Report text available as:

  • TXT
  • PDF   (PDF provides a complete and accurate display of this text.) Tip ?
115th Congress  }                                           {  Report
                        HOUSE OF REPRESENTATIVES
 1st Session    }                                           {  115-234

_______________________________________________________________________


  FINANCIAL SERVICES AND GENERAL GOVERNMENT APPROPRIATIONS BILL, 2018

                               __________

                              R E P O R T

                                 OF THE

                      COMMITTEE ON APPROPRIATIONS

                        HOUSE OF REPRESENTATIVES

                             together with

                            ADDITIONAL VIEWS

                                  AND

                            DISSENTING VIEWS


                                     
                 [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]

                                     


 July 17, 2017.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed
              
              
                       U.S. GOVERNMENT PUBLISHING OFFICE
                
26-263                          WASHINGTON: 2017             
              







115th Congress  }                                           {  Report
                        HOUSE OF REPRESENTATIVES
 1st Session    }                                           {  115-234

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

 
  FINANCIAL SERVICES AND GENERAL GOVERNMENT APPROPRIATIONS BILL, 2018

                                _______
                                

 July 17, 2017.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed

                                _______
                                

     Mr. Graves of Georgia, from the Committee on Appropriations, 
                        submitted the following

                              R E P O R T

                             together with

                            ADDITIONAL VIEWS

                                  and

                            DISSENTING VIEWS



                        [To accompany H.R. 3280]

    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, 2018.


                        INDEX TO BILL AND REPORT

                               _________


                                                            Page Number

                                                            Bill Report
Title I--Department of the Treasury........................     2
                                                                      4
Title II--Executive Office of the President and Funds 
    Appropriated to the President..........................    31
                                                                     25
Title III--The Judiciary...................................    46
                                                                     35
Title IV--District of Columbia.............................    57
                                                                     41
Title V--Independent Agencies..............................    67
                                                                     45
Administrative Conference of the United States.............    67
                                                                     45
Consumer Product Safety Commission.........................    67
                                                                     45
Election Assistance Commission.............................    69
                                                                     47
Federal Communications Commission..........................    70
                                                                     47
Federal Deposit Insurance Corporation--Office of Inspector 
    General................................................    71
                                                                     49
Federal Election Commission................................    71
                                                                     49
Federal Labor Relations Authority..........................    72
                                                                     49
Federal Trade Commission...................................    73
                                                                     50
General Services Administration............................    74
                                                                     51
Harry S Truman Scholarship Foundation......................    87
                                                                     60
Merit Systems Protection Board.............................    87
                                                                     60
National Archives and Records Administration...............    88
                                                                     61
National Credit Union Administration.......................    87
                                                                     62
Office of Government Ethics................................    89
                                                                     63
Office of Personnel Management.............................    89
                                                                     63
Office of Special Counsel..................................    94
                                                                     66
Postal Regulatory Commission...............................    95
                                                                     67
Privacy and Civil Liberties Oversight Board................    95
                                                                     67
Public Buildings Reform Board..............................    96
                                                                     68
Securities and Exchange Commission.........................    96
                                                                     68
Selective Service System...................................    98
                                                                     70
Small Business Administration..............................    99
                                                                     70
United States Postal Service...............................   104
                                                                     74
United States Tax Court....................................   105
                                                                     75
Title VI--General Provisions--This Act.....................   107
                                                                     75
Title VII--General Provisions--Government-wide: 
    Departments, Agencies, and Corporations................   121
                                                                     78
Title VIII--General Provisions--District of Columbia.......   153
                                                                     82
Title IX--Other Matters....................................   165
                                                                     83
Title X--Financial Institution Bankruptcy..................   252
                                                                     83
Title XI--Additional General Provision--Spending Reduction 
    Account................................................   253
                                                                     83
House of Representatives Report Requirements...............
                                                                     83
Dissenting Views...........................................
                                                                    535
Additional Views...........................................
                                                                    539

                         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.
    The bill provides a total of $20,231,000,000 in 
discretionary budget authority for fiscal year 2018 which is 
$1,284,000,000, or 5.97 percent, below the fiscal year 2017 
discretionary allocation. The bill is $2,468,000,000, or 11 
percent, below the Administration's request.

                         TOTAL BUDGET AUTHORITY
                             ($ in millions)
------------------------------------------------------------------------
                                  FY 2017      FY 2018        FY 2018
                                  Enacted      Request    Recommendation
------------------------------------------------------------------------
Discretionary.................       21,515       22,699          20,231
Mandatory.....................       21,937       22,357          22,357
------------------------------------------------------------------------

              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.
    Except in emergency situations, reprogramming requests 
should be submitted no later than June 29, 2018. Further, the 
Committee notes that when a Department or agency submits a 
reprogramming or transfer request to the Committees on 
Appropriations and does not receive identical responses from 
the House and Senate, it is the responsibility of the 
Department or agency to reconcile the House and Senate 
differences before proceeding and, if reconciliation is not 
possible, to consider the request to reprogram funds 
unapproved.
    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.

                  CONGRESSIONAL BUDGET JUSTIFICATIONS

    Budget justifications are the primary tool used by the 
House and Senate Committees on Appropriations to evaluate the 
resource requirements and fiscal needs of agencies. The 
Committee is aware that the format and presentation of budget 
materials is largely left to the agency within presentation 
objectives set forth by the Office of Management and Budget 
(OMB). In fact, OMB Circular A-11, part 1 specifically 
instructs agencies to consult with congressional committees 
beforehand. The Committee expects that all agencies funded 
under this Act will heed this directive.
    The Committee continues the direction that justifications 
submitted with the fiscal year 2019 budget request by agencies 
funded under this Act contain the customary level of detailed 
data and explanatory statements to support the appropriations 
requests at the level of detail contained in the funding table 
included at the end of this report. Among other items, agencies 
shall provide a detailed discussion of proposed new 
initiatives, proposed changes in the agency's financial plan 
from prior year enactment, detailed data on all programs, and 
comprehensive information on any office or agency 
restructurings. At a minimum, each agency must also provide 
adequate justification for funding and staffing changes for 
each individual office and materials that compare programs, 
projects, and activities that are proposed for fiscal year 2019 
to the fiscal year 2018 enacted levels.

                  TITLE I--DEPARTMENT OF THE TREASURY


                          Departmental Offices


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2017.......................      $224,376,000
Budget request, fiscal year 2018......................       201,751,000
Recommended in the bill...............................       201,751,000
Bill compared with:
    Appropriation, fiscal year 2017...................       -22,625,000
    Budget request, fiscal year 2018..................             - - -
 

    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 $201,751,000 
for Departmental Offices, Salaries and Expenses.
    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 2017 and how it plans 
to use it in fiscal year 2018.
    Terrorism Risk Insurance.--The Committee notes that the 
Terrorism Risk Insurance Program Reauthorization Act of 2015 
(TRIPRA) requires Treasury to engage in advance coordination 
with state insurance regulators and others to obtain data 
necessary to complete annual reports to Congress on the 
terrorism risk insurance market. The Committee expects that 
Treasury will engage early with state insurance regulators and 
will comply fully with TRIPRA reporting requirements.
    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 
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.
    Regulation of Community Financial Institutions.--The 
Committee remains concerned with Federal regulation of 
community banks and credit unions. The Committee requests each 
financial regulator to consider the risk profile and business 
model of a financial institution when the regulator engages in 
a regulatory action. In doing so, the regulator must determine 
the necessity, appropriateness, and impact of applying its 
regulatory action to an institution or class of institutions, 
and importantly, is directed to tailor its regulatory action in 
a manner that limits the regulatory compliance impact, cost, 
liability risk or other burdens as is appropriate for the risk 
profile and business model involved.
    Custody banks.--Federal banking regulators should examine 
regulatory approaches that may prevent custody banks from 
providing key services. U.S. prudential rules, including rules 
related to risk-weighted capital, leverage capital, and 
liquidity do not reflect this unique custody bank business 
model. For example, custody banks have a unique business model 
focused on providing services critical to the operation of 
mutual funds, pension funds, endowments and other institutional 
investors, including providing demand deposit accounts to hold 
these clients' cash. By necessity, the custody banks place such 
cash on deposit with the Federal Reserve and other central 
banks, rather than investing in loans or other higher yielding 
assets. Current and potentially future regulatory focus on this 
essentially risk-less activity, possibly impeding custody 
banks' ability to provide traditional custody services, could 
have an adverse impact on financial stability by preventing 
custody banks from being able to accept cash deposits from 
their clients during a crisis, denying those clients a safe 
haven to preserve their capital. The Financial Stability 
Oversight Council should work with banking regulators to tailor 
the one-size-fits-all prudential regulatory regime to ensure 
that custody banks can continue to provide the services 
necessary for investment and savings.
    Insurance.--Under P.L. 111-203, the Federal Reserve 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.
    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.
    Hardest Hit.--The Hardest Hit Fund (HHF) 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 stabilize 
housing markets. The Committee notes that as part of HHF's 
blight elimination efforts, HHF funds may be used to secure 
vacant and abandoned properties. The Committee does not 
recommend that additional funding for the Hardest Hit Fund be 
provided through this Act.
    Financial Literacy.--The Committee believes financial 
literacy is important and that the Department can be helpful to 
entities, like universities, state and local educational 
agencies, qualified nonprofit agencies, and financial 
institutions who may want to establish centers of excellence to 
develop and implement effective standards, training and 
outreach efforts for financial literacy programs. The Committee 
encourages the Department to use the Financial Literacy and 
Education Commission to look into the feasibility of a program 
to make competitive grants to qualified institutions.

             OFFICE OF TERRORISM AND FINANCIAL INTELLIGENCE

                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2017.......................      $123,000,000
Budget request, fiscal year 2018......................       116,778,000
Recommended in the bill...............................       123,000,000
Bill compared with:
    Appropriation, fiscal year 2017...................             - - -
    Budget request, fiscal year 2018..................        +6,222,000
 

    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 regard to 
foreign intelligence and counterintelligence across all 
elements of the national security community.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $123,000,000 
for the Office of Terrorism and Financial Intelligence to carry 
out its central role in detecting and defeating security 
threats. 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.
  The Committee directs the Treasury Department to conduct a 
full review of all sanction designation removals related to 
Iran during the past 2 years and report to the Committees on 
Appropriations in writing for each such removal whether the 
entity has engaged in any prohibited activities since the 
removal of sanctions. If the Treasury Department determines an 
entity has engaged in any activities for which it should be 
sanctioned, the Department shall report not later than 15 days 
after any such determination to the Committees on 
Appropriations on the status of re-imposition of sanctions on 
any identified entity or provide a written justification for 
why sanctions have not been imposed.
  The Committee directs the Treasury Department to provide a 
report to the Committee, within 180 days from enactment, on the 
number of non-nuclear related sanctions designations related to 
Iran issued for the each of the past 3 fiscal years. The report 
shall provide an overall number of designations, and the number 
for each sanctions program.
  The Committee is concerned that investigations of entities 
for possible sanctions violations take considerable time and 
during the investigation period entities may continue to carry 
out sanctionable activities. The Committee directs the 
Department to begin tracking the time between the start of each 
investigation into possible sanctions violations and the 
issuance of sanctions or closure of the investigation. The 
Department shall provide a report to the Committees on 
Appropriations at the end of the fiscal year on the average 
investigation time, the number of investigations carried out, 
the number of investigations concluded, and the number of open 
investigations.
    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.

                   CYBERSECURITY ENHANCEMENT ACCOUNT

 
 
 
Appropriation, fiscal year 2017.......................       $47,743,000
Budget request, fiscal year 2018......................        27,264,000
Recommended in the bill...............................        27,264,000
Bill compared with:
    Appropriation, fiscal year 2017...................       -20,479,000
    Budget request, fiscal year 2018..................             - - -
 

    The Cybersecurity Enhancement Account (CEA) is a dedicated 
account designed to identify and support Department-wide 
investments for critical IT improvements including the systems 
identified as High Value Assets.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $27,264,000 
for the Cybersecurity Enhancement Account.

        DEPARTMENT-WIDE SYSTEMS AND CAPITAL INVESTMENTS PROGRAMS

                     (INCLUDING TRANSFER OF FUNDS)

 
 
 
Appropriation, fiscal year 2017.......................        $3,000,000
Budget request, fiscal year 2018......................         4,426,000
Recommended in the bill...............................         3,077,000
Bill compared with:
    Appropriation, fiscal year 2017...................           +77,000
    Budget request, fiscal year 2018..................        -1,349,000
 

    The 1997 Treasury and General Government Appropriations Act 
established this account, which is authorized to be used by or 
on behalf of Treasury bureaus at the Secretary's discretion to 
modernize business processes and increase efficiency through 
technology investments, as well as other activities that 
involve more than one Treasury bureau or Treasury's interface 
with other Government agencies.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $3,077,000 for 
Department-wide Systems and Capital Investments Programs 
(DSCIP).

                      OFFICE OF INSPECTOR GENERAL

                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2017.......................       $37,044,000
Budget request, fiscal year 2018......................        34,112,000
Recommended in the bill...............................        34,112,000
Bill compared with:
    Appropriation, fiscal year 2017...................        -2,932,000
    Budget request, fiscal year 2018..................             - - -
 

    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 $34,112,000 
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 2017.......................      $169,634,000
Budget request, fiscal year 2018......................       161,113,000
Recommended in the bill...............................       165,113,000
Bill compared with:
    Appropriation, fiscal year 2017...................        -4,521,000
    Budget request, fiscal year 2018..................        +4,000,000
 

    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 $165,113,000 
for TIGTA. The Committee appreciates the many issues that TIGTA 
has brought to its attention and provides funding above the 
fiscal year request to continue 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; as well as 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. The report shall 
describe the steps taken by IRS to implement previous TIGTA 
cybersecurity recommendations and identify steps the IRS needs 
to take to improve cybersecurity.

    SPECIAL INSPECTOR GENERAL FOR THE TROUBLED ASSET RELIEF PROGRAM

                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2017.......................       $41,160,000
Budget request, fiscal year 2018......................        20,297,000
Recommended in the bill...............................        37,044,000
Bill compared with:
    Appropriation, fiscal year 2017...................        -4,116,000
    Budget request, fiscal year 2018..................       +16,747,000
 

    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 $37,044,000 
for SIGTARP.

                  Financial Crimes Enforcement Network


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2017.......................      $115,003,000
Budget request, fiscal year 2018......................       112,764,000
Recommended in the bill...............................       115,003,000
Bill compared with:
    Appropriation, fiscal year 2017...................             - - -
    Budget request, fiscal year 2018..................        +2,239,000
 

    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 $115,003,000 
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)

                      (INCLUDING RETURN OF FUNDS)

 
 
 
Appropriation, fiscal year 2017.......................    $1,115,000,000
Budget request, fiscal year 2018......................       876,000,000
Recommended in the bill...............................       876,000,000
Bill compared with:
    Appropriation, fiscal year 2017...................      -239,000,000
    Budget request, fiscal year 2018..................             - - -
 

    The Treasury Forfeiture Fund collects and disburses funds 
that are incidental to law enforcement activities and 
priorities that led to the seizures and forfeitures. 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.

                        COMMITTEE RECOMMENDATION

    The Committee recommends a permanent rescission of 
$876,000,000 of unobligated balances in the Treasury Forfeiture 
Fund. Further, the Committee includes a paragraph, as 
requested, to return $38,800,000 from the Forfeiture Fund to 
the General Fund of the Treasury. Public Law 114-113 rescinded 
$3,800,000,000 of the $3,838,800,000 forfeited by BNP Paribas 
S.A. in 2015 and prohibited Treasury from obligating the 
remaining balance. Returning these funds to the General Fund 
does not count as savings to this bill, per scorekeeping rules, 
because the funds were already precluded from obligation.
    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 2017.......................      $353,057,000
Budget request, fiscal year 2018......................       330,837,000
Recommended in the bill...............................       330,837,000
Bill compared with:
    Appropriation, fiscal year 2017...................       -22,220,000
    Budget request, fiscal year 2018..................             - - -
 

    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 $330,837,000 
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. 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.
    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.
    The Committee is committed to transparency and 
accountability in federal spending. As such the Committee 
directs the Fiscal Service to make basic information about the 
use of financial agents publicly available in a central 
location, including compensation paid to each financial agent 
and a description of the services provided.

                Alcohol and Tobacco Tax and Trade Bureau


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2017.......................      $111,439,000
Budget request, fiscal year 2018......................        98,658,000
Recommended in the bill...............................       111,439,000
Bill compared with:
    Appropriation, fiscal year 2017...................             - - -
    Budget request, fiscal year 2018..................       +12,781,000
 

    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, $5,000,000 is included for 
increased enforcement of the Federal Alcohol Administration Act 
(FAA Act).
    Enforcement.--The Committee has included $5,000,000 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 will continue to monitor 
the process for securing basic label and formula approvals 
required under the FAA Act. The Committee continues to support 
additional funding for this and expects the TTB to continue to 
make efforts to shorten processing time for label and formula 
applications.
    American Viticulture Area.--The Committee recognizes that 
the use of American Viticulture Area (AVA) terms help small 
farmers and wineries grow their businesses by developing 
regional brands. The AVA system stimulates economic growth in 
the industry and also provides consumers with valuable 
information about where their purchases are sourced. The TTB 
should improve label accuracy to ensure that use of AVA terms 
are consistent with existing federal laws and regulations 
governing the use of these protected terms. The Committee is 
aware that the TTB is actively working on Notice No. 160 and 
directs the Bureau to keep the Committee appraised of any 
imminent action related to this rulemaking.
    Craft Producers.--The Committee recognizes the important 
function TTB plays in protecting the public and properly 
collecting tax revenue from the industries it oversees. The 
Committee encourages TTB to continue outreach to small craft 
producers and identify areas where the Bureau can minimize the 
regulatory burden on this industry.

                           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 2018.

           Community Development Financial Institutions Fund


                            Program Account


 
 
 
Appropriation, fiscal year 2017.......................      $248,000,000
Budget request, fiscal year 2018......................        14,000,000
Recommended in the bill...............................       190,000,000
Bill compared with:
    Appropriation, fiscal year 2017...................       -58,000,000
    Budget request, fiscal year 2018..................      +176,000,000
 

    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 $190,000,000 
for the CDFI Fund program. Of the amounts provided, 
$137,000,000 is for financial and technical assistance grants, 
$3,000,000 is for CDFIs to provide technical and financial 
assistance to individuals with disabilities, $15,000,000 is for 
Native Initiatives, $15,000,000 is for the Bank Enterprise 
Award Program, and $23,000,000 is for the administrative 
expenses for all. In addition, the Committee recommends a loan 
level of $500,000,000 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.
    CDFIS in the Appalachian Region.--The Committee recognizes 
that the Appalachian region continues to face economic 
hardships and high unemployment stemming from the downturn in 
the coal market. The Committee encourages the CDFI Fund to 
focus on opportunities in the region and expand service for 
businesses and industries that may lead to improved long-term 
diversification of the economy in Appalachia.
    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.
    The Committee directs the CDFI to submit a report every six 
months until all the funds are obligated, not later than six 
months after the enactment of the Act to the Committees on 
Appropriations of the House and Senate summarizing the progress 
made toward developing a competitive application pool of CDFIs 
to compete for funds for individuals with disabilities. 
Additionally, the report should include the number of awards, 
amount of each award, types of programs, impact the funding has 
made on the number of CDFIs serving the disability community, 
and findings and recommendations to improve upon the 
implementation of these activities.

                        Internal Revenue Service

    The Committee recommends providing $11,085,943,000 for the 
IRS, which is $149,057,000 below current level, but 
$110,943,000 above the request. This recommendation would fund 
the IRS, in total, below their fiscal year 2008 level. Funding 
for the Taxpayer Service account is at $2,315,754,000 which is 
slightly below their current level when factoring in the 
additional funds provided for Taxpayer Services in fiscal year 
2017.
    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;
           Require extensive reporting on IRS spending 
        and information technology; and
           Provide TIGTA with $165 million for its 
        audit and investigative oversight of the IRS.
    The Committee remains concerned with the level of service 
taxpayers are receiving and continued cybersecurity threats. 
Targeted reporting is included to assist the Committee monitor 
and evaluate the IRS's progress in these areas.
    A description of the Committee's recommendation by 
appropriation is provided below.

                           TAXPAYER SERVICES

 
 
 
Appropriation, fiscal year 2017.......................  \1\$2,156,554,00
                                                                       0
Budget request, fiscal year 2018......................     2,212,311,000
Recommended in the bill...............................     2,315,754,000
Bill compared with:
    Appropriation, fiscal year 2017...................      +159,200,000
    Budget request, fiscal year 2018..................      +103,443,000
 
\1\As directed by Public Law 115-31, Division E, Section 113 of the
  Administrative Provisions--Internal Revenue Service, $209,200,000 was
  transferred by the Commissioner of the Internal Revenue Service to the
  Taxpayer Services which increased the Taxpayer Services fiscal year
  2017 level to $2,365,754,000.

    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 $2,315,754,000 
for Taxpayer Services, which is $50,000,000 below the account's 
fiscal year 2017 total appropriated 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.
    The Committee requires a report, reviewed by the National 
Taxpayer Advocate, from the IRS that covers 2010-2017 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 Committee directs the 
IRS to submit the report to the Committees on Appropriations of 
the House and Senate by June 1, 2018.
    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 submit a report to the committees on 
Appropriations of the House and Senate six months after the 
enactment of this Act that explores new strategies to reduce 
fraudulent EITC claims. The Committee directs the IRS to 
develop a report on efforts taken by the agency to protect 
taxpayer information, and how the agency is addressing the 
specific issue with the EITC.
    Safe Harbor.--The Committee instructs the Internal Revenue 
Service to follow and apply, the 75 percent math safe harbor 
test. Section 4052(f)(1) provides a safe harbor test that 
excludes from the tax previously taxed tractors that are 
refurbished as long as the restoration cost does not exceed 75-
percent of the cost of a comparable new tractor. Therefore, the 
Committee expects that the IRS apply these longstanding 
statutory provisions as written and without additional 
interpretation, modification, or added conditions.
    IRS Phone Scams.--The committee supports the IRS efforts to 
provide taxpayers with information on how to protect themselves 
from telephone scam artists calling and pretending to be with 
the IRS. However, these aggressive and threatening phone calls 
by criminals impersonating IRS agents remain a major threat to 
taxpayers. The Committee strongly encourages the IRS to partner 
with federal and state law enforcement agencies to develop a 
plan to curtail and stop these calls. The IRS shall report to 
the Committees on Appropriations of the House and Senate 120 
days after enactment of this Act on their plan of action. The 
IRS has provided public information on tips and best practices 
in this area. Currently, the IRS recommends individuals report 
these abuses to the Treasury Inspector General for tax 
Administration.
    Taxpayer Correspondence.--The Committee encourages the IRS 
to implement a system for tracking delivery status of taxpayer 
correspondence and integrating that information into its 
systems. By utilizing services provided through the USPS 
Intelligent Mail Barcode, the Committee believes that IRS can 
prevent fraud, enhance taxpayer service, and reduce costs 
through real-time awareness of delivery exceptions, updated 
address information, and the capability to automatically send 
undeliverable taxpayer correspondence to a USPS facility for 
secure destruction. The Committee directs the IRS to produce a 
report to the Committees on Appropriations of the House and 
Senate no later than six months after enactment of this Act on 
the potential future savings, benefits, timeframe and costs for 
implementation of such a system.

                              ENFORCEMENT

 
 
 
Appropriation, fiscal year 2017.......................    $4,860,000,000
Budget request, fiscal year 2018......................     4,706,500,000
Recommended in the bill...............................     4,810,000,000
Bill compared with:
    Appropriation, fiscal year 2017...................       -50,000,000
    Budget request, fiscal year 2018..................      +103,500,000
 

    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 $4,810,000,000 
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. The 
Committee carries the provision that none of the funds may be 
used by the Internal Revenue Service for implementation of the 
Patient Protection and Affordable Care Act.
    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.
    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.
    Compliance and Tax Gap.--GAO has highlighted in their April 
2017 report (GAO-17-371) the importance of the IRS's National 
Research Program (NRP) study on tax compliance issues. GAO 
reviewed how practices from NRP examination could improve 
operational examinations. GAO notes that the NRP study on 
employment tax returns provide a valuable opportunity to 
identify what noncompliance areas are contributing to the $16 
billion annual employment tax gap, and better align IRS 
resources with the most prevalent areas of noncompliance. The 
Committee encourages the IRS to review GAO's recommendations 
with the intent to improve operational examinations.
    Income Verification Express Services.--The Committee 
directs the IRS to produce a report to the Committees on 
Appropriations of the House and Senate no later than six months 
after the enactment on this Act on automating its Income 
Verification Express Services (IVES) with a data sharing 
Application Programming Interface (API) that could help reduce 
operational costs; reduce paperwork and waiting period burdens 
on borrowers; provide more safeguards to ensure the privacy and 
security of taxpayer account information; and potentially 
expand access to credit. The IRS should include the steps 
necessary to create this API, including working with U.S. 
Digital Services, to build a pilot test version of the API with 
dummy data that allows lenders to test prototype loan 
application interface and back-end system improvements as well 
as testing the user verification system to protect taxpayer 
information, all of which would inform the IRS's ultimate API 
design.

                           OPERATIONS SUPPORT

 
 
 
Appropriation, fiscal year 2017.......................  \1\$3,638,446,00
                                                                       0
Budget request, fiscal year 2018......................     3,946,189,000
Recommended in the bill...............................     3,850,189,000
Bill compared with:
    Appropriation, fiscal year 2017...................      +211,743,000
    Budget request, fiscal year 2018..................       -96,000,000
 
\1\As directed by Public Law 115-31, Division E, Section 113 of the
  Administrative Provisions--Internal Revenue Service, $80,800,000 was
  transferred by the Commissioner of the Internal Revenue Service to
  Operations Support which increased the Operations Support fiscal year
  2017 level to $3,719,246,000.

    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 $3,850,189,000 
for Operations Support. The Operations Support account reflects 
a higher appropriation as the result of a permanent realignment 
of funds from Systems Modernization.
    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 2018. 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.
    Utilization of Cloud Services.--The Committee is concerned 
the Department's largest agency, the Internal Revenue Service 
appears slow to adopt new IT strategies including transition to 
commercial cloud services that offer enhanced security and cost 
savings including the use of digital workspace technologies for 
the IRS. The IRS shall provide a report six months after 
enactment of this Act to the Committees on Appropriations of 
the House and Senate, to include the use of and plans for 
expansion of commercial cloud computing services, the security 
benefits of transitioning Federal Information Security 
Management Act (FISMA) moderate and high systems and data to 
commercial cloud computing services, the cost savings achieved 
in fiscal year 2017 by the utilization of commercial cloud 
computing services, and how the agency is performing against 
their goal for data center consolidation as required by the 
Federal Information Technology Acquisition Reform Act.
    Taxpayer Receipt.--The Committee recognizes the importance 
of empowering Americans with information to hold the federal 
government accountable over how taxpayer dollars are being 
spent. The Committee encourages the IRS to create a written 
receipt for those filing paper tax returns and an electronic 
receipt for those that e-file that will include a breakdown of 
each individual's contributions to Social Security, defense 
spending, Medicare and other federal programs, as well as the 
total amount of federal debt and how much the federal 
government has borrowed per citizen.

                     BUSINESS SYSTEMS MODERNIZATION

 
 
 
Appropriation, fiscal year 2017.......................      $290,000,000
Budget request, fiscal year 2018......................       110,000,000
Recommended in the bill...............................       110,000,000
Bill compared with:
    Appropriation, fiscal year 2017...................      -180,000,000
    Budget request, fiscal year 2018..................             - - -
 

    The Business Systems Modernization (BSM) appropriation 
provides funding to modernize key business systems of the 
Internal Revenue Service. Funds have been permanently 
transferred from this account to Operations Support to fund 
operation and maintenance for the existing infrastructure that 
will help protect the IRS from cyber threats.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $110,000,000 
for BSM. The Committee continues to support IRS in its efforts 
to modernize its business systems such as CADE 2 and the Return 
Review Program that enhances IRS capabilities to detect, 
address, and prevent tax refund fraud as well as web 
applications that will help the IRS transition to a more 
serviceable digital government.
    Information Technology Reports.--The Committee expects the 
IRS to continue to submit quarterly reports to the Committees 
and GAO during fiscal year 2018, 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 Return Review Program. 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 Return 
Review Program 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 Return Review 
Program 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.
    Aging Infrastructure--The IRS estimates that 64 percent of 
its information technology hardware infrastructure is beyond 
its useful life. This aging infrastructure creates significant 
risks in the American tax system. The Treasury Inspector 
General for Tax Administration is currently reviewing this 
issue and has identified that outdated hardware infrastructure 
has negatively affected the IRS's ability to ensure the 
security of taxpayer information. It has also affected IRS 
productivity and taxpayer service due to system downtime. The 
Committee looks forward to seeing TIGTA's pending report on 
this issue and encourages TIGTA to monitor and periodically 
report on the impact aging IT infrastructure has on the IRS's 
ability to operate efficiently and protect the security of 
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 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 111. The Committee continues a provision with 
modifications that prohibits funds to violate the 
confidentiality of tax returns.
    Section 112. The Committee includes a new provision that 
prohibits funds from being used to implement the individual 
mandate of the Affordable Care Act.
    Section 113. The Committee continues a provision with 
modifications that prohibits funds for pre-populated returns.
    Section 114. The Committee includes a new provision that 
prohibits funds to implement an IRS Notice on conservations 
easements.
    Section 115. The Committee includes a new provision that 
prohibits funds to finalize, implement, or enforce amendments 
related to restrictions on liquidation of an interest with 
respect to estate, gift, and generation-skipping transfer taxes 
from taking effect.
    Section 116. 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.

         ADMINISTRATIVE PROVISIONS--DEPARTMENT OF THE TREASURY

                     (INCLUDING TRANSFERS OF FUNDS)

    Section 117. 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 118. The Committee continues a provision 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'', and ``Alcohol and Tobacco Tax 
and Trade Bureau'' appropriations under certain circumstances.
    Section 119. 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 120. The Committee continues a provision that 
prohibits the Department of the Treasury from undertaking a 
redesign of the one dollar Federal Reserve note.
    Section 121. 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 122. The Committee continues a provision that 
requires congressional approval for the construction and 
operation of a museum by the United States Mint.
    Section 123. 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 124. The Committee continues a provision deeming 
that funds for the Department of the Treasury's intelligence-
related activities are specifically authorized in fiscal year 
2018 until enactment of the Intelligence Authorization Act for 
fiscal year 2018.
    Section 125. 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 126. The Committee continues a provision that 
requires the Department to submit a capital investment plan.
    Section 127. The Committee continues a provision that 
requires quarterly reports of the Office of Financial Research 
(OFR) and Office of Financial Stability.
    Section 128. The Committee continues a provision that 
requires a report on the Department's Franchise Fund.
    Section 129. 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 130. 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 131. 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 132. The Committee includes a new provision 
requiring the Special Inspector General for the Troubled Asset 
Relief Program to prioritize performance audits or 
investigations of programs funded under the Emergency Economic 
Stabilization Act of 2008.
    Section 133. 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.

 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 2017.......................       $55,214,000
Budget request, fiscal year 2018......................        55,000,000
Recommended in the bill...............................        55,000,000
Bill compared with:
    Appropriation, fiscal year 2017...................          -214,000
    Budget request, fiscal year 2018..................             - - -
 

    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 2017.......................       $12,723,000
Budget request, fiscal year 2018......................        12,917,000
Recommended in the bill...............................        12,917,000
Bill compared with:
    Appropriation, fiscal year 2017...................          +194,000
    Budget request, fiscal year 2018..................             - - -
 

    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 $12,917,000 
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 2017.......................          $750,000
Budget request, fiscal year 2018......................           750,000
Recommended in the bill...............................           750,000
Bill compared with:
    Appropriation, fiscal year 2017...................             - - -
    Budget request, fiscal year 2018..................             - - -
 

    The White House repair and restoration 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 2017.......................        $4,201,000
Budget request, fiscal year 2018......................         4,187,000
Recommended in the bill...............................         4,187,000
Bill compared with:
    Appropriation, fiscal year 2017...................           -14,000
    Budget request, fiscal year 2018..................             - - -
 

    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 $4,187,000 for 
the Council of Economic Advisers.
    Evidence-based Policymaking.--The recent bipartisan focus 
on improving evidence-based policymaking has highlighted the 
need for stronger partnerships between researchers and 
government decision-makers to ensure that research informs 
policy and that agencies have the capacity to carry out 
rigorous evaluations that can produce actionable findings to 
improve government effectiveness. The Council of Economic 
Advisers could play a key role in helping the White House and 
federal agencies form partnerships with strong researchers, 
inside and outside government, to build knowledge about what 
works in priority areas. The Committee encourages CEA to work 
closely with the Office of Management and Budget on strategies 
for improving agency evaluation capacity, which could include 
identifying strong researchers to serve in government agencies 
under the Intergovernmental Personnel Act.

        National Security Council and Homeland Security Council


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2017.......................       $12,000,000
Budget request, fiscal year 2018......................        13,500,000
Recommended in the bill...............................        11,800,000
Bill compared with:
    Appropriation, fiscal year 2017...................          -200,000
    Budget request, fiscal year 2018..................        -1,700,000
 

    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 $11,800,000 
for the National Security Council (NSC) and Homeland Security 
Council.
    Staffing report.--The Committee is awaiting delivery of the 
staffing report directed in the fiscal year 2017 Committee 
report, and reiterates concerns of overstaffing to the point of 
rendering the Council ineffective. The Committee's 
recommendation adopts the elements of the request as presented 
in the object class schedule, but adjusts the total to reflect 
2016 personnel compensation and benefits levels. The Committee 
again directs the National Security Council to submit a report 
within 90 days of enactment of this Act that outlines 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 2017.......................      $101,041,000
Budget request, fiscal year 2018......................       100,000,000
Recommended in the bill...............................       100,000,000
Bill compared with:
    Appropriation, fiscal year 2017...................        -1,041,000
    Budget request, fiscal year 2018..................             - - -
 

    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 $100,000,000 
for the Office of Administration. Of the recommended amount, 
not to exceed $12,800,000 is available until expended for 
modernization of the information technology infrastructure 
within the Executive Office of the President.

                    Office of Management and Budget


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2017.......................       $95,000,000
Budget request, fiscal year 2018......................       103,000,000
Recommended in the bill...............................       100,000,000
Bill compared with:
    Appropriation, fiscal year 2017...................        +5,000,000
    Budget request, fiscal year 2018..................        -3,000,000
 

    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 $100,000,000 
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 2019 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.
    Efficiency Based Contracting Models.--The Committee notes 
that contracting models for digital government services and 
information technology services are available to agencies that 
will increase efficiencies and believes that more should be 
done to take advantage of these models. These proven 
contracting models have been shown to save government money and 
enhance the user experience. A report by OMB in March 2015 
identified no-cost contracting and transaction-based models as 
ones that are beneficial to agencies both in increased 
efficiencies and cost savings. Since that time, few agencies 
have moved forward on procuring technological solutions using 
these models. The Committee encourages OMB to work with 
agencies to identify opportunities for no-cost or transaction 
based contracting models in 2018.
    Social Cost of Carbon.--The Committee directs the Office of 
Information and Regulatory Affairs (OIRA) to rely on 
instruction included in the Executive Order ``Promoting Energy 
Independence and Economic Growth,'' dated March 28, 2017, and 
ensure that any estimates developed by agencies that include 
monetizing the value of changes in greenhouse gas emissions 
resulting from regulations are consistent with Executive Order 
12866 and OMB Circular A-4 of September 17, 2003. OIRA should 
not permit 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, revised August 2016; or the 
Addendum to Technical Support Document on Social Cost of Carbon 
for Regulatory Impact Analysis Under Executive Order 12866: 
Application of the Methodology to Estimate the Social Cost of 
Methane and the Social Cost of Nitrous Oxide, Interagency 
Working Group on Social Cost of Greenhouse Gases, United States 
Government, August 2016.
    Intellectual Property.--The Committee continues to strongly 
support the Office of the Intellectual Property Enforcement 
Coordinator (IPEC), and encourages the Office to continue to 
promote private sector efforts to reduce online copyright 
infringement and to implement a meaningful plan, as called for 
in the Joint Strategic Plan, to enhance capacity building, 
outreach, and training programs to promote meaningful 
protection of American intellectual property abroad. Therefore, 
the Committee recommends no less than three FTEs dedicated 
solely to the Office of IPEC from OMB. The Committee also 
directs IPEC, with FTC, to initiate educational campaigns to 
raise consumer awareness about how content-theft sites serve as 
infiltration devices with malicious software, thereby enabling 
identity theft.
    Evidence-based Policy Making.--The Committee appreciates 
the valuable role OMB has played under recent administrations 
to strengthen agency capacity for evaluation and evidence-based 
policymaking, to encourage agency adoption of evidence-focused 
grant program designs in which grantees use and build evidence 
about what works in service delivery, and to foster development 
of cross-agency data-linkage infrastructure to support program 
evaluation while protecting privacy. However, these efforts 
have not reached many parts of government that could benefit. 
The Committee encourages OMB, in consultation with the Council 
of Economic Advisers and other White House offices, to develop 
strategies to accelerate learning about what works through 
rigorous evaluations and to create connections between 
researchers and policymakers that ensure the best evidence is 
brought to bear in decision-making. These strategies should 
draw upon important innovations in several agencies, such as 
creation of learning agendas to prioritize research and 
evaluation; new program designs such as tiered evidence and Pay 
for Success grants; recruitment of strong researchers from 
academic institutions to serve in government agencies under the 
Intergovernmental Personnel Act; partnerships with state and 
local governments that foster bottoms-up innovations that are 
evaluated to learn their impact; and collaborations with 
foundations focused on increasing government's capacity for 
rigorous research in important policy areas. The Committee 
believes that performance management activities carried out 
under the Government Performance and Results Act Modernization 
Act (GPRAMA) should be integrated into government-wide 
evidence-building efforts in ways that enhance learning and 
improvement.
    Improper Payments.--The Committee encourages OMB to 
continue working with agencies across the Federal government to 
ensure processes are in place to eliminate payments to deceased 
persons. OMB is again 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, and 
demonstrate improvements over the prior year.
    DATA Act.--The Committee recognizes OMB's responsibilities 
related to implementation of the Digital Accountability and 
Transparency Act of 2014 (DATA Act), and urges OMB to 
adequately prioritize 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 Act 
implementation efforts.
    Customer Service.--The Committee continues to support 
efforts to improve customer service in accordance with 
Executive Order 13571-Streamlining Service Delivery and 
Improving Customer Service. Despite those efforts, 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 continues 
direction to 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.--The Committee continues to urge OMB 
to work with agencies to ensure that agency funding requests in 
fiscal year 2019 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, and highlight examples of where improved performance 
links to the budget in the fiscal year 2018 budget 
justifications.
    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.
    Offsetting Collections Report.--The Committee directs OMB 
to submit a report to the House and Senate Committees on 
Appropriations concurrent with the fiscal year 2019 budget 
submission detailing the offsetting collections derived from 
non-federal sources that are authorized by law and not subject 
to appropriations.
    USASpending.gov.--The Committee encourages OMB to develop 
and implement an oversight process to regularly assess the 
consistency of the information reported on USASpending.gov by 
federal agencies.
    Information Technology Acquisition.--In an effort to 
shorten lengthy procurement cycles for federal agencies working 
to acquire information technology platforms, the Committee 
recommends that the OMB designate a federal agency most in need 
of enterprise-wide information technology improvement and 
undertake a twelve-month pilot to develop a model process for 
information technology acquisition. Development of this model 
should utilize more efficient procurement strategies for 
information technology devices and systems, and should include 
the acceptance of unsolicited proposals as well as properly 
justified sole-source procurements and other innovative and 
expediting acquisition methods to acquire, test, or experiment 
with information technology and cybersecurity products, 
services, and systems.

                 Office of National Drug Control Policy


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2017.......................       $19,274,000
Budget request, fiscal year 2018......................        18,400,000
Recommended in the bill...............................        18,400,000
Bill compared with:
    Appropriation, fiscal year 2017...................          -874,000
    Budget request, fiscal year 2018..................             - - -
 

    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 $18,400,000 
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 strongly supports the Office of National Drug 
Control Policy programs to reduce drug use and drug 
trafficking, and its unique position as the coordinator of 
Federal programs. 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. To the extent 
practicable, ONDCP should prioritize discretionary funds to aid 
States that have identified heroin, cocaine, methamphetamine, 
and opioid addiction as threats, and are developing community 
responses to combat those drugs that prioritize treatment and 
health services over criminal punishment. ONDCP is directed to 
report to the Committees on Appropriations of the House and 
Senate within 90 days of enactment on how its programs are 
addressing these challenges.
    The Committee commends the work that ONDCP has done to aid 
rural communities in combating the opioid epidemic. More work 
is still needed to help some of the hardest hit communities in 
both rural America and Appalachia. The Committee expects 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 2017.......................      $254,000,000
Budget request, fiscal year 2018......................       246,525,000
Recommended in the bill...............................       254,000,000
Bill compared with:
    Appropriation, fiscal year 2017...................             - - -
    Budget request, fiscal year 2018..................        +7,475,000
 

    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 $254,000,000 
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 2017 
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 bill 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 2017.......................      $114,871,000
Budget request, fiscal year 2018......................       103,662,000
Recommended in the bill...............................       108,843,000
Bill compared with:
    Appropriation, fiscal year 2017...................        -6,028,000
    Budget request, fiscal year 2018..................        +5,181,000
 

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $108,843,000 
for Other Federal Drug Control Programs. The recommended level 
for fiscal year 2018 is distributed among specific programs and 
activities as follows:

 
 
 
Drug-Free Communities.................................       $91,000,000
Drug court training and technical assistance..........         2,000,000
Model Drug Laws (Section 1105 of P.L. 109-469)........         1,000,000
CARA Activities (Section 103 of P.L. 114-198).........         3,000,000
Anti-Doping activities................................         9,500,000
World Anti-Doping Agency dues.........................         2,343,000
 

    Within the total for the Drug-Free Communities program, 
$2,000,000 is for training authorized by Section 4 of P.L. 107-
82.

                          Unanticipated Needs


 
 
 
Appropriation, fiscal year 2017.......................          $800,000
Budget request, fiscal year 2018......................           798,000
Recommended in the bill...............................           798,000
Bill compared with:
    Appropriation, fiscal year 2017...................            -2,000
    Budget request, fiscal year 2018..................             - - -
 

    The unanticipated needs account enable the President to 
meet unanticipated exigencies in support of the national 
interest, security, or defense.

                        COMMITTEE RECOMMENDATION

    The Committee recommends $798,000 for unanticipated needs 
in fiscal year 2018.

              Information Technology Oversight and Reform


                     (INCLUDING TRANSFER OF FUNDS)

 
 
 
Appropriation, fiscal year 2017.......................       $27,000,000
Budget request, fiscal year 2018......................        25,000,000
Recommended in the bill...............................        20,000,000
Bill compared with:
    Appropriation, fiscal year 2017...................        -7,000,000
    Budget request, fiscal year 2018..................        -5,000,000
 

    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 $20,000,000 
for IT activities. 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 2017.......................        $4,228,000
Budget request, fiscal year 2018......................         4,288,000
Recommended in the bill...............................         4,288,000
Bill compared with:
    Appropriation, fiscal year 2017...................           +60,000
    Budget request, fiscal year 2018..................             - - -
 

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

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $4,288,000 for 
the Office of the Vice President.

                Official Residence of the Vice President


                           OPERATING EXPENSES

                     (INCLUDING TRANSFER OF FUNDS)

 
 
 
Appropriation, fiscal year 2017.......................          $299,000
Budget request, fiscal year 2018......................           302,000
Recommended in the bill...............................           302,000
Bill compared with:
    Appropriation, fiscal year 2017...................            +3,000
    Budget request, fiscal year 2018..................             - - -
 

    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 $302,000 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 
2018 where the regulatory cost exceeds $100,000,000.

                        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 $7,093,625,000 in discretionary funding for the 
Judiciary in fiscal year 2018.
    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 
$20,000,000 for the Judiciary Capital Security program for 
alterations to improve physical security in buildings occupied 
by the Judiciary and USMS.
    The Committee notes that a fair and efficient judicial 
system depends on ensuring citizens have reasonable access to 
the federal courts. The Committee encourages the Judiciary and 
the General Services Administration to collaborate with local 
stakeholders to facilitate continued community access to court 
services. The Committee further encourages the Judiciary, when 
developing its space requirements for a particular location, to 
continue to consider factors including the number of available 
judges, local facility conditions, security, rental and 
operating costs, the number and type of proceedings handled in 
that location, the location's distance to the next closest 
federal court facility, and the population served in that 
location.
    The Committee urges the Judiciary in coordination with GSA 
to consider practical and cost effective approaches to 
providing judicial services, as appropriate, in areas that lack 
a federal facility in which civil and criminal proceedings are 
held.
    The Judiciary shall provide to the House and Senate 
Committees on Appropriations a report addressing (1) trends in 
Public Access to Court Electronic Records (PACER) revenues 
since passage of the E-Government Act of 2002; (2) sources of 
PACER revenues broken out by general types of users, such as 
federal government, corporations, and individuals, over a five 
fiscal year period; (3) an itemization of how PACER revenues 
are spent (including the annual cost of operating the PACER 
Service Center, which performs functions such as billing and 
customer support) over the same five fiscal year period; and 
(4) initiatives planned or underway by the Judiciary to improve 
PACER technology, operations, or management for the purpose of 
providing greater functionality, an improved user experience, 
or greater efficiency. This report shall be provided no later 
than 120 days after the enactment of this Act.

                   Supreme Court of the United States


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2017.......................       $76,668,000
Budget request, fiscal year 2018......................        78,538,000
Recommended in the bill...............................        78,538,000
Bill compared with:
    Appropriation, fiscal year 2017...................        +1,870,000
    Budget request, fiscal year 2018..................             - - -
 

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $78,538,000 
for fiscal year 2018 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 2017.......................       $14,868,000
Budget request, fiscal year 2018......................        15,689,000
Recommended in the bill...............................        15,000,000
Bill compared with:
    Appropriation, fiscal year 2017...................          +132,000
    Budget request, fiscal year 2018..................          -689,000
 

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $15,000,000 
for fiscal year 2018, to remain available until expended. 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 2017.......................       $30,108,000
Budget request, fiscal year 2018......................        31,075,000
Recommended in the bill...............................        30,592,000
Bill compared with:
    Appropriation, fiscal year 2017...................          +484,000
    Budget request, fiscal year 2018..................          -483,000
 

                        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 $30,592,000 for fiscal year 
2018.

               United States Court of International Trade


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2017.......................       $18,462,000
Budget request, fiscal year 2018......................        18,649,000
Recommended in the bill...............................        18,556,000
Bill compared with:
    Appropriation, fiscal year 2017...................       +94,000,000
    Budget request, fiscal year 2018..................       -93,000,000
 

                        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 $18,556,000 for fiscal year 
2018.

    Courts of Appeals, District Courts, and Other Judicial Services


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2017.......................    $4,996,445,000
Budget request, fiscal year 2018......................     5,168,974,000
Recommended in the bill...............................     5,082,710,000
Bill compared with:
    Appropriation, fiscal year 2017...................       +86,265,000
    Budget request, fiscal year 2018..................       -86,264,000
 

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $5,082,710,000 
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 $7,366,000 for 
fiscal year 2018 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 2017.......................    $1,044,647,000
Budget request, fiscal year 2018......................     1,132,284,000
Recommended in the bill...............................     1,110,375,000
Bill compared with:
    Appropriation, fiscal year 2017...................       +65,728,000
    Budget request, fiscal year 2018..................       -21,909,000
 

                        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 $1,110,375,000 for fiscal year 2018.

                    FEES OF JURORS AND COMMISSIONERS

 
 
 
Appropriation, fiscal year 2017.......................       $39,929,000
Budget request, fiscal year 2018......................        52,673,000
Recommended in the bill...............................        39,929,000
Bill compared with:
    Appropriation, fiscal year 2017...................             - - -
    Budget request, fiscal year 2018..................       -12,744,000
 

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $39,929,000 
for payments to jurors and land commissioners for fiscal year 
2018.

                             COURT SECURITY

                     (INCLUDING TRANSFER OF FUNDS)

 
 
 
Appropriation, fiscal year 2017.......................      $565,388,000
Budget request, fiscal year 2018......................       583,799,000
Recommended in the bill...............................       574,593,000
Bill compared with:
    Appropriation, fiscal year 2017...................        +9,205,000
    Budget request, fiscal year 2018..................        -9,206,000
 

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $574,593,000 
for Court Security in fiscal year 2018 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 2017.......................       $87,500,000
Budget request, fiscal year 2018......................        90,339,000
Recommended in the bill...............................        87,920,000
Bill compared with:
    Appropriation, fiscal year 2017...................          +420,000
    Budget request, fiscal year 2018..................        -2,419,000
 

                        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 $87,920,000 for the AO for fiscal year 2018.

                        Federal Judicial Center


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2017.......................       $28,335,000
Budget request, fiscal year 2018......................        29,082,000
Recommended in the bill...............................        28,708,000
Bill compared with:
    Appropriation, fiscal year 2017...................          +373,000
    Budget request, fiscal year 2018..................          -374,000
 

                        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 $28,708,000 for 
the FJC for fiscal year 2018.

                  United States Sentencing Commission


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2017.......................       $18,100,000
Budget request, fiscal year 2018......................        18,576,000
Recommended in the bill...............................        18,338,000
Bill compared with:
    Appropriation, fiscal year 2017...................          +238,000
    Budget request, fiscal year 2018..................          -238,000
 

                        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 $18,338,000 for the 
Commission for fiscal year 2018.

                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 2018 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 2018 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 Arizona, California, Florida, Kansas, 
Missouri, New Mexico, North Carolina, and Texas.
    Section 307. 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


              FEDERAL PAYMENT FOR RESIDENT TUITION SUPPORT

 
 
 
Appropriation, fiscal year 2017.......................       $40,000,000
Budget request, fiscal year 2018......................        30,000,000
Recommended in the bill...............................        30,000,000
Bill compared with:
    Appropriation, fiscal year 2017...................       -10,000,000
    Budget request, fiscal year 2018..................             - - -
 

    The Resident Tuition Support program, also known as the 
D.C. 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 $30,000,000 
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 2017.......................       $34,895,000
Budget request, fiscal year 2018......................        13,000,000
Recommended in the bill...............................        13,000,000
Bill compared with:
    Appropriation, fiscal year 2017...................       -21,895,000
    Budget request, fiscal year 2018..................             - - -
 

    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 $13,000,000 
for emergency planning and security costs. The recommendation 
reflects a reduction from the prior year as additional funds 
for inauguration costs are not needed in fiscal year 2018.

           FEDERAL PAYMENT TO THE DISTRICT OF COLUMBIA COURTS

 
 
 
Appropriation, fiscal year 2017.......................      $274,611,000
Budget request, fiscal year 2018......................       265,400,000
Recommended in the bill...............................       265,400,000
Bill compared with:
    Appropriation, fiscal year 2017...................        -9,211,000
    Budget request, fiscal year 2018..................             - - -
 

    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 $265,400,000 
for operation of the District of Columbia Courts. This amount 
includes $14,000,000 for the Court of Appeals; $121,000,000 for 
the Superior Court; $71,500,000 for the Court System; and 
$58,900,000 for capital improvements to courthouse facilities.

  FEDERAL PAYMENT FOR DEFENDER SERVICES IN DISTRICT OF COLUMBIA COURTS

                     (INCLUDING TRANSFER OF FUNDS)

 
 
 
Appropriation, fiscal year 2017.......................       $49,890,000
Budget request, fiscal year 2018......................        49,890,000
Recommended in the bill...............................        49,890,000
Bill compared with:
    Appropriation, fiscal year 2017...................             - - -
    Budget request, fiscal year 2018..................             - - -
 

    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.

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

 
 
 
Appropriation, fiscal year 2017.......................      $248,008,000
Budget request, fiscal year 2018......................       244,298,000
Recommended in the bill...............................       244,298,000
Bill compared with:
    Appropriation, fiscal year 2017...................        -3,710,000
    Budget request, fiscal year 2018..................             - - -
 

    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 $244,298,000 
for CSOSA. Of the amounts provided, $180,840,000 is for 
Community Supervision and Sex Offender Registration and 
$63,458,000 is for pretrial services.

  FEDERAL PAYMENT TO THE DISTRICT OF COLUMBIA PUBLIC DEFENDER SERVICE

 
 
 
Appropriation, fiscal year 2017.......................       $41,829,000
Budget request, fiscal year 2018......................        40,082,000
Recommended in the bill...............................        40,082,000
Bill compared with:
    Appropriation, fiscal year 2017...................        -1,747,000
    Budget request, fiscal year 2018..................             - - -
 

    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 $40,082,000 
for public defender services for the District of Columbia.

      FEDERAL PAYMENT TO THE CRIMINAL JUSTICE COORDINATING COUNCIL

 
 
 
Appropriation, fiscal year 2017.......................        $2,000,000
Budget request, fiscal year 2018......................         1,900,000
Recommended in the bill...............................         1,900,000
Bill compared with:
    Appropriation, fiscal year 2017...................          -100,000
    Budget request, fiscal year 2018..................             - - -
 

    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 $1,900,000 to 
the Criminal Justice Coordinating Council.

                FEDERAL PAYMENT FOR JUDICIAL COMMISSIONS

 
 
 
Appropriation, fiscal year 2017.......................          $585,000
Budget request, fiscal year 2018......................           565,000
Recommended in the bill...............................           565,000
Bill compared with:
    Appropriation, fiscal year 2017...................           -20,000
    Budget request, fiscal year 2018..................             - - -
 

    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 $295,000 for 
the Commission on Judicial Disabilities and Tenure, and 
$270,000 for the Judicial Nomination Commission.

                 FEDERAL PAYMENT FOR SCHOOL IMPROVEMENT

 
 
 
Appropriation, fiscal year 2017.......................       $45,000,000
Budget request, fiscal year 2018......................        45,000,000
Recommended in the bill...............................        45,000,000
Bill compared with:
    Appropriation, fiscal year 2017...................             - - -
    Budget request, fiscal year 2018..................             - - -
 

    The Scholarships for Opportunity and Results (SOAR) Act, as 
reauthorized in the Financial Services and General Government 
Appropriations Act, 2017, 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, 
$15,000,000 is provided for District of Columbia Public 
Schools, $15,000,000 is provided for public charter schools, 
and $15,000,000 is provided for opportunity scholarships.

      FEDERAL PAYMENT FOR THE DISTRICT OF COLUMBIA NATIONAL GUARD

 
 
 
Appropriation, fiscal year 2017.......................          $450,000
Budget request, fiscal year 2018......................           435,000
Recommended in the bill...............................           435,000
Bill compared with:
    Appropriation, fiscal year 2017...................           -15,000
    Budget request, fiscal year 2018..................             - - -
 

    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 $435,000 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 2017.......................        $5,000,000
Budget request, fiscal year 2018......................         5,000,000
Recommended in the bill...............................         5,000,000
Bill compared with:
    Appropriation, fiscal year 2017...................             - - -
    Budget request, fiscal year 2018..................             - - -
 

    Currently, 2 percent of the population of the District of 
Columbia has been diagnosed with HIV/AIDS. This percentage 
surpasses the generally accepted definition of an epidemic, 
which is 1 percent of the population. Between 2007 and 2015, 
the number of new HIV infections has dropped by 72 percent.

                        COMMITTEE RECOMMENDATION

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

                       District of Columbia Funds

    The Committee continues to appropriate 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. The bill provides local funds for the 
operation of the District of Columbia as approved by the 
District of Columbia Council and the Mayor.
    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 of Federal 
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 2017.......................        $3,100,000
Budget request, fiscal year 2018......................         3,094,000
Recommended in the bill...............................         3,100,000
Bill compared with:
    Appropriation, fiscal year 2017...................             - - -
    Budget request, fiscal year 2018..................            +6,000
 

    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.

                   Consumer Product Safety Commission


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2017.......................      $126,000,000
Budget request, fiscal year 2018......................       123,000,000
Recommended in the bill...............................       123,000,000
Bill compared with:
    Appropriation, fiscal year 2017...................        -3,000,000
    Budget request, fiscal year 2018..................             - - -
 

    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 $123,000,000 
for the CPSC for fiscal year 2018.
    Within the amount provided under this heading, $1,300,000 
is for the Virginia Graeme Baker Pool and Spa Safety Act grant 
program. 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 expects the CPSC to maintain the 
fiscal year 2017 levels for the ``Pool Safely'' campaign.
    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 has failed to withdraw 
its proposed 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 strongly encourages the Commission to withdraw the 
proposed rule.
    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 has 
not withdrawn 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 strongly encourages the Commission to withdraw the 
proposed rule.
    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.

      ADMINISTRATIVE PROVISIONS-CONSUMER PRODUCT SAFETY COMMISSION

    Section 501. 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.
    Section 502. The Committee includes new language 
prohibiting funds to finalize any rule by the Consumer Product 
Safety Commission relating to blade-contact injuries on table 
saws.

                     Election Assistance Commission


                         SALARIES AND EXPENSES

                     (INCLUDING TRANSFER OF FUNDS)

 
 
 
Appropriation, fiscal year 2017.......................        $9,600,000
Budget request, fiscal year 2018......................         9,200,000
Recommended in the bill...............................         7,000,000
Bill compared with:
    Appropriation, fiscal year 2017...................        -2,600,000
    Budget request, fiscal year 2018..................        -2,200,000
 

    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 $7,000,000 for 
the Salaries and Expenses of the EAC.

                   Federal Communications Commission


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2017.......................      $356,711,000
Budget request, fiscal year 2018......................       322,035,000
Recommended in the bill...............................       322,035,000
Bill compared with:
    Appropriation, fiscal year 2017...................       -34,676,000
    Budget request, fiscal year 2018..................             - - -
 

    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 $322,035,000 
for the Salaries and Expenses of the FCC, all of which is to be 
derived from offsetting collections. The Committee also 
includes a cap of $111,150,000 for the administration of 
spectrum auctions.
    Broadcaster Relocation.--The Middle Class Tax Relief and 
Job Creation Act of 2012 (P.L. 112-96) authorized the FCC to 
conduct a voluntary 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 and the Committee intends to 
monitor this issue closely. Both broadcasters and entities who 
purchased spectrum participated in good faith to make the 
incentive auction successful. The Committee supported the 
Commission's administration of the incentive auction and 
expects the FCC to take into careful consideration any 
participating entity's concerns.
    Net Neutrality/Open Internet.--The Committee supports the 
recent efforts by the FCC to scale back previous actions taken 
by the Commission to regulate the internet. Imposing heavy-
handed economic regulation disincentivizes growth, particularly 
in areas of the country that need infrastructure investment the 
most. Government agencies should not get in the way of U.S. 
innovation, investment, and expansion and the Committee 
strongly supports the Commission's efforts to support broadband 
expansion and consumer choice.
    USF High Cost Program.--The committee appreciates the 
ongoing commitment of the FCC to its multi-year initiative to 
modernize and target the focus of the Universal Service Fund 
(USF), and particularly its High Cost program. Nevertheless, 
the outcome of these efforts can be troubling particularly with 
regard to stand-alone broadband services and may conflict with 
the statutory mandate of providing specific, predictable, and 
sufficient support to ensure universal consumer access to 
reasonably comparable services at reasonably comparable rates. 
Because of the inconsistent way the individual program budgets 
have been applied, the application of these control mechanisms 
to the four programs is particularly concerning. The Committee 
therefore urges the FCC to engage in a comprehensive assessment 
of each program's goals and challenges, use the resulting 
analysis to adjust the respective USF programs to allow them to 
sufficiently respond to their statutory missions, and, if 
appropriate, apply on a going-forward basis, uniform and 
consistent inflationary growth mechanisms to each program to 
further ensure their respective ability to successfully respond 
to our national universal service objectives. The Committee 
directs the FCC to submit, within 120 days of enactment of this 
Act, a report outlining its analysis, conclusions, and actions 
in this regard.
    USF Reform.--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 move aggressively to identify and provide USF 
contributions reform recommendations to the Commission. The 
Committee further urges that such recommendations should 
expressly recognize that continuing to base contributions only 
on legacy telecommunications service 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.
    Rates.--Since 2012, the FCC has forced telecommunications 
providers in rural areas to raise the rates for local voice 
service. There are concerns about the effects of these rate 
increases on rural residents and the methodology used to 
determine the minimum rates. As the Commission works to 
complete a rule to develop a ``rate floor'' methodology, the 
Committee recommends the FCC at the very least freeze any rate 
floor increases at the current level while determining whether 
the rate floor has met its intended purposes, whether changes 
should be made to the current rate floor methodology, or 
whether it should be eliminated entirely.
    Broadband Access.--The Committee strongly encourages the 
FCC to continue to work with the Universal Service 
Administrative Company (USAC) to allocate Universal Service 
Funds (USF) for 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, jobs, and new education opportunities and expects 
the Commission to prioritize these efforts.
    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.

                 Federal Deposit Insurance Corporation


                    OFFICE OF THE INSPECTOR GENERAL

 
 
 
Appropriation, fiscal year 2017.......................       $35,958,000
Budget request, fiscal year 2018......................        39,136,000
Recommended in the bill...............................        39,136,000
Bill compared with:
    Appropriation, fiscal year 2017...................         3,178,000
    Budget request, fiscal year 2018..................             - - -
 

    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 $39,136,000 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 2017.......................       $79,119,000
Budget request, fiscal year 2018......................        71,250,000
Recommended in the bill...............................        71,250,000
Bill compared with:
    Appropriation, fiscal year 2017...................        -7,869,000
    Budget request, fiscal year 2018..................             - - -
 

    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 $71,250,000 
for the Salaries and Expenses of the FEC.

                   Federal Labor Relations Authority


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2017.......................       $26,200,000
Budget request, fiscal year 2018......................        26,200,000
Recommended in the bill...............................        26,200,000
Bill compared with:
    Appropriation, fiscal year 2017...................             - - -
    Budget request, fiscal year 2018..................             - - -
 

    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 $26,200,000 
for the FLRA for fiscal year 2018.

                        Federal Trade Commission


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2017.......................      $313,000,000
Budget request, fiscal year 2018......................       306,317,000
Recommended in the bill...............................       306,317,000
Bill compared with:
    Appropriation, fiscal year 2017...................        -6,683,000
    Budget request, fiscal year 2018..................             - - -
 

    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 $306,317,000 
for the Salaries and Expenses of the FTC. The Congressional 
Budget Office estimates $126,000,000 of collections from Hart-
Scott-Rodino premerger filing fees and $16,000,000 of 
collections from Do-Not-Call list fees which partially offset 
the appropriation requirement for this account.
    Privacy.--The Committee is concerned about the confusion 
and misreporting stemming from the passage of the Congressional 
Review Act on broadband privacy. This was an important step in 
restoring the Federal Trade Commission (FTC) as the online 
privacy cop for consumers for all online activities. The FTC is 
an independent enforcement agency that has enforced a wide 
range of laws to protect the privacy of consumers' personal 
information for decades. The FTC is directed to report on its 
enforcement approach with regard to policing the privacy 
practices of ISPs and online services, and the FTC's plans to 
continue to ensure that consumer privacy is protected online 
regardless of the type of company that has the data.
    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, 
consumer accessibility, and strengthen enforcement mechanisms.
    Piracy.--The online theft of creative content poses 
significant threats to both content creators and American 
consumers. The Committee encourages the FTC to help raise 
consumer awareness about the risks to consumers from content-
theft sites, many of which serve as bait to infect devices with 
malicious software enabling identity theft and other consumer 
scams.

                    General Services Administration

    The Committee continues several reporting requirements for 
the General Services Administration (GSA) for fiscal year 2018.
    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 2017. 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.
    Rental Rates.--The Committee expects GSA to provide 
workspace for its customers at commercially-comparable rental 
rates and at a superior value to the taxpayer. The Committee 
directs GSA to provide the Committees on Appropriations of the 
House and Senate a report describing GSA's methodology for 
calculating rental rates for Congressional offices located in 
Federal Courthouses within 45 days of the date of enactment of 
this Act.
    IT Modernization.--The Committee recognizes the importance 
of recent legislative efforts to modernize the way the Federal 
government uses technology and appreciates proposed solutions 
for replacing outdated and vulnerable legacy IT systems across 
the government. The Committee will continue to review proposed 
legislative approaches to the Federal government's digital 
infrastructure while also safeguarding the investment of 
American taxpayers.
    FBI Headquarters.--The Committee directs the Administrator 
of the General Services Administration, not later than 60 days 
after the enactment of this Act, to develop an alternate plan 
for the consolidation of the Federal Bureau of Investigation 
headquarters within the National Capital Region.

                        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 2017..........    $8,845,147,000
Limitation on availability, budget request, fiscal         9,950,519,000
 year 2018............................................
Recommended in the bill...............................     7,864,111,000
Bill compared with:
    Availability limitation, fiscal year 2017.........      -981,036,000
    Availability limitation, fiscal year 2018 request.    -2,086,408,000
 

    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 $7,864,111,000 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 $7,864,111,000 of 
which: $180,000,000 is for repairs and alterations, 
$5,462,345,000 is for rental of space, and $2,221,766,000 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 2017..........      $205,749,000
Limitation on availability, budget request, fiscal           790,491,000
 year 2018............................................
Recommended in the bill...............................             - - -
Bill compared with:
    Availability limitation, fiscal year 2017.........      -205,749,000
    Availability limitation, fiscal year 2018 request.      -790,491,000
 

    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 $0 for 
construction and acquisition.

                        REPAIRS AND ALTERATIONS

 
 
 
Limitations on Availability of Revenue:
Limitation on availability, fiscal year 2017..........      $676,035,000
Limitation on availability, budget request, fiscal         1,444,494,000
 year 2018............................................
Recommended in the bill...............................       180,000,000
Bill compared with:
    Availability limitation, fiscal year 2017.........      -496,035,000
    Availability limitation, fiscal year 2018 request.    -1,264,494,000
 

    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 $180,000,000 to 
remain available until expended for repairs and alterations.
    Basic Repairs and Alterations.--The Committee recommends 
$110,000,000 for non-recurring repairs and alterations projects 
between $10,000 and the current prospectus threshold of 
$3,095,000.
    Fire and Life Safety.--The Committee recommends $30,000,000 
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 
$20,000,000 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 
$20,000,000 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. 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.

                            RENTAL OF SPACE

 
 
 
Limitations on Availability of Revenue:
Limitation on availability, fiscal year 2017..........    $5,628,363,000
Limitation on availability, budget request, fiscal         5,493,768,000
 year 2018............................................
Recommended in the bill...............................     5,462,345,000
Bill compared with:
    Availability limitation, fiscal year 2017.........      -166,018,000
    Availability limitation, fiscal year 2018 request.       -31,423,000
 

    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 $5,462,345,000 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 2017..........    $2,335,000,000
Limitation on availability, budget request, fiscal         2,221,766,000
 year 2018............................................
Recommended in the bill...............................     2,221,766,000
Bill compared with:
    Availability limitation, fiscal year 2017.........      -113,234,000
    Availability limitation, fiscal year 2018 request.             - - -
 

    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 $2,221,766,000 for 
Building Operations and Maintenance. Within this amount, 
$1,146,089,000 is for building services and $1,075,677,000 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 2017.......................       $60,000,000
Budget request, fiscal year 2018......................        53,499,000
Recommended in the bill...............................        53,499,000
Bill compared with:
    Appropriation, fiscal year 2017...................        -6,501,000
    Budget request, fiscal year 2018..................             - - -
 

    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 $53,499,000 
for Government-wide Policy.
    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.
    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).
    Commercial Supplier Agreements.--By December 31, 2017, GSA 
shall reduce costs to small business resellers of commercial 
software, hardware, and related products interested in doing 
business with GSA by: (1) Publishing a final rule making clear 
which commercial supplier agreement terms conflict with Federal 
Law and are thus unenforceable against the Government, and (2) 
establishing a means for small business resellers to quickly 
update commercial supplier agreements.

                           OPERATING EXPENSES

 
 
 
Appropriation, fiscal year 2017.......................       $58,541,000
Budget request, fiscal year 2018......................        45,645,000
Recommended in the bill...............................        45,645,000
Bill compared with:
    Appropriation, fiscal year 2017...................       -12,896,000
    Budget request, fiscal year 2018..................             - - -
 

    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 $45,645,000 
for operating expenses. Within the amount provided under this 
heading, $24,357,000 is for Real and Personal Property 
Management and Disposal, and $23,288,000 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 2017 High 
Risk List. The Committee is concerned that despite language in 
the fiscal year 2015, 2016, and 2017 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 2017.......................        $9,275,000
Budget request, fiscal year 2018......................         8,795,000
Recommended in the bill...............................         8,795,000
Bill compared with:
    Appropriation, fiscal year 2017...................          -480,000
    Budget request, fiscal year 2018..................             - - -
 

    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 $8,795,000 for 
the Civilian Board of Contract Appeals.

                      OFFICE OF INSPECTOR GENERAL

 
 
 
Appropriation, fiscal year 2017.......................       $65,000,000
Budget request, fiscal year 2018......................        65,000,000
Recommended in the bill...............................        65,000,000
Bill compared with:
    Appropriation, fiscal year 2017...................             - - -
    Budget request, fiscal year 2018..................             - - -
 

    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 2017.......................        $3,865,000
Budget request, fiscal year 2018......................         4,754,000
Recommended in the bill...............................         4,754,000
Bill compared with:
    Appropriation, fiscal year 2017...................          +889,000
    Budget request, fiscal year 2018..................             - - -
 

    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 Barack 
Obama.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $4,754,000 for 
allowances and office staff for former Presidents.

                     FEDERAL CITIZEN SERVICES FUND

                     (INCLUDING TRANSFERS OF FUNDS)

 
 
 
Appropriation, fiscal year 2017.......................       $55,894,000
Budget request, fiscal year 2018......................        53,741,000
Recommended in the bill...............................        53,741,000
Bill compared with:
    Appropriation, fiscal year 2017...................        -2,153,000
    Budget request, fiscal year 2018..................             - - -
 

    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 $53,741,000 
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 
$100,000,000. 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.

                ASSET PROCEEDS AND SPACE MANAGEMENT FUND

 
 
 
Appropriation, fiscal year 2017.......................             - - -
Budget request, fiscal year 2018......................       $40,000,000
Recommended in the bill...............................        10,000,000
Bill compared with:
    Appropriation, fiscal year 2017...................       +10,000,000
    Budget request, fiscal year 2018..................       -30,000,000
 

    This account provides appropriations for the purposes of 
carrying out actions pursuant to the recommendations of the 
Public Buildings Reform Board focusing on civilian real 
property.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $10,000,000 
for the Asset Proceeds and Space Management Fund.

                 ENVIRONMENTAL REVIEW IMPROVEMENT FUND

 
 
 
Appropriation, fiscal year 2017.......................             - - -
Budget request, fiscal year 2018......................       $10,000,000
Recommended in the bill...............................         1,000,000
Bill compared with:
    Appropriation, fiscal year 2017...................        +1,000,000
    Budget request, fiscal year 2018..................        -9,000,000
 

    This account provides appropriations for the authorized 
activities of the Environmental Review Improvement Fund and the 
Federal Permitting Improvement Steering Council. The Council 
will lead ongoing government-wide efforts to modernize the 
Federal permitting and review process for major infrastructure 
projects and work with Federal agency partners to implement and 
oversee adherence to the statutory requirements set forth in 
the Federal Assets Sale and Transfer Act of 2016.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $1,000,000 for 
the Environmental Review Improvement Fund.

       Administrative Provisions--General Services Administration


              (INCLUDING RESCISSION AND TRANSFER OF FUNDS)

    Section 510. The Committee continues the provision 
providing authority for the use of funds for the hire of motor 
vehicles.
    Section 511. 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 512. 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 513. 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 514. The Committee continues the provision that 
permits GSA to pay small claims (up to $250,000) made against 
the Federal Government.
    Section 515. 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 516. The Committee continues the provision 
requiring a spend plan for certain accounts and programs.
    Section 517. The Committee includes a new provision 
establishing the Asset Proceeds Space Management Fund as a fund 
separate from the Federal Buildings Fund.
    Section 518. The Committee includes a new provision 
rescinding prior year unobligated balances from the FBI 
Headquarters Consolidation project funded in Public Law 115-31.
    Section 519. The Committee includes a new provision 
requiring GSA to post certain draft environmental impact 
assessments on the GSA website.

                 Harry S Truman Scholarship Foundation


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2017.......................        $1,000,000
Budget request, fiscal year 2018......................             - - -
Recommended in the bill...............................         1,000,000
Bill compared with:
    Appropriation, fiscal year 2017...................             - - -
    Budget request, fiscal year 2018..................        +1,000,000
 

    The Harry S Truman Scholarship Foundation is an independent 
agency established by Congress in 1975 (Public Law 93-642) to 
encourage exceptional college students to pursue careers in 
public service through the Truman Scholarship program. The 
Truman Scholarship is a merit-based award available to college 
juniors who plan to pursue careers in Government or elsewhere 
in public service.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $1,000,000 for 
the Harry S Truman Scholarship Foundation.

                     Merit Systems Protection Board


                         SALARIES AND EXPENSES

                     (INCLUDING TRANSFER OF FUNDS)

 
 
 
Appropriation, fiscal year 2017.......................       $47,131,000
Budget request, fiscal year 2018......................        46,835,000
Recommended in the bill...............................        46,835,000
Bill compared with:
    Appropriation, fiscal year 2017...................          -296,000
    Budget request, fiscal year 2018..................             - - -
 

    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 $44,490,000 
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 2017.......................      $380,634,000
Budget request, fiscal year 2018......................       364,308,000
Recommended in the bill...............................       364,308,000
Bill compared with:
    Appropriation, fiscal year 2017...................       -16,326,000
    Budget request, fiscal year 2018..................             - - -
 

    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 $364,308,000 
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.

                      OFFICE OF INSPECTOR GENERAL

 
 
 
Appropriation, fiscal year 2017.......................        $4,801,000
Budget request, fiscal year 2018......................         4,241,000
Recommended in the bill...............................         4,241,000
Bill compared with:
    Appropriation, fiscal year 2017...................          -560,000
    Budget request, fiscal year 2018..................             - - -
 

    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 $4,241,000 for 
the OIG for fiscal year 2018.

                        REPAIRS AND RESTORATION

 
 
 
Appropriation, fiscal year 2017.......................        $7,500,000
Budget request, fiscal year 2018......................         7,500,000
Recommended in the bill...............................         7,500,000
Bill compared with:
    Appropriation, fiscal year 2017...................             - - -
    Budget request, fiscal year 2018..................             - - -
 

    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 2017.......................        $6,000,000
Budget request, fiscal year 2018......................             - - -
Recommended in the bill...............................         4,000,000
Bill compared with:
    Appropriation, fiscal year 2017...................        -2,000,000
    Budget request, fiscal year 2018..................        +4,000,000
 

    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 $4,000,000 
NHPRC.

                  National Credit Union Administration


               COMMUNITY DEVELOPMENT REVOLVING LOAN FUND

 
 
 
Appropriation, fiscal year 2017.......................        $2,000,000
Budget request, fiscal year 2018......................             - - -
Recommended in the bill...............................         2,000,000
Bill compared with:
    Appropriation, fiscal year 2017...................             - - -
    Budget request, fiscal year 2018..................        +2,000,000
 

    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.

                      Office of Government Ethics


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2017.......................       $16,090,000
Budget request, fiscal year 2018......................        16,439,000
Recommended in the bill...............................        16,439,000
Bill compared with:
    Appropriation, fiscal year 2017...................          +349,000
    Budget request, fiscal year 2018..................             - - -
 

    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 $16,439,000 
for the OGE.

                     Office of Personnel Management


                         SALARIES AND EXPENSES

                  (INCLUDING TRANSFER OF TRUST FUNDS)

 
 
 
Appropriation, fiscal year 2017.......................      $259,000,000
Budget request, fiscal year 2018......................       279,755,000
Recommended in the bill...............................       260,755,000
Bill compared with:
    Appropriation, fiscal year 2017...................         1,755,000
    Budget request, fiscal year 2018..................       -19,000,000
 

    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 $129,341,000 
for the General Fund. The Committee also recommends 
$131,414,000 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 funding which will need to be 
prioritized to meet the most critical needs outlined in the 
Administration's fiscal year 2018 request for cybersecurity. 
Additionally, the Committee expects OPM to continue with IT 
upgrades to secure its networks against future attacks.
    Security Clearance Investigations.--The Committee is 
concerned with the length of time it takes OPM to conduct 
initial security clearance investigations and reinvestigations 
when Federal employees' current level clearance expires. The 
Committee believes that security clearance delays are 
unacceptable as this reduces the ability of the Federal 
government to hire highly qualified employees to serve in 
important defense and national security positions. Therefore, 
the Committee expects OPM to continue to make security 
clearance processing a priority and to make necessary 
administrative or regulatory reforms to expedite 
investigations, reviews, and approvals.
    National Bureau of Investigations.--The Committee requests 
continued assessments on the newly created National Background 
Investigations Bureau (NBIB), and therefore directs OPM to 
submit to the Committees on Appropriations of the House and 
Senate bi-annual 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 into 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 notes that a 
Presidential Memorandum--Improving the Federal Recruitment and 
Hiring Process--was issued on May 11, 2010, and the Office of 
Personnel Management (OPM) was instructed to increase the 
capacity of USAJOBS and develop a plan to improve the federal 
recruitment and hiring processes. While the Committee is 
supportive of some of the changes OPM has made to improve the 
user experience on USAJOBS, it remains concerned with the 
amount of time it takes the Federal Government to hire 
qualified employees. The committee is also concerned with the 
length and content of the questionnaire that USAJOBS candidates 
must complete, which can include up to 100 questions. This can 
discourage talented candidates from applying for or accepting 
Federal positions.
    The committee directs OPM to report to the Committees on 
Appropriations of the House and Senate no later than September 
30, 2018 on a plan to reduce barriers to Federal employment, 
reduce delays in the hiring process, and how it intends to 
improve the overall federal recruitment and hiring 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.
    The Committee is appreciative of GAO's reports on the 
Federal workforce, particularly report, OPM Needs to Improve 
Management and Oversight of Hiring Authorities (GAO-16-521) 
which reviewed current hiring authorities to assist Federal 
agencies onboard staff. The Committee encourages OPM to review 
GAO's recommendations to improve existing authorities, develop 
new ones, and provide educational outreach to Federal agencies 
to expand potential resources available when filling critical 
positions.
    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.
    Acquisition Planning.--The Committee is concerned with 
OPM's acquisition management efforts. Poor acquisition efforts 
have resulted in increased security clearance backlogs as well 
as unnecessary labor costs to correct procurement issues. The 
Committee directs the OPM to report back to the Committees on 
Appropriations of the House and Senate on measures it has taken 
to improve its acquisition planning, the expected results of 
this plan, and specifics, including timelines, on how this plan 
will impact the security clearance process.

                      OFFICE OF INSPECTOR GENERAL

                         SALARIES AND EXPENSES

                  (INCLUDING TRANSFER OF TRUST FUNDS)

 
 
 
Appropriation, fiscal year 2017.......................       $30,184,000
Budget request, fiscal year 2018......................        30,000,000
Recommended in the bill...............................        30,000,000
Bill compared with:
    Appropriation, fiscal year 2017...................          -184,000
    Budget request, fiscal year 2018..................             - - -
 

    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 
$5,000,000 for the OIG. In addition, the recommendation 
provides $25,000,000 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; staffing needs and any performance issues; 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 2017.......................       $24,750,000
Budget request, fiscal year 2018......................        26,535,000
Recommended in the bill...............................        24,750,000
Bill compared with:
    Appropriation, fiscal year 2017...................             - - -
    Budget request, fiscal year 2018..................        -1,785,000
 

    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 $24,750,000 
for the OSC.

                      Postal Regulatory Commission


                         SALARIES AND EXPENSES

                     (INCLUDING TRANSFER OF FUNDS)

 
 
 
Appropriation, fiscal year 2017.......................       $16,200,000
Budget request, fiscal year 2018......................        14,440,000
Recommended in the bill...............................        15,200,000
Bill compared with:
    Appropriation, fiscal year 2017...................        -1,000,000
    Budget request, fiscal year 2018..................          +760,000
 

    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 $15,200,000 for the Postal Regulatory 
Commission (Commission).

              Privacy and Civil Liberties Oversight Board


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2017.......................       $10,100,000
Budget request, fiscal year 2018......................         8,000,000
Recommended in the bill...............................         8,000,000
Bill compared with:
    Appropriation, fiscal year 2017...................        -2,100,000
    Budget request, fiscal year 2018..................             - - -
 

    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 $8,000,000 for the Board.

                     Public Buildings Reform Board


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2017.......................             - - -
Budget request, fiscal year 2018......................        $2,000,000
Recommended in the bill...............................         5,000,000
Bill compared with:
    Appropriation, fiscal year 2017...................        +5,000,000
    Budget request, fiscal year 2018..................        +3,000,000
 

    The Public Buildings Reform Board was created under the 
Federal Assets Sale and Transfer Act of 2016 to identify 
opportunities for the Government to significantly reduce its 
inventory of civilian real property and reduce cost to the 
Government.

                        COMMITTEE RECOMMENDATION

    The Committee recommends $5,000,000 for the Board.

                   Securities and Exchange Commission


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2017.......................    $1,605,000,000
Budget request, fiscal year 2018......................     1,846,507,000
Recommended in the bill...............................     1,896,507,000
Bill compared with:
    Appropriation, fiscal year 2017...................      +291,507,000
    Budget request, fiscal year 2018..................       +50,000,000
 

    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 $1,602,000,000 
for SEC salaries and expenses, of which $68,950,000 is for the 
Division of Economic and Risk Analysis. In addition, in lieu of 
funding from the Reserve Fund, the Committee provides 
$50,000,000 for long term information technology projects.
    The Committee also provides $244,507,000 for costs 
associated with relocation under a replacement lease for the 
Commission's headquarters facilities. The Committee expects the 
Commission to work closely with the General Services 
Administration (GSA) and to keep the Committee informed of 
progress on the replacement lease.
    Reserve Fund/Information Technology.--The Committee is 
supportive of the Commission's prioritization of robust and 
effective information technology (IT) systems within the 
Commission, and the Committee has been supportive of the use of 
these funds for long-term IT projects. 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. For fiscal year 2018, an increase of $50,000,000 for IT 
funding is provided through the Commission's overall 
appropriation. The Committee includes a limitation (section 
628) prohibiting funds from the Reserve Fund from being used by 
the Commission.
    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.
    Searchable Data.--The Committee encourages the SEC to 
continue its efforts to implement consistent and searchable 
open data standards for information filed and submitted by 
publicly-traded companies and financial firms. However, the 
Committee expects the Commission to take into account small 
reporting companies, their respective compliance costs, and 
whether volunteer exemptions are appropriate for such companies 
when creating these standards. The Committee continues to 
recommend that financial regulatory agencies across the U.S. 
Government take similar steps to update reporting standards 
commensurate with currently available technology.
    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 2017.......................       $22,900,000
Budget request, fiscal year 2018......................        22,900,000
Recommended in the bill...............................        22,900,000
Bill compared with:
    Appropriation, fiscal year 2017...................             - - -
    Budget request, fiscal year 2018..................             - - -
 

    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 $22,900,000 
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 $847,798,000 for the 
SBA for fiscal year 2018. Detailed guidance for the SBA 
appropriations accounts is presented below.

                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2017.......................      $269,500,000
Budget request, fiscal year 2018......................       265,000,000
Recommended in the bill...............................       265,000,000
Bill compared with:
    Appropriation, fiscal year 2017...................        -4,500,000
    Budget request, fiscal year 2018..................             - - -
 

                        COMMITTEE RECOMMENDATION

    The Committee recommends $265,000,000 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. SBA has been 
supportive of the concept and should permit SBICs to use off 
the shelf virtual data room solutions that are commonly used in 
the industry.
    SBIC Program Licensing.--The Committee is aware of the 
often slow pace of licensing within the Small Business 
Investment Company (SBIC) program. SBA has a six month goal to 
approve licenses that are in the application process, and 
significant improvements were made in many cases last year, but 
not all. The Committee would like to see these improvements 
maintained, made normal and permanent with a meaningfully 
expedited and streamlined licensing process of known, repeat 
licensees, from those SBICs that have the same management teams 
and a proven track record in the SBIC Program. This fast track 
process for repeat licensees should be completed no longer than 
60 days after an application is submitted to the SBA, which 
will allow SBA to properly redirect their resources to first 
time funds. The SBA should 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.

                  ENTREPRENEURIAL DEVELOPMENT PROGRAMS

 
 
 
Appropriation, fiscal year 2017.......................      $245,100,000
Budget request, fiscal year 2018......................       192,450,000
Recommended in the bill...............................       211,100,000
Bill compared with:
    Appropriation, fiscal year 2017...................       -34,000,000
    Budget request, fiscal year 2018..................       +18,650,000
 

    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]
 
 
 
7(j) Technical Assistance Program (Contracting                     2,800
 Assistance)..........................................
Entrepreneurship Education............................             2,000
HUBZone Program.......................................             3,000
Microloan Technical Assistance........................            31,000
National Women's Business Council.....................             1,500
Native American Outreach..............................             1,500
SCORE.................................................            10,000
Small Business Development Centers (SBDC).............           120,000
State Trade & Export Promotion (STEP).................            10,000
Veterans Outreach*....................................            12,300
Women's Business Centers (WBC)........................            17,000
                                                       -----------------
    Total EDP Programs................................           211,100
 
*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.
  The Committee recognizes SBA's work in fostering regional 
innovation clusters which have provided business development 
services to high technology small businesses across the nation. 
These small businesses support a diverse group of sectors 
including manufacturing, energy and advanced defense 
technologies. The Committee encourages SBA to continue 
supporting these initiatives that promote the sustainment and 
creation of jobs in critical and emerging markets, and foster 
innovative entrepreneurship among high technology small 
businesses.

                      OFFICE OF INSPECTOR GENERAL

 
 
 
Appropriation, fiscal year 2017.......................       $19,900,000
Budget request, fiscal year 2018......................        19,900,000
Recommended in the bill...............................        19,900,000
Bill compared with:
    Appropriation, fiscal year 2017...................             - - -
    Budget request, fiscal year 2018..................             - - -
 

                        COMMITTEE RECOMMENDATION

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

                           OFFICE OF ADVOCACY

 
 
 
Appropriation, fiscal year 2017.......................        $9,220,000
Budget request, fiscal year 2018......................         9,120,000
Recommended in the bill...............................         9,120,000
Bill compared with:
    Appropriation, fiscal year 2017...................          -100,000
    Budget request, fiscal year 2018..................             - - -
 

                        COMMITTEE RECOMMENDATION

    The Committee recommends $9,120,000 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 2017.......................      $157,064,000
Budget request, fiscal year 2018......................       156,220,172
Recommended in the bill...............................       156,220,172
Bill compared with:
    Appropriation, fiscal year 2017...................          -843,828
    Budget request, fiscal year 2018..................             - - -
 

    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 $29 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 $156,220,172 for the 
Business Loans Program Account. Of the amount appropriated, 
$152,782,000 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.

                     DISASTER LOANS PROGRAM ACCOUNT

                     (INCLUDING TRANSFERS OF FUNDS)

 
 
 
Appropriation, fiscal year 2017.......................      $185,977,000
Budget request, fiscal year 2018......................       186,458,000
Recommended in the bill...............................       186,458,000
Bill compared with:
    Appropriation, fiscal year 2017...................          +481,000
    Budget request, fiscal year 2018..................             - - -
 

                        COMMITTEE RECOMMENDATION

    The Committee recommends a total of $186,458,000 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 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 recognizes the benefit of limiting the 
financial exposure of the SBA and reducing the claims payments 
from the National Flood Insurance Program. Therefore the 
Committee urges the SBA to coordinate with Federal Emergency 
Management Agency (FEMA) to expand 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.

        ADMINISTRATIVE PROVISIONS--SMALL BUSINESS ADMINISTRATION

              (INCLUDING RESCISSION AND TRANSFER OF FUNDS)

    Section 520. 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 521. The Committee includes a provision rescinding 
prior year unobligated balances.
    Section 522. The Committee includes a provision amending 
requirements for the Microloan program.

                      United States Postal Service


                   PAYMENT TO THE POSTAL SERVICE FUND

 
 
 
Appropriation, fiscal year 2017.......................       $34,658,000
Budget request, fiscal year 2018......................        58,118,000
Recommended in the bill...............................        58,118,000
Bill compared with:
    Appropriation, fiscal year 2017...................       +23,460,000
    Budget request, fiscal year 2018..................             - - -
 

    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 
$58,118,000 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.
    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.
    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.
    Multinational Species Conservation Fund Semi-postal 
Stamp.--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 2017.......................      $253,600,000
Budget request, fiscal year 2018......................       234,650,000
Recommended in the bill...............................       234,650,000
Bill compared with:
    Appropriation, fiscal year 2017...................       -18,950,000
    Budget request, fiscal year 2018..................             - - -
 

    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 $234,650,000 
for the OIG.

                        United States Tax Court


                         SALARIES AND EXPENSES

 
 
 
Appropriation, fiscal year 2017.......................       $51,226,000
Budget request, fiscal year 2018......................        53,185,000
Recommended in the bill...............................        51,100,000
Bill compared with:
    Appropriation, fiscal year 2017...................          -126,000
    Budget request, fiscal year 2018..................        -2,085,000
 

    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 $51,100,000 
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, 2019, 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, 
$167,000,000 for the Judicial Retirement Funds (Judicial 
Officers' Retirement Fund, Judicial Survivors' Annuities Fund, 
and the United States Court of Federal Claims Judges' 
Retirement Fund), $13,202,000,000 for the Government Payment 
for Annuitants, Employee Health Benefits, $48,000,000 for the 
Government Payment for Annuitants, Employee Life Insurance, and 
$8,365,000,000 for the Payment to the Civil Service Retirement 
and Disability Fund.
    Section 620. The Committee includes language prohibiting 
funds for the Federal Trade Commission to complete or publish 
the study, recommendations, or report prepared by the 
Interagency Working Group on Food Marketed to Children.
    Section 621. The Committee includes language to prevent 
conflicts of interest by prohibiting contractor security 
clearance related background investigators from undertaking 
final Federal reviews of their own work.
    Section 622. The Committee includes language requiring that 
the head of any executive branch agency ensure that the Chief 
Information Officer (CIO) has authority to participate in the 
budget planning process and approval of the information 
technology (IT) budget.
    Section 623. The Committee continues the provision 
prohibiting funds in contravention of the Federal Records Act.
    Section 624. 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 625. The Committee includes language prohibiting 
funds to be used to deny inspectors general access to records.
    Section 626. The Committee continues the 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 627. The Committee includes a provision to clarify 
the terms of the services offered to victims of the OPM 
security breaches.
    Section 628. The unobligated balance in the Securities and 
Exchange Commission Reserve Fund established by section 991 of 
the Dodd-Frank Wall Street Reform and Consumer Protection Act 
(Public Law 111-203) is permanently rescinded.
    Section 629. 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 630. The Committee includes language that repeals 
the Federal Elections Commission's prior approval requirement 
for corporate member trade association PACs.
    Section 631. The Committee includes language 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.
    Section 632. The Committee includes a new provision 
prohibiting funds to require public electronic communication 
providers or remote computing services to disclose the contents 
of a wire or electronic communication unless required by a 
court warrant.
    Section 633. The Committee includes a new provision which 
defines a pyramid promotional scheme, and limits funds to 
enforcement actions under the definition.

             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 the provision that 
restricts the use of funds for Federal law enforcement training 
facilities.
    Section 730. 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 731. 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 732. 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 733. 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 734. 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 735. 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 736. The Committee continues the provision limiting 
the pay increases of certain prevailing rate employees.
    Section 737. The Committee continues a provision, with 
modification, requiring agencies to submit reports to 
Inspectors General concerning expenditures for agency 
conferences.
    Section 738. 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 739. The Committee continues a provision 
prohibiting agencies from using funds to implement regulations 
changing the competitive areas under reductions-in-force for 
Federal employees.
    Section 740. 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 741. 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 742. 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 743. 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 744. The Committee continues a provision requiring 
the Bureau of Consumer Financial Protection 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 Board of Governors of 
the Federal Reserve System as well as post any such 
notifications on the Bureau's website.
    Section 745. The Committee modifies a provision on the 
conditions for implementing Executive Order 13690.
    Section 746. The Committee includes a provision which 
allows those authorized to be employed in the United States 
pursuant to the Deferred Action for Childhood Arrivals program 
to be eligible for Federal government employment.
    Section 747. 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 limiting 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 of 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 any 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 2019 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 2018.
    Section 817. The Committee includes a provision to repeal 
the Local Budget Autonomy Amendment Act of 2012.
    Section 818. The Committee includes a new provision 
prohibiting funds to enact any act, resolution, rule, 
regulation, guidance, or other law to permit any person to 
carry out any activity, or to reduce the penalties imposed with 
respect to any activity to which subsection (a) of section 3 of 
the Assisted Suicide Funding Restriction Act of 1997 applies, 
and repeals the District of Columbia Death With Dignity Act of 
2016.
    Section 819. The Committee continues language limiting 
references to ``this Act'' as referring to only this title and 
title IV.

                        TITLE IX--OTHER MATTERS

    The bill includes provisions from H.R. 10, the Financial 
CHOICE Act, as passed by the House of Representatives on June 
8, 2017.

               TITLE X--FINANCIAL INSTITUTION BANKRUPTCY

    The bill includes H.R. 1667, the Financial Institution 
Bankruptcy Act of 2017, which was passed by the House of 
Representatives on April 5, 2017.

                TITLE XI--ADDITIONAL GENERAL PROVISIONS


                       SPENDING REDUCTION ACCOUNT

    Section 1101. 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..............................      $876,000,000
General Services Administration.......................      $200,000,000
Securities and Exchange Commission....................       $75,000,000
Small Business Administration.........................        $2,600,000
 

                           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 118 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 119 authorizes transfers, up to two percent, 
between the IRS and the Treasury Inspector General for Tax 
Administration under certain circumstances.
    Section 121 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 Election Assistance Commission, amounts may 
be transferred to the National Institute of Standards and 
Technology.
    (2) Under the General Services Administration, amounts may 
be transferred within the Federal Buildings Fund, under certain 
circumstances, after approval of the Committee on 
Appropriations.
    (3) Under the General Services Administration, ``Federal 
Citizens Services Fund'', transfers are allowed from the 
Federal Citizens Services Fund to Federal agencies.
    (4) 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.
    (5) Section 511 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 520 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 of 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.

               Changes in the Application of Existing Law

    Pursuant to clause 3(f)(1)(A) of rule XIII of the Rules of 
the House of Representatives, the following statements are 
submitted describing the effect of provisions proposed in the 
accompanying bill which may be considered, under certain 
circumstances, to change the application of existing law, 
either directly or indirectly. The bill provides that 
appropriations shall remain available for more than one year 
for a number of programs for which the basic authorizing 
legislation does not explicitly authorize such extended 
availability. In addition, the bill carries language, in some 
instances, permitting activities not authorized by law, or 
exempting agencies from certain provisions of law, but which 
has been carried in appropriations acts for many years.
    The bill includes several limitations on official 
entertainment, reception and representation expenses. Similar 
provisions have appeared in many previous appropriations Acts. 
The bill includes a number of limitations on the purchase of 
automobiles or office furnishings that also have appeared in 
many previous appropriations Acts. Language is included in 
several instances permitting certain funds to be credited to 
the appropriations recommended. Language is also included in 
several instances permitting funding for services authorized by 
5 U.S.C. 3109 and for the hire of passenger motor vehicles.

               Changes in the Application of Existing Law

    Pursuant to clause 3(f)(1)(A) of rule XIII of the Rules of 
the House of Representatives, the following statements are 
submitted describing the effect of provisions proposed in the 
accompanying bill which may be considered, under certain 
circumstances, to change the application of existing law, 
either directly or indirectly. The bill provides that 
appropriations shall remain available for more than one year 
for a number of programs for which the basic authorizing 
legislation does not explicitly authorize such extended 
availability. In addition, the bill carries language, in some 
instances, permitting activities not authorized by law, or 
exempting agencies from certain provisions of law, but which 
has been carried in appropriations acts for many years.
    The bill includes several limitations on official 
entertainment, reception and representation expenses. Similar 
provisions have appeared in many previous appropriations Acts. 
The bill includes a number of limitations on the purchase of 
automobiles or office furnishings that also have appeared in 
many previous appropriations Acts. Language is included in 
several instances permitting certain funds to be credited to 
the appropriations recommended. Language is also included in 
several instances permitting funding for services authorized by 
5 U.S.C. 3109 and for the hire of passenger motor vehicles.

                  Title I--Department of the Treasury

    Language is included for ``Departmental Offices, Salaries 
and Expenses'' that provides funds for operation and 
maintenance of the Treasury Building Annex; hire of passenger 
motor vehicles; maintenance, repairs, and improvements of, and 
purchase of commercial insurance policies for real properties 
leased or owned overseas.
    Language is also included designating funds for official 
reception and representation expenses; unforeseen emergencies 
of a confidential nature; and extending the period of 
availability for certain funds.
    Language is included for the ``Office of Terrorism and 
Financial Intelligence, Salaries and Expenses'' that provides 
funds combating threats to national security.
    Language is included for ``Cybersecurity Enhancement 
Account'' that provides funds for enhanced cybersecurity for 
systems operated by the Department of the Treasury.
    Language is included for the Office of Inspector General, 
``Salaries and Expenses'', that provides funds to carry out the 
provisions of the Inspector General Act of 1978, including 
official reception and representation expenses, the hire of 
vehicles, and provides funds for unforeseen emergencies of a 
confidential nature.
    Language is included for the Treasury Inspector General for 
Tax Administration, Salaries and Expenses that provides funds 
to carry out the provisions of the Inspector General Act of 
1978, including consulting services, official reception and 
representation expenses, the purchase and hire of motor 
vehicles, unforeseen emergencies of a confidential nature, and 
specifies the period of availability for certain funds.
    Language is included for the Special Inspector General for 
the Troubled Asset Relief Program, ``Salaries and Expenses'', 
that provides funds for the necessary expenses of the SIGTARP 
in carrying out the provisions of the Emergency Economic 
Stabilization Act of 2008 (P.L. 110-343).
    Language is included for ``Financial Crimes Enforcement 
Network, Salaries and Expenses'' that provides funds for the 
hire of motor vehicles; travel and training of non-federal and 
foreign government personnel attending meetings involving 
domestic or foreign financial law enforcement, intelligence, 
and regulation; official reception and representation expenses; 
and assistance to Federal law enforcement agencies with or 
without reimbursement. Language is also included that extends 
the availability of certain amounts.
    Language is included under the heading ``Treasury 
Forfeiture Fund'' rescinding certain funds and returning funds 
to the General Fund.
    Language is included for the Bureau of the Fiscal Service, 
``Salaries and Expenses'', that provides a certain amount for 
official reception and representation expenses, and extends the 
availability for systems modernization funds. Language is also 
included specifying an amount to be derived from the Oil Spill 
Liability Trust Fund.
    Language is included for the Alcohol and Tobacco Tax and 
Trade Bureau, ``Salaries and Expenses'', that provides funds 
for the hire of passenger motor vehicles and laboratory 
assistance to State and local agencies with or without 
reimbursement. Language is also included that specifies the 
amounts for official reception and representation expenses and 
cooperative research and development.
    Language is included for the U.S. Mint, ``United States 
Mint Public Enterprise Fund'', which identifies the source of 
funding for the operations and activities of the U.S. Mint and 
specifies the level of funding for circulating coinage and 
protective service capital investments.
    Language is included for the Community Development 
Financial Institutions Fund Program Account that provides 
specific amounts for: financial and technical assistance; 
Native American initiatives; administrative expenses for the 
program and cost of direct loans; New Markets Tax Credit 
Program; and disabled community assistance. Language is 
included clarifying the cost of direct loans and the cost of 
modifying direct loans, and specifying the limitation on gross 
obligations for the principal amount of direct loans.
    Language is included under Internal Revenue Service, 
Taxpayer Services, that provides funds for pre-filing 
assistance and education, filing and account services, and 
taxpayer advocacy services, and dedicating funding for the Tax 
Counseling for the Elderly Program, low-income taxpayer clinic 
grants, and Community Volunteer Income Tax Assistance grants.
    Language is included for Internal Revenue Service, 
Enforcement, that provides funds to determine and collect owed 
taxes, provide legal and litigation support, conduct criminal 
investigations, enforce criminal statutes, purchase and hire of 
vehicles; and designates funding for the Interagency Crime and 
Drug Enforcement program. Language is included specifying the 
period of availability for certain funds.
    Language is included for the Internal Revenue Service, 
Operations Support, that provides funds for operating and 
supporting taxpayer services and tax law enforcement programs; 
rent; facilities services; printing; postage; physical 
security; headquarters and other IRS-wide administration 
activities; research and statistics of income; 
telecommunications; information technology development, 
enhancement, operations, maintenance, and security; hire of 
passenger motor vehicles; and official reception and 
representation expenses. Language is included specifying the 
period of availability for certain funds and requiring reports 
on information technology.
    Language is included for Internal Revenue Service, Business 
Systems Modernization that provides for the business systems 
modernization program, including capital asset acquisition of 
information technology, including management and related 
contractual costs and IRS labor costs of said acquisitions, 
contractual costs associated with operations, an extended 
availability of the funds and requires quarterly reports.
    In addition, the bill provides the following administrative 
provisions:
    Section 101. Language is included 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.
    Section 102. Language is included that requires the IRS to 
maintain a training program in taxpayers' rights, dealing 
courteously with taxpayers, cross-cultural relations, and the 
impartial application of tax law.
    Section 103. Language is included 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. Language is included 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. Language is included requiring videos produced 
by the IRS to be approved in advance by the Service-Wide Video 
Editorial Board.
    Section 106. Language is included to require the IRS to 
issue notices to 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. Language is included to prohibit the IRS from 
targeting U.S. citizens for exercising their First Amendment 
rights.
    Section 108. Language is included to prohibit the use of 
funds by the IRS to target groups based on their ideological 
beliefs.
    Section 109. Language is included to prohibit the use of 
funds by the IRS on conferences that do not adhere to 
recommendations made by the Treasury Inspector General for Tax 
Administration.
    Section 110. Language is included prohibiting funds for IRS 
employee awards or hiring programs that do not consider 
employee conduct and Federal tax compliance.
    Section 111. Language included to prohibit the use of funds 
in contravention of section 6103 of the Internal Revenue Code 
of 1986 (relating to confidentiality and disclosure of returns 
and return information).
    Section 112. Language is included prohibiting funds from 
being used to implement the individual mandate of the 
Affordable Care Act.
    Section 113. Language is included to prohibit funds for 
pre-populated returns.
    Section 114. Language is included to prohibit funds to 
enforce new guidance on conservation easements.
    Section 115. Language is included to prohibit funds to 
finalize, implement or enforce amendments to proposed 
regulations related to estate, gift, and transfer taxes.
    Section 116. Language is included to prohibit funds for the 
IRS to make a determination that a church is not exempt from 
taxation unless specific criteria is met.
    Section 117. Language is included 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 that are overseas; and to hire 
experts or consultants.
    Section 118. Language is included 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'', and ``Alcohol and Tobacco Tax and 
Trade Bureau'', appropriations under certain circumstances.
    Section 119. Language is included that authorizes 
transfers, up to two percent, between the Internal Revenue 
Service and the Treasury Inspector General for Tax 
Administration under certain circumstances.
    Section 120. Language is included prohibiting the 
Department of the Treasury from undertaking a redesign of the 
one dollar Federal Reserve note.
    Section 121. Language is included providing for transfers 
from and reimbursements to ``Bureau of the Fiscal Service, 
Salaries and Expenses'' for the purposes of debt collection.
    Section 122. Language is included requiring congressional 
approval for the construction and operation of a museum by the 
United States Mint.
    Section 123. Language is included prohibiting funds in this 
or any other Act from being used to merge the U.S. Mint and the 
Bureau of Engraving and Printing without the approval of the 
House and Senate committees of jurisdiction.
    Section 124. Language is included deeming that funds for 
the Department of the Treasury's intelligence-related 
activities are specifically authorized in fiscal year 2018 
until enactment of the Intelligence Authorization Act for 
fiscal year 2018.
    Section 125. Language is included permitting the Bureau of 
Engraving and Printing to use $5,000 from the Industrial 
Revolving Fund for reception and representation expenses.
    Section 126. Language is included requiring the Department 
of the Treasury to submit a capital investment plan.
    Section 127. Language is included requiring a quarterly 
report from both the Office of Financial Research and Office of 
Financial Stability Oversight.
    Section 128. Language is included requiring the Department 
of the Treasury to submit a report on its Franchise Fund.
    Section 129. Language is included prohibiting the 
Department of the Treasury from finalizing any regulation 
related to the standards used to determine the tax-exempt 
status of a 501(c)(4) organization.
    Section 130. Language is included prohibiting funds to 
approve, license, facilitate, authorize, or otherwise allow the 
importation of property confiscated by the Cuban Government.
    Section 131. Language is included prohibiting 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 132. Language is included requiring the Special 
Inspector General for the Troubled Asset Relief Program to 
prioritize performance audits or investigations of programs 
funded under the Emergency Economic Stabilization Act of 2008.
    Section 133. Language is included prohibit the Department 
from enforcing guidance for U.S. positions on multilateral 
development banks engaging with developing countries on coal-
fired power generation.

              Title II--Executive Office of the President

    Language under ``The White House, Salaries and Expenses'' 
provides funds for services authorized by 5 U.S.C. 3109 and 3 
U.S.C. 103, 105 and 107, hire of vehicles, and official 
reception and representation expenses; and the Office of Policy 
Development.
    Language under ``Executive Residence at the White House, 
Operating Expenses'' provides funds for necessary expenses as 
authorized by 3 U.S.C. 105, 109, 110, and 112-114.
    Language under ``Executive Residence at The White House, 
Reimbursable Expenses'' specifies the authorized use of funds; 
specifies that reimbursable expenses are the exclusive 
authority of the Executive Residence to incur obligations and 
receive offsetting collections; requires the sponsors of 
political events to make advance payments; requires the 
national committee of the political party of the President to 
maintain $25,000 on deposit; requires the Executive Residence 
to ensure that amounts owed are billed within 60 days of a 
reimbursable event and collected within 30 days of the bill 
notice; authorizes the Executive Residence to charge and assess 
interest and penalties on late payments; authorizes all 
reimbursements to be deposited into the Treasury as a 
miscellaneous receipt; requires a report to the Committee on 
the reimbursable expenses within 90 days of the end of the 
fiscal year; requires the Executive Residence to maintain a 
system for tracking and classifying reimbursable events; and 
specifies that the Executive Residence is not exempt from the 
requirements of subchapter I or II of chapter 37 of title 31, 
United States Code.
    Language under ``White House Repair and Restoration'' 
provides funds for the repair, alteration, and improvement of 
the Executive Residence at the White House; and allows funds to 
remain available until expended.
    Language under Council of Economic Advisors, ``Salaries and 
Expenses'', is provided for necessary expenses in carrying out 
the Employment Act of 1946.
    Language under ``National Security Council and Homeland 
Security Council, Salaries and Expenses'' provides for services 
authorized by 5 U.S.C. 3109.
    Language under ``Office of Administration, Salaries and 
Expenses'' provides funds for continued modernization of the 
information resources within the Executive Office of the 
President, to remain available until expended, and provides for 
services authorized by 5 U.S.C. 3109 and 3 U.S.C. 107, and for 
the hire of vehicles.
    Language under ``Office of Management and Budget, Salaries 
and Expenses'' provides funds for expenses; services authorized 
by 5 U.S.C. 3109; the hire of vehicles; carrying out provisions 
of chapter 35 of title 44 United States Code and to prepare the 
budget request; specifies funds for official representation 
expenses; prohibits the review of agricultural marketing 
orders; prohibits the use of funds for the purpose of altering 
the transcript of testimony except for OMB officials; prohibits 
the use of funds for evaluating or determining if water 
resource project or study reports submitted by the Chief of 
Engineers are in compliance with all applicable laws, 
regulations, and requirements; and specifies the amount of time 
to perform budgetary policy reviews of water resource matters 
on which the Chief of Engineers has reported before the report 
is considered approved, and specifies notification 
requirements.
    Language under ``Office of National Drug Control Policy, 
Salaries and Expenses'' provides for expenses; receptions and 
representation expenses; participation in joint projects; 
provision of services to non-profit, research or public 
organizations or agencies with or without reimbursement; and 
allows for gifts to be used without fiscal year limitation for 
the work of the Office.
    Language ``High Intensity Drug Trafficking Area Program'' 
provides funds for expenses, extends the availability of funds, 
directs the distribution and obligation of funds, allows for 
the transfer of funds, allows for the reprogramming of 
unobligated funds, and requires notification on the 
distribution of funds.
    Language under ``Other Federal Drug Control Programs'' 
extends the availability of funds, directs the distribution of 
funds, and allows for the transfer of funds.
    Language under ``Unanticipated Needs'' extends the 
availability of funds.
    Language under ``Information Technology Oversight and 
Reform'' provides for the use of funds, extends the 
availability of funds, and allows for the transfer of funds.
    Language under ``Special Assistance to the President, 
Salaries and Expenses'' enables the Vice President to provide 
assistance to the President, services authorized by 5 U.S.C. 
3109 and 3 U.S.C. 106, and the hire of vehicles.
    Language under ``Official Residence of the Vice President, 
Operating Expenses'' provides funds for operation and 
maintenance of the official residence of the Vice President, 
the hire of vehicles, expenses authorized by 3 U.S.C. 106(b)(2) 
and provides for the transfer of funds as necessary.
    In addition, the bill provides the following administrative 
provisions:
    Section 201. Language is included 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. Language is included 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. Language is included 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 2018.

                        Title III--The Judiciary

    Language is included under Supreme Court, ``Salaries and 
Expenses'', providing for certain funds to remain available 
until expended; the hire of passenger motor vehicles, official 
reception and representation, and miscellaneous expenses. 
Language is included providing funds for salaries of judges as 
authorized by law.
    Language is included under Supreme Court, ``Care of the 
Building and Grounds'', permitting funds to remain available 
until expended.
    Language is included under United States Court of Appeals 
for the Federal Circuit, ``Salaries and Expenses'', for 
necessary expenses of the court. Language is included providing 
funds for salaries of judges as authorized by law.
    Language is included under United States Court of 
International Trade, ``Salaries and Expenses'', for necessary 
expenses of the court. Language is included providing funds for 
salaries of judges as authorized by law.
    Language is included under Courts of Appeals, District 
Courts, and Other Judicial Services, ``Salaries and Expenses'', 
providing funds for the salaries of certain judges, and all 
other employees not otherwise provided for; necessary expenses; 
the purchase, rental, repair and cleaning of uniforms for 
Probation and Pretrial Services Office staff; firearms and 
ammunition; and specifies certain funds remain available for 
certain periods for specific purposes. Language is included 
providing funds for salaries of judges as authorized by law. 
Language is also included providing funding from the Vaccine 
Injury Compensation Trust Fund for certain purposes.
    Language is included under Defender Services, providing for 
the compensation and reimbursement of expenses for attorneys, 
investigative, expert and other services, the operation of 
Federal Defender organizations, travel, training, general 
administrative expenses and permitting funds to remain 
available until expended.
    Language is included under Fees of Jurors and 
Commissioners, permitting funds to remain available until 
expended and specifying limitations for the compensation of 
land commissioners.
    Language is included under Court Security, providing for 
protective guard services and procurement, installation and 
maintenance of security systems and equipment, building 
ingress-egress control, inspection of mail and packages, 
directed security patrols, perimeter security and services 
provided by the Federal Protective Services. Language is 
included permitting certain funds to remain available until 
expended, which may be transferred to the United States 
Marshals Service.
    Language is included under Administrative Office of the 
United States Courts, ``Salaries and Expenses'', providing for 
travel, the hire of passenger motor vehicles, advertising and 
rent in the District of Columbia. Language is included 
specifying certain amounts for official reception and 
representation expenses.
    Language is included under Federal Judicial Center, 
``Salaries and Expenses'', extending the availability of 
certain funds for education and training, and specifying 
certain amounts for official reception and representation 
expenses.
    Language is included under United States Sentencing 
Commission, ``Salaries and Expenses'', specifying certain 
amounts for official reception and representation expenses.
    In addition, the bill provides the following administrative 
provisions:
    Section 301. Language is included permitting funds for 
salaries and expenses to be available for the employment of 
experts and consultant services as authorized by 5 U.S.C. 3109.
    Section 302. Language is included permitting up to five 
percent of any appropriation made available for fiscal year 
2018 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. Language is included allowing 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. Language is included allowing the delegation 
of authority to the Judiciary for contracts for repairs of less 
than $100,000 through fiscal year 2018.
    Section 305. Language is included allowing a court security 
pilot program.
    Section 306. Language is included requested by the Judicial 
Conference of the United States extending temporary judgeships 
in Arizona, California, Florida, Kansas, Missouri, New Mexico, 
North Carolina and Texas.
    Section 307. Language is included requested by the Judicial 
Conference of the United States extending temporary bankruptcy 
judgeships in Virginia, Michigan, Puerto Rico, Delaware, and 
Florida.

                     Title IV--District of Columbia

    Language is included under ``Federal Payment for Resident 
Tuition Support'', permitting the amount appropriated to remain 
available until expended; specifying conditions for the use, 
award, and financial accounting of funds; and requiring 
quarterly reports.
    Language is included under ``Federal Payment for Emergency 
Planning and Security Costs in the District of Columbia'', 
providing that the amount appropriated shall remain available 
until expended for providing public safety at events, including 
support of the United States Secret Service, and to respond to 
terrorist threats or attacks.
    Language is included under ``Federal Payment to the 
District of Columbia Courts'', authorizing official reception 
and representation expenses; specifying certain amounts for 
specific purposes; providing all amounts under this heading 
shall be apportioned quarterly by the Office of Management and 
Budget and obligated and expended in the same manner as funds 
appropriated for salaries and expenses of other Federal 
agencies; allowing funds made available for capital 
improvements to remain available until September 30, 2018; 
providing for the reallocation of funds and providing for 
certain payments.
    Language is included under ``Defender Services in the 
District of Columbia Courts'', providing that the amount 
appropriated shall remain available until expended; specifying 
who shall administer these funds; and providing that all 
amounts under this heading shall be apportioned quarterly by 
the Office of Management and Budget and obligated and expended 
in the same manner as funds appropriated for salaries and 
expenses of other Federal agencies; and that not more than 
$20,000,000 in unobligated funds provided in this account may 
be transferred to and merged with funds made available under 
the heading ``Federal Payment to District of Columbia Courts''.
    Language is included under ``Federal Payment to the Court 
Services and Offender Supervision Agency for the District of 
Columbia'', allowing the transfer and hire of motor vehicles; 
authorizing official reception and representation expenses; 
specifying certain amounts for specific purposes and programs; 
allowing $3,159,000 to remain available until September 30, 
2018; providing that all amounts under this heading shall be 
apportioned quarterly by the Office of Management and Budget 
and obligated and expended in the same manner as funds 
appropriated for salaries and expenses of other Federal 
agencies; allowing the use of programmatic incentives for 
offenders and defendants who successfully meet the terms of 
their supervision; authorizing the Director to accept, solicit 
and use on the behalf of the Agency any monetary or nonmonetary 
gift to support offenders and defendants successfully meeting 
terms of supervision; specifying for recording the acceptance 
of such gifts; and authorizing the acceptance and use of space 
and services on a cost reimbursable basis from the District of 
Columbia Government.
    Language is included under ``Federal Payment to District of 
Columbia Public Defender Service'', allowing the transfer and 
hire of motor vehicles; providing that all amounts under this 
heading shall be apportioned quarterly by the Office of 
Management and Budget and obligated and expended in the same 
manner as funds appropriated for salaries and expenses of other 
Federal agencies; and authorizing the acceptance and use of 
voluntary and uncompensated services to facilitate the work of 
the District of Columbia Public Defender Service.
    Language is included under ``Federal Payment to the 
Criminal Justice Coordinating Council'', specifying that the 
amount appropriated shall remain available until expended to 
support initiatives related to the coordination of Federal and 
local criminal justice resources.
    Language is included under ``Federal Payment for Judicial 
Commissions'', specifying certain amounts for certain 
commissions and allowing for appropriations to remain available 
until September 30, 2018.
    Language is included under ``Federal Payment for School 
Improvement'', allowing for appropriations to remain available 
until expended for payments authorized under the Scholarship 
for Opportunity and Results Act.
    Language is included under ``Federal Payment for the 
District of Columbia National Guard'', providing funds for the 
National Guard Retention and College Access Program to remain 
available until expended.
    Language is included under ``Federal Payment for Testing 
and Treatment of HIV/AIDS'' for testing and treatment.
    Language is included under ``District of Columbia Funds'': 
(1) providing funds as proposed in the Fiscal Year 2018 Budget 
Request Act of 2017 submitted to Congress by the District of 
Columbia; (2) limits the amount provided in this Act for the 
District of Columbia to the amount of the proposed budget or 
the sum of total revenues; (3) providing conditions for 
increasing the amount provided; and (4) directing the Chief 
Financial Officer to ensure the District of Columbia meets all 
requirements, but prohibits the reprogramming of capital 
projects.

                     Title V--Independent Agencies

    Language is included for the Administrative Conference of 
the United States, ``Salaries and Expenses'', providing for 
expenses, including official reception and representation and 
allowing funds to be available until September 30, 2019.
    Language is included for the Consumer Product Safety 
Commission, ``Salaries and Expenses'', that provides funds for 
expenses, the hire of motor vehicles, services as authorized by 
5 U.S.C. 3109 (with a limitation on rates for individuals), and 
official reception and representation expenses. Language is 
included that provides funds for the Virginia Graeme Baker Pool 
and Spa Safety Act grant program.
    The bill includes the following administrative provisions 
under the Consumer Product Safety Commission:
    Section 501. Language is included 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.
    Section 502. Language is included prohibiting funds to 
finalize any rule by the Consumer Product Safety Commission 
relating to blade-contact injuries on table saws.
    Language is included for the Election Assistance 
Commission, ``Salaries and Expenses'', that provides necessary 
funds to carry out the Help America Vote Act of 2002.
    Language is included under the Federal Communications 
Commission, ``Salaries and Expenses'', permitting funds for 
uniforms and allowances therefor, official reception and 
representation expenses, purchase and hire of motor vehicles, 
special counsel fees, and services as authorized by 5 U.S.C. 
3109. Language provides for the assessment and collection of 
offsetting collections, authorizes retention of such 
collections, and provides that they remain available until 
expended. Language prohibits the availability for obligation of 
excess collections. Language limits the use of proceeds from 
the use of a competitive bidding system. Language provides 
funding for the Office of Inspector General.
    Language is included for the Federal Deposit Insurance 
Corporation, ``Office of Inspector General'', that provides for 
the funds to be derived from the Deposit Insurance Fund, and 
the FSLIC Resolution Fund.
    Language is included for the Federal Election Commission, 
``Salaries and Expenses'', providing for expenses including 
official reception and representation.
    Language is included for the Federal Labor Relations 
Authority, ``Salaries and Expenses'', that provides funds for 
services authorized by 5 U.S.C. 3109, the hire of experts and 
consultants, hire of motor vehicles, reception and 
representation expenses and the rental of conference rooms; 
authorizes travel payments to public members of the Federal 
Service Impasses Panel; and allows for fees collected to be 
transferred to and merged with the appropriation.
    Language is included for the Federal Trade Commission, 
``Salaries and Expenses'', permitting funds for uniforms and 
allowances therefor, services authorized by 5 U.S.C. 3109, 
official reception and representation expenses, hire of motor 
vehicles, and contract for collection services. Language 
provides for the crediting and retention of certain fees. 
Language also prohibits funds from being used to implement 
subsection (e)(2)(B) of section 43 of the Federal Deposit 
Insurance Act.
    Language is included for the General Services 
Administration, ``Federal Buildings Fund'' that allows for 
revenues and collections to be spent from the Fund; specifies 
the conditions under which funds made available can be used; 
limits the availability of funds for certain purposes; 
specifies funding for construction and acquisition projects; 
specifies funding for special emphasis programs; provides for 
certain transfers of funds; requires spending plans; and 
prohibits excess funds from being available.
    Language is included for the General Services 
Administration, ``Government-wide Policy'', that provides funds 
for policy and evaluation activities associated with the 
management of real and personal property assets and certain 
administrative services; support responsibilities relating to 
acquisition, telecommunications, motor vehicles, information 
technology management, and related technology activities; and 
services authorized by 5 U.S.C. 3109.
    Language is included for the General Services 
Administration, ``Operating Expenses'' that provides funds for 
Government-wide activities associated with personal and real 
property disposal, and services authorized by 5 U.S.C. 3109; 
for expenses for activities associated with agency-wide policy 
direction and management; for necessary expenses of the 
Civilian Board of Contract Appeals; for official reception and 
representation; designates funds for certain purposes; and 
provides for certain transfers.
    Language is included for the General Services 
Administration, ``Office of Inspector General'' that makes 
certain funds available until expended and provides for awards 
in recognition of efforts that enhance the office. Language is 
included for services authorized by 5 U.S.C. 3109 and 
designates funds for information and detection of fraud.
    Language is included for the General Services 
Administration, ``Allowances and Office Staff for Former 
Presidents'', for carrying out the provisions of 3 U.S.C. 102 
note and Public Law 95-138.
    Language is included for the General Services 
Administration, ``Federal Citizen Services Fund'', that 
provides funds for the Office of Citizen Services and other 
information technology costs. Language is included allowing for 
certain transfers to the Federal Citizen Services Fund. 
Language is also included for the ``Federal Citizen Services 
Fund'' that authorizes funds to be deposited in the Fund and 
limits the availability of funds in the Fund.
    Language is included for the General Services 
Administration, ``Asset Proceeds and Space Management Fund'' 
for the purposes of carrying out actions pursuant to 
recommendations of the Public Buildings Reform Board focusing 
on civilian real property.
    Language is included for the General Services 
Administration, ``Environmental Review Improvement Fund'' for 
the authorized activities of the Environmental Review 
Improvement Fund and the Federal Permitting Improvement 
Steering Council.
    In addition, the bill includes the following administrative 
provisions under the General Services Administration (GSA):
    Section 510. Language is included providing authority for 
the use of funds for the hire of motor vehicles.
    Section 511. Language is included providing that funds made 
available for activities of the Federal Buildings Fund may be 
transferred between appropriations with advance approval of the 
Congress to apply to funds provided in prior appropriations 
Acts.
    Section 512. Language is included requiring funds proposed 
for developing courthouse construction requests to meet 
appropriate standards and the priorities of the Judicial 
Conference.
    Section 513. Language is included 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 514. Language is included permitting GSA to pay 
small claims (up to $250,000) made against the Federal 
Government.
    Section 515. Language is included 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.
    Section 516. Language is included requiring a spend plan 
for certain accounts and programs.
    Section 517. Language is included establishing the Asset 
Proceeds Space Management Fund as a fund separate from the 
Federal Buildings Fund.
    Section 518. Language is included rescinding prior year 
unobligated balances from the FBI Headquarters Consolidation 
project funded in Public Law 115-31.
    Section 519. Language is included requiring GSA to post 
certain draft environmental impact assessments on the GSA 
website.
    Language is included for the Harry S Truman Scholarship 
Foundation as established by section 10 of Public Law 93-642.
    Language is included for the Merit Systems Protection 
Board, ``Salaries and Expenses'', that provides funds for 
services authorized by 5 U.S.C. 3109, rental of conference 
rooms, hire of passenger motor vehicles, direct procurement of 
survey printing, official reception and representation 
expenses, specifies the period of availability for certain 
funds, provides for administration expenses to adjudicate 
retirement appeals, and provides for the transfer of some 
funds.
    Language is included for the National Archives and Records 
Administration, ``Operating Expenses'', that provides funds for 
uniforms or allowances therefor, as authorized by 5 U.S.C. 5901 
et seq., including maintenance, repairs, and cleaning, the hire 
of passenger motor vehicles, activities of the Public Interest 
Declassification Board, the review and declassification of 
documents, and the operations and maintenance of the electronic 
records archive.
    Language is included for the National Archives and Records 
Administration, ``Office of Inspector General'', that provides 
funds for the hire of motor vehicles.
    Language is included for the National Archives and Records 
Administration, ``Repairs and Restoration'', that provides 
funds for the repair, alteration, improvement, and provision of 
adequate storage; and provides that funds remain available 
until expended.
    Language is included under the National Archives and 
Records Administration, ``National Historical Publications and 
Records Commission Grants Program'', that provides funds for 
allocations and grants for historical publications and records; 
and provides that funds remain available until expended.
    Language is included under the National Credit Union 
Administration, ``Community Development Credit Union Revolving 
Loan Fund'', that provides funds for technical assistance and 
extends the availability of funds.
    Language is included under the Office of Government Ethics, 
``Salaries and Expenses'', that provides funds for services 
authorized by 5 U.S.C. 3109, rental of conference rooms, hire 
of passenger motor vehicles, and official reception and 
representation expenses.
    Language is included under the Office of Personnel 
Management, ``Salaries and Expenses'', that provides funds for 
services authorized by 5 U.S.C. 3109, medical examinations for 
veterans, rental of conference rooms, hire of passenger motor 
vehicles, official reception and representation expenses, 
advances for reimbursements, payment of per diem or subsistence 
allowances, and the transfer of administrative expenses; 
directs that provisions shall not affect other authorities; 
prohibits funds for the Legal Examining Unit; and authorizes 
the acceptance of donations under certain conditions. Language 
is also included specifying the period of availability for 
certain funds and requiring a report on information technology.
    Language is included for the Office of Personnel 
Management, Office of Inspector General, ``Salaries and 
Expenses'', that provides funds for services authorized by 5 
U.S.C. 3109, hire of passenger motor vehicles, rental of 
conference rooms, and a transfer for administrative expenses.
    Language is included for the Office of Special Counsel, 
``Salaries and Expenses'', that provides funds for services 
authorized by 5 U.S.C. 3109, payment of fees and expenses for 
witnesses, rental of conference rooms, and the hire of 
passenger motor vehicles.
    Language is included for the Postal Regulatory Commission, 
``Salaries and Expenses'', that provides for transfer of funds 
from the Postal Service Fund.
    Language is included for the Privacy and Civil Liberties 
Oversight Board, ``Salaries and Expenses'', that provides funds 
authorized by section 1061 of 42 U.S.C. 2000ee.
    Language is included for the Public Buildings Reform Board, 
``Salaries and Expenses, that provides funds for carrying out 
the Federal Assets Sale and Transfer Act of 2016 (P.L. 114-
287).
    Language is included for the Securities and Exchange 
Commission, ``Salaries and Expenses'', that provides for rental 
of space, services, reception and representation expenses, a 
permanent secretariat for the International Organization of 
Securities Commissions, and consultations and meetings hosted 
by the Commission. Language is included designating funds for 
information technology initiatives and the economics division. 
Language is included that provides for the crediting of 
offsetting collections. Language provides for the assessment 
and collection of offsetting collections, authorizes retention 
of such collections, and provides that they remain available 
until expended.
    Language is included for the Selective Service System, 
``Salaries and Expenses'', that provides funds for attendance 
of meetings, training, hire of passenger motor vehicles, 
services authorized by 5 U.S.C. 3109, and official reception 
and representation expenses; authorizes certain exemptions 
under certain conditions; and prohibits funds used in 
connection with the induction of any person into the Armed 
Forces of the United States.
    Language is included for the Small Business Administration, 
``Salaries and Expenses'', that provides for hire of motor 
vehicles and official reception and representation expenses. 
Language is also included to provide authority to charge fees 
and credit such fees to the account without further 
appropriation. Language is also included designating funds for 
lender oversight. Language is also included for the Loan 
Modernization and Accounting System and co-sponsor activities.
    Language is included for the Small Business Administration, 
``Entrepreneurial Development Programs'', that provides for 
supporting entrepreneurial and small business development grant 
programs. Language is included extending the availability of 
funds.
    Language is included for the Small Business Administration, 
``Office of Inspector General'', that provides funds to carry 
out the provisions of the Inspector General Act of 1978.
    Language is included for the Small Business Administration, 
``Office of Advocacy'', that provides funds to carry out the 
provisions of the Independent Office of Advocacy Act of 2003 
and the Regulatory Flexibility Act of 1980 and allows funds to 
remain available until expended.
    Language is included for the Small Business Administration, 
``Business Loans Program Account'', limiting commitments for 
certain guaranteed loan programs and for providing for the cost 
of direct loans and guaranteed loans. Language is also included 
authorizing the transfer of funds to ``Salaries and Expenses'' 
for administrative expenses.
    Language is included for the Small Business Administration 
``Disaster Loan Program Account'', that provides for 
administrative expenses, the transfer of funds to the ``Office 
of Inspector General'' and to ``Salaries and Expenses'' and 
allows funds to remain available until expended.
    Section 520 allows for the transfer of funds between Small 
Business Administration appropriations.
    Section 521 rescinds prior year unobligated balances.
    Section 522 amends requirements for the Microloan program.
    Language is included for the United States Postal Service, 
``Payment to the Postal Service Fund'', that provides funds for 
revenue forgone; stipulates that mail for overseas voting and 
mail for the blind is free; provides that 6-day delivery shall 
continue at not less than the 1983 level; prohibits funds in 
this Act from being used to charge a fee to a child support 
enforcement agency seeking the address of a postal customer; 
prohibits funds from being used to consolidate or close small 
rural and other small post offices; and requires the Postal 
Service to maintain and comply with service standards for First 
Class Mail and periodicals effective on July 1, 2012.
    Language is included for the United States Postal Service, 
``Office of Inspector General'', that provides for transfer 
from the Postal Service Fund.
    Language is included for the United States Tax Court, 
``Salaries and Expenses'', that provides funds for contract 
reporting and services authorized by 5 U.S.C. 3109, and that 
travel expenses of the judges shall be paid upon the written 
certificate of the judge.

                 Title VI--General Provisions--This Act

    In addition, the bill provides the following provisions 
under this title:
    Section 601. Language is included prohibiting pay and other 
expenses for non-Federal parties in regulatory or adjudicatory 
proceedings funded in this Act.
    Section 602. Language is included prohibiting obligations 
beyond the current fiscal year and prohibits transfers of funds 
unless expressly so provided herein.
    Section 603. Language is included limiting procurement 
contracts for consulting service expenditures to contracts that 
are matters of public record and available for public 
inspection.
    Section 604. Language is included prohibiting transfer of 
funds in this Act without express authority.
    Section 605. Language is included prohibiting the use of 
funds to engage in activities that would prohibit the 
enforcement of section 307 of the 1930 Tariff Act.
    Section 606. Language is included concerning compliance 
with the Buy American Act.
    Section 607. Language is included prohibiting the use of 
funds by any person or entity convicted of violating the Buy 
American Act.
    Section 608. Language is included 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 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. Language is included providing that fifty 
percent of unobligated balances may remain available for 
certain purposes.
    Section 610. Language is included 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. Language is included regarding cost accounting 
standards for contracts under the Federal Employee Health 
Benefits Program.
    Section 612. Language is included regarding non-foreign 
area cost of living allowances.
    Section 613. Language is included prohibiting the 
expenditure of funds for abortion under the Federal Employees 
Health Benefits program.
    Section 614. Language is included 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. Language is included 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. Language is included 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. Language is included 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. Language is included 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. Language is included 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, 
$167,000,000 for the Judicial Retirement Funds (Judicial 
Officers' Retirement Fund, Judicial Survivors' Annuities Fund, 
and the United States Court of Federal Claims Judges' 
Retirement Fund), $13,202,000,000 for the Government Payment 
for Annuitants, Employee Health Benefits, $48,000,000 for the 
Government Payment for Annuitants, Employee Life Insurance, and 
$8,365,000,000 for the Payment to the Civil Service Retirement 
and Disability Fund.
    Section 620. Language is included prohibiting funds for the 
Federal Trade Commission to complete or publish the study, 
recommendations, or report prepared by the Interagency Working 
Group on Food Marketed to Children.
    Section 621. Language is included preventing conflicts of 
interest by prohibiting contractor security clearance related 
background investigators from undertaking final Federal reviews 
of their own work.
    Section 622. Language is included requiring that the head 
of any executive branch agency ensure that the Chief 
Information Officer (CIO) has authority to participate in the 
budget planning process and approval of the information 
technology (IT) budget.
    Section 623. Language is included prohibiting funds in 
contravention of the Federal Records Act.
    Section 624. Language is included prohibiting agencies from 
requiring Internet Service Providers (ISPs) to disclose 
electronic communications information in a manner that violates 
the Fourth Amendment.
    Section 625. Language is included prohibiting funds to be 
used to deny inspectors general access to records.
    Section 626. Language is included 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 627. Language is included to clarify the period of 
time offered to the victims of the OPM security breaches that 
occurred in 2015.
    Section 628. Language is included permanently rescinding 
the unobligated balance in the Securities and Exchange 
Commission Reserve Fund established by section 991 of the Dodd-
Frank Wall Street Reform and Consumer Protection Act (Public 
Law 111-203).
    Section 629. Language is included 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 630. Language is included repealing the Federal 
Election Commission's prior approval requirement for corporate 
member trade association PACs.
    Section 631. Language is included 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.
    Section 632. Language is included prohibiting funds to 
require public electronic communications providers or remote 
computing services to disclose the contents of a wire or 
electronic communication unless required by a court warrant.
    Section 633. The Committee includes a new provision which 
defines a pyramid promotional scheme, and limits funds to 
enforcement actions under the definition.

             Title VII--General Provisions--Government-Wide

    In addition, the bill provides the following provisions 
under this title:
    Section 701. Language is included 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. Language is included establishing price 
limitations on vehicles to be purchased by the Federal 
Government with certain exceptions.
    Section 703. Language is included allowing funds made 
available to agencies for travel to also be used for quarters 
allowances and cost-of-living allowances.
    Section 704. Language is included prohibiting the 
employment of noncitizens with certain exceptions.
    Section 705. Language is included giving agencies the 
authority to pay General Services Administration bills for 
space renovation and other services.
    Section 706. Language is included 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. Language is included 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. Language is included prohibiting interagency 
financing of groups absent prior statutory approval.
    Section 709. Language is included prohibiting the use of 
funds for enforcing regulations disapproved in accordance with 
the applicable law of the U.S.
    Section 710. Language is included limiting the amount of 
funds that can be used for redecoration of offices under 
certain circumstances.
    Section 711. Language is included allowing for interagency 
funding of national security and emergency telecommunications 
initiatives.
    Section 712. Language is included 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. Language is included prohibiting the payment 
of any employee who prohibits, threatens or prevents another 
employee from communicating with Congress.
    Section 714. Language is included prohibiting Federal 
training not directly related to the performance of official 
duties.
    Section 715. Language is included 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. Language is included prohibiting any Federal 
agency from disclosing an employee's home address to any labor 
organization, absent employee authorization or court order.
    Section 717. Language is included 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. Language is included prohibiting the use of 
funds for propaganda and publicity purposes not authorized by 
Congress.
    Section 719. Language is included directing agency 
employees to use official time in an honest effort to perform 
official duties.
    Section 720. Language is included allowing the use of funds 
to finance an appropriate share of the Federal Accounting 
Standards Advisory Board.
    Section 721. Language is included allowing 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. Language is included permitting breast feeding 
in a Federal building or on Federal property if the woman and 
child are authorized to be there.
    Section 723. Language is included permitting 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. Language is included requiring documents 
involving the distribution of Federal funds to indicate the 
agency providing the funds and the amount provided.
    Section 725. Language is included 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. Language is included requiring health plans 
participating in the Federal Employees Health Benefits Program 
to provide contraceptive coverage and provides exemptions to 
certain religious plans.
    Section 727. Language is included supporting strict 
adherence to anti-doping activities.
    Section 728. Language is included 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. Language is included restricting the use of 
funds for Federal law enforcement training facilities.
    Section 730. Language is included prohibiting 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 that 
news story that the prepackaged news story was prepared or 
funded by that executive branch agency.
    Section 731. Language is included prohibiting use of funds 
in contravention of section 552a of title 5, United States Code 
(the Privacy Act) and regulations implementing that section.
    Section 732. Language is included prohibiting funds from 
being used for any Federal Government contract with any foreign 
incorporated entity which is treated as an inverted domestic 
corporation.
    Section 733. Language is included 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 734. Language is included prohibiting funds to 
require any entity submitting an offer for a Federal contract 
or participating in an acquisition to disclose political 
contributions.
    Section 735. Language is included 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 736. Language is included limiting the pay 
increases of certain prevailing rate employees.
    Section 737. Language is included requiring agencies to 
submit reports to Inspectors General concerning expenditures 
for agency conferences.
    Section 738. Language is included 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 739. Language is included prohibiting agencies from 
using funds to implement regulations changing the competitive 
areas under reductions-in-force for Federal employees.
    Section 740. Language is included ensuring contractors are 
not prevented from reporting waste, fraud, or abuse by signing 
confidentiality agreements that would prohibit such disclosure.
    Section 741. Language is included prohibiting the 
expenditure of funds for the implementation of certain 
nondisclosure agreements unless certain provisions are included 
in the agreements.
    Section 742. Language is included 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 743. Language is included 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 744. Language is included requiring the Bureau of 
Consumer Financial Protection to notify certain Committees of 
requests for a transfer of funds from the Federal Reserve 
System and to post any such notifications on the Bureau's 
website.
    Section 745. Language is included prohibiting funds from 
implementing, administering, carrying out, modifying, revising, 
or enforcing Executive Order 13690.
    Section 746. Language is included allowing those 
individuals authorized to be employed under the Deferred Action 
for Childhood Arrivals program to be eligible for employment by 
the federal government.
    Section 747. Language is included concerning the non-
application of these general provisions to title IV and to 
title VIII.

          Title VIII--General Provisions--District of Columbia

    In addition, the bill provides the following provisions 
under this title:
    Section 801. Language is included that appropriates funds 
for refunding overpayments of taxes collected and for paying 
settlements and judgments against the District of Columbia 
government.
    Section 802. Language is included prohibiting the use of 
Federal funds for publicity or propaganda purposes.
    Section 803. Language is included establishing 
reprogramming procedures for Federal and local funds.
    Section 804. Language is included prohibiting the use of 
Federal funds to provide salaries or other costs associated 
with the offices of United States Senator or Representative.
    Section 805. Language is included restricting the use of 
official vehicles to official duties.
    Section 806. Language is included 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. Language is included prohibiting the use of 
Federal funds for needle exchange programs.
    Section 808. Language is included providing for a 
``conscience clause'' on legislation that pertains to 
contraceptive coverage by health insurance plans.
    Section 809. Language is included 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. Language is included prohibiting 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. Language is included 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. Language is included 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. Language is included allowing the transfer of 
local funds and capital and enterprise funds.
    Section 814. Language is included prohibiting the 
obligation of Federal funds beyond the current fiscal year and 
transfers of funds unless expressly provided herein.
    Section 815. Language is included providing that not to 
exceed 50 percent of unobligated balances from Federal 
appropriations for salaries and expenses may remain available 
for certain purposes.
    Section 816. Language is included appropriating local funds 
during fiscal year 2019 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 2018.
    Section 817. Language is included repealing the Local 
Budget Autonomy Amendment Act of 2012.
    Section 818. Language is included prohibiting funds to 
enact any act, resolution, rule, regulation, guidance, or other 
law to permit any person to carry out any activity, or to 
reduce the penalties imposed with respect to any activity to 
which subsection (a) of section 3 of the Assisted Suicide 
Funding Restriction Act of 1997 applies, and repeals with Death 
with Dignity Act of 2016.
    Section 819. Language is included limiting references to 
``this Act'' as referring to only this title and title IV.

                        Title IX--Other Matters

    Language is included from H.R. 10, the Financial CHOICE 
Act, as passed by the House of Representatives on June 8, 2017.

               Title X--Financial Institution Bankruptcy

    Language is included from H.R. 1667, the Financial 
Institution Bankruptcy Act of 2017, as passed by the House of 
Representatives on April 5, 2017.

                  Appropriations Not Authorized by Law

    Pursuant to clause 3(f)(1)(B) of rule XIII of the Rules of 
the House of Representatives, the following table lists the 
appropriations in the accompanying bill which are not 
authorized by law for the period concerned:

                                             [Dollars in thousands]
----------------------------------------------------------------------------------------------------------------
                                                                                   Appropriation
                                                   Last Year of    Authorization   in Last Year   Appropriations
                     Account                       Authorization       Level            of         in this bill
                                                                                   Authorization
----------------------------------------------------------------------------------------------------------------
Title I--Department of the Treasury
    Departmental Offices........................             n/a             n/a             n/a         201,751
    Office of Terrorism and Financial                        n/a             n/a             n/a         123,000
     Intelligence...............................
    Cybersecurity Enhancement Account...........             n/a             n/a             n/a          27,264
    Department-Wide Systems and Capital                     1997  ..............  ..............           3,077
     Investments Program........................
    Office of Inspector General.................  ..............  ..............  ..............          34,112
    Treasury Inspector General for Tax                       n/a             n/a             n/a         165,113
     Administration.............................
    Special Inspector General for the Troubles    ..............  ..............  ..............          37,044
     Asset Relief Program.......................
    Financial Crimes Enforcement Network........            2013         100,419         111,788         115,003
    Bureau of the Fiscal Service................             n/a             n/a             n/a         330,837
    Alcohol and Trade Tax and Trade Bureau......             n/a             n/a             n/a         111,439
    Community Development and Financial                     1998         111,000          45,000         190,000
     Institutions Fund..........................
    Internal Revenue Service:
        Taxpayer Services.......................             n/a             n/a             n/a       2,315,754
        Enforcement.............................             n/a             n/a             n/a       4,810,000
        Operations Support......................             n/a             n/a             n/a       3,850,189
        Business Systems Modernization..........             n/a             n/a             n/a         110,000
Title II--Executive Office of the President
    Office of Managment and Budget Policy.......            2003         various          61,988         100,000
        Salaries and Expenses...................            2010             n/a          29,575          18,400
        High Intensity Drug Trafficking Areas...            2011         280,000         238,522         254,000
        Other Federal Drug Control Programs.....         various         various         105,550         108,843
        Information Technology Oversight and                 n/a             n/a             n/a          20,000
         Reform.................................
Title IV--District of Columbia
    Federal Payment for Resident Tuition Support            2012       such sums          30,000          30,000
    Federal Payment for the Judicial Commissions             n/a             n/a             n/a             565
    Federal Payment for School Improvement......            2016          60,000          45,000          45,000
    Federal Payment for the DC National Guard...             n/a             n/a             n/a             435
    Federal Payment for Testing and Treatment of             n/a             n/a             n/a           5,000
     HIV/AIDS...................................
Title V--Independent Agencies
    Administrative Conference of the United                 2011           3,200           2,750           3,100
     States.....................................
    Consumer Safety Product Commission..........            2014         136,409         118,000         123,000
    Election Assistance Commission..............            2005             n/a          13,888           7,000
    Federal Communications Commission...........            1991       such sums         115,794         322,035
    Federal Election Commission.................            1981           9,400           9,662          71,250
    Federal Trade Commission....................            1998         111,000         106,500         306,317
    General Services Administration:
        Government-wide Policy..................             n/a             n/a             n/a          53,499
        Operating Expenses......................             n/a             n/a             n/a          46,645
        Federal Citizen Services Fund...........             n/a             n/a             n/a          53,741
        Merit Systems Protection Board..........            2007       such sums          29,110          46,835
        National Historical Public Records                  2009          10,000          11,250           4,000
         Commission.............................
        Office of Government Ethics.............            2007       such sums          11,148          16,439
        Office of Special Counsel...............            2007       such sums          15,524          24,750
        Securities and Exchange Commission......            2015       2,250,000       1,500,000       1,896,507
----------------------------------------------------------------------------------------------------------------

                 Comparison With the Budget Resolution

    Pursuant to clause 3(c)(2) of rule XIII of the Rules of the 
House of Representatives and Section 308(a)(1)(A) of the 
Congressional Budget Act of 1974, the following table compares 
the levels of new budget authority provided in the bill with 
the appropriate allocations under section 302(b) of the Budget 
Act:

 BUDGETARY IMPACT OF FINANCIAL SERVICES AND GENERAL GOVERNMENT APPROPRIATIONS ACT, 2018 (AS ORDER REPORTED ON 14
JULY 2017)--PREPARED IN CONSULTATION WITH THE CONGRESSIONAL BUDGET OFFICE PURSUANT TO SEC. 308(a), PUBLIC LAW 93-
                                                 344, AS AMENDED
                                            [In millions of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                  302(b) Allocation             This Bill
                                                             ---------------------------------------------------
                                                                 Budget                    Budget
                                                               Authority     Outlays     Authority     Outlays
----------------------------------------------------------------------------------------------------------------
Comparison of amounts in the bill with Committee allocations
 to its subcommittees: Subcommittee on Financial Services
    Mandatory...............................................  ...........  ...........       22,388    \1\22,380
    Discretionary...........................................  ...........  ...........       20,231       22,487
        General Purpose.....................................         n.a.         n.a.  ...........  ...........
        Overseas Contingency................................         n.a.         n.a.  ...........  ...........
----------------------------------------------------------------------------------------------------------------
\1\Includes outlays from prior-year budget authority.
n.a.: not applicable.

                      Five-Year Outlay Projections

    Pursuant to section 308(a)(1)(B) of the Congressional 
Budget Act of 1974, the following table contains five-year 
projections prepared by the Congressional Budget Office of 
outlays associated with the budget authority provided in the 
accompanying bill, as provided to the Committee by the 
Congressional Budget Office:

                                            [In millions of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                  302(b) Allocation             This Bill
                                                             ---------------------------------------------------
                                                                 Budget                    Budget
                                                               Authority     Outlays     Authority     Outlays
----------------------------------------------------------------------------------------------------------------
Projection of outlays associated with the recommendation:
    2018....................................................         n.a.         n.a.         n.a.    \1\39,053
    2019....................................................         n.a.         n.a.         n.a.        1,758
    2020....................................................         n.a.         n.a.         n.a.       -1,623
    2021....................................................         n.a.         n.a.         n.a.       -1,890
    2022 and future years...................................         n.a.         n.a.         n.a.      -12,294
----------------------------------------------------------------------------------------------------------------
\1\Excludes outlays from prior-year budget authority.
n.a.: not applicable.

               Assistance to State and Local Governments

    Pursuant to section 308(a)(1)(C) of the Congressional 
Budget Act of 1974, the amounts of financial assistance to 
State and local governments is as follows:

----------------------------------------------------------------------------------------------------------------
                                                                  302(b) Allocation             This Bill
                                                             ---------------------------------------------------
                                                                 Budget                    Budget
                                                               Authority     Outlays     Authority     Outlays
----------------------------------------------------------------------------------------------------------------
Financial assistance to State and local governments for 2018         n.a.         n.a.          663       \1\160
----------------------------------------------------------------------------------------------------------------
\1\Excludes outlays from prior-year budget authority.
n.a.: not applicable.

                          Program Duplication

    No provision of this bill establishes or reauthorizes a 
program of the Federal Government known to be duplicative of 
another Federal program, a program that was included in any 
report from the Government Accountability Office to Congress 
pursuant to section 21 of Public Law 111-139, or a program 
related to a program identified in the most recent Catalog of 
Federal Domestic Assistance.

                          Directed Rule Making

    The bill does not direct any rule making.

      Comparative Statement of New Budget (Obligational) Authority

    The following table provides a detailed summary, for each 
Department and agency, comparing the amounts recommended in the 
bill with amounts enacted for fiscal year 2017 and budget 
estimates presented for fiscal year 2018.


          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):

          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):

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 [26 years and 6 months] 27 
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 [24 years and 6 
months] 25 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 northern district of Alabama, the 
        central district of California, and the western 
        district of North Carolina, occurring [15 years] 16 
        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 district of Alabama occurring 15 
        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. The first vacancy in the office of district 
        judge in the central district of California occurring 
        [14 years and 6 months] 15 years and six 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 [13 years] 
        14 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.

           *       *       *       *       *       *       *

                              ----------                              


TEMPORARY BANKRUPTCY JUDGESHIPS EXTENSION ACT OF 2012

           *       *       *       *       *       *       *



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), (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] 7 years after the date of the 
                        enactment of this Act,
                          (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
                          (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 [6 years] 7 
                        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] 7 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] 7 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] 7 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).

           *       *       *       *       *       *       *

                              ----------                              


FEDERAL ASSETS SALE AND TRANSFER ACT OF 2016

           *       *       *       *       *       *       *



SEC. 16. FUNDING.

  (a) Salaries and Expenses Account.--
          (1) Establishment.--There is established in the 
        Treasury of the United States an account to be known as 
        the ``Public Buildings Reform Board Salaries and 
        Expenses Account'' (in this subsection referred to as 
        the ``Account''). The Account shall be under the 
        custody and control of the Chairperson of the Board and 
        deposits in the Account shall remain available until 
        expended.
          (2) Necessary payments.--There shall be deposited 
        into the Account such amounts, as are provided in 
        appropriations Acts, for those necessary payments for 
        salaries and expenses to accomplish the administrative 
        needs of the Board.
  (b) Asset Proceeds and Space Management Fund.--
          [(1) Establishment.--There is established within the 
        Federal Buildings Fund established under section 592 of 
        title 40, United States Code, an account to be known as 
        the Public Buildings Reform Board--Asset Proceeds and 
        Space Management Fund (in this subsection referred to 
        as the ``Fund'').]
          (1) Establishment.--There is established in the 
        Treasury of the United States an account to be known as 
        the ``Public Buildings Reform Board - Asset Proceeds 
        and Space Management Fund'' (in this subsection 
        referred to as the ``Fund''). The Fund shall be under 
        the custody and control of the Administrator of General 
        Services and deposits in the Fund shall remain 
        available until expended.
          (2) Use of amounts.--Amounts in the Fund shall be 
        used solely for the purposes of carrying out actions 
        pursuant to the Board recommendations approved under 
        section 13.
          (3) Deposits.--The following amounts shall be 
        deposited into the Fund and made available for 
        obligation or expenditure only as provided in advance 
        in appropriations Acts (subject to section 3307 of 
        title 40, United States Code, to the extent an 
        appropriation normally covered by that section exceeds 
        $20,000,000) for the purposes specified:
                  (A) Such amounts as are provided in 
                appropriations Acts, to remain available until 
                expended, for the consolidation, co-location, 
                exchange, redevelopment, reconfiguration of 
                space, disposal, and other actions recommended 
                by the Board for Federal agencies.
                  (B) Amounts received from the sale of any 
                civilian real property action taken pursuant to 
                a recommendation of the Board.
          (4) Use of amounts to cover costs.--As provided in 
        appropriations Acts, amounts in the Fund may be made 
        available to cover necessary costs associated with 
        implementing the recommendations pursuant to section 
        14, including costs associated with--
                  (A) sales transactions;
                  (B) acquiring land, construction, 
                constructing replacement facilities, and 
                conducting advance planning and design as may 
                be required to transfer functions from a 
                Federal asset or property to another Federal 
                civilian property;
                  (C) co-location, redevelopment, disposal, and 
                reconfiguration of space; and
                  (D) other actions recommended by the Board 
                for Federal agencies.
  (c) Additional Requirement for Budget Contents.--The 
President shall transmit along with the President's budget 
submitted pursuant to section 1105 of title 31, United States 
Code, an estimate of proceeds that are the result of the 
Board's recommendations and the obligations and expenditures 
needed to support such recommendations.

           *       *       *       *       *       *       *

                              ----------                              


SMALL BUSINESS ACT

           *       *       *       *       *       *       *


  Sec. 7. (a) Loans to Small Business Concerns; Allowable 
Purposes; Qualified Business; Restrictions and Limitations.--
The Administration is empowered to the extent and in such 
amounts as provided in advance in appropriation Acts to make 
loans for plant acquisition, construction, conversion, or 
expansion, including the acquisition of land, material, 
supplies, equipment, and working capital, and to make loans to 
any qualified small business concern, including those owned by 
qualified Indian tribes, for purposes of this Act. Such 
financings may be made either directly or in cooperation with 
banks or other financial institutions through agreements to 
participate on an immediate or deferred (guaranteed) basis. 
These powers shall be subject, however, to the following 
restrictions, limitations, and provisions:
          (1) In general.--
                  (A) Credit elsewhere.--
                          (i) In general.--No financial 
                        assistance shall be extended pursuant 
                        to this subsection if the applicant can 
                        obtain credit elsewhere. No immediate 
                        participation may be purchased unless 
                        it is shown that a deferred 
                        participation is not available; and no 
                        direct financing may be made unless it 
                        is shown that a participation is not 
                        available.
                          (ii) Liquidity.--On and after October 
                        1, 2015, the Administrator may not 
                        guarantee a loan under this subsection 
                        if the lender determines that the 
                        borrower is unable to obtain credit 
                        elsewhere solely because the liquidity 
                        of the lender depends upon the 
                        guaranteed portion of the loan being 
                        sold on the secondary market.
                  (B) Background checks.--Prior to the approval 
                of any loan made pursuant to this subsection, 
                or section 503 of the Small Business Investment 
                Act of 1958, the Administrator may verify the 
                applicant's criminal background, or lack 
                thereof, through the best available means, 
                including, if possible, use of the National 
                Crime Information Center computer system at the 
                Federal Bureau of Investigation.
                  (C) Lending limits of lenders.--On and after 
                October 1, 2015, the Administrator may not 
                guarantee a loan under this subsection if the 
                sole purpose for requesting the guarantee is to 
                allow the lender to exceed the legal lending 
                limit of the lender.
          (2) Level of participation in guaranteed loans.--
                  (A) In general.--Except as provided in 
                subparagraphs (B), (D), and (E), in an 
                agreement to participate in a loan on a 
                deferred basis under this subsection (including 
                a loan made under the Preferred Lenders 
                Program), such participation by the 
                Administration shall be equal to--
                          (i) 75 percent of the balance of the 
                        financing outstanding at the time of 
                        disbursement of the loan, if such 
                        balance exceeds $150,000; or
                          (ii) 85 percent of the balance of the 
                        financing outstanding at the time of 
                        disbursement of the loan, if such 
                        balance is less than or equal to 
                        $150,000.
                  (B) Reduced participation upon request.--
                          (i) In general.--The guarantee 
                        percentage specified by subparagraph 
                        (A) for any loan under this subsection 
                        may be reduced upon the request of the 
                        participating lender.
                          (ii) Prohibition.--The Administration 
                        shall not use the guarantee percentage 
                        requested by a participating lender 
                        under clause (i) as a criterion for 
                        establishing priorities in approving 
                        loan guarantee requests under this 
                        subsection.
                  (C) Interest rate under preferred lenders 
                program.--
                          (i) In general.--The maximum interest 
                        rate for a loan guaranteed under the 
                        Preferred Lenders Program shall not 
                        exceed the maximum interest rate, as 
                        determined by the Administration, 
                        applicable to other loans guaranteed 
                        under this subsection.
                          (ii) Export-import bank lenders.--Any 
                        lender that is participating in the 
                        Delegated Authority Lender Program of 
                        the Export-Import Bank of the United 
                        States (or any successor to the 
                        Program) shall be eligible to 
                        participate in the Preferred Lenders 
                        Program.
                          (iii) Preferred lenders program 
                        defined.--For purposes of this 
                        subparagraph, the term ``Preferred 
                        Lenders Program'' means any program 
                        established by the Administrator, as 
                        authorized under the proviso in section 
                        5(b)(7), under which a written 
                        agreement between the lender and the 
                        Administration delegates to the 
                        lender--
                                  (I) complete authority to 
                                make and close loans with a 
                                guarantee from the 
                                Administration without 
                                obtaining the prior specific 
                                approval of the Administration; 
                                and
                                  (II) complete authority to 
                                service and liquidate such 
                                loans without obtaining the 
                                prior specific approval of the 
                                Administration for routine 
                                servicing and liquidation 
                                activities, but shall not take 
                                any actions creating an actual 
                                or apparent conflict of 
                                interest.
                  (D) Participation under export working 
                capital program.--In an agreement to 
                participate in a loan on a deferred basis under 
                the Export Working Capital Program established 
                pursuant to paragraph (14)(A), such 
                participation by the Administration shall be 90 
                percent.
                  (E) Participation in international trade 
                loan.--In an agreement to participate in a loan 
                on a deferred basis under paragraph (16), the 
                participation by the Administration may not 
                exceed 90 percent.
          (3) No loan shall be made under this subsection--
                  (A) if the total amount outstanding and 
                committed (by participation or otherwise) to 
                the borrower from the business loan and 
                investment fund established by this Act would 
                exceed $3,750,000 (or if the gross loan amount 
                would exceed $5,000,000), except as provided in 
                subparagraph (B);
                  (B) if the total amount outstanding and 
                committed (on a deferred basis) solely for the 
                purposes provided in paragraph (16) to the 
                borrower from the business loan and investment 
                fund established by this Act would exceed 
                $4,500,000 (or if the gross loan amount would 
                exceed $5,000,000), of which not more than 
                $4,000,000 may be used for working capital, 
                supplies, or financings under section 7(a)(14) 
                for export purposes; and
                  (C) if effected either directly or in 
                cooperation with banks or other lending 
                institutions through agreements to participate 
                on an immediate basis if the amount would 
                exceed $350,000.
          (4) Interest rates and prepayment charges.--
                  (A) Interest rates.--Notwithstanding the 
                provisions of the constitution of any State or 
                the laws of any State limiting the rate or 
                amount of interest which may be charged, taken, 
                received, or reserved, the maximum legal rate 
                of interest on any financing made on a deferred 
                basis pursuant to this subsection shall not 
                exceed a rate prescribed by the Administration, 
                and the rate of interest for the 
                Administration's share of any direct or 
                immediate participation loan shall not exceed 
                the current average market yield on outstanding 
                marketable obligations of the United States 
                with remaining periods to maturity comparable 
                to the average maturities of such loans and 
                adjusted to the nearest one-eighth of 1 per 
                centum, and an additional amount as determined 
                by the Administration, but not to exceed 1 per 
                centum per annum: Provided, That for those 
                loans to assist any public or private 
                organization for the handicapped or to assist 
                any handicapped individual as provided in 
                paragraph (10) of this subsection, the interest 
                rate shall be 3 per centum per annum.
                  (B) Payment of accrued interest.--
                          (i) In general.--Any bank or other 
                        lending institution making a claim for 
                        payment on the guaranteed portion of a 
                        loan made under this subsection shall 
                        be paid the accrued interest due on the 
                        loan from the earliest date of default 
                        to the date of payment of the claim at 
                        a rate not to exceed the rate of 
                        interest on the loan on the date of 
                        default, minus one percent.
                          (ii) Loans sold on secondary 
                        market.--If a loan described in clause 
                        (i) is sold on the secondary market, 
                        the amount of interest paid to a bank 
                        or other lending institution described 
                        in that clause from the earliest date 
                        of default to the date of payment of 
                        the claim shall be no more than the 
                        agreed upon rate, minus one percent.
                          (iii) Applicability.--Clauses (i) and 
                        (ii) shall not apply to loans made on 
                        or after October 1, 2000.
                  (C) Prepayment charges.--
                          (i) In general.--A borrower who 
                        prepays any loan guaranteed under this 
                        subsection shall remit to the 
                        Administration a subsidy recoupment fee 
                        calculated in accordance with clause 
                        (ii) if--
                                  (I) the loan is for a term of 
                                not less than 15 years;
                                  (II) the prepayment is 
                                voluntary;
                                  (III) the amount of 
                                prepayment in any calendar year 
                                is more than 25 percent of the 
                                outstanding balance of the 
                                loan; and
                                  (IV) the prepayment is made 
                                within the first 3 years after 
                                disbursement of the loan 
                                proceeds.
                          (ii) Subsidy recoupment fee.--The 
                        subsidy recoupment fee charged under 
                        clause (i) shall be--
                                  (I) 5 percent of the amount 
                                of prepayment, if the borrower 
                                prepays during the first year 
                                after disbursement;
                                  (II) 3 percent of the amount 
                                of prepayment, if the borrower 
                                prepays during the second year 
                                after disbursement; and
                                  (III) 1 percent of the amount 
                                of prepayment, if the borrower 
                                prepays during the third year 
                                after disbursement.
          (5) No such loans including renewals and extensions 
        thereof may be made for a period or periods exceeding 
        twenty-five years, except that such portion of a loan 
        made for the purpose of acquiring real property or 
        constructing, converting, or expanding facilities may 
        have a maturity of twenty-five years plus such 
        additional period as is estimated may be required to 
        complete such construction, conversion, or expansion.
          (6) All loans made under this subsection shall be of 
        such sound value or so secured as reasonably to assure 
        repayment: Provided, however, That--
                  (A) for loans to assist any public or private 
                organization or to assist any handicapped 
                individual as provided in paragraph (10) of 
                this subsection any reasonable doubt shall be 
                resolved in favor of the applicant;
                  (B) recognizing that greater risk may be 
                associated with loans for energy measures as 
                provided in paragraph (12) of this subsection, 
                factors in determining ``sound value'' shall 
                include, but not be limited to, quality of the 
                product or service; technical qualifications of 
                the applicant or his employees; sales 
                projections; and the financial status of the 
                business concern: Provided further, That such 
                status need not be as sound as that required 
                for general loans under this subsection; and
        On that portion of the loan used to refinance existing 
        indebtedness held by a bank or other lending 
        institution, the Administration shall limit the amount 
        of deferred participation to 80 per centum of the 
        amount of the loan at the time of disbursement: 
        Provided further, That any authority conferred by this 
        subparagraph on the Administration shall be exercised 
        solely by the Administration and shall not be delegated 
        to other than Administration personnel.
          (7) The Administration may defer payments on the 
        principal of such loans for a grace period and use such 
        other methods as it deems necessary and appropriate to 
        assure the successful establishment and operation of 
        such concern.
          (8) The Administration may make loans under this 
        subsection to small business concerns owned and 
        controlled by disabled veterans (as defined in section 
        4211(3) of title 38, United States Code).
          (9) The Administration may provide loans under this 
        subsection to finance residential or commercial 
        construction or rehabilitation for sale: Provided, 
        however, That such loans shall not be used primarily 
        for the acquisition of land.
          (10) The Administration may provide guaranteed loans 
        under this subsection to assist any public or private 
        organization for the handicapped or to assist any 
        handicapped individual, including service-disabled 
        veterans, in establishing, acquiring, or operating a 
        small business concern.
          (11) The Administration may provide loans under this 
        subsection to any small business concern, or to any 
        qualified person seeking to establish such a concern 
        when it determines that such loan will further the 
        policies established in section 2(c) of this Act, with 
        particular emphasis on the preservation or 
        establishment of small business concerns located in 
        urban or rural areas with high proportions of 
        unemployed or low-income individuals or owned by low-
        income individuals.
          (12)(A) The Administration may provide loans under 
        this subsection to assist any small business concern, 
        including start up, to enable such concern to design 
        architecturally or engineer, manufacture, distribute, 
        market, install, or service energy measures: Provided, 
        however, That such loan proceeds shall not be used 
        primarily for research and development.
  (b) The Administration may provide deferred participation 
loans under this subsection to finance the planning, design, or 
installation of pollution control facilities for the purposes 
set forth in section 404 of the Small Business Investment Act 
of 1958. Notwithstanding the limitation expressed in paragraph 
(3) of this subsection, a loan made under this paragraph may 
not result in a total amount outstanding and committed to a 
borrower from the business loan and investment fund of more 
than $1,000,000.
          (13) The Administration may provide financing under 
        this subsection to State and local development 
        companies for the purposes of, and subject to the 
        restrictions in, title V of the Small Business 
        Investment Act of 1958.
          (14) Export working capital program.--
                  (A) In general.--The Administrator may 
                provide extensions of credit, standby letters 
                of credit, revolving lines of credit for export 
                purposes, and other financing to enable small 
                business concerns, including small business 
                export trading companies and small business 
                export management companies, to develop foreign 
                markets. A bank or participating lending 
                institution may establish the rate of interest 
                on such financings as may be legal and 
                reasonable.
                  (B) Terms.--
                          (i) Loan amount.--The Administrator 
                        may not guarantee a loan under this 
                        paragraph of more than $5,000,000.
                          (ii) Fees.--
                                  (I) In general.--For a loan 
                                under this paragraph, the 
                                Administrator shall collect the 
                                fee assessed under paragraph 
                                (23) not more frequently than 
                                once each year.
                                  (II) Untapped credit.--The 
                                Administrator may not assess a 
                                fee on capital that is not 
                                accessed by the small business 
                                concern.
                  (C) Considerations.--When considering loan or 
                guarantee applications, the Administration 
                shall give weight to export-related benefits, 
                including opening new markets for United States 
                goods and services abroad and encouraging the 
                involvement of small businesses, including 
                agricultural concerns, in the export market.
                  (D) Marketing.--The Administrator shall 
                aggressively market its export financing 
                program to small businesses.
          (15)(A) The Administration may guarantee loans under 
        this subsection to qualified employee trusts with 
        respect to a small business concern for the purpose of 
        purchasing stock of the concern under a plan approved 
        by the Administrator which, when carried out, results 
        in the qualified employee trust owning at least 51 per 
        centum of the stock of the concern.
          (B) The plan requiring the Administrator's approval 
        under subparagraph (A) shall be submitted to the 
        Administration by the trustee of such trust with its 
        application for the guarantee. Such plan shall include 
        an agreement with the Administrator which is binding on 
        such trust and on the small business concern and which 
        provides that--
                  (i) not later than the date the loan 
                guaranteed under subparagraph (A) is repaid (or 
                as soon thereafter as is consistent with the 
                requirements of section 401(a) of the Internal 
                Revenue Code of 1954), at least 51 per centum 
                of the total stock of such concern shall be 
                allocated to the accounts of at least 51 per 
                centum of the employees of such concern who are 
                entitled to share in such allocation,
                  (ii) there will be periodic reviews of the 
                role in the management of such concern of 
                employees to whose accounts stock is allocated, 
                and
                  (iii) there will be adequate management to 
                assure management expertise and continuity.
          (C) In determining whether to guarantee any loan 
        under this paragraph, the individual business 
        experience or personal assets of employee-owners shall 
        not be used as criteria, except inasmuch as certain 
        employee-owners may assume managerial responsibilities, 
        in which case business experience may be considered.
          (D) For purposes of this paragraph, a corporation 
        which is controlled by any other person shall be 
        treated as a small business concern if such corporation 
        would, after the plan described in subparagraph (B) is 
        carried out, be treated as a small business concern.
          (E) The Administration shall compile a separate list 
        of applications for assistance under this paragraph, 
        indicating which applications were accepted and which 
        were denied, and shall report periodically to the 
        Congress on the status of employee-owned firms assisted 
        by the Administration.
          (16) International trade.--
                  (A) In general.--If the Administrator 
                determines that a loan guaranteed under this 
                subsection will allow an eligible small 
                business concern that is engaged in or 
                adversely affected by international trade to 
                improve its competitive position, the 
                Administrator may make such loan to assist such 
                concern--
                          (i) in the financing of the 
                        acquisition, construction, renovation, 
                        modernization, improvement, or 
                        expansion of productive facilities or 
                        equipment to be used in the United 
                        States in the production of goods and 
                        services involved in international 
                        trade;
                          (ii) in the refinancing of existing 
                        indebtedness that is not structured 
                        with reasonable terms and conditions, 
                        including any debt that qualifies for 
                        refinancing under any other provision 
                        of this subsection; or
                          (iii) by providing working capital.
                  (B) Security.--
                          (i) In general.--Except as provided 
                        in clause (ii), each loan made under 
                        this paragraph shall be secured by a 
                        first lien position or first mortgage 
                        on the property or equipment financed 
                        by the loan or on other assets of the 
                        small business concern.
                          (ii) Exception.--A loan under this 
                        paragraph may be secured by a second 
                        lien position on the property or 
                        equipment financed by the loan or on 
                        other assets of the small business 
                        concern, if the Administrator 
                        determines the lien provides adequate 
                        assurance of the payment of the loan.
                  (C) Engaged in international trade.--For 
                purposes of this paragraph, a small business 
                concern is engaged in international trade if, 
                as determined by the Administrator, the small 
                business concern is in a position to expand 
                existing export markets or develop new export 
                markets.
                  (D) Adversely affected by international 
                trade.--For purposes of this paragraph, a small 
                business concern is adversely affected by 
                international trade if, as determined by the 
                Administrator, the small business concern--
                          (i) is confronting increased 
                        competition with foreign firms in the 
                        relevant market; and
                          (ii) is injured by such competition.
                  (E) Findings by certain federal agencies.--
                For purposes of subparagraph (D)(ii) the 
                Administrator shall accept any finding of 
                injury by the International Trade Commission or 
                any finding of injury by the Secretary of 
                Commerce pursuant to chapter 3 of title II of 
                the Trade Act of 1974.
                  (F) List of export finance lenders.--
                          (i) Publication of list required.--
                        The Administrator shall publish an 
                        annual list of the banks and 
                        participating lending institutions 
                        that, during the 1-year period ending 
                        on the date of publication of the list, 
                        have made loans guaranteed by the 
                        Administration under--
                                  (I) this paragraph;
                                  (II) paragraph (14); or
                                  (III) paragraph (34).
                          (ii) Availability of list.--The 
                        Administrator shall--
                                  (I) post the list published 
                                under clause (i) on the website 
                                of the Administration; and
                                  (II) make the list published 
                                under clause (i) available, 
                                upon request, at each district 
                                office of the Administration.
          (17) The Administration shall authorize lending 
        institutions and other entities in addition to banks to 
        make loans authorized under this subsection.
          (18) Guarantee fees.--
                  (A) In general.--With respect to each loan 
                guaranteed under this subsection (other than a 
                loan that is repayable in 1 year or less), the 
                Administration shall collect a guarantee fee, 
                which shall be payable by the participating 
                lender, and may be charged to the borrower, as 
                follows:
                          (i) A guarantee fee not to exceed 2 
                        percent of the deferred participation 
                        share of a total loan amount that is 
                        not more than $150,000.
                          (ii) A guarantee fee not to exceed 3 
                        percent of the deferred participation 
                        share of a total loan amount that is 
                        more than $150,000, but not more than 
                        $700,000.
                          (iii) A guarantee fee not to exceed 
                        3.5 percent of the deferred 
                        participation share of a total loan 
                        amount that is more than $700,000.
                          (iv) In addition to the fee under 
                        clause (iii), a guarantee fee equal to 
                        0.25 percent of any portion of the 
                        deferred participation share that is 
                        more than $1,000,000.
                  (B) Retention of certain fees.--Lenders 
                participating in the programs established under 
                this subsection may retain not more than 25 
                percent of a fee collected under subparagraph 
                (A)(i).
          (19)(A) In addition to the Preferred Lenders Program 
        authorized by the proviso in section 5(b)(7), the 
        Administration is authorized to establish a Certified 
        Lenders Program for lenders who establish their 
        knowledge of Administration laws and regulations 
        concerning the guaranteed loan program and their 
        proficiency in program requirements. The designation of 
        a lender as a certified lender shall be suspended or 
        revoked at any time that the Administration determines 
        that the lender is not adhering to its rules and 
        regulations or that the loss experience of the lender 
        is excessive as compared to other lenders, but such 
        suspension or revocation shall not affect any 
        outstanding guarantee.
          (B) In order to encourage all lending institutions 
        and other entities making loans authorized under this 
        subsection to provide loans of $50,000 or less in 
        guarantees to eligible small business loan applicants, 
        the Administration shall develop and allow 
        participating lenders to solely utilize a uniform and 
        simplified loan form for such loans.
                  (C) Authority to liquidate loans.--
                          (i) In general.--The Administrator 
                        may permit lenders participating in the 
                        Certified Lenders Program to liquidate 
                        loans made with a guarantee from the 
                        Administration pursuant to a 
                        liquidation plan approved by the 
                        Administrator.
                          (ii) Automatic approval.--If the 
                        Administrator does not approve or deny 
                        a request for approval of a liquidation 
                        plan within 10 business days of the 
                        date on which the request is made (or 
                        with respect to any routine liquidation 
                        activity under such a plan, within 5 
                        business days) such request shall be 
                        deemed to be approved.
          (20)(A) The Administration is empowered to make loans 
        either directly or in cooperation with banks or other 
        financial institutions through agreements to 
        participate on an immediate or deferred (guaranteed) 
        basis to small business concerns eligible for 
        assistance under subsection (j)(10) and section 8(a). 
        Such assistance may be provided only if the 
        Administration determines that--
                  (i) the type and amount of such assistance 
                requested by such concern is not otherwise 
                available on reasonable terms from other 
                sources;
                  (ii) with such assistance such concern has a 
                reasonable prospect for operating soundly and 
                profitably within a reasonable period of time;
                  (iii) the proceeds of such assistance will be 
                used within a reasonable time for plant 
                construction, conversion, or expansion, 
                including the acquisition of equipment, 
                facilities, machinery, supplies, or material or 
                to supply such concern with working capital to 
                be used in the manufacture of articles, 
                equipment, supplies, or material for defense or 
                civilian production or as may be necessary to 
                insure a well-balanced national economy; and
                  (iv) such assistance is of such sound value 
                as reasonably to assure that the terms under 
                which it is provided will not be breached by 
                the small business concern.
          (B)(i) No loan shall be made under this paragraph if 
        the total amount outstanding and committed (by 
        participation or otherwise) to the borrower would 
        exceed $750,000.
          (ii) Subject to the provisions of clause (i), in 
        agreements to participate in loans on a deferred 
        (guaranteed) basis, participation by the Administration 
        shall be not less than 85 per centum of the balance of 
        the financing outstanding at the time of disbursement.
          (iii) The rate of interest on financings made on a 
        deferred (guaranteed) basis shall be legal and 
        reasonable.
          (iv) Financings made pursuant to this paragraph shall 
        be subject to the following limitations:
                  (I) No immediate participation may be 
                purchased unless it is shown that a deferred 
                participation is not available.
                  (II) No direct financing may be made unless 
                it is shown that a participation is 
                unavailable.
          (C) A direct loan or the Administration's share of an 
        immediate participation loan made pursuant to this 
        paragraph shall be any secured debt instrument--
                  (i) that is subordinated by its terms to all 
                other borrowings of the issuer;
                  (ii) the rate of interest on which shall not 
                exceed the current average market yield on 
                outstanding marketable obligations of the 
                United States with remaining periods to 
                maturity comparable to the average maturities 
                of such loan and adjusted to the nearest one-
                eighth of 1 per centum;
                  (iii) the term of which is not more than 
                twenty-five years; and
                  (iv) the principal on which is amortized at 
                such rate as may be deemed appropriate by the 
                Administration, and the interest on which is 
                payable not less often than annually.
  (21)(A) The Administration may make loans on a guaranteed 
basis under the authority of this subsection--
          (i) to a small business concern that has been (or can 
        reasonably be expected to be) detrimentally affected 
        by--
                  (I) the closure (or substantial reduction) of 
                a Department of Defense installation; or
                  (II) the termination (or substantial 
                reduction) of a Department of Defense program 
                on which such small business was a prime 
                contractor or subcontractor (or supplier) at 
                any tier; or
          (ii) to a qualified individual or a veteran seeking 
        to establish (or acquire) and operate a small business 
        concern.
  (B) Recognizing that greater risk may be associated with a 
loan to a small business concern described in subparagraph 
(A)(i), any reasonable doubts concerning the firm's proposed 
business plan for transition to nondefense-related markets 
shall be resolved in favor of the loan applicant when making 
any determination regarding the sound value of the proposed 
loan in accordance with paragraph (6).
  (C) Loans pursuant to this paragraph shall be authorized in 
such amounts as provided in advance in appropriation Acts for 
the purposes of loans under this paragraph.
  (D) For purposes of this paragraph a qualified individual 
is--
          (i) a member of the Armed Forces of the United 
        States, honorably discharged from active duty 
        involuntarily or pursuant to a program providing 
        bonuses or other inducements to encourage voluntary 
        separation or early retirement;
          (ii) a civilian employee of the Department of Defense 
        involuntarily separated from Federal service or retired 
        pursuant to a program offering inducements to encourage 
        early retirement; or
          (iii) an employee of a prime contractor, 
        subcontractor, or supplier at any tier of a Department 
        of Defense program whose employment is involuntarily 
        terminated (or voluntarily terminated pursuant to a 
        program offering inducements to encourage voluntary 
        separation or early retirement) due to the termination 
        (or substantial reduction) of a Department of Defense 
        program.
          (E) Job creation and community benefit.--In providing 
        assistance under this paragraph, the Administration 
        shall develop procedures to ensure, to the maximum 
        extent practicable, that such assistance is used for 
        projects that--
                  (i) have the greatest potential for--
                          (I) creating new jobs for individuals 
                        whose employment is involuntarily 
                        terminated due to reductions in Federal 
                        defense expenditures; or
                          (II) preventing the loss of jobs by 
                        employees of small business concerns 
                        described in subparagraph (A)(i); and
                  (ii) have substantial potential for 
                stimulating new economic activity in 
                communities most affected by reductions in 
                Federal defense expenditures.
          (22) The Administration is authorized to permit 
        participating lenders to impose and collect a 
        reasonable penalty fee on late payments of loans 
        guaranteed under this subsection in an amount not to 
        exceed 5 percent of the monthly loan payment per month 
        plus interest.
          (23) Yearly fee.--
                  (A) In general.--With respect to each loan 
                approved under this subsection, the 
                Administration shall assess, collect, and 
                retain a fee, not to exceed 0.55 percent per 
                year of the outstanding balance of the deferred 
                participation share of the loan, in an amount 
                established once annually by the Administration 
                in the Administration's annual budget request 
                to Congress, as necessary to reduce to zero the 
                cost to the Administration of making guarantees 
                under this subsection. As used in this 
                paragraph, the term ``cost'' has the meaning 
                given that term in section 502 of the Federal 
                Credit Reform Act of 1990 (2 U.S.C. 661a).
                  (B) Payer.--The yearly fee assessed under 
                subparagraph (A) shall be payable by the 
                participating lender and shall not be charged 
                to the borrower.
                  (C) Lowering of borrower fees.--If the 
                Administration determines that fees paid by 
                lenders and by small business borrowers for 
                guarantees under this subsection may be 
                reduced, consistent with reducing to zero the 
                cost to the Administration of making such 
                guarantees--
                          (i) the Administration shall first 
                        consider reducing fees paid by small 
                        business borrowers under clauses (i) 
                        through (iii) of paragraph (18)(A), to 
                        the maximum extent possible; and
                          (ii) fees paid by small business 
                        borrowers shall not be increased above 
                        the levels in effect on the date of 
                        enactment of this subparagraph.
          (24) Notification requirement.--The Administration 
        shall notify the Committees on Small Business of the 
        Senate and the House of Representatives not later than 
        15 days before making any significant policy or 
        administrative change affecting the operation of the 
        loan program under this subsection.
          (25) Limitation on conducting pilot projects.--
                  (A) In general.--Not more than 10 percent of 
                the total number of loans guaranteed in any 
                fiscal year under this subsection may be 
                awarded as part of a pilot program which is 
                commenced by the Administrator on or after 
                October 1, 1996.
                  (B) Pilot program defined.--In this 
                paragraph, the term ``pilot program'' means any 
                lending program initiative, project, 
                innovation, or other activity not specifically 
                authorized by law.
                  (C) Low documentation loan program.--The 
                Administrator may carry out the low 
                documentation loan program for loans of 
                $100,000 or less only through lenders with 
                significant experience in making small business 
                loans. Not later than 90 days after the date of 
                enactment of this subsection, the Administrator 
                shall promulgate regulations defining the 
                experience necessary for participation as a 
                lender in the low documentation loan program.
          (26) Calculation of subsidy rate.--All fees, 
        interest, and profits received and retained by the 
        Administration under this subsection shall be included 
        in the calculations made by the Director of the Office 
        of Management and Budget to offset the cost (as that 
        term is defined in section 502 of the Federal Credit 
        Reform Act of 1990) to the Administration of purchasing 
        and guaranteeing loans under this Act.
          (28) Leasing.--In addition to such other lease 
        arrangements as may be authorized by the 
        Administration, a borrower may permanently lease to one 
        or more tenants not more than 20 percent of any 
        property constructed with the proceeds of a loan 
        guaranteed under this subsection, if the borrower 
        permanently occupies and uses not less than 60 percent 
        of the total business space in the property.
          (29) Real estate appraisals.--With respect to a loan 
        under this subsection that is secured by commercial 
        real property, an appraisal of such property by a State 
        licensed or certified appraiser--
                  (A) shall be required by the Administration 
                in connection with any such loan for more than 
                $250,000; or
                  (B) may be required by the Administration or 
                the lender in connection with any such loan for 
                $250,000 or less, if such appraisal is 
                necessary for appropriate evaluation of 
                creditworthiness.
          (30) Ownership requirements.--Ownership requirements 
        to determine the eligibility of a small business 
        concern that applies for assistance under any credit 
        program under this Act shall be determined without 
        regard to any ownership interest of a spouse arising 
        solely from the application of the community property 
        laws of a State for purposes of determining marital 
        interests.
          (31) Express loans.--
                  (A) Definitions.--As used in this paragraph:
                          (i) The term ``disaster area'' means 
                        the area for which the President has 
                        declared a major disaster, during the 
                        5-year period beginning on the date of 
                        the declaration.
                          (ii) The term ``express lender'' 
                        means any lender authorized by the 
                        Administration to participate in the 
                        Express Loan Program.
                          (iii) The term ``express loan'' means 
                        any loan made pursuant to this 
                        paragraph in which a lender utilizes to 
                        the maximum extent practicable its own 
                        loan analyses, procedures, and 
                        documentation.
                          (iv) The term ``Express Loan 
                        Program'' means the program for express 
                        loans established by the Administration 
                        under paragraph (25)(B), as in 
                        existence on April 5, 2004, with a 
                        guaranty rate of not more than 50 
                        percent.
                  (B) Restriction to express lender.--The 
                authority to make an express loan shall be 
                limited to those lenders deemed qualified to 
                make such loans by the Administration. 
                Designation as an express lender for purposes 
                of making an express loan shall not prohibit 
                such lender from taking any other action 
                authorized by the Administration for that 
                lender pursuant to this subsection.
                  (C) Grandfathering of existing lenders.--Any 
                express lender shall retain such designation 
                unless the Administration determines that the 
                express lender has violated the law or 
                regulations promulgated by the Administration 
                or modifies the requirements to be an express 
                lender and the lender no longer satisfies those 
                requirements.
                  (D) Maximum loan amount.--The maximum loan 
                amount under the Express Loan Program is 
                $350,000.
                  (E) Option to participate.--Except as 
                otherwise provided in this paragraph, the 
                Administration shall take no regulatory, 
                policy, or administrative action, without 
                regard to whether such action requires 
                notification pursuant to paragraph (24), that 
                has the effect of requiring a lender to make an 
                express loan pursuant to subparagraph (D).
                  (F) Express loans for renewable energy and 
                energy efficiency.--
                          (i) Definitions.--In this 
                        subparagraph--
                                  (I) the term ``biomass''--
                                          (aa) means any 
                                        organic material that 
                                        is available on a 
                                        renewable or recurring 
                                        basis, including--
                                                  (AA) 
                                                agricultural 
                                                crops;
                                                  (BB) trees 
                                                grown for 
                                                energy 
                                                production;
                                                  (CC) wood 
                                                waste and wood 
                                                residues;
                                                  (DD) plants 
                                                (including 
                                                aquatic plants 
                                                and grasses);
                                                  (EE) 
                                                residues;
                                                  (FF) fibers;
                                                  (GG) animal 
                                                wastes and 
                                                other waste 
                                                materials; and
                                                  (HH) fats, 
                                                oils, and 
                                                greases 
                                                (including 
                                                recycled fats, 
                                                oils, and 
                                                greases); and
                                          (bb) does not 
                                        include--
                                                  (AA) paper 
                                                that is 
                                                commonly 
                                                recycled; or
                                                  (BB) 
                                                unsegregated 
                                                solid waste;
                                  (II) the term ``energy 
                                efficiency project'' means the 
                                installation or upgrading of 
                                equipment that results in a 
                                significant reduction in energy 
                                usage; and
                                  (III) the term ``renewable 
                                energy system'' means a system 
                                of energy derived from--
                                          (aa) a wind, solar, 
                                        biomass (including 
                                        biodiesel), or 
                                        geothermal source; or
                                          (bb) hydrogen derived 
                                        from biomass or water 
                                        using an energy source 
                                        described in item (aa).
                          (ii) Loans.--The Administrator may 
                        make a loan under the Express Loan 
                        Program for the purpose of--
                                  (I) purchasing a renewable 
                                energy system; or
                                  (II) carrying out an energy 
                                efficiency project for a small 
                                business concern.
                  (G) Guarantee fee waiver for veterans.--
                          (i) Guarantee fee waiver.--The 
                        Administrator may not collect a 
                        guarantee fee described in paragraph 
                        (18) in connection with a loan made 
                        under this paragraph to a veteran or 
                        spouse of a veteran on or after October 
                        1, 2015.
                          (ii) Exception.--If the President's 
                        budget for the upcoming fiscal year, 
                        submitted to Congress pursuant to 
                        section 1105(a) of title 31, United 
                        States Code, includes a cost for the 
                        program established under this 
                        subsection that is above zero, the 
                        requirements of clause (i) shall not 
                        apply to loans made during such 
                        upcoming fiscal year.
                          (iii) Definition.--In this 
                        subparagraph, the term ``veteran or 
                        spouse of a veteran'' means--
                                  (I) a veteran, as defined in 
                                section 3(q)(4);
                                  (II) an individual who is 
                                eligible to participate in the 
                                Transition Assistance Program 
                                established under section 1144 
                                of title 10, United States 
                                Code;
                                  (III) a member of a reserve 
                                component of the Armed Forces 
                                named in section 10101 of title 
                                10, United States Code;
                                  (IV) the spouse of an 
                                individual described in 
                                subclause (I), (II), or (III); 
                                or
                                  (V) the surviving spouse (as 
                                defined in section 101 of title 
                                38, United States Code) of an 
                                individual described in 
                                subclause (I), (II), or (III) 
                                who died while serving on 
                                active duty or as a result of a 
                                disability that is service-
                                connected (as defined in such 
                                section).
                  (H) Recovery opportunity loans.--
                          (i) In general.--The Administrator 
                        may guarantee an express loan to a 
                        small business concern located in a 
                        disaster area in accordance with this 
                        subparagraph.
                          (ii) Maximums.--For a loan guaranteed 
                        under clause (i)--
                                  (I) the maximum loan amount 
                                is $150,000; and
                                  (II) the guarantee rate shall 
                                be not more than 85 percent.
                          (iii) Overall cap.--A loan guaranteed 
                        under clause (i) shall not be counted 
                        in determining the amount of loans made 
                        to a borrower for purposes of 
                        subparagraph (D).
                          (iv) Operations.--A small business 
                        concern receiving a loan guaranteed 
                        under clause (i) shall certify that the 
                        small business concern was in operation 
                        on the date on which the applicable 
                        major disaster occurred as a condition 
                        of receiving the loan.
                          (v) Repayment ability.--A loan 
                        guaranteed under clause (i) may only be 
                        made to a small business concern that 
                        demonstrates, to the satisfaction of 
                        the Administrator, sufficient capacity 
                        to repay the loan.
                          (vi) Timing of payment of 
                        guarantees.--
                                  (I) In general.--Not later 
                                than 90 days after the date on 
                                which a request for purchase is 
                                filed with the Administrator, 
                                the Administrator shall 
                                determine whether to pay the 
                                guaranteed portion of the loan.
                                  (II) Recapture.--
                                Notwithstanding any other 
                                provision of law, unless there 
                                is a subsequent finding of 
                                fraud by a court of competent 
                                jurisdiction relating to a loan 
                                guaranteed under clause (i), on 
                                and after the date that is 6 
                                months after the date on which 
                                the Administrator determines to 
                                pay the guaranteed portion of 
                                the loan, the Administrator may 
                                not attempt to recapture the 
                                paid guarantee.
                          (vii) Fees.--
                                  (I) In general.--Unless the 
                                Administrator has waived the 
                                guarantee fee that would 
                                otherwise be collected by the 
                                Administrator under paragraph 
                                (18) for a loan guaranteed 
                                under clause (i), and except as 
                                provided in subclause (II), the 
                                guarantee fee for the loan 
                                shall be equal to the guarantee 
                                fee that the Administrator 
                                would collect if the guarantee 
                                rate for the loan was 50 
                                percent.
                                  (II) Exception.--Subclause 
                                (I) shall not apply if the cost 
                                of carrying out the program 
                                under this subsection in a 
                                fiscal year is more than zero 
                                and such cost is directly 
                                attributable to the cost of 
                                guaranteeing loans under clause 
                                (i).
                          (viii) Rules.--Not later than 270 
                        days after the date of enactment of 
                        this subparagraph, the Administrator 
                        shall promulgate rules to carry out 
                        this subparagraph.
          (32) Loans for energy efficient technologies.--
                  (A) Definitions.--In this paragraph--
                          (i) the term ``cost'' has the meaning 
                        given that term in section 502 of the 
                        Federal Credit Reform Act of 1990 (2 
                        U.S.C. 661a);
                          (ii) the term ``covered energy 
                        efficiency loan'' means a loan--
                                  (I) made under this 
                                subsection; and
                                  (II) the proceeds of which 
                                are used to purchase energy 
                                efficient designs, equipment, 
                                or fixtures, or to reduce the 
                                energy consumption of the 
                                borrower by 10 percent or more; 
                                and
                          (iii) the term ``pilot program'' 
                        means the pilot program established 
                        under subparagraph (B)
                  (B) Establishment.--The Administrator shall 
                establish and carry out a pilot program under 
                which the Administrator shall reduce the fees 
                for covered energy efficiency loans.
                  (C) Duration.--The pilot program shall 
                terminate at the end of the second full fiscal 
                year after the date that the Administrator 
                establishes the pilot program.
                  (D) Maximum participation.--A covered energy 
                efficiency loan shall include the maximum 
                participation levels by the Administrator 
                permitted for loans made under this subsection.
                  (E) Fees.--
                          (i) In general.--The fee on a covered 
                        energy efficiency loan shall be equal 
                        to 50 percent of the fee otherwise 
                        applicable to that loan under paragraph 
                        (18).
                          (ii) Waiver.--The Administrator may 
                        waive clause (i) for a fiscal year if--
                                  (I) for the fiscal year 
                                before that fiscal year, the 
                                annual rate of default of 
                                covered energy efficiency loans 
                                exceeds that of loans made 
                                under this subsection that are 
                                not covered energy efficiency 
                                loans;
                                  (II) the cost to the 
                                Administration of making loans 
                                under this subsection is 
                                greater than zero and such cost 
                                is directly attributable to the 
                                cost of making covered energy 
                                efficiency loans; and
                                  (III) no additional sources 
                                of revenue authority are 
                                available to reduce the cost of 
                                making loans under this 
                                subsection to zero.
                          (iii) Effect of waiver.--If the 
                        Administrator waives the reduction of 
                        fees under clause (ii), the 
                        Administrator--
                                  (I) shall not assess or 
                                collect fees in an amount 
                                greater than necessary to 
                                ensure that the cost of the 
                                program under this subsection 
                                is not greater than zero; and
                                  (II) shall reinstate the fee 
                                reductions under clause (i) 
                                when the conditions in clause 
                                (ii) no longer apply.
                          (iv) No increase of fees.--The 
                        Administrator shall not increase the 
                        fees under paragraph (18) on loans made 
                        under this subsection that are not 
                        covered energy efficiency loans as a 
                        direct result of the pilot program.
                  (F) GAO report.--
                          (i) In general.--Not later than 1 
                        year after the date that the pilot 
                        program terminates, the Comptroller 
                        General of the United States shall 
                        submit to the Committee on Small 
                        Business of the House of 
                        Representatives and the Committee on 
                        Small Business and Entrepreneurship of 
                        the Senate a report on the pilot 
                        program.
                          (ii) Contents.--The report submitted 
                        under clause (i) shall include--
                                  (I) the number of covered 
                                energy efficiency loans for 
                                which fees were reduced under 
                                the pilot program;
                                  (II) a description of the 
                                energy efficiency savings with 
                                the pilot program;
                                  (III) a description of the 
                                impact of the pilot program on 
                                the program under this 
                                subsection;
                                  (IV) an evaluation of the 
                                efficacy and potential fraud 
                                and abuse of the pilot program; 
                                and
                                  (V) recommendations for 
                                improving the pilot program.
          (33) Increased veteran participation program.--
                  (A) Definitions.--In this paragraph--
                          (i) the term ``cost'' has the meaning 
                        given that term in section 502 of the 
                        Federal Credit Reform Act of 1990 (2 
                        U.S.C. 661a);
                          (ii) the term ``pilot program'' means 
                        the pilot program established under 
                        subparagraph (B); and
                          (iii) the term ``veteran 
                        participation loan'' means a loan made 
                        under this subsection to a small 
                        business concern owned and controlled 
                        by veterans of the Armed Forces or 
                        members of the reserve components of 
                        the Armed Forces.
                  (B) Establishment.--The Administrator shall 
                establish and carry out a pilot program under 
                which the Administrator shall reduce the fees 
                for veteran participation loans.
                  (C) Duration.--The pilot program shall 
                terminate at the end of the second full fiscal 
                year after the date that the Administrator 
                establishes the pilot program.
                  (D) Maximum participation.--A veteran 
                participation loan shall include the maximum 
                participation levels by the Administrator 
                permitted for loans made under this subsection.
                  (E) Fees.--
                          (i) In general.--The fee on a veteran 
                        participation loan shall be equal to 50 
                        percent of the fee otherwise applicable 
                        to that loan under paragraph (18).
                          (ii) Waiver.--The Administrator may 
                        waive clause (i) for a fiscal year if--
                                  (I) for the fiscal year 
                                before that fiscal year, the 
                                annual estimated rate of 
                                default of veteran 
                                participation loans exceeds 
                                that of loans made under this 
                                subsection that are not veteran 
                                participation loans;
                                  (II) the cost to the 
                                Administration of making loans 
                                under this subsection is 
                                greater than zero and such cost 
                                is directly attributable to the 
                                cost of making veteran 
                                participation loans; and
                                  (III) no additional sources 
                                of revenue authority are 
                                available to reduce the cost of 
                                making loans under this 
                                subsection to zero.
                          (iii) Effect of waiver.--If the 
                        Administrator waives the reduction of 
                        fees under clause (ii), the 
                        Administrator--
                                  (I) shall not assess or 
                                collect fees in an amount 
                                greater than necessary to 
                                ensure that the cost of the 
                                program under this subsection 
                                is not greater than zero; and
                                  (II) shall reinstate the fee 
                                reductions under clause (i) 
                                when the conditions in clause 
                                (ii) no longer apply.
                          (iv) No increase of fees.--The 
                        Administrator shall not increase the 
                        fees under paragraph (18) on loans made 
                        under this subsection that are not 
                        veteran participation loans as a direct 
                        result of the pilot program.
                  (F) GAO report.--
                          (i) In general.--Not later than 1 
                        year after the date that the pilot 
                        program terminates, the Comptroller 
                        General of the United States shall 
                        submit to the Committee on Small 
                        Business of the House of 
                        Representatives and the Committee on 
                        Small Business and Entrepreneurship of 
                        the Senate a report on the pilot 
                        program.
                          (ii) Contents.--The report submitted 
                        under clause (i) shall include--
                                  (I) the number of veteran 
                                participation loans for which 
                                fees were reduced under the 
                                pilot program;
                                  (II) a description of the 
                                impact of the pilot program on 
                                the program under this 
                                subsection;
                                  (III) an evaluation of the 
                                efficacy and potential fraud 
                                and abuse of the pilot program; 
                                and
                                  (IV) recommendations for 
                                improving the pilot program.
          (34) Export express program.--
                  (A) Definitions.--In this paragraph--
                          (i) the term ``export development 
                        activity'' includes--
                                  (I) obtaining a standby 
                                letter of credit when required 
                                as a bid bond, performance 
                                bond, or advance payment 
                                guarantee;
                                  (II) participation in a trade 
                                show that takes place outside 
                                the United States;
                                  (III) translation of product 
                                brochures or catalogues for use 
                                in markets outside the United 
                                States;
                                  (IV) obtaining a general line 
                                of credit for export purposes;
                                  (V) performing a service 
                                contract from buyers located 
                                outside the United States;
                                  (VI) obtaining transaction-
                                specific financing associated 
                                with completing export orders;
                                  (VII) purchasing real estate 
                                or equipment to be used in the 
                                production of goods or services 
                                for export;
                                  (VIII) providing term loans 
                                or other financing to enable a 
                                small business concern, 
                                including an export trading 
                                company and an export 
                                management company, to develop 
                                a market outside the United 
                                States; and
                                  (IX) acquiring, constructing, 
                                renovating, modernizing, 
                                improving, or expanding a 
                                production facility or 
                                equipment to be used in the 
                                United States in the production 
                                of goods or services for 
                                export; and
                          (ii) the term ``express loan'' means 
                        a loan in which a lender uses to the 
                        maximum extent practicable the loan 
                        analyses, procedures, and documentation 
                        of the lender to provide expedited 
                        processing of the loan application.
                  (B) Authority.--The Administrator may 
                guarantee the timely payment of an express loan 
                to a small business concern made for an export 
                development activity.
                  (C) Level of participation.--
                          (i) Maximum amount.--The maximum 
                        amount of an express loan guaranteed 
                        under this paragraph shall be $500,000.
                          (ii) Percentage.--For an express loan 
                        guaranteed under this paragraph, the 
                        Administrator shall guarantee--
                                  (I) 90 percent of a loan that 
                                is not more than $350,000; and
                                  (II) 75 percent of a loan 
                                that is more than $350,000 and 
                                not more than $500,000.
  (b) Except as to agricultural enterprises as defined in 
section 18(b)(1) of this Act, the Administration also is 
empowered to the extent and in such amounts as provided in 
advance in appropriation Acts--
          (1)(A) to make such loans (either directly or in 
        cooperation with banks or other lending institutions 
        through agreements to participate on an immediate or 
        deferred (guaranteed) basis) as the Administration may 
        determine to be necessary or appropriate to repair, 
        rehabilitate or replace property, real or personal, 
        damaged or destroyed by or as a result of natural or 
        other disasters: Provided, That such damage or 
        destruction is not compensated for by insurance or 
        otherwise: And provided further, That the 
        Administration may increase the amount of the loan by 
        up to an additional 20 per centum of the aggregate 
        costs of such damage or destruction (whether or not 
        compensated for by insurance or otherwise) if it 
        determines such increase to be necessary or appropriate 
        in order to protect the damaged or destroyed property 
        from possible future disasters by taking mitigating 
        measures, including--
                  (i) construction of retaining walls and sea 
                walls;
                  (ii) grading and contouring land; and
                  (iii) relocating utilities and modifying 
                structures, including construction of a safe 
                room or similar storm shelter designed to 
                protect property and occupants from tornadoes 
                or other natural disasters, if such safe room 
                or similar storm shelter is constructed in 
                accordance with applicable standards issued by 
                the Federal Emergency Management Agency;
          (B) to refinance any mortgage or other lien against a 
        totally destroyed or substantially damaged home or 
        business concern: Provided, That no loan or guarantee 
        shall be extended unless the Administration finds that 
        (i) the applicant is not able to obtain credit 
        elsewhere; (ii) such property is to be repaired, 
        rehabilitated, or replaced; (iii) the amount refinanced 
        shall not exceed the amount of physical loss sustained; 
        and (iv) such amount shall be reduced to the extent 
        such mortgage or lien is satisfied by insurance or 
        otherwise; and
          (C) during fiscal years 2000 through 2004, to 
        establish a predisaster mitigation program to make such 
        loans (either directly or in cooperation with banks or 
        other lending institutions through agreements to 
        participate on an immediate or deferred (guaranteed) 
        basis), as the Administrator may determine to be 
        necessary or appropriate, to enable small businesses to 
        use mitigation techniques in support of a formal 
        mitigation program established by the Federal Emergency 
        Management Agency, except that no loan or guarantee may 
        be extended to a small business under this subparagraph 
        unless the Administration finds that the small business 
        is otherwise unable to obtain credit for the purposes 
        described in this subparagraph;
          (2) to make sure loans (either directly or in 
        cooperation with banks or other lending institutions 
        through agreements to participate on an immediate or 
        deferred (guaranteed) basis) as the Administration may 
        determine to be necessary or appropriate to any small 
        business concern, private nonprofit organization, or 
        small agricultural cooperative located in an area 
        affected by a disaster, (including drought), with 
        respect to both farm-related and nonfarm-related small 
        business concerns, if the Administration determines 
        that the concern, the organization, or the cooperative 
        has suffered a substantial economic injury as a result 
        of such disaster and if such disaster constitutes--
                  (A) a major disaster, as determined by the 
                President under the Robert T. Stafford Disaster 
                Relief and Emergency Assistance Act (42 U.S.C. 
                5121 et seq.); or
                  (B) a natural disaster, as determined by the 
                Secretary of Agriculture pursuant to section 
                321 of the Consolidated Farm and Rural 
                Development Act (7 U.S.C. 1961), in which case, 
                assistance under this paragraph may be provided 
                to farm-related and nonfarm-related small 
                business concerns, subject to the other 
                applicable requirements of this paragraph; or
                  (C) a disaster, as determined by the 
                Administrator of the Small Business 
                Administration; or
                  (D) if no disaster declaration has been 
                issued pursuant to subparagraph (A), (B), or 
                (C), the Governor of a State in which a 
                disaster has occurred may certify to the Small 
                Business Administration that small business 
                concerns, private nonprofit organizations, or 
                small agricultural cooperatives (1) have 
                suffered economic injury as a result of such 
                disaster, and (2) are in need of financial 
                assistance which is not available on reasonable 
                terms in the disaster stricken area. Not later 
                than 30 days after the date of receipt of such 
                certification by a Governor of a State, the 
                Administration shall respond in writing to that 
                Governor on its determination and the reasons 
                therefore, and may then make such loans as 
                would have been available under this paragraph 
                if a disaster declaration had been issued.
         Provided, That no loan or guarantee shall be extended 
        pursuant to this paragraph (2) unless the 
        Administration finds that the applicant is not able to 
        obtain credit elsewhere.
          (3)(A) In this paragraph--
                  (i) the term ``essential employee'' means an 
                individual who is employed by a small business 
                concern and whose managerial or technical 
                expertise is critical to the successful day-to-
                day operations of that small business concern;
                  (ii) the term ``period of military conflict'' 
                has the meaning given the term in subsection 
                (n)(1); and
                  (iii) the term ``substantial economic 
                injury'' means an economic harm to a business 
                concern that results in the inability of the 
                business concern--
                          (I) to meet its obligations as they 
                        mature;
                          (II) to pay its ordinary and 
                        necessary operating expenses; or
                          (III) to market, produce, or provide 
                        a product or service ordinarily 
                        marketed, produced, or provided by the 
                        business concern.
          (B) The Administration may make such disaster loans 
        (either directly or in cooperation with banks or other 
        lending institutions through agreements to participate 
        on an immediate or deferred basis) to assist a small 
        business concern that has suffered or that is likely to 
        suffer substantial economic injury as the result of an 
        essential employee of such small business concern being 
        ordered to active military duty during a period of 
        military conflict.
          (C) A small business concern described in 
        subparagraph (B) shall be eligible to apply for 
        assistance under this paragraph during the period 
        beginning on the date on which the essential employee 
        is ordered to active duty and ending on the date that 
        is 1 year after the date on which such essential 
        employee is discharged or released from active duty. 
        The Administrator may, when appropriate (as determined 
        by the Administrator), extend the ending date specified 
        in the preceding sentence by not more than 1 year.
          (D) Any loan or guarantee extended pursuant to this 
        paragraph shall be made at the same interest rate as 
        economic injury loans under paragraph (2).
          (E) No loan may be made under this paragraph, either 
        directly or in cooperation with banks or other lending 
        institutions through agreements to participate on an 
        immediate or deferred basis, if the total amount 
        outstanding and committed to the borrower under this 
        subsection would exceed $1,500,000, unless such 
        applicant constitutes, or have become due to changed 
        economic circumstances, a major source of employment in 
        its surrounding area, as determined by the 
        Administration, in which case the Administration, in 
        its discretion, may waive the $1,500,000 limitation.
          (F) For purposes of assistance under this paragraph, 
        no declaration of a disaster area shall be required.
                  (G)(i) Notwithstanding any other provision of 
                law, the Administrator may make a loan under 
                this paragraph of not more than $50,000 without 
                collateral.
                  (ii) The Administrator may defer payment of 
                principal and interest on a loan described in 
                clause (i) during the longer of--
                          (I) the 1-year period beginning on 
                        the date of the initial disbursement of 
                        the loan; and
                          (II) the period during which the 
                        relevant essential employee is on 
                        active duty.
                  (H) The Administrator shall give priority to 
                any application for a loan under this paragraph 
                and shall process and make a determination 
                regarding such applications prior to processing 
                or making a determination on other loan 
                applications under this subsection, on a 
                rolling basis.
          (4) Coordination with fema.--
                  (A) In general.--Notwithstanding any other 
                provision of law, for any disaster declared 
                under this subsection or major disaster 
                (including any major disaster relating to which 
                the Administrator declares eligibility for 
                additional disaster assistance under paragraph 
                (9)), the Administrator, in consultation with 
                the Administrator of the Federal Emergency 
                Management Agency, shall ensure, to the maximum 
                extent practicable, that all application 
                periods for disaster relief under this Act 
                correspond with application deadlines 
                established under the Robert T. Stafford 
                Disaster Relief and Emergency Assistance Act 
                (42 U.S.C. 5121 et seq.), or as extended by the 
                President.
                  (B) Deadlines.--Notwithstanding any other 
                provision of law, not later than 10 days before 
                the closing date of an application period for a 
                major disaster (including any major disaster 
                relating to which the Administrator declares 
                eligibility for additional disaster assistance 
                under paragraph (9)), the Administrator, in 
                consultation with the Administrator of the 
                Federal Emergency Management Agency, shall 
                submit to the Committee on Small Business and 
                Entrepreneurship of the Senate and the 
                Committee on Small Business of the House of 
                Representatives a report that includes--
                          (i) the deadline for submitting 
                        applications for assistance under this 
                        Act relating to that major disaster;
                          (ii) information regarding the number 
                        of loan applications and disbursements 
                        processed by the Administrator relating 
                        to that major disaster for each day 
                        during the period beginning on the date 
                        on which that major disaster was 
                        declared and ending on the date of that 
                        report; and
                          (iii) an estimate of the number of 
                        potential applicants that have not 
                        submitted an application relating to 
                        that major disaster.
          (5) Public awareness of disasters.--If a disaster is 
        declared under this subsection or the Administrator 
        declares eligibility for additional disaster assistance 
        under paragraph (9), the Administrator shall make every 
        effort to communicate through radio, television, print, 
        and web-based outlets, all relevant information needed 
        by disaster loan applicants, including--
                  (A) the date of such declaration;
                  (B) cities and towns within the area of such 
                declaration;
                  (C) loan application deadlines related to 
                such disaster;
                  (D) all relevant contact information for 
                victim services available through the 
                Administration (including links to small 
                business development center websites);
                  (E) links to relevant Federal and State 
                disaster assistance websites, including links 
                to websites providing information regarding 
                assistance available from the Federal Emergency 
                Management Agency;
                  (F) information on eligibility criteria for 
                Administration loan programs, including where 
                such applications can be found; and
                  (G) application materials that clearly state 
                the function of the Administration as the 
                Federal source of disaster loans for homeowners 
                and renters.
          (6) Authority for qualified private contractors.--
                  (A) Disaster loan processing.--The 
                Administrator may enter into an agreement with 
                a qualified private contractor, as determined 
                by the Administrator, to process loans under 
                this subsection in the event of a major 
                disaster (including any major disaster relating 
                to which the Administrator declares eligibility 
                for additional disaster assistance under 
                paragraph (9)), under which the Administrator 
                shall pay the contractor a fee for each loan 
                processed.
                  (B) Loan loss verification services.--The 
                Administrator may enter into an agreement with 
                a qualified lender or loss verification 
                professional, as determined by the 
                Administrator, to verify losses for loans under 
                this subsection in the event of a major 
                disaster (including any major disaster relating 
                to which the Administrator declares eligibility 
                for additional disaster assistance under 
                paragraph (9)), under which the Administrator 
                shall pay the lender or verification 
                professional a fee for each loan for which such 
                lender or verification professional verifies 
                losses.
          (7) Disaster assistance employees.--
                  (A) In general.--In carrying out this 
                section, the Administrator may, where 
                practicable, ensure that the number of full-
                time equivalent employees--
                          (i) in the Office of the Disaster 
                        Assistance is not fewer than 800; and
                          (ii) in the Disaster Cadre of the 
                        Administration is not fewer than 1,000.
                  (B) Report.--In carrying out this subsection, 
                if the number of full-time employees for either 
                the Office of Disaster Assistance or the 
                Disaster Cadre of the Administration is below 
                the level described in subparagraph (A) for 
                that office, not later than 21 days after the 
                date on which that staffing level decreased 
                below the level described in subparagraph (A), 
                the Administrator shall submit to the Committee 
                on Appropriations and the Committee on Small 
                Business and Entrepreneurship of the Senate and 
                the Committee on Appropriations and Committee 
                on Small Business of the House of 
                Representatives, a report--
                          (i) detailing staffing levels on that 
                        date;
                          (ii) requesting, if practicable and 
                        determined appropriate by the 
                        Administrator, additional funds for 
                        additional employees; and
                          (iii) containing such additional 
                        information, as determined appropriate 
                        by the Administrator.
          (8) Increased loan caps.--
                  (A) Aggregate loan amounts.--Except as 
                provided in subparagraph (B), and 
                notwithstanding any other provision of law, the 
                aggregate loan amount outstanding and committed 
                to a borrower under this subsection may not 
                exceed $2,000,000.
                  (B) Waiver authority.--The Administrator may, 
                at the discretion of the Administrator, 
                increase the aggregate loan amount under 
                subparagraph (A) for loans relating to a 
                disaster to a level established by the 
                Administrator, based on appropriate economic 
                indicators for the region in which that 
                disaster occurred.
          (9) Declaration of eligibility for additional 
        disaster assistance.--
                  (A) In general.--If the President declares a 
                major disaster, the Administrator may declare 
                eligibility for additional disaster assistance 
                in accordance with this paragraph.
                  (B) Threshold.--A major disaster for which 
                the Administrator declares eligibility for 
                additional disaster assistance under this 
                paragraph shall--
                          (i) have resulted in extraordinary 
                        levels of casualties or damage or 
                        disruption severely affecting the 
                        population (including mass 
                        evacuations), infrastructure, 
                        environment, economy, national morale, 
                        or government functions in an area;
                          (ii) be comparable to the description 
                        of a catastrophic incident in the 
                        National Response Plan of the 
                        Administration, or any successor 
                        thereto, unless there is no successor 
                        to such plan, in which case this clause 
                        shall have no force or effect; and
                          (iii) be of such size and scope 
                        that--
                                  (I) the disaster assistance 
                                programs under the other 
                                paragraphs under this 
                                subsection are incapable of 
                                providing adequate and timely 
                                assistance to individuals or 
                                business concerns located 
                                within the disaster area; or
                                  (II) a significant number of 
                                business concerns outside the 
                                disaster area have suffered 
                                disaster-related substantial 
                                economic injury as a result of 
                                the incident.
                  (C) Additional economic injury disaster loan 
                assistance.--
                          (i) In general.--If the Administrator 
                        declares eligibility for additional 
                        disaster assistance under this 
                        paragraph, the Administrator may make 
                        such loans under this subparagraph 
                        (either directly or in cooperation with 
                        banks or other lending institutions 
                        through agreements to participate on an 
                        immediate or deferred basis) as the 
                        Administrator determines appropriate to 
                        eligible small business concerns 
                        located anywhere in the United States.
                          (ii) Processing time.--
                                  (I) In general.--If the 
                                Administrator determines that 
                                the average processing time for 
                                applications for disaster loans 
                                under this subparagraph 
                                relating to a specific major 
                                disaster is more than 15 days, 
                                the Administrator shall give 
                                priority to the processing of 
                                such applications submitted by 
                                eligible small business 
                                concerns located inside the 
                                disaster area, until the 
                                Administrator determines that 
                                the average processing time for 
                                such applications is not more 
                                than 15 days.
                                  (II) Suspension of 
                                applications from outside 
                                disaster area.--If the 
                                Administrator determines that 
                                the average processing time for 
                                applications for disaster loans 
                                under this subparagraph 
                                relating to a specific major 
                                disaster is more than 30 days, 
                                the Administrator shall suspend 
                                the processing of such 
                                applications submitted by 
                                eligible small business 
                                concerns located outside the 
                                disaster area, until the 
                                Administrator determines that 
                                the average processing time for 
                                such applications is not more 
                                than 15 days.
                          (iii) Loan terms.--A loan under this 
                        subparagraph shall be made on the same 
                        terms as a loan under paragraph (2).
                  (D) Definitions.--In this paragraph--
                          (i) the term ``disaster area'' means 
                        the area for which the applicable major 
                        disaster was declared;
                          (ii) the term ``disaster-related 
                        substantial economic injury'' means 
                        economic harm to a business concern 
                        that results in the inability of the 
                        business concern to--
                                  (I) meet its obligations as 
                                it matures;
                                  (II) meet its ordinary and 
                                necessary operating expenses; 
                                or
                                  (III) market, produce, or 
                                provide a product or service 
                                ordinarily marketed, produced, 
                                or provided by the business 
                                concern because the business 
                                concern relies on materials 
                                from the disaster area or sells 
                                or markets in the disaster 
                                area; and
                          (iii) the term ``eligible small 
                        business concern'' means a small 
                        business concern--
                                  (I) that has suffered 
                                disaster-related substantial 
                                economic injury as a result of 
                                the applicable major disaster; 
                                and
                                  (II)(aa) for which not less 
                                than 25 percent of the market 
                                share of that small business 
                                concern is from business 
                                transacted in the disaster 
                                area;
                                  (bb) for which not less than 
                                25 percent of an input into a 
                                production process of that 
                                small business concern is from 
                                the disaster area; or
                                  (cc) that relies on a 
                                provider located in the 
                                disaster area for a service 
                                that is not readily available 
                                elsewhere.
          (10) Reducing closing and disbursement delays.--The 
        Administrator shall provide a clear and concise 
        notification on all application materials for loans 
        made under this subsection and on relevant websites 
        notifying an applicant that the applicant may submit 
        all documentation necessary for the approval of the 
        loan at the time of application and that failure to 
        submit all documentation could delay the approval and 
        disbursement of the loan.
          (11) Increasing transparency in loan approvals.--The 
        Administrator shall establish and implement clear, 
        written policies and procedures for analyzing the 
        ability of a loan applicant to repay a loan made under 
        this subsection.
          (12) Additional awards to small business development 
        centers, women's business centers, and score for 
        disaster recovery.--
                  (A) In general.--The Administration may 
                provide financial assistance to a small 
                business development center, a women's business 
                center described in section 29, the Service 
                Corps of Retired Executives, or any proposed 
                consortium of such individuals or entities to 
                spur disaster recovery and growth of small 
                business concerns located in an area for which 
                the President has declared a major disaster.
                  (B) Form of financial assistance.--Financial 
                assistance provided under this paragraph shall 
                be in the form of a grant, contract, or 
                cooperative agreement.
                  (C) No matching funds required.--Matching 
                funds shall not be required for any grant, 
                contract, or cooperative agreement under this 
                paragraph.
                  (D) Requirements.--A recipient of financial 
                assistance under this paragraph shall provide 
                counseling, training, and other related 
                services, such as promoting long-term 
                resiliency, to small business concerns and 
                entrepreneurs impacted by a major disaster.
                  (E) Performance.--
                          (i) In general.--The Administrator, 
                        in cooperation with the recipients of 
                        financial assistance under this 
                        paragraph, shall establish metrics and 
                        goals for performance of grants, 
                        contracts, and cooperative agreements 
                        under this paragraph, which shall 
                        include recovery of sales, recovery of 
                        employment, reestablishment of business 
                        premises, and establishment of new 
                        small business concerns.
                          (ii) Use of estimates.--The 
                        Administrator shall base the goals and 
                        metrics for performance established 
                        under clause (i), in part, on the 
                        estimates of disaster impact prepared 
                        by the Office of Disaster Assistance 
                        for purposes of estimating loan-making 
                        requirements.
                  (F) Term.--
                          (i) In general.--The term of any 
                        grant, contract, or cooperative 
                        agreement under this paragraph shall be 
                        for not more than 2 years.
                          (ii) Extension.--The Administrator 
                        may make 1 extension of a grant, 
                        contract, or cooperative agreement 
                        under this paragraph for a period of 
                        not more than 1 year, upon a showing of 
                        good cause and need for the extension.
                  (G) Exemption from other program 
                requirements.--Financial assistance provided 
                under this paragraph is in addition to, and 
                wholly separate from, any other form of 
                assistance provided by the Administrator under 
                this Act.
                  (H) Competitive basis.--The Administration 
                shall award financial assistance under this 
                paragraph on a competitive basis.
          (13) Supplemental assistance for contractor 
        malfeasance.--
                  (A) In general.--If a contractor or other 
                person engages in malfeasance in connection 
                with repairs to, rehabilitation of, or 
                replacement of real or personal property 
                relating to which a loan was made under this 
                subsection and the malfeasance results in 
                substantial economic damage to the recipient of 
                the loan or substantial risks to health or 
                safety, upon receiving documentation of the 
                substantial economic damage or the substantial 
                risk to health and safety from an independent 
                loss verifier, and subject to subparagraph (B), 
                the Administrator may increase the amount of 
                the loan under this subsection, as necessary 
                for the cost of repairs, rehabilitation, or 
                replacement needed to address the cause of the 
                economic damage or health or safety risk.
                  (B) Requirements.--The Administrator may only 
                increase the amount of a loan under 
                subparagraph (A) upon receiving an appropriate 
                certification from the borrower and person 
                performing the mitigation attesting to the 
                reasonableness of the mitigation costs and an 
                assignment of any proceeds received from the 
                person engaging in the malfeasance. The 
                assignment of proceeds recovered from the 
                person engaging in the malfeasance shall be 
                equal to the amount of the loan under this 
                section. Any mitigation activities shall be 
                subject to audit and independent verification 
                of completeness and cost reasonableness.
          (14) Business recovery centers.--
                  (A) In general.--The Administrator, acting 
                through the district offices of the 
                Administration, shall identify locations that 
                may be used as recovery centers by the 
                Administration in the event of a disaster 
                declared under this subsection or a major 
                disaster.
                  (B) Requirements for identification.--Each 
                district office of the Administration shall--
                          (i) identify a location described in 
                        subparagraph (A) in each county, 
                        parish, or similar unit of general 
                        local government in the area served by 
                        the district office; and
                          (ii) ensure that the locations 
                        identified under subparagraph (A) may 
                        be used as a recovery center without 
                        cost to the Government, to the extent 
                        practicable.
          (15) Increased oversight of economic injury disaster 
        loans.--The Administrator shall increase oversight of 
        entities receiving loans under paragraph (2), and may 
        consider--
                  (A) scheduled site visits to ensure borrower 
                eligibility and compliance with requirements 
                established by the Administrator; and
                  (B) reviews of the use of the loan proceeds 
                by an entity described in paragraph (2) to 
                ensure compliance with requirements established 
                by the Administrator.
   No loan under this subsection, including renewals and 
extensions thereof, may be made for a period or periods 
exceeding thirty years: Provided, That the Administrator may 
consent to a suspension in the payment of principal and 
interest charges on, and to an extension in the maturity of, 
the Federal share of any loan under this subsection for a 
period not to exceed five years, if (A) the borrower under such 
loan is a homeowner or a small business concern, (B) the loan 
was made to enable (i) such homeowner to repair or replace his 
home, or (ii) such concern to repair or replace plant or 
equipment which was damaged or destroyed as the result of a 
disaster meeting the requirements of clause (A) or (B) of 
paragraph (2) of this subsection, and (C) the Administrator 
determines such action is necessary to avoid severe financial 
hardship: Provided further, That the provisions of paragraph 
(1) of subsection (d) of this section shall not be applicable 
to any such loan having a maturity in excess of twenty years. 
Notwithstanding any other provision of law, and except as 
provided in subsection (d), the interest rate on the 
Administration's share of any loan made under subsection (b), 
shall not exceed the average annual interest rate on all 
interest-bearing obligations of the United States then forming 
a part of the public debt as computed at the end of the fiscal 
year next preceding the date of the loan and adjusted to the 
nearest one-eight of 1 per centum plus one-quarter of 1 per 
centum: Provided, however, That the interest rate for loans 
made under paragraphs (1) and (2) hereof shall not exceed the 
rate of interest which is in effect at the time of the 
occurrence of the disaster. In agreements to participate in 
loans on a deferred basis under this subsection, such 
participation by the Administration shall not be in excess of 
90 per centum of the balance of the loan outstanding at the 
time of disbursement. Notwithstanding any other provision of 
law, the interest rate on the Administration's share of any 
loan made pursuant to paragraph (1) of this subsection to 
repair or replace a primary residence and/or replace or repair 
damaged or destroyed personal property, less the amount of 
compensation by insurance or otherwise, with respect to a 
disaster occurring on or after July 1, 1976, and prior to 
October 1, 1978, shall be: 1 per centum on the amount of such 
loan not exceeding $10,000, and 3 per centum on the amount of 
such loan over $10,000 but not exceeding $40,000. The interest 
rate on the Administration's share of the first $250,000 of all 
other loans made pursuant to paragraph (1) of this subsection, 
with respect to a disaster occurring on or after July 1, 1976, 
and prior to October 1, 1978, shall be 3 per centum. All 
repayments of principal on the Administration's share of any 
loan made under the above provisions shall first be applied to 
reduce the principal sum of such loan which bears interest at 
the lower rates provided in this paragraph. The principal 
amount of any loan made pursuant to paragraph (1) in connection 
with a disaster which occurs on or after April 1, 1977, but 
prior to January 1, 1978, may be increased by such amount, but 
not more than $2,000, as the Administration determines to be 
reasonable in light of the amount and nature of loss, damage, 
or injury sustained in order to finance the installation of 
insulation in the property which was lost, damaged, or injured, 
if the uninsured, damaged portion of the property is 10 per 
centum or more of the market value of the property at the time 
of the disaster. No later than June 1, 1978, the Administration 
shall prepare and transmit to the Select Committee on Small 
Business of the Senate, the Committee on Small Business of the 
House of Representatives, and the Committee of the Senate and 
House of Representatives having jurisdiction over measures 
relating to energy conservation, a report on its activities 
under this paragraph, including therein an evaluation of the 
effect of such activities on encouraging the installation of 
insulation in property which is repaired or replaced after a 
disaster which is subject to this paragraph, and its 
recommendations with respect to the continuation, modification, 
or termination of such activities.
   In the administration of the disaster loan program under 
paragraphs (1) and (2) of this subsection, in the case of 
property loss or damage or injury resulting from a major 
disaster as determined by the President or a disaster as 
determined by the Administrator which occurs on or after 
January 1, 1971, and prior to July 1, 1973, the Small Business 
Administration, to the extent such loss or damage or injury is 
not compensated for by insurance or otherwise--
          (A) may make any loan for repair, rehabilitation, or 
        replacement of property damaged or destroyed without 
        regard to whether the required financial assistance is 
        otherwise available from private sources;
          (B) may, in the case of the total destruction or 
        substantial property damage of a home or business 
        concern, refinance any mortgage or other liens 
        outstanding against the destroyed or damaged property 
        if such project is to be repaired, rehabilitated, or 
        replaced, except that (1) in the case of a business 
        concern, the amount refinanced shall not exceed the 
        amount of the physical loss sustained, and (2) in the 
        case of a home, the amount of each monthly payment of 
        principal and interest on the loan after refinancing 
        under this clause shall be not less than the amount of 
        each such payment made prior to such refinancing;
          (C) may, in the case of a loan made under clause (A) 
        or a mortgage or other lien refinanced under clause (B) 
        in connection with the destruction of, or substantial 
        damage to, property owned and used as a residence by an 
        individual who by reason of retirement, disability, or 
        other similar circumstances relies for support on 
        survivor, disability, or retirement benefits under a 
        pension, insurance, or other program, consent to the 
        suspension of the payments of the principal of that 
        loan, mortgage, or lien during the lifetime of that 
        individual and his souse for so long as the 
        Administration determines that making such payments 
        would constitute a substantial hardship;
          (D) shall, notwithstanding the provisions of any 
        other law and upon presentation by the applicant of 
        proof of loss or damage or injury and a bona fide 
        estimate of cost of repair, rehabilitation, or 
        replacement, cancel the principal of any loan made to 
        cover a loss or damage or injury resulting from such 
        disaster, except that--
                  (i) with respect to a loan made in connection 
                with a disaster occurring on or after January 
                1, 1971 but prior to January 1, 1972, the total 
                amount so canceled shall not exceed $2,500, and 
                the interest on the balance of the loan shall 
                be at a rate of 3 per centum per annum; and
                  (ii) with respect to a loan made in 
                connection with a disaster occurring on or 
                after January 1, 1972 but prior to July 1, 
                1973, the total amount so canceled shall not 
                exceed $5,000, and the interest on the balance 
                of the loan shall be at a rate of 1 per centum 
                per annum.
  With respect to any loan referred to in clause (D) which is 
outstanding on the date of enactment of this paragraph, the 
Administrator shall--
          (i) make sure change in the interest rate on the 
        balance of such loan as is required under that clause 
        effective as of such date of enactment; and
          (ii) in applying the limitation set forth in that 
        clause with respect to the total amount of such loan 
        which may be canceled, consider as part of the amount 
        so canceled any part of such loan which was previously 
        canceled pursuant to section 231 of the Disaster Relief 
        Act of 1970.
  Whoever wrongfully misapplies the proceeds of a loan obtained 
under this subsection shall be civilly liable to the 
Administrator in an amount equal to one-and-one-half times the 
original principal amount of the loan.
          (E) A State grant made on or prior to July 1, 1979, 
        shall not be considered compensation for the purpose of 
        applying the provisions of section 312(a) of the 
        Disaster Relief and Emergency Assistance Act to a 
        disaster loan under paragraph (1) (2)of this 
        subsection.
  (c) Private Disaster Loans.--
          (1) Definitions.--In this subsection--
                  (A) the term ``disaster area'' means any area 
                for which the President declared a major 
                disaster relating to which the Administrator 
                declares eligibility for additional disaster 
                assistance under subsection (b)(9), during the 
                period of that major disaster declaration;
                  (B) the term ``eligible individual'' means an 
                individual who is eligible for disaster 
                assistance under subsection (b)(1) relating to 
                a major disaster relating to which the 
                Administrator declares eligibility for 
                additional disaster assistance under subsection 
                (b)(9);
                  (C) the term ``eligible small business 
                concern'' means a business concern that is--
                          (i) a small business concern, as 
                        defined under this Act; or
                          (ii) a small business concern, as 
                        defined in section 103 of the Small 
                        Business Investment Act of 1958;
                  (D) the term ``preferred lender'' means a 
                lender participating in the Preferred Lender 
                Program;
                  (E) the term ``Preferred Lender Program'' has 
                the meaning given that term in subsection 
                (a)(2)(C)(ii); and
                  (F) the term ``qualified private lender'' 
                means any privately-owned bank or other lending 
                institution that--
                          (i) is not a preferred lender; and
                          (ii) the Administrator determines 
                        meets the criteria established under 
                        paragraph (10).
          (2) Program required.--The Administrator shall carry 
        out a program, to be known as the Private Disaster 
        Assistance program, under which the Administration may 
        guarantee timely payment of principal and interest, as 
        scheduled, on any loan made to an eligible small 
        business concern located in a disaster area and to an 
        eligible individual.
          (3) Use of loans.--A loan guaranteed by the 
        Administrator under this subsection may be used for any 
        purpose authorized under subsection (b).
          (4) Online applications.--
                  (A) Establishment.--The Administrator may 
                establish, directly or through an agreement 
                with another entity, an online application 
                process for loans guaranteed under this 
                subsection.
                  (B) Other federal assistance.--The 
                Administrator may coordinate with the head of 
                any other appropriate Federal agency so that 
                any application submitted through an online 
                application process established under this 
                paragraph may be considered for any other 
                Federal assistance program for disaster relief.
                  (C) Consultation.--In establishing an online 
                application process under this paragraph, the 
                Administrator shall consult with appropriate 
                persons from the public and private sectors, 
                including private lenders.
          (5) Maximum amounts.--
                  (A) Guarantee percentage.--The Administrator 
                may guarantee not more than 85 percent of a 
                loan under this subsection.
                  (B) Loan amount.--The maximum amount of a 
                loan guaranteed under this subsection shall be 
                $2,000,000.
          (6) Terms and conditions.--A loan guaranteed under 
        this subsection shall be made under the same terms and 
        conditions as a loan under subsection (b).
          (7) Lenders.--
                  (A) In general.--A loan guaranteed under this 
                subsection made to--
                          (i) a qualified individual may be 
                        made by a preferred lender; and
                          (ii) a qualified small business 
                        concern may be made by a qualified 
                        private lender or by a preferred lender 
                        that also makes loans to qualified 
                        individuals.
                  (B) Compliance.--If the Administrator 
                determines that a preferred lender knowingly 
                failed to comply with the underwriting 
                standards for loans guaranteed under this 
                subsection or violated the terms of the 
                standard operating procedure agreement between 
                that preferred lender and the Administration, 
                the Administrator shall do 1 or more of the 
                following:
                          (i) Exclude the preferred lender from 
                        participating in the program under this 
                        subsection.
                          (ii) Exclude the preferred lender 
                        from participating in the Preferred 
                        Lender Program for a period of not more 
                        than 5 years.
          (8) Fees.--
                  (A) In general.--The Administrator may not 
                collect a guarantee fee under this subsection.
                  (B) Origination fee.--The Administrator may 
                pay a qualified private lender or preferred 
                lender an origination fee for a loan guaranteed 
                under this subsection in an amount agreed upon 
                in advance between the qualified private lender 
                or preferred lender and the Administrator.
          (9) Documentation.--A qualified private lender or 
        preferred lender may use its own loan documentation for 
        a loan guaranteed by the Administrator under this 
        subsection, to the extent authorized by the 
        Administrator. The ability of a lender to use its own 
        loan documentation for a loan guaranteed under this 
        subsection shall not be considered part of the criteria 
        for becoming a qualified private lender under the 
        regulations promulgated under paragraph (10).
          (10) Implementation regulations.--
                  (A) In general.--Not later than 1 year after 
                the date of enactment of the Small Business 
                Disaster Response and Loan Improvements Act of 
                2008, the Administrator shall issue final 
                regulations establishing permanent criteria for 
                qualified private lenders.
                  (B) Report to congress.--Not later than 6 
                months after the date of enactment of the Small 
                Business Disaster Response and Loan 
                Improvements Act of 2008, the Administrator 
                shall submit a report on the progress of the 
                regulations required by subparagraph (A) to the 
                Committee on Small Business and 
                Entrepreneurship of the Senate and the 
                Committee on Small Business of the House of 
                Representatives.
          (11) Authorization of appropriations.--
                  (A) In general.--Amounts necessary to carry 
                out this subsection shall be made available 
                from amounts appropriated to the Administration 
                to carry out subsection (b).
                  (B) Authority to reduce interest rates and 
                other terms and conditions.--Funds appropriated 
                to the Administration to carry out this 
                subsection, may be used by the Administrator to 
                meet the loan terms and conditions specified in 
                paragraph (6).
          (12) Purchase of loans.--The Administrator may enter 
        into an agreement with a qualified private lender or 
        preferred lender to purchase any loan guaranteed under 
        this subsection.
  (d)(1) The Administration may further extend the maturity of 
or renew any loan made pursuant to this section, or any loan 
transferred to the Administration pursuant to Reorganization 
Plan Numbered 2 of 1954, or Reorganization Plan Numbered 1 of 
1957, for additional periods not to exceed ten years beyond the 
period stated therein, if such extension or renewal will aid in 
the orderly liquidation of such loan.
          (2) During any period in which principal and interest 
        charges are suspended on the Federal share of any loan, 
        as provided in subsection (b), the Administrator shall, 
        upon the request of any person, firm, or corporation 
        having a participation in such loan, purchase such 
        participation, or assume the obligation of the 
        borrower, for the balance of such period, to make 
        principal and interest payments on the non-Federal 
        share of such loan: Provided, That no such payments 
        shall be made by the Administrator in behalf of any 
        borrower unless (i) the Administrator determines that 
        such action is necessary in order to avoid a default, 
        and (ii) the borrower agrees to make payments to the 
        Administration in an agreegate amount equal to the 
        amount paid in its behalf by the Administrator, in such 
        manner and at such time (during or after the term of 
        the loan) as the Administrator shall determine having 
        due regard to the purposes sought to be achieved by 
        this paragraph.
          (3) With respect to a disaster occurring on or after 
        October 1, 1978, and prior the effective date of this 
        Act, on the Administration's share of loans made 
        pursuant to paragraph (1) of subsection (b)--
                          (A) if the loan proceeds are to 
                        repair or replace a primary residence 
                        and/or repair or replace damaged or 
                        destroyed personal property, the 
                        interest rate shall be 3 percent on the 
                        first $55,000 of such loan;
                          (B) if the loan proceeds are to 
                        repair or replace property damaged or 
                        destroyed and if the applicant is a 
                        business concern which is unable to 
                        obtain sufficient credit elsewhere, the 
                        interest rate shall be as determined by 
                        the Administration, but not in excess 
                        of 5 percent per annum; and
                  (C) if the loan proceeds are to repair or 
                replace property damaged or destroyed and if 
                the applicant is a business concern which is 
                able to obtain sufficient credit elsewhere, the 
                interest rate shall not exceed the current 
                average market yield on outstanding marketable 
                obligations of the United States with remaining 
                periods to maturity comparable to the average 
                maturities of such loans and adjusted to the 
                nearest one-eight of 1 percent, and an 
                additional amount as determined by the 
                Administration, but not to exceed 1 percent: 
                Provided, That three years after such loan is 
                fully disbursed and every two years thereafter 
                for the term of the loan, if the Administration 
                determines that the borrower is able to obtain 
                a loan from one-Federal sources at reasonable 
                rates and terms for loans of similar purposes 
                and periods of time, the borrower shall, upon 
                request by the Administration, apply for and 
                accept such a loan in sufficient amount to 
                repay the Administration: Provided further, 
                That no loan under subsection (b)(1) shall be 
                made, either directly or in cooperation with 
                banks or other lending institutions through 
                agreements to participate on an immediate or 
                deferred basis, if the total amount outstanding 
                and committed to the borrower under such 
                subsection would exceed $500,000 for each 
                disaster, unless an applicant constitutes a 
                major source of employment in an area suffering 
                a disaster, in which case the Administration, 
                in its discretion, may waive the $500,000 
                limitation.
          (4) Notwithstanding the provisions of any other law, 
        the interest rate on the Federal share of any loan made 
        under subsection (b) shall be--
                  (A) in the case of a homeowner unable to 
                secure credit elsewhere, the rate prescribed by 
                the Administration but not more than one-half 
                the rate determined by the Secretary of the 
                Treasury taking into consideration the current 
                average market yield on outstanding marketable 
                obligations of the United States with remaining 
                periods to maturity comparable to the average 
                maturities of such loans plus an additional 
                charge of not to exceed 1 per centum per annum 
                as determined by the Administrator, and 
                adjusted to the nearest one-eight of 1 per 
                centum but not to exceed 8 per centum per 
                annum;
                  (B) in the case of a homeowner able to secure 
                credit elsewhere, the rate prescribed by the 
                Administration but not more than the rate 
                determined by the Secretary of the Treasury 
                taking into consideration the current average 
                market yield on outstanding marketable 
                obligations of the United States with remaining 
                periods to maturity comparable to the average 
                maturities of such loans plus an additional 
                charge of not to exceed 1 per centum per annum 
                as determined by the Administrator, and 
                adjusted to the nearest one-eighth of 1 per 
                centum;
                  (C) in the case of a business concern unable 
                to obtain credit elsewhere, not to exceed 8 per 
                centum per annum;
                  (D) in the case of a business concern able to 
                obtain credit elsewhere, the rate prescribed by 
                the Administration but not in excess of the 
                rate prevailing in private market for similar 
                loans and not more than the rate prescribed by 
                the Administration as the maximum interest rate 
                for deferred participation (guaranteed) loans 
                under section 7(a) of this Act. Loans under 
                this subparagraph shall be limited to a maximum 
                term of three years.
          (5) Notwithstanding the provisions of any other law, 
        the interest rate on the Federal share of any loan made 
        under subsection (b)(1) and (b)(2) on account of a 
        disaster commencing on or after October 1, 1982, shall 
        be--
                  (A) in the case of a homeowner unable to 
                secure credit elsewhere, the rate prescribed by 
                the Administration but not more than one-half 
                the rate determined by the Secretary of the 
                Treasury taking into consideration the current 
                average market yield on outstanding marketable 
                obligations of the United States with remaining 
                periods to maturity comparable to the average 
                maturities of such loan plus an additional 
                charge of not to exceed 1 per centum per annum 
                as determined by the Administrator, and 
                adjusted to the nearest one-eighth of 1 per 
                centum, but not to exceed 4 per centum per 
                annum;
                  (B) in the case of a homeowner, able to 
                secure credit elsewhere, the rate prescribed by 
                the Administration but not more than the rate 
                determined by the Secretary of the Treasury 
                taking into consideration the current average 
                market yield on outstanding marketable 
                obligations of the United States with remaining 
                periods to maturity comparable to the average 
                maturities of such loans plus an additional 
                charge of not to exceed 1 per centum per annum 
                as determined by the Administrator, and 
                adjusted to the nearest one-eighth of 1 per 
                centum, but not to exceed 8 per centum per 
                annum;
                  (C) in the case of a business, private 
                nonprofit organization, or other concern, 
                including agricultural cooperatives, unable to 
                obtain credit elsewhere, not to exceed 4 per 
                centum per annum;
                  (D) in the case of a business concern able to 
                obtain credit elsewhere, the rate prescribed by 
                the Administration but not in excess of the 
                lowest of (i) the rate prevailing in the 
                private market for similar loans, (ii) the rate 
                prescribed by the Administration as the maximum 
                interest rate for deferred participation 
                (guaranteed) loans under section 7(a) of this 
                Act, or (iii) 8 per centum per annum. Loans 
                under this subparagraph shall be limited to a 
                maximum term of 7 years.
          (6) Notwithstanding the provisions of any other law, 
        such loans, subject to the reductions required by 
        subparagraphs (A) and (B) of paragraph 7(b)(1), shall 
        be in amounts equal to 100 per centum of loss. The 
        interest rate for loans made under paragraphs 7(b)(1) 
        and (2), as determined pursuant to paragraph (5), shall 
        be the rate of interest which is in effect on the date 
        of the disaster commenced: Provided, That no loan under 
        paragraphs 7(b) (1) and (2) shall be made, either 
        directly or in cooperation with banks or other lending 
        institutions through agreements to participate on an 
        immediate or deferred (guaranteed) basis, if the total 
        amount outstanding and committed to the borrower under 
        subsection 7(b) would exceed $500,000 for each disaster 
        unless an applicant constitutes a major source of 
        employment in an area suffering a disaster, in which 
        case the Administration, in its discretion, may waive 
        the $500,000 limitation: Provided further, That the 
        Administration, subject to the reductions required by 
        subparagraphs (A) and (B) of paragraph 7(b)(1), shall 
        not reduce the amount of eligibility for any homeowner 
        on account of loss of real estate to less than $100,000 
        for each disaster nor for any homeowner or lessee on 
        account of loss of personal property to less than 
        $20,000 for each disaster, such sums being in addition 
        to any eligible refinancing: Provided further, That the 
        Administration shall not require collateral for loans 
        of $25,000 or less (or such higher amount as the 
        Administrator determines appropriate in the event of a 
        disaster) which are made under paragraph (1) of 
        subsection (b): Provided further, That the 
        Administrator, in obtaining the best available 
        collateral for a loan of not more than $200,000 under 
        paragraph (1) or (2) of subsection (b) relating to 
        damage to or destruction of the property of, or 
        economic injury to, a small business concern, shall not 
        require the owner of the small business concern to use 
        the primary residence of the owner as collateral if the 
        Administrator determines that the owner has other 
        assets of equal quality and with a value equal to or 
        greater than the amount of the loan that could be used 
        as collateral for the loan: Provided further, That 
        nothing in the preceding proviso may be construed to 
        reduce the amount of collateral required by the 
        Administrator in connection with a loan described in 
        the preceding proviso or to modify the standards used 
        to evaluate the quality (rather than the type) of such 
        collateral. Employees of concerns sharing a common 
        business premises shall be aggregated in determining 
        ``major source of employment'' status for nonprofit 
        applicants owning such premises.
With respect to any loan which is outstanding on the date of 
enactment of this paragraph and which was made on account of a 
disaster commencing on or after October 1, 1982, the 
Administrator shall made such change in the interest rate on 
the balance of such loan as is required herein effective as of 
the date of enactment.
=======================================================================


[Note: Effective on November 25, 2018, section 2102(b) of 
Public Law 114-88 provides for amendments to the third proviso 
of section 7(d)(6). Upon such date, paragraph (6) will read as 
follows:]

          (6) Notwithstanding the provisions of any other law, 
        such loans, subject to the reductions required by 
        subparagraphs (A) and (B) of paragraph 7(b)(1), shall 
        be in amounts equal to 100 per centum of loss. The 
        interest rate for loans made under paragraphs 7(b)(1) 
        and (2), as determined pursuant to paragraph (5), shall 
        be the rate of interest which is in effect on the date 
        of the disaster commenced: Provided, That no loan under 
        paragraphs 7(b) (1) and (2) shall be made, either 
        directly or in cooperation with banks or other lending 
        institutions through agreements to participate on an 
        immediate or deferred (guaranteed) basis, if the total 
        amount outstanding and committed to the borrower under 
        subsection 7(b) would exceed $500,000 for each disaster 
        unless an applicant constitutes a major source of 
        employment in an area suffering a disaster, in which 
        case the Administration, in its discretion, may waive 
        the $500,000 limitation: Provided further, That the 
        Administration, subject to the reductions required by 
        subparagraphs (A) and (B) of paragraph 7(b)(1), shall 
        not reduce the amount of eligibility for any homeowner 
        on account of loss of real estate to less than $100,000 
        for each disaster nor for any homeowner or lessee on 
        account of loss of personal property to less than 
        $20,000 for each disaster, such sums being in addition 
        to any eligible refinancing: Provided further, That the 
        Administration shall not require collateral for loans 
        of $14,000 or less (or such higher amount as the 
        Administrator determines appropriate in the event of a 
        major disaster) which are made under paragraph (1) of 
        subsection (b): Provided further, That the 
        Administrator, in obtaining the best available 
        collateral for a loan of not more than $200,000 under 
        paragraph (1) or (2) of subsection (b) relating to 
        damage to or destruction of the property of, or 
        economic injury to, a small business concern, shall not 
        require the owner of the small business concern to use 
        the primary residence of the owner as collateral if the 
        Administrator determines that the owner has other 
        assets of equal quality and with a value equal to or 
        greater than the amount of the loan that could be used 
        as collateral for the loan: Provided further, That 
        nothing in the preceding proviso may be construed to 
        reduce the amount of collateral required by the 
        Administrator in connection with a loan described in 
        the preceding proviso or to modify the standards used 
        to evaluate the quality (rather than the type) of such 
        collateral. Employees of concerns sharing a common 
        business premises shall be aggregated in determining 
        ``major source of employment'' status for nonprofit 
        applicants owning such premises.
With respect to any loan which is outstanding on the date of 
enactment of this paragraph and which was made on account of a 
disaster commencing on or after October 1, 1982, the 
Administrator shall made such change in the interest rate on 
the balance of such loan as is required herein effective as of 
the date of enactment.
=======================================================================

  (7) The Administration shall not withhold disaster assistance 
pursuant to this paragraph to nurseries who are victims of 
drought disasters. As used in section 7(b)(2) the term ``an 
area affected by a disaster'' includes any county, or county 
contiguous thereto, determined to be a disaster by the 
President, the Secretary of Agriculture or the Administrator of 
the Small Business Administration.
          (8) Disaster loans for superstorm sandy.--
                  (A) In general.--Notwithstanding any other 
                provision of law, and subject to the same 
                requirements and procedures that are used to 
                make loans pursuant to subsection (b), a small 
                business concern, homeowner, nonprofit entity, 
                or renter that was located within an area and 
                during the time period with respect to which a 
                major disaster was declared by the President 
                under section 401 of the Robert T. Stafford 
                Disaster Relief and Emergency Assistance Act 
                (42 U.S.C. 5170) by reason of Superstorm Sandy 
                may apply to the Administrator--
                          (i) for a loan to repair, 
                        rehabilitate, or replace property 
                        damaged or destroyed by reason of 
                        Superstorm Sandy; or
                          (ii) if such a small business concern 
                        has suffered substantial economic 
                        injury by reason of Superstorm Sandy, 
                        for a loan to assist such a small 
                        business concern.
                  (B) Timing.--The Administrator shall select 
                loan recipients and make available loans for a 
                period of not less than 1 year after the date 
                on which the Administrator carries out this 
                authority.
                  (C) Inspector general review.--Not later than 
                6 months after the date on which the 
                Administrator begins carrying out this 
                authority, the Inspector General of the 
                Administration shall initiate a review of the 
                controls for ensuring applicant eligibility for 
                loans made under this paragraph.
  (e) The Administration shall not fund any Small Business 
Development Center or any variation thereof, except as 
authorized in section 21 of this Act.
  (f) Additional Requirements for 7(b) Loans.--
          (1) Increased deferment authorized.--
                  (A) In general.--In making loans under 
                subsection (b), the Administrator may provide, 
                to the person receiving the loan, an option to 
                defer repayment on the loan.
                  (B) Period.--The period of a deferment under 
                subparagraph (A) may not exceed 4 years.
  (g) Net Earnings Clauses Prohibited for 7(b) Loans.--In 
making loans under subsection (b), the Administrator shall not 
require the borrower to pay any non-amortized amount for the 
first five years after repayment begins.
  (e) [RESERVED].
  (f) [RESERVED].
  (h)(1) The Administration also is empowered, where other 
financial assistance is not available on reasonable terms, to 
make such loans (either directly or in cooperation with Banks 
or other lending institutions through agreements to participate 
on an immediate or deferred basis) as the Administration may 
determine to be necessary or appropriate--
          (A) to assist any public or private organization--
                  (i) which is organized under the laws of the 
                United States or of any State, operated in the 
                interest of handicapped individuals, the net 
                income of which does not inure in whole or in 
                part to the benefit of any shareholder or other 
                individual;
                  (ii) which complies with any applicable 
                occupational health and safety standard 
                prescribed by the Secretary of Labor; and
                  (iii) which, in the production of commodities 
                and in the provision of services during any 
                fiscal year in which it receives financial 
                assistance under this subsection, employs 
                handicapped individuals for not less than 75 
                per centum of the man-hours required for the 
                production or provision of the commodities or 
                services; or
          (B) to assist any handicapped individual in 
        establishing, acquiring, or operating a small business 
        concern.
  (2) The Administration's share of any loan made under this 
subsection shall not exceed $350,000, nor may any such loan be 
made if the total amount outstanding and committed (by 
participation or otherwise) to the borrower from the business 
loan and investment fund established by section 4(c)(1)(B) of 
this Act would exceed $350,000. In agreements to participate in 
loans on a deferred basis under this subsection, the 
Administration's participation may total 100 per centum of the 
balance of the loan at the time of disbursement. The 
Administration's share of any loan made under this subsection 
shall bear interest at the rate of 3 per centum per annum. The 
maximum term of any such loan, including extensions and 
renewals thereof, may not exceed fifteen years. All loans made 
under this subsection shall be of such sound value or so 
secured as reasonably to assure repayment: Provided, however, 
That any reasonable doubt shall be resolved in favor of the 
applicant.
  (3) For purposes of this subsection, the term ``handicapped 
individual'' means a person who has a physical, mental, or 
emotional impairment, defect, ailment, disease, or disability 
of a permanent nature which in any way limits the selection of 
any type of employment for which the person would otherwise be 
qualified or qualifiable.
  (i)(1) The Administration also is empowered to make, 
participate (on an immediate basis) in, or guarantee loans, 
repayable in not more than fifteen years, to any small business 
concern, or to any qualified person seeking to establish such a 
concern, when it determines that such loans will further the 
policies established in section 2(b) of this Act, with 
particular emphasis on the preservation or establishment of 
small business concerns located in urban or rural areas with 
high proportions of unemployed or low-income individuals, or 
owned by low-income individuals: Provided, however, That no 
such loans shall be made, participated in, or guaranteed if the 
total of such Federal assistance to a single borrower 
outstanding at any one time would exceed $100,000. The 
Administration may defer payments on the principal of such 
loans for a grace period and use such other methods as it deems 
necessary and appropriate to assure the successful 
establishment and operation of such concern. The Administration 
may, in its discretion, as a condition of such financial 
assistance, require that the borrower take steps to improve his 
management skills by participating in a management training 
program approved by the Administration: Provided, however, That 
any management training program so approved must be of 
sufficient scope and duration to provide reasonable opportunity 
for the individuals served to develop entrepreneurial and 
managerial self-sufficiency.
  (2) The Administration shall encourage, as far as possible, 
the participation of the private business community in the 
program of assistance to such concerns, and shall seek to 
stimulate new private lending activities to such concerns 
through the use of the loan guarantees, participations in 
loans, and pooling arrangements authorized by this subsection.
  (3) To insure an equitable distribution between urban and 
rural areas for loans between $3,500 and $100,000 made under 
this subsection, the Administration is authorized to use the 
agencies and agreements and delegations developed under title 
III of the Economic Opportunity Act of 1964, as amended, as it 
shall determine necessary.
  (4) The Administration shall provide for the continuing 
evaluation of programs under this subsection, including full 
information on the location, income characteristics, and types 
of businesses and individuals assisted, and on new private 
lending activity stimulated, and the results of such evaluation 
together with recommendations shall be included in the report 
required by section 10(a) of this Act.
  (5) Loans made pursuant to this subsection (including 
immediate participation in and guarantees of such loans) shall 
have such terms and conditions as the Administration shall 
determine, subject to the following limitations--
          (A) there is reasonable assurance of repayment of the 
        loan;
          (B) the financial assistance is not otherwise 
        available on reasonable terms from private sources or 
        other Federal, State, or local programs;
          (C) the amount of the loan, together with other funds 
        available, is adequate to assure completion of the 
        project or achievement of the purposes for which the 
        loan is made;
          (D) the loan bears interest at a rate not less than 
        (i) a rate determined by the Secretary of the Treasury, 
        taking into consideration the average market yield on 
        outstanding Treasury obligations of comparable 
        maturity, plus (ii) such additional charge, if any, 
        toward covering other costs of the program as the 
        Administration may determine to be consistent with its 
        purposes: Provided, however, That the rate of interest 
        charged on loans made in redevelopment areas designated 
        under the Public Works and Economic Development Act of 
        1965 (42 U.S.C. 3108 et seq.) shall not exceed the rate 
        currently applicable to new loans made under section 
        201 of that Act (42 U.S.C. 3142); and
          (E) fees not in excess of amounts necessary to cover 
        administrative expenses and probable losses may be 
        required on loan guarantees.
  (6) The Administration shall take such steps as may be 
necessary to insure that, in any fiscal year, at least 50 per 
centum of the amounts loaned or guaranteed pursuant to this 
subsection are allotted to small business concerns located in 
urban areas identified by the Administration as having high 
concentrations of unemployed or low-income individuals or to 
small business concerns owned by low-income individuals. The 
Administration shall define the meaning of low income as it 
applies to owners of small business concerns eligible to be 
assisted under this subsection.
  (7) No financial assistance shall be extended pursuant to 
this subsection when the Administration determines that the 
assistance will be used in relocating establishments from one 
area to another if such relocation would result in an increase 
in unemployment in the area of original location.
  (j)(1) the Administration shall provide financial assistance 
to public or private organizations to pay all or part of the 
cost of projects designated to provide technical or management 
assistance to individuals or enterprises eligible for 
assistance under sections 7(i), 7(j)(10), and 8(a) of this Act, 
with special attention to small businesses located in areas of 
high concentration of unemployed or low-income individuals, to 
small businesses eligible to receive contracts pursuant to 
section 8(a) of this Act.
  (2) Financial assistance under this subsection may be 
provided for projects, including, but not limited to--
          (A) planning and research, including feasibility 
        studies and market research;
          (B) the identification and development of new 
        business opportunities;
          (C) the furnishing of centralized services with 
        regard to public services and Federal Government 
        programs including programs authorized under sections 
        7(i), (7)(j)(10), and 8(a) of this Act;
          (D) the establishment and strengthening of business 
        service agencies, including trade associations and 
        cooperative; and
          (E) the furnishing of business counseling, management 
        training, and legal and other related services, with 
        special emphasis on the development of management 
        training programs using the resources of the business 
        community, including the development of management 
        training opportunities in existing business, and with 
        emphasis in all cases upon providing management 
        training of sufficient scope and duration to develop 
        entrepreneurial and managerial self-sufficiency on the 
        part of the individuals served.
  (3) The Administration shall encourage the placement of 
subcontracts by businesses with small business concerns located 
in area of high concentration of unemployed or low-income 
individuals, with small businesses owned by low-income 
individuals, and with small businesses eligible to receive 
contracts pursuant to section 8(a) of this Act. The 
Administration may provide incentives and assistance to such 
businesses that will aid in the training and upgrading of 
potential subcontractors or other small business concerns 
eligible for assistance under section 7(i), 7(j), and 8(a), of 
this Act.
  (4) The Administration shall give preference to projects 
which promote the ownership, participation in ownership, or 
management of small businesses owned by low-income individuals 
and small businesses eligible to receive contracts pursuant to 
section 8(a) of this Act.
  (5) The financial assistance authorized for projects under 
this subsection includes assistance advanced by grant, 
agreement, or contract.
  (6) The Administration is authorized to make payments under 
grants and contracts entered into under this subsection in lump 
sum or installments, and in advance or by way of reimbursement, 
and in the case of grants, with necessary adjustments on 
account of overpayments or underpayments.
  (7) To the extent feasible, services under this subsection 
shall be provided in a location which is easily accessible to 
the individuals and small business concerns served.
  (9) The Administration shall take such steps as may be 
necessary and appropriate, in coordination and cooperation with 
the heads of other Federal departments and agencies, to insure 
that contracts, subcontracts, and deposits made by the Federal 
Government or with programs aided with Federal funds are placed 
in such way as to further the purposes of sections 7(i), 7(j), 
and 8(a) of this Act.
  (10) There is established with the Administration a small 
business and capital ownership development program (hereinafter 
referred to as the ``Program'') which shall provide assistance 
exclusively for small business concerns eligible to receive 
contracts pursuant to section 8(a) of this Act. The program, 
and all other services and activities authorized under section 
7(j) and 8(a) of this Act, shall be managed by the Associate 
Administrator for Minority Small Business and Capital Ownership 
Development under the supervision of, and responsible to, the 
Administrator.
          (A) The Program shall--
                  (i) assist small business concerns 
                participating in the Program (either through 
                public or private organizations) to develop and 
                maintain comprehensive business plans which set 
                forth the Program Participant's specific 
                business targets, objectives, and goals 
                developed and maintained in conformity with 
                subparagraph (D).
                  (ii) provide for such other nonfinancial 
                services as deemed necessary for the 
                establishment, preservation, and growth of 
                small business concerns participating in the 
                Program, including but not limited to (I) loan 
                packaging, (II) financing counseling, (III) 
                accounting and bookkeeping assistance, (IV) 
                marketing assistance, and (V) management 
                assistance;
                  (iii) assist small business concerns 
                participating in the Program to obtain equity 
                and debt financing;
                  (iv) establish regular performance monitoring 
                and reporting systems for small business 
                concerns participating in the Program to assure 
                compliance with their business plans;
                  (v) analyze and report the causes of success 
                and failure of small business concerns 
                participating in the Program; and
                  (vi) provide assistance necessary to help 
                small business concerns participating in the 
                Program to procure surety bonds, with such 
                assistance including, but not limited to, (I) 
                the preparation of application forms required 
                to receive a surety bond, (II) special 
                management and technical assistance designed to 
                meet the specific needs of small business 
                concerns participating in the Program and which 
                have received or are applying to receive a 
                surety bond, and (III) guarantee from the 
                Administration pursuant to title IV, part B of 
                the Small Business Investment Act of 1958.
          (B) Small business concerns eligible to receive 
        contracts pursuant to section 8(a) of this Act shall 
        participate in the Program.
          (C)(i) A small business concern participating in any 
        program or activity conducted under the authority of 
        this paragraph or eligible for the award of contracts 
        pursuant to section 8(a) on September 1, 1988, shall be 
        permitted continued participation and eligibility in 
        such program or activity for a period of time which is 
        the greater of--
                  (I) 9 years less the number of years since 
                the award of its first contract pursuant to 
                section 8(a); or
                  (II) its original fixed program participation 
                term (plus any extension thereof) assigned 
                prior to the effective date of this paragraph 
                plus eighteen months.
          (ii) Nothing contained in this subparagraph shall be 
        deemed to prevent the Administration from instituting a 
        termination or graduation pursuant to subparagraph (F) 
        or (H) for issues unrelated to the expiration of any 
        time period limitation.
          (D)(i) Promptly after certification under paragraph 
        (11) a Program Participant shall submit a business plan 
        (hereinafter referred to as the plan'') as described in 
        clause (ii) of this subparagraph for review by the 
        Business Opportunity Specialist assigned to assist such 
        Program Participant. The plan may be a revision of a 
        preliminary business plan submitted by the Program 
        Participant or required by the Administration as a part 
        of the application for certification under this section 
        and shall be designed to result in the Program 
        Participant eliminating the conditions or circumstances 
        upon which the Administration determined eligibility 
        pursuant to section 8(a)(6). Such plan, and subsequent 
        modifications submitted under clause (iii) of this 
        subparagraph, shall be approved by the business 
        opportunity specialist prior to the Program Participant 
        being eligible for award of a contract pursuant to 
        section 8(a).
                  (ii) The plans submitted under this 
                subparagraph shall include the following:
                          (I) An analysis of market potential, 
                        competitive environment, and other 
                        business analyses estimating the 
                        Program Participant's prospects for 
                        profitable operations during the term 
                        of program participation and after 
                        graduation.
                          (II) An analysis of the Program 
                        Participant's strengths and weaknesses 
                        with particular attention to correcting 
                        any financial, managerial, technical, 
                        or personnel conditions which are 
                        likely to impede the small business 
                        concern from receiving contracts other 
                        than those awarded under section 8(a).
                          (III) Specific targets, objectives, 
                        and goals, for the business development 
                        of the Program Participant during the 
                        next and succeeding years utilizing the 
                        results of the analyses conducted 
                        pursuant to subclauses (I) and (II).
                          (IV) A transition management plan 
                        outlining specific steps to assure 
                        profitable business operations after 
                        graduation (to be incorporated into the 
                        Program Participant's plan during the 
                        first year of the transitional stage of 
                        Program participation).
                          (V) Estimates of contract awards 
                        pursuant to section 8(a) and from other 
                        sources, which the Program Participant 
                        will require to meet the specific 
                        targets, objectives, and goals for the 
                        years covered by its plan. The 
                        estimates established shall be 
                        consistent with the provisions of 
                        subparagraph (I) and section 8(a).
                  (iii) Each Program Participant shall annually 
                review its currently approved plan with its 
                Business Opportunity Specialist and modify such 
                plan as may be appropriate. Any modified plan 
                shall be submitted to the Administration for 
                approval. The currently approved plan shall be 
                considered valid until such time as a modified 
                plan is approved by the Business Opportunity 
                Specialist. Annual reviews pertaining to years 
                in the transitional stage of program 
                participation shall require, as appropriate, a 
                written verification that such Program 
                Participant has complied with the requirements 
                of subparagraph (I) relating to attaining 
                business activity from sources other than 
                contracts awarded pursuant to section 8(a).
                  (iv) Each Program Participant shall annually 
                forecast its needs for contract awards under 
                section 8(a) for the next program year and the 
                succeeding program year during the review of 
                its business plan, conducted pursuant to clause 
                (iii). Such forecast shall be known as the 
                section 8(a) contract support level and shall 
                be included in the Program Participant's 
                business plan. Such forecast shall include--
                          (I) the aggregate dollar value of 
                        contract support to be sought on a 
                        noncompetitive basis under section 
                        8(a), reflecting compliance with the 
                        requirements of subparagraph (I) 
                        relating to attaining business activity 
                        from sources other than contracts 
                        awarded pursuant to section 8(a),
                          (II) the types of contract 
                        opportunities being sought, identified 
                        by Standard Industrial Classification 
                        (SIC) Code or otherwise,
                          (III) an estimate of the dollar value 
                        of contract support to be sought on a 
                        competitive basis, and
                          (IV) such other information as may be 
                        requested by the Business Opportunity 
                        Specialist to provide effective 
                        business development assistance to the 
                        Program Participant.
          (E) A small business concern participating in the 
        program conducted under the authority of this paragraph 
        and eligible for the award of contracts pursuant to 
        section 8(a) shall be denied all such assistance if 
        such concern--
                  (i) voluntarily elects not to continue 
                participation;
                  (ii) completes the period of Program 
                participation as prescribed by paragraph (15);
                  (iii) is terminated pursuant to a termination 
                proceeding conducted in accordance with section 
                8(a)(9); or
                  (iv) is graduated pursuant to a graduation 
                proceeding conducted in accordance with section 
                8(a)(9).
          (F) For the purposes of section and 8(a), the terms 
        ``terminated'' or ``termination'' means the total 
        denial or suspension of assistance under this paragraph 
        or under section 8(a) prior to the graduation of the 
        participating small business concern or prior to the 
        expiration of the maximum program participation in 
        term. An action for termination shall be based upon 
        good cause, including--
                  (i) the failure by such concern to maintain 
                its eligibility for Program participation;
                  (ii) the failure of the concern to engage in 
                business practices that will promote its 
                competitiveness within a reasonable period of 
                time as evidenced by, among other indicators, a 
                pattern of unjustified delinquent performance 
                or terminations for default with respect to 
                contracts awarded under the authority of 
                section 8(a);
                  (iii) a demonstrated pattern of failing to 
                make required submissions or responses to the 
                Administration in a timely manner;
                  (iv) the willful violation of any rule or 
                regulation of the Administration pertaining to 
                material issues;
                  (v) the debarment of the concern or its 
                disadvantaged owners by any agency pursuant to 
                subpart 9.4 of title 48, Code of Federal 
                Regulations (or any successor regulation); or
                  (vi) the conviction of the disadvantaged 
                owner or an officer of the concern for any 
                offense indicating a lack of business integrity 
                including any conviction for embezzlement, 
                theft, forgery, bribery, falsification or 
                violation of section 16. For purposes of this 
                clause, no termination action shall be taken 
                with respect to a disadvantaged owner solely 
                because of the conviction of an officer of the 
                concern (who is other than a disadvantaged 
                owner) unless such owner conspired with, 
                abetted, or otherwise knowingly acquiesced in 
                the activity or omission that was the basis of 
                such officer's conviction.
          (G) The Director of the Division may initiate a 
        termination proceeding by recommending such action to 
        the Associate Administrator for Minority Small Business 
        and Capital Ownership Development. Whenever the 
        Associate Administrator, or a designee of such officer, 
        determines such termination is appropriate, within 15 
        days after making such a determination the Program 
        Participant shall be provided a written notice of 
        intent to terminate, specifying the reasons for such 
        action. No Program Participant shall be terminated from 
        the Program pursuant to subparagraph (F) without first 
        being afforded an opportunity for a hearing in 
        accordance with section 8(a)(9).
          (H) For the purposes of sections 7(j) and 8(a) the 
        term ``graduated'' or ``graduation'' means that the 
        Program Participant is recognized as successfully 
        completing the program by substantially achieving the 
        targets, objectives, and goals contained in the 
        concern's business plan thereby demonstrating its 
        ability to compete in the marketplace without 
        assistance under this section or section 8(a).
          (I)(i) During the developmental stage of its 
        participation in the Program, a Program Participant 
        shall take all reasonable efforts within its control to 
        attain the targets contained in its business plan for 
        contracts awarded other than pursuant to section 8(a) 
        (hereinafter referred to as ``business activity 
        targets.''). Such efforts shall be made a part of the 
        business plan and shall be sufficient in scope and 
        duration to satisfy the Administration that the Program 
        Participant will engage a reasonable marketing strategy 
        that will maximize its potential to achieve its 
        business activity targets.
          (ii) During the transitional stage of the Program a 
        Program Participant shall be subject to regulations 
        regarding business activity targets that are 
        promulgated by the Administration pursuant to clause 
        (iii);
          (iii) The regulations referred to in clause (ii) 
        shall:
                  (I) establish business activity targets 
                applicable to Program Participants during the 
                fifth year and each succeeding year of Program 
                Participation; such targets, for such period of 
                time, shall reflect a reasonably consistent 
                increase in contracts awarded other than 
                pursuant to section 8(a), expressed as a 
                percentage of total sales; when promulgating 
                business activity targets the Administration 
                may establish modified targets for Program 
                Participants that have participated in the 
                Program for a period of longer than four years 
                on the effective date of this subparagraph;
                  (II) require a Program Participant to attain 
                its business activity targets;
                  (III) provide that, before the receipt of any 
                contract to be awarded pursuant to section 
                8(a), the Program Participant (if it is in the 
                transitional stage) must certify that it has 
                complied with the regulations promulgated 
                pursuant to subclause (II), or that it is in 
                compliance with such remedial measures as may 
                have been ordered pursuant to regulations 
                issued under subclause (V);
                  (IV) require the Administration to review 
                each Program Participant's performance 
                regarding attainment of business activity 
                targets during periodic reviews of such 
                Participant's business plan; and
                  (V) authorize the Administration to take 
                appropriate remedial measures with respect to a 
                Program Participant that has failed to attain a 
                required business activity target for the 
                purpose of reducing such Participant's 
                dependence on contracts awarded pursuant to 
                section 8(a); such remedial actions may 
                include, but are not limited to assisting the 
                Program Participant to expand the dollar volume 
                of its competitive business activity or 
                limiting the dollar volume of contracts awarded 
                to the Program Participant pursuant to section 
                8(a); except for actions that would constitute 
                a termination, remedial measures taken pursuant 
                to this subclause shall not be reviewable 
                pursuant to section 8(a)(9).
          (J)(i) The Administration shall conduct an evaluation 
        of a Program Participant's eligibility for continued 
        participation in the Program whenever it receives 
        specific and credible information alleging that such 
        Program Participant no longer meets the requirements 
        for Program eligibility. Upon making a finding that a 
        Program Participant is no longer eligible, the 
        Administration shall initiate a termination proceeding 
        in accordance with subparagraph (F). A Program 
        Participant's eligibility for award of any contract 
        under the authority of section 8(a) may be suspended 
        pursuant to subpart 9.4 of title 48, Code of Federal 
        Regulations (or any successor regulation).
          (ii)(I) Except as authorized by subclauses (II) or 
        (III), no award shall be made pursuant to section 8(a) 
        to a concern other than a small business concern.
          (II) In determining the size of a small business 
        concern owned by a socially and economically 
        disadvantaged Indian tribe (or a wholly owned business 
        entity of such tribe), each firm's size shall be 
        independently determined without regard to its 
        affiliation with the tribe, any entity of the tribal 
        government, or any other business enterprise owned by 
        the tribe, unless the Administrator determines that one 
        or more such tribally owned business concerns have 
        obtained, or are likely to obtain, a substantial unfair 
        competitive advantage within an industry category.
          (III) Any joint venture established under the 
        authority of section 602(b) of Public Law 100-656, the 
        ``Business Opportunity Development Reform Act of 
        1988'', shall be eligible for award of a contract 
        pursuant to section 8(a).
  (11)(A) The Associate Administrator for Minority Small 
Business and Capital Ownership Development shall be responsible 
for coordinating and formulating policies relating to Federal 
assistance to small business concerns eligible for assistance 
under section 7(i) of this Act and small business concerns 
eligible to receive contracts pursuant to section 8(a) of this 
Act.
          (B)(i) Except as provided in clause (iii), no 
        individual who was determined pursuant to section 8(a) 
        to be socially and economically disadvantaged before 
        the effective date of this subparagraph shall be 
        permitted to assert such disadvantage with respect to 
        any other concern making application for certification 
        after such effective date.
                  (ii) Except as provided in clause (iii), any 
                individual upon whom eligibility is based 
                pursuant to section 8(a)(4) shall be permitted 
                to assert such eligibility for only one small 
                business concern.
                  (iii) A socially and economically 
                disadvantaged Indian tribe may own more than 
                one small business concern eligible for 
                assistance pursuant to section 7(j)(10) and 
                section 8(a) if--
                          (I) the Indian tribe does not own 
                        another firm in the same industry which 
                        has been determined to be eligible to 
                        receive contracts under this program, 
                        and
                          (II) the individuals responsible for 
                        the management and daily operations of 
                        the concern do not manage more than two 
                        Program Participants.
  (C) No concern, previously eligible for the award of 
contracts pursuant to section 8(a), shall be subsequently 
recertified for program participation if its prior 
participation in the program was concluded for any of the 
reasons described in paragraph (10)(E).
  (D) A concern eligible for the award of contracts pursuant to 
this subsection shall remain eligible for such contracts if 
there is a transfer of ownership and control (as defined 
pursuant to section 8(a)(4)) to individuals who are determined 
to be socially and economically disadvantaged pursuant to 
section 8(a). In the event of such a transfer, the concern, if 
not terminated or graduated, shall be eligible for a period of 
continued participation in the program not to exceed the time 
limitations prescribed in paragraph (15).
  (E) There is established a Division of Program Certification 
and Eligibility (hereinafter referred to in this paragraph as 
the Division'') that shall be made part of the Office of 
Minority Small Business and Capital Ownership Development. The 
Division shall be headed by a Director who shall report 
directly to the Associate Administrator for Minority Small 
Business and Capital Ownership Development. The Division shall 
establish field offices within such regional offices of the 
Administration as may be necessary to perform efficiently its 
functions and responsibilities.
  (F) Subject to the provisions of section 8(a)(9), the 
functions and responsibility of the Division are to--
          (i) receive, review and evaluate applications for 
        certification pursuant to paragraphs (4), (5), (6) and 
        (7) of section 8(a);
          (ii) advise each program applicant within 15 days 
        after the receipt of an application as to whether such 
        application is complete and suitable for evaluation 
        and, if not, what matters must be rectified;
          (iii) render recommendations on such applications to 
        the Associate Administrator for Minority Small Business 
        and Capital Ownership Development;
          (iv) review and evaluate financial statements and 
        other submissions from concerns participating in the 
        program established by paragraph (10) to ascertain 
        continued eligibility to receive subcontracts pursuant 
        to section 8(a);
          (v) make a request for the initiation of termination 
        or graduation proceedings, as appropriate, to the 
        Associate Administrator for Minority Small Business and 
        Capital Ownership Development;
          (vi) make recommendations to the Associate 
        Administrator for Minority Small Business and Capital 
        Ownership Development concerning protests from 
        applicants that have been denied program admission;
          (vii) decide protests regarding the status of a 
        concern as a disadvantaged concern for purposes of any 
        program or activity conducted under the authority of 
        subsection (d) of section 8, or any other provision of 
        Federal law that references such subsection for a 
        definition of program eligibility; and
          (vii) implement such policy directives as may be 
        issued by the Associate Administrator for Minority 
        Small Business and Capital Ownership Development 
        pursuant to subparagraph (I) regarding, among other 
        things, the geographic distribution of concerns to be 
        admitted to the program and the industrial make-up of 
        such concerns.
  (G) An applicant shall not be denied admission into the 
program established by paragraph (10) due solely to a 
determination by the Division that specific contract 
opportunities are unavailable to assist in the development of 
such concern unless--
          (i) the Government has not previously procured and is 
        unlikely to procure the types of products or services 
        offered by the concern; or
          (ii) the purchases of such products or services by 
        the Federal Government will not be in quantities 
        sufficient to support the developmental needs of the 
        applicant and other Program Participants providing the 
        same or similar items or services.
          (H) Not later than 90 days after receipt of a 
        completed application for Program certification, the 
        Associate Administrator for Minority Small Business and 
        Capital Ownership Development shall certify a small 
        business concern as a Program Participant or shall deny 
        such application.
  (I) Thirty days before the conclusion of each fiscal year, 
the Director of the Division shall review all concerns that 
have been admitted into the Program during the preceding 12-
month period. The review shall ascertain the number of 
entrants, their geographic distribution and industrial 
classification. The Director shall also estimate the expected 
growth of the Program during the next fiscal year and the 
number of additional Business Opportunity Specialists, if any, 
that will be needed to meet the anticipated demand for the 
Program. The findings and conclusions of the Director shall be 
reported to the Associate Administrator for Minority Small 
Business and Capital Ownership Development by September 30 of 
each year. Based on such report and such additional data as may 
be relevant, the Associate Administrator shall, by October 31 
of each year, issue policy and program directives applicable to 
such fiscal year that--
          (i) establish priorities for the solicitation of 
        program applications from underrepresented regions and 
        industry categories;
          (ii) assign staffing levels and allocate other 
        program resources as necessary to meet program needs; 
        and
          (iii) establish priorities in the processing and 
        admission of new Program Participants as may be 
        necessary to achieve an equitable geographic 
        distribution of concerns and a distribution of concerns 
        across all industry categories in proportions needed to 
        increase significantly contract awards to small 
        business concerns owned and controlled by socially and 
        economically disadvantaged individuals. When 
        considering such increase the Administration shall give 
        due consideration to those industrial categories where 
        Federal purchases have been substantial but where the 
        participation rate of such concerns has been limited.
  (12)(A) The Administration shall segment the Capital 
Ownership Development Program into two stages: a developmental 
stage; and a transitional stage.
  (B) The developmental stage of program participation shall be 
designed to assist the concern in its effort to overcome its 
economic disadvantage by providing such assistance as may be 
necessary and appropriate to access its markets and to 
strengthen its financial and managerial skills.
  (C) The transitional stage of program participation shall be 
designed to overcome, insofar as practicable, the remaining 
elements of economic disadvantage and to prepare such concern 
for graduation from the program.
  (13) A Program Participant, if otherwise eligible, shall be 
qualified to receive the following assistance during the stages 
of program participation specified in paragraph 12:
          (A) Contract support pursuant to section 8(a).
          (B) Financial assistance pursuant to section 
        7(a)(20).
          (C) A maximum of two exemptions from the requirements 
        of section 1(a) of the Act entitled ``An Act providing 
        conditions for the purchase of supplies and the making 
        of contracts by the United States, and for other 
        purposes'', approved June 30, 1936 (49 Stat. 2036), 
        which exemptions shall apply only to contracts awarded 
        pursuant to section (8)(a) and shall only be used to 
        allow for contingent agreements by a small business 
        concern to acquire the machinery, equipment, 
        facilities, or labor needed to perform such contracts. 
        No exemption shall be made pursuant to this 
        subparagraph if the contract to which it pertains has 
        an anticipated value in excess of $10,000,000. This 
        subparagraph shall cease to be effective on October 1, 
        1992.
          (D) A maximum of five exemptions from the 
        requirements of the Act entitled ``An Act requiring 
        contracts for the construction, alteration and repair 
        of any public building or public work of the United 
        States to be accompanied by a performance bond 
        protecting the United States and by an additional bond 
        for the protection of persons furnishing material and 
        labor for the construction, alteration, or repair of 
        said public buildings or public works'', approved 
        August 24, 1935 (49 Stat. 793), which exemptions shall 
        apply only to contracts awarded pursuant to section 
        8(a), except that, such exemptions may be granted under 
        this subparagraph only if--
                  (i) the Administration finds that such 
                concern is unable to obtain the requisite bond 
                or bonds from a surety and that no surety is 
                willing to issue a bond subject to the 
                guarantee provision of title IV of the Small 
                Business Investment Act of 1958 (15 U.S.C. 692 
                et seq.);
                  (ii) the Administration and the agency 
                providing the contracting opportunity have 
                provided for the protection of persons 
                furnishing materials or labor to the Program 
                Participant by arranging for the direct 
                disbursement of funds due to such persons by 
                the procuring agency or through any bank the 
                deposits of which are insured by the Federal 
                Deposit Insurance Corporation; and
                  (iii) the contract to which it pertains does 
                not exceed $3,000,000 in amount. This 
                subparagraph shall cease to be effective on 
                October 1, 1994.
          (E) Financial assistance whereby the Administration 
        may purchase in whole or in part, and on behalf of such 
        concerns, skills training or upgrading for employees or 
        potential employees of such concerns. Such assistance 
        may be made without regard to section 18(a). Assistance 
        may be made by direct payment to the training provider 
        or by reimbursing the Program Participant or the 
        Participant's employee, if such reimbursement is found 
        to be reasonable and appropriate. For purposes of this 
        subparagraph the term ``training provider'' shall mean 
        an institution of higher education, a community or 
        vocational college, or an institution eligible to 
        provide skills training or upgrading under title I of 
        the Workforce Innovation and Opportunity Act. The 
        Administration shall, in consultation with the 
        Secretary of Labor, promulgate rules and regulations to 
        implement this subparagraph that establish acceptable 
        training and upgrading performance standards and 
        provide for such monitoring or audit requirements as 
        may be necessary to ensure the integrity of the 
        training effort. No financial assistance shall be 
        granted under the subparagraph unless the Administrator 
        determines that--
                  (i) such concern has documented that it has 
                first explored the use of existing cost-free or 
                cost-subsidized training programs offered by 
                public and private sector agencies working with 
                programs of employment and training and 
                economic development;
                  (ii) no more than five employees or potential 
                employees of such concern are recipients of any 
                benefits under this subparagraph at any one 
                time;
                  (iii) no more than $2,500 shall be made 
                available for any one employee or potential 
                employee;
                  (iv) the length of training or upgrading 
                financed by this subparagraph shall be no less 
                than one month nor more than six months;
                  (v) such concern has given adequate assurance 
                it will employ the trainee or upgraded employee 
                for at least six months after the training or 
                upgrading financed by this subparagraph has 
                been completed and each trainee or upgraded 
                employee has provided a similar assurance to 
                remain within the employ of such concern for 
                such period; if such concern, trainee, or 
                upgraded employee breaches this agreement, the 
                Administration shall be entitled to and shall 
                make diligent efforts to obtain from the 
                violating party the repayment of all funds 
                expended on behalf of the violating party, such 
                repayment shall be made to the Administration 
                together with such interest and costs of 
                collection as may be reasonable; the violating 
                party shall be barred from receiving any 
                further assistance under this subparagraph;
                  (vi) the training to be financed may take 
                place either at such concern's facilities or at 
                those of the training provider; and
                  (vii) such concern will maintain such records 
                as the Administration deems appropriate to 
                ensure that the provisions of this paragraph 
                and any other applicable law have not been 
                violated.
          (F)(i) The transfer of technology or surplus property 
        owned by the United States to such a concern. 
        Activities designed to effect such transfer shall be 
        developed in cooperation with the heads of Federal 
        agencies and shall include the transfer by grant, 
        license, or sale of such technology or property to such 
        a concern. Such property may be transferred to Program 
        Participants on a priority basis. Technology or 
        property transferred under this subparagraph shall be 
        used by the concern during the normal conduct of its 
        business operation and shall not be sold or transferred 
        to any other party (other than the Government) during 
        such concern's term of participation in the Program and 
        for one year thereafter.
                  (ii)(I) In this clause--
                          (aa) the term ``covered period'' 
                        means the 2-year period beginning on 
                        the date on which the President 
                        declared the applicable major disaster; 
                        and
                          (bb) the term ``disaster area'' means 
                        the area for which the President has 
                        declared a major disaster, during the 
                        covered period.
                  (II) The Administrator may transfer 
                technology or surplus property under clause (i) 
                on a priority basis to a small business concern 
                located in a disaster area if--
                          (aa) the small business concern meets 
                        the requirements for such a transfer, 
                        without regard to whether the small 
                        business concern is a Program 
                        Participant; and
                          (bb) for a small business concern 
                        that is a Program Participant, on and 
                        after the date on which the President 
                        declared the applicable major disaster, 
                        the small business concern has not 
                        received property under this 
                        subparagraph on the basis of the status 
                        of the small business concern as a 
                        Program Participant.
                  (III) For any transfer of property under this 
                clause to a small business concern, the terms 
                and conditions shall be the same as a transfer 
                to a Program Participant, except that the small 
                business concern shall agree not to sell or 
                transfer the property to any party other than 
                the Federal Government during the covered 
                period.
                  (IV) A small business concern that receives a 
                transfer of property under this clause may not 
                receive a transfer of property under clause (i) 
                during the covered period.
                  (V) If a small business concern sells or 
                transfers property in violation of the 
                agreement described in subclause (III), the 
                Administrator may initiate proceedings to 
                prohibit the small business concern from 
                receiving a transfer of property under this 
                clause or clause (i), in addition to any other 
                remedy available to the Administrator.
          (G) Training assistance whereby the Administration 
        shall conduct training sessions to assist individuals 
        and enterprises eligible to receive contracts under 
        section 8(a) in the development of business principles 
        and strategies to enhance their ability to successfully 
        compete for contracts in the marketplace.
          (H) Joint ventures, leader-follower arrangements, and 
        teaming agreements between the Program Participant and 
        other Program Participants and other business concerns 
        with respect to contracting opportunities for the 
        research, development, full-scale engineering or 
        production of major systems. Such activities shall be 
        undertaken on the basis of programs developed by the 
        agency responsible for the procurement of the major 
        system, with the assistance of the Administration.
          (I) Transitional management business planning 
        training and technical assistance.
          (J) Program Participants in the developmental stage 
        of Program participation shall be eligible for the 
        assistance provided by subparagraphs (A), (B), (C), 
        (D), (E), (F), and (G).
  (14) Program Participants in the transitional stage of 
Program participation shall be eligible for the assistance 
provided by subparagraphs (A), (B), (F), (G), (H), and (I) of 
paragraph (13).
  (15) Subject to the provisions of paragraph (10)(C), a small 
business concern may receive developmental assistance under the 
Program and contracts under section 8(a) for a total period of 
not longer than nine years, measured from the date of its 
certification under the authority of such section, of which--
          (A) no more than four years may be spent in the 
        developmental stage of Program Participation; and
          (B) no more than five years may be spent in the 
        transitional stage of Program Participation.
  (16)(A) The Administrator shall develop and implement a 
process for the systematic collection of data on the operations 
of the Program established pursuant to paragraph (10).
  (B) Not later than April 30 of each year, the Administrator 
shall submit a report to the Congress on the Program that shall 
include the following:
          (i) The average personal net worth of individuals who 
        own and control concerns that were initially certified 
        for participation in the Program during the immediately 
        preceding fiscal year. The Administrator shall also 
        indicate the dollar distribution of net worths, at 
        $50,000 increments, of all such individuals found to be 
        socially and economically disadvantaged. For the first 
        report required pursuant to this paragraph the 
        Administrator shall also provide the data specified in 
        the preceding sentence for all eligible individuals in 
        the Program as of the effective date of this paragraph.
          (ii) A description and estimate of the benefits and 
        costs that have accrued to the economy and the 
        Government in the immediately preceding fiscal year due 
        to the operations of those business concerns that were 
        performing contracts awarded pursuant to section 8(a).
          (iii) A compilation and evaluation of those business 
        concerns that have exited the Program during the 
        immediately preceding three fiscal years. Such 
        compilation and evaluation shall detail the number of 
        concerns actively engaged in business operations, those 
        that have ceased or substantially curtailed such 
        operations, including the reasons for such actions, and 
        those concerns that have been acquired by other firms 
        or organizations owned and controlled by other than 
        socially and economically disadvantaged individuals. 
        For those businesses that have continued operations 
        after they exited from the Program, the Administrator 
        shall also separately detail the benefits and costs 
        that have accrued to the economy during the immediately 
        preceding fiscal year due to the operations of such 
        concerns.
          (iv) A listing of all participants in the Program 
        during the preceding fiscal year identifying, by State 
        and by Region, for each firm: the name of the concern, 
        the race or ethnicity, and gender of the disadvantaged 
        owners, the dollar value of all contracts received in 
        the preceding year, the dollar amount of advance 
        payments received by each concern pursuant to contracts 
        awarded under section 8(a), and a description including 
        (if appropriate) an estimate of the dollar value of all 
        benefits received pursuant to paragraphs (13) and (14) 
        and section 7(a)(20) during such year.
          (v) The total dollar value of contracts and options 
        awarded during the preceding fiscal year pursuant to 
        section 8(a) and such amount expressed as a percentage 
        of total sales of (I) all firms participating in the 
        Program during such year; and (II) of firms in each of 
        the nine years of program participation.
          (vi) A description of such additional resources or 
        program authorities as may be required to provide the 
        types of services needed over the next two-year period 
        to service the expected portfolio of firms certified 
        pursuant to section 8(a).
          (vii) The total dollar value of contracts and options 
        awarded pursuant to section 8(a), at such dollar 
        increments as the Administrator deems appropriate, for 
        each four digit standard industrial classification code 
        under which such contracts and options were classified.
  (C) The first report required by subparagraph (B) shall 
pertain to fiscal year 1990.
  (k) In carrying out its functions under subsections 7(i), 
7(j), and 8(a) of this Act, the Administration is authorized--
          (1) to utilize, with their consent, the services and 
        facilities of Federal agencies without reimbursement, 
        and, with the consent of any State or political 
        subdivision of a State, accept and utilize the services 
        and facilities of such State or subdivision without 
        reimbursement;
          (2) to accept, in the name of the Administration, and 
        employ or dispose of in furtherance of the purposes of 
        this Act, any money or property, real, personal, or 
        mixed, tangible, or intangible, received by gift, 
        device, bequest, or otherwise;
          (3) to accept voluntary and uncompensated services, 
        notwithstanding the provisions of section 3679(b) of 
        the Revised Statutes (31 U.S.C. 655(b)); and
          (4) to employ experts and consultants or 
        organizations thereof as authorized by section 15 of 
        the Administrative Expenses Act of 1946 (5 U.S.C. 55a), 
        except that no individual may be employed under the 
        authority of this subsection for more than one hundred 
        days in any fiscal year; to compensate individuals so 
        employed at rates not in excess of the daily equivalent 
        of the highest rate payable under section 5332 of title 
        5, United States Code, including traveltime; and to 
        allow them, while away from their homes or regular 
        places of business, travel expenses (including per diem 
        in lieu of subsistence) a authorized by section 5 of 
        such Act (5 U.S.C. 73b-2) for persons in the Government 
        service employed intermittently, while so employed: 
        Provided, however, That contracts for such employment 
        may be renewed annually.
  (l) Small Business Intermediary Lending Pilot Program.--
          (1) Definitions.--In this subsection--
                  (A) the term ``eligible intermediary''--
                          (i) means a private, nonprofit entity 
                        that--
                                  (I) seeks or has been awarded 
                                a loan from the Administrator 
                                to make loans to small business 
                                concerns under this subsection; 
                                and
                                  (II) has not less than 1 year 
                                of experience making loans to 
                                startup, newly established, or 
                                growing small business 
                                concerns; and
                          (ii) includes--
                                  (I) a private, nonprofit 
                                community development 
                                corporation;
                                  (II) a consortium of private, 
                                nonprofit organizations or 
                                nonprofit community development 
                                corporations; and
                                  (III) an agency of or 
                                nonprofit entity established by 
                                a Native American Tribal 
                                Government; and
                  (B) the term ``Program'' means the small 
                business intermediary lending pilot program 
                established under paragraph (2).
          (2) Establishment.--There is established a 3-year 
        small business intermediary lending pilot program, 
        under which the Administrator may make direct loans to 
        eligible intermediaries, for the purpose of making 
        loans to startup, newly established, and growing small 
        business concerns.
          (3) Purposes.--The purposes of the Program are--
                  (A) to assist small business concerns in 
                areas suffering from a lack of credit due to 
                poor economic conditions or changes in the 
                financial market; and
                  (B) to establish a loan program under which 
                the Administrator may provide loans to eligible 
                intermediaries to enable the eligible 
                intermediaries to provide loans to startup, 
                newly established, and growing small business 
                concerns for working capital, real estate, or 
                the acquisition of materials, supplies, or 
                equipment.
          (4) Loans to eligible intermediaries.--
                  (A) Application.--Each eligible intermediary 
                desiring a loan under this subsection shall 
                submit an application to the Administrator that 
                describes--
                          (i) the type of small business 
                        concerns to be assisted;
                          (ii) the size and range of loans to 
                        be made;
                          (iii) the interest rate and terms of 
                        loans to be made;
                          (iv) the geographic area to be served 
                        and the economic, poverty, and 
                        unemployment characteristics of the 
                        area;
                          (v) the status of small business 
                        concerns in the area to be served and 
                        an analysis of the availability of 
                        credit; and
                          (vi) the qualifications of the 
                        applicant to carry out this subsection.
                  (B) Loan limits.--No loan may be made to an 
                eligible intermediary under this subsection if 
                the total amount outstanding and committed to 
                the eligible intermediary by the Administrator 
                would, as a result of such loan, exceed 
                $1,000,000 during the participation of the 
                eligible intermediary in the Program.
                  (C) Loan duration.--Loans made by the 
                Administrator under this subsection shall be 
                for a term of 20 years.
                  (D) Applicable interest rates.--Loans made by 
                the Administrator to an eligible intermediary 
                under the Program shall bear an annual interest 
                rate equal to 1.00 percent.
                  (E) Fees; collateral.--The Administrator may 
                not charge any fees or require collateral with 
                respect to any loan made to an eligible 
                intermediary under this subsection.
                  (F) Delayed payments.--The Administrator 
                shall not require the repayment of principal or 
                interest on a loan made to an eligible 
                intermediary under the Program during the 2-
                year period beginning on the date of the 
                initial disbursement of funds under that loan.
                  (G) Maximum participants and amounts.--During 
                each of fiscal years 2011, 2012, and 2013, the 
                Administrator may make loans under the 
                Program--
                          (i) to not more than 20 eligible 
                        intermediaries; and
                          (ii) in a total amount of not more 
                        than $20,000,000.
          (5) Loans to small business concerns.--
                  (A) In general.--The Administrator, through 
                an eligible intermediary, shall make loans to 
                startup, newly established, and growing small 
                business concerns for working capital, real 
                estate, and the acquisition of materials, 
                supplies, furniture, fixtures, and equipment.
                  (B) Maximum loan.--An eligible intermediary 
                may not make a loan under this subsection of 
                more than $200,000 to any 1 small business 
                concern.
                  (C) Applicable interest rates.--A loan made 
                by an eligible intermediary to a small business 
                concern under this subsection, may have a fixed 
                or a variable interest rate, and shall bear an 
                interest rate specified by the eligible 
                intermediary in the application of the eligible 
                intermediary for a loan under this subsection.
                  (D) Review restrictions.--The Administrator 
                may not review individual loans made by an 
                eligible intermediary to a small business 
                concern before approval of the loan by the 
                eligible intermediary.
          (6) Termination.--The authority of the Administrator 
        to make loans under the Program shall terminate 3 years 
        after the date of enactment of the Small Business Job 
        Creation and Access to Capital Act of 2010.
  (m) Microloan Program.--
          (1)(A) Purposes.--The purposes of the Microloan 
        Program are--
                  (i) to assist women, low-income, veteran 
                (within the meaning of such term under section 
                3(q)), and minority entrepreneurs and business 
                owners and other individuals possessing the 
                capability to operate successful business 
                concerns;
                  (ii) to assist small business concerns in 
                those areas suffering from a lack of credit due 
                to economic downturns;
                  (iii) to establish a microloan program to be 
                administered by the Small Business 
                Administration--
                          (I) to make loans to eligible 
                        intermediaries to enable such 
                        intermediaries to provide small-scale 
                        loans, particularly loans in amounts 
                        averaging not more than $10,000, to 
                        startup, newly established, or growing 
                        small business concerns for working 
                        capital or the acquisition of 
                        materials, supplies, or equipment;
                          (II) to make grants to eligible 
                        intermediaries that, together with non-
                        Federal matching funds, will enable 
                        such intermediaries to provide 
                        intensive marketing, management, and 
                        technical assistance to microloan 
                        borrowers;
                          (III) to make grants to eligible 
                        nonprofit entities that, together with 
                        non-Federal matching funds, will enable 
                        such entities to provide intensive 
                        marketing, management, and technical 
                        assistance to assist low-income 
                        entrepreneurs and other low-income 
                        individuals obtain private sector 
                        financing for their businesses, with or 
                        without loan guarantees; and
                          (IV) to report to the Committees on 
                        Small Business of the Senate and the 
                        House of Representatives on the 
                        effectiveness of the microloan program 
                        and the advisability and feasibility of 
                        implementing such a program nationwide; 
                        and
                  (iv) to establish a welfare-to-work microloan 
                initiative, which shall be administered by the 
                Administration, in order to test the 
                feasibility of supplementing the technical 
                assistance grants provided under clauses (ii) 
                and (iii) of subparagraph (B) to individuals 
                who are receiving assistance under the State 
                program funded under part A of title IV of the 
                Social Security Act (42 U.S.C. 601 et seq.), or 
                under any comparable State funded means tested 
                program of assistance for low-income 
                individuals, in order to adequately assist 
                those individuals in--
                          (I) establishing small businesses; 
                        and
                          (II) eliminating their dependence on 
                        that assistance.
          (B) Establishment.--There is established a microloan 
        program, under which the Administration may--
                  (i) make direct loans to eligible 
                intermediaries, as provided under paragraph 
                (3), for the purpose of making short-term, 
                fixed interest rate microloans to startup, 
                newly established, and growing small business 
                concerns under paragraph (6);
                  (ii) in conjunction with such loans and 
                subject to the requirements of paragraph (4), 
                make grants to such intermediaries for the 
                purpose of providing intensive marketing, 
                management, and technical assistance to small 
                business concerns that are borrowers under this 
                subsection; and
                  (iii) subject to the requirements of 
                paragraph (5), make grants to nonprofit 
                entities for the purpose of providing 
                marketing, management, and technical assistance 
                to low-income individuals seeking to start or 
                enlarge their own businesses, if such 
                assistance includes working with the grant 
                recipient to secure loans in amounts not to 
                exceed $50,000 from private sector lending 
                institutions, with or without a loan guarantee 
                from the nonprofit entity.
          (2) Eligibility for participation.--An intermediary 
        shall be eligible to receive loans and grants under 
        subparagraphs (B)(i) and (B)(ii) of paragraph (1) if 
        it--
                  (A) meets the definition in paragraph (10); 
                and
                  (B) has at least 1 year of experience making 
                microloans to startup, newly established, or 
                growing small business concerns and providing, 
                as an integral part of its microloan program, 
                intensive marketing, management, and technical 
                assistance to its borrowers.
          (3) Loans to intermediaries.--
                  (A) Intermediary applications.--(i) In 
                general.--As part of its application for a 
                loan, each intermediary shall submit a 
                description to the Administration of--
                          (I) the type of businesses to be 
                        assisted;
                          (II) the size and range of loans to 
                        be made;
                          (III) the geographic area to be 
                        served and its economic, proverty, and 
                        unemployment characteristics;
                          (IV) the status of small business 
                        concerns in the area to be served and 
                        an analysis of their credit and 
                        technical assistance needs;
                          (V) any marketing, management, and 
                        technical assistance to be provided in 
                        connection with a loan made under this 
                        subsection;
                          (VI) the local economic credit 
                        markets, including the costs associated 
                        with obtaining credit locally;
                          (VII) the qualifications of the 
                        applicant to carry out the purpose of 
                        this subsection; and
                          (VIII) any plan to involve other 
                        technical assistance providers (such as 
                        counselors from the Service Corps of 
                        Retired Executives or small business 
                        development centers) or private sector 
                        lenders in assisting selected business 
                        concerns.
                  (ii) Selection of intermediaries.--In 
                selecting intermediaries to participate in the 
                program established under this subsection, the 
                Administration shall give priority to those 
                applicants that provide loans in amounts 
                averaging not more than $10,000.
                  (B) Intermediary contribution.--As a 
                condition of any loan made to an intermediary 
                under subparagraph (B)(i) of paragraph (1), the 
                Administrator shall require the intermediary to 
                contribute not less than 15 percent of the loan 
                amount in cash from non-Federal sources.
                  (C) Loan limits.--Notwithstanding subsection 
                (a)(3), no loan shall be made under this 
                subsection if the total amount outstanding and 
                committed to one intermediary (excluding 
                outstanding grants) from the business loan and 
                investment fund established by this Act would, 
                as a result of such loan, exceed $750,000 in 
                the first year of such intermediary's 
                participation in the program, and $5,000,000 in 
                the remaining years of the intermediary's 
                participation in the program.
                  (D)(i) In general.--The Administrator shall, 
                by regulation, require each intermediary to 
                establish a loan loss reserve fund, and to 
                maintain such reserve fund until all 
                obligations owed to the Administration under 
                this subsection are repaid.
                  (ii) Level of loan loss reserve fund.--
                          (I) In general.--Subject to subclause 
                        (III), the Administrator shall require 
                        the loan loss reserve fund of an 
                        intermediary to be maintained at a 
                        level equal to 15 percent of the 
                        outstanding balance of the notes 
                        receivable owed to the intermediary.
                          (II) Review of loan loss reserve.--
                        After the initial 5 years of an 
                        intermediary's participation in the 
                        program authorized by this subsection, 
                        the Administrator shall, at the request 
                        of the intermediary, conduct a review 
                        of the annual loss rate of the 
                        intermediary. Any intermediary in 
                        operation under this subsection prior 
                        to October 1, 1994, that requests a 
                        reduction in its loan loss reserve 
                        shall be reviewed based on the most 
                        recent 5-year period preceding the 
                        request.
                          (III) Reduction of loan loss 
                        reserve.--Subject to the requirements 
                        of clause IV, the Administrator may 
                        reduce the annual loan loss reserve 
                        requirement of an intermediary to 
                        reflect the actual average loan loss 
                        rate for the intermediary during the 
                        preceding 5-year period, except that in 
                        no case shall the loan loss reserve be 
                        reduced to less than 10 percent of the 
                        outstanding balance of the notes 
                        receivable owed to the intermediary.
                          (IV) Requirements.--The Administrator 
                        may reduce the annual loan loss reserve 
                        requirement of an intermediary only if 
                        the intermediary demonstrates to the 
                        satisfaction of the Administrator 
                        that--
                                  (aa) the average annual loss 
                                rate for the intermediary 
                                during the preceding 5-year 
                                period is less than 15 percent; 
                                and
                                  (bb) that no other factors 
                                exist that may impair the 
                                ability of the intermediary to 
                                repay all obligations owed to 
                                the Administration under this 
                                subsection.
                  (E) Unavailability of comparable credit.--An 
                intermediary may make a loan under this 
                subsection of more than $20,000 to a small 
                business concern only if such small business 
                concern demonstrates that it is unable to 
                obtain credit elsewhere at comparable interest 
                rates and that it has good prospects for 
                success. In no case shall an intermediary make 
                a loan under this subsection of more than 
                $50,000, or have outstanding or committed to 
                any 1 borrower more than $50,000.
                  (F) Loan duration; interest rates.--
                          (i) Loan duration.--Loans made by the 
                        Administration under this subsection 
                        shall be for a term of 10 years.
                          (ii) Applicable interest rates.--
                        Except as provided in clause (iii), 
                        loans made by the Administration under 
                        this subsection to an intermediary 
                        shall bear an interest rate equal to 
                        1.25 percentage points below the rate 
                        determined by the Secretary of the 
                        Treasury for obligations of the United 
                        States with a period of maturity of 5 
                        years, adjusted to the nearest one-
                        eighth of 1 percent.
                          (iii) Rates applicable to certain 
                        small loans.--Loans made by the 
                        Administration to an intermediary that 
                        makes loans to small business concerns 
                        and entrepreneurs averaging not more 
                        than $7,500, shall bear an interest 
                        rate that is 2 percentage points below 
                        the rate determined by the Secretary of 
                        the Treasury for obligations of the 
                        United States with a period of maturity 
                        of 5 years, adjusted to the nearest 
                        one-eighth of 1 percent.
                          (iv) Rates applicable to multiple 
                        sites or offices.--The interest rate 
                        prescribed in clause (ii) or (iii) 
                        shall apply to each separate loan-
                        making site or office of 1 intermediary 
                        only if such site or office meets the 
                        requirements of that clause.
                          (v) Rate basis.--The applicable rate 
                        of interest under this paragraph 
                        shall--
                                  (I) be applied retroactively 
                                for the first year of an 
                                intermediary's participation in 
                                the program, based upon the 
                                actual lending practices of the 
                                intermediary as determined by 
                                the Administration prior to the 
                                end of such year; and
                                  (II) be based in the second 
                                and subsequent years of an 
                                intermediary's participation in 
                                the program, upon the actual 
                                lending practices of the 
                                intermediary during the term of 
                                the intermediary's 
                                participation in the program.
                          (vii) Covered intermediaries.--The 
                        interest rates prescribed in this 
                        subparagraph shall apply to all loans 
                        made to intermediaries under this 
                        subsection on or after October 28, 
                        1991.
                  (G) Delayed payments.--The Administration 
                shall not require repayment of interest or 
                principal of a loan made to an intermediary 
                under this subsection during the first year of 
                the loan.
                  (H) Fees; collateral.--Except as provided in 
                subparagraphs (B) and (D), the Administration 
                shall not charge any fees or require collateral 
                other than an assignment of the notes 
                receivable of the microloans with respect to 
                any loan made to an intermediary under this 
                subsection.
          (4) Marketing, management and technical assistance 
        grants to intermediaries.--Grants made in accordance 
        with subparagraph (B)(ii) of paragraph (1) shall be 
        subject to the following requirements:
                  (A) Grant amounts.--Except as otherwise 
                provided in subparagraph (C) and subject to 
                subparagraph (B), each intermediary that 
                receives a loan under subparagraph (B)(i) of 
                paragraph (1) shall be eligible to receive a 
                grant to provide marketing, management, and 
                technical assistance to small business concerns 
                that are borrowers under this subsection. 
                Except as provided in subparagraph (C), each 
                intermediary meeting the requirements of 
                subparagraph (B) may receive a grant of not 
                more than 25 percent of the total outstanding 
                balance of loans made to it under this 
                subsection.
                  (B) Contribution.--As a condition of a grant 
                made under subparagraph (A), the Administrator 
                shall require the intermediary to contribute an 
                amount equal to 25 percent of the amount of the 
                grant, obtained solely from non-Federal 
                sources. In addition to cash or other direct 
                funding, the contribution may include indirect 
                costs or in-kind contributions paid for under 
                non-Federal programs.
                  (C) Additional technical assistance grants 
                for making certain loans.--
                          (i) In general.--In addition to 
                        grants made under subparagraph (A), 
                        each intermediary shall be eligible to 
                        receive a grant equal to 5 percent of 
                        the total outstanding balance of loans 
                        made to the intermediary under this 
                        subsection if--
                                  (I) the intermediary provides 
                                not less than 25 percent of its 
                                loans to small business 
                                concerns located in or owned by 
                                one or more residents of an 
                                economically distressed area; 
                                or
                                  (II) the intermediary has a 
                                portfolio of loans made under 
                                this subsection that averages 
                                not more than $10,000 during 
                                the period of the 
                                intermediary's participation in 
                                the program.
                          (ii) Purposes.--A grant awarded under 
                        clause (i) may be used to provide 
                        marketing, management, and technical 
                        assistance to small business concerns 
                        that are borrowers under this 
                        subsection.
                          (iii) Contribution exception.--The 
                        contribution requirements in 
                        subparagraph (B) do not apply to grants 
                        made under this subparagraph.
                  (D) Eligibility for multiple sites or 
                offices.--The eligibility for a grant described 
                in subparagraph (A) or (C) shall be determined 
                separately for each loan-making site or office 
                of 1 intermediary.
                  (E) Assistance to certain small business 
                concerns.--
                          (i) In general.--Each intermediary 
                        may expend an amount not to exceed [25] 
                        50 percent of the grant funds received 
                        under paragraph (1)(B)(ii) to provide 
                        information and technical assistance to 
                        small business concerns that are 
                        prospective borrowers under this 
                        subsection.
                          (ii) Technical assistance.--An 
                        intermediary may expend not more than 
                        [25] 50 percent of the funds received 
                        under paragraph (1)(B)(ii) to enter 
                        into third party contracts for the 
                        provision of technical assistance.
                  (F) Supplemental grant.--
                          (i) In general.--The Administration 
                        may accept any funds transferred to the 
                        Administration from other departments 
                        or agencies of the Federal Government 
                        to make grants in accordance with this 
                        subparagraph and section 202(b) of the 
                        Small Business Reauthorization Act of 
                        1997 to participating intermediaries 
                        and technical assistance providers 
                        under paragraph (5), for use in 
                        accordance with clause (iii) to provide 
                        additional technical assistance and 
                        related services to recipients of 
                        assistance under a State program 
                        described in paragraph (1)(A)(iv) at 
                        the time they initially apply for 
                        assistance under this subparagraph.
                          (ii) Eligible recipients; grant 
                        amounts.--In making grants under this 
                        subparagraph, the Administration may 
                        select, from among participating 
                        intermediaries and technical assistance 
                        providers described in clause (i), not 
                        more than 20 grantees in fiscal year 
                        1998, not more than 25 grantees in 
                        fiscal year 1999, and not more than 30 
                        grantees in fiscal year 2000, each of 
                        whom may receive a grant under this 
                        subparagraph in an amount not to exceed 
                        $200,000 per year.
                          (iii) Use of grant amounts.--Grants 
                        under this subparagraph--
                                  (I) are in addition to other 
                                grants provided under this 
                                subsection and shall not 
                                require the contribution of 
                                matching amounts as a condition 
                                of eligibility; and
                                  (II) may be used by a 
                                grantee--
                                          (aa) to pay or 
                                        reimburse a portion of 
                                        child care and 
                                        transportation costs of 
                                        recipients of 
                                        assistance described in 
                                        clause (i), to the 
                                        extent such costs are 
                                        not otherwise paid by 
                                        State block grants 
                                        under the Child Care 
                                        Development Block Grant 
                                        Act of 1990 (42 U.S.C. 
                                        9858 et seq.) or under 
                                        part A of title IV of 
                                        the Social Security Act 
                                        (42 U.S.C. 601 et 
                                        seq.); and
                                          (bb) for marketing, 
                                        management, and 
                                        technical assistance to 
                                        recipients of 
                                        assistance described in 
                                        clause (i).
                          (iv) Memorandum of understanding.--
                        Prior to accepting any transfer of 
                        funds under clause (i) from a 
                        department or agency of the Federal 
                        Government, the Administration shall 
                        enter into a Memorandum of 
                        Understanding with the department or 
                        agency, which shall--
                                  (I) specify the terms and 
                                conditions of the grants under 
                                this subparagraph; and
                                  (II) provide for appropriate 
                                monitoring of expenditures by 
                                each grantee under this 
                                subparagraph and each recipient 
                                of assistance described in 
                                clause (i) who receives 
                                assistance from a grantee under 
                                this subparagraph, in order to 
                                ensure compliance with this 
                                subparagraph by those grantees 
                                and recipients of assistance.
          (5) Private sector borrowing technical assistance 
        grants.--Grants made in accordance with subparagraph 
        (B)(iii) of paragraph (1) shall be subject to the 
        following requirements:
                  (A) Grant amounts.--Subject to the 
                requirements of subparagraph (B), the 
                Administration may make not more than 55 grants 
                annually, each in amounts not to exceed 
                $200,000 for the purposes specified in 
                subparagraph (B)(iii) of paragraph (1).
                  (B) Contribution.--As a condition of any 
                grant made under subparagraph (A), the 
                Administration shall require the grant 
                recipient to contribute an amount equal to 20 
                percent of the amount of the grant, obtained 
                solely from non-Federal sources. In addition to 
                cash or other direct funding, the contribution 
                may include indirect costs or in-kind 
                contributions paid for under non-Federal 
                programs.
          (6) Loans to small business concerns from eligible 
        intermediaries.--
                  (A) In general.--An eligible intermediary 
                shall make short-term, fixed rate loans to 
                startup, newly established, and growing small 
                business concerns from the funds made available 
                to it under subparagraph (B)(i) of paragraph 
                (1) for working capital and the acquisition of 
                materials, supplies, furniture, fixtures, and 
                equipment.
                  (B) Portfolio requirement.--To the extent 
                practicable, each intermediary that operates a 
                microloan program under this subsection shall 
                maintain a microloan portfolio with an average 
                loan size of not more than $15,000.
                  (C) Interest limit.--Notwithstanding any 
                provision of the laws of any State or the 
                constitution of any State pertaining to the 
                rate or amount of interest that may be charged, 
                taken, received, or reserved on a loan, the 
                maximum rate of interest to be charged on a 
                microloan funded under this subsection shall 
                not exceed the rate of interest applicable to a 
                loan made to an intermediary by the 
                Administration--
                          (i) in the case of a loan of more 
                        than $7,500 made by the intermediary to 
                        a small business concern or 
                        entrepreneur by more than 7.75 
                        percentage points; and
                          (ii) in the case of a loan of not 
                        more than $7,500 made by the 
                        intermediary to a small business 
                        concern or entrepreneur by more than 
                        8.5 percentage points.
                  (D) Review restriction.--The Administration 
                shall not review individual microloans made by 
                intermediaries prior to approval.
                  (E) Establishment of child care or 
                transportation businesses.--In addition to 
                other eligible small businesses concerns, 
                borrowers under any program under this 
                subsection may include individuals who will use 
                the loan proceeds to establish for-profit or 
                nonprofit child care establishments or 
                businesses providing for-profit transportation 
                services.
          (7) Program funding for microloans.--
                  (A) Number of participants.--Under the 
                program authorized by this subsection, the 
                Administration may fund, on a competitive 
                basis, not more than 300 intermediaries.
                  (B) Allocation.--
                          (i) Minimum allocation.--Subject to 
                        the availability of appropriations, of 
                        the total amount of new loan funds made 
                        available for award under this 
                        subsection in each fiscal year, the 
                        Administration shall make available for 
                        award in each State (including the 
                        District of Columbia, the Commonwealth 
                        of Puerto Rico, the United States 
                        Virgin Islands, Guam, and American 
                        Samoa) an amount equal to the sum of--
                                  (I) the lesser of--
                                          (aa) $800,000; or
                                          (bb) \1/55\ of the 
                                        total amount of new 
                                        loan funds made 
                                        available for award 
                                        under this subsection 
                                        for that fiscal year; 
                                        and
                                  (II) any additional amount, 
                                as determined by the 
                                Administration.
                          (ii) Redistribution.--If, at the 
                        beginning of the third quarter of a 
                        fiscal year, the Administration 
                        determines that any portion of the 
                        amount made available to carry out this 
                        subsection is unlikely to be made 
                        available under clause (i) during that 
                        fiscal year, the Administration may 
                        make that portion available for award 
                        in any one or more States (including 
                        the District of Columbia, the 
                        Commonwealth of Puerto Rico, the United 
                        States Virgin Islands, Guam, and 
                        American Samoa) without regard to 
                        clause (i).
          (8) Equitable distribution of intermediaries.--In 
        approving microloan program applicants and providing 
        funding to intermediaries under this subsection, the 
        Administration shall select and provide funding to such 
        intermediaries as will ensure appropriate availability 
        of loans for small businesses in all industries located 
        throughout each State, particularly those located in 
        urban and in rural areas.
          (9) Grants for management, marketing, technical 
        assistance, and related services.--
                  (A) In general.--The Administration may 
                procure technical assistance for intermediaries 
                participating in the Microloan Program to 
                ensure that such intermediaries have the 
                knowledge, skills, and understanding of 
                microlending practices necessary to operate 
                successful microloan programs.
                  (B) Assistance amount.--The Administration 
                shall transfer 7 percent of its annual 
                appropriation for loans and loan guarantees 
                under this subsection to the Administration's 
                Salaries and Expense Account for the specific 
                purpose of providing 1 or more technical 
                assistance grants to experienced microlending 
                organizations and national and regional 
                nonprofit organizations that have demonstrated 
                experience in providing training support for 
                microenterprise development and financing. to 
                achieve the purpose set forth in subparagraph 
                (A).
                  (C) Welfare-to-work microloan initiative.--Of 
                amounts made available to carry out the 
                welfare-to-work microloan initiative under 
                paragraph (1)(A)(iv) in any fiscal year, the 
                Administration may use not more than 5 percent 
                to provide technical assistance, either 
                directly or through contractors, to welfare-to-
                work microloan initiative grantees, to ensure 
                that, as grantees, they have the knowledge, 
                skills, and understanding of microlending and 
                welfare-to-work transition, and other related 
                issues, to operate a successful welfare-to-work 
                microloan initiative.
          (10) Report to congress.--On November 1, 1995, the 
        Administration shall submit to the Committees on Small 
        Business of the Senate and the House of Representatives 
        a report, including the Administration's evaluation of 
        the effectiveness of the first 3\1/2\ years of the 
        microloan program and the following:
                  (A) the numbers and locations of the 
                intermediaries funded to conduct microloan 
                programs;
                  (B) the amounts of each loan and each grant 
                to intermediaries;
                  (C) a description of the matching 
                contributions of each intermediary;
                  (D) the numbers and amounts of microloans 
                made by the intermediaries to small business 
                concern borrowers;
                  (E) the repayment history of each 
                intermediary;
                  (F) a description of the loan portfolio of 
                each intermediary including the extent to which 
                it provides microloans to small business 
                concerns in rural areas; and
                  (G) any recommendations for legislative 
                changes that would improve program operations.
          (11) Definitions.--For purposes of this subsection--
                  (A) the term ``intermediary'' means--
                          (i) a private, nonprofit entity;
                          (ii) a private, nonprofit community 
                        development corporation;
                          (iii) a consortium of private, 
                        nonprofit organizations or nonprofit 
                        community development corporations;
                          (iv) a quasi-governmental economic 
                        development entity (such as a planning 
                        and development district), other than a 
                        State, county, municipal government, or 
                        any agency thereof, if--
                                  (I) no application is 
                                received from an eligible 
                                nonprofit organization; or
                                  (II) the Administration 
                                determines that the needs of a 
                                region or geographic area are 
                                not adequately served by an 
                                existing, eligible nonprofit 
                                organization that has submitted 
                                an application; or
                          (v) an agency of or nonprofit entity 
                        established by a Native American Tribal 
                        Government,
                that seeks to borrow or has borrowed funds from 
                the Administration to make microloans to small 
                business concerns under this subsection;
                  (B) the term ``microloan'' means a short-
                term, fixed rate loan of not more than $50,000, 
                made by an intermediary to a startup, newly 
                established, or growing small business concern;
                  (C) the term ``rural area'' means any 
                political subdivision or unincorporated area--
                          (i) in a nonmetropolitan county (as 
                        defined by the Secretary of 
                        Agriculture) or its equivalent thereof; 
                        or
                          (ii) in a metropolitan county or its 
                        equivalent that has a resident 
                        population of less than 20,000 if the 
                        Small Business Administration has 
                        determined such political subdivision 
                        or area to be rural; and
                  (D) the term ``economically distressed 
                area'', as used in paragraph (4), means a 
                county or equivalent division of local 
                government of a State in which the small 
                business concern is located, in which, 
                according to the most recent data available 
                from the Bureau of the Census, Department of 
                Commerce, not less than 40 percent of residents 
                have an annual income that is at or below the 
                poverty level.
          (12) Deferred participation loan pilot.--In lieu of 
        making direct loans to intermediaries as authorized in 
        paragraph (1)(B), during fiscal years 1998 through 
        2000, the Administration may, on a pilot program basis, 
        participate on a deferred basis of not less than 90 
        percent and not more than 100 percent on loans made to 
        intermediaries by a for-profit or nonprofit entity or 
        by alliances of such entities, subject to the following 
        conditions:
                  (A) Number of loans.--In carrying out this 
                paragraph, the Administration shall not 
                participate in providing financing on a 
                deferred basis to more than 10 intermediaries 
                in urban areas or more than 10 intermediaries 
                in rural areas.
                  (B) Term of loans.--The term of each loan 
                shall be 10 years. During the first year of the 
                loan, the intermediary shall not be required to 
                repay any interest or principal. During the 
                second through fifth years of the loan, the 
                intermediary shall be required to pay interest 
                only. During the sixth through tenth years of 
                the loan, the intermediary shall be required to 
                make interest payments and fully amortize the 
                principal.
                  (C) Interest rate.--The interest rate on each 
                loan shall be the rate specified by paragraph 
                (3)(F) for direct loans.
          (13) Evaluation of welfare-to-work microloan 
        initiative.--On January 31, 1999, and annually 
        thereafter, the Administration shall submit to the 
        Committees on Small Business of the House of 
        Representatives and the Senate a report on any monies 
        distributed pursuant to paragraph (4)(F).
  (n) Repayment Deferred for Active Duty Reservists.--
          (1) Definitions.--In this subsection:
                  (A) Eligible reservist.--The term ``eligible 
                reservist'' means a member of a reserve 
                component of the Armed Forces ordered to active 
                duty during a period of military conflict.
                  (B) Essential employee.--The term ``essential 
                employee'' means an individual who is employed 
                by a small business concern and whose 
                managerial or technical expertise is critical 
                to the successful day-to-day operations of that 
                small business concern.
                  (C) Period of military conflict.--The term 
                ``period of military conflict'' means--
                          (i) a period of war declared by the 
                        Congress;
                          (ii) a period of national emergency 
                        declared by the Congress or by the 
                        President; or
                          (iii) a period of a contingency 
                        operation, as defined in section 101(a) 
                        of title 10, United States Code.
                  (D) Qualified borrower.--The term ``qualified 
                borrower'' means--
                          (i) an individual who is an eligible 
                        reservist and who received a direct 
                        loan under subsection (a) or (b) before 
                        being ordered to active duty; or
                          (ii) a small business concern that 
                        received a direct loan under subsection 
                        (a) or (b) before an eligible 
                        reservist, who is an essential 
                        employee, was ordered to active duty.
          (2) Deferral of direct loans.--
                  (A) In general.--The Administration shall, 
                upon written request, defer repayment of 
                principal and interest due on a direct loan 
                made under subsection (a) or (b), if such loan 
                was incurred by a qualified borrower.
                  (B) Period of deferral.--The period of 
                deferral for repayment under this paragraph 
                shall begin on the date on which the eligible 
                reservist is ordered to active duty and shall 
                terminate on the date that is 180 days after 
                the date such eligible reservist is discharged 
                or released from active duty.
                  (C) Interest rate reduction during 
                deferral.--Notwithstanding any other provision 
                of law, during the period of deferral described 
                in subparagraph (B), the Administration may, in 
                its discretion, reduce the interest rate on any 
                loan qualifying for a deferral under this 
                paragraph.
          (3) Deferral of loan guarantees and other 
        financings.--The Administration shall--
                  (A) encourage intermediaries participating in 
                the program under subsection (m) to defer 
                repayment of a loan made with proceeds made 
                available under that subsection, if such loan 
                was incurred by a small business concern that 
                is eligible to apply for assistance under 
                subsection (b)(3); and
                  (B) not later than 30 days after the date of 
                the enactment of this subsection, establish 
                guidelines to--
                          (i) encourage lenders and other 
                        intermediaries to defer repayment of, 
                        or provide other relief relating to, 
                        loan guarantees under subsection (a) 
                        and financings under section 504 of the 
                        Small Business Investment Act of 1958 
                        that were incurred by small business 
                        concerns that are eligible to apply for 
                        assistance under subsection (b)(3), and 
                        loan guarantees provided under 
                        subsection (m) if the intermediary 
                        provides relief to a small business 
                        concern under this paragraph; and
                          (ii) implement a program to provide 
                        for the deferral of repayment or other 
                        relief to any intermediary providing 
                        relief to a small business borrower 
                        under this paragraph.

           *       *       *       *       *       *       *

                              ----------                              


 SECTION 633 OF DIVISION E OF THE CONSOLIDATED APPROPRIATIONS ACT, 2017

  Sec. 633. (a) For fiscal years 2016 through 2026, the Office 
of Personnel Management shall provide to each affected 
individual as defined in subsection (b) complimentary identity 
protection coverage that--
          (1) is not less comprehensive than the complimentary 
        identity protection coverage that the Office provided 
        to affected individuals before the date of enactment of 
        this Act; and
          [(2) is effective for a period of not less than 10 
        years; and]
          [(3)] (2) includes not less than $5,000,000 in 
        identity theft insurance.
  (b) Definition In this section, the term ``affected 
individual'' means any individual whose Social Security Number 
was compromised during--
          (1) the data breach of personnel records of current 
        and former Federal employees, at a network maintained 
        by the Department of the Interior, that was announced 
        by the Office of Personnel Management on June 4, 2015; 
        or
          (2) the data breach of systems of the Office of 
        Personnel Management containing information related to 
        the background investigations of current, former, and 
        prospective Federal employees, and of other 
        individuals.
                              ----------                              


              LOCAL BUDGET AUTONOMY AMENDMENT ACT OF 2012

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

    Be It Enacted by the Council of the District of Columbia, 
[That this act may be cited as the ``Local Budget Autonomy 
Amendment Act of 2012''.
    [Sec. 2. The District of Columbia Home Rule Act, approved 
December 24, 1973 (87 Stat. 777; D.C. Official Code Sec. 1-
201.01 et seq.), is amended as follows:
    [(a) The table of contents is amended by striking the 
phrase ``Sec. 446. Enactment of Appropriations by Congress'' 
and inserting the phrase ``Sec. 446. Enactment of local budget 
by Council'' in its place.
    [(b). Section 404(f) (D.C. Official Code Sec. 1-204.04(f) 
is amended by striking the phrase ``transmitted by the Chairman 
to the President of the United States'' both times it appears 
and inserting the phrase ``incorporated in the budget act and 
become law subject to the provisions of section 602(c)'' in its 
place.
    [(c) Section 412 (D.C. Official Code Sec. 1-204.12) is 
amended by striking the phrase 14. ``(other than an act to 
which section 446 applies)''.
    [(d) Section 441(a) (D.C. Official Code Sec. 1-204.41(a)) 
is amended--by striking the phrase ``budget and accounting 
year.'' and inserting the phrase ``budget and accounting year. 
The District may change the fiscal year of the District by an 
act of the Council. If a change occurs, such fiscal year shall 
also constitute the budget and accounting year.'' in its place.
    [(e) Section 446 (D.C. Official Code Sec. 1-204.46) is 
amended to read as follows:
    [``ENACTMENT OF LOCAL BUDGET BY COUNCIL.
    [``Sec. 446. (a) Adoption of Budgets and Supplements.--The 
Council, within 70 calendar days, or as otherwise provided by 
law, after receipt of the budget proposal from the Mayor, and 
after public hearing, and by a vote of a majority of the 
members present and voting, shall by act adopt the annual 
budget for the District of Columbia government. The federal 
portion of the annual budget shall be submitted by the Mayor to 
the President for transmission to Congress. The local portion 
of the annual budget shall be submitted by the Chairman of the 
Council to the Speaker of the House of Representatives pursuant 
to the. procedure set forth in section 602(c). Any supplements 
to the annual budget shall also be adopted by act of the 
Council, after public hearing, by a vote of a majority of the 
members present and voting.
    [``(b) Transmission to President During Control Years.--
In'the case of a budget for a fiscal year which is a control 
year, the budget so adopted shall be submitted by the Mayor to 
the President for transmission by the President to the 
Congress; except, that the Mayor shall not transmit any such 
budget, or amendments or supplements to the budget, to the 
President until the completion of the budget procedures 
contained in this Act and the District of Columbia Financial 
Responsibility and Management Assistance Act of 1995.
    [(c) Prohibiting Obligations and Expenditures Not 
Authorized Under Budget.--Except as provided in section 
445A(b), section 446B, section 467(d), section 47I(c), section 
472(d)(2), section 475(e)(2), section 483(d), and subsections 
(f), (g), (h)(3), and (i)(3) of section 490, no amount may be 
obligated or expended by any officer or employee of the 
District of Columbia government unless--
          [``(1) such amount has been approved by an act of the 
        Council (and then only in accordance with such 
        authorization) and such act has been transmitted by the 
        Chairman to the Congress and has completed the review 
        process under section 602(c)(3); or
          [``(2) in the case of an amount obligated or expended 
        during a control year, such amount has been approved by 
        an Act of Congress (and then only in accordance with 
        such authorization).
    [``(d) Restrictions on Reprogramming of Amounts.--After the 
adoption of the annual budget or a fiscal year (beginning with 
the annual budget for fiscal year 1995), no reprogramming of 
amounts in the budget may occur unless the Mayor submits to the 
Council a request for such reprogramming and the Council 
approves the request, but and only if any additional 
expenditures provided under such request for an activity are 
offset by reductions in expenditures for another activity.
    [``(e) Definition.--In this part, the term ``control year'' 
has the meaning given such term in section 305(4) of the 
District of Columbia Financial Responsibility and Management 
Assistance Act of 1995.''.
    [(f) Section 446B(a) (D.C., Official Code Sec. 1-
204.46b(a)) is amended as follows:
          [(1) Strike the phrase ``the fourth sentence of 
        section 446'' and insert the phrase ``section 446(c)'' 
        in its place.
          [(2) Strike the phrase ``approved by Act of 
        Congress''.
    [(g) Section 447 (D.C. Official Code Sec. 1-204.47) is 
amended as follows:
          [(1) Strike the phrase. ``Act of Congress'' each time 
        it appears and insert the phrase ``act of the Council 
        (or Act of Congress, in the case of a year which is a 
        control year)'' in its place.
          [(2) Strike the phrase ``Acts of Congress'' each time 
        it appears and insert the phrase ``acts of the Council 
        (or Acts of Congress, in the case of a year which is a 
        control year)'' in its place.
    [(h) Sections 467(d), 471(c), 472(d)(2), 475(e)(2), and 
483(d), and 490(f), (g)(3), (h)(3), and (i)(3) are amended by 
striking the phrase ``The fourth sentence of section 446'' and 
inserting the phrase ``Section 446(c)'' in its place.
    [Sec. 3. Applicability.
    [Section 2 shall apply as of January 1, 2014.
    [Sec. 4. Fiscal impact statement.
    [The Council adopts the fiscal impact statement in the 
committee report as the fiscal impact statement required by 
section 602(c)(3) of the District of Columbia Home Rule Act, 
approved December 24, 1973 (87 Stat. 813; D.C. Official Code 
Sec. 1-206.02(c)(3)).
    [Sec. 5. Effective date.
    [This act shall take effect as provided in section 303 of 
the District of Columbia Home Rule Act, approved December 24, 
1973 (87 Stat. 784; D.C. Official Code Sec. 1-203.03).]
                              ----------                              


                   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.

           *       *       *       *       *       *       *

                              ----------                              


FINANCIAL STABILITY ACT OF 2010

           *       *       *       *       *       *       *


TITLE I--FINANCIAL STABILITY

           *       *       *       *       *       *       *


SEC. 102. DEFINITIONS.

  (a) In General.--For purposes of this title, unless the 
context otherwise requires, the following definitions shall 
apply:
          (1) Bank holding company.--The term ``bank holding 
        company'' has the same meaning as in section 2 of the 
        Bank Holding Company Act of 1956 (12 U.S.C. 1841). A 
        foreign bank or company that is treated as a bank 
        holding company for purposes of the Bank Holding 
        Company Act of 1956, pursuant to section 8(a) of the 
        International Banking Act of 1978 (12 U.S.C. 3106(a)), 
        shall be treated as a bank holding company for purposes 
        of this title.
          (2) Chairperson.--The term ``Chairperson'' means the 
        Chairperson of the Council.
          (3) Member agency.--The term ``member agency'' means 
        an agency represented by a voting member of the 
        Council.
          (4) Nonbank financial company definitions.--
                  (A) Foreign nonbank financial company.--The 
                term ``foreign nonbank financial company'' 
                means a company (other than a company that is, 
                or is treated in the United States as, a bank 
                holding company) that is--
                          (i) incorporated or organized in a 
                        country other than the United States; 
                        and
                          (ii) predominantly engaged in, 
                        including through a branch in the 
                        United States, financial activities, as 
                        defined in paragraph (6).
                  (B) U.S. nonbank financial company.--The term 
                ``U.S. nonbank financial company'' means a 
                company (other than a bank holding company, a 
                Farm Credit System institution chartered and 
                subject to the provisions of the Farm Credit 
                Act of 1971 (12 U.S.C. 2001 et seq.), or a 
                national securities exchange (or parent 
                thereof), clearing agency (or parent thereof, 
                unless the parent is a bank holding company), 
                security-based swap execution facility, or 
                security-based swap data repository registered 
                with the Commission, or a board of trade 
                designated as a contract market (or parent 
                thereof), or a derivatives clearing 
                organization (or parent thereof, unless the 
                parent is a bank holding company), swap 
                execution facility or a swap data repository 
                registered with the Commodity Futures Trading 
                Commission), that is--
                          (i) incorporated or organized under 
                        the laws of the United States or any 
                        State; and
                          (ii) predominantly engaged in 
                        financial activities, as defined in 
                        paragraph (6).
                  (C) Nonbank financial company.--The term 
                ``nonbank financial company'' means a U.S. 
                nonbank financial company and a foreign nonbank 
                financial company.
                  (D) Nonbank financial company supervised by 
                the board of governors.--The term ``nonbank 
                financial company supervised by the Board of 
                Governors'' means a nonbank financial company 
                that the Council has determined under section 
                113 shall be supervised by the Board of 
                Governors.
          [(5) Office of financial research.--The term ``Office 
        of Financial Research'' means the office established 
        under section 152.]
          (6) Predominantly engaged.--A company is 
        ``predominantly engaged in financial activities'' if--
                  (A) the annual gross revenues derived by the 
                company 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 company; or
                  (B) the consolidated assets of the company 
                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 company.
          (7) Significant institutions.--The terms 
        ``significant nonbank financial company'' and 
        ``significant bank holding company'' have the meanings 
        given those terms by rule of the Board of Governors, 
        but in no instance shall the term ``significant nonbank 
        financial company'' include those entities that are 
        excluded under paragraph (4)(B).
  (b) Definitional Criteria.--The Board of Governors shall 
establish, by regulation, the requirements for determining if a 
company is predominantly engaged in financial activities, as 
defined in subsection (a)(6).
  (c) Foreign Nonbank Financial Companies.--For purposes of the 
application of subtitles A and C (other than section 113(b)) 
with respect to a foreign nonbank financial company, references 
in this title to ``company'' or ``subsidiary'' include only the 
United States activities and subsidiaries of such foreign 
company, except as otherwise provided.

           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] who shall, except as provided below, 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;
                  [(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]
                  (B) each member of the Board of Governors, 
                who shall collectively have 1 vote on the 
                Council;
                  (C) the Comptroller of the Currency;
                  (D) the Director of the Bureau;
                  (E) each member of the Commission, who shall 
                collectively have 1 vote on the Council;
                  (F) each member of the Corporation, who shall 
                collectively have 1 vote on the Council;
                  (G) each member of the Commodity Futures 
                Trading Commission, who shall collectively have 
                1 vote on the Council;
                  (H) the Director of the Federal Housing 
                Finance Agency;
                  (I) each member of the National Credit Union 
                Administration Board, who shall collectively 
                have 1 vote on the Council; 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)] (A) the Director of the Federal 
                Insurance Office;
                  [(C)] (B) a State insurance commissioner, to 
                be designated by a selection process determined 
                by the State insurance commissioners;
                  [(D)] (C) a State banking supervisor, to be 
                designated by a selection process determined by 
                the State banking supervisors; and
                  [(E)] (D) 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.
          (4) Voting by multi-person entity.--
                  (A) Voting within the entity.--An entity 
                described under subparagraph (B), (E), (F), 
                (G), or (I) of paragraph (1) shall determine 
                the entity's Council vote by using the voting 
                process normally applicable to votes by the 
                entity's members.
                  (B) Casting of entity vote.--The 1 collective 
                Council vote of an entity described under 
                subparagraph (A) shall be cast by the head of 
                such agency or, in the event such head is 
                unable to cast such vote, the next most senior 
                member of the entity available.
  (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] 
        Each nonvoting members described under 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.
          (3) Staff access.--Any member of the Council may 
        select to have one or more individuals on the member's 
        staff attend a meeting of the Council, including any 
        meeting of representatives of the member agencies other 
        than the members themselves.
          (4) Congressional oversight.--All public meetings of 
        the Council shall be open to the attendance by members 
        of the authorization and oversight committees of the 
        House of Representatives and the Senate.
          (5) Transcription requirement for non-public 
        meetings.--The Council shall create and preserve 
        transcripts for all non-public meetings of the Council.
          (6) Member agency meetings.--Any meeting of 
        representatives of the member agencies other than the 
        members themselves shall be open to attendance by staff 
        of the authorization and oversight committees of the 
        House of Representatives and the Senate.
  (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.]
  (g) Open Meeting Requirement.--The Council shall be an agency 
for purposes of section 552b of title 5, United States Code 
(commonly referred to as the ``Government in the Sunshine 
Act'').
  (h) Confidential Congressional Briefings.--The Chairperson 
shall at regular times but not less than annually provide 
confidential briefings to the Committee on Financial Services 
of the House of Representatives and the Committee on Banking, 
Housing, and Urban Affairs of the Senate, which may in the 
discretion of the Chairman of the respective committee be 
attended by any combination of the committee's members or 
staff.
  [(h)] (i) 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)] (j) 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)] (k) 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.

SEC. 112. COUNCIL AUTHORITY.

  (a) Purposes and Duties of the Council.--
          (1) In general.--The purposes of the Council are--
                  (A) to identify risks to the financial 
                stability of the United States that could arise 
                from the material financial distress or 
                failure, or ongoing activities, of large, 
                interconnected bank holding companies or 
                nonbank financial companies, or that could 
                arise outside the financial services 
                marketplace;
                  (B) to promote market discipline, by 
                eliminating expectations on the part of 
                shareholders, creditors, and counterparties of 
                such companies that the Government will shield 
                them from losses in the event of failure; and
                  (C) to respond to emerging threats to the 
                stability of the United States financial 
                system.
          (2) Duties.--The Council shall, in accordance with 
        this title--
                  (A) collect information from member agencies, 
                other Federal and State financial regulatory 
                agencies, the Federal Insurance Office and, if 
                necessary to assess risks to the United States 
                financial system, [direct the Office of 
                Financial Research to] collect information from 
                bank holding companies and nonbank financial 
                companies;
                  [(B) provide direction to, and request data 
                and analyses from, the Office of Financial 
                Research to support the work of the Council;]
                  [(C)] (B) monitor the financial services 
                marketplace in order to identify potential 
                threats to the financial stability of the 
                United States;
                  [(D)] (C) to monitor domestic and 
                international financial regulatory proposals 
                and developments, including insurance and 
                accounting issues, and to advise Congress and 
                make recommendations in such areas that will 
                enhance the integrity, efficiency, 
                competitiveness, and stability of the U.S. 
                financial markets;
                  [(E)] (D) facilitate information sharing and 
                coordination among the member agencies and 
                other Federal and State agencies regarding 
                domestic financial services policy development, 
                rulemaking, examinations, reporting 
                requirements, and enforcement actions;
                  [(F)] (E) recommend to the member agencies 
                general supervisory priorities and principles 
                reflecting the outcome of discussions among the 
                member agencies;
                  [(G)] (F) identify gaps in regulation that 
                could pose risks to the financial stability of 
                the United States;
                  [(H) require supervision by the Board of 
                Governors for nonbank financial companies that 
                may pose risks to the financial stability of 
                the United States in the event of their 
                material financial distress or failure, or 
                because of their activities pursuant to section 
                113;
                  [(I) make recommendations to the Board of 
                Governors concerning the establishment of 
                heightened prudential standards for risk-based 
                capital, leverage, liquidity, contingent 
                capital, resolution plans and credit exposure 
                reports, concentration limits, enhanced public 
                disclosures, and overall risk management for 
                nonbank financial companies and large, 
                interconnected bank holding companies 
                supervised by the Board of Governors;]
                  [(J)] (G) identify systemically important 
                financial market utilities and payment, 
                clearing, and settlement activities (as that 
                term is defined in title VIII);
                  [(K)] (H) make recommendations to primary 
                financial regulatory agencies to apply new or 
                heightened standards and safeguards for 
                financial activities or practices that could 
                create or increase risks of significant 
                liquidity, credit, or other problems spreading 
                among bank holding companies, nonbank financial 
                companies, and United States financial markets;
                                  [(L)] (I) review and, as 
                                appropriate, may submit 
                                comments to the Commission and 
                                any standard-setting body with 
                                respect to an existing or 
                                proposed accounting principle, 
                                standard, or procedure;
                  [(M)] (J) provide a forum for--
                          (i) discussion and analysis of 
                        emerging market developments and 
                        financial regulatory issues; and
                          (ii) resolution of jurisdictional 
                        disputes among the members of the 
                        Council; and
                  [(N)] (K) annually report to and testify 
                before Congress on--
                          (i) the activities of the Council;
                          (ii) significant financial market and 
                        regulatory developments, including 
                        insurance and accounting regulations 
                        and standards, along with an assessment 
                        of those developments on the stability 
                        of the financial system;
                          (iii) potential emerging threats to 
                        the financial stability of the United 
                        States; and
                          [(iv) all determinations made under 
                        section 113 or title VIII, and the 
                        basis for such determinations;
                          [(v) all recommendations made under 
                        section 119 and the result of such 
                        recommendations; and]
                          [(vi)] (iv) recommendations--
                                  (I) to enhance the integrity, 
                                efficiency, competitiveness, 
                                and stability of United States 
                                financial markets;
                                  (II) to promote market 
                                discipline; and
                                  (III) to maintain investor 
                                confidence.
  (b) Statements by Voting Members of the Council.--At the time 
at which each report is submitted under subsection (a), each 
voting member of the Council shall--
          (1) if such member believes that the Council, the 
        Government, and the private sector are taking all 
        reasonable steps to ensure financial stability and to 
        mitigate systemic risk that would negatively affect the 
        economy, submit a signed statement to Congress stating 
        such belief; or
          (2) if such member does not believe that all 
        reasonable steps described under paragraph (1) are 
        being taken, submit a signed statement to Congress 
        stating what actions such member believes need to be 
        taken in order to ensure that all reasonable steps 
        described under paragraph (1) are taken.
  (c) Testimony by the Chairperson.--The Chairperson shall 
appear before the Committee on Financial Services of the House 
of Representatives and the Committee on Banking, Housing, and 
Urban Affairs of the Senate at an annual hearing, after the 
report is submitted under subsection (a)--
          (1) to discuss the efforts, activities, objectives, 
        and plans of the Council; and
          (2) to discuss and answer questions concerning such 
        report.
  (d) Authority To Obtain Information.--
          (1) In general.--The Council may receive, and may 
        request the submission of, any data or information from 
        [the Office of Financial Research, member agencies,] 
        member agencies and the Federal Insurance Office, as 
        necessary--
                  (A) to monitor the financial services 
                marketplace to identify potential risks to the 
                financial stability of the United States; or
                  (B) to otherwise carry out any of the 
                provisions of this title.
          (2) Submissions by the office and member agencies.--
        Notwithstanding any other provision of law, [the Office 
        of Financial Research, any member agency,] member 
        agencies and the Federal Insurance Office, are 
        authorized to submit information to the Council.
          (3) Financial data collection.--
                  (A) In general.--The Council[, acting through 
                the Office of Financial Research,] may require 
                the submission of periodic and other reports 
                from any nonbank financial company or bank 
                holding company for the purpose of assessing 
                the extent to which a financial activity or 
                financial market in which the nonbank financial 
                company or bank holding company participates, 
                or the nonbank financial company or bank 
                holding company itself, poses a threat to the 
                financial stability of the United States.
                  (B) Mitigation of report burden.--Before 
                requiring the submission of reports from any 
                nonbank financial company or bank holding 
                company that is regulated by a member agency or 
                any primary financial regulatory agency, the 
                Council[, acting through the Office of 
                Financial Research,] shall coordinate with such 
                agencies and shall, whenever possible, rely on 
                information available from [the Office of 
                Financial Research or] such agencies.
                  (C) Mitigation in case of foreign financial 
                companies.--Before requiring the submission of 
                reports from a company that is a foreign 
                nonbank financial company or foreign-based bank 
                holding company, the Council shall[, acting 
                through the Office of Financial Research,] to 
                the extent appropriate, consult with the 
                appropriate foreign regulator of such company 
                and, whenever possible, rely on information 
                already being collected by such foreign 
                regulator, with English translation.
          (4) Back-up examination by the board of governors.--
        If the Council is unable to determine whether the 
        financial activities of a U.S. nonbank financial 
        company pose a threat to the financial stability of the 
        United States, based on information or reports obtained 
        under paragraphs (1) and (3), discussions with 
        management, and publicly available information, the 
        Council may request the Board of Governors, and the 
        Board of Governors is authorized, to conduct an 
        examination of the U.S. nonbank financial company for 
        the sole purpose of determining whether the nonbank 
        financial company should be supervised by the Board of 
        Governors for purposes of this title.
          (5) Confidentiality.--
                  (A) In general.--The Council[, the Office of 
                Financial Research,] and the other member 
                agencies shall maintain the confidentiality of 
                any data, information, and reports submitted 
                under this title.
                  (B) Retention of privilege.--The submission 
                of any nonpublicly available data or 
                information under this subsection and subtitle 
                B shall not constitute a waiver of, or 
                otherwise affect, any privilege arising under 
                Federal or State law (including the rules of 
                any Federal or State court) to which the data 
                or information is otherwise subject.
                  (C) Freedom of information act.--Section 552 
                of title 5, United States Code, including the 
                exceptions thereunder, shall apply to any data 
                or information submitted under this subsection 
                and subtitle B.

[SEC. 113. AUTHORITY TO REQUIRE SUPERVISION AND REGULATION OF CERTAIN 
                    NONBANK FINANCIAL COMPANIES.

  [(a) U.S. Nonbank Financial Companies Supervised by the Board 
of Governors.--
          [(1) Determination.--The Council, on a nondelegable 
        basis and by a vote of not fewer than \2/3\ of the 
        voting members then serving, including an affirmative 
        vote by the Chairperson, may determine that a U.S. 
        nonbank financial company shall be supervised by the 
        Board of Governors and shall be subject to prudential 
        standards, in accordance with this title, if the 
        Council determines that material financial distress at 
        the U.S. nonbank financial company, or the nature, 
        scope, size, scale, concentration, interconnectedness, 
        or mix of the activities of the U.S. nonbank financial 
        company, could pose a threat to the financial stability 
        of the United States.
          [(2) Considerations.--In making a determination under 
        paragraph (1), the Council shall consider--
                  [(A) the extent of the leverage of the 
                company;
                  [(B) the extent and nature of the off-
                balance-sheet exposures of the company;
                  [(C) the extent and nature of the 
                transactions and relationships of the company 
                with other significant nonbank financial 
                companies and significant bank holding 
                companies;
                  [(D) the importance of the company as a 
                source of credit for households, businesses, 
                and State and local governments and as a source 
                of liquidity for the United States financial 
                system;
                  [(E) the importance of the company as a 
                source of credit for low-income, minority, or 
                underserved communities, and the impact that 
                the failure of such company would have on the 
                availability of credit in such communities;
                  [(F) the extent to which assets are managed 
                rather than owned by the company, and the 
                extent to which ownership of assets under 
                management is diffuse;
                  [(G) the nature, scope, size, scale, 
                concentration, interconnectedness, and mix of 
                the activities of the company;
                  [(H) the degree to which the company is 
                already regulated by 1 or more primary 
                financial regulatory agencies;
                  [(I) the amount and nature of the financial 
                assets of the company;
                  [(J) the amount and types of the liabilities 
                of the company, including the degree of 
                reliance on short-term funding; and
                  [(K) any other risk-related factors that the 
                Council deems appropriate.
  [(b) Foreign Nonbank Financial Companies Supervised by the 
Board of Governors.--
          [(1) Determination.--The Council, on a nondelegable 
        basis and by a vote of not fewer than \2/3\ of the 
        voting members then serving, including an affirmative 
        vote by the Chairperson, may determine that a foreign 
        nonbank financial company shall be supervised by the 
        Board of Governors and shall be subject to prudential 
        standards, in accordance with this title, if the 
        Council determines that material financial distress at 
        the foreign nonbank financial company, or the nature, 
        scope, size, scale, concentration, interconnectedness, 
        or mix of the activities of the foreign nonbank 
        financial company, could pose a threat to the financial 
        stability of the United States.
          [(2) Considerations.--In making a determination under 
        paragraph (1), the Council shall consider--
                  [(A) the extent of the leverage of the 
                company;
                  [(B) the extent and nature of the United 
                States related off-balance-sheet exposures of 
                the company;
                  [(C) the extent and nature of the 
                transactions and relationships of the company 
                with other significant nonbank financial 
                companies and significant bank holding 
                companies;
                  [(D) the importance of the company as a 
                source of credit for United States households, 
                businesses, and State and local governments and 
                as a source of liquidity for the United States 
                financial system;
                  [(E) the importance of the company as a 
                source of credit for low-income, minority, or 
                underserved communities in the United States, 
                and the impact that the failure of such company 
                would have on the availability of credit in 
                such communities;
                  [(F) the extent to which assets are managed 
                rather than owned by the company and the extent 
                to which ownership of assets under management 
                is diffuse;
                  [(G) the nature, scope, size, scale, 
                concentration, interconnectedness, and mix of 
                the activities of the company;
                  [(H) the extent to which the company is 
                subject to prudential standards on a 
                consolidated basis in its home country that are 
                administered and enforced by a comparable 
                foreign supervisory authority;
                  [(I) the amount and nature of the United 
                States financial assets of the company;
                  [(J) the amount and nature of the liabilities 
                of the company used to fund activities and 
                operations in the United States, including the 
                degree of reliance on short-term funding; and
                  [(K) any other risk-related factors that the 
                Council deems appropriate.
  [(c) Antievasion.--
          [(1) Determinations.--In order to avoid evasion of 
        this title, the Council, on its own initiative or at 
        the request of the Board of Governors, may determine, 
        on a nondelegable basis and by a vote of not fewer than 
        \2/3\ of the voting members then serving, including an 
        affirmative vote by the Chairperson, that--
                  [(A) material financial distress related to, 
                or the nature, scope, size, scale, 
                concentration, interconnectedness, or mix of, 
                the financial activities conducted directly or 
                indirectly by a company incorporated or 
                organized under the laws of the United States 
                or any State or the financial activities in the 
                United States of a company incorporated or 
                organized in a country other than the United 
                States would pose a threat to the financial 
                stability of the United States, based on 
                consideration of the factors in subsection 
                (a)(2) or (b)(2), as applicable;
                  [(B) the company is organized or operates in 
                such a manner as to evade the application of 
                this title; and
                  [(C) such financial activities of the company 
                shall be supervised by the Board of Governors 
                and subject to prudential standards in 
                accordance with this title, consistent with 
                paragraph (3).
          [(2) Report.--Upon making a determination under 
        paragraph (1), the Council shall submit a report to the 
        appropriate committees of Congress detailing the 
        reasons for making such determination.
          [(3) Consolidated supervision of only financial 
        activities; establishment of an intermediate holding 
        company.--
                  [(A) Establishment of an intermediate holding 
                company.--Upon a determination under paragraph 
                (1), the company that is the subject of the 
                determination may establish an intermediate 
                holding company in which the financial 
                activities of such company and its subsidiaries 
                shall be conducted (other than the activities 
                described in section 167(b)(2)) in compliance 
                with any regulations or guidance provided by 
                the Board of Governors. Such intermediate 
                holding company shall be subject to the 
                supervision of the Board of Governors and to 
                prudential standards under this title as if the 
                intermediate holding company were a nonbank 
                financial company supervised by the Board of 
                Governors.
                  [(B) Action of the board of governors.--To 
                facilitate the supervision of the financial 
                activities subject to the determination in 
                paragraph (1), the Board of Governors may 
                require a company to establish an intermediate 
                holding company, as provided for in section 
                167, which would be subject to the supervision 
                of the Board of Governors and to prudential 
                standards under this title, as if the 
                intermediate holding company were a nonbank 
                financial company supervised by the Board of 
                Governors.
          [(4) Notice and opportunity for hearing and final 
        determination; judicial review.--Subsections (d) 
        through (h) shall apply to determinations made by the 
        Council pursuant to paragraph (1) in the same manner as 
        such subsections apply to nonbank financial companies.
          [(5) Covered financial activities.--For purposes of 
        this subsection, the term ``financial activities''--
                  [(A) means activities that are financial in 
                nature (as defined in section 4(k) of the Bank 
                Holding Company Act of 1956);
                  [(B) includes the ownership or control of one 
                or more insured depository institutions; and
                  [(C) does not include internal financial 
                activities conducted for the company or any 
                affiliate thereof, including internal treasury, 
                investment, and employee benefit functions.
          [(6) Only financial activities subject to prudential 
        supervision.--Nonfinancial activities of the company 
        shall not be subject to supervision by the Board of 
        Governors and prudential standards of the Board. For 
        purposes of this Act, the financial activities that are 
        the subject of the determination in paragraph (1) shall 
        be subject to the same requirements as a nonbank 
        financial company supervised by the Board of Governors. 
        Nothing in this paragraph shall prohibit or limit the 
        authority of the Board of Governors to apply prudential 
        standards under this title to the financial activities 
        that are subject to the determination in paragraph (1).
  [(d) Reevaluation and Rescission.--The Council shall--
          [(1) not less frequently than annually, reevaluate 
        each determination made under subsections (a) and (b) 
        with respect to such nonbank financial company 
        supervised by the Board of Governors; and
          [(2) rescind any such determination, if the Council, 
        by a vote of not fewer than \2/3\ of the voting members 
        then serving, including an affirmative vote by the 
        Chairperson, determines that the nonbank financial 
        company no longer meets the standards under subsection 
        (a) or (b), as applicable.
  [(e) Notice and Opportunity for Hearing and Final 
Determination.--
          [(1) In general.--The Council shall provide to a 
        nonbank financial company written notice of a proposed 
        determination of the Council, including an explanation 
        of the basis of the proposed determination of the 
        Council, that a nonbank financial company shall be 
        supervised by the Board of Governors and shall be 
        subject to prudential standards in accordance with this 
        title.
          [(2) Hearing.--Not later than 30 days after the date 
        of receipt of any notice of a proposed determination 
        under paragraph (1), the nonbank financial company may 
        request, in writing, an opportunity for a written or 
        oral hearing before the Council to contest the proposed 
        determination. Upon receipt of a timely request, the 
        Council shall fix a time (not later than 30 days after 
        the date of receipt of the request) and place at which 
        such company may appear, personally or through counsel, 
        to submit written materials (or, at the sole discretion 
        of the Council, oral testimony and oral argument).
          [(3) Final determination.--Not later than 60 days 
        after the date of a hearing under paragraph (2), the 
        Council shall notify the nonbank financial company of 
        the final determination of the Council, which shall 
        contain a statement of the basis for the decision of 
        the Council.
          [(4) No hearing requested.--If a nonbank financial 
        company does not make a timely request for a hearing, 
        the Council shall notify the nonbank financial company, 
        in writing, of the final determination of the Council 
        under subsection (a) or (b), as applicable, not later 
        than 10 days after the date by which the company may 
        request a hearing under paragraph (2).
  [(f) Emergency Exception.--
          [(1) In general.--The Council may waive or modify the 
        requirements of subsection (e) with respect to a 
        nonbank financial company, if the Council determines, 
        by a vote of not fewer than \2/3\ of the voting members 
        then serving, including an affirmative vote by the 
        Chairperson, that such waiver or modification is 
        necessary or appropriate to prevent or mitigate threats 
        posed by the nonbank financial company to the financial 
        stability of the United States.
          [(2) Notice.--The Council shall provide notice of a 
        waiver or modification under this subsection to the 
        nonbank financial company concerned as soon as 
        practicable, but not later than 24 hours after the 
        waiver or modification is granted.
          [(3) International coordination.--In making a 
        determination under paragraph (1), the Council shall 
        consult with the appropriate home country supervisor, 
        if any, of the foreign nonbank financial company that 
        is being considered for such a determination.
          [(4) Opportunity for hearing.--The Council shall 
        allow a nonbank financial company to request, in 
        writing, an opportunity for a written or oral hearing 
        before the Council to contest a waiver or modification 
        under this subsection, not later than 10 days after the 
        date of receipt of notice of the waiver or modification 
        by the company. Upon receipt of a timely request, the 
        Council shall fix a time (not later than 15 days after 
        the date of receipt of the request) and place at which 
        the nonbank financial company may appear, personally or 
        through counsel, to submit written materials (or, at 
        the sole discretion of the Council, oral testimony and 
        oral argument).
          [(5) Notice of final determination.--Not later than 
        30 days after the date of any hearing under paragraph 
        (4), the Council shall notify the subject nonbank 
        financial company of the final determination of the 
        Council under this subsection, which shall contain a 
        statement of the basis for the decision of the Council.
  [(g) Consultation.--The Council shall consult with the 
primary financial regulatory agency, if any, for each nonbank 
financial company or subsidiary of a nonbank financial company 
that is being considered for supervision by the Board of 
Governors under this section before the Council makes any final 
determination with respect to such nonbank financial company 
under subsection (a), (b), or (c).
  [(h) Judicial Review.--If the Council makes a final 
determination under this section with respect to a nonbank 
financial company, such nonbank financial company may, not 
later than 30 days after the date of receipt of the notice of 
final determination under subsection (d)(2), (e)(3), or (f)(5), 
bring an action in the United States district court for the 
judicial district in which the home office of such nonbank 
financial company is located, or in the United States District 
Court for the District of Columbia, for an order requiring that 
the final determination be rescinded, and the court shall, upon 
review, dismiss such action or direct the final determination 
to be rescinded. Review of such an action shall be limited to 
whether the final determination made under this section was 
arbitrary and capricious.
  [(i) International Coordination.--In exercising its duties 
under this title with respect to foreign nonbank financial 
companies, foreign-based bank holding companies, and cross-
border activities and markets, the Council shall consult with 
appropriate foreign regulatory authorities, to the extent 
appropriate.

[SEC. 114. REGISTRATION OF NONBANK FINANCIAL COMPANIES SUPERVISED BY 
                    THE BOARD OF GOVERNORS.

  [Not later than 180 days after the date of a final Council 
determination under section 113 that a nonbank financial 
company is to be supervised by the Board of Governors, such 
company shall register with the Board of Governors, on forms 
prescribed by the Board of Governors, which shall include such 
information as the Board of Governors, in consultation with the 
Council, may deem necessary or appropriate to carry out this 
title.

[SEC. 115. ENHANCED SUPERVISION AND PRUDENTIAL STANDARDS FOR NONBANK 
                    FINANCIAL COMPANIES SUPERVISED BY THE BOARD OF 
                    GOVERNORS AND CERTAIN BANK HOLDING COMPANIES.

  [(a) In General.--
          [(1) Purpose.--In order to prevent or mitigate risks 
        to the financial stability of the United States that 
        could arise from the material financial distress, 
        failure, or ongoing activities of large, interconnected 
        financial institutions, the Council may make 
        recommendations to the Board of Governors concerning 
        the establishment and refinement of prudential 
        standards and reporting and disclosure requirements 
        applicable to nonbank financial companies supervised by 
        the Board of Governors and large, interconnected bank 
        holding companies, that--
                  [(A) are more stringent than those applicable 
                to other nonbank financial companies and bank 
                holding companies that do not present similar 
                risks to the financial stability of the United 
                States; and
                  [(B) increase in stringency, based on the 
                considerations identified in subsection (b)(3).
          [(2) Recommended application of required standards.--
        In making recommendations under this section, the 
        Council may--
                  [(A) differentiate among companies that are 
                subject to heightened standards on an 
                individual basis or by category, taking into 
                consideration their capital structure, 
                riskiness, complexity, financial activities 
                (including the financial activities of their 
                subsidiaries), size, and any other risk-related 
                factors that the Council deems appropriate; or
                  [(B) recommend an asset threshold that is 
                higher than $50,000,000,000 for the application 
                of any standard described in subsections (c) 
                through (g).
  [(b) Development of Prudential Standards.--
          [(1) In general.--The recommendations of the Council 
        under subsection (a) may include--
                  [(A) risk-based capital requirements;
                  [(B) leverage limits;
                  [(C) liquidity requirements;
                  [(D) resolution plan and credit exposure 
                report requirements;
                  [(E) concentration limits;
                  [(F) a contingent capital requirement;
                  [(G) enhanced public disclosures;
                  [(H) short-term debt limits; and
                  [(I) overall risk management requirements.
          [(2) Prudential standards for foreign financial 
        companies.--In making recommendations concerning the 
        standards set forth in paragraph (1) that would apply 
        to foreign nonbank financial companies supervised by 
        the Board of Governors or foreign-based bank holding 
        companies, the Council shall--
                  [(A) give due regard to the principle of 
                national treatment and equality of competitive 
                opportunity; and
                  [(B) take into account the extent to which 
                the foreign nonbank financial company or 
                foreign-based bank holding company is subject 
                on a consolidated basis to home country 
                standards that are comparable to those applied 
                to financial companies in the United States.
          [(3) Considerations.--In making recommendations 
        concerning prudential standards under paragraph (1), 
        the Council shall--
                  [(A) take into account differences among 
                nonbank financial companies supervised by the 
                Board of Governors and bank holding companies 
                described in subsection (a), based on--
                          [(i) the factors described in 
                        subsections (a) and (b) of section 113;
                          [(ii) whether the company owns an 
                        insured depository institution;
                          [(iii) nonfinancial activities and 
                        affiliations of the company; and
                          [(iv) any other factors that the 
                        Council determines appropriate;
                  [(B) to the extent possible, ensure that 
                small changes in the factors listed in 
                subsections (a) and (b) of section 113 would 
                not result in sharp, discontinuous changes in 
                the prudential standards established under 
                section 165; and
                  [(C) adapt its recommendations as appropriate 
                in light of any predominant line of business of 
                such company, including assets under management 
                or other activities for which particular 
                standards may not be appropriate.
  [(c) Contingent Capital.--
          [(1) Study required.--The Council shall conduct a 
        study of the feasibility, benefits, costs, and 
        structure of a contingent capital requirement for 
        nonbank financial companies supervised by the Board of 
        Governors and bank holding companies described in 
        subsection (a), which study shall include--
                  [(A) an evaluation of the degree to which 
                such requirement would enhance the safety and 
                soundness of companies subject to the 
                requirement, promote the financial stability of 
                the United States, and reduce risks to United 
                States taxpayers;
                  [(B) an evaluation of the characteristics and 
                amounts of contingent capital that should be 
                required;
                  [(C) an analysis of potential prudential 
                standards that should be used to determine 
                whether the contingent capital of a company 
                would be converted to equity in times of 
                financial stress;
                  [(D) an evaluation of the costs to companies, 
                the effects on the structure and operation of 
                credit and other financial markets, and other 
                economic effects of requiring contingent 
                capital;
                  [(E) an evaluation of the effects of such 
                requirement on the international 
                competitiveness of companies subject to the 
                requirement and the prospects for international 
                coordination in establishing such requirement; 
                and
                  [(F) recommendations for implementing 
                regulations.
          [(2) Report.--The Council shall submit a report to 
        Congress regarding the study required by paragraph (1) 
        not later than 2 years after the date of enactment of 
        this Act.
          [(3) Recommendations.--
                  [(A) In general.--Subsequent to submitting a 
                report to Congress under paragraph (2), the 
                Council may make recommendations to the Board 
                of Governors to require any nonbank financial 
                company supervised by the Board of Governors 
                and any bank holding company described in 
                subsection (a) to maintain a minimum amount of 
                contingent capital that is convertible to 
                equity in times of financial stress.
                  [(B) Factors to consider.--In making 
                recommendations under this subsection, the 
                Council shall consider--
                          [(i) an appropriate transition period 
                        for implementation of a conversion 
                        under this subsection;
                          [(ii) the factors described in 
                        subsection (b)(3);
                          [(iii) capital requirements 
                        applicable to a nonbank financial 
                        company supervised by the Board of 
                        Governors or a bank holding company 
                        described in subsection (a), and 
                        subsidiaries thereof;
                          [(iv) results of the study required 
                        by paragraph (1); and
                          [(v) any other factor that the 
                        Council deems appropriate.
  [(d) Resolution Plan and Credit Exposure Reports.--
          [(1) Resolution plan.--The Council may make 
        recommendations to the Board of Governors concerning 
        the requirement that each nonbank financial company 
        supervised by the Board of Governors and each bank 
        holding company described in subsection (a) report 
        periodically to the Council, the Board of Governors, 
        and the Corporation, the plan of such company for rapid 
        and orderly resolution in the event of material 
        financial distress or failure.
          [(2) Credit exposure report.--The Council may make 
        recommendations to the Board of Governors concerning 
        the advisability of requiring each nonbank financial 
        company supervised by the Board of Governors and bank 
        holding company described in subsection (a) to report 
        periodically to the Council, the Board of Governors, 
        and the Corporation on--
                  [(A) the nature and extent to which the 
                company has credit exposure to other 
                significant nonbank financial companies and 
                significant bank holding companies; and
                  [(B) the nature and extent to which other 
                such significant nonbank financial companies 
                and significant bank holding companies have 
                credit exposure to that company.
  [(e) Concentration Limits.--In order to limit the risks that 
the failure of any individual company could pose to nonbank 
financial companies supervised by the Board of Governors or 
bank holding companies described in subsection (a), the Council 
may make recommendations to the Board of Governors to prescribe 
standards to limit such risks, as set forth in section 165.
  [(f) Enhanced Public Disclosures.--The Council may make 
recommendations to the Board of Governors to require periodic 
public disclosures by bank holding companies described in 
subsection (a) and by nonbank financial companies supervised by 
the Board of Governors, in order to support market evaluation 
of the risk profile, capital adequacy, and risk management 
capabilities thereof.
  [(g) Short-term Debt Limits.--The Council may make 
recommendations to the Board of Governors to require short-term 
debt limits to mitigate the risks that an over-accumulation of 
such debt could pose to bank holding companies described in 
subsection (a), nonbank financial companies supervised by the 
Board of Governors, or the financial system.

[SEC. 116. REPORTS.

  [(a) In General.--Subject to subsection (b), the Council, 
acting through the Office of Financial Research, may require a 
bank holding company with total consolidated assets of 
$50,000,000,000 or greater or a nonbank financial company 
supervised by the Board of Governors, and any subsidiary 
thereof, to submit certified reports to keep the Council 
informed as to--
          [(1) the financial condition of the company;
          [(2) systems for monitoring and controlling 
        financial, operating, and other risks;
          [(3) transactions with any subsidiary that is a 
        depository institution; and
          [(4) the extent to which the activities and 
        operations of the company and any subsidiary thereof, 
        could, under adverse circumstances, have the potential 
        to disrupt financial markets or affect the overall 
        financial stability of the United States.
  [(b) Use of Existing Reports.--
          [(1) In general.--For purposes of compliance with 
        subsection (a), the Council, acting through the Office 
        of Financial Research, shall, to the fullest extent 
        possible, use--
                  [(A) reports that a bank holding company, 
                nonbank financial company supervised by the 
                Board of Governors, or any functionally 
                regulated subsidiary of such company has been 
                required to provide to other Federal or State 
                regulatory agencies or to a relevant foreign 
                supervisory authority;
                  [(B) information that is otherwise required 
                to be reported publicly; and
                  [(C) externally audited financial statements.
          [(2) Availability.--Each bank holding company 
        described in subsection (a) and nonbank financial 
        company supervised by the Board of Governors, and any 
        subsidiary thereof, shall provide to the Council, at 
        the request of the Council, copies of all reports 
        referred to in paragraph (1).
          [(3) Confidentiality.--The Council shall maintain the 
        confidentiality of the reports obtained under 
        subsection (a) and paragraph (1)(A) of this subsection.

[SEC. 117. TREATMENT OF CERTAIN COMPANIES THAT CEASE TO BE BANK HOLDING 
                    COMPANIES.

  [(a) Applicability.--This section shall apply to--
          [(1) any entity that--
                  [(A) was a bank holding company having total 
                consolidated assets equal to or greater than 
                $50,000,000,000 as of January 1, 2010; and
                  [(B) received financial assistance under or 
                participated in the Capital Purchase Program 
                established under the Troubled Asset Relief 
                Program authorized by the Emergency Economic 
                Stabilization Act of 2008; and
          [(2) any successor entity (as defined by the Board of 
        Governors, in consultation with the Council) to an 
        entity described in paragraph (1).
  [(b) Treatment.--If an entity described in subsection (a) 
ceases to be a bank holding company at any time after January 
1, 2010, then such entity shall be treated as a nonbank 
financial company supervised by the Board of Governors, as if 
the Council had made a determination under section 113 with 
respect to that entity.
  [(c) Appeal.--
          [(1) Request for hearing.--An entity may request, in 
        writing, an opportunity for a written or oral hearing 
        before the Council to appeal its treatment as a nonbank 
        financial company supervised by the Board of Governors 
        in accordance with this section. Upon receipt of the 
        request, the Council shall fix a time (not later than 
        30 days after the date of receipt of the request) and 
        place at which such entity may appear, personally or 
        through counsel, to submit written materials (or, at 
        the sole discretion of the Council, oral testimony and 
        oral argument).
          [(2) Decision.--
                  [(A) Proposed decision.--A Council decision 
                to grant an appeal under this subsection shall 
                be made by a vote of not fewer than \2/3\ of 
                the voting members then serving, including an 
                affirmative vote by the Chairperson. Not later 
                than 60 days after the date of a hearing under 
                paragraph (1), the Council shall submit a 
                report to, and may testify before, the 
                Committee on Banking, Housing, and Urban 
                Affairs of the Senate and the Committee on 
                Financial Services of the House of 
                Representatives on the proposed decision of the 
                Council regarding an appeal under paragraph 
                (1), which report shall include a statement of 
                the basis for the proposed decision of the 
                Council.
                  [(B) Notice of final decision.--The Council 
                shall notify the subject entity of the final 
                decision of the Council regarding an appeal 
                under paragraph (1), which notice shall contain 
                a statement of the basis for the final decision 
                of the Council, not later than 60 days after 
                the later of--
                          [(i) the date of the submission of 
                        the report under subparagraph (A); or
                          [(ii) if, not later than 1 year after 
                        the date of submission of the report 
                        under subparagraph (A), the Committee 
                        on Banking, Housing, and Urban Affairs 
                        of the Senate or the Committee on 
                        Financial Services of the House of 
                        Representatives holds one or more 
                        hearings regarding such report, the 
                        date of the last such hearing.
                  [(C) Considerations.--In making a decision 
                regarding an appeal under paragraph (1), the 
                Council shall consider whether the company 
                meets the standards under section 113(a) or 
                113(b), as applicable, and the definition of 
                the term ``nonbank financial company'' under 
                section 102. The decision of the Council shall 
                be final, subject to the review under paragraph 
                (3).
          [(3) Review.--If the Council denies an appeal under 
        this subsection, the Council shall, not less frequently 
        than annually, review and reevaluate the decision.

[SEC. 118. COUNCIL FUNDING.

  [Any expenses of the Council shall be treated as expenses of, 
and paid by, the Office of Financial Research.

[SEC. 119. RESOLUTION OF SUPERVISORY JURISDICTIONAL DISPUTES AMONG 
                    MEMBER AGENCIES.

  [(a) Request for Council Recommendation.--The Council shall 
seek to resolve a dispute among 2 or more member agencies, if--
          [(1) a member agency has a dispute with another 
        member agency about the respective jurisdiction over a 
        particular bank holding company, nonbank financial 
        company, or financial activity or product (excluding 
        matters for which another dispute mechanism 
        specifically has been provided under title X);
          [(2) the Council determines that the disputing 
        agencies cannot, after a demonstrated good faith 
        effort, resolve the dispute without the intervention of 
        the Council; and
          [(3) any of the member agencies involved in the 
        dispute--
                  [(A) provides all other disputants prior 
                notice of the intent to request dispute 
                resolution by the Council; and
                  [(B) requests in writing, not earlier than 14 
                days after providing the notice described in 
                subparagraph (A), that the Council seek to 
                resolve the dispute.
  [(b) Council Recommendation.--The Council shall seek to 
resolve each dispute described in subsection (a)--
          [(1) within a reasonable time after receiving the 
        dispute resolution request;
          [(2) after consideration of relevant information 
        provided by each agency party to the dispute; and
          [(3) by agreeing with 1 of the disputants regarding 
        the entirety of the matter, or by determining a 
        compromise position.
  [(c) Form of Recommendation.--Any Council recommendation 
under this section shall--
          [(1) be in writing;
          [(2) include an explanation of the reasons therefor; 
        and
          [(3) be approved by the affirmative vote of \2/3\ of 
        the voting members of the Council then serving.
  [(d) Nonbinding Effect.--Any recommendation made by the 
Council under subsection (c) shall not be binding on the 
Federal agencies that are parties to the dispute.

[SEC. 120. ADDITIONAL STANDARDS APPLICABLE TO ACTIVITIES OR PRACTICES 
                    FOR FINANCIAL STABILITY PURPOSES.

  [(a) In General.--The Council may provide for more stringent 
regulation of a financial activity by issuing recommendations 
to the primary financial regulatory agencies to apply new or 
heightened standards and safeguards, including standards 
enumerated in section 115, for a financial activity or practice 
conducted by bank holding companies or nonbank financial 
companies under their respective jurisdictions, if the Council 
determines that the conduct, scope, nature, size, scale, 
concentration, or interconnectedness of such activity or 
practice could create or increase the risk of significant 
liquidity, credit, or other problems spreading among bank 
holding companies and nonbank financial companies, financial 
markets of the United States, or low-income, minority, or 
underserved communities.
  [(b) Procedure for Recommendations to Regulators.--
          [(1) Notice and opportunity for comment.--The Council 
        shall consult with the primary financial regulatory 
        agencies and provide notice to the public and 
        opportunity for comment for any proposed recommendation 
        that the primary financial regulatory agencies apply 
        new or heightened standards and safeguards for a 
        financial activity or practice.
          [(2) Criteria.--The new or heightened standards and 
        safeguards for a financial activity or practice 
        recommended under paragraph (1)--
                  [(A) shall take costs to long-term economic 
                growth into account; and
                  [(B) may include prescribing the conduct of 
                the activity or practice in specific ways (such 
                as by limiting its scope, or applying 
                particular capital or risk management 
                requirements to the conduct of the activity) or 
                prohibiting the activity or practice.
  [(c) Implementation of Recommended Standards.--
          [(1) Role of primary financial regulatory agency.--
                  [(A) In general.--Each primary financial 
                regulatory agency may impose, require reports 
                regarding, examine for compliance with, and 
                enforce standards in accordance with this 
                section with respect to those entities for 
                which it is the primary financial regulatory 
                agency.
                  [(B) Rule of construction.--The authority 
                under this paragraph is in addition to, and 
                does not limit, any other authority of a 
                primary financial regulatory agency. Compliance 
                by an entity with actions taken by a primary 
                financial regulatory agency under this section 
                shall be enforceable in accordance with the 
                statutes governing the respective jurisdiction 
                of the primary financial regulatory agency over 
                the entity, as if the agency action were taken 
                under those statutes.
          [(2) Imposition of standards.--The primary financial 
        regulatory agency shall impose the standards 
        recommended by the Council in accordance with 
        subsection (a), or similar standards that the Council 
        deems acceptable, or shall explain in writing to the 
        Council, not later than 90 days after the date on which 
        the Council issues the recommendation, why the agency 
        has determined not to follow the recommendation of the 
        Council.
  [(d) Report to Congress.--The Council shall report to 
Congress on--
          [(1) any recommendations issued by the Council under 
        this section;
          [(2) the implementation of, or failure to implement, 
        such recommendation on the part of a primary financial 
        regulatory agency; and
          [(3) in any case in which no primary financial 
        regulatory agency exists for the nonbank financial 
        company conducting financial activities or practices 
        referred to in subsection (a), recommendations for 
        legislation that would prevent such activities or 
        practices from threatening the stability of the 
        financial system of the United States.
  [(e) Effect of Rescission of Identification.--
          [(1) Notice.--The Council may recommend to the 
        relevant primary financial regulatory agency that a 
        financial activity or practice no longer requires any 
        standards or safeguards implemented under this section.
          [(2) Determination of primary financial regulatory 
        agency to continue.--
                  [(A) In general.--Upon receipt of a 
                recommendation under paragraph (1), a primary 
                financial regulatory agency that has imposed 
                standards under this section shall determine 
                whether such standards should remain in effect.
                  [(B) Appeal process.--Each primary financial 
                regulatory agency that has imposed standards 
                under this section shall promulgate regulations 
                to establish a procedure under which entities 
                under its jurisdiction may appeal a 
                determination by such agency under this 
                paragraph that standards imposed under this 
                section should remain in effect.

[SEC. 121. MITIGATION OF RISKS TO FINANCIAL STABILITY.

  [(a) Mitigatory Actions.--If the Board of Governors 
determines that a bank holding company with total consolidated 
assets of $50,000,000,000 or more, or a nonbank financial 
company supervised by the Board of Governors, poses a grave 
threat to the financial stability of the United States, the 
Board of Governors, upon an affirmative vote of not fewer than 
\2/3\ of the voting members of the Council then serving, 
shall--
          [(1) limit the ability of the company to merge with, 
        acquire, consolidate with, or otherwise become 
        affiliated with another company;
          [(2) restrict the ability of the company to offer a 
        financial product or products;
          [(3) require the company to terminate one or more 
        activities;
          [(4) impose conditions on the manner in which the 
        company conducts 1 or more activities; or
          [(5) if the Board of Governors determines that the 
        actions described in paragraphs (1) through (4) are 
        inadequate to mitigate a threat to the financial 
        stability of the United States in its recommendation, 
        require the company to sell or otherwise transfer 
        assets or off-balance-sheet items to unaffiliated 
        entities.
  [(b) Notice and Hearing.--
          [(1) In general.--The Board of Governors, in 
        consultation with the Council, shall provide to a 
        company described in subsection (a) written notice that 
        such company is being considered for mitigatory action 
        pursuant to this section, including an explanation of 
        the basis for, and description of, the proposed 
        mitigatory action.
          [(2) Hearing.--Not later than 30 days after the date 
        of receipt of notice under paragraph (1), the company 
        may request, in writing, an opportunity for a written 
        or oral hearing before the Board of Governors to 
        contest the proposed mitigatory action. Upon receipt of 
        a timely request, the Board of Governors shall fix a 
        time (not later than 30 days after the date of receipt 
        of the request) and place at which such company may 
        appear, personally or through counsel, to submit 
        written materials (or, at the discretion of the Board 
        of Governors, in consultation with the Council, oral 
        testimony and oral argument).
          [(3) Decision.--Not later than 60 days after the date 
        of a hearing under paragraph (2), or not later than 60 
        days after the provision of a notice under paragraph 
        (1) if no hearing was held, the Board of Governors 
        shall notify the company of the final decision of the 
        Board of Governors, including the results of the vote 
        of the Council, as described in subsection (a).
  [(c) Factors for Consideration.--The Board of Governors and 
the Council shall take into consideration the factors set forth 
in subsection (a) or (b) of section 113, as applicable, in 
making any determination under subsection (a).
  [(d) Application to Foreign Financial Companies.--The Board 
of Governors may prescribe regulations regarding the 
application of this section to foreign nonbank financial 
companies supervised by the Board of Governors and foreign-
based bank holding companies--
          [(1) giving due regard to the principle of national 
        treatment and equality of competitive opportunity; and
          [(2) taking into account the extent to which the 
        foreign nonbank financial company or foreign-based bank 
        holding company is subject on a consolidated basis to 
        home country standards that are comparable to those 
        applied to financial companies in the United States.]

SEC. 118. COUNCIL FUNDING.

  There is authorized to be appropriated to the Council 
$4,000,000 for fiscal year 2018 and each fiscal year thereafter 
to carry out the duties of the Council.

           *       *       *       *       *       *       *


               [Subtitle B--Office of Financial Research

[SEC. 151. DEFINITIONS.

  [For purposes of this subtitle--
          [(1) the terms ``Office'' and ``Director'' mean the 
        Office of Financial Research established under this 
        subtitle and the Director thereof, respectively;
          [(2) the term ``financial company'' has the same 
        meaning as in title II, and includes an insured 
        depository institution and an insurance company;
          [(3) the term ``Data Center'' means the data center 
        established under section 154;
          [(4) the term ``Research and Analysis Center'' means 
        the research and analysis center established under 
        section 154;
          [(5) the term ``financial transaction data'' means 
        the structure and legal description of a financial 
        contract, with sufficient detail to describe the rights 
        and obligations between counterparties and make 
        possible an independent valuation;
          [(6) the term ``position data''--
                  [(A) means data on financial assets or 
                liabilities held on the balance sheet of a 
                financial company, where positions are created 
                or changed by the execution of a financial 
                transaction; and
                  [(B) includes information that identifies 
                counterparties, the valuation by the financial 
                company of the position, and information that 
                makes possible an independent valuation of the 
                position;
          [(7) the term ``financial contract'' means a legally 
        binding agreement between 2 or more counterparties, 
        describing rights and obligations relating to the 
        future delivery of items of intrinsic or extrinsic 
        value among the counterparties; and
          [(8) the term ``financial instrument'' means a 
        financial contract in which the terms and conditions 
        are publicly available, and the roles of one or more of 
        the counterparties are assignable without the consent 
        of any of the other counterparties (including common 
        stock of a publicly traded company, government bonds, 
        or exchange traded futures and options contracts).

[SEC. 152. OFFICE OF FINANCIAL RESEARCH ESTABLISHED.

  [(a) Establishment.--There is established within the 
Department of the Treasury the Office of Financial Research.
  [(b) Director.--
          [(1) In general.--The Office shall be headed by a 
        Director, who shall be appointed by the President, by 
        and with the advice and consent of the Senate.
          [(2) Term of service.--The Director shall serve for a 
        term of 6 years, except that, in the event that a 
        successor is not nominated and confirmed by the end of 
        the term of service of a Director, the Director may 
        continue to serve until such time as the next Director 
        is appointed and confirmed.
          [(3) Executive level.--The Director shall be 
        compensated at Level III of the Executive Schedule.
          [(4) Prohibition on dual service.--The individual 
        serving in the position of Director may not, during 
        such service, also serve as the head of any financial 
        regulatory agency.
          [(5) Responsibilities, duties, and authority.--The 
        Director shall have sole discretion in the manner in 
        which the Director fulfills the responsibilities and 
        duties and exercises the authorities described in this 
        subtitle.
  [(c) Budget.--The Director, in consultation with the 
Chairperson, shall establish the annual budget of the Office.
  [(d) Office Personnel.--
          [(1) In general.--The Director, in consultation with 
        the Chairperson, may fix the number of, and appoint and 
        direct, all employees of the Office.
          [(2) Compensation.--The Director, in consultation 
        with the Chairperson, shall fix, adjust, and administer 
        the pay for all employees of the Office, without regard 
        to chapter 51 or subchapter III of chapter 53 of title 
        5, United States Code, relating to classification of 
        positions and General Schedule pay rates.
          [(3) Comparability.--Section 1206(a) of the Financial 
        Institutions Reform, Recovery, and Enforcement Act of 
        1989 (12 U.S.C. 1833b(a)) is amended--
                  [(A) by striking ``Finance Board,'' and 
                inserting ``Finance Board, the Office of 
                Financial Research, and the Bureau of Consumer 
                Financial Protection''; and
                  [(B) by striking ``and the Office of Thrift 
                Supervision,''.
          [(4) Senior executives.--Section 3132(a)(1)(D) of 
        title 5, United States Code, is amended by striking 
        ``and the National Credit Union Administration;'' and 
        inserting ``the National Credit Union Administration, 
        the Bureau of Consumer Financial Protection, and the 
        Office of Financial Research;''.
  [(e) Assistance From Federal Agencies.--Any department or 
agency of the United States may provide to the Office and any 
special advisory, technical, or professional committees 
appointed by the Office, such services, funds, facilities, 
staff, and other support services as the Office may determine 
advisable. Any Federal Government employee may be detailed to 
the Office without reimbursement, and such detail shall be 
without interruption or loss of civil service status or 
privilege.
  [(f) Procurement of Temporary and Intermittent Services.--The 
Director may procure temporary and intermittent services under 
section 3109(b) of title 5, United States Code, at rates for 
individuals which do not exceed the daily equivalent of the 
annual rate of basic pay prescribed for Level V of the 
Executive Schedule under section 5316 of such title.
  [(g) Post-employment Prohibitions.--The Secretary, with the 
concurrence of the Director of the Office of Government Ethics, 
shall issue regulations prohibiting the Director and any 
employee of the Office who has had access to the transaction or 
position data maintained by the Data Center or other business 
confidential information about financial entities required to 
report to the Office from being employed by or providing advice 
or consulting services to a financial company, for a period of 
1 year after last having had access in the course of official 
duties to such transaction or position data or business 
confidential information, regardless of whether that entity is 
required to report to the Office. For employees whose access to 
business confidential information was limited, the regulations 
may provide, on a case-by-case basis, for a shorter period of 
post-employment prohibition, provided that the shorter period 
does not compromise business confidential information.
  [(h) Technical and Professional Advisory Committees.--The 
Office, in consultation with the Chairperson, may appoint such 
special advisory, technical, or professional committees as may 
be useful in carrying out the functions of the Office, and the 
members of such committees may be staff of the Office, or other 
persons, or both.
  [(i) Fellowship Program.--The Office, in consultation with 
the Chairperson, may establish and maintain an academic and 
professional fellowship program, under which qualified 
academics and professionals shall be invited to spend not 
longer than 2 years at the Office, to perform research and to 
provide advanced training for Office personnel.
  [(j) Executive Schedule Compensation.--Section 5314 of title 
5, United States Code, is amended by adding at the end the 
following new item:Director of the Office of Financial 
Research.''.

[SEC. 153. PURPOSE AND DUTIES OF THE OFFICE.

  [(a) Purpose and Duties.--The purpose of the Office is to 
support the Council in fulfilling the purposes and duties of 
the Council, as set forth in subtitle A, and to support member 
agencies, by--
          [(1) collecting data on behalf of the Council, and 
        providing such data to the Council and member agencies;
          [(2) standardizing the types and formats of data 
        reported and collected;
          [(3) performing applied research and essential long-
        term research;
          [(4) developing tools for risk measurement and 
        monitoring;
          [(5) performing other related services;
          [(6) making the results of the activities of the 
        Office available to financial regulatory agencies; and
          [(7) assisting such member agencies in determining 
        the types and formats of data authorized by this Act to 
        be collected by such member agencies.
  [(b) Administrative Authority.--The Office may--
          [(1) share data and information, including software 
        developed by the Office, with the Council, member 
        agencies, and the Bureau of Economic Analysis, which 
        shared data, information, and software--
                  [(A) shall be maintained with at least the 
                same level of security as is used by the 
                Office; and
                  [(B) may not be shared with any individual or 
                entity without the permission of the Council;
          [(2) sponsor and conduct research projects; and
          [(3) assist, on a reimbursable basis, with financial 
        analyses undertaken at the request of other Federal 
        agencies that are not member agencies.
  [(c) Rulemaking Authority.--
          [(1) Scope.--The Office, in consultation with the 
        Chairperson, shall issue rules, regulations, and orders 
        only to the extent necessary to carry out the purposes 
        and duties described in paragraphs (1), (2), and (7) of 
        subsection (a).
          [(2) Standardization.--Member agencies, in 
        consultation with the Office, shall implement 
        regulations promulgated by the Office under paragraph 
        (1) to standardize the types and formats of data 
        reported and collected on behalf of the Council, as 
        described in subsection (a)(2). If a member agency 
        fails to implement such regulations prior to the 
        expiration of the 3-year period following the date of 
        publication of final regulations, the Office, in 
        consultation with the Chairperson, may implement such 
        regulations with respect to the financial entities 
        under the jurisdiction of the member agency. This 
        paragraph shall not supersede or interfere with the 
        independent authority of a member agency under other 
        law to collect data, in such format and manner as the 
        member agency requires.
  [(d) Testimony.--
          [(1) In general.--The Director of the Office shall 
        report to and testify before the Committee on Banking, 
        Housing, and Urban Affairs of the Senate and the 
        Committee on Financial Services of the House of 
        Representatives annually on the activities of the 
        Office, including the work of the Data Center and the 
        Research and Analysis Center, and the assessment of the 
        Office of significant financial market developments and 
        potential emerging threats to the financial stability 
        of the United States.
          [(2) No prior review.--No officer or agency of the 
        United States shall have any authority to require the 
        Director to submit the testimony required under 
        paragraph (1) or other congressional testimony to any 
        officer or agency of the United States for approval, 
        comment, or review prior to the submission of such 
        testimony. Any such testimony to Congress shall include 
        a statement that the views expressed therein are those 
        of the Director and do not necessarily represent the 
        views of the President.
  [(e) Additional Reports.--The Director may provide additional 
reports to Congress concerning the financial stability of the 
United States. The Director shall notify the Council of any 
such additional reports provided to Congress.
  [(f) Subpoena.--
          [(1) In general.--The Director may require from a 
        financial company, by subpoena, the production of the 
        data requested under subsection (a)(1) and section 
        154(b)(1), but only upon a written finding by the 
        Director that--
                  [(A) such data is required to carry out the 
                functions described under this subtitle; and
                  [(B) the Office has coordinated with the 
                relevant primary financial regulatory agency, 
                as required under section 154(b)(1)(B)(ii).
          [(2) Format.--Subpoenas under paragraph (1) shall 
        bear the signature of the Director, and shall be served 
        by any person or class of persons designated by the 
        Director for that purpose.
          [(3) Enforcement.--In the case of contumacy or 
        failure to obey a subpoena, the subpoena shall be 
        enforceable by order of any appropriate district court 
        of the United States. Any failure to obey the order of 
        the court may be punished by the court as a contempt of 
        court.

[SEC. 154. ORGANIZATIONAL STRUCTURE; RESPONSIBILITIES OF PRIMARY 
                    PROGRAMMATIC UNITS.

  [(a) In General.--There are established within the Office, to 
carry out the programmatic responsibilities of the Office--
          [(1) the Data Center; and
          [(2) the Research and Analysis Center.
  [(b) Data Center.--
          [(1) General duties.--
                  [(A) Data collection.--The Data Center, on 
                behalf of the Council, shall collect, validate, 
                and maintain all data necessary to carry out 
                the duties of the Data Center, as described in 
                this subtitle. The data assembled shall be 
                obtained from member agencies, commercial data 
                providers, publicly available data sources, and 
                financial entities under subparagraph (B).
                  [(B) Authority.--
                          [(i) In general.--The Office may, as 
                        determined by the Council or by the 
                        Director in consultation with the 
                        Council, require the submission of 
                        periodic and other reports from any 
                        financial company for the purpose of 
                        assessing the extent to which a 
                        financial activity or financial market 
                        in which the financial company 
                        participates, or the financial company 
                        itself, poses a threat to the financial 
                        stability of the United States.
                          [(ii) Mitigation of report burden.--
                        Before requiring the submission of a 
                        report from any financial company that 
                        is regulated by a member agency, any 
                        primary financial regulatory agency, a 
                        foreign supervisory authority, or the 
                        Office shall coordinate with such 
                        agencies or authority, and shall, 
                        whenever possible, rely on information 
                        available from such agencies or 
                        authority.
                          [(iii) Collection of financial 
                        transaction and position data.--The 
                        Office shall collect, on a schedule 
                        determined by the Director, in 
                        consultation with the Council, 
                        financial transaction data and position 
                        data from financial companies.
                  [(C) Rulemaking.--The Office shall promulgate 
                regulations pursuant to subsections (a)(1), 
                (a)(2), (a)(7), and (c)(1) of section 153 
                regarding the type and scope of the data to be 
                collected by the Data Center under this 
                paragraph.
          [(2) Responsibilities.--
                  [(A) Publication.--The Data Center shall 
                prepare and publish, in a manner that is easily 
                accessible to the public--
                          [(i) a financial company reference 
                        database;
                          [(ii) a financial instrument 
                        reference database; and
                          [(iii) formats and standards for 
                        Office data, including standards for 
                        reporting financial transaction and 
                        position data to the Office.
                  [(B) Confidentiality.--The Data Center shall 
                not publish any confidential data under 
                subparagraph (A).
          [(3) Information security.--The Director shall ensure 
        that data collected and maintained by the Data Center 
        are kept secure and protected against unauthorized 
        disclosure.
          [(4) Catalog of financial entities and instruments.--
        The Data Center shall maintain a catalog of the 
        financial entities and instruments reported to the 
        Office.
          [(5) Availability to the council and member 
        agencies.--The Data Center shall make data collected 
        and maintained by the Data Center available to the 
        Council and member agencies, as necessary to support 
        their regulatory responsibilities.
          [(6) Other authority.--The Office shall, after 
        consultation with the member agencies, provide certain 
        data to financial industry participants and to the 
        general public to increase market transparency and 
        facilitate research on the financial system, to the 
        extent that intellectual property rights are not 
        violated, business confidential information is properly 
        protected, and the sharing of such information poses no 
        significant threats to the financial system of the 
        United States.
  [(c) Research and Analysis Center.--
          [(1) General duties.--The Research and Analysis 
        Center, on behalf of the Council, shall develop and 
        maintain independent analytical capabilities and 
        computing resources--
                  [(A) to develop and maintain metrics and 
                reporting systems for risks to the financial 
                stability of the United States;
                  [(B) to monitor, investigate, and report on 
                changes in systemwide risk levels and patterns 
                to the Council and Congress;
                  [(C) to conduct, coordinate, and sponsor 
                research to support and improve regulation of 
                financial entities and markets;
                  [(D) to evaluate and report on stress tests 
                or other stability-related evaluations of 
                financial entities overseen by the member 
                agencies;
                  [(E) to maintain expertise in such areas as 
                may be necessary to support specific requests 
                for advice and assistance from financial 
                regulators;
                  [(F) to investigate disruptions and failures 
                in the financial markets, report findings, and 
                make recommendations to the Council based on 
                those findings;
                  [(G) to conduct studies and provide advice on 
                the impact of policies related to systemic 
                risk; and
                  [(H) to promote best practices for financial 
                risk management.
  [(d) Reporting Responsibilities.--
          [(1) Required reports.--Not later than 2 years after 
        the date of enactment of this Act, and not later than 
        120 days after the end of each fiscal year thereafter, 
        the Office shall prepare and submit a report to 
        Congress.
          [(2) Content.--Each report required by this 
        subsection shall assess the state of the United States 
        financial system, including--
                  [(A) an analysis of any threats to the 
                financial stability of the United States;
                  [(B) the status of the efforts of the Office 
                in meeting the mission of the Office; and
                  [(C) key findings from the research and 
                analysis of the financial system by the Office.

[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, 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) 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.--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.

[SEC. 156. TRANSITION OVERSIGHT.

  [(a) Purpose.--The purpose of this section is to ensure that 
the Office--
          [(1) has an orderly and organized startup;
          [(2) attracts and retains a qualified workforce; and
          [(3) establishes comprehensive employee training and 
        benefits programs.
  [(b) Reporting Requirement.--
          [(1) In general.--The Office shall submit an annual 
        report to the Committee on Banking, Housing, and Urban 
        Affairs of the Senate and the Committee on Financial 
        Services of the House of Representatives that includes 
        the plans described in paragraph (2).
          [(2) Plans.--The plans described in this paragraph 
        are as follows:
                  [(A) Training and workforce development 
                plan.--The Office shall submit a training and 
                workforce development plan that includes, to 
                the extent practicable--
                          [(i) identification of skill and 
                        technical expertise needs and actions 
                        taken to meet those requirements;
                          [(ii) steps taken to foster 
                        innovation and creativity;
                          [(iii) leadership development and 
                        succession planning; and
                          [(iv) effective use of technology by 
                        employees.
                  [(B) Workplace flexibility plan.--The Office 
                shall submit a workforce flexibility plan that 
                includes, to the extent practicable--
                          [(i) telework;
                          [(ii) flexible work schedules;
                          [(iii) phased retirement;
                          [(iv) reemployed annuitants;
                          [(v) part-time work;
                          [(vi) job sharing;
                          [(vii) parental leave benefits and 
                        childcare assistance;
                          [(viii) domestic partner benefits;
                          [(ix) other workplace flexibilities; 
                        or
                          [(x) any combination of the items 
                        described in clauses (i) through (ix).
                  [(C) Recruitment and retention plan.--The 
                Office shall submit a recruitment and retention 
                plan that includes, to the extent practicable, 
                provisions relating to--
                          [(i) the steps necessary to target 
                        highly qualified applicant pools with 
                        diverse backgrounds;
                          [(ii) streamlined employment 
                        application processes;
                          [(iii) the provision of timely 
                        notification of the status of 
                        employment applications to applicants; 
                        and
                          [(iv) the collection of information 
                        to measure indicators of hiring 
                        effectiveness.
  [(c) Expiration.--The reporting requirement under subsection 
(b) shall terminate 5 years after the date of enactment of this 
Act.
  [(d) Rule of Construction.--Nothing in this section may be 
construed to affect--
          [(1) a collective bargaining agreement, as that term 
        is defined in section 7103(a)(8) of title 5, United 
        States Code, that is in effect on the date of enactment 
        of this Act; or
          [(2) the rights of employees under chapter 71 of 
        title 5, United States Code.]

Subtitle C--Additional Board of Governors Authority for Certain Nonbank 
             Financial Companies and Bank Holding Companies

[SEC. 161. REPORTS BY AND EXAMINATIONS OF NONBANK FINANCIAL COMPANIES 
                    BY THE BOARD OF GOVERNORS.

  [(a) Reports.--
          [(1) In general.--The Board of Governors may require 
        each nonbank financial company supervised by the Board 
        of Governors, and any subsidiary thereof, to submit 
        reports under oath, to keep the Board of Governors 
        informed as to--
                  [(A) the financial condition of the company 
                or subsidiary, systems of the company or 
                subsidiary for monitoring and controlling 
                financial, operating, and other risks, and the 
                extent to which the activities and operations 
                of the company or subsidiary pose a threat to 
                the financial stability of the United States; 
                and
                  [(B) compliance by the company or subsidiary 
                with the requirements of this title.
          [(2) Use of existing reports and information.--In 
        carrying out subsection (a), the Board of Governors 
        shall, to the fullest extent possible, use--
                  [(A) reports and supervisory information that 
                a nonbank financial company or subsidiary 
                thereof has been required to provide to other 
                Federal or State regulatory agencies;
                  [(B) information otherwise obtainable from 
                Federal or State regulatory agencies;
                  [(C) information that is otherwise required 
                to be reported publicly; and
                  [(D) externally audited financial statements 
                of such company or subsidiary.
          [(3) Availability.--Upon the request of the Board of 
        Governors, a nonbank financial company supervised by 
        the Board of Governors, or a subsidiary thereof, shall 
        promptly provide to the Board of Governors any 
        information described in paragraph (2).
  [(b) Examinations.--
          [(1) In general.--Subject to paragraph (2), the Board 
        of Governors may examine any nonbank financial company 
        supervised by the Board of Governors and any subsidiary 
        of such company, to inform the Board of Governors of--
                  [(A) the nature of the operations and 
                financial condition of the company and such 
                subsidiary;
                  [(B) the financial, operational, and other 
                risks of the company or such subsidiary that 
                may pose a threat to the safety and soundness 
                of such company or subsidiary or to the 
                financial stability of the United States;
                  [(C) the systems for monitoring and 
                controlling such risks; and
                  [(D) compliance by the company or such 
                subsidiary with the requirements of this title.
          [(2) Use of examination reports and information.--For 
        purposes of this subsection, the Board of Governors 
        shall, to the fullest extent possible, rely on reports 
        of examination of any subsidiary depository institution 
        or functionally regulated subsidiary made by the 
        primary financial regulatory agency for that 
        subsidiary, and on information described in subsection 
        (a)(2).
  [(c) Coordination With Primary Financial Regulatory Agency.--
The Board of Governors shall--
          [(1) provide reasonable notice to, and consult with, 
        the primary financial regulatory agency for any 
        subsidiary before requiring a report or commencing an 
        examination of such subsidiary under this section; and
          [(2) avoid duplication of examination activities, 
        reporting requirements, and requests for information, 
        to the fullest extent possible.

[SEC. 162. ENFORCEMENT.

  [(a) In General.--Except as provided in subsection (b), a 
nonbank financial company supervised by the Board of Governors 
and any subsidiaries of such company (other than any depository 
institution subsidiary) shall be subject to the provisions of 
subsections (b) through (n) of section 8 of the Federal Deposit 
Insurance Act (12 U.S.C. 1818), in the same manner and to the 
same extent as if the company were a bank holding company, as 
provided in section 8(b)(3) of the Federal Deposit Insurance 
Act (12 U.S.C. 1818(b)(3)).
  [(b) Enforcement Authority for Functionally Regulated 
Subsidiaries.--
          [(1) Referral.--If the Board of Governors determines 
        that a condition, practice, or activity of a depository 
        institution subsidiary or functionally regulated 
        subsidiary of a nonbank financial company supervised by 
        the Board of Governors does not comply with the 
        regulations or orders prescribed by the Board of 
        Governors under this Act, or otherwise poses a threat 
        to the financial stability of the United States, the 
        Board of Governors may recommend, in writing, to the 
        primary financial regulatory agency for the subsidiary 
        that such agency initiate a supervisory action or 
        enforcement proceeding. The recommendation shall be 
        accompanied by a written explanation of the concerns 
        giving rise to the recommendation.
          [(2) Back-up authority of the board of governors.--
        If, during the 60-day period beginning on the date on 
        which the primary financial regulatory agency receives 
        a recommendation under paragraph (1), the primary 
        financial regulatory agency does not take supervisory 
        or enforcement action against a subsidiary that is 
        acceptable to the Board of Governors, the Board of 
        Governors (upon a vote of its members) may take the 
        recommended supervisory or enforcement action, as if 
        the subsidiary were a bank holding company subject to 
        supervision by the Board of Governors.]

SEC. 163. ACQUISITIONS.

  [(a) Acquisitions of Banks; Treatment as a Bank Holding 
Company.--For purposes of section 3 of the Bank Holding Company 
Act of 1956 (12 U.S.C. 1842), a nonbank financial company 
supervised by the Board of Governors shall be deemed to be, and 
shall be treated as, a bank holding company.]
  [(b)] (a) Acquisition of Nonbank Companies.--
          (1) Prior notice for large acquisitions.--
        Notwithstanding section 4(k)(6)(B) of the Bank Holding 
        Company Act of 1956 (12 U.S.C. 1843(k)(6)(B)), a bank 
        holding company with total consolidated assets equal to 
        or greater than $50,000,000,000 [or a nonbank financial 
        company supervised by the Board of Governors] shall not 
        acquire direct or indirect ownership or control of any 
        voting shares of any company (other than an insured 
        depository institution) that is engaged in activities 
        described in section 4(k) of the Bank Holding Company 
        Act of 1956 having total consolidated assets of 
        $10,000,000,000 or more, without providing written 
        notice to the Board of Governors in advance of the 
        transaction.
          (2) Exemptions.--The prior notice requirement in 
        paragraph (1) shall not apply with regard to the 
        acquisition of shares that would qualify for the 
        exemptions in section 4(c) or section 4(k)(4)(E) of the 
        Bank Holding Company Act of 1956 (12 U.S.C. 1843(c) and 
        (k)(4)(E)).
          (3) Notice procedures.--The notice procedures set 
        forth in section 4(j)(1) of the Bank Holding Company 
        Act of 1956 (12 U.S.C. 1843(j)(1)), without regard to 
        section 4(j)(3) of that Act, shall apply to an 
        acquisition of any company (other than an insured 
        depository institution) by a bank holding company with 
        total consolidated assets equal to or greater than 
        $50,000,000,000 [or a nonbank financial company 
        supervised by the Board of Governors], as described in 
        paragraph (1), including any such company engaged in 
        activities described in section 4(k) of that Act.
          (4) Standards for review.--In addition to the 
        standards provided in section 4(j)(2) of the Bank 
        Holding Company Act of 1956 (12 U.S.C. 1843(j)(2)), the 
        Board of Governors shall consider the extent to which 
        the proposed acquisition would result in greater or 
        more concentrated risks to global or United States 
        financial stability or the United States economy.
          (5) Hart-Scott-Rodino filing requirement.--Solely for 
        purposes of section 7A(c)(8) of the Clayton Act (15 
        U.S.C. 18a(c)(8)), the transactions subject to the 
        requirements of paragraph (1) shall be treated as if 
        Board of Governors approval is not required.

[SEC. 164. PROHIBITION AGAINST MANAGEMENT INTERLOCKS BETWEEN CERTAIN 
                    FINANCIAL COMPANIES.

  [A nonbank financial company supervised by the Board of 
Governors shall be treated as a bank holding company for 
purposes of the Depository Institutions Management Interlocks 
Act (12 U.S.C. 3201 et seq.), except that the Board of 
Governors shall not exercise the authority provided in section 
7 of that Act (12 U.S.C. 3207) to permit service by a 
management official of a nonbank financial company supervised 
by the Board of Governors as a management official of any bank 
holding company with total consolidated assets equal to or 
greater than $50,000,000,000, or other nonaffiliated nonbank 
financial company supervised by the Board of Governors (other 
than to provide a temporary exemption for interlocks resulting 
from a merger, acquisition, or consolidation).]

SEC. 165. ENHANCED SUPERVISION AND PRUDENTIAL STANDARDS FOR [NONBANK 
                    FINANCIAL COMPANIES SUPERVISED BY THE BOARD OF 
                    GOVERNORS AND] CERTAIN BANK HOLDING COMPANIES.

  (a) In General.--
          (1) Purpose.--In order to prevent or mitigate risks 
        to the financial stability of the United States that 
        could arise from the material financial distress or 
        failure, or ongoing activities, of large, 
        interconnected financial institutions, the Board of 
        Governors shall, on its own or pursuant to 
        recommendations by the Council under section 115, 
        establish prudential standards for [nonbank financial 
        companies supervised by the Board of Governors and] 
        bank holding companies with total consolidated assets 
        equal to or greater than $50,000,000,000 that--
                  (A) are more stringent than the standards and 
                requirements applicable to nonbank financial 
                companies and bank holding companies that do 
                not present similar risks to the financial 
                stability of the United States; and
                  (B) increase in stringency, based on the 
                considerations identified in subsection (b)(3).
          [(2) Tailored application.--
                  [(A) In general.--In prescribing more 
                stringent prudential standards under this 
                section, the Board of Governors may, on its own 
                or pursuant to a recommendation by the Council 
                in accordance with section 115, differentiate 
                among companies on an individual basis or by 
                category, taking into consideration their 
                capital structure, riskiness, complexity, 
                financial activities (including the financial 
                activities of their subsidiaries), size, and 
                any other risk-related factors that the Board 
                of Governors deems appropriate.
                  [(B) Adjustment of threshold for application 
                of certain standards.--The Board of Governors 
                may, pursuant to a recommendation by the 
                Council in accordance with section 115, 
                establish an asset threshold above 
                $50,000,000,000 for the application of any 
                standard established under subsections (c) 
                through (g).]
          (2) Tailored application.--In prescribing more 
        stringent prudential standards under this section, the 
        Board of Governors may differentiate among companies on 
        an individual basis or by category, taking into 
        consideration their capital structure, riskiness, 
        complexity, financial activities (including the 
        financial activities of their subsidiaries), size, and 
        any other risk-related factors that the Board of 
        Governors deems appropriate.
  (b) Development of Prudential Standards.--
          (1) In general.--
                  (A) Required standards.--The Board of 
                Governors shall establish prudential standards 
                for [nonbank financial companies supervised by 
                the Board of Governors and] bank holding 
                companies described in subsection (a), that 
                shall include--
                          (i) risk-based capital requirements 
                        and leverage limits, unless the Board 
                        of Governors, in consultation with the 
                        Council, determines that such 
                        requirements are not appropriate for a 
                        company subject to more stringent 
                        prudential standards because of the 
                        activities of such company (such as 
                        investment company activities or assets 
                        under management) or structure, in 
                        which case, the Board of Governors 
                        shall apply other standards that result 
                        in similarly stringent risk controls;
                          (ii) liquidity requirements;
                          (iii) overall risk management 
                        requirements;
                          (iv) resolution plan and credit 
                        exposure report requirements; and
                          (v) concentration limits.
                  (B) Additional standards authorized.--The 
                Board of Governors may establish additional 
                prudential standards for [nonbank financial 
                companies supervised by the Board of Governors 
                and] bank holding companies described in 
                subsection (a), that include--
                          (i) a contingent capital requirement;
                          (ii) enhanced public disclosures;
                          (iii) short-term debt limits; and
                          (iv) such other prudential standards 
                        as the Board or Governors[, on its own 
                        or pursuant to a recommendation made by 
                        the Council in accordance with section 
                        115,] determines are appropriate.
          (2) Standards for foreign financial companies.--In 
        applying the standards set forth in paragraph (1) to 
        any [foreign nonbank financial company supervised by 
        the Board of Governors or] foreign-based bank holding 
        company, the Board of Governors [shall--]
                  [(A) give due] shall give due regard to the 
                principle of national treatment and equality of 
                competitive opportunity[; and].
                  [(B) take into account the extent to which 
                the foreign financial company is subject on a 
                consolidated basis to home country standards 
                that are comparable to those applied to 
                financial companies in the United States.]
          (3) Considerations.--In prescribing prudential 
        standards under paragraph (1), the Board of Governors 
        shall--
                  (A) take into account differences among 
                [nonbank financial companies supervised by the 
                Board of Governors and] bank holding companies 
                described in subsection (a), based on--
                          [(i) the factors described in 
                        subsections (a) and (b) of section 
                        113;]
                          [(ii)] (i) whether the company owns 
                        an insured depository institution;
                          [(iii)] (ii) nonfinancial activities 
                        and affiliations of the company; and
                          [(iv)] (iii) any other risk-related 
                        factors that the Board of Governors 
                        determines appropriate; and
                  [(B) to the extent possible, ensure that 
                small changes in the factors listed in 
                subsections (a) and (b) of section 113 would 
                not result in sharp, discontinuous changes in 
                the prudential standards established under 
                paragraph (1) of this subsection;
                  [(C) take into account any recommendations of 
                the Council under section 115; and]
                  [(D)] (B) adapt the required standards as 
                appropriate in light of any predominant line of 
                business of such company, including assets 
                under management or other activities for which 
                particular standards may not be appropriate.
          (4) Consultation.--Before imposing prudential 
        standards or any other requirements pursuant to this 
        section, including notices of deficiencies in 
        resolution plans and more stringent requirements or 
        divestiture orders resulting from such notices, that 
        are likely to have a significant impact on a 
        functionally regulated subsidiary or depository 
        institution subsidiary of [a nonbank financial company 
        supervised by the Board of Governors or] a bank holding 
        company described in subsection (a), the Board of 
        Governors shall consult with each Council member that 
        primarily supervises any such subsidiary with respect 
        to any such standard or requirement.
          (5) Report.--The Board of Governors shall submit an 
        annual report to Congress regarding the implementation 
        of the prudential standards required pursuant to 
        paragraph (1), including the use of such standards to 
        mitigate risks to the financial stability of the United 
        States.
  (c) Contingent Capital.--
          (1) In general.--Subsequent to submission by the 
        Council of a report to Congress [under section 115(c)], 
        the Board of Governors may issue regulations that 
        require each [nonbank financial company supervised by 
        the Board of Governors and] bank holding companies 
        described in subsection (a) to maintain a minimum 
        amount of contingent capital that is convertible to 
        equity in times of financial stress.
          (2) Factors to consider.--In issuing regulations 
        under this subsection, the Board of Governors shall 
        consider--
                  [(A) the results of the study undertaken by 
                the Council, and any recommendations of the 
                Council, under section 115(c);]
                  (A) any recommendations of the Council;
                  (B) an appropriate transition period for 
                implementation of contingent capital under this 
                subsection;
                  (C) the factors described in subsection 
                (b)(3)(A);
                  (D) capital requirements applicable to the 
                [nonbank financial company supervised by the 
                Board of Governors or] a bank holding company 
                described in subsection (a), and subsidiaries 
                thereof; and
                  (E) any other factor that the Board of 
                Governors deems appropriate.
  (d) Resolution Plan and Credit Exposure Reports.--
          (1) Resolution plan.--The Board of Governors shall 
        require each [nonbank financial company supervised by 
        the Board of Governors and] bank holding companies 
        described in subsection (a) to report [periodically] 
        not more often than every 2 years to the Board of 
        Governors, the Council, and the Corporation the plan of 
        such company for rapid and orderly resolution in the 
        event of material financial distress or failure, which 
        shall include--
                  (A) information regarding the manner and 
                extent to which any insured depository 
                institution affiliated with the company is 
                adequately protected from risks arising from 
                the activities of any nonbank subsidiaries of 
                the company;
                  (B) full descriptions of the ownership 
                structure, assets, liabilities, and contractual 
                obligations of the company;
                  (C) identification of the cross-guarantees 
                tied to different securities, identification of 
                major counterparties, and a process for 
                determining to whom the collateral of the 
                company is pledged; and
                  (D) any other information that the Board of 
                Governors and the Corporation jointly require 
                by rule or order.
          (2) Credit exposure report.--The Board of Governors 
        shall require each [nonbank financial company 
        supervised by the Board of Governors and] bank holding 
        companies described in subsection (a) to report 
        periodically to the Board of Governors, the Council, 
        and the Corporation on--
                  (A) the nature and extent to which the 
                company has credit exposure to other 
                significant nonbank financial companies and 
                significant bank holding companies; and
                  (B) the nature and extent to which other 
                significant nonbank financial companies and 
                significant bank holding companies have credit 
                exposure to that company.
          (3) Review.--[The Board]
                  (A) In general._The Board of Governors and 
                the Corporation [shall review] shall--
                          (i) review the information provided 
                        in accordance with this subsection by 
                        each [nonbank financial company 
                        supervised by the Board of Governors 
                        and] bank holding company described in 
                        subsection (a)[.]; and
                          (ii) not later than the end of the 6-
                        month period beginning on the date the 
                        bank holding company submits the 
                        resolution plan, provide feedback to 
                        the bank holding company on such plan.
                  (B) Disclosure of assessment framework.--The 
                Board of Governors shall publicly disclose, 
                including on the website of the Board of 
                Governors, the assessment framework that is 
                used to review information under this paragraph 
                and shall provide the public with a notice and 
                comment period before finalizing such 
                assessment framework.
          (4) Notice of deficiencies.--If the Board of 
        Governors and the Corporation jointly determine, based 
        on their review under paragraph (3), that the 
        resolution plan of [a nonbank financial company 
        supervised by the Board of Governors or] a bank holding 
        company described in subsection (a) is not credible or 
        would not facilitate an orderly resolution of the 
        company under title 11, United States Code--
                  (A) the Board of Governors and the 
                Corporation shall notify the company of the 
                deficiencies in the resolution plan; and
                  (B) the company shall resubmit the resolution 
                plan within a timeframe determined by the Board 
                of Governors and the Corporation, with 
                revisions demonstrating that the plan is 
                credible and would result in an orderly 
                resolution under title 11, United States Code, 
                including any proposed changes in business 
                operations and corporate structure to 
                facilitate implementation of the plan.
          (5) Failure to resubmit credible plan.--
                  (A) In general.--If [a nonbank financial 
                company supervised by the Board of Governors 
                or] a bank holding company described in 
                subsection (a) fails to timely resubmit the 
                resolution plan as required under paragraph 
                (4), with such revisions as are required under 
                subparagraph (B), the Board of Governors and 
                the Corporation may jointly impose more 
                stringent capital, leverage, or liquidity 
                requirements, or restrictions on the growth, 
                activities, or operations of the company, or 
                any subsidiary thereof, until such time as the 
                company resubmits a plan that remedies the 
                deficiencies.
                  (B) Divestiture.--The Board of Governors and 
                the Corporation, in consultation with the 
                Council, may jointly direct [a nonbank 
                financial company supervised by the Board of 
                Governors or] a bank holding company described 
                in subsection (a), by order, to divest certain 
                assets or operations identified by the Board of 
                Governors and the Corporation, to facilitate an 
                orderly resolution of such company under title 
                11, United States Code, in the event of the 
                failure of such company, in any case in which--
                          (i) the Board of Governors and the 
                        Corporation have jointly imposed more 
                        stringent requirements on the company 
                        pursuant to subparagraph (A); and
                          (ii) the company has failed, within 
                        the 2-year period beginning on the date 
                        of the imposition of such requirements 
                        under subparagraph (A), to resubmit the 
                        resolution plan with such revisions as 
                        were required under paragraph (4)(B).
          (6) No limiting effect.--A resolution plan submitted 
        in accordance with this subsection shall not be binding 
        on a bankruptcy court, a receiver appointed under title 
        II, or any other authority that is authorized or 
        required to resolve the [nonbank financial company 
        supervised by the Board, any bank holding company,] 
        bank holding company or any subsidiary or affiliate of 
        the foregoing.
          (7) No private right of action.--No private right of 
        action may be based on any resolution plan submitted in 
        accordance with this subsection.
          (8) Rules.--Not later than 18 months after the date 
        of enactment of this Act, the Board of Governors and 
        the Corporation shall jointly issue final rules 
        implementing this subsection.
  (e) Concentration Limits.--
          (1) Standards.--In order to limit the risks that the 
        failure of any individual company could pose to [a 
        nonbank financial company supervised by the Board of 
        Governors or] a bank holding company described in 
        subsection (a), the Board of Governors, by regulation, 
        shall prescribe standards that limit such risks.
          (2) Limitation on credit exposure.--The regulations 
        prescribed by the Board of Governors under paragraph 
        (1) shall prohibit each [nonbank financial company 
        supervised by the Board of Governors and] bank holding 
        company described in subsection (a) from having credit 
        exposure to any unaffiliated company that exceeds 25 
        percent of the capital stock and surplus (or such lower 
        amount as the Board of Governors may determine by 
        regulation to be necessary to mitigate risks to the 
        financial stability of the United States) of the 
        company.
          (3) Credit exposure.--For purposes of paragraph (2), 
        ``credit exposure'' to a company means--
                  (A) all extensions of credit to the company, 
                including loans, deposits, and lines of credit;
                  (B) all repurchase agreements and reverse 
                repurchase agreements with the company, and all 
                securities borrowing and lending transactions 
                with the company, to the extent that such 
                transactions create credit exposure for [the 
                nonbank financial company supervised by the 
                Board of Governors or] a bank holding company 
                described in subsection (a);
                  (C) all guarantees, acceptances, or letters 
                of credit (including endorsement or standby 
                letters of credit) issued on behalf of the 
                company;
                  (D) all purchases of or investment in 
                securities issued by the company;
                  (E) counterparty credit exposure to the 
                company in connection with a derivative 
                transaction between [the nonbank financial 
                company supervised by the Board of Governors 
                or] a bank holding company described in 
                subsection (a) and the company; and
                  (F) any other similar transactions that the 
                Board of Governors, by regulation, determines 
                to be a credit exposure for purposes of this 
                section.
          (4) Attribution rule.--For purposes of this 
        subsection, any transaction by [a nonbank financial 
        company supervised by the Board of Governors or] a bank 
        holding company described in subsection (a) with any 
        person is a transaction with a company, to the extent 
        that the proceeds of the transaction are used for the 
        benefit of, or transferred to, that company.
          (5) Rulemaking.--The Board of Governors may issue 
        such regulations and orders, including definitions 
        consistent with this section, as may be necessary to 
        administer and carry out this subsection.
          (6) Exemptions.--This subsection shall not apply to 
        any Federal home loan bank. The Board of Governors may, 
        by regulation or order, exempt transactions, in whole 
        or in part, from the definition of the term ``credit 
        exposure'' for purposes of this subsection, if the 
        Board of Governors finds that the exemption is in the 
        public interest and is consistent with the purpose of 
        this subsection.
          (7) Transition period.--
                  (A) In general.--This subsection and any 
                regulations and orders of the Board of 
                Governors under this subsection shall not be 
                effective until 3 years after the date of 
                enactment of this Act.
                  (B) Extension authorized.--The Board of 
                Governors may extend the period specified in 
                subparagraph (A) for not longer than an 
                additional 2 years.
  (f) Enhanced Public Disclosures.--The Board of Governors may 
prescribe, by regulation, periodic public disclosures by 
[nonbank financial companies supervised by the Board of 
Governors and] bank holding companies described in subsection 
(a) in order to support market evaluation of the risk profile, 
capital adequacy, and risk management capabilities thereof.
  (g) Short-term Debt Limits.--
          (1) In general.--In order to mitigate the risks that 
        an over-accumulation of short-term debt could pose to 
        financial companies and to the stability of the United 
        States financial system, the Board of Governors may, by 
        regulation, prescribe a limit on the amount of short-
        term debt, including off-balance sheet exposures, that 
        may be accumulated by any bank holding company 
        described in subsection (a) [and any nonbank financial 
        company supervised by the Board of Governors].
          (2) Basis of limit.--Any limit prescribed under 
        paragraph (1) shall be based on the short-term debt of 
        the company described in paragraph (1) as a percentage 
        of capital stock and surplus of the company or on such 
        other measure as the Board of Governors considers 
        appropriate.
          (3) Short-term debt defined.--For purposes of this 
        subsection, the term ``short-term debt'' means such 
        liabilities with short-dated maturity that the Board of 
        Governors identifies, by regulation, except that such 
        term does not include insured deposits.
          (4) Rulemaking authority.--In addition to prescribing 
        regulations under paragraphs (1) and (3), the Board of 
        Governors may prescribe such regulations, including 
        definitions consistent with this subsection, and issue 
        such orders, as may be necessary to carry out this 
        subsection.
          (5) Authority to issue exemptions and adjustments.--
        Notwithstanding the Bank Holding Company Act of 1956 
        (12 U.S.C. 1841 et seq.), the Board of Governors may, 
        if it determines such action is necessary to ensure 
        appropriate heightened prudential supervision, with 
        respect to a company described in paragraph (1) that 
        does not control an insured depository institution, 
        issue to such company an exemption from or adjustment 
        to the limit prescribed under paragraph (1).
  (h) Risk Committee.--
          [(1) Nonbank financial companies supervised by the 
        board of governors.--The Board of Governors shall 
        require each nonbank financial company supervised by 
        the Board of Governors that is a publicly traded 
        company to establish a risk committee, as set forth in 
        paragraph (3), not later than 1 year after the date of 
        receipt of a notice of final determination under 
        section 113(e)(3) with respect to such nonbank 
        financial company supervised by the Board of 
        Governors.]
          [(2)] (1) Certain bank holding companies.--
                  (A) Mandatory regulations.--The Board of 
                Governors shall issue regulations requiring 
                each bank holding company that is a publicly 
                traded company and that has total consolidated 
                assets of not less than $10,000,000,000 to 
                establish a risk committee, as set forth in 
                [paragraph (3)] paragraph (2).
                  (B) Permissive regulations.--The Board of 
                Governors may require each bank holding company 
                that is a publicly traded company and that has 
                total consolidated assets of less than 
                $10,000,000,000 to establish a risk committee, 
                as set forth in [paragraph (3)] paragraph (2), 
                as determined necessary or appropriate by the 
                Board of Governors to promote sound risk 
                management practices.
          [(3)] (2) Risk committee.--A risk committee required 
        by this subsection shall--
                  (A) be responsible for the oversight of the 
                enterprise-wide risk management practices of 
                [the nonbank financial company supervised by 
                the Board of Governors or bank holding company 
                described in subsection (a), as applicable] a 
                bank holding company described in subsection 
                (a);
                  (B) include such number of independent 
                directors as the Board of Governors may 
                determine appropriate, based on the nature of 
                operations, size of assets, and other 
                appropriate criteria related to [the nonbank 
                financial company supervised by the Board of 
                Governors or a bank holding company described 
                in subsection (a), as applicable] a bank 
                holding company described in subsection (a); 
                and
                  (C) include at least 1 risk management expert 
                having experience in identifying, assessing, 
                and managing risk exposures of large, complex 
                firms.
          [(4)] (3) Rulemaking.--The Board of Governors shall 
        issue final rules to carry out this subsection, not 
        later than 1 year after the transfer date, to take 
        effect not later than 15 months after the transfer 
        date.
  (i) Stress Tests.--
          (1) By the board of governors.--
                  (A) Annual tests required.--The Board of 
                Governors[, in coordination with the 
                appropriate primary financial regulatory 
                agencies and the Federal Insurance Office,] 
                shall conduct annual analyses in which [nonbank 
                financial companies supervised by the Board of 
                Governors and] bank holding companies described 
                in subsection (a) are subject to evaluation of 
                whether such companies have the capital, on a 
                total consolidated basis, necessary to absorb 
                losses as a result of adverse economic 
                conditions.
                  (B) Test parameters and consequences.--The 
                Board of Governors--
                          [(i) shall provide for at least 3 
                        different sets of conditions under 
                        which the evaluation required by this 
                        subsection shall be conducted, 
                        including baseline, adverse, and 
                        severely adverse;]
                          (i) shall--
                                  (I) issue regulations, after 
                                providing for public notice and 
                                comment, that provide for at 
                                least 3 different sets of 
                                conditions under which the 
                                evaluation required by this 
                                subsection shall be conducted, 
                                including baseline, adverse, 
                                and severely adverse, and 
                                methodologies, including models 
                                used to estimate losses on 
                                certain assets, and the Board 
                                of Governors shall not carry 
                                out any such evaluation until 
                                60 days after such regulations 
                                are issued; and
                                  (II) provide copies of such 
                                regulations to the Comptroller 
                                General of the United States 
                                and the Panel of Economic 
                                Advisors of the Congressional 
                                Budget Office before publishing 
                                such regulations;
                          (ii) may require the tests described 
                        in subparagraph (A) at bank holding 
                        companies [and nonbank financial 
                        companies], in addition to those for 
                        which annual tests are required under 
                        subparagraph (A);
                          (iii) may develop and apply such 
                        other analytic techniques as are 
                        necessary to identify, measure, and 
                        monitor risks to the financial 
                        stability of the United States;
                          (iv) shall require the companies 
                        described in subparagraph (A) to update 
                        their resolution plans required under 
                        subsection (d)(1), as the Board of 
                        Governors determines appropriate, based 
                        on the results of the analyses; [and]
                          (v) shall publish a summary of the 
                        results of the tests required under 
                        subparagraph (A) or clause (ii) of this 
                        subparagraph[.], including any results 
                        of a resubmitted test;
                          (vi) shall, in establishing the 
                        severely adverse condition under clause 
                        (i), provide detailed consideration of 
                        the model's effects on financial 
                        stability and the cost and availability 
                        of credit;
                          (vii) shall, in developing the models 
                        and methodologies and providing them 
                        for notice and comment under this 
                        subparagraph, publish a process to test 
                        the models and methodologies for their 
                        potential to magnify systemic and 
                        institutional risks instead of 
                        facilitating increased resiliency;
                          (viii) shall design and publish a 
                        process to test and document the 
                        sensitivity and uncertainty associated 
                        with the model system's data quality, 
                        specifications, and assumptions; and
                          (ix) shall communicate the range and 
                        sources of uncertainty surrounding the 
                        models and methodologies.
                  (C) CCAR requirements.--
                          (i) Parameters and consequences 
                        applicable to ccar.--The requirements 
                        of subparagraph (B) shall apply to 
                        CCAR.
                          (ii) Two-year limitation.--The Board 
                        of Governors may not subject a company 
                        to CCAR more than once every two years.
                          (iii) Mid-cycle resubmission.--If a 
                        company receives a quantitative 
                        objection to, or otherwise desires to 
                        amend the company's capital plan, the 
                        company may file a new streamlined plan 
                        at any time after a capital planning 
                        exercise has been completed and before 
                        a subsequent capital planning exercise.
                          (iv) Limitation on qualitative 
                        capital planning objections.--In 
                        carrying out CCAR, the Board of 
                        Governors may not object to a company's 
                        capital plan on the basis of 
                        qualitative deficiencies in the 
                        company's capital planning process.
                          (v) Company inquiries.--The Board of 
                        Governors shall establish and publish 
                        procedures for responding to inquiries 
                        from companies subject to CCAR, 
                        including establishing the time frame 
                        in which such responses will be made, 
                        and make such procedures publicly 
                        available.
                          (vi) CCAR defined.--For purposes of 
                        this subparagraph and subparagraph (E), 
                        the term ``CCAR'' means the 
                        Comprehensive Capital Analysis and 
                        Review established by the Board of 
                        Governors.
          (2) By the company.--
                  (A) Requirement.--A [nonbank financial 
                company supervised by the Board of Governors 
                and] [a bank holding company] bank holding 
                company described in subsection (a) shall 
                conduct [semiannual] annual stress tests. [All 
                other financial companies] All other bank 
                holding companies that have total consolidated 
                assets of more than $10,000,000,000 [and are 
                regulated by a primary Federal financial 
                regulatory agency] shall conduct annual stress 
                tests. The tests required under this 
                subparagraph shall be conducted in accordance 
                with the regulations prescribed under 
                subparagraph (C).
                  (B) Report.--A company required to conduct 
                stress tests under subparagraph (A) shall 
                submit a report to the Board of Governors [and 
                to its primary financial regulatory agency] at 
                such time, in such form, and containing such 
                information as the [primary financial 
                regulatory agency] Board of Governors shall 
                require.
                  (C) Regulations.--[Each Federal primary 
                financial regulatory agency, in coordination 
                with the Board of Governors and the Federal 
                Insurance Office,] The Board of Governors shall 
                issue [consistent and comparable] regulations 
                to implement this paragraph that shall--
                          (i) define the term ``stress test'' 
                        for purposes of this paragraph;
                          (ii) establish methodologies for the 
                        conduct of stress tests required by 
                        this paragraph that shall provide for 
                        at least 3 different sets of 
                        conditions, including baseline, 
                        adverse, and severely adverse;
                          (iii) establish the form and content 
                        of the report required by subparagraph 
                        (B); and
                          (iv) require companies subject to 
                        this paragraph to publish a summary of 
                        the results of the required stress 
                        tests.
          (3) Accountability and appropriateness in bank 
        holding company stress tests.--
                  (A) Quality and accountability assurance.--No 
                annual test or exercise conducted by the Board 
                of Governors under this subsection or any other 
                provision of law shall serve as a basis for 
                restricting a capital distribution by a bank 
                holding company unless the Board of Governor's 
                Vice Chair for Supervision certifies in writing 
                to the Congress that any model or combination 
                of models used therein are demonstrably more 
                accurate than any similar model or combination 
                of models utilized by the bank holding company 
                in a stress test conducted under paragraph (2).
                  (B) Process.--Any action taken by the Board 
                of Governors to restrict a capital distribution 
                by a bank holding company on the basis of a 
                stress test or exercise conducted by the Board 
                of Governors under this subsection or any other 
                provision of law shall be conducted pursuant to 
                a capital directive subject to, and issued in 
                accordance with, section 908(b)(2) of the 
                International Lending Supervision Act of 1983 
                (12 U.S.C. 3907(b)(2).
  (j) Leverage Limitation.--
          (1) Requirement.--The Board of Governors shall 
        require a bank holding company with total consolidated 
        assets equal to or greater than $50,000,000,000 [or a 
        nonbank financial company supervised by the Board of 
        Governors] to maintain a debt to equity ratio of no 
        more than 15 to 1, upon a determination by the Council 
        that such company poses a grave threat to the financial 
        stability of the United States and that the imposition 
        of such requirement is necessary to mitigate the risk 
        that such company poses to the financial stability of 
        the United States. Nothing in this paragraph shall 
        apply to a Federal home loan bank.
          (2) Considerations.--In making a determination under 
        this subsection, the Council shall consider [the 
        factors described in subsections (a) and (b) of section 
        113 and any other] any risk-related factors that the 
        Council deems appropriate.
          (3) Regulations.--The Board of Governors shall 
        promulgate regulations to establish procedures and 
        timelines for complying with the requirements of this 
        subsection.
  (k) Inclusion of Off-balance-sheet Activities in Computing 
Capital Requirements.--
          (1) In general.--In the case of any bank holding 
        company described in subsection (a) [or nonbank 
        financial company supervised by the Board of 
        Governors], the computation of capital for purposes of 
        meeting capital requirements shall take into account 
        any off-balance-sheet activities of the company.
          (2) Exemptions.--If the Board of Governors determines 
        that an exemption from the requirement under paragraph 
        (1) is appropriate, the Board of Governors may exempt a 
        company, or any transaction or transactions engaged in 
        by such company, from the requirements of paragraph 
        (1).
          (3) Off-balance-sheet activities defined.--For 
        purposes of this subsection, the term ``off-balance-
        sheet activities'' means an existing liability of a 
        company that is not currently a balance sheet 
        liability, but may become one upon the happening of 
        some future event, including the following 
        transactions, to the extent that they may create a 
        liability:
                  (A) Direct credit substitutes in which a bank 
                substitutes its own credit for a third party, 
                including standby letters of credit.
                  (B) Irrevocable letters of credit that 
                guarantee repayment of commercial paper or tax-
                exempt securities.
                  (C) Risk participations in bankers' 
                acceptances.
                  (D) Sale and repurchase agreements.
                  (E) Asset sales with recourse against the 
                seller.
                  (F) Interest rate swaps.
                  (G) Credit swaps.
                  (H) Commodities contracts.
                  (I) Forward contracts.
                  (J) Securities contracts.
                  (K) Such other activities or transactions as 
                the Board of Governors may, by rule, define.

[SEC. 166. EARLY REMEDIATION REQUIREMENTS.

  [(a) In General.--The Board of Governors, in consultation 
with the Council and the Corporation, shall prescribe 
regulations establishing requirements to provide for the early 
remediation of financial distress of a nonbank financial 
company supervised by the Board of Governors or a bank holding 
company described in section 165(a), except that nothing in 
this subsection authorizes the provision of financial 
assistance from the Federal Government.
  [(b) Purpose of the Early Remediation Requirements.--The 
purpose of the early remediation requirements under subsection 
(a) shall be to establish a series of specific remedial actions 
to be taken by a nonbank financial company supervised by the 
Board of Governors or a bank holding company described in 
section 165(a) that is experiencing increasing financial 
distress, in order to minimize the probability that the company 
will become insolvent and the potential harm of such insolvency 
to the financial stability of the United States.
  [(c) Remediation Requirements.--The regulations prescribed by 
the Board of Governors under subsection (a) shall--
          [(1) define measures of the financial condition of 
        the company, including regulatory capital, liquidity 
        measures, and other forward-looking indicators; and
          [(2) establish requirements that increase in 
        stringency as the financial condition of the company 
        declines, including--
                  [(A) requirements in the initial stages of 
                financial decline, including limits on capital 
                distributions, acquisitions, and asset growth; 
                and
                  [(B) requirements at later stages of 
                financial decline, including a capital 
                restoration plan and capital-raising 
                requirements, limits on transactions with 
                affiliates, management changes, and asset 
                sales.

[SEC. 167. AFFILIATIONS.

  [(a) Affiliations.--Nothing in this subtitle shall be 
construed to require a nonbank financial company supervised by 
the Board of Governors, or a company that controls a nonbank 
financial company supervised by the Board of Governors, to 
conform the activities thereof to the requirements of section 4 
of the Bank Holding Company Act of 1956 (12 U.S.C. 1843).
  [(b) Requirement.--
          [(1) In general.--
                  [(A) Board authority.--If a nonbank financial 
                company supervised by the Board of Governors 
                conducts activities other than those that are 
                determined to be financial in nature or 
                incidental thereto under section 4(k) of the 
                Bank Holding Company Act of 1956, the Board of 
                Governors may require such company to establish 
                and conduct all or a portion of such activities 
                that are determined to be financial in nature 
                or incidental thereto in or through an 
                intermediate holding company established 
                pursuant to regulation of the Board of 
                Governors, not later than 90 days (or such 
                longer period as the Board of Governors may 
                deem appropriate) after the date on which the 
                nonbank financial company supervised by the 
                Board of Governors is notified of the 
                determination of the Board of Governors under 
                this section.
                  [(B) Necessary actions.--Notwithstanding 
                subparagraph (A), the Board of Governors shall 
                require a nonbank financial company supervised 
                by the Board of Governors to establish an 
                intermediate holding company if the Board of 
                Governors makes a determination that the 
                establishment of such intermediate holding 
                company is necessary to--
                          [(i) appropriately supervise 
                        activities that are determined to be 
                        financial in nature or incidental 
                        thereto; or
                          [(ii) to ensure that supervision by 
                        the Board of Governors does not extend 
                        to the commercial activities of such 
                        nonbank financial company.
          [(2) Internal financial activities.--For purposes of 
        this subsection, activities that are determined to be 
        financial in nature or incidental thereto under section 
        4(k) of the Bank Holding Company Act of 1956, as 
        described in paragraph (1), shall not include internal 
        financial activities, including internal treasury, 
        investment, and employee benefit functions. With 
        respect to any internal financial activity engaged in 
        for the company or an affiliate and a non-affiliate of 
        such company during the year prior to the date of 
        enactment of this Act, such company (or an affiliate 
        that is not an intermediate holding company or 
        subsidiary of an intermediate holding company) may 
        continue to engage in such activity, as long as not 
        less than 2/3 of the assets or 2/3 of the revenues 
        generated from the activity are from or attributable to 
        such company or an affiliate, subject to review by the 
        Board of Governors, to determine whether engaging in 
        such activity presents undue risk to such company or to 
        the financial stability of the United States.
          [(3) Source of strength.--A company that directly or 
        indirectly controls an intermediate holding company 
        established under this section shall serve as a source 
        of strength to its subsidiary intermediate holding 
        company.
          [(4) Parent company reports.--The Board of Governors 
        may, from time to time, require reports under oath from 
        a company that controls an intermediate holding 
        company, and from the appropriate officers or directors 
        of such company, solely for purposes of ensuring 
        compliance with the provisions of this section, 
        including assessing the ability of the company to serve 
        as a source of strength to its subsidiary intermediate 
        holding company pursuant to paragraph (3) and enforcing 
        such compliance.
          [(5) Limited parent company enforcement.--
                  [(A) In general.--In addition to any other 
                authority of the Board of Governors, the Board 
                of Governors may enforce compliance with the 
                provisions of this subsection that are 
                applicable to any company described in 
                paragraph (1) that controls an intermediate 
                holding company under section 8 of the Federal 
                Deposit Insurance Act, and such company shall 
                be subject to such section (solely for such 
                purposes) in the same manner and to the same 
                extent as if such company were a bank holding 
                company.
                  [(B) Application of other act.--Any violation 
                of this subsection by any company that controls 
                an intermediate holding company may also be 
                treated as a violation of the Federal Deposit 
                Insurance Act for purposes of subparagraph (A).
                  [(C) No effect on other authority.--No 
                provision of this paragraph shall be construed 
                as limiting any authority of the Board of 
                Governors or any other Federal agency under any 
                other provision of law.
  [(c) Regulations.--The Board of Governors--
          [(1) shall promulgate regulations to establish the 
        criteria for determining whether to require a nonbank 
        financial company supervised by the Board of Governors 
        to establish an intermediate holding company under 
        subsection (b); and
          [(2) may promulgate regulations to establish any 
        restrictions or limitations on transactions between an 
        intermediate holding company or a nonbank financial 
        company supervised by the Board of Governors and its 
        affiliates, as necessary to prevent unsafe and unsound 
        practices in connection with transactions between such 
        company, or any subsidiary thereof, and its parent 
        company or affiliates that are not subsidiaries of such 
        company, except that such regulations shall not 
        restrict or limit any transaction in connection with 
        the bona fide acquisition or lease by an unaffiliated 
        person of assets, goods, or services.

[SEC. 168. REGULATIONS.

  [The Board of Governors shall have authority to issue 
regulations to implement subtitles A and C and the amendments 
made thereunder. Except as otherwise specified in subtitle A or 
C, not later than 18 months after the effective date of this 
Act, the Board of Governors shall issue final regulations to 
implement subtitles A and C, and the amendments made 
thereunder.]

           *       *       *       *       *       *       *


[SEC. 170. SAFE HARBOR.

  [(a) Regulations.--The Board of Governors shall promulgate 
regulations on behalf of, and in consultation with, the Council 
setting forth the criteria for exempting certain types or 
classes of U.S. nonbank financial companies or foreign nonbank 
financial companies from supervision by the Board of Governors.
  [(b) Considerations.--In developing the criteria under 
subsection (a), the Board of Governors shall take into account 
the factors for consideration described in subsections (a) and 
(b) of section 113 in determining whether a U.S. nonbank 
financial company or foreign nonbank financial company shall be 
supervised by the Board of Governors.
  [(c) Rule of Construction.--Nothing in this section shall be 
construed to require supervision by the Board of Governors of a 
U.S. nonbank financial company or foreign nonbank financial 
company, if such company does not meet the criteria for 
exemption established under subsection (a).
  [(d) Revisions.--
          [(1) In general.--The Board of Governors shall, in 
        consultation with the Council, review the regulations 
        promulgated under subsection (a), not less frequently 
        than every 5 years, and based upon the review, the 
        Board of Governors may revise such regulations on 
        behalf of, and in consultation with, the Council to 
        update as necessary the criteria set forth in such 
        regulations.
          [(2) Transition period.--No revisions under paragraph 
        (1) shall take effect before the end of the 2-year 
        period after the date of publication of such revisions 
        in final form.
  [(e) Report.--The Chairman of the Board of Governors and the 
Chairperson of the Council shall submit a joint report to the 
Committee on Banking, Housing, and Urban Affairs of the Senate 
and the Committee on Financial Services of the House of 
Representatives not later than 30 days after the date of the 
issuance in final form of regulations under subsection (a), or 
any subsequent revision to such regulations under subsection 
(d), as applicable. Such report shall include, at a minimum, 
the rationale for exemption and empirical evidence to support 
the criteria for exemption.]

           *       *       *       *       *       *       *


[SEC. 172. EXAMINATION AND ENFORCEMENT ACTIONS FOR INSURANCE AND 
                    ORDERLY LIQUIDATION PURPOSES.

  [(a) Examinations for Insurance and Resolution Purposes.--
Section 10(b)(3) of the Federal Deposit Insurance Act (12 
U.S.C. 1820(b)(3)) is amended--
          [(1) by striking ``In addition'' and inserting the 
        following:
                  [``(A) In general.--In addition''; and
          [(2) by striking ``whenever the board of directors 
        determines'' and all that follows through the period 
        and inserting the following:or nonbank financial 
        company supervised by the Board of Governors or a bank 
        holding company described in section 165(a) of the 
        Financial Stability Act of 2010, whenever the Board of 
        Directors determines that a special examination of any 
        such depository institution is necessary to determine 
        the condition of such depository institution for 
        insurance purposes, or of such nonbank financial 
        company supervised by the Board of Governors or bank 
        holding company described in section 165(a) of the 
        Financial Stability Act of 2010, for the purpose of 
        implementing its authority to provide for orderly 
        liquidation of any such company under title II of that 
        Act, provided that such authority may not be used with 
        respect to any such company that is in a generally 
        sound condition.
                  [``(B) Limitation.--Before conducting a 
                special examination of a nonbank financial 
                company supervised by the Board of Governors or 
                a bank holding company described in section 
                165(a) of the Financial Stability Act of 2010, 
                the Corporation shall review any available and 
                acceptable resolution plan that the company has 
                submitted in accordance with section 165(d) of 
                that Act, consistent with the nonbinding effect 
                of such plan, and available reports of 
                examination, and shall coordinate to the 
                maximum extent practicable with the Board of 
                Governors, in order to minimize duplicative or 
                conflicting examinations.''.
  [(b) Enforcement Authority.--Section 8(t) of the Federal 
Deposit Insurance Act (12 U.S.C. 1818(t)) is amended--
          [(1) in paragraph (1), by inserting ``, any 
        depository institution holding company,'' before ``or 
        any institution-affiliated party'';
          [(2) in paragraph (2)--
                  [(A) by striking ``or'' at the end of 
                subparagraph (B);
                  [(B) at the end of subparagraph (C), by 
                striking the period and inserting ``or''; and
                  [(C) by inserting at the end the following 
                new subparagraph:
                  [``(D) the conduct or threatened conduct 
                (including any acts or omissions) of the 
                depository institution holding company poses a 
                risk to the Deposit Insurance Fund, provided 
                that such authority may not be used with 
                respect to a depository institution holding 
                company that is in generally sound condition 
                and whose conduct does not pose a foreseeable 
                and material risk of loss to the Deposit 
                Insurance Fund;''; and
          [(3) by adding at the end the following:
          [``(6) Powers and duties with respect to depository 
        institution holding companies.--For purposes of 
        exercising the backup authority provided in this 
        subsection--
                  [``(A) the Corporation shall have the same 
                powers with respect to a depository institution 
                holding company and its affiliates as the 
                appropriate Federal banking agency has with 
                respect to the holding company and its 
                affiliates; and
                  [``(B) the holding company and its affiliates 
                shall have the same duties and obligations with 
                respect to the Corporation as the holding 
                company and its affiliates have with respect to 
                the appropriate Federal banking agency.''.
  [(c) Rule of Construction.--Nothing in this Act shall be 
construed to limit or curtail the Corporation's current 
authority to examine or bring enforcement actions with respect 
to any insured depository institution or institution-affiliated 
party.]

           *       *       *       *       *       *       *


[SEC. 174. STUDIES AND REPORTS ON HOLDING COMPANY CAPITAL REQUIREMENTS.

  [(a) Study of Hybrid Capital Instruments.--The Comptroller 
General of the United States, in consultation with the Board of 
Governors, the Comptroller of the Currency, and the 
Corporation, shall conduct a study of the use of hybrid capital 
instruments as a component of Tier 1 capital for banking 
institutions and bank holding companies. The study shall 
consider--
          [(1) the current use of hybrid capital instruments, 
        such as trust preferred shares, as a component of Tier 
        1 capital;
          [(2) the differences between the components of 
        capital permitted for insured depository institutions 
        and those permitted for companies that control insured 
        depository institutions;
          [(3) the benefits and risks of allowing such 
        instruments to be used to comply with Tier 1 capital 
        requirements;
          [(4) the economic impact of prohibiting the use of 
        such capital instruments for Tier 1;
          [(5) a review of the consequences of disqualifying 
        trust preferred instruments, and whether it could lead 
        to the failure or undercapitalization of existing 
        banking organizations;
          [(6) the international competitive implications 
        prohibiting hybrid capital instruments for Tier 1;
          [(7) the impact on the cost and availability of 
        credit in the United States from such a prohibition;
          [(8) the availability of capital for financial 
        institutions with less than $10,000,000,000 in total 
        assets; and
          [(9) any other relevant factors relating to the 
        safety and soundness of our financial system and 
        potential economic impact of such a prohibition.
  [(b) Study of Foreign Bank Intermediate Holding Company 
Capital Requirements.--The Comptroller General of the United 
States, in consultation with the Secretary, the Board of 
Governors, the Comptroller of the Currency, and the 
Corporation, shall conduct a study of capital requirements 
applicable to United States intermediate holding companies of 
foreign banks that are bank holding companies or savings and 
loan holding companies. The study shall consider--
          [(1) current Board of Governors policy regarding the 
        treatment of intermediate holding companies;
          [(2) the principle of national treatment and equality 
        of competitive opportunity for foreign banks operating 
        in the United States;
          [(3) the extent to which foreign banks are subject on 
        a consolidated basis to home country capital standards 
        comparable to United States capital standards;
          [(4) potential effects on United States banking 
        organizations operating abroad of changes to United 
        States policy regarding intermediate holding companies;
          [(5) the impact on the cost and availability of 
        credit in the United States from a change in United 
        States policy regarding intermediate holding companies; 
        and
          [(6) any other relevant factors relating to the 
        safety and soundness of our financial system and 
        potential economic impact of such a prohibition.
  [(c) Report.--Not later than 18 months after the date of 
enactment of this Act, the Comptroller General of the United 
States shall submit reports to the Committee on Banking, 
Housing, and Urban Affairs of the Senate and the Committee on 
Financial Services of the House of Representatives summarizing 
the results of the studies required under subsection (a). The 
reports shall include specific recommendations for legislative 
or regulatory action regarding the treatment of hybrid capital 
instruments, including trust preferred shares, and shall 
explain the basis for such recommendations.

[SEC. 175. INTERNATIONAL POLICY COORDINATION.

  [(a) By the President.--The President, or a designee of the 
President, may coordinate through all available international 
policy channels, similar policies as those found in United 
States law relating to limiting the scope, nature, size, scale, 
concentration, and interconnectedness of financial companies, 
in order to protect financial stability and the global economy.
  [(b) By the Council.--The Chairperson of the Council, in 
consultation with the other members of the Council, shall 
regularly consult with the financial regulatory entities and 
other appropriate organizations of foreign governments or 
international organizations on matters relating to systemic 
risk to the international financial system.
  [(c) By the Board of Governors and the Secretary.--The Board 
of Governors and the Secretary shall consult with their foreign 
counterparts and through appropriate multilateral organizations 
to encourage comprehensive and robust prudential supervision 
and regulation for all highly leveraged and interconnected 
financial companies.]

           *       *       *       *       *       *       *

                              ----------                              


BANK HOLDING COMPANY ACT OF 1956

           *       *       *       *       *       *       *


                  acquisition of bank shares or assets

  Sec. 3. (a) It shall be unlawful, except with the prior 
approval of the Board, (1) for any action to be taken that 
causes any company to become a bank holding company; (2) for 
any action to be taken that causes a bank to become a 
subsidiary of a bank holding company; (3) for any bank holding 
company to acquire direct or indirect ownership or control of 
any voting shares of any bank if, after such acquisition, such 
company will directly or indirectly own or control more than 5 
per centum of the voting shares of such bank; (4) for any bank 
holding company or subsidiary thereof, other than a bank, to 
acquire all or substantially all of the assets of a bank; or 
(5) for any bank holding company to merge or consolidate with 
any other bank holding company. Notwithstanding the foregoing 
this prohibition shall not apply to (A) shares acquired by a 
bank, (i) in good faith in a fiduciary capacity, except where 
such shares are held under a trust that constitutes a company 
as defined in section 2(b) and except as provided in paragraphs 
(2) and (3) of section 2(g), or (ii) in the regular course of 
securing or collecting a debt previously contracted in good 
faith, but any shares acquired after the date of enactment of 
this Act in securing or collecting any such previously 
contracted debt shall be disposed of within a period of two 
years from the date on which they were acquired; (B) additional 
shares acquired by a bank holding company in a bank in which 
such bank holding company owned or controlled a majority of the 
voting shares prior to such acquisition; or (C) the 
acquisition, by a company, of control of a bank in a 
reorganization in which a person or group of persons exchanges 
their shares of the bank for shares of a newly formed bank 
holding company and receives after the reorganization 
substantially the same proportional share interest in the 
holding company as they held in the bank except for changes in 
shareholders' interests resulting from the exercise of 
dissenting shareholders' rights under State or Federal law if--
          
                  
                          (i) immediately following the 
                        acquisition--
                                  (I) the bank holding company 
                                meets the capital and other 
                                financial standards prescribed 
                                by the Board by regulation for 
                                such a bank holding company; 
                                and
                                  (II) the bank is adequately 
                                capitalized (as defined in 
                                section 38 of the Federal 
                                Deposit Insurance Act);
                          (ii) the holding company does not 
                        engage in any activities other than 
                        those of managing and controlling banks 
                        as a result of the reorganization;
                          (iii) the company provides 30 days 
                        prior notice to the Board and the Board 
                        does not object to such transaction 
                        during such 30-day period; and
                          (iv) the holding company will not 
                        acquire control of any additional bank 
                        as a result of the reorganization..
The Board is authorized upon application by a bank to extend, 
from time to time for not more than one year at a time, the 
two-year period referred to above for disposing of any shares 
acquired by a bank in the regular course of securing or 
collecting a debt previously contracted in good faith, if, in 
the Board's judgment, such an extension would not be 
detrimental to the public interest, but no such extension shall 
in the aggregate exceed three years. For the purpose of the 
preceding sentence, bank shares acquired after the date of 
enactment of the Bank Holding Company Act Amendments of 1970 
shall not be deemed to have been acquired in good faith in a 
fiduciary capacity if the acquiring bank or company has sole 
discretionary authority to exercise voting rights with respect 
thereto, but in such instances acquisitions may be made without 
prior approval of the Board if the Board, upon application 
filed within ninety days after the shares are acquired, 
approves retention or, if retention is disapproved, the 
acquiring bank disposes of the shares or its sole discretionary 
voting rights within two years after issuance of the order of 
disapproval.
  (b)(1) Notice and Hearing Requirements.--[Upon receiving]
                  (A) In general._Upon receiving from a company 
                any application for approval under this 
                section, the Board shall give notice to the 
                Comptroller of the Currency, if the applicant 
                company or any bank the voting shares or assets 
                of which are sought to be required is a 
                national banking association, or to the 
                appropriate supervisory authority of the 
                interested State, if the applicant company or 
                any bank the voting shares or assets of which 
                are sought to be acquired is a State bank, in 
                order to provide for the submission of the 
                views and recommendations of the Comptroller of 
                the Currency or the State supervisory 
                authority, as the case may be. The views and 
                recommendations shall be submitted within 
                thirty calendar days of the date on which 
                notice is given, or within ten calendar days of 
                such date if the Board advises the Comptroller 
                of the Currency or the State supervisory 
                authority that an emergency exists requiring 
                expeditious action. If the thirty-day notice 
                period applies and if the Comptroller of the 
                Currency or the State supervisory authority so 
                notified by the Board disapproves the 
                application in writing within this period, the 
                Board shall forthwith give written notice of 
                that fact to the applicant. Within three days 
                after giving such notice to the applicant, the 
                Board shall notify in writing the applicant and 
                the disapproving authority of the date for 
                commencement of a hearing by it on such 
                application. Any such hearing shall be 
                commenced not less than ten nor more than 
                thirty days after the Board has given written 
                notice to the applicant of the action of the 
                disapproving authority. The length of any such 
                hearing shall be determined by the Board, but 
                it shall afford all interested parties a 
                reasonable opportunity to testify at such 
                hearing. At the conclusion thereof, the Board 
                shall, by order, grant or deny the application 
                on the basis of the record made at such 
                hearing. In the event of the failure of the 
                Board to act on any application for approval 
                under this section within the ninety-one-day 
                period which begins on the date of submission 
                to the Board of the complete record on that 
                application, the application shall be deemed to 
                have been granted. [Notwithstanding any other 
                provision]
                  (B) Immediate action._
                          (i) In general._Notwithstanding any 
                        other provision of this subsection, if 
                        the Board finds that it must act 
                        immediately on any application for 
                        approval under this section in order to 
                        prevent the probable failure of a bank 
                        or bank holding company involved in a 
                        proposed acquisition, merger, or 
                        consolidation transaction, the Board 
                        may dispense with the notice 
                        requirements of this subsection, and if 
                        notice is given, the Board may request 
                        that the views and recommendations of 
                        the Comptroller of the Currency or the 
                        State supervisory authority, as the 
                        case may be, be submitted immediately 
                        in any form or by any means acceptable 
                        to the Board. If the Board has found 
                        pursuant to this subsection either that 
                        an emergency exists requiring 
                        expeditious action or that it must act 
                        immediately to prevent probable 
                        failure, the Board may grant or deny 
                        any such application without a hearing 
                        not withstanding any recommended 
                        disapproval by the appropriate 
                        supervisory authority.
                          (ii) Exception.--The Board may not 
                        take any action pursuant to clause (i) 
                        on an application that would cause any 
                        company to become a bank holding 
                        company unless such application 
                        involves the company acquiring a bank 
                        that is critically undercapitalized (as 
                        such term is defined under section 
                        38(b) of the Federal Deposit Insurance 
                        Act).
  (2) Waiver in Case of Bank in Danger of Closing.--If the 
Board receives a certification described in section 13(f)(8)(D) 
of the Federal Deposit Insurance Act from the appropriate 
Federal or State chartering authority that a bank is in danger 
of closing, the Board may dispense with the notice and hearing 
requirements of paragraph (1) with respect to any application 
received by the Board relating to the acquisition of such bank, 
the bank holding company which controls such bank, or any other 
affiliated bank.
  (c) Factors for Consideration by Board.--
          (1) Competitive factors.--The Board shall not 
        approve--
          (A) any acquisition or merger or consolidation under 
        this section which would result in a monopoly, or which 
        would be in furtherance of any combination or 
        conspiracy to monopolize or to attempt to monopolize 
        the business of banking in any part of the United 
        States, or
          (B) any other proposed acquisition or merger or 
        consolidation under this section whose effect in any 
        section of the country may be substantially to lessen 
        competition, or to tend to create a monopoly, or which 
        in any other manner would be in restraint or trade, 
        unless it finds that the anticompetitive effects of the 
        proposed transaction are clearly outweighed in the 
        public interest by the probable effect of the 
        transaction in meeting the convenience and needs of the 
        community to be served.
          (2) Banking and community factors.--In every case, 
        the Board shall take into consideration the financial 
        and managerial resources and future prospects of the 
        company or companies and the banks concerned, and the 
        convenience and needs of the community to be served.
          (3) Supervisory factors.--The Board shall disapprove 
        any application under this section by any company if--
                  (A) the company fails to provide the Board 
                with adequate assurances that the company will 
                make available to the Board such information on 
                the operations or activities of the company, 
                and any affiliate of the company, as the Board 
                determines to be appropriate to determine and 
                enforce compliance with this Act; or
                  (B) in the case of an application involving a 
                foreign bank, the foreign bank is not subject 
                to comprehensive supervision or regulation on a 
                consolidated basis by the appropriate 
                authorities in the bank's home country.
          (4) Treatment of certain bank stock loans.--
        Notwithstanding any other provision of law, the Board 
        shall not follow any practice or policy in the 
        consideration of any application for the formation of a 
        one-bank holding company if following such practice or 
        policy would result in the rejection of such 
        application solely because the transaction to form such 
        one-bank holding company involves a bank stock loan 
        which is for a period of not more than twenty-five 
        years. The previous sentence shall not be construed to 
        prohibit the Board from rejecting any application 
        solely because the other financial arrangements are 
        considered unsatisfactory. The Board shall consider 
        transactions involving bank stock loans for the 
        formation of a one-bank holding company having a 
        maturity of twelve years or more on a case by case 
        basis and no such transaction shall be approved if the 
        Board believes the safety or soundness of the bank may 
        be jeopardized.
          (5) Managerial resources.--Consideration of the 
        managerial resources of a company or bank under 
        paragraph (2) shall include consideration of the 
        competence, experience, and integrity of the officers, 
        directors, and principal shareholders of the company or 
        bank.
          (6) Money laundering.--In every case, the Board shall 
        take into consideration the effectiveness of the 
        company or companies in combatting money laundering 
        activities, including in overseas branches.
          (7) Financial stability.--In every case, the Board 
        shall take into consideration the extent to which a 
        proposed acquisition, merger, or consolidation would 
        result in greater or more concentrated risks to the 
        stability of the United States banking or financial 
        system.
  (d) Interstate Banking.--
          (1) Approvals authorized.--
                  (A) Acquisition of banks.--The Board may 
                approve an application under this section by a 
                bank holding company that is well capitalized 
                and well managed to acquire control of, or 
                acquire all or substantially all of the assets 
                of, a bank located in a State other than the 
                home State of such bank holding company, 
                without regard to whether such transaction is 
                prohibited under the law of any State.
                  (B) Preservation of state age laws.--
                          (i) In general.--Notwithstanding 
                        subparagraph (A), the Board may not 
                        approve an application pursuant to such 
                        subparagraph that would have the effect 
                        of permitting an out-of-State bank 
                        holding company to acquire a bank in a 
                        host State that has not been in 
                        existence for the minimum period of 
                        time, if any, specified in the 
                        statutory law of the host State.
                          (ii) Special rule for state age laws 
                        specifying a period of more than 5 
                        years.--Notwithstanding clause (i), the 
                        Board may approve, pursuant to 
                        subparagraph (A), the acquisition of a 
                        bank that has been in existence for at 
                        least 5 years without regard to any 
                        longer minimum period of time specified 
                        in a statutory law of the host State.
                  (C) Shell banks.--For purposes of this 
                subsection, a bank that has been chartered 
                solely for the purpose of, and does not open 
                for business prior to, acquiring control of, or 
                acquiring all or substantially all of the 
                assets of, an existing bank shall be deemed to 
                have been in existence for the same period of 
                time as the bank to be acquired.
                  (D) Effect on state contingency laws.--No 
                provision of this subsection shall be construed 
                as affecting the applicability of a State law 
                that makes an acquisition of a bank contingent 
                upon a requirement to hold a portion of such 
                bank's assets available for call by a State-
                sponsored housing entity established pursuant 
                to State law, if--
                          (i) the State law does not have the 
                        effect of discriminating against out-
                        of-State banks, out-of-State bank 
                        holding companies, or subsidiaries of 
                        such banks or bank holding companies;
                          (ii) that State law was in effect as 
                        of the date of enactment of the Riegle-
                        Neal Interstate Banking and Branching 
                        Efficiency Act of 1994;
                          (iii) the Federal Deposit Insurance 
                        Corporation has not determined that 
                        compliance with such State law would 
                        result in an unacceptable risk to the 
                        Deposit Insurance Fund; and
                          (iv) the appropriate Federal banking 
                        agency for such bank has not found that 
                        compliance with such State law would 
                        place the bank in an unsafe or unsound 
                        condition.
          (2) Concentration limits.--
                  (A) Nationwide concentration limits.--The 
                Board may not approve an application pursuant 
                to paragraph (1)(A) if the applicant (including 
                all insured depository institutions which are 
                affiliates of the applicant) controls, or upon 
                consummation of the acquisition for which such 
                application is filed would control, more than 
                10 percent of the total amount of deposits of 
                insured depository institutions in the United 
                States.
                  (B) Statewide concentration limits other than 
                with respect to initial entries.--The Board may 
                not approve an application pursuant to 
                paragraph (1)(A) if--
                          (i) immediately before the 
                        consummation of the acquisition for 
                        which such application is filed, the 
                        applicant (including any insured 
                        depository institution affiliate of the 
                        applicant) controls any insured 
                        depository institution or any branch of 
                        an insured depository institution in 
                        the home State of any bank to be 
                        acquired or in any host State in which 
                        any such bank maintains a branch; and
                          (ii) the applicant (including all 
                        insured depository institutions which 
                        are affiliates of the applicant), upon 
                        consummation of the acquisition, would 
                        control 30 percent or more of the total 
                        amount of deposits of insured 
                        depository institutions in any such 
                        State.
                  (C) Effectiveness of state deposit caps.--No 
                provision of this subsection shall be construed 
                as affecting the authority of any State to 
                limit, by statute, regulation, or order, the 
                percentage of the total amount of deposits of 
                insured depository institutions in the State 
                which may be held or controlled by any bank or 
                bank holding company (including all insured 
                depository institutions which are affiliates of 
                the bank or bank holding company) to the extent 
                the application of such limitation does not 
                discriminate against out-of-State banks, out-
                of-State bank holding companies, or 
                subsidiaries of such banks or holding
                companies.
                  (D) Exceptions to subparagraph (b).--The 
                Board may approve an application pursuant to 
                paragraph (1)(A) without regard to the 
                applicability of subparagraph (B) with respect 
                to any State if--
                          (i) there is a limitation described 
                        in subparagraph (C) in a State statute, 
                        regulation, or order which has the 
                        effect of permitting a bank or bank 
                        holding company (including all insured 
                        depository institutions which are 
                        affiliates of the bank or bank holding 
                        company) to control a greater 
                        percentage of total deposits of all 
                        insured depository institutions in the 
                        State than the percentage permitted 
                        under subparagraph (B); or
                          (ii) the acquisition is approved by 
                        the appropriate State bank supervisor 
                        of such State and the standard on which 
                        such approval is based does not have 
                        the effect of discriminating against 
                        out-of-State banks, out-of-State bank 
                        holding companies, or subsidiaries of 
                        such banks or holding companies.
                  (E) Deposit defined.--For purposes of this 
                paragraph, the term ``deposit'' has the same 
                meaning as in section 3(l) of the Federal 
                Deposit Insurance Act.
          (3) Community reinvestment compliance.--In 
        determining whether to approve an application under 
        paragraph (1)(A), the Board shall--
                  (A) comply with the responsibilities of the 
                Board regarding such application under section 
                804 of the Community Reinvestment Act of 1977; 
                and
                  (B) take into account the applicant's record 
                of compliance with applicable State community 
                reinvestment laws.
          (4) Applicability of antitrust laws.--No provision of 
        this subsection shall be construed as affecting--
                  (A) the applicability of the antitrust laws; 
                or
                  (B) the applicability, if any, of any State 
                law which is similar to the antitrust laws.
          (5) Exception for banks in default or in danger of 
        default.--The Board may approve an application pursuant 
        to paragraph (1)(A) which involves--
                  (A) an acquisition of 1 or more banks in 
                default or in danger of default; or
                  (B) an acquisition with respect to which 
                assistance is provided under section 13(c) of 
                the Federal Deposit Insurance Act;
        without regard to subparagraph (B) or (D) of paragraph 
        (1) or paragraph (2) or (3).
  (e) Every bank that is a holding company and every bank that 
is a subsidiary of such a company shall become and remain an 
insured depository institution as such term is defined in 
section 3 of the Federal Deposit Insurance Act.
  (g) Mutual Bank Holding Company.--
          (1) Establishment.--Notwithstanding any provision of 
        Federal law other than this Act, a savings bank or 
        cooperative bank operating in mutual form may 
        reorganize so as to form a holding company.
          (2) Regulations.--A bank holding company organized as 
        a mutual holding company shall be regulated on terms, 
        and shall be subject to limitations, comparable to 
        those applicable to any other bank holding company.

           *       *       *       *       *       *       *


SEC. 14. CONCENTRATION LIMITS ON LARGE FINANCIAL FIRMS.

  (a) Definitions.--In this section--
          (1) the term ``Council'' means the Financial 
        Stability Oversight Council;
          [(2) the term ``financial company'' means--
                  [(A) an insured depository institution;
                  [(B) a bank holding company;
                  [(C) a savings and loan holding company;
                  [(D) a company that controls an insured 
                depository institution;
                  [(E) a nonbank financial company supervised 
                by the Board under title I of the Dodd-Frank 
                Wall Street Reform and Consumer Protection Act; 
                and
                  [(F) a foreign bank or company that is 
                treated as a bank holding company for purposes 
                of this Act; and]
          (2) the term ``banking organization'' means--
                  (A) an insured depository institution;
                  (B) a bank holding company;
                  (C) a savings and loan holding company;
                  (D) a company that controls an insured 
                depository institution; and
                  (E) a foreign bank or company that is treated 
                as a bank holding company for purposes of this 
                Act; and
          (3) the term ``liabilities'' means--
                  (A) with respect to a United States 
                [financial company] banking organization--
                          (i) the total risk-weighted assets of 
                        the [financial company] banking 
                        organization, as determined under the 
                        risk-based capital rules applicable to 
                        bank holding companies, as adjusted to 
                        reflect exposures that are deducted 
                        from regulatory capital; less
                          (ii) the total regulatory capital of 
                        the [financial company] banking 
                        organization under the risk-based 
                        capital rules applicable to bank 
                        holding companies; and
                  (B) with respect to a foreign-based 
                [financial company] banking organization--
                          (i) the total risk-weighted assets of 
                        the United States operations of the 
                        [financial company] banking 
                        organization, as determined under the 
                        applicable risk-based capital rules, as 
                        adjusted to reflect exposures that are 
                        deducted from regulatory capital; less
                          (ii) the total regulatory capital of 
                        the United States operations of the 
                        [financial company] banking 
                        organization, as determined under the 
                        applicable risk-based capital rules[; 
                        and].
                  [(C) with respect to an insurance company or 
                other nonbank financial company supervised by 
                the Board, such assets of the company as the 
                Board shall specify by rule, in order to 
                provide for consistent and equitable treatment 
                of such companies.]
  (b) Concentration Limit.--Subject to the recommendations by 
the Council under subsection (e), a [financial company] banking 
organization may not merge or consolidate with, acquire all or 
substantially all of the assets of, or otherwise acquire 
control of, another company, if the total consolidated 
liabilities of the acquiring [financial company] banking 
organization upon consummation of the transaction would exceed 
10 percent of the aggregate consolidated liabilities of all 
[financial companies] banking organizations at the end of the 
calendar year preceding the transaction.
  (c) Exception to Concentration Limit.--With the prior written 
consent of the Board, the concentration limit under subsection 
(b) shall not apply to an acquisition--
          (1) of a bank in default or in danger of default;
          (2) with respect to which assistance is provided by 
        the Federal Deposit Insurance Corporation under section 
        13(c) of the Federal Deposit Insurance Act (12 U.S.C. 
        1823(c)); or
          (3) that would result only in a de minimis increase 
        in the liabilities of the [financial company] banking 
        organization.
  (d) Rulemaking and Guidance.--The Board shall issue 
regulations implementing this section in accordance with the 
recommendations of the Council under subsection (e), including 
the definition of terms, as necessary. The Board may issue 
interpretations or guidance regarding the application of this 
section to an individual [financial company] banking 
organization or to financial companies in general.
  (e) Council Study and Rulemaking.--
          (1) Study and recommendations.--Not later than 6 
        months after the date of enactment of this section, the 
        Council shall--
                  (A) complete a study of the extent to which 
                the concentration limit under this section 
                would affect financial stability, moral hazard 
                in the financial system, the efficiency and 
                competitiveness of United States financial 
                firms and financial markets, and the cost and 
                availability of credit and other financial 
                services to households and businesses in the 
                United States; and
                  (B) make recommendations regarding any 
                modifications to the concentration limit that 
                the Council determines would more effectively 
                implement this section.
          (2) Rulemaking.--Not later than 9 months after the 
        date of completion of the study under paragraph (1), 
        and notwithstanding subsections (b) and (d), the Board 
        shall issue final regulations implementing this 
        section, which shall reflect any recommendations by the 
        Council under paragraph (1)(B).
                              ----------                              


TITLE 44, UNITED STATES CODE

           *       *       *       *       *       *       *


CHAPTER 35--COORDINATION OF FEDERAL INFORMATION POLICY

           *       *       *       *       *       *       *


SUBCHAPTER I--FEDERAL INFORMATION POLICY

           *       *       *       *       *       *       *


Sec. 3502. Definitions

  As used in this subchapter--
          (1) the term ``agency'' means any executive 
        department, military