,i  #aac? ,,congress  #a/ ,session  ,h4 
,r4 #begb  ,,9 ,,! ,,h\se ,,(           
,,repres5tatives  ,june #bh1 #bjac ,mr4 
,g>y ,g4 ,mill] ( ,cali=nia introduc$ ! 
foll[+ bill2 :i* 0 ref]r$ to !          
,committee on ,f9ancial ,s]vices  ,a    
,,bill  ,to improve ! regulation ( cr$it
 unions & depository in/itutions & to   
provide regulatory relief1 & = o!r      
purposes4  #a4 ,%ort title ,?is ,act may
 be cit$ z ! ,regulatory ,relief =      
,cr$it ,unions ,act ( #bjac4  #b4       
,enhanc+ ! au?ority ( ! ,national ,cr$it
 ,union ,adm9i/ration  7a7 ,review (    
,bureau regulations  7#a7 ,9 g5]al      
,section #abj ( ! ,f$]al ,cr$it ,union  
,act 7#ab ,u4,s4,c4 #agff7 is am5d$ by  
add+ at ! end ! foll[+3  7k7 ,review (  
,bureau regulations ,if ! ,bo>d det]m9es
 t a regulation issu$ by ! ,bureau w\ld 
create an undue h>d%ip :5 appli$ to     
cr$it unions1 ! ,bo>d may--  7#a7 delay 
! application ( ! regulation to cr$it   
unions until su* "t z ! ,bo>d det]m9es  
su* application w\ld n create an undue  

h>d%ip2 &  7#b7 modify su* regulation1 z
 appli$ to cr$it unions1 s long z !     
,bo>d det]m9es t su* modification /ill  
meets ! ,bureau's objective 9 issu+ !   
regulation4  4  7#b7 ,bureau def9$      
,section #aja ( ! ,f$]al ,cr$it ,union  
,act 7#ab ,u4,s4,c4 #ageb7 is am5d$ by  
add+ at ! end ! foll[+ new p>agraph3    
7#aj7 ,! t]m ,bureau means ! ,bureau (  
,consum] ,f9ancial ,protection4  4  7b7 
,use ( ,/ate regulations by ,f$]al cr$it
 unions ,section #abj ( ! ,f$]al ,cr$it 
,union ,act 7#ab ,u4,s4,c4 #agff71 z    
am5d$ by subsection 7a71 is fur!r am5d$ 
by add+ at ! end ! foll[+3  7l7 ,use (  
,/ate regulations  7#a7 ,application ,) 
respect to a ,/ate law applicable to a  
,/ate cr$it union1 a ,f$]al cr$it union 
may apply to ! ,bo>d = p]mission to     
comply ) su* regulation 9 lieu ( !      
applicable ,f$]al regulation 7if any71 =
 purposes ( ! cr$it union's bran*es     
locat$ 9 su* ,/ate4 ,su* p]mission %all 
only apply to ! ,/ate = :i* ! p]mission 
is giv51 & ! ,f$]al cr$it union may n   

comply ) su* regulation 9 any o!r ,/ate 
9 lieu ( ! applicable ,f$]al regulation4
  7#b7 ,det]m9ation ,! ,bo>d may approve
 an application receiv$ "u p>agraph 7#a7
 if ! ,bo>d det]m9es t hav+ ! ,f$]al    
cr$it union's bran*es 9 su* ,/ate comply
 ) ! p>ticul> ,/ate law w\ld--  7,a7    
improve ! cr$it unions's ability to s]ve
 memb]s & l5d 9 t p>ticul> ,/ate2 &     
7,b7 n endang] ! safety & s\ndness ( !  
cr$it union4  7#c7 ,exception ,not)/&+  
p>agraph 7#a71 a ,f$]al cr$it union may 
n apply to ! ,bo>d = p]mission to comply
 ) any provision ( a ,/ate law if su*   
law w\ld conflict ) ! requirem5ts (     
section #ajg;,a4  4  #c4 ,improv$       
capital /&>ds & lev]age ratios = cr$it  
unions  7a7 ,9 g5]al ,section #baf ( !  
,f$]al ,cr$it ,union ,act 7#ab ,u4,s4,c4
 #agij;d7 is am5d$--  7#a7 by r$esignat+
 subsection 7o7 z subsection 7p72  7#b7 
by ins]t+ aft] subsection 7n7 ! foll[+3 
7o7 ,revis$ capital /&>ds  7#a7 ,two-ti]
 sy/em ,! ,bo>d %all implem5t a two-ti] 
sy/em ( net wor? ratios = cr$it unions1 

consi/+ ( a risk-bas$ net wor? ratio & a
 net wor? capital ratio4 ,net wor?      
categories 9 ?is section %all take into 
acc\nt ! simplicity or complexity (     
cr$it unions 9 t]ms ( risk pr(ile4  7#b7
 ,use ( lev]age ratios ,! ,bo>d %all    
e/abli% /&>ds "u ?is section ) respect  
to lev]age ratios ( a cr$it union to !  
same ext5t z are provid$ = net wor?     
ratios ( a cr$it union4 ,su* /&>ds %all 
take into acc\nt ! unique nature ( cr$it
 unions &1 to ! ext5t practicable1 be   
comp>able to1 b n necess>ily id5tical   
to1 ! lev]age ratio /&>ds "u section #ch
 ( ! ,f$]al ,deposit ,insurance ,act4  2
 &  7#c7 9 subsection 7p71 z s          
r$esignat$1 by am5d+ p>agraph 7#b7 to   
read z foll[s3  7#b7 ,net wor? ,! t]m   
net wor?--  7,a7 ) respect to any insur$
 cr$it union1 means ! reta9$ e>n+s      
balance ( ! cr$it union1 z det]m9$ "u   
g5]ally accept$ acc\nt+ pr9ciples1      
toge!r )--  7i7 any am\nts t 7 previ\sly
 reta9$ e>n+s ( any o!r cr$it union )   
:i* ! cr$it union has comb9$2 &  7ii7   

compon5ts ( equity "u g5]ally accept$   
acc\nt+ pr9ciples n includ$ 9 reta9$    
e>n+s1 z det]m9$ by ! ,bo>d2  7,b7 )    
respect to any insur$ cr$it union1      
includes1 at ! ,bo>d's discretion &     
subject to rules & regulations e/abli%$ 
by ! ,bo>d1 assi/ance provid$ "u section
 #bjh ( ?is title to facilitate a       
lea/-co/ resolution consi/5t ) ! be/    
int]e/s ( ! cr$it union sy/em2 &  7,c7 )
 respect to a l[ income cr$it union1    
includes second>y capital acc\nts1      
subject to limitations set by ! ,bo>d to
 address ! safe & s\nd use ( second>y   
capital to c>ry out ! purpose ( ?is     
section1 t are--  7i7 un9sur$2 &  7ii7  
subord9ate to all o!r claims aga9/ !    
cr$it union1 includ+ ! claims (         
cr$itors1 %>ehold]s1 & ! ,fund4  4  7b7 
,am5dm5ts to net wor? categories  7#a7  
,section #baf7;c77#a7 ( ! ,f$]al ,cr$it 
,union ,act is am5d$ z foll[s3  7,a7    
,well capitaliz$ ,9 subp>agraph 7,a71 by
 /rik+ clauses 7i7 & 7ii7 & ins]t+ !    
foll[+3  7i7 x has a risk-bas$ net wor? 

ratio ( n less ?an #aj p]c5t2 or  7ii7  
is consid]$ to be well capitaliz$ by any
 o!r /&>d1 z det]m9$ by ! ,bo>d4  4     
7,b7 ,adequately capitaliz$ ,9          
subp>agraph 7,b71 by /rik+ clauses 7i7 &
 7ii7 & ins]t+ ! foll[+3  7i7 x has a   
risk-bas$ net wor? ratio ( n less ?an #h
 p]c5t2 or  7ii7 is consid]$ to be      
adequately capitaliz$ by any o!r /&>d1 z
 det]m9$ by ! ,bo>d4  4  7,c7           
,und]capitaliz$ ,9 subp>agraph 7,c71 by 
/rik+ clauses 7i7 & 7ii7 & ins]t+ !     
foll[+3  7i7 x has a risk-bas$ net wor? 
ratio ( n less ?an #f p]c5t2 or  7ii7 is
 consid]$ to be und]capitaliz$ by any   
o!r /&>d1 z det]m9$ by ! ,bo>d4  4  7,d7
 ,significantly und]capitaliz$          
,subp>agraph 7,d7 is am5d$ to read z    
foll[s3  7,d7 ,significantly            
und]capitaliz$ ,an insur$ cr$it union is
 significantly und]capitaliz$ if--  7i7 
x has a net wor? ratio ( less ?an #c4be 
p]c5t2  7ii7 x has a net wor? ratio (   
less ?an #d4be p]c5t1 & ei!r--  7,i7    
fails to submit an acceptable net wor?  

re/oration plan )9 ! "t all[$ "u        
subsection 7f72 or  7,,ii7 mat]ially    
fails to implem5t a net wor? re/oration 
plan approv$ by ! ,bo>d2 or  7iii7 x has
 a risk-bas$ net wor? ratio ( less ?an  
#f p]c5t4  4  7#b7 ,relevant ,capital   
,measures ,section #baf7;c77#b7 ( !     
,f$]al ,cr$it ,union ,act is am5d$--    
7,a7 by /rik+ 1 = purposes ( section    
#ch7;c7 ( ! ,f$]al ,deposit ,insurance  
,act12  7,b7 by /rik+ 7z ^? t]ms are us$
 9 section #ch712 &  7,c7 by ins]t+ or  
relevant capital measures z def9$ by !  
,bo>d aft] lev]age limit ea* place su*  
t]m appe>s4  7#c7 ,adju/m5t ( levels    
,section #baf7;c77#b77;,a7 ( ! ,f$]al   
,cr$it ,union ,act is am5d$--  7,a7 by  
/rik+ ,f$]al bank+ ag5cies increase or  
decrease & ins]t+ ,f$]al ,deposit       
,insurance ,corporation increases or    
decreases2 &  7,b7 by /rik+ level = &   
ins]t+ levels =4  7#d7 ,adju/+ net wor? 
levels ,section #baf7;c77#b77;,a7 ( !   
,f$]al ,cr$it ,union ,act is am5d$ by   
/rik+ n m ?an ! diff]5ce betwe5 !       

requir$ m9imum level mo/ rec5tly        
e/abli%$ by ! ,f$]al bank+ ag5cies & #d 
p]c5t ( total assets 7) respect to      
in/itutions regulat$ by ^? ag5cies7 &   
ins]t+ ! increase or decrease made by ! 
,f$]al ,deposit ,insurance ,corporation4
  7#e7 ,consultation ,) ,f$]al ,deposit 
,insurance ,corporation ,section        
#baf7;c77#b77;,b77i7 ( ! ,f$]al ,cr$it  
,union ,act is am5d$ by /rik+ ,f$]al    
bank+ ag5cies & ins]t+ ,f$]al ,deposit  
,insurance ,corporation4  7c7 ,am5dm5ts 
relat+ to risk-,bas$ net wor?           
requirem5ts ,section #baf7;d7 ( ! ,f$]al
 ,cr$it ,union ,act is am5d$--  7#a7 9  
p>agraph 7#a7--  7,a7 by /rik+ t are    
complex1 z def9$ by ! ,bo>d2 &  7,b7 by 
ins]t+ 1 z def9$ by ! ,bo>d be=e ! p]iod
 at ! end2  7#b7 by am5d+ p>agraph 7#b7 
to read z foll[s3  7#b7 ,/&>d ,! ,bo>d  
%all design ! risk-bas$ net wor?        
requirem5t to take acc\nt ( any mat]ial 
risks1 z def9$ by ! ,bo>d1 applicable to
 insur$ cr$it unions t are tak5 acc\nt (
 by comp>able /&>ds applicable to       

in/itutions insur$ by ! ,f$]al ,deposit 
,insurance ,corporation4  2 &  7#c7 9 ! 
head+ = su* subsection1 by /rik+ =      
,complex ,cr$it ,unions4  7d7 ,treatm5t 
bas$ on o!r crit]ia ,section            
#baf7;h77#a7 ( ! ,f$]al ,cr$it ,union   
,act is am5d$ to read z foll[s3  7#a7 ! 
,bo>d may n reclassify an insur$ cr$it  
union into a l[] net wor? category due  
solely to int]e/ rate risk1 or treat an 
insur$ cr$it union z if x 7 9 a l[] net 
wor? category1 = reasons n p]ta9+ to !  
safety & s\ndness ( t cr$it union2 &  4 
7e7 ,def9itions relat+ to net wor?  7#a7
 ,net wor? ratio ,section #baf7p7 ( !   
,f$]al ,cr$it ,union ,act1 z r$esignat$ 
by subsection 7a71 is am5d$ 9 p>agraph  
7#c7--  7,a7 by ins]t+ m9us its deposit 
9 ! ,fund1 aft] net wor? ( cr$it union2 
&  7,b7 by ins]t+ m9us its deposit 9 !  
,fund aft] total assets ( ! cr$it union4
  7#b7 ,risk-bas$ net wor? ratio        
,section #baf7p7 ( ! ,f$]al ,cr$it      
,union ,act1 z r$esignat$ by subsection 
7a71 is am5d$ by ins]t+ aft] p>agraph   

7#d7 ! foll[+ new p>agraph3  7#e7       
,risk-bas$ net wor? ratio ,! t]m        
risk-bas$ net wor? ratio means1 )       
respect to any cr$it union--  7,a7 !    
ratio ( ! net wor? ( ! cr$it union1 plus
 any loan loss res]ves 7subject to      
limitations e/abli%$ by ! ,bo>d71 & m9us
 ! cr$it union's deposit 9 ! ,fund1 to  
7,b7 ! risk assets ( ! cr$it union1 z   
def9$ by ! ,bo>d4  4  7#c7 ,am5dm5ts    
relat+ to net wor? re/oration plans     
7,a7 ,tempor>y waiv] ( net wor?         
re/oration plan requirem5t 9 response to
 disa/]s ,subsection #baf7;f77#a7 ( !   
,f$]al ,cr$it ,union ,act is am5d$ by   
/rik+ ,ea* insur$ cr$it union & ins]t+  
,except z det]m9$ by ! ,bo>d 9 ! case ( 
a cr$it union t becomes or rema9s no    
less ?an und]capitaliz$ due to ! impact 
( a major natural or man-made disa/]1   
ea* insur$ cr$it union4  7,b7 ,net wor? 
re/oration requirem5t = cr$it unions t  
are n well capitaliz$ ,section #baf7;e7 
( ! ,f$]al ,cr$it ,union ,act is am5d$  
to read z foll[s3  7e7 ,net wor?        

re/oration plan requirem5t applicable to
 cr$it unions t are n well capitaliz$ ,!
 ,bo>d may require an insur$ cr$it union
 t is n well capitaliz$ to submit a net 
wor? re/oration plan1 z requir$ "u      
subsection 7f71 if--  7#a7 mat]ial      
safety & s\ndness conc]ns caus$ ! cr$it 
union to become less ?an well           
capitaliz$2 &  7#b7 ! safety & s\ndness 
conc]ns rema9 unresolv$4  4  7,c7 ,bo>d 
action may include ord] to cr$it union  
,section #baf7;i77#a77;,b7 ( ! ,f$]al   
,cr$it ,union ,act is am5d$--  7i7 by   
ins]t+ ord] ! cr$it union to be=e take  
su* o!r action2 &  7ii7 by ins]t+ 1 9 ! 
discretion ( ! ,bo>d1 aft] z ! ,bo>d4   
7,d7 ,sub/itution ( #ij cal5d> days     
,section #baf7;i77#c77;,a7 ( ! ,f$]al   
,cr$it ,union ,act is am5d$--  7i7 by   
/rik+ cal5d> qu>t] & ins]t+ #ij cal5d>  
days2 &  7ii7 by ins]t+ fir/ aft] ! date
 on :i* ! cr$it union4  7,e7            
,cl>ification ( coord9ation requirem5t  
,section #baf7l77#c77;,a77ii7 ( ! ,f$]al
 ,cr$it ,union ,act is am5d$ by ins]t+  

be=e ! semicolon ! foll[+3 1 if ! ,bo>d 
det]m9es t su* action by ! (ficial w    
c>ry out ! purpose ( ?is section4  7f7  
,/udy on re=m ( prompt corrective action
  7#a7 ,/udy ,! ,national ,cr$it ,union 
,adm9i/ration ,bo>d %all c>ry out a /udy
 ( problems associat$ ) ! curr5t prompt 
corrective action regime4 ,9 c>ry+ out  
su* /udy1 ! ,bo>d %all consult )        
qualifi$ indu/ry & ,national ,cr$it     
,union ,adm9i/ration repres5tatives4    
7#b7 ,report ,n lat] ?an ! end ( !      
#a-ye> p]iod beg9n+ on ! date ( !       
enactm5t ( ?is ,act1 ! ,bo>d %all issue 
a report to ! ,congress conta9+ all     
f9d+s & det]m9ations made 9 c>ry+ out ! 
/udy requir$ "u p>agraph 7#a71 includ+  
any specific legislative recomm5dations 
recomm5d$ by ! ,bo>d4  #d4 ,review (    
cr$it union regulations  7a7            
,co/-,b5efit ,analysis  7#a7 ,national  
,cr$it ,union ,adm9i/ration ,section    
#abj ( ! ,f$]al ,cr$it ,union ,act 7#ab 
,u4,s4,c4 #agff71 z am5d$ by section #b1
 is fur!r am5d$ by add+ at ! end !      

foll[+3  7m7 ,co/-,b5efit ,analyses     
7#a7 ,pre-issuance ,ea* regulation issu$
 by ! ,bo>d %all include a ?or\gh       
co/-b5efit analysis t details ! e/imat$ 
co/ to a cr$it union ( comply+ ) su*    
regulation comp>$ to ! measurable b5efit
 ! regulation may h4 ,any in=mation     
provid$ to ! ,bo>d f cr$it unions =     
purposes ( ! ,bo>d's analysis %all be on
 a volunt>y basis4  7#b7 #c-ye> review  
,at ! end ( ! #c-ye> p]iod foll[+ ! date
 on :i* ! ,bo>d issues a f9al           
regulation1 ! ,bo>d %all--  7,a7 c>ry   
out a review ( ! actual co/ to a cr$it  
union ( comply+ ) ! regulation2 &  7,b7 
issue a report to ! ,congress conta9+ ! 
results ( su* review4  7#c7 ,rule       
revision ,if1 9 c>ry+ out a review "u   
p>agraph 7#b71 ! ,bo>d det]m9es t !     
actual co/ ( comply+ ) a regulation is m
 ?an #bj p]c5t high] ?an ! ,bo>d        
initially e/imat$1 ! ,bo>d %all revise !
 rule4  4  7#b7 ,bureau ( ,consum]      
,f9ancial ,protection ,section #ajbb ( !
 ,consum] ,f9ancial ,protection ,act (  

#bjaj 7#ab ,u4,s4,c4 #eeab7 is am5d$ by 
add+ at ! end ! foll[+3  7e7            
,regulations applicable to cr$it unions 
7#a7 ,co/-b5efit analyses  7,a7         
,pre-issuance ,ea* regulation issu$ by !
 ,bureau %all1 to ! ext5t ! rule applies
 to a cr$it union1 include a ?or\gh     
co/-b5efit analysis t details ! e/imat$ 
co/ to a cr$it union ( comply+ ) su*    
regulation comp>$ to ! measurable b5efit
 ! regulation may h4 ,any in=mation     
provid$ to ! ,bureau f cr$it unions =   
purposes ( its analysis %all be on a    
volunt>y basis4  7,b7 #c-ye> review ,at 
! end ( ! #c-ye> p]iod foll[+ ! date on 
:i* ! ,bureau issues a f9al regulation t
 applies to a cr$it union1 ! ,bureau    
%all--  7i7 c>ry out a review ( ! actual
 co/ to a cr$it union ( comply+ ) !     
regulation2 &  7ii7 issue a report to ! 
,congress conta9+ ! results ( su*       
review4  7,c7 ,rule revision ,if1 9     
c>ry+ out a review "u subp>agraph 7,b71 
! ,bureau det]m9es t ! actual co/ (     
comply+ ) a regulation is m ?an #bj     

p]c5t high] ?an ! ,bureau initially     
e/imat$1 ! ,bureau %all revise ! rule4  
7#b7 ,additional consid]ations ,9       
propos+ any regulation t applies to     
cr$it unions1 ! ,bureau %all--  7,a7    
consid] ! impact ( su* regulation on--  
7i7 all f$]ally insur$ cr$it unions2 &  
7ii7 consum]s 9 rural areas2 &  7,b7    
consult ) ! ,national ,cr$it ,union     
,adm9i/ration & o!r appropriate ,f$]al  
ag5cies1 bo? prior to propos+ su*       
regulation & dur+ ! comm5t process = su*
 regulation1 reg>d+ consi/5cy )         
prud5tial1 m>ket1 & sy/emic objectives (
 su* ,adm9i/ration & o!r ag5cies4  7#c7 
,objections  7,a7 ,9 g5]al ,if1 dur+ !  
consultation process describ$ 9 p>agraph
 7#b77;,b71 ! ,national ,cr$it ,union   
,adm9i/ration or ano!r ag5cy provides ! 
,bureau ) a writt5 objection to !       
propos$ regulation1 or a portion !re(1 !
 ,bureau %all include ) ! f9al          
regulation a description ( ! objection &
 ! basis = ! ,bureau's decision1 if any1
 reg>d+ su* objection4  7,b7            

,con/ruction ,no?+ 9 ?is subsection %all
 be con/ru$ z alt]+ or limit+ !         
proc$ures "u section #ajbc t may apply  
to any regulation prescrib$ by !        
,bureau4  4  #e4 ,mod]niz+ ! ,c5tral    
,liquidity ,facility  7a7 ,/udy ,!      
,comptroll] ,g5]al ( ! ,unit$ ,/ates    
%all1 9 consultation ) ! ,national      
,cr$it ,union ,adm9i/ration1 c>ry out a 
/udy ( ! ,c5tral ,liquidity ,facility t 
exam9es ! ne$ = any improvem5ts or      
mod]niz+ ne$$ ( su* ,facility4  7b7     
,report ,n lat] ?an ! end ( ! #ahj-;day 
p]iod beg9n+ on ! date ( ! enactm5t (   
?is ,act1 ! ,comptroll] ,g5]al %all     
issue a report to ! ,congress conta9+   
all ( ! f9d+s & det]m9ations made 9     
c>ry+ out ! /udy requir$ "u subsection  
7a71 includ+ any legislative            
recomm5dations ! ,comptroll] ,g5]al may 
h = mod]niz+ ! ,c5tral ,liquidity       
,facility4  #f4 ,mod]niz+ cr$it union   
inve/m5t options  7a7 ,inve/m5ts 9      
securities by ,f$]al cr$it unions       
,section #ajg ( ! ,f$]al ,cr$it ,union  

,act 7#ab ,u4,s4,c4 #ageg7 is am5d$--   
7#a7 by /rik+ ,a ,f$]al cr$it union &   
ins]t+ ! foll[+3  7a7 ,9 g5]al ,a ,f$]al
 cr$it union  2 &  7#b7 by add+ at ! end
 ! foll[+ new subsection3  7b7 ,inve/m5t
 = ! cr$it union's own acc\nt  7#a7 ,9  
g5]al ,a ,f$]al cr$it union may pur*ase 
& hold = its own acc\nt su* inve/m5t    
securities ( inve/m5t grade z ! ,bo>d   
may au?orize by regulation1 subject to  
su* limitations & re/rictions z ! ,bo>d 
may prescribe4  7#b7 ,p]c5tage          
limitations  7,a7 ,s+le p]son ,! total  
am\nt ( inve/m5t securities ( any s+le  
p]son held by a ,f$]al cr$it union = !  
cr$it union's own acc\nt may n exce$ #aj
 p]c5t ( ! net wor? ( ! cr$it union4    
7,b7 ,aggregate inve/m5ts ,! aggregate  
am\nt ( inve/m5t securities held by a   
,f$]al cr$it union = ! cr$it union's own
 acc\nt may n exce$ #aj p]c5t ( ! total 
assets ( ! cr$it union4  7#c7           
,def9itions ,= purposes ( ?is           
subsection3  7,a7 ,inve/m5t grade ,! t]m
 inve/m5t grade means1 ) respect to an  

inve/m5t security pur*as$ by a cr$it    
union = its own acc\nt1 an inve/m5t     
security t at ! "t ( su* pur*ase meets !
 cr$it crit]ia e/abli%$ by ! ,bo>d &    
reflects ! applicable m>ket /&>ds4  7,b7
 ,inve/m5t security  7i7 ,9 g5]al ,! t]m
 inve/m5t security means m>ketable      
obligations evid5c+ ! indebt$ness ( any 
p]son 9 ! =m ( bonds1 notes1 or         
deb5tures & o!r in/rum5ts commonly      
ref]r$ to z inve/m5t securities4  7ii7  
,fur!r def9ition by bo>d ,! ,bo>d may   
fur!r def9e ! t]m inve/m5t security4    
7#d7 ,cl>ification ( prohibition on /ock
 own]%ip ,no provision ( ?is subsection 
%all be con/ru$ z au?oriz+ a ,f$]al     
cr$it union to pur*ase %>es ( /ock ( any
 corporation = ! cr$it union's own      
acc\nt1 except z o!rwise p]mitt$ by law4
  4  7b7 ,mortgage s]vic+ rights        
,section #ajg7;a7 ( ! ,f$]al ,cr$it     
,union ,act1 z am5d$ by ?is section1 is 
fur!r am5d$ by add+ at ! end ! foll[+3  
7#ah7 ,f$]al cr$it unions may pur*ase   
mortgage s]vic+ rights z an inve/m5t1   

includ+ pur*ases ( mortgage s]vic+      
rights f o!r cr$it unions subject to    
limits e/abli%$ by ! ,bo>d4  4  #g4     
,national ,cr$it ,union ,%>e ,insurance 
,fund p>ity ) ,f$]al ,deposit ,insurance
 ,corporation ,section #bjg7k77#a7 ( !  
,f$]al ,cr$it ,union ,act 7#ab ,u4,s4,c4
 #aghg7k77#a77 is am5d$--  7#a7 9       
subp>agraph 7,a7--  7,a7 by ins]t+ aft] 
deposits 9 ! "n ( ! memb] ! foll[+3 or  
held 9 ! memb]'s acc\nt on behalf (     
ano!r p]son2 &  7,b7 by /rik+ ! memb] & 
ins]t+ ! p]son2 &  7#b7 9 subp>agraph   
7,c71 by /rik+ or 9 jo9t t5ancy4 &      
ins]t+ ! foll[+3 9 jo9t t5ancy1 or :]e a
 memb] holds funds = ! use ( a nonmemb]4
 ,cov]age = an acc\nt e/abli%$ by a     
memb] %all be consi/5t ) t ( ! ,f$]al   
,deposit ,insurance ,corporation1       
reg>dless ( ! memb]%ip /atus ( ! own] ( 
! funds t are deposit$ 9 an acc\nt      
e/abli%$ by a memb]44  #h4 ,enhanc+ !   
au?ority ( ! appropriate ,f$]al bank+   
ag5cies  7a7 ,9 g5]al ,! ,consum]       
,f9ancial ,protection ,act ( #bjaj 7#ab 

,u4,s4,c4 #edha et seq47 is am5d$ by    
ins]t+ aft] section #ajbc ! foll[+3     
#ajbc;,a4 ,review ( ,bureau regulations 
on depository in/itutions ,if !         
appropriate ,f$]al bank+ ag5cy det]m9es 
t a regulation issu$ by ! ,bureau w\ld  
create an undue h>d%ip :5 appli$ to a   
class ( depository in/itutions regulat$ 
by su* ag5cy1 ! ag5cy may--  7#a7 delay 
! application ( ! regulation to ! class 
( depository in/itutions until su* "t z 
! ag5cy det]m9es su* application w\ld n 
create an undue h>d%ip2 &  7#b7 modify  
su* regulation1 z appli$ to ! class (   
depository in/itutions1 s long z ! ag5cy
 det]m9es t su* modification /ill meets 
! ,bureau's objective 9 issu+ !         
regulation4  4  7b7 ,te*nical am5dm5t ,!
 table ( cont5ts = ! ,dodd-,frank ,wall 
,/reet ,re=m & ,consum] ,protection ,act
 is am5d$ by ins]t+ aft] ! item relat+  
to section #ajbc ! foll[+ new item3     
#ajbc;,a4 ,review ( ,bureau regulations 
on depository in/itutions4  4  #i4      
,review ( depository in/itution         

regulations  7a7 ,co/-,b5efit ,analysis 
7#a7 ,pre-issuance ,ea* regulation issu$
 by an appropriate ,f$]al bank+ ag5cy   
%all include a ?or\gh co/-b5efit        
analysis t details ! e/imat$ co/ to a   
depository in/itution ( comply+ ) su*   
regulation comp>$ to ! measurable b5efit
 ! regulation may h4 ,any in=mation     
provid$ to an ag5cy f a depository      
in/itution = purposes ( ! ag5cy's       
analysis %all be on a volunt>y basis4   
7#b7 #c-ye> review ,at ! end ( ! #c-ye> 
p]iod foll[+ ! date on :i* ! ag5cy      
issues a f9al regulation1 ! ag5cy %all--
  7,a7 c>ry out a review ( ! actual co/ 
to a depository in/itution ( comply+ ) !
 regulation2 &  7,b7 issue a report to !
 ,congress conta9+ ! results ( su*      
review4  7#c7 ,rule revision ,if1 9     
c>ry+ out a review "u p>agraph 7#b71 !  
ag5cy det]m9es t ! actual co/ ( comply+ 
) a regulation is m ?an #bj p]c5t high] 
?an ! ag5cy initially e/imat$1 ! ag5cy  
%all revise ! rule4  7#d7 ,def9itions ,=
 purposes ( ?is subsection1 ! t]ms      

appropriate ,f$]al bank+ ag5cy &        
depository in/itution h ! mean+ giv5 su*
 t]ms1 respectively1 "u section #c ( !  
,f$]al ,deposit ,insurance ,act 7#ab    
,u4,s4,c4 #ahac74  7b7 ,bureau (        
,consum] ,f9ancial ,protection ,section 
#ajbb ( ! ,consum] ,f9ancial ,protection
 ,act ( #bjaj 7#ab ,u4,s4,c4 #eeab71 z  
am5d$ by section #d1 is fur!r am5d$ by  
add+ at ! end ! foll[+3  7f7            
,regulations applicable to depository   
in/itutions  7#a7 ,co/-b5efit analyses  
7,a7 ,pre-issuance ,ea* regulation issu$
 by ! ,bureau %all1 to ! ext5t ! rule   
applies to a depository in/itution1     
include a ?or\gh co/-b5efit analysis t  
details ! e/imat$ co/ to a depository   
in/itution ( comply+ ) su* regulation   
comp>$ to ! measurable b5efit !         
regulation may h4 ,any in=mation provid$
 to ! ,bureau f depository in/itutions =
 purposes ( its analysis %all be on a   
volunt>y basis4  7,b7 #c-ye> review ,at 
! end ( ! #c-ye> p]iod foll[+ ! date on 
:i* ! ,bureau issues a f9al regulation t

 applies to a cr$it union1 ! ,bureau    
%all--  7i7 c>ry out a review ( ! actual
 co/ to a depository in/itution (       
comply+ ) ! regulation2 &  7ii7 issue a 
report to ! ,congress conta9+ ! results 
( su* review4  7,c7 ,rule revision ,if1 
9 c>ry+ out a review "u subp>agraph     
7,b71 ! ,bureau det]m9es t ! actual co/ 
( comply+ ) a regulation is m ?an #bj   
p]c5t high] ?an ! ,bureau initially     
e/imat$1 ! ,bureau %all revise ! rule4  
7#b7 ,additional consid]ations ,9       
propos+ any regulation t applies to     
depository in/itutions1 ! ,bureau %all--
  7,a7 consid] ! impact ( su* regulation
 on--  7i7 community-bas$ depository    
in/itutions2 &  7ii7 consum]s 9 rural   
areas2 &  7,b7 consult ) ! appropriate  
,f$]al bank+ ag5cies1 bo? prior to      
propos+ su* regulation & dur+ ! comm5t  
process = su* regulation1 reg>d+        
consi/5cy ) prud5tial1 m>ket1 & sy/emic 
objectives ( su* ag5cies4  7#c7         
,objections  7,a7 ,9 g5]al ,if1 dur+ !  
consultation process describ$ 9 p>agraph

 7#b77;,b71 an ag5cy provides ! ,bureau 
) a writt5 objection to ! propos$       
regulation1 or a portion !re(1 ! ,bureau
 %all include ) ! f9al regulation a     
description ( ! objection & ! basis = ! 
,bureau's decision1 if any1 reg>d+ su*  
objection4  7,b7 ,con/ruction ,no?+ 9   
?is subsection %all be con/ru$ z alt]+  
or limit+ ! proc$ures "u section #ajbc t
 may apply to any regulation prescrib$  
by ! ,bureau4  4