This part is about starting a new bank or credit union. Federal regulators must review their forms. They must gather what they can from other places. Each applicant may ask for a staff guide. Regulators must also offer a list of recent starters willing to help.
The document says “shall”Who acts: Federal financial institutions regulatory agenciesHow: statuteSec. 907 in the PDF
What the document says
“(B) to the extent practicable, gather information needed from applicants seeking to become a de novo regulated institution from other Federal Government agencies or public sources to minimize information requests of such applicants; and”
The section requires each of the federal financial institutions regulatory agencies to review the forms used to apply to become a new regulated institution, to gather what it can from other federal agencies or public sources so as to ask applicants for less, and, with the Securities and Exchange Commission, to review how such institutions raise capital while keeping investor protections, including the effect of general capital raising restrictions and those tied to investors who are not accredited.
What the document actually says
“(B) to the extent practicable, gather information needed from applicants seeking to become a de novo regulated institution from other Federal Government agencies or public sources to minimize information requests of such applicants; and”
That sentence, in plain words
The regulator must get what it can from other places. It may use other federal agencies or public sources. The point is to ask the applicant for less.
What this is about
A de novo institution is a brand new bank or credit union. Starting one takes heavy paperwork. This tries to cut it down.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.
The document says “shall”Who acts: Federal financial institutions regulatory agenciesHow: statuteSec. 907 in the PDF
What the document says
“Not later than 1 year after the date of enactment of this Act, and annually for 5 years thereafter, each of the Federal financial institutions regulatory agencies shall submit to the Committee on Financial Services of the House of Representatives and the Committee on Banking, Housing, and Urban Affairs of the Senate and publish on a public website of such agency a report”
The section requires each agency to report within a year of enactment and each year for five years after, to the House Committee on Financial Services and the Senate Committee on Banking, Housing, and Urban Affairs and on its own public website, describing what it did under the review requirement and giving any administrative or legislative recommendations on capital raising.
What the document actually says
“Not later than 1 year after the date of enactment of this Act, and annually for 5 years thereafter, each of the Federal financial institutions regulatory agencies shall submit to the Committee on Financial Services of the House of Representatives and the Committee on Banking, Housing, and Urban Affairs of the Senate and publish on a public website of such agency a report”
That sentence, in plain words
Each regulator must report within one year. It must report again each year for five years. The report goes to two committees and onto a public website.
What this is about
The report says what the agency did to simplify the process. It may also suggest changes to Congress. Anyone can read it.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.
The document says “shall”Who acts: Federal financial institutions regulatory agenciesHow: statuteSec. 907 in the PDF
What the document says
“Each of the Federal financial institutions regulatory agencies shall, at the request of an applicant to become a de novo regulated institution, designate an employee”
The section requires each agency, at an applicant's request, to name one of its employees as a caseworker, who may hold the role alongside other duties. So far as practicable the caseworker must meet the lead organizers to walk them through the application process and serve as their primary point of contact. An agency may name a new caseworker to keep continuity as staffing changes.
What the document actually says
“Each of the Federal financial institutions regulatory agencies shall, at the request of an applicant to become a de novo regulated institution, designate an employee”
That sentence, in plain words
An applicant may ask for help. The regulator must then name one of its own staff to the job.
What this is about
That person walks the founders through the forms. They are the one point of contact. The agency may swap in somebody new if needed.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.
The document says “shall”Who acts: Federal financial institutions regulatory agenciesHow: statuteSec. 907 in the PDF
What the document says
“(A) were recently approved to become a de novo regulated institution; and (B) are interested in volunteering to serve as a mentor to provide advice about the de novo application process.”
The section requires each agency, at the request of an institution seeking to become a new regulated institution and so far as practicable, to give it a list of similar institutions that were recently approved and are willing to volunteer as mentors on the application process. Within a year of enactment each agency must also publish information and directions on how to request a mentor or serve as one.
What the document actually says
“(A) were recently approved to become a de novo regulated institution; and (B) are interested in volunteering to serve as a mentor to provide advice about the de novo application process.”
That sentence, in plain words
The list names bodies that recently won approval. They must be willing to volunteer as a mentor. Their job is to give advice on the application.
What this is about
Somebody who just went through the process knows the pitfalls. The list is given only when asked for. The regulator must also post how to take part.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.
The document says “shall”Who acts: Federal financial institutions regulatory agenciesHow: statuteSec. 907 in the PDF
What the document says
“(C) provide guidance, training material, and regular workshops to assist any interested parties to understand such agencies' processes.”
The section requires each agency to develop a plan to consult State regulators regularly on cooperation in creating new institutions, including helping any State regulator asking how a State-chartered institution can seek federal insurance, to consult stakeholders including applicants and recently approved institutions on reforms supporting new institutions such as rural, community development, and minority ones, and to provide guidance, training material, and regular workshops. Each agency must submit its plan to the two committees within two years of enactment and every five years after, and must invite and consider public comment in developing it.
What the document actually says
“(C) provide guidance, training material, and regular workshops to assist any interested parties to understand such agencies' processes.”
That sentence, in plain words
The regulator must provide guidance and training material. It must also run workshops often. The aim is to help people grasp how it works.
What this is about
The plan also covers talking to state regulators. It covers talking to people who have applied. The plan goes to Congress and is open to public comment.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.
The document says “shall”Who acts: Federal financial institutions regulatory agenciesHow: statuteSec. 907 in the PDF
What the document says
“For purposes of this section, the process of applying to become a de novo regulated institution shall include the process of applying for Federal deposit insurance, Federal share insurance, or membership in the Federal Reserve System.”
The section provides that for its purposes the process of applying to become a new regulated institution includes applying for federal deposit insurance, federal share insurance, or membership in the Federal Reserve System.
What the document actually says
“For purposes of this section, the process of applying to become a de novo regulated institution shall include the process of applying for Federal deposit insurance, Federal share insurance, or membership in the Federal Reserve System.”
That sentence, in plain words
The process covers more than one step. It takes in asking to have deposits insured. It takes in shares and joining the Federal Reserve.
What this is about
A new bank must clear several doors, not one. This makes the section reach all of them. Otherwise the help might stop at the first.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.
Each distinct thing the section does: the review of application forms and of capital raising, the annual report for five years, the caseworker on request and the caseworker's duties, the mentor list and the public mentorship information, the State and stakeholder engagement plan with its submission to Congress and public comment, and the rule that the application process includes applying for federal insurance or Federal Reserve membership.
The definitions drawn from the Federal Deposit Insurance Act and the Federal Credit Union Act are noted but not quoted.
The term Federal financial institutions regulatory agencies is defined by the Federal Financial Institutions Examination Council Act of 1978, which is not indexed here.
