,i  #aad? ,,congress  #b;d ,session  ,h4
 ,r4 #dfdg  ,,9 ,,! ,,h\se ,,(          
,,repres5tatives  ,febru>y #bf1 #bjaf   
,mr4 ,p]lmutt] 7= himself1 ,mr4 ,lyn*1  
,mr4 ,v>gas1 ,mr4 ,heck ( ,wa%+ton1 ,mr4
 ,h9ojosa1 & ,mr4 ,wel*7 introduc$ !    
foll[+ bill2 :i* 0 ref]r$ to !          
,committee on ,f9ancial ,s]vices  ,a    
,,bill  ,to e/abli% regulatory relief = 
c]ta9 f9ancial in/itutions1 & = o!r     
purposes4  #a4 ,%ort title ,?is ,act may
 be cit$ z ! ,traditional ,bank+        
,regulatory ,relief ,act ( #bjae4  #b4  
,regulatory relief = traditional bank+  
organizations  7a7 ,regulatory capital  
requirem5ts  7#a7 ,9 g5]al ,section #ah 
( ! ,f$]al ,deposit ,insurance ,act 7#ab
 ,u4,s4,c4 #ahbh7 is am5d$ by add+ at ! 
end ! foll[+ new subsection3  7aa7      
,treatm5t ( traditional bank+           
organizations  7#a7 ,regulatory capital 
requirem5ts  7,a7 ,simple lev]age ratio 
,! appropriate ,f$]al bank+ ag5cies %all
 issue regulations e/abli%+ a m9imum    
simple lev]age ratio at no less ?an #aj 

p]c5t4 ,! simple lev]age ratio          
requirem5t %all be consi/5t )           
regulations promulgat$ pursuant to      
section #ch 7relat+ to prompt corrective
 action74  7,b7 ,application to         
traditional bank+ organization ,not)/&+ 
any o!r provision ( law1 a traditional  
bank+ organization t meets ! m9imum     
simple lev]age ratio e/abli%$ "u        
subp>agraph 7,a7 may elect1 by notice to
 ! appropriate ,f$]al bank+ ag5cies1 to 
ma9ta9 ! m9imum simple lev]age ratio z  
its sole measure ( capital adequacy4    
7,c7 ,exemption f risk-bas$ capital     
requirem5t ,! risk-bas$ capital         
requirem5t 9 section #ch7;c77#a77;,a7   
%all n apply to a traditional bank+     
organization t makes an election "u     
subp>agraph 7,b7 & complies )           
regulations issu$ 9 accordance ) ?is    
p>agraph4  7,d7 ,grace p]iod ,a         
traditional bank+ organization t makes  
an election "u subp>agraph 7,b7 & fails 
to ma9ta9 ! m9imum simple lev]age ratio 
describ$ 9 subp>agraph 7,a7 7z det]m9$  

by ! fir/ qu>t]ly report ( condition    
issu$ aft] mak+ su* an election7 %all be
 exempt f ! risk-bas$ capital requirem5t
 9 section #ch7;c77#a77;,a7 = a p]iod ( 
#ah mon?s beg9n+ on ! date ( su*        
det]m9ation4  7#b7 ,res]vation (        
au?ority ,not)/&+ any o!r provision (   
?is subsection1 an appropriate ,f$]al   
bank+ ag5cy may require additional      
capital adequacy measures applicable to 
a newly *>t]$ traditional bank+         
organization or = an individual         
traditional bank+ organization if su*   
measures are requir$ to ensure ! safety 
& s\ndness ( ! bank+ organization or to 
prev5t an unacceptable risk to !        
,deposit ,insurance ,fund4  7#c7        
,def9itions  7,a7 ,traditional bank+    
organization ,! t]m traditional bank+   
organization means any bank hold+       
company1 sav+s & loan hold+ company1    
bank1 or sav+s association t            
individually1 & :5 includ+ its p>5t1    
subsidi>ies1 & all affiliates1 meets !  
foll[+ requirem5ts3  7i7 ,has z]o trad+ 

assets & z]o trad+ liabilities4  7ii7   
,does n engage 9 swaps or security-bas$ 
swaps 7z su* t]ms are def9$ 9 section   
#a;a ( ! ,commodity ,ex*ange ,act 7#g   
,u4,s4,c4 #a;a771 o!r ?an swaps or      
security-bas$ swaps ref]5c+ int]e/ rates
 or =eign ex*ange swaps 7z su* t]ms are 
def9$ 9 su* section74  7iii7 ,has a     
total gross notional exposure ( swaps & 
security-bas$ swaps ( n m ?an           
#c1jjj1jjj1jjj4  7,b7 ,simple lev]age   
ratio  7i7 ,9 g5]al ,! t]m simple       
lev]age ratio means-- 7,i7 total equity 
less goodwill & def]r$ tax assets1      
divid$ by  7,,ii7 total assets less     
goodwill & def]r$ tax assets1  z measur$
 by g5]ally accept$ acc\nt+ pr9ciples4  
7ii7 ,measurem5ts ,= purposes ( measur+ 
! simple lev]age ratio capital          
requirem5ts ( a traditional bank+       
organization1 ! appropriate ,f$]al bank+
 ag5cies may1 by regulation1 require--  
7,i7 ! exclusion1 f total equity1 ( o!r 
intangible assets2 or  7,,ii7 !         
addition1 to total assets1 ( (f-balance 

%eet items4  7iii7 ,rule ( con/ruction  
,! simple lev]age ratio %all n be       
con/ru$ to be a g5]ally applicable      
lev]age capital requirem5t = purposes ( 
section #aga ( ! ,dodd-,frank ,wall     
,/reet ,re=m & ,consum] ,protection ,act
 7#ab ,u4,s4,c4 #ecga74  4  7#b7        
,phase-9 = c]ta9 organizations  7,a7 ,9 
g5]al ,not)/&+ ! m9imum simple lev]age  
ratio requirem5t "u section             
#ah7;aa77#a77;,b7 ( ! ,f$]al ,deposit   
,insurance ,act1 a traditional bank+    
organization ) a simple lev]age ratio ( 
#h p]c5t or m may make an election "u   
su* section #ah7;aa77#a77;,b7 dur+ !    
#ah-mon? p]iod beg9n+ on ! date ( !     
enactm5t ( ?is ,act4  7,b7 ,requirem5t  
to meet ! m9imum simple lev]age ratio ,a
 traditional bank+ organization mak+ an 
election pursuant to subp>agraph 7,a7   
%all h until ! end ( ! #ah-mon? p]iod   
describ$ "u subp>agraph 7,a7 to meet !  
m9imum simple lev]age ratio1 or !       
organization's election "u section      
#ah7;aa77#a77;,b7 ( ! ,f$]al ,deposit   

,insurance ,act %all be t]m9at$4  7,c7  
,def9itions ,= purposes ( ?is p>agraph3 
7i7 ,m9imum simple lev]age ratio ,! t]m 
m9imum simple lev]age ratio means !     
m9imum simple lev]age ratio e/abli%$ "u 
section #ah7;aa77#a77;,a7 ( ! ,f$]al    
,deposit ,insurance ,act4  7ii7 ,o!r    
t]ms ,! t]ms simple lev]age ratio &     
traditional bank+ organization h ! mean+
 giv5 ^? t]ms1 respectively1 "u section 
#ah7;aa77#c7 ( ! ,f$]al ,deposit        
,insurance ,act4  7b7 ,%ort =m call     
report ,section #g7;a7 ( ! ,f$]al       
,deposit ,insurance ,act 7#ab ,u4,s4,c4 
#ahag7;a77 is am5d$ by add+ at ! end !  
foll[+3  7#ab7 ,%ort =m report+ ,!      
appropriate ,f$]al bank+ ag5cies %all   
issue regulations all[+ = a r$uc$       
report+ requirem5t = a traditional bank+
 organization t elects to ma9ta9 a      
simple lev]age ratio z its sole measure 
( capital adequacy pursuant to section  
#ah7;aa74  4  7c7 ,on-,site exam9ations 
,section #aj7;d7 ( ! ,f$]al ,deposit    
,insurance ,act 7#ab ,u4,s4,c4          

#ahbj7;d77 is am5d$-- 7#a7 9 p>agraph   
7#d7--  7,a7 9 ! p>agraph head+1 by     
ins]t+ & traditional bank+ organizations
 aft] c]ta9 small in/itutions2  7,b7 9  
subp>agraph 7,a71 by ins]t+ or is a     
traditional bank+ organization def9$ 9  
section #ah7;aa77#c7 aft]               
#a1jjj1jjj1jjj2  7,c7 by /rik+          
subp>agraph 7,b7 & r$esignat+           
subp>agraphs 7,c7 ?r\gh 7,e7 z          
subp>agraphs 7,b7 ?r\gh 7,d71           
respectively2  7,d7 9 subp>agraph 7,b7  
7z s r$esignat$71 by /rik+ condition &  
all t foll[s ?r\gh #bjj1jjj1jjj & ins]t+
 condition 0 f\nd to be out/&+ or good2 
7,e7 9 subp>agraph 7,c7 7z s            
r$esignat$71 by /rik+ & at ! end2  7,f7 
9 subp>agraph 7,d7 7z s r$esignat$71 by 
/rik+ ! p]iod at ! end & ins]t+ 2 &2 &  
7,g7 by add+ at ! end ! foll[+ new      
subp>agraph3  7,e7 ! appropriate ,f$]al 
bank+ ag5cy believes ! #ah-mon? p]iod is
 consi/5t ) ! safety & s\ndness ( !     
bank+ organization4  2 &  7#b7 by /rik+ 
p>agraph 7#aj74  7d7 ,/ress te/+        

,section #afe7;i77#b77;,a7 ( !          
,dodd-,frank ,wall ,/reet ,re=m &       
,consum] ,protection ,act 7#ab ,u4,s4,c4
 #ecfe7;i77#b77;,a77 is am5d$ by ins]t+ 
1 unless su* companies are traditional  
bank+ organizations 7z def9$ 9 section  
#ah7;aa77#c7 ( ! ,f$]al ,deposit        
,insurance ,act7 aft] annual /ress te/s4
  7e7 ,te*nical am5dm5t ,section #ah ( !
 ,f$]al ,deposit ,insurance ,act 7#ab   
,u4,s4,c4 #ahbh7 is am5d$ by mov+       
subsection 7y7 s z to appe> above       
subsection 7z74