card, payment code, or 
                        device that is--
                                  (I) linked to funds, monetary 
                                value, or assets which are 
                                purchased or loaded on a 
                                prepaid basis;
                                  (II) not issued or approved 
                                for use to access or debit any 
                                account held by or for the 
                                benefit of the card holder 
                                (other than a subaccount or 
                                other method of recording or 
                                tracking funds purchased or 
                                loaded on the card on a prepaid 
                                basis);
                                  (III) redeemable at multiple, 
                                unaffiliated merchants or 
                                service providers, or automated 
                                teller machines;
                                  (IV) used to transfer or 
                                debit funds, monetary value, or 
                                other assets; and
                                  (V) reloadable and not 
                                marketed or labeled as a gift 
                                card or gift certificate.
                  (B) Exception.-- Notwithstanding subparagraph 
                (A), after the end of the 1-year period 
                beginning on the effective date provided in 
                paragraph (9), this subsection shall apply to 
                an interchange transaction fee charged or 
                received with respect to an electronic debit 
                transaction described in subparagraph (A)(i) in 
                which a person uses a general-use prepaid card, 
                or an electronic debit transaction described in 
                subparagraph (A)(ii), if any of the following 
                fees may be charged to a person with respect to 
                the card:
                          (i) A fee for an overdraft, including 
                        a shortage of funds or a transaction 
                        processed for an amount exceeding the 
                        account balance.
                          (ii) A fee imposed by the issuer for 
                        the first withdrawal per month from an 
                        automated teller machine that is part 
                        of the issuer's designated automated 
                        teller machine network.
                  (C) Definition.-- For purposes of 
                subparagraph (B), the term ``designated 
                automated teller machine network'' means 
                either--
                          (i) all automated teller machines 
                        identified in the name of the issuer; 
                        or
                          (ii) any network of automated teller 
                        machines identified by the issuer that 
                        provides reasonable and convenient 
                        access to the issuer's customers.
                  (D) Reporting.-- Beginning 12 months after 
                the date of enactment of the Consumer Financial 
                Protection Act of 2010, the Board shall 
                annually provide a report to the Congress 
                regarding --
                          (i) the prevalence of the use of 
                        general-use prepaid cards in Federal, 
                        State or local government-administered 
                        payment programs; and
                          (ii) the interchange transaction fees 
                        and cardholder fees charged with 
                        respect to the use of such general-use 
                        prepaid cards.
          (8) Regulatory authority over network fees.--
                  (A) In general.-- The Board may prescribe 
                regulations, pursuant to section 553 of title 
                5, United States Code, regarding any network 
                fee.
                  (B) Limitation.-- The authority under 
                subparagraph (A) to prescribe regulations shall 
                be limited to regulations to ensure that--
                          (i) a network fee is not used to 
                        directly or indirectly compensate an 
                        issuer with respect to an electronic 
                        debit transaction; and
                          (ii) a network fee is not used to 
                        circumvent or evade the restrictions of 
                        this subsection and regulations 
                        prescribed under such subsection.
                  (C) Rulemaking required.-- The Board shall 
                prescribe regulations in final form before the 
                end of the 9-month period beginning on the date 
                of the enactment of the Consumer Financial 
                Protection Act of 2010, to carry out the 
                authorities provided under subparagraph (A).
          (9) Effective date.-- This subsection shall take 
        effect at the end of the 12-month period beginning on 
        the date of the enactment of the Consumer Financial 
        Protection Act of 2010.
  (b) Limitation on Payment Card Network Restrictions.--
          (1) Prohibitions against exclusivity arrangements.--
                  (A) No exclusive network.-- The Board shall, 
                before the end of the 1-year period beginning 
                on the date of the enactment of the Consumer 
                Financial Protection Act of 2010, prescribe 
                regulations providing that an issuer or payment 
                card network shall not directly or through any 
                agent, processor, or licensed member of a 
                payment card network, by contract, requirement, 
                condition, penalty, or otherwise, restrict the 
                number of payment card networks on which an 
                electronic debit transaction may be processed 
                to--
                          (i) 1 such network; or
                          (ii) 2 or more such networks which 
                        are owned, controlled, or otherwise 
                        operated by --
                                  (I) affiliated persons; or
                                  (II) networks affiliated with 
                                such issuer.
                  (B) No routing restrictions.-- The Board 
                shall, before the end of the 1-year period 
                beginning on the date of the enactment of the 
                Consumer Financial Protection Act of 2010, 
                prescribe regulations providing that an issuer 
                or payment card network shall not, directly or 
                through any agent, processor, or licensed 
                member of the network, by contract, 
                requirement, condition, penalty, or otherwise, 
                inhibit the ability of any person who accepts 
                debit cards for payments to direct the routing 
                of electronic debit transactions for processing 
                over any payment card network that may process 
                such transactions.
          (2) Limitation on restrictions on offering discounts 
        for use of a form of payment.--
                  (A) In general.-- A payment card network 
                shall not, directly or through any agent, 
                processor, or licensed member of the network, 
                by contract, requirement, condition, penalty, 
                or otherwise, inhibit the ability of any person 
                to provide a discount or in-kind incentive for 
                payment by the use of cash, checks, debit 
                cards, or credit cards to the extent that--
                          (i) in the case of a discount or in-
                        kind incentive for payment by the use 
                        of debit cards, the discount or in-kind 
                        incentive does not differentiate on the 
                        basis of the issuer or the payment card 
                        network;
                          (ii) in the case of a discount or in-
                        kind incentive for payment by the use 
                        of credit cards, the discount or in-
                        kind incentive does not differentiate 
                        on the basis of the issuer or the 
                        payment card network; and
                          (iii) to the extent required by 
                        Federal law and applicable State law, 
                        such discount or in-kind incentive is 
                        offered to all prospective buyers and 
                        disclosed clearly and conspicuously.
                  (B) Lawful discounts.-- For purposes of this 
                paragraph, the network may not penalize any 
                person for the providing of a discount that is 
                in compliance with Federal law and applicable 
                State law.
          (3) Limitation on restrictions on setting transaction 
        minimums or maximums.--
                  (A) In general.-- A payment card network 
                shall not, directly or through any agent, 
                processor, or licensed member of the network, 
                by contract, requirement, condition, penalty, 
                or otherwise, inhibit the ability--
                          (i) of any person to set a minimum 
                        dollar value for the acceptance by that 
                        person of credit cards, to the extent 
                        that --
                                  (I) such minimum dollar value 
                                does not differentiate between 
                                issuers or between payment card 
                                networks; and
                                  (II) such minimum dollar 
                                value does not exceed $10.00; 
                                or
                          (ii) of any Federal agency or 
                        institution of higher education to set 
                        a maximum dollar value for the 
                        acceptance by that Federal agency or 
                        institution of higher education of 
                        credit cards, to the extent that such 
                        maximum dollar value does not 
                        differentiate between issuers or 
                        between payment card networks.
                  (B) Increase in minimum dollar amount.-- The 
                Board may, by regulation prescribed pursuant to 
                section 553 of title 5, United States Code, 
                increase the amount of the dollar value listed 
                in subparagraph (A)(i)(II).
          (4) Rule of construction:.-- No provision of this 
        subsection shall be construed to authorize any person--
                  (A) to discriminate between debit cards 
                within a payment card network on the basis of 
                the issuer that issued the debit card; or
                  (B) to discriminate between credit cards 
                within a payment card network on the basis of 
                the issuer that issued the credit card.
  (c) Definitions.--For purposes of this section, the following 
definitions shall apply:
          (1) Affiliate.-- The term ``affiliate'' means any 
        company that controls, is controlled by, or is under 
        common control with another company.
          (2) Debit card.-- The term ``debit card''--
                  (A) means any card, or other payment code or 
                device, issued or approved for use through a 
                payment card network to debit an asset account 
                (regardless of the purpose for which the 
                account is established), whether authorization 
                is based on signature, PIN, or other means;
                  (B) includes a general-use prepaid card, as 
                that term is defined in section 915(a)(2)(A); 
                and
                  (C) does not include paper checks.
          (3) Credit card.-- The term ``credit card'' has the 
        same meaning as in section 103 of the Truth in Lending 
        Act.
          (4) Discount.-- The term ``discount''--
                  (A) means a reduction made from the price 
                that customers are informed is the regular 
                price; and
                  (B) does not include any means of increasing 
                the price that customers are informed is the 
                regular price.
          (5) Electronic debit transaction.-- The term 
        ``electronic debit transaction'' means a transaction in 
        which a person uses a debit card.
          (6) Federal agency.-- The term ``Federal agency'' 
        means--
                  (A) an agency (as defined in section 101 of 
                title 31, United States Code); and
                  (B) a Government corporation (as defined in 
                section 103 of title 5, United States Code).
          (7) Institution of higher education.-- The term 
        ``institution of higher education'' has the same 
        meaning as in 101 and 102 of the Higher Education Act 
        of 1965 (20 U.S.C. 1001, 1002).
          (8) Interchange transaction fee.-- The term 
        ``interchange transaction fee'' means any fee 
        established, charged or received by a payment card 
        network for the purpose of compensating an issuer for 
        its involvement in an electronic debit transaction.
          (9) Issuer.-- The term ``issuer'' means any person 
        who issues a debit card, or credit card, or the agent 
        of such person with respect to such card.
          (10) Network fee.-- The term ``network fee'' means 
        any fee charged and received by a payment card network 
        with respect to an electronic debit transaction, other 
        than an interchange transaction fee.
          (11) Payment card network.-- The term ``payment card 
        network'' means an entity that directly, or through 
        licensed members, processors, or agents, provides the 
        proprietary services, infrastructure, and software that 
        route information and data to conduct debit card or 
        credit card transaction authorization, clearance, and 
        settlement, and that a person uses in order to accept 
        as a form of payment a brand of debit card, credit card 
        or other device that may be used to carry out debit or 
        credit transactions.
  (d) Enforcement.--
          (1) In general.-- Compliance with the requirements 
        imposed under this section shall be enforced under 
        section 918.
          (2) Exception.-- Sections 916 and 917 shall not apply 
        with respect to this section or the requirements 
        imposed pursuant to this section.

           *       *       *       *       *       *       *

                              ----------                              


                    EXPEDITED FUNDS AVAILABILITY ACT



           *       *       *       *       *       *       *
                 TITLE VI--EXPEDITED FUNDS AVAILABILITY

SEC. 601. SHORT TITLE.

  This title may be cited as the ``Expedited Funds Availability 
Act''.

           *       *       *       *       *       *       *


SEC. 603. EXPEDITED FUNDS AVAILABILITY SCHEDULES.

  (a) Next Business Day Availability For Certain Deposits.--
          (1) Cash deposits; wire transfers.-- Except as 
        provided in subsection (e) and in section 604, in any 
        case in which--
                  (A) any cash is deposited in an account at a 
                receiving depository institution staffed by 
                individuals employed by such institution, or
                  (B) funds are received by a depository 
                institution by wire transfer for deposit in an 
                account at such institution,
        such cash or funds shall be available for withdrawal 
        not later than the business day after the business day 
        on which such cash is deposited or such funds are 
        received for deposit.
          (2) Government checks; certain other checks.-- Funds 
        deposited in an account at a depository institution by 
        check shall be available for withdrawal not later than 
        the business day after the business day on which such 
        funds are deposited in the case of--
                  (A) a check which--
                          (i) is drawn on the Treasury of the 
                        United States; and
                          (ii) is endorsed only by the person 
                        to whom it was issued.
                  (B) a check which--
                          (i) is drawn by a State;
                          (ii) is deposited in a receiving 
                        depository institution which is located 
                        in such State and is staffed by 
                        individuals employed by such 
                        institution;
                          (iii) is deposited with a special 
                        deposit slip which indicates it is a 
                        check drawn by a State; and
                          (iv) is endorsed only by the person 
                        to whom it was issued;
                  (C) a check which--
                          (i) is drawn by a unit of general 
                        local government;
                          (ii) is deposited in a receiving 
                        depository institution which is located 
                        in the same State as such unit of 
                        general local government and is staffed 
                        by individuals employed by such 
                        institution;
                          (iii) is deposited with a special 
                        deposit slip which indicates it is a 
                        check drawn by a unit of general local 
                        government; and
                          (iv) is endorsed only by the person 
                        to whom it was issued;
                  (D) the first $200 deposited by check or 
                checks on any one business day;
                  (E) a check deposited in a branch of a 
                depository institution and drawn on the same or 
                another branch of the same depository 
                institution if both such branches are located 
                in the same State or the same check processing 
                region;
                  (F) a cashier's check, certified check, 
                teller's check, or depository check which--
                          (i) is deposited in a receiving 
                        depository institution which is staffed 
                        by individuals employed by such 
                        institution;
                          (ii) is deposited with a special 
                        deposit slip which indicates it is a 
                        cashier's check, certified check, 
                        teller's check, or depository check, as 
                        the case may be; and
                          (iii) is endorsed only by the person 
                        to whom it was issued.
  (b) Permanent Schedule.--
          (1) Availability of funds deposited by local 
        checks.-- Subject to paragraph (3) of this subsection, 
        subsections (a)(2), (d), and (e) of this section, and 
        section 604, not more than 1 business day shall 
        intervene between the business day on which funds are 
        deposited in an account at a depository institution by 
        a check drawn on a local originating depository 
        institution and the business day on which the funds 
        involved are available for withdrawal.
          (2) Availability of funds deposited by nonlocal 
        checks.-- Subject to paragraph (3) of this subsection, 
        subsections (a)(2), (d), and (e) of this section, and 
        section 604, not more than 4 business days shall 
        intervene between the business day on which funds are 
        deposited in an account at a depository institution by 
        a check drawn on a nonlocal originating depository 
        institution and the business day on which such funds 
        are available for withdrawal.
          (3) Time period adjustments for cash withdrawal of 
        certain checks.--
                  (A) In general.-- Except as provided in 
                subparagraph (B), funds deposited in an account 
                in a depository institution by check (other 
                than a check described in subsection (a)(2)) 
                shall be available for cash withdrawal not 
                later than the business day after the business 
                day on which such funds otherwise are available 
                under paragraph (1) or (2).
                  (B)  5 p.m. cash availability.-- Not more 
                than $400 (or the maximum amount allowable in 
                the case of a withdrawal from an automated 
                teller machine but not more than $400) of funds 
                deposited by one or more checks to which this 
                paragraph applies shall be available for cash 
                withdrawal not later than 5 o'clock post 
                meridian of the business day on which such 
                funds are available under paragraph (1) or (2). 
                If funds deposited by checks described in both 
                paragraph (1) and paragraph (2) become 
                available for cash withdrawal under this 
                paragraph on the same business day, the 
                limitation contained in this subparagraph shall 
                apply to the aggregate amount of such funds.
                  (C)  $200 availability.-- Any amount 
                available for withdrawal under this paragraph 
                shall be in addition to the amount available 
                under subsection (a)(2)(D).
          (4) Applicability.-- This subsection shall apply with 
        respect to funds deposited by check in an account at a 
        depository institution on or after September 1, 1990, 
        except that the Board may, by regulation, make this 
        subsection or any part of this subsection applicable 
        earlier than September 1, 1990.
  (c) Temporary Schedule.--
          (1) Availability of local checks.--
                  (A) In general.-- Subject to subparagraph (B) 
                of this paragraph, subsections (a)(2), (d), and 
                (e) of this section, and section 604, not more 
                than 2 business days shall intervene between 
                the business day on which funds are deposited 
                in an account at a depository institution by a 
                check drawn on a local originating depository 
                institution and the business day on which such 
                funds are available for withdrawal.
                  (B) Time period adjustment for cash 
                withdrawal of certain checks.--
                          (i) In general.-- Except as provided 
                        in clause (ii), funds deposited in an 
                        account in a depository institution by 
                        check drawn on a local depository 
                        institution that is not a participant 
                        in the same check clearinghouse 
                        association as the receiving depository 
                        institution (other than a check 
                        described in subsection (a)(2)) shall 
                        be available for cash withdrawal not 
                        later than the business day after the 
                        business day on which such funds 
                        otherwise are available under 
                        subparagraph (A).
                          (ii)  5 p.m. cash availability.-- Not 
                        more than $400 (or the maximum amount 
                        allowable in the case of a withdrawal 
                        from an automated teller machine but 
                        not more than $400) of funds deposited 
                        by one or more checks to which this 
                        subparagraph applies shall be available 
                        for cash withdrawal not later than 5 
                        o'clock post meridian of the business 
                        day on which such funds are available 
                        under subparagraph (A).
                  (iii)  $200 availability.-- Any amount 
                available for withdrawal under this 
                subparagraph shall be in addition to the amount 
                available under subsection (a)(2)(D).
          (2) Availability of nonlocal checks.-- Subject to 
        subsections (a)(2), (d), and (e) of this section and 
        section 604, not more than 6 business days shall 
        intervene between the business day on which funds are 
        deposited in an account at a depository institution by 
        a check drawn on a nonlocal originating depository 
        institution and the business day on which such funds 
        are available for withdrawal.
          (3) Applicability.-- This subsection shall apply with 
        respect to funds deposited by check in an account at a 
        depository institution after August 31, 1988, and 
        before September 1, 1990, except as may be otherwise 
        provided under subsection (b)(4).
  (d) Time Period Adjustments.--
          (1) Reduction generally.-- Notwithstanding any other 
        provision of law, the Board, jointly with the [Director 
        of the Bureau] Board of Directors of the Bureau of 
        Consumer Financial Protection, shall, by regulation, 
        reduce the time periods established under subsections 
        (b), (c), and (e) to as short a time as possible and 
        equal to the period of time achievable under the 
        improved check clearing system for a receiving 
        depository institution to reasonably expect to learn of 
        the nonpayment of most items for each category of 
        checks.
          (2) Extension for certain deposits in noncontiguous 
        states or territories.-- Notwithstanding any other 
        provision of law, any time period established under 
        subsection (b), (c), or (e) shall be extended by 1 
        business day in the case of any deposit which is both--
                  (A) deposited in an account at a depository 
                institution which is located in Alaska, Hawaii, 
                Puerto Rico, or the Virgin Islands; and
                  (B) deposited by a check drawn on an 
                originating depository institution which is not 
                located in the same State, commonwealth, or 
                territory as the receiving depository 
                institution.
  (e) Deposits at an ATM.--
          (1) Nonproprietary atm.--
                  (A) In general.-- Not more than 4 business 
                days shall intervene between the business day a 
                deposit described in subparagraph (B) is made 
                at a nonproprietary automated teller machine 
                (for deposit in an account at a depository 
                institution) and the business day on which 
                funds from such deposit are available for 
                withdrawal.
                  (B) Deposits described in this paragraph.-- A 
                deposit is described in this subparagraph if it 
                is--
                          (i) a cash deposit;
                          (ii) a deposit made by a check 
                        described in subsection (a)(2);
                          (iii) a deposit made by a check drawn 
                        on a local originating depository 
                        institution (other than a check 
                        described in subsection (a)(2)); or
                          (iv) a deposit made by a check drawn 
                        on a nonlocal originating depository 
                        institution (other than a check 
                        described in subsection (a)(2)).
          (2) Proprietary atm--temporary and permanent 
        schedules.-- The provisions of subsections (a), (b), 
        and (c) shall apply with respect to any funds deposited 
        at a proprietary auto- mated teller machine for deposit 
        in an account at a depository institution.
          (3) Study and report on atm's.-- The Board shall, 
        either directly or through the Consumer Advisory 
        Council, establish and maintain a dialogue with 
        depository institutions and their suppliers on the 
        computer software and hardware available for use by 
        automated teller machines, and shall, not later than 
        September 1 of each of the first 3 calendar years 
        beginning after the date of the enactment of this 
        title, report to the Congress regarding such software 
        and hardware and regarding the potential for improving 
        the processing of automated teller machine deposits.
  (f) Check Return; Notice of Nonpayment.--No provision of this 
section shall be construed as requiring that, with respect to 
all checks deposited in a receiving depository institution--
          (1) such checks be physically returned to such 
        depository institution; or
          (2) any notice of nonpayment of any such check be 
        given to such depository institution within the times 
        set forth in subsection (a), (b), (c), or (e) or in the 
        regulations issued under any such subsection.

SEC. 604. SAFEGUARD EXCEPTIONS.

  (a) New Accounts.--Notwithstanding section 603, in the case 
of any account established at a depository institution by a new 
depositor, the following provisions shall apply with respect to 
any deposit in such account during the 30-day period (or such 
shorter period as the Board, jointly with the [Director of the 
Bureau] Board of Directors of the Bureau of Consumer Financial 
Protection, may establish) beginning on the date such account 
is established--
          (1) Next business day availability of cash and 
        certain items.-- Except as provided in paragraph (3), 
        in the case of--
                  (A) any cash deposited in such account;
                  (B) any funds received by such depository 
                institution by wire transfer for deposit in 
                such account;
                  (C) any funds deposited in such account by 
                cashier's check, certified check, teller's 
                check, depository check, or traveler's check; 
                and
                  (D) any funds deposited by a government check 
                which is described in subparagraph (A), (B), or 
                (C) of section 603(a)(2),
        such cash or funds shall be available for withdrawal on 
        the business day after the business day on which such 
        cash or funds are deposited or, in the case of a wire 
        transfer, on the business day after the business day on 
        which such funds are received for deposit.
          (2) Availability of other items.-- In the case of any 
        funds deposited in such account by a check (other than 
        a check described in subparagraph (C) or (D) of 
        paragraph (1)), the availability for withdrawal of such 
        funds shall not be subject to the provisions of section 
        603(b), 603(c), or paragraphs (1) of section 603(e).
          (3) Limitation relating to certain checks in excess 
        of $5,000.-- In the case of funds deposited in such 
        account during such period by checks described in 
        subparagraph (C) or (D) of paragraph (1) the aggregate 
        amount of which exceeds $5,000--
                  (A) paragraph (1) shall apply only with 
                respect to the first $5,000 of such aggregate 
                amount; and
                  (B) not more than 8 business days shall 
                intervene between the business day on which any 
                such funds are deposited and the business day 
                on which such excess amount shall be available 
                for withdrawal.
  (b) Large or Redeposited Checks; Repeated Overdrafts.--The 
Board, jointly with the [Director of the Bureau] Board of 
Directors of the Bureau of Consumer Financial Protection, may, 
by regulation, establish reasonable exceptions to any time 
limitation established under subsection (a)(2), (b), (c), or 
(e) of section 603 for--
          (1) the amount of deposits by one or more checks that 
        exceeds the amount of $5,000 in any one day;
          (2) checks that have been returned unpaid and 
        redeposited; and
          (3) deposit accounts which have been overdrawn 
        repeatedly.
  (c) Reasonable Cause Exception.--
          (1) In general.-- In accordance with regulations 
        which the Board, jointly with the [Director of the 
        Bureau] Board of Directors of the Bureau of Consumer 
        Financial Protection, shall prescribe, subsections 
        (a)(2), (b), (c), and (e) of section 603 shall not 
        apply with respect to any check deposited in an account 
        at a depository institution if the receiving depository 
        institution has reasonable cause to believe that the 
        check is uncollectible from the originating depository 
        institution. For purposes of the preceding sentence, 
        reasonable cause to believe requires the existence of 
        facts which would cause a well-grounded belief in the 
        mind of a reasonable person. Such reasons shall be 
        included in the notice required under sub- section (f).
          (2) Basis for determination.-- No determination under 
        this subsection may be based on any class of checks or 
        persons.
          (3) Overdraft fees.-- If the receiving depository 
        institution determines that a check deposited in an 
        account is a check described in paragraph (1), the 
        receiving depository institution shall not assess any 
        fee for any subsequent overdraft with respect to such 
        account, if--
                  (A) the depositor was not provided with the 
                written notice required under subsection (f) 
                (with respect to such determination) at the 
                time the deposit was made;
                  (B) the overdraft would not have occurred but 
                for the fact that the funds so deposited are 
                not available; and
                  (C) the amount of the check is collected from 
                the originating depository institution.
          (4) Compliance.-- Each agency referred to in section 
        610(a) shall monitor compliance with the requirements 
        of this subsection in each regular examination of a 
        depository institution and shall describe in each 
        report to the Congress the extent to which this 
        subsection is being complied with. For the purpose of 
        this paragraph, each depository institution shall 
        retain a record of each notice provided under 
        subsection (f) as a result of the application of this 
        subsection.
  (d) Emergency Conditions.--Subject to such regulations as the 
Board, jointly with the [Director of the Bureau] Board of 
Directors of the Bureau of Consumer Financial Protection, may 
prescribe, subsections (a)(2), (b), (c), and (e) of section 603 
shall not apply to funds deposited by check in any receiving 
depository institution in the case of--
          (1) any interruption of communication facilities;
          (2) suspension of payments by another depository 
        institution;
          (3) any war; or
          (4) any emergency condition beyond the control of the 
        receiving depository institution,
if the receiving depository institution exercises such 
diligence as the circumstances require.
  (e) Prevention of Fraud Losses.--
          (1) In general.-- The Board, jointly with the 
        [Director of the Bureau] Board of Directors of the 
        Bureau of Consumer Financial Protection, may, by 
        regulation or order, suspend the applicability of this 
        title, or any portion thereof, to any classification of 
        checks if the Board, jointly with the [Director of the 
        Bureau] Board of Directors of the Bureau of Consumer 
        Financial Protection, determines that--
                  (A) depository institutions are experiencing 
                an unacceptable level of losses due to check-
                related fraud, and
                  (B) suspension of this title, or such portion 
                of this title, with regard to the 
                classification of checks involved in such fraud 
                is necessary to diminish the volume of such 
                fraud.
          (2) Sunset provision.-- No regulation prescribed or 
        order issued under paragraph (1) shall remain in effect 
        for more than 45 days (excluding Saturdays, Sundays, 
        legal holidays, or any day either House of Congress is 
        not in session).
          (3) Report to congress.--
                  (A) Notice of each suspension.-- Within 10 
                days of prescribing any regulation or issuing 
                any order under paragraph (1), the Board, 
                jointly with the [Director of the Bureau] Board 
                of Directors of the Bureau of Consumer 
                Financial Protection, shall transmit a report 
                of such action to the Committee on Banking, 
                Finance and Urban Affairs of the House of 
                Representatives and the Committee on Banking, 
                Housing, and Urban Affairs of the Senate.
                  (B) Contents of report.-- Each report under 
                subparagraph (A) shall contain--
                          (i) the specific reason for 
                        prescribing the regulation or issuing 
                        the order;
                          (ii) evidence considered by the 
                        Board, jointly with the [Director of 
                        the Bureau] Board of Directors of the 
                        Bureau of Consumer Financial 
                        Protection, in making the determination 
                        under paragraph (1) with respect to 
                        such regulation or order; and
                          (iii) specific examples of the check-
                        related fraud giving rise to such 
                        regulation or order.
  (f) Notice of Exception; Availability Within Reasonable 
Time.--
          (1) In general.-- If any exception contained in this 
        section (other than subsection (a)) applies with 
        respect to funds deposited in an account at a 
        depository institution--
                  (A) the depository institution shall provide 
                notice in the manner provided in paragraph (2) 
                of--
                          (i) the time period within which the 
                        funds shall be made available for 
                        withdrawal; and
                          (ii) the reason the exception was 
                        invoked; and
                  (B) except where other time periods are 
                specifically provided in this title, the 
                availability of the funds deposited shall be 
                governed by the policy of the receiving 
                depository institution, but shall not exceed a 
                reasonable period of time as determined by the 
                Board, jointly with the [Director of the 
                Bureau] Board of Directors of the Bureau of 
                Consumer Financial Protection.
          (2) Time for notice.-- The notice required under 
        paragraph (1)(A) with respect to a deposit to which an 
        exception contained in this section applies shall be 
        made by the time provided in the following 
        subparagraphs:
                  (A) In the case of a deposit made in person 
                by the depositor at the receiving depository 
                institution, the depository institution shall 
                immediately provide such notice in writing to 
                the depositor.
                  (B) In the case of any other deposit (other 
                than a deposit described in subparagraph (C)), 
                the receiving depository institution shall mail 
                the notice to the depositor not later than the 
                close of the next business day following the 
                business day on which the deposit is received.
                  (C) In the case of a deposit to which 
                subsection (d) or (e) applies, notice shall be 
                provided by the depository institution in 
                accordance with regulations of the Board, 
                jointly with the [Director of the Bureau] Board 
                of Directors of the Bureau of Consumer 
                Financial Protection.
                  (D) In the case of a deposit to which 
                subsection (b)(1) or (b)(2) applies, the 
                depository institution may, for nonconsumer 
                accounts and other classes of accounts, as 
                defined by the Board, that generally have a 
                large number of such deposits, provide notice 
                at or before the time it first determines that 
                the subsection applies.
                  (E) In the case of a deposit to which 
                subsection (b)(3) applies, the depository 
                institution may, subject to regulations of the 
                Board, provide notice at the beginning of each 
                time period it determines that the subsection 
                applies. In addition to the requirements 
                contained in paragraph (1)(A), the notice shall 
                specify the time period for which the exception 
                will apply.
          (3) Subsequent determinations.-- If the facts upon 
        which the determination of the applicability of an 
        exception contained in subsection (b) or (c) to any 
        deposit only become known to the receiving depository 
        institution after the time notice is required under 
        paragraph (2) with respect to such deposit, the 
        depository institution shall mail such notice to the 
        depositor as soon as practicable, but not later than 
        the first business day following the day such facts 
        become known to the depository institution.

SEC. 605. DISCLOSURE OF FUNDS AVAILABILITY POLICIES.

  (a) Notice for New Accounts.--Before an account is opened at 
a depository institution, the depository institution shall 
provide written notice to the potential customer of the 
specific policy of such depository institution with respect to 
when a customer may withdraw funds deposited into the 
customer's account.
  (b) Preprinted Deposit Slips.--All preprinted deposit slips 
that a depository institution furnishes to its customers shall 
contain a summary notice, as prescribed by the Board, jointly 
with the [Director of the Bureau] Board of Directors of the 
Bureau of Consumer Financial Protection, in regulations, that 
deposited items may not be available for immediate withdrawal.
  (c) Mailing of Notice.--
          (1) First mailing after enactment.-- In the first 
        regularly scheduled mailing to customers occurring 
        after the effective date of this section, but not more 
        than 60 days after such effective date, each depository 
        institution shall send a written notice containing the 
        specific policy of such depository institution with 
        respect to when a customer may withdraw funds deposited 
        into such customer's account, unless the depository 
        institution has provided a disclosure which meets the 
        requirements of this section before such effective 
        date.
          (2) Subsequent changes.-- A depository institution 
        shall send a written notice to customers at least 30 
        days before implementing any change to the depository 
        institution's policy with respect to when customers may 
        withdraw funds deposited into consumer accounts, except 
        that any change which expedites the availability of 
        such funds shall be disclosed not later than 30 days 
        after implementation.
          (3) Upon request.-- Upon the request of any person, a 
        depository institution shall provide or send such 
        person a written notice containing the specific policy 
        of such depository institution with respect to when a 
        customer may withdraw funds deposited into a customer's 
        account.
  (d) Posting of Notice.--
          (1) Specific notice at manned teller stations.-- Each 
        depository institution shall post, in a conspicuous 
        place in each location where deposits are accepted by 
        individuals employed by such depository institution, a 
        specific notice which describes the time periods 
        applicable to the availability of funds deposited in a 
        consumer account.
          (2) General notice at automated teller machines.-- In 
        the case of any automated teller machine at which any 
        funds are received for deposit in an account at any 
        depository institution, the Board, jointly with the 
        [Director of the Bureau] Board of Directors of the 
        Bureau of Consumer Financial Protection, shall 
        prescribe, by regulations, that the owner or operator 
        of such automated teller machine shall post or provide 
        a general notice that funds deposited in such machine 
        may not be immediately available for withdrawal.
  (e) Notice of Interest Payment Policy.--If a depository 
institution described in section 606(b) begins the accrual of 
interest or dividends at a later date than the date described 
in section 606(a) with respect to all funds, including cash, 
deposited in an interest-bearing account at such depository 
institution, any notice required to be provided under 
subsections (a) and (c) shall contain a written description of 
the time at which such depository institution begins to accrue 
interest or dividends on such funds.
  (f) Model Disclosure Forms.--
          (1) Prepared by board and bureau.-- The Board, 
        jointly with the [Director of the Bureau] Board of 
        Directors of the Bureau of Consumer Financial 
        Protection, shall publish model disclosure forms and 
        clauses for common transactions to facilitate 
        compliance with the disclosure requirements of this 
        section and to aid customers by utilizing readily 
        understandable language.
          (2) Use of forms to achieve compliance.-- A 
        depository institution shall be deemed to be in 
        compliance with the requirements of this section if 
        such institution--
                  (A) uses any appropriate model form or clause 
                as published by the Board, or
                  (B) uses any such model form or clause and 
                changes such form or clause by--
                          (i) deleting any information which is 
                        not required by this title; or
                          (ii) rearranging the format.
          (3) Voluntary use.-- Nothing in this title requires 
        the use of any such model form or clause prescribed by 
        the Board, jointly with the [Director of the Bureau] 
        Board of Directors of the Bureau of Consumer Financial 
        Protection, under this subsection.
          (4) Notice and comment.-- Model disclosure forms and 
        clauses shall be adopted by the Board, jointly with the 
        [Director of the Bureau] Board of Directors of the 
        Bureau of Consumer Financial Protection, only after 
        notice duly given in the Federal Register and an 
        opportunity for public comment in accordance with 
        section 553 of title 5, United States Code.

           *       *       *       *       *       *       *


SEC. 609. REGULATIONS AND REPORTS BY BOARD.

  (a) In General.--After notice and opportunity to submit 
comment in accordance with section 553(c) of title 5, United 
States Code, the Board, jointly with the [Director of the 
Bureau] Board of Directors of the Bureau of Consumer Financial 
Protection, shall prescribe regulations--
          (1) to carry out the provisions of this title;
          (2) to prevent the circumvention or evasion of such 
        provisions; and
          (3) to facilitate compliance with such provisions.
  (b) Regulations Relating to Improvement of Check Processing 
System.--In order to improve the check processing system, the 
Board shall consider (among other proposals) requiring, by 
regulation, that--
          (1) depository institutions be charged based upon 
        notification that a check or similar instrument will be 
        presented for payment;
          (2) the Federal Reserve banks and depository 
        institutions provide for check truncation;
          (3) depository institutions be provided incentives to 
        return items promptly to the depository institution of 
        first deposit;
          (4) the Federal Reserve banks and depository 
        institutions take such actions as are necessary to 
        automate the process of returning unpaid checks,
          (5) each depository institution and Federal Reserve 
        bank--
                  (A) place its endorsement, and other 
                notations specified in regulations of the 
                Board, on checks in the positions specified in 
                such regulations; and
                  (B) take such actions as are necessary to--
                          (i) automate the process of reading 
                        endorsements; and
                          (ii) eliminate unnecessary 
                        endorsements;
          (6) within one business day after an originating 
        depository institution is presented a check (for more 
        than such minimum amount as the Board may prescribe)--
                  (A) such originating depository institution 
                determine whether it will pay such check; and
                  (B) if such originating depository 
                institution determines that it will not pay 
                such check, such originating depository 
                institution directly notify the receiving 
                depository institution of such determination;
          (7) regardless of where a check is cleared initially, 
        all returned checks be eligible to be returned through 
        the Federal Reserve System;
          (8) Federal Reserve banks and depository institutions 
        participate in the development and implementation of an 
        electronic clearinghouse process to the extent the 
        Board determines, pursuant to the study under 
        subsection (f), that such a process is feasible; and
          (9) originating depository institutions be permitted 
        to return unpaid checks directly to, and obtain 
        reimbursement for such checks directly from, the 
        receiving depository institution.
  (c) Regulatory Responsibility of Board for Payment System.--
          (1) Responsibility for payment system.-- In order to 
        carry out the provisions of this title, the Board of 
        Governors of the Federal Reserve System shall have the 
        responsibility to regulate--
                  (A) any aspect of the payment system, 
                including the receipt, payment, collection, or 
                clearing of checks; and
                  (B) any related function of the payment 
                system with respect to checks.
          (2) Regulations.-- The Board shall prescribe such 
        regulations as it may determine to be appropriate to 
        carry out its responsibility under paragraph (1).
  (d) Reports.--
          (1) Implementation progress reports.--
                  (A) Required reports.-- The Board shall 
                transmit a report to both Houses of the 
                Congress not later than 18, 30, and 48 months 
                after the date of the enactment of this title.
                  (B) Contents of report.-- Each such report 
                shall describe--
                          (i) the actions taken and progress 
                        made by the Board to implement the 
                        schedules established in section 603, 
                        and
                          (ii) the impact of this title on 
                        consumers and depository institutions.
          (2) Evaluation of temporary schedule report.--
                  (A) Report required.-- The Board shall 
                transmit a report to both Houses of the 
                Congress not later than 2 years after the date 
                of the enactment of this title regarding the 
                effects the temporary schedule established 
                under section 603(c) have had on depository 
                institutions and the public.
                  (B) Contents of report.-- Such report shall 
                also assess the potential impact the 
                implementation of the schedule established in 
                section 603(b) will have on depository 
                institutions and the public, including an 
                estimate of the risks to and losses of 
                depository institutions and the benefits to 
                consumers. Such report shall also contain such 
                recommendations for legislative or 
                administrative action as the Board may 
                determine to be necessary.
          (3) Comptroller general evaluation report.-- Not 
        later than 6 months after section 603(b) takes effect, 
        the Comptroller General of the United States shall 
        transmit a report to the Congress evaluating the 
        implementation and administration of this title.
  (e) Consultations.--In prescribing regulations under 
subsections (a) and (b), the Board and the [Director of the 
Bureau] Board of Directors of the Bureau of Consumer Financial 
Protection, in the case of subsection (a), and the Board, in 
the case of subsection (b), shall consult with the Comptroller 
of the Currency, the Board of Directors of the Federal Deposit 
Insurance Corporation, and the National Credit Union 
Administration Board.
  (f) Electronic Clearinghouse Study.--
          (1) Study required.-- The Board shall study the 
        feasibility of modernizing and accelerating the check 
        payment system through the development of an electronic 
        clearinghouse process utilizing existing 
        telecommunications technology to avoid the necessity of 
        actual presentment of the paper instrument to a payor 
        institution before such institution is charged for the 
        item.
          (2) Consultation; factors to be studied.-- In 
        connection with the study required under paragraph (1), 
        the Board shall--
                  (A) consult with appropriate experts in 
                telecommunications technology; and
                  (B) consider all practical and legal 
                impediments to the development of an electronic 
                clearinghouse process.
          (3) Report required.-- The Board shall report its 
        conclusions to the Congress within 9 months of the date 
        of the enactment of this title.

           *       *       *       *       *       *       *

                              ----------                              


                     FEDERAL DEPOSIT INSURANCE ACT



           *       *       *       *       *       *       *
SEC. 2. MANAGEMENT.

  (a) Board of Directors.--
          (1) In general.-- The management of the Corporation 
        shall be vested in a Board of Directors consisting of 5 
        members--
                  (A) 1 of whom shall be the Comptroller of the 
                Currency;
                  (B) 1 of whom shall be the [Director of the 
                Consumer Financial Protection Bureau] 
                Chairperson of the Board of Directors of the 
                Bureau of Consumer Financial Protection ; and
                  (C) 3 of whom 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) Political affiliation.-- After February 28, 1993, 
        not more than 3 of the members of the Board of 
        Directors may be members of the same political party.
  (b) Chairperson and Vice Chairperson.--
          (1) Chairperson.-- 1 of the appointed members shall 
        be designated by the President, by and with the advice 
        and consent of the Senate, to serve as Chairperson of 
        the Board of Directors for a term of 5 years.
          (2) Vice chairperson.-- 1 of the appointed members 
        shall be designated by the President, by and with the 
        advice and consent of the Senate, to serve as Vice 
        Chairperson of the Board of Directors.
          (3) Acting chairperson.-- In the event of a vacancy 
        in the position of Chairperson of the Board of 
        Directors or during the absence or disability of the 
        Chairperson, the Vice Chairperson shall act as 
        Chairperson.
  (c) Terms.--
          (1) Appointed members.-- Each appointed member shall 
        be appointed for a term of 6 years.
          (2) Interim appointments.-- Any member appointed to 
        fill a vacancy occurring before the expiration of the 
        term for which such member's predecessor was appointed 
        shall be appointed only for the remainder of such term.
          (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 a successor has 
        been appointed and qualified.
  (d) Vacancy.--
          (1) In general.-- Any vacancy on the Board of 
        Directors shall be filled in the manner in which the 
        original appointment was made.
          (2) Acting officials may serve.-- In the event of a 
        vacancy in the office of the Comptroller of the 
        Currency or the office of [Director of the Consumer 
        Financial Protection Bureau] Chairperson of the Board 
        of Directors of the Bureau of Consumer Financial 
        Protection and pending the appointment of a successor, 
        or during the absence or disability of the Comptroller 
        of the Currency or the [Director of the Consumer 
        Financial Protection Bureau] Chairperson of the Board 
        of Directors of the Bureau of Consumer Financial 
        Protection , the acting Comptroller of the Currency or 
        the acting [Director of the Consumer Financial 
        Protection Bureau] Chairperson of the Board of 
        Directors of the Bureau of Consumer Financial 
        Protection , as the case may be, shall be a member of 
        the Board of Directors in the place of the [Comptroller 
        or Director] Comptroller or Chairperson .
  (e) Ineligibility for Other Offices.--
          (1) Postservice restriction.--
                  (A) In general.-- No member of the Board of 
                Directors may hold any office, position, or 
                employment in any insured depository 
                institution or any depository institution 
                holding company during--
                          (i) the time such member is in 
                        office; and
                          (ii) the 2-year period beginning on 
                        the date such member ceases to serve on 
                        the Board of Directors.
                  (B) Exception for members who serve full 
                term.-- The limitation contained in 
                subparagraph (A)(ii) shall not apply to any 
                member who has ceased to serve on the Board of 
                Directors after serving the full term for which 
                such member was appointed.
          (2) Restriction during service.-- No member of the 
        Board of Directors may--
                  (A) be an officer or director of any insured 
                depository institution, depository institution 
                holding company, Federal Reserve bank, or 
                Federal home loan bank; or
                  (B) hold stock in any insured depository 
                institution or depository institution holding 
                company.
          (3) Certification.-- Upon taking office, each member 
        of the Board of Directors shall certify under oath that 
        such member has complied with this subsection and such 
        certification shall be filed with the secretary of the 
        Board of Directors.
  (f) Status of Employees.--
          (1) In general.-- A director, member, officer, or 
        employee of the Corporation has no liability under the 
        Securities Act of 1933 with respect to any claim 
        arising out of or resulting from any act or omission by 
        such person within the scope of such person's 
        employment in connection with any transaction involving 
        the disposition of assets (or any interests in any 
        assets or any obligations backed by any assets) by the 
        Corporation. This subsection shall not be construed to 
        limit personal liability for criminal acts or 
        omissions, willful or malicious misconduct, acts or 
        omissions for private gain, or any other acts or 
        omissions outside the scope of such person's 
        employment.
          (2) Definition.-- For purposes of this subsection, 
        the term ``employee of the Corporation'' includes any 
        employee of the Office of the Comptroller of the 
        Currency or of the Consumer Financial Protection Bureau 
        who serves as a deputy or assistant to a member of the 
        Board of Directors of the Corporation in connection 
        with activities of the Corporation.
          (3) Effect on other law.-- This subsection does not 
        affect--
                  (A) any other immunities and protections that 
                may be available to such person under 
                applicable law with respect to such 
                transactions, or
                  (B) any other right or remedy against the 
                Corporation, against the United States under 
                applicable law, or against any person other 
                than a person described in paragraph (1) 
                participating in such transactions.
        This subsection shall not be construed to limit or 
        alter in any way the immunities that are available 
        under applicable law for Federal officials and 
        employees not described in this subsection.

           *       *       *       *       *       *       *

                              ----------                              


     FEDERAL FINANCIAL INSTITUTIONS EXAMINATION COUNCIL ACT OF 1978



           *       *       *       *       *       *       *
TITLE X--FEDERAL FINANCIAL INSTITUTIONS EXAMINATION COUNCIL

           *       *       *       *       *       *       *


                      establishment of the council

  Sec. 1004. (a) There is established the Financial 
Institutions Examination Council which shall consist of--
          (1) the Comptroller of the Currency,
          (2) the Chairman of the Board of Directors of the 
        Federal Deposit Insurance Corporation,
          (3) a Governor of the Board of Governors of the 
        Federal Reserve System designated by the Chairman of 
        the Board,
          (4) the [Director of the Consumer Financial 
        Protection Bureau] Chairperson of the Board of 
        Directors of the Bureau of Consumer Financial 
        Protection ,
          (5) the Chairman of the National Credit Union 
        Administration Board, and
          (6) the Chairman of the State Liaison Committee.
  (b) The members of the Council shall select the first 
chairman of the Council. Thereafter the chairmanship shall 
rotate among the members of the Council.
  (c) The term of the Chairman of the Council shall be two 
years.
  (d) The members of the Council may, from time to time, 
designate other officers or employees of their respective 
agencies to carry out their duties on the Council.
  (e) Each member of the Council shall serve without additional 
compensation but shall be entitled to reasonable expenses 
incurred in carrying out his official duties a such a member.

           *       *       *       *       *       *       *

                              ----------                              


            FINANCIAL LITERACY AND EDUCATION IMPROVEMENT ACT



           *       *       *       *       *       *       *
TITLE V--FINANCIAL LITERACY AND EDUCATION IMPROVEMENT

           *       *       *       *       *       *       *


SEC. 513. ESTABLISHMENT OF FINANCIAL LITERACY AND EDUCATION COMMISSION.

  (a) In General.--There is established a commission to be 
known as the ``Financial Literacy and Education Commission''.
  (b) Purpose.--The Commission shall serve to improve the 
financial literacy and education of persons in the United 
States through development of a national strategy to promote 
financial literacy and education.
  (c) Membership.--
          (1) Composition.-- The Commission shall be composed 
        of--
                  (A) the Secretary of the Treasury;
                  (B) the respective head of each of the 
                Federal banking agencies (as defined in section 
                3 of the Federal Deposit Insurance Act), the 
                National Credit Union Administration, the 
                Securities and Exchange Commission, each of the 
                Departments of Education, Agriculture, Defense, 
                Health and Human Services, Housing and Urban 
                Development, Labor, and Veterans Affairs, the 
                Federal Trade Commission, the General Services 
                Administration, the Small Business 
                Administration, the Social Security 
                Administration, the Commodity Futures Trading 
                Commission, and the Office of Personnel 
                Management;
                  (C) the [Director] Chairperson of the Board 
                of Directors of the Bureau of Consumer 
                Financial Protection; and
                  (D) at the discretion of the President, not 
                more than 5 individuals appointed by the 
                President from among the administrative heads 
                of any other Federal agencies, departments, or 
                other Federal Government entities, whom the 
                President determines to be engaged in a serious 
                effort to improve financial literacy and 
                education.
          (2) Alternates.-- Each member of the Commission may 
        designate an alternate if the member is unable to 
        attend a meeting of the Commission. Such alternate 
        shall be an individual who exercises significant 
        decisionmaking authority.
  (d) Chairperson.--The Secretary of the Treasury shall serve 
as the Chairperson. The [Director] Chairperson of the Board of 
Directors of the Bureau of Consumer Financial Protection shall 
serve as the Vice Chairman.
  (e) Meetings.--The Commission shall hold, at the call of the 
Chairperson, at least 1 meeting every 4 months. All such 
meetings shall be open to the public. The Commission may hold, 
at the call of the Chairperson, such other meetings as the 
Chairperson sees fit to carry out this title.
  (f) Quorum.--A majority of the members of the Commission 
shall constitute a quorum, but a lesser number of members may 
hold hearings.
  (g) Initial Meeting.--The Commission shall hold its first 
meeting not later than 60 days after the date of enactment of 
this Act.

           *       *       *       *       *       *       *

                              ----------                              


                  HOME MORTGAGE DISCLOSURE ACT OF 1975

TITLE III--HOME MORTGAGE DISCLOSURE

           *       *       *       *       *       *       *


SEC. 307. COMPLIANCE IMPROVEMENT METHODS.

  (a) In General.--
          (1) Consultation required.-- The [Director of the 
        Bureau of Consumer] Board of Directors of the Bureau of 
        Consumer Financial Protection, with the assistance of 
        the Secretary, the Director of the Bureau of the 
        Census, the Board of Governors of the Federal Reserve 
        System, the Federal Deposit Insurance Corporation, and 
        such other persons as the Bureau deems appropriate, 
        shall develop or assist in the improvement of, methods 
        of matching addresses and census tracts to facilitate 
        compliance by depository institutions in as economical 
        a manner as possible with the requirements of this 
        title.
          (2) Authorization of appropriations.-- There are 
        authorized to be appropriated, such sums as may be 
        necessary to carry out this subsection.
          (3) Contracting authority.-- The [Director of the 
        Bureau of Consumer] Board of Directors of the Bureau of 
        Consumer Financial Protection is authorized to utilize, 
        contract with, act through, or compensate any person or 
        agency in order to carry out this subsection.
  (b) Recommendations to Congress.--The [Director of the Bureau 
of Consumer] Board of Directors of the Bureau of Consumer 
Financial Protection shall recommend to the Committee on 
Banking, Housing, and Urban Affairs of the Senate and the 
Committee on Financial Services of the House of 
Representatives, such additional legislation as the [Director 
of the Bureau of Consumer] Board of Directors of the Bureau of 
Consumer Financial Protection deems appropriate to carry out 
the purpose of this title.

           *       *       *       *       *       *       *

                              ----------                              


               INTERSTATE LAND SALES FULL DISCLOSURE ACT

                    TITLE XIV--INTERSTATE LAND SALES

                              short title

  Sec. 1401. This title may be cited as the ``Interstate Land 
Sales Full Disclosure Act.''

                              definitions

  Sec. 1402. For the purposes of this title, the term--
          (1) [``Director '' means the Director ] ``Board'' 
        means the Board of Directors of the Bureau of Consumer 
        Financial Protection;
          (2) ``person'' means an individual, or an 
        unincorporated organization, partnership, association, 
        corporation, trust, or estate;
          (3) ``subdivision'' means any land which is located 
        in any State or in a foreign country and is divided or 
        is proposed to be divided into lots, whether contiguous 
        or not, for the purpose of sale or lease as part of a 
        common promotional plan;
          (4) ``common promotional plan'' means a plan, 
        undertaken by a single developer or a group of 
        developers acting in concert, to offer lots for sale or 
        lease; where such land is offered for sale by such a 
        developer or group of developers acting in concert, and 
        such land is contiguous or is known, designated, or 
        advertised as a common unit or by a common name, such 
        land shall be presumed, without regard to the number of 
        lots covered by each individual offering, as being 
        offered for sale or lease as part of a common 
        promotional plan;
          (5) ``developer'' means any person who, directly or 
        indirectly, sells or leases, or offers to sell or 
        lease, or advertises for sale or lease any lots in a 
        subdivision;
          (6) ``agent'' means any person who represents, or 
        acts for or on behalf of, a developer in selling or 
        leasing, or offering to sell or lease, any lot or lots 
        in a subdivision; but shall not include an attorney at 
        law whose representation or another person consists 
        solely of rendering legal services;
          (7) ``blanket encumbrance'' means a trust deed, 
        mortgage, judgment, or any other lien or encumbrance, 
        including an option or contract to sell or a trust 
        agreement, affecting a subdivision or affecting more 
        than one lot offered within a subdivision, except that 
        such term shall not include any lien or other 
        encumbrance arising as the result of the imposition of 
        any tax assessment by any public authority;
          (8) ``interstate commerce'' means trade or commerce 
        among the several states or between any foreign country 
        and any state;
          (9) ``State'' includes the several States, the 
        District of Columbia, the Commonwealth of Puerto Rico, 
        and the territories and possessions of the United 
        States;
          (10) ``purchaser'' means an actual or prospective 
        purchaser or lessee of any lot in a subdivision;
          (11) ``offer'' includes any inducement, solicitation, 
        or attempt to encourage a person to acquire a lot in a 
        subdivision; and
          (12) ``Bureau'' means the Bureau of Consumer 
        Financial Protection.

                               exemptions

  Sec. 1403. (a) Unless the method of disposition is adopted 
for the purpose of evasion of this title, the provisions of 
this title shall not apply to--
          (1) the sale or lease of lots in a subdivision 
        containing less than twenty-five lots;
          (2) the sale or lease of any improved land on which 
        there is a residential, commercial, condominium, or 
        industrial building, or the sale or lease of land under 
        a contract obligating the seller or lessor to erect 
        such a building thereon within a period of two years;
          (3) the sale of evidences of indebtedness secured by 
        a mortgage or deed of trust on real estate;
          (4) the sale of securities issued by a real estate 
        investment trust;
          (5) the sale or lease of real estate by any 
        government or government agency;
          (6) the sale or lease of cemetery lots;
          (7) the sale or lease of lots to any person who 
        acquires such lots for the purpose of engaging in the 
        business of constructing residential, commercial, or 
        industrial buildings or for the purpose of resale or 
        lease of such lots to persons engaged in such business; 
        or
          (8) the sale or lease of real estate which is zoned 
        by the appropriate governmental authority for 
        industrial or commercial development or which is 
        restricted to such use by a declaration of covenants, 
        conditions, and restrictions which has been recorded in 
        the official records of the city or county in which 
        such real estate is located, when--
                  (A) local authorities have approved access 
                from such real estate to a public street or 
                highway;
                  (B) the purchaser or lessee of such real 
                estate is a duly organized corporation, 
                partnership, trust, or business entity engaged 
                in commercial or industrial business;
                  (C) the purchaser or lessee of such real 
                estate is represented in the transaction of 
                sale or lease by a representative of its own 
                selection;
                  (D) the purchaser or lessee of such real 
                estate affirms in writing to the seller or 
                lessor that it either (i) is purchasing or 
                leasing such real estate substantially for its 
                own use, or (ii) has a binding commitment to 
                sell, lease, or sublease such real estate to an 
                entity which meets the requirements of 
                subparagraph (B), is engaged in commercial or 
                industrial business, and is not affiliated with 
                the seller, lessor, or agent thereof; and
                  (E) a policy of title insurance or a title 
                opinion is issued in connection with the 
                transaction showing that title to the real 
                estate purchased or leased is vested in the 
                seller or lessor, subject only to such 
                exceptions as may be approved in writing by 
                such purchaser or the lessee prior to 
                recordation of the instrument of conveyance or 
                execution of the lease, but (i) nothing herein 
                shall be construed as requiring the recordation 
                of a lease, and (ii) any purchaser or lessee 
                may waive, in writing in a separate document, 
                the requirement of this subparagraph that a 
                policy of title insurance or title opinion be 
                issued in connection with the transaction.
  (b) Unless the method of disposition is adopted for the 
purpose of evasion of this title, the provisions requiring 
registration and disclosure (as specified in section 1404(a)(1) 
and sections 1405 through 1408) shall not apply to--
          (1) the sale or lease of lots in a subdivision 
        containing fewer than one hundred lots which are not 
        exempt under subsection (a);
          (2) the sale or lease of lots in a subdivision if, 
        within the twelve-month period commencing on the date 
        of the first sale or lease of a lot in such subdivision 
        after the effective date of this subsection or on such 
        other date within that twelve-month period as the 
        [Director] Board may prescribe, not more than twelve 
        lots are sold or leased, and the sale or lease of the 
        first twelve lots in such subdivision in any subsequent 
        twelve-month period, if not more than twelve lots have 
        been sold or leased in any preceding twelve-month 
        period after the effective date of this subsection;
          (3) the sale or lease of lots in a subdivision if 
        each noncontiguous part of such subdivision contains 
        not more than twenty lots, and if the purchaser or 
        lessee (or spouse thereof) has made a personal, on-the-
        lot inspection of the lot purchased or leased, prior to 
        signing of the contract or agreement to purchase or 
        lease;
          (4) the sale or lease of lots in a subdivision in 
        which each of the lots is at least twenty acres 
        (inclusive of easements for ingress and egress or 
        public utilities);
          (5) the sale or lease of a lot which is located 
        within a municipality or county where a unit of local 
        government specifies minimum standards for the 
        development of subdivision lots taking place within its 
        boundaries, when--
                  (A)(i) the subdivision meets all local codes 
                and standards, and (ii) each lot is either 
                zoned for single family residences or, in the 
                absence of a zoning ordinance, is limited 
                exclusively to single family residences;
                  (B)(i) the lot is situated on a paved street 
                or highway which has been built to standards 
                applicable to streets and highways maintained 
                by the unit of local government in which the 
                subdivision is located and is acceptable to 
                such unit, or, where such street or highway is 
                not complete, a bond or other surety acceptable 
                to the municipality or county in the full 
                amount of the cost of completing such street or 
                highway has been posted to assure completion to 
                such standards, and (ii) the unit of local 
                government or a homeowners association has 
                accepted or is obligated to accept the 
                responsibility of maintaining such street or 
                highway, except that, in any case in which a 
                homeowners association has accepted or is 
                obligated to accept such responsibility, a good 
                faith written estimate of the cost of carrying 
                out such responsibility over the first ten 
                years of ownership or lease is provided to the 
                purchaser or lessee prior to the signing of the 
                contract or agreement to purchase or lease;
                  (C) at the time of closing, potable water, 
                sanitary sewage disposal, and electricity have 
                been extended to the lot or the unit of local 
                government is obligated to install such 
                facilities within one hundred and eighty days, 
                and, for subdivisions which do not have a 
                central water or sewage disposal system, rather 
                than installation of water or sewer facilities, 
                there must be assurances that an adequate 
                potable water supply is available year-round 
                and that the lot is approved for the 
                installation of a septic tank;
                  (D) the contract of sale requires delivery of 
                a warranty deed (or, where such deed is not 
                commonly used in the jurisdiction where the lot 
                is located, a deed or grant which warrants that 
                the grantor has not conveyed the lot to another 
                person and that the lot is free from 
                encumbrances made by the grantor or any other 
                person claiming by, through, or under him) to 
                the purchaser within one hundred and eighty 
                days after the signing of the sales contract;
                  (E) at the time of closing, a title insurance 
                binder or a title opinion reflecting the 
                condition of the title shall be in existence 
                and issued or presented to the purchaser or 
                lessee showing that, subject only to such 
                exceptions as may be approved in writing by the 
                purchaser or lessee at the time of closing, 
                marketable title to the lot is vested in the 
                seller or lessor;
                  (F) the purchaser or lessee (or spouse 
                thereof) has made a personal, on-the-lot 
                inspection of the lot purchased or leased, 
                prior to signing of the contract or agreement 
                to purchase or lease; and
                  (G) there are no offers, by direct mail or 
                telephone solicitation, of gifts, trips, 
                dinners, or other such promotional techniques 
                to induce prospective purchasers or lessees to 
                visit the subdivision or to purchase or lease a 
                lot;
          (6) the sale or lease of a lot, if a mobile home is 
        to be erected or placed thereon as a residence, where 
        the lot is sold as a homesite by one party and the home 
        by another, under contracts that obligate such sellers 
        to perform, contingent upon the other seller carrying 
        out its obligations so that a completed mobile home 
        will be erected or placed on the completed homesite 
        within a period of two years, and provide for all funds 
        received by the sellers to be deposited in escrow 
        accounts (controlled by parties independent of the 
        sellers) until the transactions are completed, and 
        further provide that such funds shall be released to 
        the buyer on demand without prejudice if the land with 
        the mobile home erected or placed thereon is not 
        conveyed within such two-year period. Such homesite 
        must conform to all local codes and standards for 
        mobile home subdivisions, if any, must provide potable 
        water, sanitary sewage disposal, electricity, access by 
        roads, the purchaser must receive marketable title to 
        the lot, and where common facilities are to be 
        provided, they must be completed or fully funded;
          (7)(A) the sale or lease of real estate by a 
        developer who is engaged in a sales operation which is 
        intrastate in nature. For purposes of this exemption, a 
        lot may be sold only if--
                  (i) the lot is free and clear of all liens, 
                encumberances, and adverse claims;
                  (ii) the purchaser or lessee (or spouse 
                thereof) has made a personal on-the-lot 
                inspection of the lot to be purchased or 
                leased;
                  (iii) each purchase or lease agreement 
                contains--
                          (I) a clear and specific statement 
                        describing a good faith estimate of the 
                        year of completion of, and the party 
                        responsible for, providing and 
                        maintaining the roads, water 
                        facilities, sewer facilities and any 
                        existing or promised amenities; and
                          (II) a nonwaivable provision 
                        specifying that the contract or 
                        agreement may be revoked at the option 
                        of the purchaser or lessee until 
                        midnight of the seventh day following 
                        the signing of such contract or 
                        agreement or until such later time as 
                        may be required pursuant to applicable 
                        State laws; and
                  (iv) the purchaser or lessee has, prior to 
                the time the contract or lease is entered into, 
                acknowledged in writing the receipt of a 
                written statement by the developer containing 
                good faith estimates of the cost of providing 
                electric, water, sewage, gas, and telephone 
                service to such a lot.
          (B) As used in subparagraph (A)(i) of this paragraph, 
        the terms ``liens'', ``encumbrances'', and ``adverse 
        claims'' do not include United States land patents and 
        similar Federal grants or reservations, property 
        reservations which land developers commonly convey or 
        dedicate to local bodies or public utilities for the 
        purpose of bringing public services to the land being 
        developed, taxes and assessments imposed by a State, by 
        any other public body having authority to assess and 
        tax property, or by a property owners' association, 
        which, under applicable State or local law, constitute 
        liens on the property before they are due and payable 
        or beneficial property restrictions which would be 
        enforceable by other lot owners or lessees in the 
        subdivision, if--
                  (i) the developer, prior to the time the 
                contract of sale or lease is entered into, has 
                furnished each purchaser or lessee with a 
                statement setting forth in descriptive and 
                concise terms all such liens, reservations, 
                taxes, assessments and restrictions which are 
                applicable to the lot to be purchased or 
                leased; and
                  (ii) receipt of such statement has been 
                acknowledged in writing by the purchaser or 
                lessee.
          (C) For the purpose of this paragraph, a sales 
        operation is ``intrastate in nature'' if the developer 
        is subject to the laws of the State in which the land 
        is located, and each lot in the subdivision, other than 
        those which are exempt under section 1403(a), (b)(6), 
        or (b)(8), is sold or leased to residents of the State 
        in which the land is located; or
          (8) the sale or lease of a lot in a subdivision 
        containing fewer than three hundred lots if--
                  (A) the principal residence of the purchaser 
                or lessee is within the same standard 
                metropolitan statistical area, as defined by 
                the Office of Management and Budget, as the lot 
                purchased or leased;
                  (B) the lot is free and clear of liens (such 
                as mortgages, deeds of trust, tax liens, 
                mechanics liens, or judgments) at the time of 
                the signing of the contract or agreement and 
                until a deed is delivered to the purchaser or 
                the lease expires. As used in this 
                subparagraph, the term ``liens'' does not 
                include (i) United States land patents and 
                similar Federal grants or reservations, (ii) 
                property reservations which lands developers 
                commonly convey or dedicate to local bodies or 
                public utilities for the purpose of bringing 
                public services to the land being developed, 
                (iii) taxes and assessments imposed by a State, 
                by any other public body having authority to 
                assess and tax property, or by a property 
                owners' association, which, under applicable 
                State or local law, constitute liens on the 
                property before they are due and payable or 
                beneficial property restrictions which would be 
                enforceable by other lot owners or lessees in 
                the subdivision, or (iv) other interests 
                described in regulations prescribed by the 
                [Director] Board ;
                  (C) the purchaser or lessee (or spouse 
                thereof) has made a personal on-the-lot 
                inspection of the lot to be purchased or 
                leased;
                  (D) each purchase or lease agreement contains 
                (i) a clear and specific statement describing a 
                good faith estimate of the year of completion 
                of and the party responsible for providing and 
                maintaining the roads, water facilities sewer 
                facilities and any existing or promised 
                amenities; and (ii) a non waivable provision 
                specifying that the contract or agreement may 
                be revoked at the option of the purchaser or 
                lessee until midnight of the seventh day 
                following the signing of such contract or 
                agreement or until such later time as may be 
                required pursuant to applicable State laws;
                  (E) the purchaser or lessee has, prior to the 
                time the contract or lease is entered into, 
                acknowledged in writing receipt of a written 
                statement by the developer setting forth (i) in 
                descriptive and concise terms all liens, 
                reservations, taxes, assessments, beneficial 
                property restrictions which would be 
                enforceable by other lot owners or lessees in 
                the subdivision, and adverse claims which are 
                applicable to the lot to be purchased or 
                leased, and (ii) good faith estimates of the 
                cost of providing electric, water, sewer, gas, 
                and telephone service to such lot;
                  (F) the developer executes and supplies to 
                the purchaser a written instrument designating 
                a person within the State of residence of the 
                purchaser as his agent for service of process 
                and acknowledging that the developer submits to 
                the legal jurisdiction of the State in which 
                the purchaser or lessee resides; and
                  (G) the developer executes a written 
                affirmation to the effect that he has complied 
                with the provisions of this paragraph, such 
                affirmation to be given on a form provided by 
                the [Director] Board , which shall include the 
                following: the name and address of the 
                developer; the name and address of the 
                purchaser or lessee; a legal description of the 
                lot; and affirmation that the provisions of 
                this paragraph have been complied with; a 
                statement that the developer submits to the 
                jurisdiction of this title with regard to the 
                sale of lease; and the signature of the 
                developer.
          (9) the sale or lease of a condominium unit that is 
        not exempt under subsection (a).
  (c) The [Director] Board may from time to time, pursuant to 
rules and regulations issued [by him] by the Board , exempt 
from any of the provisions of this title any subdivision or any 
lots in a subdivision, if [he] the Board finds that the 
enforcement of this title with respect to such subdivision or 
lots is not necessary in the public interest and for the 
protection of purchasers by reason of the small amount involved 
or the limited character of the public offering.
  (d) For purposes of subsection (b), the term ``condominium 
unit'' means a unit of residential or commercial property to be 
designated for separate ownership pursuant to a condominium 
plan or declaration provided that upon conveyance--
          (1) the owner of such unit will have sole ownership 
        of the unit and an undivided interest in the common 
        elements appurtenant to the unit; and
          (2) the unit will be an improved lot.

           *       *       *       *       *       *       *


                      registration of subdivisions

  Sec. 1405. (a) A subdivision may be registered by filing with 
the [Director] Board a statement of record, meeting the 
requirements of this title and such rules and regulations as 
may be prescribed by the [Director] Board in furtherance of the 
provisions of this title. A statement of record shall be deemed 
effective only as to the lots specified therein.
  (b) At the time of filing a statement of record, or any 
amendment thereto, the developer shall pay to the [Director] 
Board a fee, not in excess of $1,000, in accordance with a 
schedule to be fixed by the regulations of the [Director] Board 
, which fees may be used by the [Director] Board to cover all 
or part of the cost of rendering services under this title, and 
such expenses as are paid from such fees shall be considered 
non-administrative.
  (c) The filing with the [Director] Board of a statement of 
record, or of an amendment thereto, shall be deemed to have 
taken place upon the receipt thereof, accompanied by payment of 
the fee required by subsection (b).
  (d) The information contained in or filed with any statement 
of record shall be made available to the public under such 
regulations as the [Director] Board may prescribe and copies 
thereof shall be furnished to every applicant at such 
reasonable charge as the [Director] Board may prescribe.

              information required in statement of record

  Sec. 1406. The statement of record shall contain the 
information and be accompanied by the documents specified 
hereinafter in this section--
          (1) the name and address of each person having an 
        interest in the lots in the subdivision to be covered 
        by the statement of record and the extent of such 
        interest;
          (2) a legal description of, and a statement of the 
        total area included in, the subdivision and a statement 
        of the topography thereof, together with a map showing 
        the division proposed and the dimensions of the lots to 
        be covered by the statement of record and their 
        relation to existing streets and roads;
          (3) a statement of the condition of the title to the 
        land comprising the subdivision, including all 
        encumbrances and deed restrictions and convenants 
        applicable thereto;
          (4) a statement of the general terms and conditions, 
        including the range of selling prices or rents at which 
        it is proposed to dispose of the lots in the 
        subdivision;
          (5) a statement of the present condition of access to 
        the subdivision, the existence of any unusual 
        conditions relating to noise or safety which affect the 
        subdivision and are known to the developer, the 
        availability of sewage disposal facilities and other 
        public utilities (including water, electricity, gas and 
        telephone facilities) in the subdivision, the proximity 
        in miles to the subdivision to nearby municipalities, 
        and the nature of any improvements to be installed by 
        the developer and his estimated schedule for 
        completion;
          (6) in the case of any subdivision or portion thereof 
        against which there exists a blanket encumbrance, a 
        statement of the consequences for an individual 
        purchaser of a failure, by the person or persons bound, 
        to fulfill obligations under the instrument or 
        instruments creating such encumbrance and the steps, if 
        any, taken to protect the purchaser in such 
        eventuality;
          (7)(A) copy of its articles of incorporation, with 
        all amendments thereto, if the developer is a 
        corporation; (B) copies of all instruments by which the 
        trust is created or declared, if the developer is a 
        trust; (C) copies of its articles of partnership or 
        association and all other papers pertaining to its 
        organization, if the developer is a partnership, 
        unincorporated association, joint stock company, or any 
        other form of organization; and (D) if the purported 
        holder of legal title is a person other than developer, 
        copies of the above documents for such person;
          (8) copies of the deed or other instrument 
        establishing title to the subdivision in the developer 
        or other person and copies of any instrument creating a 
        lien or encumbrance upon the title of developer or 
        other person or copies of the opinion or opinions of 
        counsel in respect to the title to the subdivision in 
        the developer or other person or copies of the title 
        insurance policy guaranteeing such title;
          (9) copies of all forms of conveyance to be used in 
        selling or leasing lots to purchasers;
          (10) copies of instruments creating easements or 
        other restrictions;
          (11) such certified and uncertified financial 
        statements of the developer as the [Director] Board may 
        require; and
          (12) such other information and such other documents 
        and certifications as the [Director] Board may require 
        as being reasonably necessary or appropriate for the 
        protection of purchasers.

      taking effect of statements of record and amendments thereto

  Sec. 1407. (a) Except as hereinafter provided, the effective 
date of a statement of record, or any amendment thereto, shall 
be the thirtieth day after the filing thereof or such earlier 
date as the [Director] Board may determine, having due regard 
to the public interest and the protection of purchaser. If any 
amendment to any such statement is filed prior to the effective 
date of the statement, the statement shall be deemed to have 
been filed when such amendment was filed; except that such an 
amendment filed with the consent of the Secertary, or filed 
pursuant to an order of the [Director] Board , shall be treated 
as being filed as of the date of the filing of the statement of 
record. When a developer records additional lands to be offered 
for disposition, he may consolidate the subsequent statement of 
record with any earlier recording offering subdivided land for 
disposition under the same promotional plan. At the time of 
consolidation the developer shall include in the consolidated 
statement of record any material changes in the information 
contained in the earlier statement.
  (b) If it appears to the [Director] Board that a statement of 
record, or any amendment thereto, is on its face incomplete or 
inaccurate in any material respect, the [Director] Board shall 
so advise the developer within a reasonable time after the 
filing of the statement or the amendment, but prior to the date 
the statement or amendment would otherwise be effective. Such 
notification shall serve to suspend the effective date of the 
statement or the amendment until thirty days after the 
developer files such additional information as the [Director] 
Board shall require. Any developer, upon receipt of such 
notice, may request a hearing, and such hearing shall be held 
within twenty days of receipt of such request by the [Director] 
Board .
  (c) If, at any time subsequent to the effective date of a 
statement or record, a change shall occur affecting any 
material fact required to be contained in the statement, the 
developer shall promptly file an amendment thereto. Upon 
receipt of any such amendment, the [Director] Board may, if 
[he] the Board determines such action to be necessary or 
appropriate in the public interest or for the protection of 
purchasers, suspend the statement of record until the amendment 
becomes effective.
  (d) If it appears to the [Director] Board at any time that a 
statement of record, which is in effect, includes any untrue 
statement of a material fact or omits to state any material 
fact required to be stated therein or necessary to make the 
statements therein not misleading, the [Director] Board may, 
after notice, and after opportunity for hearing (at a time 
fixed by the [Director] Board ) within fifteen days after such 
notice, issue an order suspending the statement of record. When 
such statement has been amended in accordance with such order, 
the [Director] Board shall so declare and thereupon the order 
shall cease to be effective.
  (e) The [Director] Board is hereby empowered to make an 
examination in any case to determine whether an order should 
issue under subsection (d). In making such examination, the 
[Director] Board or anyone designated by [him] the Board shall 
have access to and may demand the production of any books and 
papers of, and many administer oaths and affirmations to and 
examine, the developer, any agents, or any other person, in 
respect of any matter relevant to the examination. If the 
developer or any agents shall fail to cooperate, or shall 
obstruct or refuse to permit the making of an examination, such 
conduct shall be proper ground for the issuance of an order 
suspending the statement of record.
  (f) Any notice required under this section shall be sent to 
or served on the developer or his authorized agent.

                information required in property report

  Sec. 1408. (a) A property report relating to the lots in a 
subdivision shall contain such of the information contained in 
the statement of record, and any amendments thereto, as the 
[Director] Board may deem necessary, but need not include the 
documents referred to in paragraphs (7) to (11), inclusive, of 
section 1406. A property report shall also contain such other 
information as the [Director] Board may by rules or regulations 
require as being necessary or appropriate in the public 
interest or for the protection of purchasers.
  (b) The property report shall not be used for any promotional 
purposes before the statement of record becomes effective and 
then only if it is used in its entirety. No person may 
advertise or represent that the [Director] Board approves or 
recommends the subdivision or the sale or lease of lots 
therein. No portion of the property report shall be 
underscored, italicized, or printed in larger, or bolder type 
than the balance of the statement unless the [Director] Board 
requires or permits it.

          certification of substantially equivalent state law

  Sec. 1409. (a)(1) A State shall be certified if the 
[Director] Board determines--
          (A) that, when taken as a whole, the laws and 
        regulations of the State applicable to the sale or 
        lease of lots not exempt under section 1403 require the 
        seller or lessor of such lots to disclose information 
        which is at least substantially equivalent to the 
        information required to be disclosed by section 1408; 
        and
          (B) that the State's administration of such laws and 
        regulations provides, to the maximum extent 
        practicable, that such information is accurate.
  (2) In the case of any State which is not certified under 
paragraph (1), such State shall be certified if the [Director] 
Board determines--
          (A) that when taken as a whole, the laws and 
        regulations of the State applicable to the sale or 
        lease of lots not exempt under section 1403 provide 
        sufficient protection for purchasers and lessees with 
        respect to the matters for which information is 
        required to be disclosed by section 1408 but which is 
        not required to be disclosed by such State's laws and 
        regulations; and
          (B) that the State's administration of such laws and 
        regulations provides, to the maximum extent 
        practicable, that (i) information required to be 
        disclosed by such laws and regulations is accurate, and 
        (ii) sufficient protection for purchasers and lessees 
        is made available with respect to the matters for which 
        information is not required to be disclosed.
  (3) Any State requesting certification must agree to accept a 
property report covering land located in another certified 
State but offered for sale or lease in the State requesting 
certification if the property report has been approved by the 
other certified State. Such property report shall be the only 
property report required by the State with respect to the sale 
or lease of such land.
  (b) After the [Director] Board has certified a State under 
subsection (a), the [Director] Board shall accept for filing 
under sections 1405 through 1408 (and declare effective as the 
Federal statement of record and property report which shall be 
used in all States in which the lots are offered for sale or 
lease) disclosure materials found acceptable, and any related 
documentation required, by State authorities in connection with 
the sale or lease of lots located within the State. The 
[Director] Board may accept for such filing, and declare 
effective as the Federal statement of record and property 
report, such materials and documentation found acceptable by 
the State in connection with the sale or lease of lots located 
outside that State. Nothing in this subsection shall preclude 
the [Director] Board from exercising the authority conferred by 
subsections (d) and (e) of section 1407.
  (c) If a State fails to meet the standards for certification 
pursuant to subsection (a), the [Director] Board shall notify 
the State in writing of the changes in State law, regulation, 
or administration that are needed in order to obtain 
certification.
  (d) The [Director] Board shall periodically review the laws 
and regulations, and the administration thereof, of States 
certified under subsection (a), and may withdraw such 
certification upon a determination that such laws, regulations, 
and the administration thereof, taken as a whole, no longer 
meet the requirements of subsection (a).
  (e) Nothing in this title may be construed to prevent or 
limit the authority of any State or local government to enact 
and enforce with regard to the sale of land any law, ordinance, 
or code not in conflict with this title. In administering this 
title, the [Director] Board shall cooperate with State 
authorities charged with the responsibility of regulating the 
sale or lease of lots which are subject to this title.

           *       *       *       *       *       *       *


                         court review of orders

  Sec. 1411. (a) Any person, aggrieved by an order or 
determination of the [Director] Board issued after a hearing, 
may obtain a review of such order or determination in the court 
of appeals of the United States, within any circuit wherein 
such person resides or has his principal place of business, or 
in the United States Court of Appeals for the District of 
Columbia, by filing in such court, within sixty days after the 
entry of such order or determination, a written petition 
praying that the order or determination of the [Director] Board 
be modified or be set aside in whole or in part. A copy of such 
petition shall be forthwith transmitted by the clerk of the 
court to the [Director] Board , and thereupon the [Director] 
Board shall file in the court the record upon which the order 
or determination complained of was entered, as provided in 
section 2112 of title 28, United States Code. No objection to 
an order or determination of the [Director] Board shall be 
considered by the court unless such objection shall have been 
urged before the [Director] Board . The finding of the 
[Director] Board as to the facts, if supported by substantial 
evidence, shall be conclusive. If either party shall apply to 
the court for leave to adduce additional evidence, and shall 
show to the satisfaction of the court that such additional 
evidence is material and that there were reasonable grounds for 
failure to adduce such evidence in the hearing before the 
[Director] Board , the court may order such additional evidence 
to be taken before the [Director] Board and to be adduced upon 
a hearing in such manner and upon such terms and conditions as 
to the court may seem proper. The [Director] Board may modify 
[his findings] its finding as to the facts by reason of the 
additional evidence so taken, and shall file such modified or 
new findings, which, if supported by substantial evidence, 
shall be conclusive, and [his recommendation] a recommendation 
, if any, for the modification or setting aside of the original 
order. Upon the filing of such petition, the jurisdiction of 
the court shall be exclusive and its judgment and decree, 
affirming, modifying, or setting aside, in whole or in part, 
any order of the [Director] Board , shall be final, subject to 
review by the Supreme Court of the United States upon 
certiorari or certification as provided in section 1254 of 
title 28, United States Code.
  (b) The commencement of proceedings under subsection (a) 
shall not, unless specifically ordered by the court, operate as 
a stay of the [Secretary's order] order of the Board .

           *       *       *       *       *       *       *


                       contrary stipulation void

  Sec. 1413. Any condition, stipulation, or provision binding 
any person acquiring any lot in a subdivision to waive 
compliance with any provision of this title of the rules and 
regulations of the [Director] Board shall be void.

           *       *       *       *       *       *       *


        investigations, injunctions, and prosecution of offenses

  Sec. 1415. (a) Whenever it shall appear to the [Director] 
Board that any person is engaged or about to engage in any acts 
or practices which constitute or will constitute a violation of 
the provisions of this title, or of any rule or regulation 
prescribed pursuant thereto, [he may, in his discretion] the 
Board may, at the discretion of the Board , bring an action in 
any district court of the United States, or the United States 
District Court for the District of Columbia to enjoin such acts 
or practices, and, upon a proper showing, a permanent or 
temporary injunction or restraining order shall be granted 
without bond. The [Director] Board may transmit such evidence 
as may be available concerning such acts or practices to the 
Attorney General who may, [in his discretion] at the discretion 
of the Board , institute the appropriate criminal proceedings 
under this title.
  (b) The [Director] Board may, [in his discretion] at the 
discretion of the Board , make such investigations as [he] the 
Board deems necessary to determine whether any person has 
violated or is about to violate any provision of this title or 
any rule or regulation prescribed pursuant thereto, and may 
require or permit any person to file with [him] the Board a 
statement in writing, under oath or otherwise as the [Director] 
Board shall determine, as to all the facts and circumstances 
concerning the matter to be investigated. The [Director] Board 
is authorized, [in his discretion] at the discretion of the 
Board , to publish information concerning any such violations, 
and to investigate any facts, conditions, practices, or matters 
which [he] the Board may deem necessary or proper to aid in the 
enforcement of the provisions of this title, in the prescribing 
of rules and regulations thereunder or in securing information 
to service as a basis for recommending further legislation 
concerning the matters to which this title relates.
  (c) For the purpose of any such investigation, or any other 
proceeding under this title, the [Director] Board , or any 
officer designated by [him] the Board , is empowered to 
administer oaths and affirmations, subpena witnesses, compel 
their attendance, take evidence, and require the production of 
any books, papers, correspondence, memorandums, or other 
records which the [Director] Board deems relevant or material 
to the inquiry. Such attendance of witnesses and the production 
of any such records may be required from any place in the 
United States or any State at any designated place of hearing.
  (d) In case of contumacy by, or refusal to obey a subpena 
issued to, any person, the [Director] Board may invoke the aid 
of any court of the United States within the jurisdiction of 
which such investigation or proceeding is carried on, or where 
such person resides or carries on business, in requiring the 
attendance and testimony of witnesses and the production of 
books, papers, correspondence, memorandums, and other records 
and documents. And such court may issue an order requiring such 
person to appear before the [Director] Board or any officer 
designated by the [Director] Board , there to produce records, 
if so ordered, or to give testimony touching the matter under 
investigation or in question; and any failure to obey such 
order of the court may be punished by such court as a contempt 
thereof. All process in any such case may be served in the 
judicial district whereof such person is an inhabitant or 
wherever he may be found.

                             administration

  Sec. 1416. (a) The authority and responsibility for 
administering this title shall be in the [Director] Board [of 
the Bureau of Consumer Financial Protection] who may delegate 
any of [his functions, duties, and powers] the functions, 
duties, and powers of the Board to employees of the Bureau of 
Consumer Financial Protection or to boards of such employees 
including functions, duties, and powers with respect to 
investigating, hearing, determining, ordering, or otherwise 
acting as to any work, business, or matter under this title. 
The persons to whom such delegations are made with respect to 
hearing functions, duties, and powers shall be appointed and 
shall serve in the Bureau in compliance with sections 3105, 
3344, 5372, and 7521 of title 5 of the United States Code. The 
[Director] Board shall by rule prescribed such rights of appeal 
from the decisions of [his administrative law judges] the 
administrative law judges of the Bureau of Consumer Financial 
Protection to other administrative law judges or to other 
officers in the Bureau, to boards of officers or to [himself] 
the Board , as shall be apropriate and in accordance with law.
  (b) All hearings shall be public and appropriate records 
thereof shall be kept, and any order issued after such hearing 
shall be based on the record made in such hearing which shall 
be conducted in accordance with provisions of subchapter II of 
chapter 5, and chapter 7, of title 5, United States Code.
  (c) The [Director] Board shall conduct all actions with 
respect to rulemaking or adjudication under this title in 
accordance with the provisions of chapter 5 of title 5, United 
States Code. Notice shall be given of any adverse action or 
final disposition and such notice and the entry of any order 
shall be accompanied by a written statement of supporting facts 
and legal authority.

                        unlawful representations

  Sec. 1417. The fact that a statement of record with respect 
to a subdivision has been filed or is in effect shall not be 
deemed a finding by the [Director] Board that the statement of 
record is true and accurate on its face, or be held to mean the 
[Director] Board has in any way passed upon the merits of, or 
given approval to, such subdivision. It shall be unlawful to 
make, or cause to be made, to any prospective purchaser any 
representation contrary to the foregoing.

           *       *       *       *       *       *       *


                         civil money penalties

  Sec. 1418a. (a) In General.--
          (1) Authority.-- Whenever any person knowingly and 
        materially violates any of the provisions of this title 
        or any rule, regulation, or order issued under this 
        title, the [Director] Board may impose a civil money 
        penalty on such person in accordance with the 
        provisions of this section. The penalty shall be in 
        addition to any other available civil remedy or any 
        available criminal penalty, and may be imposed whether 
        or not the [Director] Board imposes other 
        administrative sanctions.
          (2) Amount of penalty.-- The amount of the penalty, 
        as determined by the [Director] Board , may not exceed 
        $1,000 for each violation, except that the maximum 
        penalty for all violations by a particular person 
        during any 1-year period shall not exceed $1,000,000. 
        Each violation of this title, or any rule, regulation, 
        or order issued under this title, shall constitute a 
        separate violation with respect to each sale or lease 
        or offer to sell or lease. In the case of a continuing 
        violation, as determined by the [Director] Board , each 
        day shall constitute a separate violation.
  (b) Agency Procedures.--
          (1) Establishment.-- The [Director] Board shall 
        establish standards and procedures governing the 
        imposition of civil money penalties under subsection 
        (a). The standards and procedures--
                  (A) shall provide for the imposition of a 
                penalty only after a person has been given an 
                opportunity for a hearing on the record; and
                  (B) may provide for review by the [Director] 
                Board of any determination or order, or 
                interlocutory ruling, arising from a hearing.
          (2) Final orders.-- If no hearing is requested within 
        15 days of receipt of the notice of opportunity for 
        hearing, the imposition of the penalty shall constitute 
        a final and unappealable determination. If the 
        [Director] Board reviews the determination or order, 
        the [Director] Board may affirm, modify, or reverse 
        that determination or order. If the [Director] Board 
        does not review the determination or order within 90 
        days of the issuance of the determination or order, the 
        determination or order shall be final.
          (3) Factors in determining amount of penalty.-- In 
        determining the amount of a penalty under subsection 
        (a), consideration shall be given to such factors as 
        the gravity of the offense, any history of prior 
        offenses (including offenses occurring before enactment 
        of this section), ability to pay the penalty, injury to 
        the public, benefits received, deterrence of future 
        violations, and such other factors as the [Director] 
        Board may determine in regulations to be appropriate.
          (4) Reviewability of imposition of penalty.-- [The 
        Secretary's determination or order] A determination or 
        order of the Board imposing a penalty under subsection 
        (a) shall not be subject to review, except as provided 
        in subsection (c).
  (c) Judicial Review of Agency Determination.--
          (1) In General.-- After exhausting all administrative 
        remedies established by the [Director] Board under 
        subsection (b)(1), a person aggrieved by a final order 
        of the [Director] Board assessing a penalty under this 
        section may seek judicial review pursuant to section 
        1411.
          (2) Order to pay penalty.-- Notwithstanding any other 
        provision of law, in any such review, the court shall 
        have the power to order payment of the penalty imposed 
        by the [Director] Board .
  (d) Action to Collect Penalty.--If any person fails to comply 
with the determination or order of the [Director] Board 
imposing a civil money penalty under subsection (a), after the 
determination or order is no longer subject to review as 
provided by subsections (b) and (c), the [Director] Board may 
request the Attorney General of the United States to bring an 
action in any appropriate United States district court to 
obtain a monetary judgment against the person and such other 
relief as may be available. The monetary judgment may, in the 
discretion of the court, include any attorneys fees and other 
expenses incurred by the United States in connection with the 
action. In an action under this subsection, the validity and 
appropriateness of [the Secretary's determination or order] a 
determination or order of the Board imposing the penalty shall 
not be subject to review.
  (e) Settlement by Director.--The [Director] Board may 
compromise, modify, or remit any civil money penalty which may 
be, or has been, imposed under this section.
  (f) Definition of Knowingly.--The term ``knowingly'' means 
having actual knowledge of or acting with deliberate ignorance 
of or reckless disregard for the prohibitions under this 
section.
  (g) Regulations.--The [Director] Board shall issue such 
regulations as the [Director] Board deems appropriate to 
implement this section.
  (h) Use of Penalties for Administration.--Civil money 
penalties collected under this section shall be paid to the 
[Director] Board and, upon approval in an appropriation Act, 
may be used by the [Director] Board to cover all or part of the 
cost of rendering services under this title.
  Sec. 1419. The [Director] Board shall have authority from 
time to time to make, issue, amend, and rescind such rules and 
regulations and such orders as are necessary or appropriate to 
the exercise of the functions and powers conferred upon [him] 
the Board elsewhere in this title. For the purpose of [his 
rules and regulations] the rules and regulations of the Board , 
the [Director] Board may classify persons and matters within 
[his jurisdiction] the jurisdiction of the Bureau of Consumer 
Financial Protection and prescribe different requirements for 
different classes of persons or matters.

                   jurisdiction of offenses and suits

  Sec. 1420. The district courts of the United States, the 
United States courts of any territory, and the United States 
District Court for the District of Columbia shall have 
jurisdiction of offenses and violations under this title and 
under the this title and under the rules and regulations 
prescribed by the [Director] Board pursuant thereto, and 
concurrent with State courts, of all suits in equity and 
actions at law brought to enforce any liability or duty created 
by this title. Any such suit or action may be brought to 
enforce any liability or duty created by this title. Any such 
suit or action may be brought in the district where the 
defendant is found or is an inhabitant or transacts business, 
or in the district where the offer or sale took place, if the 
defendant participated therein, and process in such cases may 
be served in any other district of which the defendant is an 
inhabitant or wherever the defendant may be found. Judgments 
and decrees so rendered shall be subject to review as provided 
in sections 1254 and 1291 of title 28, United State Code. No 
case arising under this title and brought in any State court of 
competent jurisdiction shall be removed to any court of the 
United States, except where the United States or any officer or 
employee of the United States in his official capacity is a 
party. No costs shall be assessed for or against the [Director] 
Board or any member of the Board in any proceeding under this 
title brought by or against [him] the Board or any member of 
the Board in the Supreme Court or such other courts.

           *       *       *       *       *       *       *

                              ----------                              


             REAL ESTATE SETTLEMENT PROCEDURES ACT OF 1974



           *       *       *       *       *       *       *
                    home buying information booklets

  Sec. 5. (a) Preparation and Distribution.--The [Director of] 
Board of Directors of the Bureau of Consumer Financial 
Protection (hereafter in this section referred to as the 
``[Director] Board '') shall prepare, at least once every 5 
years, a booklet to help consumers applying for federally 
related mortgage loans to understand the nature and costs of 
real estate settlement services. The [Director] Board shall 
prepare the booklet in various languages and cultural styles, 
as the [Director] Board determines to be appropriate, so that 
the booklet is understandable and accessible to homebuyers of 
different ethnic and cultural backgrounds. The [Director] Board 
shall distribute such booklets to all lenders that make 
federally related mortgage loans. The [Director] Board shall 
also distribute to such lenders lists, organized by location, 
of homeownership counselors certified under section 106(e) of 
the Housing and Urban Development Act of 1968 (12 U.S.C. 
1701x(e)) for use in complying with the requirement under 
subsection (c) of this section.
  (b) Contents.--Each booklet shall be in such form and detail 
as the [Director] Board shall prescribe and, in addition to 
such other information as the [Director] Board may provide, 
shall include in plain and understandable language the 
following information:
          (1) A description and explanation of the nature and 
        purpose of the costs incident to a real estate 
        settlement or a federally related mortgage loan. The 
        description and explanation shall provide general 
        information about the mortgage process as well as 
        specific information concerning, at a minimum--
                  (A) balloon payments;
                  (B) prepayment penalties;
                  (C) the advantages of prepayment; and
                  (D) the trade-off between closing costs and 
                the interest rate over the life of the loan.
          (2) An explanation and sample of the uniform 
        settlement statement required by section 4.
          (3) A list and explanation of lending practices, 
        including those prohibited by the Truth in Lending Act 
        or other applicable Federal law, and of other unfair 
        practices and unreasonable or unnecessary charges to be 
        avoided by the prospective buyer with respect to a real 
        estate settlement.
          (4) A list and explanation of questions a consumer 
        obtaining a federally related mortgage loan should ask 
        regarding the loan, including whether the consumer will 
        have the ability to repay the loan, whether the 
        consumer sufficiently shopped for the loan, whether the 
        loan terms include prepayment penalties or balloon 
        payments, and whether the loan will benefit the 
        borrower.
          (5) An explanation of the right of rescission as to 
        certain transactions provided by sections 125 and 129 
        of the Truth in Lending Act.
          (6) A brief explanation of the nature of a variable 
        rate mortgage and a reference to the booklet entitled 
        ``Consumer Handbook on Adjustable Rate Mortgages'', 
        published by the [Director] Board , or to any suitable 
        substitute of such booklet that the [Director] Board 
        may subsequently adopt pursuant to such section.
          (7) A brief explanation of the nature of a home 
        equity line of credit and a reference to the pamphlet 
        required to be provided under section 127A of the Truth 
        in Lending Act.
          (8) Information about homeownership counseling 
        services made available pursuant to section 106(a)(4) 
        of the Housing and Urban Development Act of 1968 (12 
        U.S.C. 1701x(a)(4)), a recommendation that the consumer 
        use such services, and notification that a list of 
        certified providers of homeownership counseling in the 
        area, and their contact information, is available.
          (9) An explanation of the nature and purpose of 
        escrow accounts when used in connection with loans 
        secured by residential real estate and the requirements 
        under section 10 of this Act regarding such accounts.
          (10) An explanation of the choices available to 
        buyers of residential real estate in selecting persons 
        to provide necessary services incidental to a real 
        estate settlement.
          (11) An explanation of a consumer's responsibilities, 
        liabilities, and obligations in a mortgage transaction.
          (12) An explanation of the nature and purpose of real 
        estate appraisals, including the difference between an 
        appraisal and a home inspection.
          (13) Notice that the Office of Housing of the Bureau 
        of Consumer Financial Protection has made publicly 
        available a brochure regarding loan fraud and a World 
        Wide Web address and toll-free telephone number for 
        obtaining the brochure.
          (14) An explanation of flood insurance and the 
        availability of flood insurance under the National 
        Flood Insurance Program or from a private insurance 
        company, whether or not the real estate is located in 
        an area having special flood hazards, and the following 
        statement: ``Although you may not be required to 
        maintain flood insurance on all structures, you may 
        still wish to do so, and your mortgage lender may still 
        require you to do so to protect the collateral securing 
        the mortgage. If you choose to not maintain flood 
        insurance on a structure, and it floods, you are 
        responsible for all flood losses relating to that 
        structure.''.
The booklet prepared pursuant to this section shall take into 
consideration differences in real estate settlement procedures 
that may exist among the several States and territories of the 
United States and among separate political subdivisions within 
the same State and territory.
  (c) Each lender shall include with the booklet a good faith 
estimate of the amount or range of charges for specific 
settlement services the borrower is likely to incur in 
connection with the settlement as prescribed by the Bureau. 
Each lender shall also include with the booklet a reasonably 
complete or updated list of homeownership counselors who are 
certified pursuant to section 106(e) of the Housing and Urban 
Development Act of 1968 (12 U.S.C. 1701x(e)) and located in the 
area of the lender.
  (d) Each lender referred to in subsection (a) shall provide 
the booklet described in such subsection to each person from 
whom it receives or for whom it prepares a written application 
to borrow money to finance the purchase of residential real 
estate. The lender shall provide the booklet in the version 
that is most appropriate for the person receiving it. Such 
booklet shall be provided by delivering it or placing it in the 
mail not later than 3 business days after the lender receives 
the application, but no booklet need be provided if the lender 
denies the application for credit before the end of the 3-day 
period.
  (e) Booklets may be printed and distributed by lenders if 
their form and content are approved by the Bureau as meeting 
the requirements of subsection (b) of this section.

           *       *       *       *       *       *       *

                              ----------                              


                S.A.F.E. MORTGAGE LICENSING ACT OF 2008



           *       *       *       *       *       *       *
DIVISION A--HOUSING FINANCE REFORM

           *       *       *       *       *       *       *


                TITLE V--S.A.F.E. MORTGAGE LICENSING ACT

SEC. 1501. SHORT TITLE.

  This title may be cited as the ``Secure and Fair Enforcement 
for Mortgage Licensing Act of 2008'' or ``S.A.F.E. Mortgage 
Licensing Act of 2008''.

SEC. 1502. PURPOSES AND METHODS FOR ESTABLISHING A MORTGAGE LICENSING 
                    SYSTEM AND REGISTRY.

  In order to increase uniformity, reduce regulatory burden, 
enhance consumer protection, and reduce fraud, the States, 
through the Conference of State Bank Supervisors and the 
American Association of Residential Mortgage Regulators, are 
hereby encouraged to establish a Nationwide Mortgage Licensing 
System and Registry for the residential mortgage industry that 
accomplishes all of the following objectives:
          (1) Provides uniform license applications and 
        reporting requirements for State-licensed loan 
        originators.
          (2) Provides a comprehensive licensing and 
        supervisory database.
          (3) Aggregates and improves the flow of information 
        to and between regulators.
          (4) Provides increased accountability and tracking of 
        loan originators.
          (5) Streamlines the licensing process and reduces the 
        regulatory burden.
          (6) Enhances consumer protections and supports anti-
        fraud measures.
          (7) Provides consumers with easily accessible 
        information, offered at no charge, utilizing electronic 
        media, including the Internet, regarding the employment 
        history of, and publicly adjudicated disciplinary and 
        enforcement actions against, loan originators.
          (8) Establishes a means by which residential mortgage 
        loan originators would, to the greatest extent 
        possible, be required to act in the best interests of 
        the consumer.
          (9) Facilitates responsible behavior in the subprime 
        mortgage market place and provides comprehensive 
        training and examination requirements related to 
        subprime mortgage lending.
          (10) Facilitates the collection and disbursement of 
        consumer complaints on behalf of State and Federal 
        mortgage regulators.

SEC. 1503. DEFINITIONS.

  For purposes of this title, the following definitions shall 
apply:
          (1) Bureau.-- The term ``Bureau'' means the Bureau of 
        Consumer Financial Protection.
          (2) Federal banking agency.-- The term ``Federal 
        banking agency'' means the Board of Governors of the 
        Federal Reserve System, the Office of the Comptroller 
        of the Currency, the National Credit Union 
        Administration, and the Federal Deposit Insurance 
        Corporation.
          (3) Depository institution.-- The term ``depository 
        institution'' has the same meaning as in section 3 of 
        the Federal Deposit Insurance Act, and includes any 
        credit union.
          (4) Loan originator.--
                  (A) In general.-- The term ``loan 
                originator''--
                          (i) means an individual who--
                                  (I) takes a residential 
                                mortgage loan application; and
                                  (II) offers or negotiates 
                                terms of a residential mortgage 
                                loan for compensation or gain;
                          (ii) does not include any individual 
                        who is not otherwise described in 
                        clause (i) and who performs purely 
                        administrative or clerical tasks on 
                        behalf of a person who is described in 
                        any such clause;
                          (iii) does not include a person or 
                        entity that only performs real estate 
                        brokerage activities and is licensed or 
                        registered in accordance with 
                        applicable State law, unless the person 
                        or entity is compensated by a lender, a 
                        mortgage broker, or other loan 
                        originator or by any agent of such 
                        lender, mortgage broker, or other loan 
                        originator; and
                          (iv) does not include a person or 
                        entity solely involved in extensions of 
                        credit relating to timeshare plans, as 
                        that term is defined in section 
                        101(53D) of title 11, United States 
                        Code.
                  (B) Other definitions relating to loan 
                originator.-- For purposes of this subsection, 
                an individual ``assists a consumer in obtaining 
                or applying to obtain a residential mortgage 
                loan'' by, among other things, advising on loan 
                terms (including rates, fees, other costs), 
                preparing loan packages, or collecting 
                information on behalf of the consumer with 
                regard to a residential mortgage loan.
                  (C) Administrative or clerical tasks.-- The 
                term ``administrative or clerical tasks'' means 
                the receipt, collection, and distribution of 
                information common for the processing or 
                underwriting of a loan in the mortgage industry 
                and communication with a consumer to obtain 
                information necessary for the processing or 
                underwriting of a residential mortgage loan.
                  (D) Real estate brokerage activity defined.-- 
                The term ``real estate brokerage activity'' 
                means any activity that involves offering or 
                providing real estate brokerage services to the 
                public, including--
                          (i) acting as a real estate agent or 
                        real estate broker for a buyer, seller, 
                        lessor, or lessee of real property;
                          (ii) bringing together parties 
                        interested in the sale, purchase, 
                        lease, rental, or exchange of real 
                        property;
                          (iii) negotiating, on behalf of any 
                        party, any portion of a contract 
                        relating to the sale, purchase, lease, 
                        rental, or exchange of real property 
                        (other than in connection with 
                        providing financing with respect to any 
                        such transaction);
                          (iv) engaging in any activity for 
                        which a person engaged in the activity 
                        is required to be registered or 
                        licensed as a real estate agent or real 
                        estate broker under any applicable law; 
                        and
                          (v) offering to engage in any 
                        activity, or act in any capacity, 
                        described in clause (i), (ii), (iii), 
                        or (iv).
          (5) Loan processor or underwriter.--
                  (A) In general.-- The term ``loan processor 
                or underwriter'' means an individual who 
                performs clerical or support duties at the 
                direction of and subject to the supervision and 
                instruction of--
                          (i) a State-licensed loan originator; 
                        or
                          (ii) a registered loan originator.
                  (B) Clerical or support duties.-- For 
                purposes of subparagraph (A), the term 
                ``clerical or support duties'' may include--
                          (i) the receipt, collection, 
                        distribution, and analysis of 
                        information common for the processing 
                        or underwriting of a residential 
                        mortgage loan; and
                          (ii) communicating with a consumer to 
                        obtain the information necessary for 
                        the processing or underwriting of a 
                        loan, to the extent that such 
                        communication does not include offering 
                        or negotiating loan rates or terms, or 
                        counseling consumers about residential 
                        mortgage loan rates or terms.
          (6) Nationwide mortgage licensing system and 
        registry.-- The term ``Nationwide Mortgage Licensing 
        System and Registry'' means a mortgage licensing system 
        developed and maintained by the Conference of State 
        Bank Supervisors and the American Association of 
        Residential Mortgage Regulators for the State licensing 
        and registration of State-licensed loan originators and 
        the registration of registered loan originators or any 
        system established by the [Director] Board under 
        section 1509.
          (7) Nontraditional mortgage product.-- The term 
        ``nontraditional mortgage product'' means any mortgage 
        product other than a 30-year fixed rate mortgage.
          (8) Registered loan originator.-- The term 
        ``registered loan originator'' means any individual 
        who--
                  (A) meets the definition of loan originator 
                and is an employee of--
                          (i) a depository institution;
                          (ii) a subsidiary that is--
                                  (I) owned and controlled by a 
                                depository institution; and
                                  (II) regulated by a Federal 
                                banking agency; or
                          (iii) an institution regulated by the 
                        Farm Credit Administration; and
                  (B) is registered with, and maintains a 
                unique identifier through, the Nationwide 
                Mortgage Licensing System and Registry.
          (9) Residential mortgage loan.-- The term 
        ``residential mortgage loan'' means any loan primarily 
        for personal, family, or household use that is secured 
        by a mortgage, deed of trust, or other equivalent 
        consensual security interest on a dwelling (as defined 
        in section 103(v) of the Truth in Lending Act) or 
        residential real estate upon which is constructed or 
        intended to be constructed a dwelling (as so defined).
          (10)  [Director]  Board .-- The term [``Director'' 
        means the Director] ``Board'' means the Board of 
        Directors of the Bureau of Consumer Financial 
        Protection.
          (11) State.-- The term ``State'' means any State of 
        the United States, the District of Columbia, any 
        territory of the United States, Puerto Rico, Guam, 
        American Samoa, the Trust Territory of the Pacific 
        Islands, the Virgin Islands, and the Northern Mariana 
        Islands.
          (12) State-licensed loan originator.-- The term 
        ``State-licensed loan originator'' means any individual 
        who--
                  (A) is a loan originator;
                  (B) is not an employee of--
                          (i) a depository institution;
                          (ii) a subsidiary that is--
                                  (I) owned and controlled by a 
                                depository institution; and
                                  (II) regulated by a Federal 
                                banking agency; or
                          (iii) an institution regulated by the 
                        Farm Credit Administration; and
                  (C) is licensed by a State or by the 
                [Director] Board under section 1508 and 
                registered as a loan originator with, and 
                maintains a unique identifier through, the 
                Nationwide Mortgage Licensing System and 
                Registry.
          (13) Unique identifier.--
                  (A) In general.-- The term ``unique 
                identifier'' means a number or other identifier 
                that--
                          (i) permanently identifies a loan 
                        originator;
                          (ii) is assigned by protocols 
                        established by the Nationwide Mortgage 
                        Licensing System and Registry and the 
                        Bureau to facilitate electronic 
                        tracking of loan originators and 
                        uniform identification of, and public 
                        access to, the employment history of 
                        and the publicly adjudicated 
                        disciplinary and enforcement actions 
                        against loan originators; and
                          (iii) shall not be used for purposes 
                        other than those set forth under this 
                        title.
                  (B) Responsibility of states.-- To the 
                greatest extent possible and to accomplish the 
                purpose of this title, States shall use unique 
                identifiers in lieu of social security numbers.

           *       *       *       *       *       *       *


SEC. 1508. BUREAU OF CONSUMER FINANCIAL PROTECTION BACKUP AUTHORITY TO 
                    ESTABLISH LOAN ORIGINATOR LICENSING SYSTEM.

  (a) Backup Licensing System.--If, by the end of the 1-year 
period, or the 2-year period in the case of a State whose 
legislature meets only biennially, beginning on the date of the 
enactment of this title or at any time thereafter, the 
[Director] Board determines that a State does not have in place 
by law or regulation a system for licensing and registering 
loan originators that meets the requirements of sections 1505 
and 1506 and subsection (d) of this section, or does not 
participate in the Nationwide Mortgage Licensing System and 
Registry, the [Director] Board shall provide for the 
establishment and maintenance of a system for the licensing and 
registration by the [Director] Board of loan originators 
operating in such State as State-licensed loan originators.
  (b) Licensing and Registration Requirements.--The system 
established by the [Director] Board under subsection (a) for 
any State shall meet the requirements of sections 1505 and 1506 
for State-licensed loan originators.
  (c) Unique Identifier.--The [Director] Board shall coordinate 
with the Nationwide Mortgage Licensing System and Registry to 
establish protocols for assigning a unique identifier to each 
loan originator licensed by the [Director] Board as a State-
licensed loan originator that will facilitate electronic 
tracking and uniform identification of, and public access to, 
the employment history of and the publicly adjudicated 
disciplinary and enforcement actions against loan originators.
  (d) State Licensing Law Requirements.--For purposes of this 
section, the law in effect in a State meets the requirements of 
this subsection if the [Director] Board determines the law 
satisfies the following minimum requirements:
          (1) A State loan originator supervisory authority is 
        maintained to provide effective supervision and 
        enforcement of such law, including the suspension, 
        termination, or nonrenewal of a license for a violation 
        of State or Federal law.
          (2) The State loan originator supervisory authority 
        ensures that all State-licensed loan originators 
        operating in the State are registered with Nationwide 
        Mortgage Licensing System and Registry.
          (3) The State loan originator supervisory authority 
        is required to regularly report violations of such law, 
        as well as enforcement actions and other relevant 
        information, to the Nationwide Mortgage Licensing 
        System and Registry.
          (4) The State loan originator supervisory authority 
        has a process in place for challenging information 
        contained in the Nationwide Mortgage Licensing System 
        and Registry.
          (5) The State loan originator supervisory authority 
        has established a mechanism to assess civil money 
        penalties for individuals acting as mortgage 
        originators in their State without a valid license or 
        registration.
          (6) The State loan originator supervisory authority 
        has established minimum net worth or surety bonding 
        requirements that reflect the dollar amount of loans 
        originated by a residential mortgage loan originator, 
        or has established a recovery fund paid into by the 
        loan originators.
  (e) Temporary Extension of Period.--The [Director] Board may 
extend, by not more than 24 months, the 1-year or 2-year 
period, as the case may be, referred to in subsection (a) for 
the licensing of loan originators in any State under a State 
licensing law that meets the requirements of sections 1505 and 
1506 and subsection (d) if the [Director] Board determines that 
such State is making a good faith effort to establish a State 
licensing law that meets such requirements, license mortgage 
originators under such law, and register such originators with 
the Nationwide Mortgage Licensing System and Registry.
  (f) Regulation Authority.--
          (1) In general.-- The Bureau is authorized to 
        promulgate regulations setting minimum net worth or 
        surety bond requirements for residential mortgage loan 
        originators and minimum requirements for recovery funds 
        paid into by loan originators.
          (2) Considerations.-- In issuing regulations under 
        paragraph (1), the Bureau shall take into account the 
        need to provide originators adequate incentives to 
        originate affordable and sustainable mortgage loans, as 
        well as the need to ensure a competitive origination 
        market that maximizes consumer access to affordable and 
        sustainable mortgage loans.

SEC. 1509. BACKUP AUTHORITY TO ESTABLISH A NATIONWIDE MORTGAGE 
                    LICENSING AND REGISTRY SYSTEM.

  If at any time the [Director] Board determines that the 
Nationwide Mortgage Licensing System and Registry is failing to 
meet the requirements and purposes of this title for a 
comprehensive licensing, supervisory, and tracking system for 
loan originators, the [Director] Board shall establish and 
maintain such a system to carry out the purposes of this title 
and the effective registration and regulation of loan 
originators.

           *       *       *       *       *       *       *


SEC. 1512. CONFIDENTIALITY OF INFORMATION.

  (a) System Confidentiality.--Except as otherwise provided in 
this section, any requirement under Federal or State law 
regarding the privacy or confidentiality of any information or 
material provided to the Nationwide Mortgage Licensing System 
and Registry or a system established by the [Director] Board 
under section 1509, and any privilege arising under Federal or 
State law (including the rules of any Federal or State court) 
with respect to such information or material, shall continue to 
apply to such information or material after the information or 
material has been disclosed to the system. Such information and 
material may be shared with all State and Federal regulatory 
officials with mortgage or financial services industry 
oversight authority without the loss of privilege or the loss 
of confidentiality protections provided by Federal and State 
laws.
  (b) Nonapplicability of Certain Requirements.--Information or 
material that is subject to a privilege or confidentiality 
under subsection (a) shall not be subject to--
          (1) disclosure under any Federal or State law 
        governing the disclosure to the public of information 
        held by an officer or an agency of the Federal 
        Government or the respective State; or
          (2) subpoena or discovery, or admission into 
        evidence, in any private civil action or administrative 
        process, unless with respect to any privilege held by 
        the Nationwide Mortgage Licensing System and Registry 
        or the [Director] Board with respect to such 
        information or material, the person to whom such 
        information or material pertains waives, in whole or in 
        part, in the discretion of such person, that privilege.
  (c) Coordination With Other Law.--Any State law, including 
any State open record law, relating to the disclosure of 
confidential supervisory information or any information or 
material described in subsection (a) that is inconsistent with 
subsection (a) shall be superseded by the requirements of such 
provision to the extent State law provides less confidentiality 
or a weaker privilege.
  (d) Public Access to Information.--This section shall not 
apply with respect to the information or material relating to 
the employment history of, and publicly adjudicated 
disciplinary and enforcement actions against, loan originators 
that is included in Nationwide Mortgage Licensing System and 
Registry for access by the public.

SEC. 1513. LIABILITY PROVISIONS.

  The Bureau, any State official or agency, or any organization 
serving as the administrator of the Nationwide Mortgage 
Licensing System and Registry or a system established by the 
[Director] Board under section 1509, or any officer or employee 
of any such entity, shall not be subject to any civil action or 
proceeding for monetary damages by reason of the good faith 
action or omission of any officer or employee of any such 
entity, while acting within the scope of office or employment, 
relating to the collection, furnishing, or dissemination of 
information concerning persons who are loan originators or are 
applying for licensing or registration as loan originators.

SEC. 1514. ENFORCEMENT BY THE BUREAU.

  (a) Summons Authority.--The [Director] Board may--
          (1) examine any books, papers, records, or other data 
        of any loan originator operating in any State which is 
        subject to a licensing system established by the 
        [Director] Board under section 1508; and
          (2) summon any loan originator referred to in 
        paragraph (1) or any person having possession, custody, 
        or care of the reports and records relating to such 
        loan originator, to appear before the [Director] Board 
        or any delegate of the [Director] Board at a time and 
        place named in the summons and to produce such books, 
        papers, records, or other data, and to give testimony, 
        under oath, as may be relevant or material to an 
        investigation of such loan originator for compliance 
        with the requirements of this title.
  (b) Examination Authority.--
          (1) In general.-- If the [Director] Board establishes 
        a licensing system under section 1508 for any State, 
        the [Director] Board shall appoint examiners for the 
        purposes of administering such section.
          (2) Power to examine.-- Any examiner appointed under 
        paragraph (1) shall have power, on behalf of the 
        [Director] Board , to make any examination of any loan 
        originator operating in any State which is subject to a 
        licensing system established by the [Director] Board 
        under section 1508 whenever the [Director] Board 
        determines an examination of any loan originator is 
        necessary to determine the compliance by the originator 
        with this title.
          (3) Report of examination.-- Each examiner appointed 
        under paragraph (1) shall make a full and detailed 
        report of examination of any loan originator examined 
        to the [Director] Board .
          (4) Administration of oaths and affirmations; 
        evidence.-- In connection with examinations of loan 
        originators operating in any State which is subject to 
        a licensing system established by the [Director] Board 
        under section 1508, or with other types of 
        investigations to determine compliance with applicable 
        law and regulations, the [Director] Board and examiners 
        appointed by the [Director] Board may administer oaths 
        and affirmations and examine and take and preserve 
        testimony under oath as to any matter in respect to the 
        affairs of any such loan originator.
          (5) Assessments.-- The cost of conducting any 
        examination of any loan originator operating in any 
        State which is subject to a licensing system 
        established by the [Director] Board under section 1508 
        shall be assessed by the [Director] Board against the 
        loan originator to meet the [Secretary's expenses] 
        expenses of the Board in carrying out such examination.
  (c) Cease and Desist Proceeding.--
          (1) Authority of [director]  board .-- If the 
        [Director] Board finds, after notice and opportunity 
        for hearing, that any person is violating, has 
        violated, or is about to violate any provision of this 
        title, or any regulation thereunder, with respect to a 
        State which is subject to a licensing system 
        established by the [Director] Board under section 1508, 
        the [Director] Board may publish such findings and 
        enter an order requiring such person, and any other 
        person that is, was, or would be a cause of the 
        violation, due to an act or omission the person knew or 
        should have known would contribute to such violation, 
        to cease and desist from committing or causing such 
        violation and any future violation of the same 
        provision, rule, or regulation. Such order may, in 
        addition to requiring a person to cease and desist from 
        committing or causing a violation, require such person 
        to comply, or to take steps to effect compliance, with 
        such provision or regulation, upon such terms and 
        conditions and within such time as the [Director] Board 
        may specify in such order. Any such order may, as the 
        [Director] Board deems appropriate, require future 
        compliance or steps to effect future compliance, either 
        permanently or for such period of time as the 
        [Director] Board may specify, with such provision or 
        regulation with respect to any loan originator.
          (2) Hearing.-- The notice instituting proceedings 
        pursuant to paragraph (1) shall fix a hearing date not 
        earlier than 30 days nor later than 60 days after 
        service of the notice unless an earlier or a later date 
        is set by the [Director] Board with the consent of any 
        respondent so served.
          (3) Temporary order.-- Whenever the [Director] Board 
        determines that the alleged violation or threatened 
        violation specified in the notice instituting 
        proceedings pursuant to paragraph (1), or the 
        continuation thereof, is likely to result in 
        significant dissipation or conversion of assets, 
        significant harm to consumers, or substantial harm to 
        the public interest prior to the completion of the 
        proceedings, the [Director] Board may enter a temporary 
        order requiring the respondent to cease and desist from 
        the violation or threatened violation and to take such 
        action to prevent the violation or threatened violation 
        and to prevent dissipation or conversion of assets, 
        significant harm to consumers, or substantial harm to 
        the public interest as the [Director] Board deems 
        appropriate pending completion of such proceedings. 
        Such an order shall be entered only after notice and 
        opportunity for a hearing, unless the [Director] Board 
        determines that notice and hearing prior to entry would 
        be impracticable or contrary to the public interest. A 
        temporary order shall become effective upon service 
        upon the respondent and, unless set aside, limited, or 
        suspended by the [Director] Board or a court of 
        competent jurisdiction, shall remain effective and 
        enforceable pending the completion of the proceedings.
          (4) Review of temporary orders.--
                  (A) Review by [director]  board .-- At any 
                time after the respondent has been served with 
                a temporary cease and desist order pursuant to 
                paragraph (3), the respondent may apply to the 
                [Director] Board to have the order set aside, 
                limited, or suspended. If the respondent has 
                been served with a temporary cease and desist 
                order entered without a prior hearing before 
                the [Director] Board , the respondent may, 
                within 10 days after the date on which the 
                order was served, request a hearing on such 
                application and the [Director] Board shall hold 
                a hearing and render a decision on such 
                application at the earliest possible time.
                  (B) Judicial review.-- Within--
                          (i) 10 days after the date the 
                        respondent was served with a temporary 
                        cease and desist order entered with a 
                        prior hearing before the [Director] 
                        Board ; or
                          (ii) 10 days after the [Director] 
                        Board renders a decision on an 
                        application and hearing under paragraph 
                        (1), with respect to any temporary 
                        cease and desist order entered without 
                        a prior hearing before the [Director] 
                        Board ,
                the respondent may apply to the United States 
                district court for the district in which the 
                respondent resides or has its principal place 
                of business, or for the District of Columbia, 
                for an order setting aside, limiting, or 
                suspending the effectiveness or enforcement of 
                the order, and the court shall have 
                jurisdiction to enter such an order. A 
                respondent served with a temporary cease and 
                desist order entered without a prior hearing 
                before the [Director] Board may not apply to 
                the court except after hearing and decision by 
                the [Director] Board on the respondent's 
                application under subparagraph (A).
                  (C) No automatic stay of temporary order.-- 
                The commencement of proceedings under 
                subparagraph (B) shall not, unless specifically 
                ordered by the court, operate as a stay of the 
                [Secretary's] Board's order.
          (5) Authority of the [director]  board to prohibit 
        persons from serving as loan originators.-- In any 
        cease and desist proceeding under paragraph (1), the 
        [Director] Board may issue an order to prohibit, 
        conditionally or unconditionally, and permanently or 
        for such period of time as the [Director] Board shall 
        determine, any person who has violated this title or 
        regulations thereunder, from acting as a loan 
        originator if the conduct of that person demonstrates 
        unfitness to serve as a loan originator.
  (d) Authority of the [Director] Board To Assess Money 
Penalties.--
          (1) In general.-- The [Director] Board may impose a 
        civil penalty on a loan originator operating in any 
        State which is subject to a licensing system 
        established by the [Director] Board under section 1508, 
        if the [Director] Board finds, on the record after 
        notice and opportunity for hearing, that such loan 
        originator has violated or failed to comply with any 
        requirement of this title or any regulation prescribed 
        by the [Director] Board under this title or order 
        issued under subsection (c).
          (2) Maximum amount of penalty.-- The maximum amount 
        of penalty for each act or omission described in 
        paragraph (1) shall be $25,000.

           *       *       *       *       *       *       *


SEC. 1516. REPORTS AND RECOMMENDATIONS TO CONGRESS.

  (a) Annual Reports.--Not later than 1 year after the date of 
enactment of this title, and annually thereafter, the 
[Director] Board shall submit a report to Congress on the 
effectiveness of the provisions of this title, including 
legislative recommendations, if any, for strengthening consumer 
protections, enhancing examination standards, streamlining 
communication between all stakeholders involved in residential 
mortgage loan origination and processing, and establishing 
performance based bonding requirements for mortgage originators 
or institutions that employ such brokers.
  (b) Legislative Recommendations.--Not later than 6 months 
after the date of enactment of this title, the [Director] Board 
shall make recommendations to Congress on legislative reforms 
to the Real Estate Settlement Procedures Act of 1974, that the 
[Director] Board deems appropriate to promote more transparent 
disclosures, allowing consumers to better shop and compare 
mortgage loan terms and settlement costs.

SEC. 1517. STUDY AND REPORTS ON DEFAULTS AND FORECLOSURES.

  (a) Study Required.--The [Director] Board shall conduct an 
extensive study of the root causes of default and foreclosure 
of home loans, using as much empirical data as is available.
  (b) Preliminary Report to Congress.--Not later than 6 months 
after the date of enactment of this title, the [Director] Board 
shall submit to Congress a preliminary report regarding the 
study required by this section.
  (c) Final Report to Congress.--Not later than 12 months after 
the date of enactment of this title, the [Director] Board shall 
submit to Congress a final report regarding the results of the 
study required by this section, which shall include any 
recommended legislation relating to the study, and 
recommendations for best practices and for a process to provide 
targeted assistance to populations with the highest risk of 
potential default or foreclosure.

           *       *       *       *       *       *       *

                              ----------                              


                      TITLE 44, UNITED STATES CODE



           *       *       *       *       *       *       *
         CHAPTER 35--COORDINATION OF FEDERAL INFORMATION POLICY

SUBCHAPTER I--FEDERAL INFORMATION POLICY

           *       *       *       *       *       *       *


Sec. 3513. Director review of agency activities; reporting; agency 
                    response

  (a) In consultation with the Administrator of General 
Services, the Archivist of the United States, the Director of 
the National Institute of Standards and Technology, and the 
Director of the Office of Personnel Management, the Director 
shall periodically review selected agency information resources 
management activities to ascertain the efficiency and 
effectiveness of such activities to improve agency performance 
and the accomplishment of agency missions.
  (b) Each agency having an activity reviewed under subsection 
(a) shall, within 60 days after receipt of a report on the 
review, provide a written plan to the Director describing steps 
(including milestones) to--
          (1) be taken to address information resources 
        management problems identified in the report; and
          (2) improve agency performance and the accomplishment 
        of agency missions.
  (c) Comparable Treatment.--Notwithstanding any other 
provision of law, the Director shall treat or review a rule or 
order prescribed or proposed by the [Director of the Bureau] 
Board of Directors of the Bureau of Consumer Financial 
Protection on the same terms and conditions as apply to any 
rule or order prescribed or proposed by the Board of Governors 
of the Federal Reserve System.

           *       *       *       *       *       *       *

                              ----------                              


                      TITLE 31, UNITED STATES CODE



           *       *       *       *       *       *       *
SUBTITLE II--THE BUDGET PROCESS

           *       *       *       *       *       *       *


CHAPTER 11--THE BUDGET AND FISCAL, BUDGET, AND PROGRAM INFORMATION

           *       *       *       *       *       *       *


Sec. 1105. Budget contents and submission to Congress

  (a) On or after the first Monday in January but not later 
than the first Monday in February of each year, the President 
shall submit a budget of the United States Government for the 
following fiscal year. Each budget shall include a budget 
message and summary and supporting information. The President 
shall include in each budget the following:
          (1) information on activities and functions of the 
        Government.
          (2) when practicable, information on costs and 
        achievements of Government programs.
          (3) other desirable classifications of information.
          (4) a reconciliation of the summary information on 
        expenditures with proposed appropriations.
          (5) except as provided in subsection (b) of this 
        section, estimated expenditures and proposed 
        appropriations the President decides are necessary to 
        support the Government in the fiscal year for which the 
        budget is submitted and the 4 fiscal years after that 
        year.
          (6) estimated receipts of the Government in the 
        fiscal year for which the budget is submitted and the 4 
        fiscal years after that year under--
                  (A) laws in effect when the budget is 
                submitted; and
                  (B) proposals in the budget to increase 
                revenues.
          (7) appropriations, expenditures, and receipts of the 
        Government in the prior fiscal year.
          (8) estimated expenditures and receipts, and 
        appropriations and proposed appropriations, of the 
        Government for the current fiscal year.
          (9) balanced statements of the--
                  (A) condition of the Treasury at the end of 
                the prior fiscal year;
                  (B) estimated condition of the Treasury at 
                the end of the current fiscal year; and
                  (C) estimated condition of the Treasury at 
                the end of the fiscal year for which the budget 
                is submitted if financial proposals in the 
                budget are adopted.
          (10) essential information about the debt of the 
        Government.
          (11) other financial information the President 
        decides is desirable to explain in practicable detail 
        the financial condition of the Government.
          (12) for each proposal in the budget for legislation 
        that would establish or expand a Government activity or 
        function, a table showing--
                  (A) the amount proposed in the budget for 
                appropriation and for expenditure because of 
                the proposal in the fiscal year for which the 
                budget is submitted; and
                  (B) the estimated appropriation required 
                because of the proposal for each of the 4 
                fiscal years after that year that the proposal 
                will be in effect.
          (13) an allowance for additional estimated 
        expenditures and proposed appropriations for the fiscal 
        year for which the budget is submitted.
          (14) an allowance for unanticipated uncontrollable 
        expenditures for that year.
          (15) a separate statement on each of the items 
        referred to in section 301(a)(1)-(5) of the 
        Congressional Budget Act of 1974 (2 U.S.C. 632(a)(1)-
        (5)).
          (16) the level of tax expenditures under existing law 
        in the tax expenditures budget (as defined in section 
        3(a)(3) of the Congressional Budget Act of 1974 (2 
        U.S.C. 622(a)(3)) for the fiscal year for which the 
        budget is submitted, considering projected economic 
        factors and changes in the existing levels based on 
        proposals in the budget.
          (17) information on estimates of appropriations for 
        the fiscal year following the fiscal year for which the 
        budget is submitted for grants, contracts, and other 
        payments under each program for which there is an 
        authorization of appropriations for that following 
        fiscal year when the appropriations are authorized to 
        be included in an appropriation law for the fiscal year 
        before the fiscal year in which the appropriation is to 
        be available for obligation.
          (18) a comparison of the total amount of budget 
        outlays for the prior fiscal year, estimated in the 
        budget submitted for that year, for each major program 
        having relatively uncontrollable outlays with the total 
        amount of outlays for that program in that year.
          (19) a comparison of the total amount of receipts for 
        the prior fiscal year, estimated in the budget 
        submitted for that year, with receipts received in that 
        year, and for each major source of receipts, a 
        comparison of the amount of receipts estimated in that 
        budget with the amount of receipts from that source in 
        that year.
          (20) an analysis and explanation of the differences 
        between each amount compared under clauses (18) and 
        (19) of this subsection.
          (21) a horizontal budget showing--
                  (A) the programs for meteorology and of the 
                National Climate Program established under 
                section 5 of the National Climate Program Act 
                (15 U.S.C. 2904);
                  (B) specific aspects of the program of, and 
                appropriations for, each agency; and
                  (C) estimated goals and financial 
                requirements.
          (22) a statement of budget authority, proposed budget 
        authority, budget outlays, and proposed budget outlays, 
        and descriptive information in terms of--
                  (A) a detailed structure of national needs 
                that refers to the missions and programs of 
                agencies (as defined in section 101 of this 
                title); and
                  (B) the missions and basic programs.
          (23) separate appropriation accounts for 
        appropriations under the Occupational Safety and Health 
        Act of 1970(29 U.S.C. 651 et seq.) and the Federal Mine 
        Safety and Health Act of 1977 (30 U.S.C. 801 et seq.).
          (24) recommendations on the return of Government 
        capital to the Treasury by a mixed-ownership 
        corporation (as defined in section 9101(2) of this 
        title) that the President decides are desirable.
          (25) a separate appropriation account for 
        appropriations for each Office of Inspector General of 
        an establishment defined under section 11(2) of the 
        Inspector General Act of 1978.
          (26) a separate statement of the amount of 
        appropriations requested for the Office of National 
        Drug Control Policy and each program of the National 
        Drug Control Program.
          (27) a separate statement of the amount of 
        appropriations requested for the Office of Federal 
        Financial Management.
          (28) beginning with fiscal year 1999, a Federal 
        Government performance plan for the overall budget as 
        provided for under section 1115.
          (29) information about the Violent Crime Reduction 
        Trust Fund, including a separate statement of amounts 
        in that Trust Fund.
          (30) an analysis displaying, by agency, proposed 
        reductions in full-time equivalent positions compared 
        to the current year's level in order to comply with 
        section 5 of the Federal Workforce Restructuring Act of 
        1994.
          (31) a separate statement of the amount of 
        appropriations requested for the Chief Financial 
        Officer in the Executive Office of the President.
          (32) a statement of the levels of budget authority 
        and outlays for each program assumed to be extended in 
        the baseline as provided in section 257(b)(2)(A) and 
        for excise taxes assumed to be extended under section 
        257(b)(2)(C) of the Balanced Budget and Emergency 
        Deficit Control Act of 1985.
          (33) a separate appropriation account for 
        appropriations for the Council of the Inspectors 
        General on Integrity and Efficiency, and, included in 
        that account, a separate statement of the aggregate 
        amount of appropriations requested for each academy 
        maintained by the Council of the Inspectors General on 
        Integrity and Efficiency.
          (34) with respect to the amount of appropriations 
        requested for use by the Export-Import Bank of the 
        United States, a separate statement of the amount 
        requested for its program budget, the amount requested 
        for its administrative expenses, and of the amount 
        requested for its administrative expenses, the amount 
        requested for technology expenses.
          (35)(A)(i) a detailed, separate analysis, by budget 
        function, by agency, and by initiative area (as 
        determined by the administration) for the prior fiscal 
        year, the current fiscal year, the fiscal years for 
        which the budget is submitted, and the ensuing fiscal 
        year identifying the amounts of gross and net 
        appropriations or obligational authority and outlays 
        that contribute to [homeland security] cybersecurity , 
        with separate displays for mandatory and discretionary 
        amounts, including--
                  (I) summaries of the total amount of such 
                appropriations or new obligational authority 
                and outlays requested for [homeland security] 
                cybersecurity ;
                  (II) an estimate of the current service 
                levels of [homeland security] cybersecurity 
                spending;
                  (III) the most recent risk assessment and 
                summary of [homeland security] cybersecurity 
                needs in each initiative area (as determined by 
                the administration); and
                  (IV) an estimate of user fees collected by 
                the Federal Government on behalf of [homeland 
                security] cybersecurity activities;
          (ii) with respect to subclauses (I) through (IV) of 
        clause (i), amounts shall be provided by account for 
        each program, project and activity; and
          (iii) an estimate of expenditures for [homeland 
        security] cybersecurity activities by State and local 
        governments and the private sector for the prior fiscal 
        year and the current fiscal year.
          [(B) In this paragraph, consistent with the Office of 
        Management and Budget's June 2002 ``Annual Report to 
        Congress on Combatting Terrorism'', the term ``homeland 
        security'' refers to those activities that detect, 
        deter, protect against, and respond to terrorist 
        attacks occurring within the United States and its 
        territories.
          [(C) In implementing this paragraph, including 
        determining what Federal activities or accounts 
        constitute homeland security for purposes of budgetary 
        classification, the Office of Management and Budget is 
        directed to consult periodically, but at least 
        annually, with the House and Senate Budget Committees, 
        the House and Senate Appropriations Committees, and the 
        Congressional Budget Office.]
          (B) Prior to implementing this paragraph, including 
        determining what Federal activities or accounts 
        constitute cybersecurity for purposes of budgetary 
        classification, the Office of Management and Budget 
        shall consult with the Committees on Appropriations and 
        the Committees on the Budget of the House of 
        Representatives and the Senate, the Committee on 
        Homeland Security of the House of Representatives, and 
        the Committee on Homeland Security and Government 
        Affairs of the Senate.
          (36) as supplementary materials, a separate analysis 
        of the budgetary effects for all prior fiscal years, 
        the current fiscal year, the fiscal year for which the 
        budget is submitted, and ensuing fiscal years of the 
        actions the Secretary of the Treasury has taken or 
        plans to take using any authority provided in the 
        Emergency Economic Stabilization Act of 2008, 
        including--
                  (A) an estimate of the current value of all 
                assets purchased, sold, and guaranteed under 
                the authority provided in the Emergency 
                Economic Stabilization Act of 2008 using 
                methodology required by the Federal Credit 
                Reform Act of 1990 (2 U.S.C. 661 et seq.) and 
                section 123 of the Emergency Economic 
                Stabilization Act of 2008;
                  (B) an estimate of the deficit, the debt held 
                by the public, and the gross Federal debt using 
                methodology required by the Federal Credit 
                Reform Act of 1990 and section 123 of the 
                Emergency Economic Stabilization Act of 2008;
                  (C) an estimate of the current value of all 
                assets purchased, sold, and guaranteed under 
                the authority provided in the Emergency 
                Economic Stabilization Act of 2008 calculated 
                on a cash basis;
                  (D) a revised estimate of the deficit, the 
                debt held by the public, and the gross Federal 
                debt, substituting the cash-based estimates in 
                subparagraph (C) for the estimates calculated 
                under subparagraph (A) pursuant to the Federal 
                Credit Reform Act of 1990 and section 123 of 
                the Emergency Economic Stabilization Act of 
                2008; and
                  (E) the portion of the deficit which can be 
                attributed to any action taken by the Secretary 
                using authority provided by the Emergency 
                Economic Stabilization Act of 2008 and the 
                extent to which the change in the deficit since 
                the most recent estimate is due to a reestimate 
                using the methodology required by the Federal 
                Credit Reform Act of 1990 and section 123 of 
                the Emergency Economic Stabilization Act of 
                2008.
          (37) information on estimates of appropriations for 
        the fiscal year following the fiscal year for which the 
        budget is submitted for the following accounts of the 
        Department of Veterans Affairs:
                  (A) Veterans Benefits Administration, 
                Compensation and Pensions.
                  (B) Veterans Benefits Administration, 
                Readjustment Benefits.
                  (C) Veterans Benefits Administration, 
                Veterans Insurance and Indemnities.
                  (D) Veterans Health Administration, Medical 
                Services.
                  (E) Veterans Health Administration, Medical 
                Support and Compliance.
                  (F) Veterans Health Administration, Medical 
                Facilities.
          (38) a separate statement for the Crow Settlement 
        Fund established under section 411 of the Crow Tribe 
        Water Rights Settlement Act of 2010, which shall 
        include the estimated amount of deposits into the Fund, 
        obligations, and outlays from the Fund.
          (39) the list of plans and reports, as provided for 
        under section 1125, that agencies identified for 
        elimination or consolidation because the plans and 
        reports are determined outdated or duplicative of other 
        required plans and reports.
  (b) Estimated expenditures and proposed appropriations for 
the legislative branch and the judicial branch to be included 
in each budget under subsection (a)(5) of this section shall be 
submitted to the President before October 16 of each year and 
included in the budget by the President without change.
  (c) The President shall recommend in the budget appropriate 
action to meet an estimated deficiency when the estimated 
receipts for the fiscal year for which the budget is submitted 
(under laws in effect when the budget is submitted) and the 
estimated amounts in the Treasury at the end of the current 
fiscal year available for expenditure in the fiscal year for 
which the budget is submitted, are less than the estimated 
expenditures for that year. The President shall make 
recommendations required by the public interest when the 
estimated receipts and estimated amounts in the Treasury are 
more than the estimated expenditures.
  (d) When the President submits a budget or supporting 
information about a budget, the President shall include a 
statement on all changes about the current fiscal year that 
were made before the budget or information was submitted.
  (e)(1) The President shall submit with materials related to 
each budget transmitted under subsection (a) on or after 
January 1, 1985, an analysis for the ensuing fiscal year that 
shall identify requested appropriations or new obligational 
authority and outlays for each major program that may be 
classified as a public civilian capital investment program and 
for each major program that may be classified as a military 
capital investment program, and shall contain summaries of the 
total amount of such appropriations or new obligational 
authority and outlays for public civilian capital investment 
programs and summaries of the total amount of such 
appropriations or new obligational authority and outlays for 
military capital investment programs. In addition, the analysis 
under this paragraph shall contain--
          (A) an estimate of the current service levels of 
        public civilian capital investment and of military 
        capital investment and alternative high and low levels 
        of such investments over a period of ten years in 
        current dollars and over a period of five years in 
        constant dollars;
          (B) the most recent assessment analysis and summary, 
        in a standard format, of public civilian capital 
        investment needs in each major program area over a 
        period of ten years;
          (C) an identification and analysis of the principal 
        policy issues that affect estimated public civilian 
        capital investment needs for each major program; and
          (D) an identification and analysis of factors that 
        affect estimated public civilian capital investment 
        needs for each major program, including but not limited 
        to the following factors:
                  (i) economic assumptions;
                  (ii) engineering standards;
                  (iii) estimates of spending for operation and 
                maintenance;
                  (iv) estimates of expenditures for similar 
                investments by State and local governments; and
                  (v) estimates of demand for public services 
                derived from such capital investments and 
                estimates of the service capacity of such 
                investments.
To the extent that any analysis required by this paragraph 
relates to any program for which Federal financial assistance 
is distributed under a formula prescribed by law, such analysis 
shall be organized by State and within each State by major 
metropolitan area if data are available.
  (2) For purposes of this subsection, any appropriation, new 
obligational authority, or outlay shall be classified as a 
public civilian capital investment to the extent that such 
appropriation, authority, or outlay will be used for the 
construction, acquisition, or rehabilitation of any physical 
asset that is capable of being used to produce services or 
other benefits for a number of years and is not classified as a 
military capital investment under paragraph (3). Such assets 
shall include (but not be limited to)--
          (A) roadways or bridges,
          (B) airports or airway facilities,
          (C) mass transportation systems,
          (D) wastewater treatment or related facilities,
          (E) water resources projects,
          (F) hospitals,
          (G) resource recovery facilities,
          (H) public buildings,
          (I) space or communications facilities,
          (J) railroads, and
          (K) federally assisted housing.
  (3) For purposes of this subsection, any appropriation, new 
obligational authority, or outlay shall be classified as a 
military capital investment to the extent that such 
appropriation, authority, or outlay will be used for the 
construction, acquisition, or rehabilitation of any physical 
asset that is capable of being used to produce services or 
other benefits for purposes of national defense and security 
for a number of years. Such assets shall include military 
bases, posts, installations, and facilities.
  (4) Criteria and guidelines for use in the identification of 
public civilian and military capital investments, for 
distinguishing between public civilian and military capital 
investments, and for distinguishing between major and nonmajor 
capital investment programs shall be issued by the Director of 
the Office of Management and Budget after consultation with the 
Comptroller General and the Congressional Budget Office. The 
analysis submitted under this subsection shall be accompanied 
by an explanation of such criteria and guidelines.
  (5) For purposes of this subsection--
          (A) the term ``construction'' includes the design, 
        planning, and erection of new structures and 
        facilities, the expansion of existing structures and 
        facilities, the reconstruction of a project at an 
        existing site or adjacent to an existing site, and the 
        installation of initial and replacement equipment for 
        such structures and facilities;
          (B) the term ``acquisition'' includes the addition of 
        land, sites, equipment, structures, facilities, or 
        rolling stock by purchase, lease-purchase, trade, or 
        donation; and
          (C) the term ``rehabilitation'' includes the 
        alteration of or correction of deficiencies in an 
        existing structure or facility so as to extend the 
        useful life or improve the effectiveness of the 
        structure or facility, the modernization or replacement 
        of equipment at an existing structure or facility, and 
        the modernization of, or replacement of parts for, 
        rolling stock.
  (f) The budget transmitted pursuant to subsection (a) for a 
fiscal year shall be prepared in a manner consistent with the 
requirements of the Balanced Budget and Emergency Deficit 
Control Act of 1985 that apply to that and subsequent fiscal 
years.
  (g)(1) The Director of the Office of Management and Budget 
shall establish the funding for advisory and assistance 
services for each department and agency as a separate object 
class in each budget annually submitted to the Congress under 
this section.
  (2)(A) In paragraph (1), except as provided in subparagraph 
(B), the term ``advisory and assistance services'' means the 
following services when provided by nongovernmental sources:
          (i) Management and professional support services.
          (ii) Studies, analyses, and evaluations.
          (iii) Engineering and technical services.
  (B) In paragraph (1), the term ``advisory and assistance 
services'' does not include the following services:
          (i) Routine automated data processing and 
        telecommunications services unless such services are an 
        integral part of a contract for the procurement of 
        advisory and assistance services.
          (ii) Architectural and engineering services, as 
        defined in section 1102 of title 40.
          (iii) Research on basic mathematics or medical, 
        biological, physical, social, psychological, or other 
        phenomena.
  (h)(1) If there is a medicare funding warning under section 
801(a)(2) of the Medicare Prescription Drug, Improvement, and 
Modernization Act of 2003 made in a year, the President shall 
submit to Congress, within the 15-day period beginning on the 
date of the budget submission to Congress under subsection (a) 
for the succeeding year, proposed legislation to respond to 
such warning.
  (2) Paragraph (1) does not apply if, during the year in which 
the warning is made, legislation is enacted which eliminates 
excess general revenue medicare funding (as defined in section 
801(c) of the Medicare Prescription Drug, Improvement, and 
Modernization Act of 2003) for the 7-fiscal-year reporting 
period, as certified by the Board of Trustees of each medicare 
trust fund (as defined in section 801(c)(5) of such Act) not 
later than 30 days after the date of the enactment of such 
legislation.

           *       *       *       *       *       *       *

                              ----------                              


                           PUBLIC LAW 102-281

   AN ACT To require the Secretary of the Treasury to mint coins in 
  commemoration of the 200th anniversary of the White House, and for 
                            other purposes.



           *       *       *       *       *       *       *
   TITLE IV--CHRISTOPHER COLUMBUS QUINCENTENARY COINS AND FELLOWSHIP 
FOUNDATION

           *       *       *       *       *       *       *


        [Subtitle B--Christopher Columbus Fellowship Foundation

[SEC. 421. SHORT TITLE.

  [This subtitle may be cited as the ``Christopher Columbus 
Fellowship Act''.

[SEC. 422. PURPOSE.

  [The purpose of this subtitle is to establish the Christopher 
Columbus Fellowship Program to encourage and support research, 
study, and labor designed to produce new discoveries in all 
fields of endeavor for the benefit of mankind.

[SEC. 423. CHRISTOPHER COLUMBUS FELLOWSHIP FOUNDATION.

  [(a) Establishment and Purposes.--There is established, as an 
independent establishment of the executive branch, the 
Christopher Columbus Fellowship Foundation (hereinafter in this 
subtitle referred to as the Foundation").
  [(b) Membership.--The Foundation shall be subject to the 
supervision and direction of the Board of Trustees. The Board 
shall be composed of 13 members as follows:
          [(1) 2 members appointed by the President in 
        consultation with the President pro tempore of the 
        Senate.
          [(2) 2 members appointed by the President in 
        consultation with the Minority Leader of the Senate.
          [(3) 2 members appointed by the President in 
        consultation with the Speaker of the House of 
        Representatives.
          [(4) 2 members appointed by the President in 
        consultation with the Minority Leader of the House of 
        Representatives.
          [(5) 5 members appointed by the President.
  [(c) Chairman and Vice Chairman of the Foundation.--The 
President shall designate a Chairman and a Vice Chairman from 
among the members appointed by the President.
  [(d) Terms of Office; Vacancies.--Each member of the Board of 
Trustees appointed under subsection (b) shall serve for a term 
of 6 years from the expiration of the term of such member's 
predecessor, except that--
          [(1) any member appointed to fill a vacancy occurring 
        prior to the expiration of the term for which such 
        member's predecessor was appointed shall be appointed 
        for the remainder of such term; and
          [(2) of the members first appointed--
                  [(A) 4 shall be appointed for a term of 2 
                years;
                  [(B) 5 shall be appointed for a term of 4 
                years; and
                  [(C) 4 shall be appointed for a term of 6 
                years, as designated by the President.
  [(e) Expenses; No Additional Compensation.--Members of the 
Board shall serve without pay, but shall be entitled to 
reimbursementfor travel, subsistence, and other necessary 
expenses incurredin the performance of their duties as members 
of the Board.

[SEC. 424. FELLOWSHIP RECIPIENTS.

  [(a) Award.--The Foundation is authorized to award 
fellowships to outstanding individuals to encourage new 
discoveries in all fields of endeavor for the benefit of 
mankind. Recipients shall be known as ``Columbus Scholars''.
  [(b) Term.--Fellowships shall be granted for such periods as 
the Foundation may prescribe but not to exceed 2 years.
  [(c) Selection.--The Foundation may provide, directly or by 
contract, for the conduct of a nationwide competition for the 
selection of fellowship recipients.

[SEC. 425. STIPENDS.

  [Each person awarded a fellowship under this subtitle shall 
receive a stipend as determined by the Foundation.

[SEC. 426. CHRISTOPHER COLUMBUS FELLOWSHIP FUND.

  [(a) In General.--The is established in the Treasury a fund 
to be known as the Christopher Columbus Scholarship Fund 
(hereafter in this subtitle referred to as the ``fund''), which 
shall consist of--
          [(1) amounts deposited under subsection (d);
          [(2) obligations obtained under subsection (c);
          [(3) amounts contributed to the Foundation;
          [(4) amounts appropriated to the Foundation, as 
        authorized under section 430; and
          [(5) all surcharges received by the Secretary of the 
        Treasury from the sale of coins minted under the 
        Christopher Columbus Quincentenary Coin Act.
  [(b) Investments.--
          [(1) Duty of secretary to invest.-- The Secretary of 
        the Treasury shall invest in full any amount 
        appropriated or contributed to the fund.
          [(2) Authorized investments.-- Invests pursuant to 
        paragraph (1) may be made only in interest-bearing 
        obligations of the United States or in obligations 
        guaranteed as to both principal and interest by the 
        United States. For such purpose, such obligations may 
        be acquired--
                  [(A) on original issue at the issue price; or
                  [(B) by purchase of outstanding obligations 
                at the market price.
          [(3) Special obligations.-- The purposes for which 
        obligations of the United States may be issued under 
        chapter 31 of title 31, United States Code, are hereby 
        extended to authorize the issuance at par of special 
        obligations exclusively to the fund. Such special 
        obligations shall bear interest at a rate equal to the 
        average rate of interest, computed as to the end of the 
        calendar month preceding the date of such issue, borne 
        by all marketable interest-bearing obligations of the 
        United States then forming a part of the public debt; 
        except that, if such average rate is not a multiple of 
        l/s of 1 percent, the rate of interest of such special 
        obligations shall be the multiple of 3% of 1 percent 
        next lower than such average rate. Such special 
        obligations shall be issued only if the Secretary 
        determines that the purchase of other obligations of 
        the United States, or of obligations guaranteed as to 
        both principal and interest by the United States or 
        original issue at the market price, is not in the 
        public interest.
  [(c) Sale of Obligations.--Any obligations acquired by the 
fund (except special obligations issued exclusively to the fund 
in accordance with subsection (bX3)) may be sold by the 
Secretary at the market price, and such special obligations may 
be redeemed at par plus accrued interest.
  [(d) Interest.--The interest on, and the proceeds from, the 
sale or redemption of an obligations held in the fund shall be 
credited to and form a part of the fund.
  [(e) Availability of Fund.--
          [(1) Stipends.-- The fund shall be available to the 
        Foundation for payment of stipends awarded under 
        section 425.
          [(2) Expenses.-- The Secretary of the Treasury is 
        authorized to pay to the Foundation from the interest 
        and earnings of the funds such sums as the Board 
        determines are necessary and appropriate to enable the 
        Foundation to carry out the provisions of this 
        subtitle.
  [(f) Disbursements.--Disbursements from the fund shall be 
made on vouchers approved by the Foundation and signed by the 
Chairman.

[SEC. 427. AUDITS.

  [The activities of the Foundation under this subtitle may be 
audited by the Comptroller General of the United States. The 
Comptroller General shall have access to all books, accounts, 
records, reports, and files and all other papers, things, or 
property belonging to or in use by the Foundation, pertaining 
to such activities and necessary to facilitate the audit.

[SEC. 428. EXECUTIVE SECRETARY OF FOUNDATION.

  [(a) Duties.--There shall be an Executive Secretary of the 
Foundation who shall be appointed by the Board. The Executive 
Secretary shall be the chief executive officer of the 
Foundation and shall carry out the functions of the Foundation 
subject to the supervision and direction of the Board.
  [(b) Compensation.--The Executive Secretary of the Foundation 
shall be compensated at an annual rate of basic pay not in 
excess of the amount payable for Executive Level V.

[SEC. 429. ADMINISTRATIVE PROVISIONS.

  [(a) The foundation may--
          [(1) appoint and fix the compensation of such 
        personnel as may be necessary to carry out the 
        provisions of this subtitle, except that in no case 
        shall employees (other than the Executive Secretary) be 
        compensated at a rate in excess of the rate of basic 
        pay payable for GS-15 of the General Schedule;
          [(2) procure temporary and intermittent services of 
        such experts and consultants as are necessary to the 
        extent authorized by section 3109 of title 5, but at 
        rates not in excess of the rate of basic pay payable 
        for Executive Level V;
          [(3) prescribe such regulations as the Foundation may 
        determine to be necessary governing the manner in which 
        its functions shall be carried out;
          [(4) receive money and other property donated, 
        bequeathed, or devised, without condition or 
        restriction other than it be used for the purposes of 
        the Foundation; and to use, sell, or otherwise dispose 
        of such property for the purpose of carrying out its 
        functions;
          [(5) accept and utilize the services of voluntary and 
        uncompensated personnel and reimburse them for travel 
        expenses, including per diem, as authorized by section 
        5703 of title 5, United States Code;
          [(6) enter into contracts, grants, or other 
        arrangements, or modifications thereof, to carry out 
        the provisions of this chapter, and such contracts or 
        modifications thereof may, with the concurrence of two-
        thirds of the members of the Board, be entered into 
        without performance or other bonds, and without regard 
        to section 3709 of the Revised Statutes;
          [(7) make advances, progress, and other payments 
        which the Board deems necessary under this chapter 
        without regard to the provisions of section 529 of 
        title 31, United States Code;
          [(8) rent office space;
          [(9) conduct programs in addition to or in 
        conjunction with the Fellowship program which shall 
        further the Foundation's purpose of encouraging new 
        discoveries in all fields of endeavor for the benefit 
        of mankind; and
          [(10) to make other necessary expenditures.
  [(b) Annual Report.--The Foundation shall submit to the 
President and to the Congress an annual report of its 
operations under this subtitle.

[SEC. 430. AUTHORIZATION OF APPROPRIATIONS.

  [There are authorized to be appropriated to the Foundation, 
such sums as may be necessary to carry out this subtitle.]
                              ----------                              


              LOCAL BUDGET AUTONOMY AMENDMENT ACT OF 2012

 AN ACT To amend the District of Columbia Home Rule Act to provide for 
                         local budget autonomy.

                              ----------                              


                   DISTRICT OF COLUMBIA HOME RULE ACT



           *       *       *       *       *       *       *
TITLE IV--THE DISTRICT CHARTER

           *       *       *       *       *       *       *


            Part D--District Budget and Financial Management

Subpart 1--Budget and Financial Management

           *       *       *       *       *       *       *


                       general and special funds

  Sec. 450. [The General Fund] (a) In General._The General Fund 
of the District shall be composed of those District revenues 
which on the effective date of this title are paid into the 
Treasury of the United States and credited either to the 
General Fund of the District or its miscellaneous receipts, but 
shall not include any revenues which are applied by law to any 
special fund existing on the date of enactment of this title. 
The Council may from time to time establish such additional 
special funds as may be necessary for the efficient operation 
of the government of the District. All money received by any 
agency, officer, or employee of the District in its or his 
official capacity shall belong to the District government and 
shall be paid promptly to the Mayor for deposit in the 
appropriate fund, except that all money received by the 
District of Columbia Courts shall be deposited in the Treasury 
of the United States or the Crime Victims Fund.
  (b) Application of Federal Appropriations Process.--Nothing 
in this Act shall be construed as creating a continuing 
appropriation of the General Fund described in subsection (a). 
All funds provided for the District of Columbia shall be 
appropriated on an annual fiscal year basis through the Federal 
appropriations process. For each fiscal year, the District 
shall be subject to all applicable requirements of subchapter 
III of chapter 13 and subchapter II of chapter 15 of title 31, 
United States Code (commonly known as the ``Anti-Deficiency 
Act''), the Budget and Accounting Act of 1921, and all other 
requirements and restrictions applicable to appropriations for 
such fiscal year.

           *       *       *       *       *       *       *


TITLE VI--RESERVATION OF CONGRESSIONAL AUTHORITY

           *       *       *       *       *       *       *


         budget process; limitations on borrowing and spending

  Sec. 603. (a) Nothing in this Act shall be construed as 
making any change in [existing] law, regulation, or basic 
procedure and practice relating to the respective roles of the 
Congress, the President, the Federal Office of Management and 
Budget, and the Comptroller General of the United States in the 
preparation, review, submission, examination, authorization, 
and appropriation of the total budget of the District of 
Columbia government[.], or as authorizing the District of 
Columbia to make any such change.
  (b)(1) No general obligation bonds (other than bonds to 
refund outstanding indebtedness) or Treasury capital project 
loans shall be issued during any fiscal year in an amount which 
would cause the amount of principal and interest required to be 
paid both serially and into a sinking fund in any fiscal year 
on the aggregate amounts of all outstanding general obligation 
bonds and such Treasury loans, to exceed 17 percent of the 
District revenues (less any fees or revenues directed to 
servicing revenue bonds, any revenues, charges, or fees 
dedicated for the purposes of water and sewer facilities 
described in section 490(a) (including fees or revenues 
directed to servicing or securing revenue bonds issued for such 
purposes), retirement contributions, revenues from retirement 
systems, and revenues derived from such Treasury loans and the 
sale or general obligation or revenue bonds) which the Mayor 
estimates, and the District of Columbia Auditor certifies, will 
be credited to the District during the fiscal year in which the 
bonds will be issued. Treasury capital project loans include 
all borrowing from the United States Treasury, except those 
funds advanced to the District by the Secretary of the Treasury 
under the provisions of title VI of the District of Columbia 
Revenue Act of 1939.
  (2) Obligations incurred pursuant to the authority contained 
in the District of Columbia Stadium Act of 1957 (71 Stat. 619; 
D.C. Code title 2, chapter 17, subchapter II), obligations 
incurred by the agencies transferred or established by sections 
201 and 202, whether incurred before or after such transfer or 
establishment, and obligations incurred pursuant to general 
obligation bonds of the District of Columbia issued prior to 
October 1, 1996, for the financing of Department of Public 
Works, Water and Sewer Utility Administration capital projects, 
shall not be included in determining the aggregate amount of 
all outstanding obligations subject to the limitation specified 
in the preceding subsection.
  (3) The 17 percent limitation specified in paragraph (1) 
shall be calculated in the following manner:
          (A) Determine the dollar amount equivalent to 14 
        percent of the District revenues (less any fees or 
        revenues directed to servicing revenue bonds, any 
        revenues, charges, or fees dedicated for the purposes 
        of water and sewer facilities described in section 
        490(a) (including fees or revenues directed to 
        servicing or securing revenue bonds issued for such 
        purposes), retirement, contributions, revenues from 
        retirement systems, and revenues derived from such 
        Treasury loans and the sale of general obligation or 
        revenue bonds) which the Mayor estimates, and the 
        District of Columbia Auditor certifies, will be 
        credited to the District during the fiscal year for 
        which the bonds will be issued.
          (B) Determine the actual total amount of principal 
        and interest to be paid in each fiscal year for all 
        outstanding general obligation bonds (less the 
        allocable portion of principal and interest to be paid 
        during the year on general obligation bonds of the 
        District of Columbia issued prior to October 1, 1996, 
        for the financing of Department of Public Works, Water 
        and Sewer Utility Administration capital projects) and 
        such Treasury loans.
          (C) Determine the amount of principal and interest to 
        be paid during each fiscal year over the term of the 
        proposed general obligation bond or such Treasury loan 
        to be issued.
          (D) If in any one fiscal year the sum arrived at by 
        adding subparagraphs (B) and (C) exceeds the amount 
        determined under subparagraph (A), then the proposed 
        general obligation bond or such Treasury loan in 
        subparagraph (C) cannot be issued.
  (c) Except as provided in subsection (f), the Council shall 
not approve any budget which would result in expenditures being 
made by the District Government, during any fiscal year, in 
excess of all resources which the Mayor estimates will be 
available from all funds available to the District for such 
fiscal year. The budget shall identify any tax increases which 
shall be required in order to balance the budget as submitted. 
The Council shall be required to adopt such tax increases to 
the extent its budget is approved.
  (d) Except as provided in subsection (f), the Mayor shall not 
forward to the President for submission to Congress a budget 
which is not balanced according to the provision of subsection 
603(c).
  (e) Nothing in this Act shall be construed as affecting the 
applicability to the District government of the provisions of 
section 3679 of the Revised Statutes of the United States (31 
U.S.C. 665), the so-called Anti-Deficiency Act.
  (f) In the case of a fiscal year which is a control year (as 
defined in section 305(4) of the District of Columbia Financial 
Responsibility and Management Assistance Act of 1995), the 
Council may not approve, and the Mayor may not forward to the 
President, any budget which is not consistent with the 
financial plan and budget established for the fiscal year under 
subtitle A of title II of such Act.

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                              ----------                              


                 CONSOLIDATED APPROPRIATIONS ACT, 2016



           *       *       *       *       *       *       *
 DIVISION E--FINANCIAL SERVICES AND GENERAL GOVERNMENT APPROPRIATIONS 
ACT, 2016

           *       *       *       *       *       *       *


                               TITLE VIII

                GENERAL PROVISIONS--DISTRICT OF COLUMBIA

(INCLUDING TRANSFERS OF FUNDS)

           *       *       *       *       *       *       *


  [Sec. 817. (a) This section may be cited as the ``D.C. 
Opportunity Scholarship Program School Certification 
Requirements Act''.
  [(b) Section 3007(a) of the Scholarships for Opportunity and 
Results Act (Public Law 112-10; 125 Stat. 203) is amended--
          [(1) in paragraph (4)--
                  [(A) in subparagraph (E), by striking ``and'' 
                after the semicolon;
                  [(B) in subparagraph (F), by striking the 
                period at the end and inserting a semicolon; 
                and
                  [(C) by adding at the end the following:
                  [``(G)(i) is provisionally or fully 
                accredited by a national or regional 
                accrediting agency that is recognized in the 
                District of Columbia School Reform Act of 1995 
                (sec. 38-1802.02(16)(A)-(G), D.C. Official 
                Code) or any other accrediting body deemed 
                appropriate by the Office of the State 
                Superintendent for Schools for the purposes of 
                accrediting an elementary or secondary school; 
                or
                          [``(ii) in the case of a school that 
                        is a participating school as of the day 
                        before the date of enactment of the 
                        D.C. Opportunity Scholarship Program 
                        School Certification Requirements Act 
                        and, as of such day, does not meet the 
                        requirements of clause (i)--
                                  [``(I) by not later than 1 
                                year after such date of 
                                enactment, is pursuing 
                                accreditation by a national or 
                                regional accrediting agency 
                                recognized in the District of 
                                Columbia School Reform Act of 
                                1995 (sec. 38-1802.02(16)(A)-
                                (G), D.C. Official Code) or any 
                                other accrediting body deemed 
                                appropriate by the Office of 
                                the State Superintendent for 
                                Schools for the purposes of 
                                accrediting an elementary or 
                                secondary school; and
                                  [``(II) by not later than 5 
                                years after such date of 
                                enactment, is provisionally or 
                                fully accredited by such 
                                accrediting agency, except that 
                                an eligible entity may grant 
                                not more than one 1-year 
                                extension to meet this 
                                requirement for each 
                                participating school that 
                                provides evidence to the 
                                eligible entity from such 
                                accrediting agency that the 
                                school's application for 
                                accreditation is in process and 
                                the school will be awarded 
                                accreditation before the end of 
                                the 1-year extension period;
                  [``(H) conducts criminal background checks on 
                school employees who have direct and 
                unsupervised interaction with students; and
                  [``(I) complies with all requests for data 
                and information regarding the reporting 
                requirements described in section 3010.''; and
          [(2) by adding at the end the following:
          [``(5) New participating schools.-- If a school is 
        not a participating school as of the date of enactment 
        of the D.C. Opportunity Scholarship Program School 
        Certification Requirements Act, the school shall not 
        become a participating school and none of the funds 
        provided under this division for opportunity 
        scholarships may be used by an eligible student to 
        enroll in that school unless the school--
                  [``(A) is actively pursuing provisional or 
                full accreditation by a national or regional 
                accrediting agency that is recognized in the 
                District of Columbia School Reform Act of 1995 
                (sec. 38-1802.02(16)(A)-(G), D.C. Official 
                Code) or any other accrediting body deemed 
                appropriate by the Office of the State 
                Superintendent for Schools for the purposes of 
                accrediting an elementary or secondary school; 
                and
                  [``(B) meets all of the other requirements 
                for participating schools under this Act.
          [``(6) Enrolling in another school.-- An eligible 
        entity shall assist the parents of a participating 
        eligible student in identifying, applying to, and 
        enrolling in an another participating school for which 
        opportunity scholarship funds may be used, if--
                  [``(A) such student is enrolled in a 
                participating private school and may no longer 
                use opportunity scholarship funds for 
                enrollment in that participating private school 
                because such school fails to meet a requirement 
                under paragraph 4, or any other requirement of 
                this Act; or
                  [``(B) a participating eligible student is 
                enrolled in a school that ceases to be a 
                participating school.''.
  [(c) Report to Eligible Entities.--Section 3010 of the 
Scholarships for Opportunity and Results Act (Public Law 112-
10; 125 Stat. 203) is further amended--
          [(1) by redesignating subsection (d) as subsection 
        (e); and
          [(2) by inserting after subsection (c) the following:
  [``(d) Reports to Eligible Entities.--The eligible entity 
receiving funds under section 3004(a) shall ensure that each 
participating school under this division submits to the 
eligible entity beginning not later than 5 years after the date 
of the enactment of the D.C. Opportunity Scholarship Program 
School Certification Requirements Act, a certification that the 
school has been awarded provisional or full accreditation, or 
has been granted an extension by the eligible entity in 
accordance with section 3007(a)(4)(G).''.
  [(d) Unless specifically provided otherwise, this section, 
and the amendments made by this section, shall take effect 1 
year after the date of enactment of this Act.]

           *       *       *       *       *       *       *

                              ----------                              


              SCHOLARSHIPS FOR OPPORTUNITY AND RESULTS ACT



           *       *       *       *       *       *       *
DIVISION C--SCHOLARSHIPS FOR OPPORTUNITY AND RESULTS ACT

           *       *       *       *       *       *       *


SEC. 3003. PURPOSE.

  The purpose of this division is to provide low-income parents 
residing in the District of Columbia, [particularly parents of 
students who attend elementary schools or secondary schools 
implementing comprehensive support and improvement activities 
or targeted support and improvement activities under section 
1111(d) of the Elementary and Secondary Education Act of 1965, 
with] particularly parents of students who attend an elementary 
school or secondary school identified as one of the lowest-
performing schools under the District of Columbia's 
accountability system, with expanded opportunities for 
enrolling their children in other schools in the District of 
Columbia, at least until the public schools in the District of 
Columbia have adequately addressed shortfalls in health, 
safety, and security, and the students in the District of 
Columbia public schools are testing in mathematics and reading 
at or above the national average.

SEC. 3004. GENERAL AUTHORITY.

  (a) Opportunity Scholarships.--
          (1) In general.-- From funds appropriated under 
        section 3014(a)(1), the Secretary shall award grants on 
        a competitive basis to eligible entities with approved 
        applications under section 3005 to carry out a program 
        to provide eligible students with expanded school 
        choice opportunities. The Secretary may award a single 
        grant or multiple grants, depending on the quality of 
        applications submitted and the priorities of this 
        division.
          (2) Duration of grants.-- The Secretary may make 
        grants under this subsection for a period of not more 
        than 5 years.
          (3) Prohibiting imposition of limits on eligible 
        students participating in the program.--
                  (A) In general.-- In carrying out the program 
                under this division, the Secretary may not 
                limit the number of eligible students receiving 
                scholarships under section 3007(a), and may not 
                prevent otherwise eligible students from 
                participating in the program under this 
                division, based on any of the following:
                          (i) The type of school the student 
                        previously attended.
                          (ii) Whether or not the student 
                        previously received a scholarship or 
                        participated in the program, including 
                        whether an eligible student was awarded 
                        a scholarship in any previous year but 
                        has not used the scholarship, 
                        regardless of the number of years of 
                        nonuse.
                          (iii) Whether or not the student was 
                        a member of the control group used by 
                        the Institute of Education Sciences to 
                        carry out previous evaluations of the 
                        program under section 3009.
                  (B) Rule of construction.-- Nothing in 
                subparagraph (A) may be construed to waive the 
                requirement under section 3005(b)(1)(B) that 
                the eligible entity carrying out the program 
                under this Act must carry out a random 
                selection process, which gives weight to the 
                priorities described in section 3006, if more 
                eligible students seek admission in the program 
                than the program can accommodate.
  (b) DC Public Schools and Charter Schools.--From funds 
appropriated under paragraphs (2) and (3) of section 3014(a), 
the Secretary shall provide funds to the Mayor of the District 
of Columbia, if the Mayor agrees to the requirements described 
in section 3011(a), for--
          (1) the District of Columbia public schools to 
        improve public education in the District of Columbia; 
        and
          (2) the District of Columbia public charter schools 
        to improve and expand quality public charter schools in 
        the District of Columbia.

SEC. 3005. APPLICATIONS.

  (a) In General.--In order to receive a grant under section 
3004(a), an eligible entity shall submit an application to the 
Secretary at such time, in such manner, and accompanied by such 
information as the Secretary may require.
  (b) Contents.--The Secretary may not approve the request of 
an eligible entity for a grant under section 3004(a) unless the 
entity's application includes--
          (1) a detailed description of--
                  (A) how the entity will address the 
                priorities described in section 3006;
                  (B) how the entity will ensure that if more 
                eligible students seek admission in the program 
                of the entity than the program can accommodate, 
                eligible students are selected for admission 
                through a random selection process which gives 
                weight to the priorities described in section 
                3006;
                  (C) how the entity will ensure that if more 
                participating eligible students seek admission 
                to a participating school than the school can 
                accommodate, participating eligible students 
                are selected for admission through a random 
                selection process;
                  (D) how the entity will notify parents of 
                eligible students of the expanded choice 
                opportunities in order to allow the parents to 
                make informed decisions;
                  (E) the activities that the entity will carry 
                out to provide parents of eligible students 
                with expanded choice opportunities through the 
                awarding of scholarships under section 3007(a);
                  (F) how the entity will determine the amount 
                that will be provided to parents under section 
                3007(a)(2) for the payment of tuition, fees, 
                and transportation expenses, if any;
                  (G) how the entity will seek out private 
                elementary schools and secondary schools in the 
                District of Columbia to participate in the 
                program;
                  (H) how the entity will ensure that each 
                participating school will meet the reporting 
                and other program requirements under this 
                division;
                  (I) how the entity will ensure that 
                participating schools submit to site visits by 
                the entity as determined to be necessary by the 
                entity[, except that a participating school may 
                not be required to submit to more than 1 site 
                visit per school year];
                  (J) how the entity will ensure that 
                participating schools are financially 
                responsible and will use the funds received 
                under section 3007 effectively;
                  (K) how the entity will ensure the financial 
                viability of participating schools in which 85 
                percent or more of the total number of students 
                enrolled at the school are participating 
                eligible students that receive and use an 
                opportunity scholarship;
                  [(K)] (L) how the entity will address the 
                renewal of scholarships to participating 
                eligible students, including continued 
                eligibility; [and]
                  [(L)] (M) how the entity will ensure that a 
                majority of its voting board members or 
                governing organization are residents of the 
                District of Columbia; and
                  (N) how the eligible entity will ensure that 
                it--
                          (i) utilizes internal fiscal and 
                        quality controls; and
                          (ii) complies with applicable 
                        financial reporting requirements and 
                        the requirements of this division; and
          (2) an assurance that the entity will comply with all 
        requests regarding any evaluation carried out under 
        section 3009(a).

SEC. 3006. PRIORITIES.

  In awarding grants under section 3004(a), the Secretary shall 
give priority to applications from eligible entities that will 
most effectively--
          (1) in awarding scholarships under section 3007(a), 
        give priority to--
                  (A) eligible students who, in the school year 
                preceding the school year for which the 
                eligible students are seeking a scholarship, 
                [attended an elementary school or secondary 
                school implementing comprehensive support and 
                improvement activities or targeted support and 
                improvement activities under section 1111(d) of 
                the Elementary and Secondary Education Act of 
                1965;] attended an elementary school or 
                secondary school identified as one of the 
                lowest-performing schools under the District of 
                Columbia's accountability system; and
                  [(B) students who have been awarded a 
                scholarship in a preceding year under this 
                division or the DC School Choice Incentive Act 
                of 2003 (sec. 38-1851.01 et seq., D.C. Official 
                Code), as such Act was in effect on the day 
                before the date of the enactment of this 
                division, but who have not used the 
                scholarship, including eligible students who 
                were provided notification of selection for a 
                scholarship for school year 2009-2010, which 
                was later rescinded in accordance with 
                direction from the Secretary of Education; and]
                  [(C)] (B) students whose household includes a 
                sibling or other child who is already 
                participating in the program of the eligible 
                entity under this division, regardless of 
                whether such students have, in the past, been 
                assigned as members of a control study group 
                for the purposes of an evaluation under section 
                3009(a)[;] or whether such students have, in 
                the past, attended a private school;
          (2) target resources to students and families that 
        lack the financial resources to take advantage of 
        available educational options; and
          (3) provide students and families with the widest 
        range of educational options.

SEC. 3007. USE OF FUNDS.

  (a) Opportunity Scholarships.--
          (1) In general.-- Subject to [paragraphs (2) and (3)] 
        paragraphs (2), (3), and (5) , an eligible entity 
        receiving a grant under section 3004(a) shall use the 
        grant funds to provide eligible students with 
        scholarships to pay the tuition, fees, and 
        transportation expenses, if any, to enable the eligible 
        students to attend the District of Columbia private 
        elementary school or secondary school of their choice 
        beginning in school year 2011-2012. Each such eligible 
        entity shall ensure that the amount of any tuition or 
        fees charged by a school participating in such entity's 
        program under this division to an eligible student 
        participating in the program does not exceed the amount 
        of tuition or fees that the school charges to students 
        who do not participate in the program.
          (2) Payments to parents.-- An eligible entity 
        receiving a grant under section 3004(a) shall make 
        scholarship payments under the entity's program under 
        this division to the parent of the eligible student 
        participating in the program, in a manner which ensures 
        that such payments will be used for the payment of 
        tuition, fees, and transportation expenses (if any), in 
        accordance with this division.
          (3) Amount of assistance.--
                  (A) Varying amounts permitted.-- Subject to 
                the other requirements of this section, an 
                eligible entity receiving a grant under section 
                3004(a) may award scholarships in larger 
                amounts to those eligible students with the 
                greatest need.
                  (B) Annual limit on amount.--
                          (i) Limit for school year 2011-
                        2012.-- The amount of assistance 
                        provided to any eligible student by an 
                        eligible entity under the entity's 
                        program under this division for school 
                        year 2011-2012 may not exceed--
                                  (I) $8,000 for attendance in 
                                kindergarten through grade 8; 
                                and
                                  (II) $12,000 for attendance 
                                in grades 9 through 12.
                          (ii) Cumulative inflation 
                        adjustment.-- Beginning with school 
                        year 2012-2013, the Secretary shall 
                        adjust the maximum amounts of 
                        assistance described in clause (i) for 
                        inflation, as measured by the 
                        percentage increase, if any, from the 
                        preceding fiscal year in the Consumer 
                        Price Index for All Urban Consumers, 
                        published by the Bureau of Labor 
                        Statistics of the Department of Labor.
          (4) Participating school requirements.-- None of the 
        funds provided under this division for opportunity 
        scholarships may be used by an eligible student to 
        enroll in a participating private school unless the 
        participating school--
                  (A) has and maintains a valid certificate of 
                occupancy issued by the District of Columbia;
                  (B) makes readily available to all 
                prospective students information on its school 
                accreditation;
                  (C) in the case of a school that has been 
                operating for 5 years or less, submits to the 
                eligible entity administering the program proof 
                of adequate financial resources reflecting the 
                financial sustainability of the school and the 
                school's ability to be in operation through the 
                school year;
                  (D) agrees to submit to site visits as 
                determined to be necessary by the eligible 
                entity pursuant to section 3005(b)(1)(I);
                  (E) has financial systems, controls, 
                policies, and procedures to ensure that funds 
                are used according to this division; [and]
                  [(F) ensures that, with respect to core 
                academic subjects (as such term was defined in 
                section 9101(11) of the Elementary and 
                Secondary Act of 1965 (20 U.S.C. 7801(11)) on 
                the day before the date of enactment of the 
                Every Student Succeeds Act), participating 
                students are taught by a teacher who has a 
                baccalaureate degree or equivalent degree, 
                whether such degree was awarded in or outside 
                of the United States.]
                  (F) ensures that, with respect to core 
                subject matter, participating students are 
                taught by a teacher who has a baccalaureate 
                degree or equivalent degree, whether such 
                degree was awarded in or outside of the United 
                States;
                  (G) conducts criminal background checks on 
                school employees who have direct and 
                unsupervised interaction with students; and
                  (H) complies with all requests for data and 
                information regarding the reporting 
                requirements described in section 3010.
          (5) Accreditation requirements.--
                  (A) In general.-- None of the funds provided 
                under this division for opportunity 
                scholarships may be used by a participating 
                eligible student to enroll in a participating 
                private school unless the school--
                          (i) in the case of a school that is a 
                        participating school as of the date of 
                        enactment of the SOAR Reauthorization 
                        Act--
                                  (I) is fully accredited by an 
                                accrediting body described in 
                                any of subparagraphs (A) 
                                through (G) of section 2202(16) 
                                of the District of Columbia 
                                School Reform Act of 1995 
                                (Public Law 104-134; sec. 38-
                                1802.02(16)(A)-(G), D.C. 
                                Official Code); or
                                  (II) if such participating 
                                school does not meet the 
                                requirements of subclause (I)--
                                          (aa) not later than 1 
                                        year after the date of 
                                        enactment of the 
                                        Consolidated 
                                        Appropriations Act, 
                                        2016 (Public Law 114-
                                        113), the school is 
                                        pursuing full 
                                        accreditation by an 
                                        accrediting body 
                                        described in subclause 
                                        (I); and
                                          (bb) is fully 
                                        accredited by such an 
                                        accrediting body not 
                                        later than 5 years 
                                        after the date on which 
                                        that school began the 
                                        process of pursuing 
                                        full accreditation in 
                                        accordance with item 
                                        (aa); and
                          (ii) in the case of a school that is 
                        not a participating school as of the 
                        date of enactment of the SOAR 
                        Reauthorization Act, is fully 
                        accredited by an accrediting body 
                        described in clause (i)(I) before 
                        becoming a participating school under 
                        this division.
                  (B) Reports to eligible entity.-- Not later 
                than 5 years after the date of enactment of the 
                SOAR Reauthorization Act, each participating 
                school shall submit to the eligible entity a 
                certification that the school has been fully 
                accredited in accordance with subparagraph (A).
                  (C) Assisting students in enrolling in other 
                schools.-- If a participating school fails to 
                meet the requirements of this paragraph, the 
                eligible entity shall assist the parents of the 
                participating eligible students who attend the 
                school in identifying, applying to, and 
                enrolling in another participating school under 
                this division.
          (6) Treatment of students awarded a scholarship in a 
        previous year.-- An eligible entity shall treat a 
        participating eligible student who was awarded an 
        opportunity scholarship in any previous year and who 
        has not used the scholarship as a renewal student and 
        not as a new applicant, without regard as to--
                  (A) whether the eligible student has used the 
                scholarship; and
                  (B) the year in which the scholarship was 
                previously awarded.
  [(b) Administrative Expenses.--An eligible entity receiving a 
grant under section 3004(a) may use not more than 3 percent of 
the amount provided under the grant each year for the 
administrative expenses of carrying out its program under this 
division during the year, including--
          [(1) determining the eligibility of students to 
        participate;
          [(2) selecting eligible students to receive 
        scholarships;
          [(3) determining the amount of scholarships and 
        issuing the scholarships to eligible students;
          [(4) compiling and maintaining financial and 
        programmatic records; and
          [(5) conducting site visits as described in section 
        3005(b)(1)(I).
  [(c) Parental Assistance.--An eligible entity receiving a 
grant under section 3004(a) may use not more than 2 percent of 
the amount provided under the grant each year for the expenses 
of educating parents about the entity's program under this 
division, and assisting parents through the application 
process, under this division, including--
          [(1) providing information about the program and the 
        participating schools to parents of eligible students;
          [(2) providing funds to assist parents of students in 
        meeting expenses that might otherwise preclude the 
        participation of eligible students in the program; and
          [(3) streamlining the application process for 
        parents.]
  (b) Administrative Expenses and Parental Assistance.--The 
Secretary shall make $2,000,000 of the amount made available 
under section 3014(a)(1) for each fiscal year available to 
eligible entities receiving a grant under section 3004(a) to 
cover the following expenses:
          (1) The administrative expenses of carrying out its 
        program under this division during the year, 
        including--
                  (A) determining the eligibility of students 
                to participate;
                  (B) selecting the eligible students to 
                receive scholarships;
                  (C) determining the amount of the 
                scholarships and issuing the scholarships to 
                eligible students;
                  (D) compiling and maintaining financial and 
                programmatic records;
                  (E) conducting site visits as described in 
                section 3005(b)(1)(I); and
                  (F)(i) conducting a study, including a survey 
                of participating parents, on any barriers for 
                participating eligible students in gaining 
                admission to, or attending, the participating 
                school that is their first choice; and
                  (ii) not later than the end of the first full 
                fiscal year after the date of enactment of the 
                SOAR Reauthorization Act, submitting a report 
                to Congress that contains the results of such 
                study.
          (2) The expenses of educating parents about the 
        eligible entity's program under this division, and 
        assisting parents through the application process under 
        this division, including--
                  (A) providing information about the program 
                and the participating schools to parents of 
                eligible students, including information on 
                supplemental financial aid that may be 
                available at participating schools;
                  (B) providing funds to assist parents of 
                students in meeting expenses that might 
                otherwise preclude the participation of 
                eligible students in the program; and
                  (C) streamlining the application process for 
                parents.
  [(d)] (c) Student Academic Assistance.--An eligible entity 
receiving a grant under section 3004(a) may use not more than 1 
percent of the amount provided under the grant each year for 
expenses to provide tutoring services to participating eligible 
students that need additional academic assistance. If there are 
insufficient funds to provide tutoring services to all such 
students in a year, the eligible entity shall give priority in 
such year to students who [previously attended an elementary 
school or secondary school that was implementing comprehensive 
support and improvement activities or targeted support and 
improvement activities under section 1111(d) of the Elementary 
and Secondary Education Act of 1965.] previously attended an 
elementary school or secondary school identified as one of the 
lowest-performing schools under the District of Columbia's 
accountability system.
   (d) Requiring Use of Funds Remaining Unobligated From 
Previous Fiscal Years.--
          (1) In general.-- To the extent that any funds 
        appropriated for the opportunity scholarship program 
        under this division for any fiscal year remain 
        available for subsequent fiscal years under section 
        3014(c), the Secretary shall make such funds available 
        to eligible entities receiving grants under section 
        3004(a) for the uses described in paragraph (2)--
                  (A) in the case of any remaining funds that 
                were appropriated before the date of enactment 
                of the SOAR Reauthorization Act, beginning on 
                the date of enactment of such Act; and
                  (B) in the case of any remaining funds 
                appropriated on or after the date of enactment 
                of such Act, by the first day of the first 
                subsequent fiscal year.
          (2) Use of funds.-- If an eligible entity to which 
        the Secretary provided additional funds under paragraph 
        (1) elects to use such funds during a fiscal year, the 
        eligible entity shall use--
                  (A) not less than 95 percent of such 
                additional funds to provide additional 
                scholarships for eligible students under 
                section 3007(a), or to increase the amount of 
                the scholarships, during such year; and
                  (B) not more than a total of 5 percent of 
                such additional funds for administrative 
                expenses, parental assistance, or tutoring, as 
                described in subsections (b) and (c), during 
                such year.
          (3) Special rule.-- Any amounts made available for 
        administrative expenses, parental assistance, or 
        tutoring under paragraph (2)(B) shall be in addition to 
        any other amounts made available for such purposes in 
        accordance with subsections (b) and (c).

           *       *       *       *       *       *       *


SEC. 3009. EVALUATIONS.

  [(a) In General.--
          [(1) Duties of the secretary and the mayor.-- The 
        Secretary and the Mayor of the District of Columbia 
        shall--
                  [(A) jointly enter into an agreement with the 
                Institute of Education Sciences of the 
                Department of Education to evaluate annually 
                the performance of students who received 
                scholarships under the 5-year program under 
                this division;
                  [(B) jointly enter into an agreement to 
                monitor and evaluate the use of funds 
                authorized and appropriated for the District of 
                Columbia public schools and the District of 
                Columbia public charter schools under this 
                division; and
                  [(C) make the evaluations described in 
                subparagraphs (A) and (B) public in accordance 
                with subsection (c).
          [(2) Duties of the secretary.-- The Secretary, 
        through a grant, contract, or cooperative agreement, 
        shall--
                  [(A) ensure that the evaluation under 
                paragraph (1)(A)--
                          [(i) is conducted using the strongest 
                        possible research design for 
                        determining the effectiveness of the 
                        opportunity scholarship program under 
                        this division; and
                          [(ii) addresses the issues described 
                        in paragraph (4); and
                  [(B) disseminate information on the impact of 
                the program--
                          [(i) in increasing the academic 
                        growth and achievement of participating 
                        eligible students; and
                          [(ii) on students and schools in the 
                        District of Columbia.
          [(3) Duties of the institute of education sciences.-- 
        The Institute of Education Sciences of the Department 
        of Education shall--
                  [(A) use a grade appropriate, nationally 
                norm-referenced standardized test each school 
                year to assess participating eligible students 
                in a manner consistent with section 3008(h);
                  [(B) measure the academic achievement of all 
                participating eligible students; and
                  [(C) work with the eligible entities to 
                ensure that the parents of each student who 
                applies for a scholarship under this division 
                (regardless of whether the student receives the 
                scholarship) and the parents of each student 
                participating in the scholarship program under 
                this division, agree that the student will 
                participate, if requested by the Institute of 
                Education Sciences, in the measurements given 
                annually by the Institute of Educational 
                Sciences for the period for which the student 
                applied for or received the scholarship, 
                respectively, except that nothing in this 
                subparagraph shall affect a student's priority 
                for an opportunity scholarship as provided 
                under section 3006.
          [(4) Issues to be evaluated.-- The issues to be 
        evaluated under paragraph (1)(A) shall include the 
        following:
                  [(A) A comparison of the academic growth and 
                achievement of participating eligible students 
                in the measurements described in paragraph (3) 
                to the academic growth and achievement of the 
                eligible students in the same grades who sought 
                to participate in the scholarship program under 
                this division but were not selected.
                  [(B) The success of the program in expanding 
                choice options for parents of participating 
                eligible students, improving parental and 
                student satisfaction of such parents and 
                students, respectively, and increasing parental 
                involvement of such parents in the education of 
                their children.
                  [(C) The reasons parents of participating 
                eligible students choose for their children to 
                participate in the program, including important 
                characteristics for selecting schools.
                  [(D) A comparison of the retention rates, 
                high school graduation rates, and college 
                admission rates of participating eligible 
                students with the retention rates, high school 
                graduation rates, and college admission rates 
                of students of similar backgrounds who do not 
                participate in such program.
                  [(E) A comparison of the safety of the 
                schools attended by participating eligible 
                students and the schools in the District of 
                Columbia attended by students who do not 
                participate in the program, based on the 
                perceptions of the students and parents.
                  [(F) Such other issues with respect to 
                participating eligible students as the 
                Secretary considers appropriate for inclusion 
                in the evaluation, such as the impact of the 
                program on public elementary schools and 
                secondary schools in the District of Columbia.
                  [(G) An analysis of the issues described in 
                subparagraphs (A) through (F) by applying such 
                subparagraphs by substituting ``the subgroup of 
                participating eligible students who have used 
                each opportunity scholarship awarded to such 
                students under this division to attend a 
                participating school'' for ``participating 
                eligible students'' each place such term 
                appears.
          [(5) Prohibition.-- Personally identifiable 
        information regarding the results of the measurements 
        used for the evaluations may not be disclosed, except 
        to the parents of the student to whom the information 
        relates.]
  (a) In General.--
          (1) Duties of the secretary and the mayor.-- The 
        Secretary and the Mayor of the District of Columbia 
        shall--
                  (A) jointly enter into an agreement with the 
                Institute of Education Sciences of the 
                Department of Education to evaluate annually 
                the opportunity scholarship program under this 
                division;
                  (B) jointly enter into an agreement to 
                monitor and evaluate the use of funds 
                authorized and appropriated for the District of 
                Columbia public schools and the District of 
                Columbia public charter schools under this 
                division; and
                  (C) make the evaluations described in 
                subparagraphs (A) and (B) public in accordance 
                with subsection (c).
          (2) Duties of the secretary.-- The Secretary, through 
        a grant, contract, or cooperative agreement, shall--
                  (A) ensure that the evaluation under 
                paragraph (1)(A)--
                          (i) is conducted using an acceptable 
                        quasi-experimental research design for 
                        determining the effectiveness of the 
                        opportunity scholarship program under 
                        this division that does not use a 
                        control study group consisting of 
                        students who applied for but did not 
                        receive opportunity scholarships; and
                          (ii) addresses the issues described 
                        in paragraph (4); and
                  (B) disseminate information on the impact of 
                the program--
                          (i) in increasing academic 
                        achievement and educational attainment 
                        of participating eligible students who 
                        use an opportunity scholarship; and
                          (ii) on students and schools in the 
                        District of Columbia.
          (3) Duties of the institute of education sciences.-- 
        The Institute of Education Sciences of the Department 
        of Education shall--
                  (A) assess participating eligible students 
                who use an opportunity scholarship in each of 
                grades 3 through 8, as well as one of the 
                grades at the high school level, by supervising 
                the administration of the same reading and 
                mathematics assessment used by the District of 
                Columbia public schools to comply with section 
                1111(b) of the Elementary and Secondary 
                Education Act of 1965 (20 U.S.C. 6311(b));
                  (B) measure the academic achievement of all 
                participating eligible students who use an 
                opportunity scholarship in the grades described 
                in subparagraph (A); and
                  (C) work with eligible entities receiving a 
                grant under this division to ensure that the 
                parents of each student who is a participating 
                eligible student that uses an opportunity 
                scholarship agrees to permit their child to 
                participate in the evaluations and assessments 
                carried out by the Institute of Education 
                Sciences under this subsection.
          (4) Issues to be evaluated.-- The issues to be 
        evaluated under paragraph (1)(A) shall include the 
        following:
                  (A) A comparison of the academic achievement 
                of participating eligible students who use an 
                opportunity scholarship on the measurements 
                described in paragraph (3)(B) to the academic 
                achievement of a comparison group of students 
                with similar backgrounds in the District of 
                Columbia public schools.
                  (B) The success of the program under this 
                division in expanding choice options for 
                parents of participating eligible students and 
                increasing the satisfaction of such parents and 
                students with their choice.
                  (C) The reasons parents of participating 
                eligible students choose for their children to 
                participate in the program, including important 
                characteristics for selecting schools.
                  (D) A comparison of the retention rates, high 
                school graduation rates, college enrollment 
                rates, college persistence rates, and college 
                graduation rates of participating eligible 
                students who use an opportunity scholarship 
                with the rates of students in the comparison 
                group described in subparagraph (A).
                  (E) A comparison of the college enrollment 
                rates, college persistence rates, and college 
                graduation rates of students who participated 
                in the program in 2004, 2005, 2011, 2012, 2013, 
                2014, and 2015 as the result of winning the 
                Opportunity Scholarship Program lottery with 
                such enrollment, persistence, and graduation 
                rates for students who entered but did not win 
                such lottery in those years and who, as a 
                result, served as the control group for 
                previous evaluations of the program under this 
                division. Nothing in this subparagraph may be 
                construed to waive section 3004(a)(3)(A)(iii) 
                with respect to any such student.
                  (F) A comparison of the safety of the schools 
                attended by participating eligible students who 
                use an opportunity scholarship and the schools 
                in the District of Columbia attended by 
                students in the comparison group described in 
                subparagraph (A), based on the perceptions of 
                the students and parents.
                  (G) An assessment of student academic 
                achievement at participating schools in which 
                85 percent of the total number of students 
                enrolled at the school are participating 
                eligible students who receive and use an 
                opportunity scholarship.
                  (H) Such other issues with respect to 
                participating eligible students who use an 
                opportunity scholarship as the Secretary 
                considers appropriate for inclusion in the 
                evaluation, such as the impact of the program 
                on public elementary schools and secondary 
                schools in the District of Columbia.
          (5) Prohibiting disclosure of personal information.--
                  (A) In general.-- Any disclosure of 
                personally identifiable information obtained 
                under this division shall be in compliance with 
                section 444 of the General Education Provisions 
                Act (commonly known as the ``Family Educational 
                Rights and Privacy Act of 1974'') (20 U.S.C. 
                1232g).
                  (B) Students not attending public schools.-- 
                With respect to any student who is not 
                attending a public elementary school or 
                secondary school, personally identifiable 
                information obtained under this division shall 
                only be disclosed to--
                          (i) individuals carrying out the 
                        evaluation described in paragraph 
                        (1)(A) for such student;
                          (ii) the group of individuals 
                        providing information for carrying out 
                        the evaluation of such student; and
                          (iii) the parents of such student.
  (b) Reports.--The Secretary shall submit to the Committees on 
Appropriations, Education and the Workforce, and Oversight and 
Government Reform of the House of Representatives and the 
Committees on Appropriations, Health, Education, Labor, and 
Pensions, and Homeland Security and Governmental Affairs of the 
Senate--
          (1) annual interim reports, not later than April 1 of 
        the year following the year of the date of enactment of 
        this division, and each subsequent year through the 
        year in which the final report is submitted under 
        paragraph (2), on the progress and preliminary results 
        of the evaluation of the opportunity scholarship 
        program funded under this division; and
          (2) a final report, not later than 1 year after the 
        final year for which a grant is made under section 
        3004(a), on the results of the evaluation of the 
        program.
  (c) Public Availability.--All reports and underlying data 
gathered pursuant to this section shall be made available to 
the public upon request, in a timely manner following 
submission of the applicable report under subsection (b), 
except that personally identifiable information shall not be 
disclosed or made available to the public.
  (d) Limit on Amount Expended.--The amount expended by the 
Secretary to carry out this section for any fiscal year may not 
exceed 5 percent of the total amount appropriated under section 
3014(a)(1) for the fiscal year.

           *       *       *       *       *       *       *


SEC. 3011. DC PUBLIC SCHOOLS AND DC PUBLIC CHARTER SCHOOLS.

  (a) Condition of Receipt of Funds.--As a condition of 
receiving funds under this division on behalf of the District 
of Columbia public schools and the District of Columbia public 
charter schools, the Mayor shall agree to carry out the 
following:
          [(1) Information requests.-- Ensure that all the 
        District of Columbia public schools and the District of 
        Columbia public charter schools comply with all 
        reasonable requests for information for purposes of the 
        evaluation under section 3009(a).]
          (1) Information necessary to carry out evaluations.-- 
        Ensure that all District of Columbia public schools and 
        District of Columbia public charter schools make 
        available to the Institute of Education Sciences of the 
        Department of Education all of the information the 
        Institute requires to carry out the assessments and 
        perform the evaluations required under section 3009(a).
          (2) Agreement with the secretary.-- Enter into the 
        agreement described in section 3009(a)(1)(B) to monitor 
        and evaluate the use of funds authorized and 
        appropriated for the District of Columbia public 
        schools and the District of Columbia public charter 
        schools under this division.
          (3) Submission of report.-- Not later than 6 months 
        after the first appropriation of funds under section 
        3014, and each succeeding year thereafter, submit to 
        the Committee on Appropriations, the Committee on 
        Education and the Workforce, and the Committee on 
        Oversight and Government Reform of the House of 
        Representatives, and the Committee on Appropriations, 
        the Committee on Health, Education, Labor, and 
        Pensions, and the Committee on Homeland Security and 
        Governmental Affairs of the Senate, information on--
                  (A) how the funds authorized and appropriated 
                under this division for the District of 
                Columbia public schools and the District of 
                Columbia public charter schools were used in 
                the preceding school year; and
                  (B) how such funds are contributing to 
                student achievement.
  [(b) Enforcement.--If, after reasonable notice and an 
opportunity for a hearing for the Mayor, the Secretary 
determines that the Mayor has not been in compliance with 1 or 
more of the requirements described in subsection (a), the 
Secretary may withhold from the Mayor, in whole or in part, 
further funds under this division for the District of Columbia 
public schools and the District of Columbia public charter 
schools.]
  (b) Enforcement.--If, after reasonable notice and an 
opportunity for a hearing, the Secretary determines that the 
Mayor has failed to comply with any of the requirements of 
subsection (a), the Secretary may withhold from the Mayor, in 
whole or in part--
          (1) the funds otherwise authorized to be appropriated 
        under section 3014(a)(2), if the failure to comply 
        relates to the District of Columbia public schools;
          (2) the funds otherwise authorized to be appropriated 
        under section 3014(a)(3), if the failure to comply 
        relates to the District of Columbia public charter 
        schools; or
          (3) the funds otherwise authorized to be appropriated 
        under both paragraphs (2) and (3) of section 3014(a), 
        if the failure relates to both the District of Columbia 
        public schools and the District of Columbia public 
        charter schools.
  (c) Specific Rules Regarding Funds Provided for Support of 
Public Charter Schools.--The following rules shall apply with 
respect to the funds provided under this division for the 
support of District of Columbia public charter schools:
          (1) The Secretary may direct the funds provided for 
        any fiscal year, or any portion thereof, to the Office 
        of the State Superintendent of Education of the 
        District of Columbia.
          (2) The Office of the State Superintendent of 
        Education of the District of Columbia may transfer the 
        funds to subgrantees that are--
                  (A) specific District of Columbia public 
                charter schools or networks of such schools; or
                  (B) District of Columbia-based nonprofit 
                organizations with experience in successfully 
                providing support or assistance to District of 
                Columbia public charter schools or networks of 
                such schools.
          (3) The funds provided under this division for the 
        support of District of Columbia public charter schools 
        shall be available to any District of Columbia public 
        charter school in good standing with the District of 
        Columbia Charter School Board, and the Office of the 
        State Superintendent of Education of the District of 
        Columbia and the District of Columbia Charter School 
        Board may not restrict the availability of such funds 
        to certain types of schools on the basis of the 
        school's location, governing body, or the school's 
        facilities.
  [(c)] (d) Rule of Construction.--Nothing in this section 
shall be construed to reduce, or otherwise affect, funding 
provided under this division for the opportunity scholarship 
program under this division.

           *       *       *       *       *       *       *


SEC. 3013. DEFINITIONS.

  As used in this division:
          (1) Core subject matter.-- The term ``core subject 
        matter'' means--
                  (A) mathematics;
                  (B) science; and
                  (C) English, reading, or language arts.
          [(1)] (2) Elementary school.-- The term ``elementary 
        school'' means an institutional day or residential 
        school, including a public elementary charter school, 
        that provides elementary education, as determined under 
        District of Columbia law.
          [(2) ] (3) Eligible entity.-- The term ``eligible 
        entity'' means any of the following:
                  (A) A nonprofit organization.
                  (B) A consortium of nonprofit organizations.
          [(3)] (4) Eligible student.-- The term ``eligible 
        student'' means a student who is a resident of the 
        District of Columbia and comes from a household--
                  (A) receiving assistance under the 
                supplemental nutrition assistance program 
                established under the Food and Nutrition Act of 
                2008 (7 U.S.C. 2011 et seq.); or
                  (B) whose income does not exceed--
                          (i) 185 percent of the poverty line; 
                        or
                          (ii) in the case of a household with 
                        a student participating in the 
                        opportunity scholarship program in the 
                        preceding year under this division or 
                        the DC School Choice Incentive Act of 
                        2003 (sec. 38-1851.01 et seq., D.C. 
                        Official Code), as such Act was in 
                        effect on the day before the date of 
                        enactment of this division, 300 percent 
                        of the poverty line.
          [(4)] (5) Mayor.-- The term ``Mayor'' means the Mayor 
        of the District of Columbia.
          [(5)] (6) Parent.-- The term ``parent'' has the 
        meaning given that term in section 8101 of the 
        Elementary and Secondary Education Act of 1965.
          [(6)] (7) Participating eligible student.-- The term 
        ``participating eligible student'' means an eligible 
        student awarded an opportunity scholarship under this 
        division, without regard to whether the student uses 
        the scholarship to attend a participating school.
          [(7)] (8) Participating school.-- The term 
        ``participating school'' means a private elementary 
        school or secondary school participating in the 
        opportunity scholarship program of an eligible entity 
        under this division.
          [(8)] (9) Poverty line.-- The term ``poverty line'' 
        has the meaning given that term in section 8101 of the 
        Elementary and Secondary Education Act of 1965.
          [(9)] (10) Secondary school.-- The term ``secondary 
        school'' means an institutional day or residential 
        school, including a public secondary charter school, 
        that provides secondary education, as determined under 
        District of Columbia law, except that the term does not 
        include any education beyond grade 12.
          [(10)] (11) Secretary.-- The term ``Secretary'' means 
        the Secretary of Education.

SEC. 3014. AUTHORIZATION OF APPROPRIATIONS.

  (a) In General.--There are authorized to be appropriated 
$60,000,000 for fiscal year 2012 [and for each of the 4 
succeeding fiscal years] and for each fiscal year through 
fiscal year 2021 , of which--
          (1) one-third shall be made available to carry out 
        the opportunity scholarship program under this division 
        for each fiscal year;
          (2) one-third shall be made available to carry out 
        section 3004(b)(1) for each fiscal year; and
          (3) one-third shall be made available to carry out 
        section 3004(b)(2) for each fiscal year.
  (b) Apportionment.--If the total amount of funds appropriated 
under subsection (a) for a fiscal year does not equal 
$60,000,000, the funds shall be apportioned in the manner 
described in subsection (a) for such fiscal year.
  (c) Availability.--Amounts appropriated under subsection 
(a)(1), including amounts appropriated and available under such 
subsection before the date of enactment of the SOAR 
Reauthorization Act, shall remain available until expended.
                              ----------                              


                    SECURITIES EXCHANGE ACT OF 1934

TITLE I--REGULATION OF SECURITIES EXCHANGES

           *       *       *       *       *       *       *


                   securities and exchange commission

  Sec. 4. (a) There is hereby established a Securities and 
Exchange Commission (hereinafter referred to as the 
``Commission'') to be composed of five commissioners to be 
appointed by the President by and with the advice and consent 
of the Senate. Not more than three of such commissioners shall 
be members of the same political party, and in making 
appointments members of different political parties shall be 
appointed alternately as nearly as may be practicable. No 
commissioner shall engage in any other business, vocation, or 
employment than that of serving as commissioner, nor shall any 
commissioner participate, directly or indirectly, in any stock-
market operations or transactions of a character subject to 
regulation by the Commission pursuant to this title. Each 
commissioner shall hold office for a term of five years and 
until his successor is appointed and has qualified, except that 
he shall not so continue to serve beyond the expiration of the 
next session of Congress subsequent to the expiration of said 
fixed term of office, and except (1) any commissioner appointed 
to fill a vacancy occurring prior to the expiration of the term 
for which his predecessor was appointed shall be appointed for 
the remainder of such term, and (2) the terms of office of the 
commissioners first taking office after the enactment of this 
title shall expire as designated by the President at the time 
of nomination, one at the end of one year, one at the end of 
two years, one at the end of three years, one at the end of 
four years, and one at the end of five years, after the date of 
the enactment of this title.
  (b) Appointment and Compensation of Staff and Leasing 
Authority.--
          (1) Appointment and compensation.-- The Commission 
        shall appoint and compensate officers, attorneys, 
        economists, examiners, and other employees in 
        accordance with section 4802 of title 5, United States 
        Code.
          (2) Reporting of information.-- In establishing and 
        adjusting schedules of compensation and benefits for 
        officers, attorneys, economists, examiners, and other 
        employees of the Commission under applicable provisions 
        of law, the Commission shall inform the heads of the 
        agencies referred to under section 1206 of the 
        Financial Institutions Reform, Recovery, and 
        Enforcement Act of 1989 (12 U.S.C. 1833b) and Congress 
        of such compensation and benefits and shall seek to 
        maintain comparability with such agencies regarding 
        compensation and benefits.
          (3) Leasing authority.-- Nothwithstanding any other 
        provision of law, the Commission is authorized to enter 
        directly into leases for real property for office, 
        meeting, storage, and such other space as is necessary 
        to carry out its functions, and shall be exempt from 
        any General Services Administration space management 
        regulations or directives.
  (c) Notwithstanding any other provision of law, in accordance 
with regulations which the Commission shall prescribe to 
prevent conflicts of interest, the Commission may accept 
payment and reimbursement, in cash or in kind, from non-Federal 
agencies, organizations, and individuals for travel, 
subsistence, and other necessary expenses incurred by 
Commission members and employees in attending meetings and 
conferences concerning the functions or activities of the 
Commission. Any payment or reimbursement accepted shall be 
credited to the appropriated funds of the Commission. The 
amount of travel, subsistence, and other necessary expenses for 
members and employees paid or reimbursed under this subsection 
may exceed per diem amounts established in official travel 
regulations, but the Commission may include in its regulations 
under this subsection a limitation on such amounts.
  (d) Notwithstanding any other provision of law, former 
employers of participants in the Commission's professional 
fellows programs may pay such participants their actual 
expenses for relocation to Washington, District of Columbia, to 
facilitate their participation in such programs, and program 
participants may accept such payments.
  (e) Notwithstanding any other provision of law, whenever any 
fee is required to be paid to the Commission pursuant to any 
provision of the securities laws or any other law, the 
Commission may provide by rule that such fee shall be paid in a 
manner other than in cash and the Commission may also specify 
the time that such fee shall be determined and paid relative to 
the filing of any statement or document with the Commission.
  (f) Reimbursement of Expenses for Assisting Foreign 
Securities Authorities.--Notwithstanding any other provision of 
law, the Commission may accept payment and reimbursement, in 
cash or in kind, from a foreign securities authority, or made 
on behalf of such authority, for necessary expenses incurred by 
the Commission, its members, and employees in carrying out any 
investigation pursuant to section 21(a)(2) of this title or in 
providing any other assistance to a foreign securities 
authority. Any payment or reimbursement accepted shall be 
considered a reimbursement to the appropriated funds of the 
Commission.
  (g) Office of the Investor Advocate.--
          (1) Office established.-- There is established within 
        the Commission the Office of the Investor Advocate (in 
        this subsection referred to as the ``Office'').
          (2) Investor advocate.--
                  (A) In general.-- The head of the Office 
                shall be the Investor Advocate, who shall--
                          (i) report directly to the Chairman; 
                        and
                          (ii) be appointed by the Chairman, in 
                        consultation with the Commission, from 
                        among individuals having experience in 
                        advocating for the interests of 
                        investors in securities and investor 
                        protection issues, from the perspective 
                        of investors.
                  (B) Compensation.-- The annual rate of pay 
                for the Investor Advocate shall be equal to the 
                highest rate of annual pay for other senior 
                executives who report to the Chairman of the 
                Commission.
                  (C) Limitation on service.-- An individual 
                who serves as the Investor Advocate may not be 
                employed by the Commission--
                          (i) during the 2-year period ending 
                        on the date of appointment as Investor 
                        Advocate; or
                          (ii) during the 5-year period 
                        beginning on the date on which the 
                        person ceases to serve as the Investor 
                        Advocate.
          (3) Staff of office.-- The Investor Advocate, after 
        consultation with the Chairman of the Commission, may 
        retain or employ independent counsel, research staff, 
        and service staff, as the Investor Advocate deems 
        necessary to carry out the functions, powers, and 
        duties of the Office.
          (4) Functions of the investor advocate.-- The 
        Investor Advocate shall--
                  (A) assist retail investors in resolving 
                significant problems such investors may have 
                with the Commission or with self-regulatory 
                organizations;
                  (B) identify areas in which investors would 
                benefit from changes in the regulations of the 
                Commission or the rules of self-regulatory 
                organizations;
                  (C) identify problems that investors have 
                with financial service providers and investment 
                products;
                  (D) analyze the potential impact on investors 
                of--
                          (i) proposed regulations of the 
                        Commission; and
                          (ii) proposed rules of self-
                        regulatory organizations registered 
                        under this title; and
                  (E) to the extent practicable, propose to the 
                Commission changes in the regulations or orders 
                of the Commission and to Congress any 
                legislative, administrative, or personnel 
                changes that may be appropriate to mitigate 
                problems identified under this paragraph and to 
                promote the interests of investors.
          (5) Access to documents.-- The Commission shall 
        ensure that the Investor Advocate has full access to 
        the documents of the Commission and any self-regulatory 
        organization, as necessary to carry out the functions 
        of the Office.
          (6) Annual reports.--
                  (A) Report on objectives.--
                          (i) In general.-- Not later than June 
                        30 of each year after 2010, the 
                        Investor Advocate shall submit to the 
                        Committee on Banking, Housing, and 
                        Urban Affairs of the Senate and the 
                        Committee on Financial Services of the 
                        House of Representatives a report on 
                        the objectives of the Investor Advocate 
                        for the following fiscal year.
                          (ii) Contents.-- Each report required 
                        under clause (i) shall contain full and 
                        substantive analysis and explanation.
                  (B) Report on activities.--
                          (i) In general.-- Not later than 
                        December 31 of each year after 2010, 
                        the Investor Advocate shall submit to 
                        the Committee on Banking, Housing, and 
                        Urban Affairs of the Senate and the 
                        Committee on Financial Services of the 
                        House of Representatives a report on 
                        the activities of the Investor Advocate 
                        during the immediately preceding fiscal 
                        year.
                          (ii) Contents.-- Each report required 
                        under clause (i) shall include--
                                  (I) appropriate statistical 
                                information and full and 
                                substantive analysis;
                                  (II) information on steps 
                                that the Investor Advocate has 
                                taken during the reporting 
                                period to improve investor 
                                services and the responsiveness 
                                of the Commission and self-
                                regulatory organizations to 
                                investor concerns;
                                  (III) a summary of the most 
                                serious problems encountered by 
                                investors during the reporting 
                                period;
                                  (IV) an inventory of the 
                                items described in subclause 
                                (III) that includes--
                                          (aa) identification 
                                        of any action taken by 
                                        the Commission or the 
                                        self-regulatory 
                                        organization and the 
                                        result of such action;
                                          (bb) the length of 
                                        time that each item has 
                                        remained on such 
                                        inventory; and
                                          (cc) for items on 
                                        which no action has 
                                        been taken, the reasons 
                                        for inaction, and an 
                                        identification of any 
                                        official who is 
                                        responsible for such 
                                        action;
                                  (V) recommendations for such 
                                administrative and legislative 
                                actions as may be appropriate 
                                to resolve problems encountered 
                                by investors; and
                                  (VI) any other information, 
                                as determined appropriate by 
                                the Investor Advocate.
                          (iii) Independence.-- Each report 
                        required under this paragraph shall be 
                        provided directly to the Committees 
                        listed in clause (i) without any prior 
                        review or comment from the Commission, 
                        any commissioner, any other officer or 
                        employee of the Commission, or the 
                        Office of Management and Budget.
                          (iv) Confidentiality.-- No report 
                        required under clause (i) may contain 
                        confidential information.
          (7) Regulations.-- The Commission shall, by 
        regulation, establish procedures requiring a formal 
        response to all recommendations submitted to the 
        Commission by the Investor Advocate, not later than 3 
        months after the date of such submission.
          (8) Ombudsman.--
                  (A) Appointment.-- Not later than 180 days 
                after the date on which the first Investor 
                Advocate is appointed under paragraph 
                (2)(A)(i), the Investor Advocate shall appoint 
                an Ombudsman, who shall report directly to the 
                Investor Advocate.
                  (B) Duties.-- The Ombudsman appointed under 
                subparagraph (A) shall--
                          (i) act as a liaison between the 
                        Commission and any retail investor in 
                        resolving problems that retail 
                        investors may have with the Commission 
                        or with self-regulatory organizations;
                          (ii) review and make recommendations 
                        regarding policies and procedures to 
                        encourage persons to present questions 
                        to the Investor Advocate regarding 
                        compliance with the securities laws; 
                        and
                          (iii) establish safeguards to 
                        maintain the confidentiality of 
                        communications between the persons 
                        described in clause (ii) and the 
                        Ombudsman.
                  (C) Limitation.-- In carrying out the duties 
                of the Ombudsman under subparagraph (B), the 
                Ombudsman shall utilize personnel of the 
                Commission to the extent practicable. Nothing 
                in this paragraph shall be construed as 
                replacing, altering, or diminishing the 
                activities of any ombudsman or similar office 
                of any other agency.
                  (D) Report.-- The Ombudsman shall submit a 
                semiannual report to the Investor Advocate that 
                describes the activities and evaluates the 
                effectiveness of the Ombudsman during the 
                preceding year. The Investor Advocate shall 
                include the reports required under this section 
                in the reports required to be submitted by the 
                Inspector Advocate under paragraph (6).
  (h) Examiners.--
          (1) Division of trading and markets.-- The Division 
        of Trading and Markets of the Commission, or any 
        successor organizational unit, shall have a staff of 
        examiners who shall--
                  (A) perform compliance inspections and 
                examinations of entities under the jurisdiction 
                of that Division; and
                  (B) report to the Director of that Division.
          (2) Division of investment management.-- The Division 
        of Investment Management of the Commission, or any 
        successor organizational unit, shall have a staff of 
        examiners who shall--
                  (A) perform compliance inspections and 
                examinations of entities under the jurisdiction 
                of that Division; and
                  (B) report to the Director of that Division.
  (i) Securities and Exchange Commission Reserve Fund.--
          (1) Reserve fund established.-- There is established 
        in the Treasury of the United States a separate fund, 
        to be known as the ``Securities and Exchange Commission 
        Reserve Fund'' (referred to in this subsection as the 
        ``Reserve Fund'').
          (2) Reserve fund amounts.--
                  (A) In general.-- Except as provided in 
                subparagraph (B), any registration fees 
                collected by the Commission under section 6(b) 
                of the Securities Act of 1933 (15 U.S.C. 
                77f(b)) or section 24(f) of the Investment 
                Company Act of 1940 (15 U.S.C. 80a-24(f)) shall 
                be deposited into the Reserve Fund.
                  (B) Limitations.-- For any 1 fiscal year--
                          (i) the amount deposited in the Fund 
                        may not exceed $50,000,000; and
                          (ii) the balance in the Fund may not 
                        exceed $100,000,000.
                  (C) Excess fees.-- Any amounts in excess of 
                the limitations described in subparagraph (B) 
                that the Commission collects from registration 
                fees under section 6(b) of the Securities Act 
                of 1933 (15 U.S.C. 77f(b)) or section 24(f) of 
                the Investment Company Act of 1940 (15 U.S.C. 
                80a-24(f)) shall be deposited in the General 
                Fund of the Treasury of the United States and 
                shall not be available for obligation by the 
                Commission.
          (3) Use of amounts in reserve fund.-- The Commission 
        may obligate amounts in the Reserve Fund, not to exceed 
        a total of $100,000,000 in any 1 fiscal year, as the 
        Commission determines is necessary to carry out the 
        functions of the Commission. Any amounts in the reserve 
        fund shall remain available until expended. Not later 
        than 10 days after the date on which the Commission 
        obligates amounts under this paragraph, the Commission 
        shall notify Congress of the date, amount, and purpose 
        of the obligation.
          (4) Rule of construction.-- Amounts collected and 
        deposited in the Reserve Fund shall not be construed to 
        be Government funds or appropriated monies and shall 
        not be subject to apportionment for the purpose of 
        chapter 15 of title 31, United States Code, or under 
        any other authority.
  (j) Office of the Advocate for Small Business Capital 
Formation.--
          (1) Office established.-- There is established within 
        the Commission the Office of the Advocate for Small 
        Business Capital Formation (hereafter in this 
        subsection referred to as the ``Office'').
          (2) Advocate for small business capital formation.--
                  (A) In general.-- The head of the Office 
                shall be the Advocate for Small Business 
                Capital Formation, who shall--
                          (i) report directly to the 
                        Commission; and
                          (ii) be appointed by the Commission, 
                        from among individuals having 
                        experience in advocating for the 
                        interests of small businesses and 
                        encouraging small business capital 
                        formation.
                  (B) Compensation.-- The annual rate of pay 
                for the Advocate for Small Business Capital 
                Formation shall be equal to the highest rate of 
                annual pay for other senior executives who 
                report directly to the Commission.
                  (C) No current employee of the commission.-- 
                An individual may not be appointed as the 
                Advocate for Small Business Capital Formation 
                if the individual is currently employed by the 
                Commission.
          (3) Staff of office.-- The Advocate for Small 
        Business Capital Formation, after consultation with the 
        Commission, may retain or employ independent counsel, 
        research staff, and service staff, as the Advocate for 
        Small Business Capital Formation determines to be 
        necessary to carry out the functions of the Office.
          (4) Functions of the advocate for small business 
        capital formation.-- The Advocate for Small Business 
        Capital Formation shall--
                  (A) assist small businesses and small 
                business investors in resolving significant 
                problems such businesses and investors may have 
                with the Commission or with self-regulatory 
                organizations;
                  (B) identify areas in which small businesses 
                and small business investors would benefit from 
                changes in the regulations of the Commission or 
                the rules of self-regulatory organizations;
                  (C) identify problems that small businesses 
                have with securing access to capital, including 
                any unique challenges to minority-owned and 
                women-owned small businesses;
                  (D) analyze the potential impact on small 
                businesses and small business investors of--
                          (i) proposed regulations of the 
                        Commission that are likely to have a 
                        significant economic impact on small 
                        businesses and small business capital 
                        formation; and
                          (ii) proposed rules that are likely 
                        to have a significant economic impact 
                        on small businesses and small business 
                        capital formation of self-regulatory 
                        organizations registered under this 
                        title;
                  (E) conduct outreach to small businesses and 
                small business investors, including through 
                regional roundtables, in order to solicit views 
                on relevant capital formation issues;
                  (F) to the extent practicable, propose to the 
                Commission changes in the regulations or orders 
                of the Commission and to Congress any 
                legislative, administrative, or personnel 
                changes that may be appropriate to mitigate 
                problems identified under this paragraph and to 
                promote the interests of small businesses and 
                small business investors;
                  (G) consult with the Investor Advocate on 
                proposed recommendations made under 
                subparagraph (F); and
                  (H) advise the Investor Advocate on issues 
                related to small businesses and small business 
                investors.
          (5) Access to documents.-- The Commission shall 
        ensure that the Advocate for Small Business Capital 
        Formation has full access to the documents and 
        information of the Commission and any self-regulatory 
        organization, as necessary to carry out the functions 
        of the Office.
          (6) Annual report on activities.--
                  (A) In general.-- Not later than December 31 
                of each year after 2015, the Advocate for Small 
                Business Capital Formation shall submit to the 
                Committee on Banking, Housing, and Urban 
                Affairs of the Senate and the Committee on 
                Financial Services of the House of 
                Representatives a report on the activities of 
                the Advocate for Small Business Capital 
                Formation during the immediately preceding 
                fiscal year.
                  (B) Contents.-- Each report required under 
                subparagraph (A) shall include--
                          (i) appropriate statistical 
                        information and full and substantive 
                        analysis;
                          (ii) information on steps that the 
                        Advocate for Small Business Capital 
                        Formation has taken during the 
                        reporting period to improve small 
                        business services and the 
                        responsiveness of the Commission and 
                        self-regulatory organizations to small 
                        business and small business investor 
                        concerns;
                          (iii) a summary of the most serious 
                        issues encountered by small businesses 
                        and small business investors, including 
                        any unique issues encountered by 
                        minority-owned and women-owned small 
                        businesses and their investors, during 
                        the reporting period;
                          (iv) an inventory of the items 
                        summarized under clause (iii) 
                        (including items summarized under such 
                        clause for any prior reporting period 
                        on which no action has been taken or 
                        that have not been resolved to the 
                        satisfaction of the Advocate for Small 
                        Business Capital Formation as of the 
                        beginning of the reporting period 
                        covered by the report) that includes--
                                  (I) identification of any 
                                action taken by the Commission 
                                or the self-regulatory 
                                organization and the result of 
                                such action;
                                  (II) the length of time that 
                                each item has remained on such 
                                inventory; and
                                  (III) for items on which no 
                                action has been taken, the 
                                reasons for inaction, and an 
                                identification of any official 
                                who is responsible for such 
                                action;
                          (v) recommendations for such changes 
                        to the regulations, guidance and orders 
                        of the Commission and such legislative 
                        actions as may be appropriate to 
                        resolve problems with the Commission 
                        and self-regulatory organizations 
                        encountered by small businesses and 
                        small business investors and to 
                        encourage small business capital 
                        formation; and
                          (vi) any other information, as 
                        determined appropriate by the Advocate 
                        for Small Business Capital Formation.
                  (C) Confidentiality.-- No report required by 
                subparagraph (A) may contain confidential 
                information.
                  (D) Independence.-- Each report required 
                under subparagraph (A) shall be provided 
                directly to the committees of Congress listed 
                in such subparagraph without any prior review 
                or comment from the Commission, any 
                commissioner, any other officer or employee of 
                the Commission, or the Office of Management and 
                Budget.
          (7) Regulations.-- The Commission shall establish 
        procedures requiring a formal response to all 
        recommendations submitted to the Commission by the 
        Advocate for Small Business Capital Formation, not 
        later than 3 months after the date of such submission.
          (8) Government-business forum on small business 
        capital formation.-- The Advocate for Small Business 
        Capital Formation shall be responsible for planning, 
        organizing, and executing the annual Government-
        Business Forum on Small Business Capital Formation 
        described in section 503 of the Small Business 
        Investment Incentive Act of 1980 (15 U.S.C. 80c-1).
          (9) Rule of construction.-- Nothing in this 
        subsection may be construed as replacing or reducing 
        the responsibilities of the Investor Advocate with 
        respect to small business investors.

           *       *       *       *       *       *       *


SEC. 40. SMALL BUSINESS CAPITAL FORMATION ADVISORY COMMITTEE.

  (a) Establishment and Purpose.--
          (1) Establishment.-- There is established within the 
        Commission the Small Business Capital Formation 
        Advisory Committee (hereafter in this section referred 
        to as the ``Committee'').
          (2) Functions.--
                  (A) In general.-- The Committee shall provide 
                the Commission with advice on the Commission's 
                rules, regulations, and policies with regard to 
                the Commission's mission of protecting 
                investors, maintaining fair, orderly, and 
                efficient markets, and facilitating capital 
                formation, as such rules, regulations, and 
                policies relate to--
                          (i) capital raising by emerging, 
                        privately held small businesses 
                        (``emerging companies'') and publicly 
                        traded companies with less than 
                        $250,000,000 in public market 
                        capitalization (``smaller public 
                        companies'') through securities 
                        offerings, including private and 
                        limited offerings and initial and other 
                        public offerings;
                          (ii) trading in the securities of 
                        emerging companies and smaller public 
                        companies; and
                          (iii) public reporting and corporate 
                        governance requirements of emerging 
                        companies and smaller public companies.
                  (B) Limitation.-- The Committee shall not 
                provide any advice with respect to any 
                policies, practices, actions, or decisions 
                concerning the Commission's enforcement 
                program.
  (b) Membership.--
          (1) In general.-- The members of the Committee shall 
        be--
                  (A) the Advocate for Small Business Capital 
                Formation;
                  (B) not fewer than 10, and not more than 20, 
                members appointed by the Commission, from among 
                individuals--
                          (i) who represent--
                                  (I) emerging companies 
                                engaging in private and limited 
                                securities offerings or 
                                considering initial public 
                                offerings (``IPO'') (including 
                                the companies' officers and 
                                directors);
                                  (II) the professional 
                                advisors of such companies 
                                (including attorneys, 
                                accountants, investment 
                                bankers, and financial 
                                advisors); and
                                  (III) the investors in such 
                                companies (including angel 
                                investors, venture capital 
                                funds, and family offices);
                          (ii) who are officers or directors of 
                        minority-owned small businesses or 
                        women-owned small businesses;
                          (iii) who represent--
                                  (I) smaller public companies 
                                (including the companies' 
                                officers and directors);
                                  (II) the professional 
                                advisors of such companies 
                                (including attorneys, auditors, 
                                underwriters, and financial 
                                advisors); and
                                  (III) the pre-IPO and post-
                                IPO investors in such companies 
                                (both institutional, such as 
                                venture capital funds, and 
                                individual, such as angel 
                                investors); and
                          (iv) who represent participants in 
                        the marketplace for the securities of 
                        emerging companies and smaller public 
                        companies, such as securities 
                        exchanges, alternative trading systems, 
                        analysts, information processors, and 
                        transfer agents; and
                  (C) three non-voting members--
                          (i) one of whom shall be appointed by 
                        the Investor Advocate;
                          (ii) one of whom shall be appointed 
                        by the North American Securities 
                        Administrators Association; and
                          (iii) one of whom shall be appointed 
                        by the Administrator of the Small 
                        Business Administration.
          (2) Term.-- Each member of the Committee appointed 
        under subparagraph (B), (C)(ii), or (C)(iii) of 
        paragraph (1) shall serve for a term of 4 years.
          (3) Members not commission employees.-- Members 
        appointed under subparagraph (B), (C)(ii), or (C)(iii) 
        of paragraph (1) shall not be treated as employees or 
        agents of the Commission solely because of membership 
        on the Committee.
  (c) Chairman; Vice Chairman; Secretary; Assistant 
Secretary.--
          (1) In general.-- The members of the Committee shall 
        elect, from among the members of the Committee--
                  (A) a chairman;
                  (B) a vice chairman;
                  (C) a secretary; and
                  (D) an assistant secretary.
          (2) Term.-- Each member elected under paragraph (1) 
        shall serve for a term of 3 years in the capacity for 
        which the member was elected under paragraph (1).
  (d) Meetings.--
          (1) Frequency of meetings.-- The Committee shall 
        meet--
                  (A) not less frequently than four times 
                annually, at the call of the chairman of the 
                Committee; and
                  (B) from time to time, at the call of the 
                Commission.
          (2) Notice.-- The chairman of the Committee shall 
        give the members of the Committee written notice of 
        each meeting, not later than 2 weeks before the date of 
        the meeting.
  (e) Compensation and Travel Expenses.--Each member of the 
Committee who is not a full-time employee of the United States 
shall--
          (1) be entitled to receive compensation at a rate not 
        to exceed the daily equivalent of the annual rate of 
        basic pay in effect for a position at level V of the 
        Executive Schedule under section 5316 of title 5, 
        United States Code, for each day during which the 
        member is engaged in the actual performance of the 
        duties of the Committee; and
          (2) while away from the home or regular place of 
        business of the member in the performance of services 
        for the Committee, be allowed travel expenses, 
        including per diem in lieu of subsistence, in the same 
        manner as persons employed intermittently in the 
        Government service are allowed expenses under section 
        5703 of title 5, United States Code.
  (f) Staff.--The Commission shall make available to the 
Committee such staff as the chairman of the Committee 
determines are necessary to carry out this section.
  (g) Review by Commission.--The Commission shall--
          (1) review the findings and recommendations of the 
        Committee; and
          (2) each time the Committee submits a finding or 
        recommendation to the Commission, promptly issue a 
        public statement--
                  (A) assessing the finding or recommendation 
                of the Committee; and
                  (B) disclosing the action, if any, the 
                Commission intends to take with respect to the 
                finding or recommendation.
  (h) Federal Advisory Committee Act.--The Federal Advisory 
Committee Act (5 U.S.C. App.) shall not apply with respect to 
the Committee and its activities.

           *       *       *       *       *       *       *

                              ----------                              


            SMALL BUSINESS INVESTMENT INCENTIVE ACT OF 1980



           *       *       *       *       *       *       *
TITLE V--CAPITAL FORMATION

           *       *       *       *       *       *       *


         ANNUAL GOVERNMENT-BUSINESS FORUM ON CAPITAL FORMATION

  Sec. 503. (a) Pursuant to the consultation called for in 
section 502, the Securities and Exchange Commission (acting 
through the Office of the Advocate for Small Business Capital 
Formation and in consultation with the Small Business Capital 
Formation Advisory Committee) shall conduct an annual 
Government-business forum to review the current status of 
problems and programs relating to small business capital 
formation.
  (b) The Commission shall invite other Federal agencies, such 
as the Department of the Treasury, the Board of Governors of 
the Federal Reserve System, the Small Business Administration, 
organizations representing State securities commissioners, and 
leading small business and professional organizations concerned 
with capital formation, to participate in the planning for such 
forums.
  (c) The Commission may request any of the Federal 
departments, agencies, or organizations such as those specified 
in subsection (b), or other groups or individuals, to prepare 
statements and reports to be delivered at such forums. Such 
departments and agencies shall cooperate in this effort.
  (d) A summary of the proceedings of such forums and any 
findings r recommendations thereof shall be prepared and 
transmitted to the participants, appropriate committees of the 
Congress, and others who may be interested in the subject 
matter.

           *       *       *       *       *       *       *

                              ----------                              


                      TITLE 11, UNITED STATES CODE



           *       *       *       *       *       *       *
CHAPTER 1--GENERAL PROVISIONS

           *       *       *       *       *       *       *


Sec. 101. Definitions

  In this title the following definitions shall apply:
          (1) The term ``accountant'' means accountant 
        authorized under applicable law to practice public 
        accounting, and includes professional accounting 
        association, corporation, or partnership, if so 
        authorized.
          (2) The term ``affiliate'' means--
                  (A) entity that directly or indirectly owns, 
                controls, or holds with power to vote, 20 
                percent or more of the outstanding voting 
                securities of the debtor, other than an entity 
                that holds such securities--
                          (i) in a fiduciary or agency capacity 
                        without sole discretionary power to 
                        vote such securities; or
                          (ii) solely to secure a debt, if such 
                        entity has not in fact exercised such 
                        power to vote;
                  (B) corporation 20 percent or more of whose 
                outstanding voting securities are directly or 
                indirectly owned, controlled, or held with 
                power to vote, by the debtor, or by an entity 
                that directly or indirectly owns, controls, or 
                holds with power to vote, 20 percent or more of 
                the outstanding voting securities of the 
                debtor, other than an entity that holds such 
                securities--
                          (i) in a fiduciary or agency capacity 
                        without sole discretionary power to 
                        vote such securities; or
                          (ii) solely to secure a debt, if such 
                        entity has not in fact exercised such 
                        power to vote;
                  (C) person whose business is operated under a 
                lease or operating agreement by a debtor, or 
                person substantially all of whose property is 
                operated under an operating agreement with the 
                debtor; or
                  (D) entity that operates the business or 
                substantially all of the property of the debtor 
                under a lease or operating agreement.
          (3) The term ``assisted person'' means any person 
        whose debts consist primarily of consumer debts and the 
        value of whose nonexempt property is less than 
        $150,000.
          (4) The term ``attorney'' means attorney, 
        professional law association, corporation, or 
        partnership, authorized under applicable law to 
        practice law.
  (4A) The term ``bankruptcy assistance'' means any goods or 
services sold or otherwise provided to an assisted person with 
the express or implied purpose of providing information, 
advice, counsel, document preparation, or filing, or attendance 
at a creditors' meeting or appearing in a case or proceeding on 
behalf of another or providing legal representation with 
respect to a case or proceeding under this title.
          (5) The term ``claim'' means--
                  (A) right to payment, whether or not such 
                right is reduced to judgment, liquidated, 
                unliquidated, fixed, contingent, matured, 
                unmatured, disputed, undisputed, legal, 
                equitable, secured, or unsecured; or
                  (B) right to an equitable remedy for breach 
                of performance if such breach gives rise to a 
                right to payment, whether or not such right to 
                an equitable remedy is reduced to judgment, 
                fixed, contingent, matured, unmatured, 
                disputed, undisputed, secured, or unsecured.
          (6) The term ``commodity broker'' means futures 
        commission merchant, foreign futures commission 
        merchant, clearing organization, leverage transaction 
        merchant, or commodity options dealer, as defined in 
        section 761 of this title, with respect to which there 
        is a customer, as defined in section 761 of this title.
          (7) The term ``community claim'' means claim that 
        arose before the commencement of the case concerning 
        the debtor for which property of the kind specified in 
        section 541(a)(2) of this title is liable, whether or 
        not there is any such property at the time of the 
        commencement of the case.
  (7A) The term ``commercial fishing operation'' means--
                  (A) the catching or harvesting of fish, 
                shrimp, lobsters, urchins, seaweed, shellfish, 
                or other aquatic species or products of such 
                species; or
                  (B) for purposes of section 109 and chapter 
                12, aquaculture activities consisting of 
                raising for market any species or product 
                described in subparagraph (A).
  (7B) The term ``commercial fishing vessel'' means a vessel 
used by a family fisherman to carry out a commercial fishing 
operation.
          (8) The term ``consumer debt'' means debt incurred by 
        an individual primarily for a personal, family, or 
        household purpose.
          (9) The term ``corporation''--
                  (A) includes--
                          (i) association having a power or 
                        privilege that a private corporation, 
                        but not an individual or a partnership, 
                        possesses;
                          (ii) partnership association 
                        organized under a law that makes only 
                        the capital subscribed responsible for 
                        the debts of such association;
                          (iii) joint-stock company;
                          (iv) unincorporated company or 
                        association; or
                          (v) business trust; but
                  (B) does not include limited partnership.
          (9A) The term ``covered financial corporation'' means 
        any corporation incorporated or organized under any 
        Federal or State law, other than a stockbroker, a 
        commodity broker, or an entity of the kind specified in 
        paragraph (2) or (3) of section 109(b), that is--
                  (A) a bank holding company, as defined in 
                section 2(a) of the Bank Holding Company Act of 
                1956; or
                  (B) a corporation that exists for the primary 
                purpose of owning, controlling and financing 
                its subsidiaries, that has total consolidated 
                assets of $50,000,000,000 or greater, and for 
                which, in its most recently completed fiscal 
                year--
                          (i) annual gross revenues derived by 
                        the corporation and all of its 
                        subsidiaries from activities that are 
                        financial in nature (as defined in 
                        section 4(k) of the Bank Holding 
                        Company Act of 1956) and, if 
                        applicable, from the ownership or 
                        control of one or more insured 
                        depository institutions, represents 85 
                        percent or more of the consolidated 
                        annual gross revenues of the 
                        corporation; or
                          (ii) the consolidated assets of the 
                        corporation and all of its subsidiaries 
                        related to activities that are 
                        financial in nature (as defined in 
                        section 4(k) of the Bank Holding 
                        Company Act of 1956) and, if 
                        applicable, related to the ownership or 
                        control of one or more insured 
                        depository institutions, represents 85 
                        percent or more of the consolidated 
                        assets of the corporation.
          (10) The term ``creditor'' means--
                  (A) entity that has a claim against the 
                debtor that arose at the time of or before the 
                order for relief concerning the debtor;
                  (B) entity that has a claim against the 
                estate of a kind specified in section 348(d), 
                502(f), 502(g), 502(h) or 502(i) of this title; 
                or
                  (C) entity that has a community claim.
  (10A) The term ``current monthly income''--
                  (A) means the average monthly income from all 
                sources that the debtor receives (or in a joint 
                case the debtor and the debtor's spouse 
                receive) without regard to whether such income 
                is taxable income, derived during the 6-month 
                period ending on--
                          (i) the last day of the calendar 
                        month immediately preceding the date of 
                        the commencement of the case if the 
                        debtor files the schedule of current 
                        income required by section 
                        521(a)(1)(B)(ii); or
                          (ii) the date on which current income 
                        is determined by the court for purposes 
                        of this title if the debtor does not 
                        file the schedule of current income 
                        required by section 521(a)(1)(B)(ii); 
                        and
                  (B) includes any amount paid by any entity 
                other than the debtor (or in a joint case the 
                debtor and the debtor's spouse), on a regular 
                basis for the household expenses of the debtor 
                or the debtor's dependents (and in a joint case 
                the debtor's spouse if not otherwise a 
                dependent), but excludes benefits received 
                under the Social Security Act, payments to 
                victims of war crimes or crimes against 
                humanity on account of their status as victims 
                of such crimes, and payments to victims of 
                international terrorism (as defined in section 
                2331 of title 18) or domestic terrorism (as 
                defined in section 2331 of title 18) on account 
                of their status as victims of such terrorism.
          (11) The term ``custodian'' means--
                  (A) receiver or trustee of any of the 
                property of the debtor, appointed in a case or 
                proceeding not under this title;
                  (B) assignee under a general assignment for 
                the benefit of the debtor's creditors; or
                  (C) trustee, receiver, or agent under 
                applicable law, or under a contract, that is 
                appointed or authorized to take charge of 
                property of the debtor for the purpose of 
                enforcing a lien against such property, or for 
                the purpose of general administration of such 
                property for the benefit of the debtor's 
                creditors.
          (12) The term ``debt'' means liability on a claim.
  (12A) The term ``debt relief agency'' means any person who 
provides any bankruptcy assistance to an assisted person in 
return for the payment of money or other valuable 
consideration, or who is a bankruptcy petition preparer under 
section 110, but does not include--
                  (A) any person who is an officer, director, 
                employee, or agent of a person who provides 
                such assistance or of the bankruptcy petition 
                preparer;
                  (B) a nonprofit organization that is exempt 
                from taxation under section 501(c)(3) of the 
                Internal Revenue Code of 1986;
                  (C) a creditor of such assisted person, to 
                the extent that the creditor is assisting such 
                assisted person to restructure any debt owed by 
                such assisted person to the creditor;
                  (D) a depository institution (as defined in 
                section 3 of the Federal Deposit Insurance Act) 
                or any Federal credit union or State credit 
                union (as those terms are defined in section 
                101 of the Federal Credit Union Act), or any 
                affiliate or subsidiary of such depository 
                institution or credit union; or
                  (E) an author, publisher, distributor, or 
                seller of works subject to copyright protection 
                under title 17, when acting in such capacity.
          (13) The term ``debtor'' means person or municipality 
        concerning which a case under this title has been 
        commenced.
  (13A) The term ``debtor's principal residence''--
                  (A) means a residential structure if used as 
                the principal residence by the debtor, 
                including incidental property, without regard 
                to whether that structure is attached to real 
                property; and
                  (B) includes an individual condominium or 
                cooperative unit, a mobile or manufactured 
                home, or trailer if used as the principal 
                residence by the debtor.
          (14) The term ``disinterested person'' means a person 
        that--
                  (A) is not a creditor, an equity security 
                holder, or an insider;
                  (B) is not and was not, within 2 years before 
                the date of the filing of the petition, a 
                director, officer, or employee of the debtor; 
                and
                  (C) does not have an interest materially 
                adverse to the interest of the estate or of any 
                class of creditors or equity security holders, 
                by reason of any direct or indirect 
                relationship to, connection with, or interest 
                in, the debtor, or for any other reason.
  (14A) The term ``domestic support obligation'' means a debt 
that accrues before, on, or after the date of the order for 
relief in a case under this title, including interest that 
accrues on that debt as provided under applicable nonbankruptcy 
law notwithstanding any other provision of this title, that 
is--
                  (A) owed to or recoverable by--
                          (i) a spouse, former spouse, or child 
                        of the debtor or such child's parent, 
                        legal guardian, or responsible 
                        relative; or
                          (ii) a governmental unit;
                  (B) in the nature of alimony, maintenance, or 
                support (including assistance provided by a 
                governmental unit) of such spouse, former 
                spouse, or child of the debtor or such child's 
                parent, without regard to whether such debt is 
                expressly so designated;
                  (C) established or subject to establishment 
                before, on, or after the date of the order for 
                relief in a case under this title, by reason of 
                applicable provisions of--
                          (i) a separation agreement, divorce 
                        decree, or property settlement 
                        agreement;
                          (ii) an order of a court of record; 
                        or
                          (iii) a determination made in 
                        accordance with applicable 
                        nonbankruptcy law by a governmental 
                        unit; and
                  (D) not assigned to a nongovernmental entity, 
                unless that obligation is assigned voluntarily 
                by the spouse, former spouse, child of the 
                debtor, or such child's parent, legal guardian, 
                or responsible relative for the purpose of 
                collecting the debt.
          (15) The term ``entity'' includes person, estate, 
        trust, governmental unit, and United States trustee.
          (16) The term ``equity security'' means--
                  (A) share in a corporation, whether or not 
                transferable or denominated ``stock'', or 
                similar security;
                  (B) interest of a limited partner in a 
                limited partnership; or
                  (C) warrant or right, other than a right to 
                convert, to purchase, sell, or subscribe to a 
                share, security, or interest of a kind 
                specified in subparagraph (A) or (B) of this 
                paragraph.
          (17) The term ``equity security holder'' means holder 
        of an equity security of the debtor.
          (18) The term ``family farmer'' means--
                  (A) individual or individual and spouse 
                engaged in a farming operation whose aggregate 
                debts do not exceed $3,237,000 and not less 
                than 50 percent of whose aggregate 
                noncontingent, liquidated debts (excluding a 
                debt for the principal residence of such 
                individual or such individual and spouse unless 
                such debt arises out of a farming operation), 
                on the date the case is filed, arise out of a 
                farming operation owned or operated by such 
                individual or such individual and spouse, and 
                such individual or such individual and spouse 
                receive from such farming operation more than 
                50 percent of such individual's or such 
                individual and spouse's gross income for--
                          (i) the taxable year preceding; or
                          (ii) each of the 2d and 3d taxable 
                        years preceding;
                the taxable year in which the case concerning 
                such individual or such individual and spouse 
                was filed; or
                  (B) corporation or partnership in which more 
                than 50 percent of the outstanding stock or 
                equity is held by one family, or by one family 
                and the relatives of the members of such 
                family, and such family or such relatives 
                conduct the farming operation, and
                          (i) more than 80 percent of the value 
                        of its assets consists of assets 
                        related to the farming operation;
                          (ii) its aggregate debts do not 
                        exceed $3,237,000 and not less than 50 
                        percent of its aggregate noncontingent, 
                        liquidated debts (excluding a debt for 
                        one dwelling which is owned by such 
                        corporation or partnership and which a 
                        shareholder or partner maintains as a 
                        principal residence, unless such debt 
                        arises out of a farming operation), on 
                        the date the case is filed, arise out 
                        of the farming operation owned or 
                        operated by such corporation or such 
                        partnership; and
                          (iii) if such corporation issues 
                        stock, such stock is not publicly 
                        traded.
          (19) The term ``family farmer with regular annual 
        income'' means family farmer whose annual income is 
        sufficiently stable and regular to enable such family 
        farmer to make payments under a plan under chapter 12 
        of this title.
  (19A) The term ``family fisherman'' means--
                  (A) an individual or individual and spouse 
                engaged in a commercial fishing operation--
                          (i) whose aggregate debts do not 
                        exceed $1,500,000 and not less than 80 
                        percent of whose aggregate 
                        noncontingent, liquidated debts 
                        (excluding a debt for the principal 
                        residence of such individual or such 
                        individual and spouse, unless such debt 
                        arises out of a commercial fishing 
                        operation), on the date the case is 
                        filed, arise out of a commercial 
                        fishing operation owned or operated by 
                        such individual or such individual and 
                        spouse; and
                          (ii) who receive from such commercial 
                        fishing operation more than 50 percent 
                        of such individual's or such 
                        individual's and spouse's gross income 
                        for the taxable year preceding the 
                        taxable year in which the case 
                        concerning such individual or such 
                        individual and spouse was filed; or
                  (B) a corporation or partnership--
                          (i) in which more than 50 percent of 
                        the outstanding stock or equity is held 
                        by--
                                  (I) 1 family that conducts 
                                the commercial fishing 
                                operation; or
                                  (II) 1 family and the 
                                relatives of the members of 
                                such family, and such family or 
                                such relatives conduct the 
                                commercial fishing operation; 
                                and
                          (ii)(I) more than 80 percent of the 
                        value of its assets consists of assets 
                        related to the commercial fishing 
                        operation;
                                  (II) its aggregate debts do 
                                not exceed $1,500,000 and not 
                                less than 80 percent of its 
                                aggregate noncontingent, 
                                liquidated debts (excluding a 
                                debt for 1 dwelling which is 
                                owned by such corporation or 
                                partnership and which a 
                                shareholder or partner 
                                maintains as a principal 
                                residence, unless such debt 
                                arises out of a commercial 
                                fishing operation), on the date 
                                the case is filed, arise out of 
                                a commercial fishing operation 
                                owned or operated by such 
                                corporation or such 
                                partnership; and
                                  (III) if such corporation 
                                issues stock, such stock is not 
                                publicly traded.
  (19B) The term ``family fisherman with regular annual 
income'' means a family fisherman whose annual income is 
sufficiently stable and regular to enable such family fisherman 
to make payments under a plan under chapter 12 of this title.
          (20) The term ``farmer'' means (except when such term 
        appears in the term ``family farmer'') person that 
        received more than 80 percent of such person's gross 
        income during the taxable year of such person 
        immediately preceding the taxable year of such person 
        during which the case under this title concerning such 
        person was commenced from a farming operation owned or 
        operated by such person.
          (21) The term ``farming operation'' includes farming, 
        tillage of the soil, dairy farming, ranching, 
        production or raising of crops, poultry, or livestock, 
        and production of poultry or livestock products in an 
        unmanufactured state.
  (21A) The term ``farmout agreement'' means a written 
agreement in which--
                  (A) the owner of a right to drill, produce, 
                or operate liquid or gaseous hydrocarbons on 
                property agrees or has agreed to transfer or 
                assign all or a part of such right to another 
                entity; and
                  (B) such other entity (either directly or 
                through its agents or its assigns), as 
                consideration, agrees to perform drilling, 
                reworking, recompleting, testing, or similar or 
                related operations, to develop or produce 
                liquid or gaseous hydrocarbons on the property.
  (21B) The term ``Federal depository institutions regulatory 
agency'' means--
                  (A) with respect to an insured depository 
                institution (as defined in section 3(c)(2) of 
                the Federal Deposit Insurance Act) for which no 
                conservator or receiver has been appointed, the 
                appropriate Federal banking agency (as defined 
                in section 3(q) of such Act);
                  (B) with respect to an insured credit union 
                (including an insured credit union for which 
                the National Credit Union Administration has 
                been appointed conservator or liquidating 
                agent), the National Credit Union 
                Administration;
                  (C) with respect to any insured depository 
                institution for which the Resolution Trust 
                Corporation has been appointed conservator or 
                receiver, the Resolution Trust Corporation; and
                  (D) with respect to any insured depository 
                institution for which the Federal Deposit 
                Insurance Corporation has been appointed 
                conservator or receiver, the Federal Deposit 
                Insurance Corporation.
          (22) The term ``financial institution'' means--
                  (A) a Federal reserve bank, or an entity that 
                is a commercial or savings bank, industrial 
                savings bank, savings and loan association, 
                trust company, federally-insured credit union, 
                or receiver, liquidating agent, or conservator 
                for such entity and, when any such Federal 
                reserve bank, receiver, liquidating agent, 
                conservator or entity is acting as agent or 
                custodian for a customer (whether or not a 
                ``customer'', as defined in section 741) in 
                connection with a securities contract (as 
                defined in section 741) such customer; or
                  (B) in connection with a securities contract 
                (as defined in section 741) an investment 
                company registered under the Investment Company 
                Act of 1940.
  (22A) The term ``financial participant'' means--
                  (A) an entity that, at the time it enters 
                into a securities contract, commodity contract, 
                swap agreement, repurchase agreement, or 
                forward contract, or at the time of the date of 
                the filing of the petition, has one or more 
                agreements or transactions described in 
                paragraph (1), (2), (3), (4), (5), or (6) of 
                section 561(a) with the debtor or any other 
                entity (other than an affiliate) of a total 
                gross dollar value of not less than 
                $1,000,000,000 in notional or actual principal 
                amount outstanding (aggregated across 
                counterparties) at such time or on any day 
                during the 15-month period preceding the date 
                of the filing of the petition, or has gross 
                mark-to-market positions of not less than 
                $100,000,000 (aggregated across counterparties) 
                in one or more such agreements or transactions 
                with the debtor or any other entity (other than 
                an affiliate) at such time or on any day during 
                the 15-month period preceding the date of the 
                filing of the petition; or
                  (B) a clearing organization (as defined in 
                section 402 of the Federal Deposit Insurance 
                Corporation Improvement Act of 1991).
          (23) The term ``foreign proceeding'' means a 
        collective judicial or administrative proceeding in a 
        foreign country, including an interim proceeding, under 
        a law relating to insolvency or adjustment of debt in 
        which proceeding the assets and affairs of the debtor 
        are subject to control or supervision by a foreign 
        court, for the purpose of reorganization or 
        liquidation.
          (24) The term ``foreign representative'' means a 
        person or body, including a person or body appointed on 
        an interim basis, authorized in a foreign proceeding to 
        administer the reorganization or the liquidation of the 
        debtor's assets or affairs or to act as a 
        representative of such foreign proceeding.
          (25) The term ``forward contract'' means--
                  (A) a contract (other than a commodity 
                contract, as defined in section 761) for the 
                purchase, sale, or transfer of a commodity, as 
                defined in section 761(8) of this title, or any 
                similar good, article, service, right, or 
                interest which is presently or in the future 
                becomes the subject of dealing in the forward 
                contract trade, or product or byproduct 
                thereof, with a maturity date more than two 
                days after the date the contract is entered 
                into, including, but not limited to, a 
                repurchase or reverse repurchase transaction 
                (whether or not such repurchase or reverse 
                repurchase transaction is a ``repurchase 
                agreement'', as defined in this section) 
                consignment, lease, swap, hedge transaction, 
                deposit, loan, option, allocated transaction, 
                unallocated transaction, or any other similar 
                agreement;
                  (B) any combination of agreements or 
                transactions referred to in subparagraphs (A) 
                and (C);
                  (C) any option to enter into an agreement or 
                transaction referred to in subparagraph (A) or 
                (B);
                  (D) a master agreement that provides for an 
                agreement or transaction referred to in 
                subparagraph (A), (B), or (C), together with 
                all supplements to any such master agreement, 
                without regard to whether such master agreement 
                provides for an agreement or transaction that 
                is not a forward contract under this paragraph, 
                except that such master agreement shall be 
                considered to be a forward contract under this 
                paragraph only with respect to each agreement 
                or transaction under such master agreement that 
                is referred to in subparagraph (A), (B), or 
                (C); or
                  (E) any security agreement or arrangement, or 
                other credit enhancement related to any 
                agreement or transaction referred to in 
                subparagraph (A), (B), (C), or (D), including 
                any guarantee or reimbursement obligation by or 
                to a forward contract merchant or financial 
                participant in connection with any agreement or 
                transaction referred to in any such 
                subparagraph, but not to exceed the damages in 
                connection with any such agreement or 
                transaction, measured in accordance with 
                section 562.
          (26) The term ``forward contract merchant'' means a 
        Federal reserve bank, or an entity the business of 
        which consists in whole or in part of entering into 
        forward contracts as or with merchants in a commodity 
        (as defined in section 761) or any similar good, 
        article, service, right, or interest which is presently 
        or in the future becomes the subject of dealing in the 
        forward contract trade.
          (27) The term ``governmental unit'' means United 
        States; State; Commonwealth; District; Territory; 
        municipality; foreign state; department, agency, or 
        instrumentality of the United States (but not a United 
        States trustee while serving as a trustee in a case 
        under this title), a State, a Commonwealth, a District, 
        a Territory, a municipality, or a foreign state; or 
        other foreign or domestic government.
  (27A) The term ``health care business''--
                  (A) means any public or private entity 
                (without regard to whether that entity is 
                organized for profit or not for profit) that is 
                primarily engaged in offering to the general 
                public facilities and services for--
                          (i) the diagnosis or treatment of 
                        injury, deformity, or disease; and
                          (ii) surgical, drug treatment, 
                        psychiatric, or obstetric care; and
                  (B) includes--
                          (i) any--
                                  (I) general or specialized 
                                hospital;
                                  (II) ancillary ambulatory, 
                                emergency, or surgical 
                                treatment facility;
                                  (III) hospice;
                                  (IV) home health agency; and
                                  (V) other health care 
                                institution that is similar to 
                                an entity referred to in 
                                subclause (I), (II), (III), or 
                                (IV); and
                          (ii) any long-term care facility, 
                        including any--
                                  (I) skilled nursing facility;
                                  (II) intermediate care 
                                facility;
                                  (III) assisted living 
                                facility;
                                  (IV) home for the aged;
                                  (V) domiciliary care 
                                facility; and
                                  (VI) health care institution 
                                that is related to a facility 
                                referred to in subclause (I), 
                                (II), (III), (IV), or (V), if 
                                that institution is primarily 
                                engaged in offering room, 
                                board, laundry, or personal 
                                assistance with activities of 
                                daily living and incidentals to 
                                activities of daily living.
  (27B) The term ``incidental property'' means, with respect to 
a debtor's principal residence--
                  (A) property commonly conveyed with a 
                principal residence in the area where the real 
                property is located;
                  (B) all easements, rights, appurtenances, 
                fixtures, rents, royalties, mineral rights, oil 
                or gas rights or profits, water rights, escrow 
                funds, or insurance proceeds; and
                  (C) all replacements or additions.
          (28) The term ``indenture'' means mortgage, deed of 
        trust, or indenture, under which there is outstanding a 
        security, other than a voting-trust certificate, 
        constituting a claim against the debtor, a claim 
        secured by a lien on any of the debtor's property, or 
        an equity security of the debtor.
          (29) The term ``indenture trustee'' means trustee 
        under an indenture.
          (30) The term ``individual with regular income'' 
        means individual whose income is sufficiently stable 
        and regular to enable such individual to make payments 
        under a plan under chapter 13 of this title, other than 
        a stockbroker or a commodity broker.
          (31) The term ``insider'' includes--
                  (A) if the debtor is an individual--
                          (i) relative of the debtor or of a 
                        general partner of the debtor;
                          (ii) partnership in which the debtor 
                        is a general partner;
                          (iii) general partner of the debtor; 
                        or
                          (iv) corporation of which the debtor 
                        is a director, officer, or person in 
                        control;
                  (B) if the debtor is a corporation--
                          (i) director of the debtor;
                          (ii) officer of the debtor;
                          (iii) person in control of the 
                        debtor;
                          (iv) partnership in which the debtor 
                        is a general partner;
                          (v) general partner of the debtor; or
                          (vi) relative of a general partner, 
                        director, officer, or person in control 
                        of the debtor;
                  (C) if the debtor is a partnership--
                          (i) general partner in the debtor;
                          (ii) relative of a general partner 
                        in, general partner of, or person in 
                        control of the debtor;
                          (iii) partnership in which the debtor 
                        is a general partner;
                          (iv) general partner of the debtor; 
                        or
                          (v) person in control of the debtor;
                  (D) if the debtor is a municipality, elected 
                official of the debtor or relative of an 
                elected official of the debtor;
                  (E) affiliate, or insider of an affiliate as 
                if such affiliate were the debtor; and
                  (F) managing agent of the debtor.
          (32) The term ``insolvent'' means--
                  (A) with reference to an entity other than a 
                partnership and a municipality, financial 
                condition such that the sum of such entity's 
                debts is greater than all of such entity's 
                property, at a fair valuation, exclusive of--
                          (i) property transferred, concealed, 
                        or removed with intent to hinder, 
                        delay, or defraud such entity's 
                        creditors; and
                          (ii) property that may be exempted 
                        from property of the estate under 
                        section 522 of this title;
                  (B) with reference to a partnership, 
                financial condition such that the sum of such 
                partnership's debts is greater than the 
                aggregate of, at a fair valuation--
                          (i) all of such partnership's 
                        property, exclusive of property of the 
                        kind specified in subparagraph (A)(i) 
                        of this paragraph; and
                          (ii) the sum of the excess of the 
                        value of each general partner's 
                        nonpartnership property, exclusive of 
                        property of the kind specified in 
                        subparagraph (A) of this paragraph, 
                        over such partner's nonpartnership 
                        debts; and
                  (C) with reference to a municipality, 
                financial condition such that the municipality 
                is--
                          (i) generally not paying its debts as 
                        they become due unless such debts are 
                        the subject of a bona fide dispute; or
                          (ii) unable to pay its debts as they 
                        become due.
          (33) The term ``institution-affiliated party''--
                  (A) with respect to an insured depository 
                institution (as defined in section 3(c)(2) of 
                the Federal Deposit Insurance Act), has the 
                meaning given it in section 3(u) of the Federal 
                Deposit Insurance Act; and
                  (B) with respect to an insured credit union, 
                has the meaning given it in section 206(r) of 
                the Federal Credit Union Act.
          (34) The term ``insured credit union'' has the 
        meaning given it in section 101(7) of the Federal 
        Credit Union Act.
          (35) The term ``insured depository institution''--
                  (A) has the meaning given it in section 
                3(c)(2) of the Federal Deposit Insurance Act; 
                and
                  (B) includes an insured credit union (except 
                in the case of paragraphs (21B) and (33)(A) of 
                this subsection).
  (35A) The term ``intellectual property'' means--
                  (A) trade secret;
                  (B) invention, process, design, or plant 
                protected under title 35;
                  (C) patent application;
                  (D) plant variety;
                  (E) work of authorship protected under title 
                17; or
                  (F) mask work protected under chapter 9 of 
                title 17;
        to the extent protected by applicable nonbankruptcy 
        law.
          (36) The term ``judicial lien'' means lien obtained 
        by judgment, levy, sequestration, or other legal or 
        equitable process or proceeding.
          (37) The term ``lien'' means charge against or 
        interest in property to secure payment of a debt or 
        performance of an obligation.
          (38) The term ``margin payment'' means, for purposes 
        of the forward contract provisions of this title, 
        payment or deposit of cash, a security or other 
        property, that is commonly known in the forward 
        contract trade as original margin, initial margin, 
        maintenance margin, or variation margin, including 
        mark-to-market payments, or variation payments.
  (38A) The term ``master netting agreement''--
                  (A) means an agreement providing for the 
                exercise of rights, including rights of 
                netting, setoff, liquidation, termination, 
                acceleration, or close out, under or in 
                connection with one or more contracts that are 
                described in any one or more of paragraphs (1) 
                through (5) of section 561(a), or any security 
                agreement or arrangement or other credit 
                enhancement related to one or more of the 
                foregoing, including any guarantee or 
                reimbursement obligation related to 1 or more 
                of the foregoing; and
                  (B) if the agreement contains provisions 
                relating to agreements or transactions that are 
                not contracts described in paragraphs (1) 
                through (5) of section 561(a), shall be deemed 
                to be a master netting agreement only with 
                respect to those agreements or transactions 
                that are described in any one or more of 
                paragraphs (1) through (5) of section 561(a).
  (38B) The term ``master netting agreement participant'' means 
an entity that, at any time before the date of the filing of 
the petition, is a party to an outstanding master netting 
agreement with the debtor.
          (39) The term ``mask work'' has the meaning given it 
        in section 901(a)(2) of title 17.
  (39A) The term ``median family income'' means for any year--
                  (A) the median family income both calculated 
                and reported by the Bureau of the Census in the 
                then most recent year; and
                  (B) if not so calculated and reported in the 
                then current year, adjusted annually after such 
                most recent year until the next year in which 
                median family income is both calculated and 
                reported by the Bureau of the Census, to 
                reflect the percentage change in the Consumer 
                Price Index for All Urban Consumers during the 
                period of years occurring after such most 
                recent year and before such current year.
          (40) The term ``municipality'' means political 
        subdivision or public agency or instrumentality of a 
        State.
  (40A) The term ``patient'' means any individual who obtains 
or receives services from a health care business.
  (40B) The term ``patient records'' means any record relating 
to a patient, including a written document or a record recorded 
in a magnetic, optical, or other form of electronic medium.
          (41) The term ``person'' includes individual, 
        partnership, and corporation, but does not include 
        governmental unit, except that a governmental unit 
        that--
                  (A) acquires an asset from a person--
                          (i) as a result of the operation of a 
                        loan guarantee agreement; or
                          (ii) as receiver or liquidating agent 
                        of a person;
                  (B) is a guarantor of a pension benefit 
                payable by or on behalf of the debtor or an 
                affiliate of the debtor; or
                  (C) is the legal or beneficial owner of an 
                asset of--
                          (i) an employee pension benefit plan 
                        that is a governmental plan, as defined 
                        in section 414(d) of the Internal 
                        Revenue Code of 1986; or
                          (ii) an eligible deferred 
                        compensation plan, as defined in 
                        section 457(b) of the Internal Revenue 
                        Code of 1986;
        shall be considered, for purposes of section 1102 of 
        this title, to be a person with respect to such asset 
        or such benefit.
  (41A) The term ``personally identifiable information'' 
means--
                  (A) if provided by an individual to the 
                debtor in connection with obtaining a product 
                or a service from the debtor primarily for 
                personal, family, or household purposes--
                          (i) the first name (or initial) and 
                        last name of such individual, whether 
                        given at birth or time of adoption, or 
                        resulting from a lawful change of name;
                          (ii) the geographical address of a 
                        physical place of residence of such 
                        individual;
                          (iii) an electronic address 
                        (including an e-mail address) of such 
                        individual;
                          (iv) a telephone number dedicated to 
                        contacting such individual at such 
                        physical place of residence;
                          (v) a social security account number 
                        issued to such individual; or
                          (vi) the account number of a credit 
                        card issued to such individual; or
                  (B) if identified in connection with 1 or 
                more of the items of information specified in 
                subparagraph (A)--
                          (i) a birth date, the number of a 
                        certificate of birth or adoption, or a 
                        place of birth; or
                          (ii) any other information concerning 
                        an identified individual that, if 
                        disclosed, will result in contacting or 
                        identifying such individual physically 
                        or electronically.
          (42) The term ``petition'' means petition filed under 
        section 301, 302, 303 and 1504 of this title, as the 
        case may be, commencing a case under this title.
  (42A) The term ``production payment'' means a term overriding 
royalty satisfiable in cash or in kind--
                  (A) contingent on the production of a liquid 
                or gaseous hydrocarbon from particular real 
                property; and
                  (B) from a specified volume, or a specified 
                value, from the liquid or gaseous hydrocarbon 
                produced from such property, and determined 
                without regard to production costs.
          (43) The term ``purchaser'' means transferee of a 
        voluntary transfer, and includes immediate or mediate 
        transferee of such a transferee.
          (44) The term ``railroad'' means common carrier by 
        railroad engaged in the transportation of individuals 
        or property or owner of trackage facilities leased by 
        such a common carrier.
          (45) The term ``relative'' means individual related 
        by affinity or consanguinity within the third degree as 
        determined by the common law, or individual in a step 
        or adoptive relationship within such third degree.
          (46) The term ``repo participant'' means an entity 
        that, at any time before the filing of the petition, 
        has an outstanding repurchase agreement with the 
        debtor.
          (47) The term ``repurchase agreement'' (which 
        definition also applies to a reverse repurchase 
        agreement)--
                  (A) means--
                          (i) an agreement, including related 
                        terms, which provides for the transfer 
                        of one or more certificates of deposit, 
                        mortgage related securities (as defined 
                        in section 3 of the Securities Exchange 
                        Act of 1934), mortgage loans, interests 
                        in mortgage related securities or 
                        mortgage loans, eligible bankers' 
                        acceptances, qualified foreign 
                        government securities (defined as a 
                        security that is a direct obligation 
                        of, or that is fully guaranteed by, the 
                        central government of a member of the 
                        Organization for Economic Cooperation 
                        and Development), or securities that 
                        are direct obligations of, or that are 
                        fully guaranteed by, the United States 
                        or any agency of the United States 
                        against the transfer of funds by the 
                        transferee of such certificates of 
                        deposit, eligible bankers' acceptances, 
                        securities, mortgage loans, or 
                        interests, with a simultaneous 
                        agreement by such transferee to 
                        transfer to the transferor thereof 
                        certificates of deposit, eligible 
                        bankers' acceptance, securities, 
                        mortgage loans, or interests of the 
                        kind described in this clause, at a 
                        date certain not later than 1 year 
                        after such transfer or on demand, 
                        against the transfer of funds;
                          (ii) any combination of agreements or 
                        transactions referred to in clauses (i) 
                        and (iii);
                          (iii) an option to enter into an 
                        agreement or transaction referred to in 
                        clause (i) or (ii);
                          (iv) a master agreement that provides 
                        for an agreement or transaction 
                        referred to in clause (i), (ii), or 
                        (iii), together with all supplements to 
                        any such master agreement, without 
                        regard to whether such master agreement 
                        provides for an agreement or 
                        transaction that is not a repurchase 
                        agreement under this paragraph, except 
                        that such master agreement shall be 
                        considered to be a repurchase agreement 
                        under this paragraph only with respect 
                        to each agreement or transaction under 
                        the master agreement that is referred 
                        to in clause (i), (ii), or (iii); or
                          (v) any security agreement or 
                        arrangement or other credit enhancement 
                        related to any agreement or transaction 
                        referred to in clause (i), (ii), (iii), 
                        or (iv), including any guarantee or 
                        reimbursement obligation by or to a 
                        repo participant or financial 
                        participant in connection with any 
                        agreement or transaction referred to in 
                        any such clause, but not to exceed the 
                        damages in connection with any such 
                        agreement or transaction, measured in 
                        accordance with section 562 of this 
                        title; and
                  (B) does not include a repurchase obligation 
                under a participation in a commercial mortgage 
                loan.
          (48) The term ``securities clearing agency'' means 
        person that is registered as a clearing agency under 
        section 17A of the Securities Exchange Act of 1934, or 
        exempt from such registration under such section 
        pursuant to an order of the Securities and Exchange 
        Commission, or whose business is confined to the 
        performance of functions of a clearing agency with 
        respect to exempted securities, as defined in section 
        3(a)(12) of such Act for the purposes of such section 
        17A.
  (48A) The term ``securities self regulatory organization'' 
means either a securities association registered with the 
Securities and Exchange Commission under section 15A of the 
Securities Exchange Act of 1934 or a national securities 
exchange registered with the Securities and Exchange Commission 
under section 6 of the Securities Exchange Act of 1934.
          (49) The term ``security''--
                  (A) includes--
                          (i) note;
                          (ii) stock;
                          (iii) treasury stock;
                          (iv) bond;
                          (v) debenture;
                          (vi) collateral trust certificate;
                          (vii) pre-organization certificate or 
                        subscription;
                          (viii) transferable share;
                          (ix) voting-trust certificate;
                          (x) certificate of deposit;
                          (xi) certificate of deposit for 
                        security;
                          (xii) investment contract or 
                        certificate of interest or 
                        participation in a profit-sharing 
                        agreement or in an oil, gas, or mineral 
                        royalty or lease, if such contract or 
                        interest is required to be the subject 
                        of a registration statement filed with 
                        the Securities and Exchange Commission 
                        under the provisions of the Securities 
                        Act of 1933, or is exempt under section 
                        3(b) of such Act from the requirement 
                        to file such a statement;