,,ii #aadth ,,congress #ast ,session ,s4 #adia ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,june #c1 #bjae,mr4 ,brown 7for himself1 ,mr4 ,reed1 ,mr4 ,schumer1 ,mr4 ,menendez1 ,mr4 ,tester1 ,mr4 ,warner1 ,mr4 ,merkley1 ,ms4 ,warren1 ,ms4 ,heitkamp1 and ,mr4 ,donnelly7 introduced the following bill2 which was read twice and referred to the ,committee on ,banking1 ,housing1 and ,urban ,affairs ,a ,,bill ,to provide sensible relief to community financial institutions1 to protect consumers1 and for other purposes4 #a4 ,short title2 table of contents 7a7 ,short title ,this ,act may be cited as the ,community ,lender ,regulatory ,relief and ,consumer ,protection ,act of #bjae4 7b7 ,table of contents ,the table of contents for this ,act is as follows3 ,sec4 #a4 ,short title2 table of contents4,,title ,i--,helping community lenders,sec4 #aja4 ,community bank and credit union portfolio lending4,sec4 #ajb4 ,exception to annual written privacy notice requirement under the ,gramm-,leach-,bliley ,act4,sec4 #ajc4 ,expansion of threshold for #ah-month on-site examination cycle4,sec4 #ajd4 ,privately insured credit unions authorized to become members of a ,federal home loan bank4,sec4 #aje4 ,registration threshold for savings and loan holding companies4,sec4 #ajf4 ,transitional license authority4,,title ,,ii--,protecting consumers,sec4 #bja4 ,protecting servicemembers4,sec4 #bjb4 ,restoration of the ,protecting ,tenants at ,foreclosure ,act of #bjji4,sec4 #bjc4 ,confidentiality of information shared between ,state and ,federal financial services regulators4 ,i ,helping community lenders #aja4 ,community bank and credit union portfolio lending ,section #abi;,c7b77#b7 of the ,truth in ,lending ,act 7#ae ,u4,s4,c4 #afci;c7b77#b77 is amended by adding at the end the following3 7,f7 ,safe ,harbor 7i7 ,in general ,in this section-- 7,i7 the term qualified mortgage1 as defined in subparagraph 7,a71 includes any residential mortgage loan-- 7aa7 that is originated by a covered institution and continuously retained in portfolio by the covered institution2 7bb7 that1 except as provided in subparagraph 7,e71 fully amortizes over a term of not longer than #cj years2 7cc7 that complies with-- 7,,aa7 the requirements of clauses 7i71 7ii71 7iii71 7iv71 7v71 and 7vii7 of subparagraph 7,a72 and 7,,bb7 any requirements consistent with the purposes described in paragraph 7#c77;,b77i72 7dd7 for which the covered institution1 at or before consummation of the residential mortgage loan1 takes into account and verifies the monthly debt and income of the consumer2 and 7ee7 that is not considered a high-cost mortgage2 and 7,,ii7 a residential mortgage loan that meets the requirements of subclause 7,i7 shall be deemed to meet the requirements of subsection 7a7 until the residential mortgage loan no longer meets the requirements of subclause 7,i74 7ii7 ,definition ,in this subparagraph1 the term covered institution means-- 7,i7 an insured depository institution or insured credit union that-- 7aa7 at the time of origination of the residential mortgage loan1 together with its affiliates1 has less than #b1jjj1jjj1jjj in total consolidated assets2 and 7bb7 during the calendar year preceding the time of origination of the residential mortgage loan1 originated not more than #b1jjj residential mortgage loans that were-- 7,,aa7 sold1 assigned1 or otherwise transferred to another person2 or 7,,bb7 subject to1 at the time of consummation1 a commitment to be acquired by another person2 or 7,,ii7 an insured depository institution or insured credit union that1 at the time of origination of the residential mortgage loan-- 7aa7 together with its affiliates1 has more than #b1jjj1jjj1jjj and less than #aj1jjj1jjj1jjj in total consolidated assets2 7bb7 is not considered a specialty bank1 such as a bank that offers only a narrow product line 7including credit card or motor vehicle loans7 to a regional or broader market2 7cc7 engages in the basic activities of lending and deposit taking as a significant percentage of total assets2 7dd7 has a limited geographic scope2 and 7ee7 meets any other criteria as determined by the ,bureau1 including restrictions on the volume of residential mortgage loans-- 7,,aa7 sold1 assigned1 or otherwise transferred to another person2 or 7,,bb7 subject to1 at the time of consummation1 a commitment to be acquired by another person4 4 #ajb4 ,exception to annual written privacy notice requirement under the ,gramm-,leach-,bliley ,act ,section #ejc of the ,gramm-,leach-,bliley ,act 7#ae ,u4,s4,c4 #fhjc7 is amended by adding at the end the following3 7f7 ,exception to annual written notice requirement 7#a7 ,in general ,a financial institution described in paragraph 7#b7 shall not be required to provide an annual written disclosure under this section until such time as the financial institution fails to comply with subparagraph 7,a71 7,b71 or 7,c7 of paragraph 7#b74 7#b7 ,covered institutions ,a financial institution described in this paragraph is a financial institution that-- 7,a7 provides nonpublic personal information only in accordance with the provisions of subsection 7b77#b7 or 7e7 of section #ejb or regulations prescribed under section #ejd7;b72 7,b7 has not changed its policies and practices with respect to disclosing nonpublic personal information from the policies and practices that were disclosed in the most recent disclosure sent to consumers in accordance with this section2 and 7,c7 otherwise provides customers access to such most recent disclosure in electronic or other form permitted by regulations prescribed under section #ejd4 4 #ajc4 ,expansion of threshold for #ah-month on-site examination cycle ,section #aj7;d7 of the ,federal ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahbj7;d77 is amended-- 7#a7 in paragraph 7#d77;,a71 by striking #ejj1jjj1jjj and inserting #a1jjj1jjj1jjj2 and 7#b7 in paragraph 7#aj71 by striking #ejj1jjj1jjj and inserting #a1jjj1jjj1jjj4 #ajd4 ,privately insured credit unions authorized to become members of a ,federal home loan bank 7a7 ,in general ,section #d7;a7 of the ,federal ,home ,loan ,bank ,act 7#ab ,u4,s4,c4 #adbd7;a77 is amended by adding at the end the following3 7#e7 ,certain privately insured credit unions 7,a7 ,in general ,subject to the requirements of subparagraph 7,b71 a credit union that lacks insurance of its member accounts under ,federal law shall be treated as an insured depository institution for purposes of this ,act4 7,b7 ,certification by appropriate ,state supervisor ,for purposes of this paragraph1 a credit union that lacks insurance of its member accounts under ,federal law and that has applied for membership in a ,federal home loan bank shall be treated as an insured depository institution if the following has occurred3 7i7 ,determination by ,state supervisor of the credit union 7,i7 ,in general ,subject to subclause 7,,ii71 the appropriate supervisor of the ,state in which the credit union is chartered has determined that the credit union meets all the eligibility requirements under section #bja7;a7 of the ,federal ,credit ,union ,act 7#ab ,u4,s4,c4 #agha7;a77 to apply for insurance of its member accounts as of the date of the application for membership4 7,,ii7 ,certification deemed valid ,in the case of any credit union to which subclause 7,i7 applies1 if the appropriate supervisor of the ,state in which such credit union is chartered fails to make the determination required pursuant to such subclause by the end of the #ab-month period beginning on the date on which the application is submitted to the supervisor1 the credit union shall be deemed to have met the requirements of subclause 7,i74 7ii7 ,determination by ,state supervisor of the private deposit insurer ,the licensing entity of the private deposit insurer that is insuring the member accounts of the credit union-- 7,i7 receives1 on an annual basis1 an independent actuarial opinion that the private insurer has set aside sufficient reserves for losses2 and 7,,ii7 obtains1 as frequently as appropriate1 but not less frequently than every #cf months1 an independent actuary's study of the capital adequacy of the private insurer4 7iii7 ,submission of financial information ,the credit union or the appropriate supervisor of the ,state in which such credit union is chartered makes available1 and continues to make available for such time as the credit union is a member of a ,federal home loan bank1 to the ,federal ,housing ,finance ,agency or to the ,federal home loan bank all reports1 records1 and other information related to any examinations or inquiries performed by the supervisor concerning the financial condition of the credit union1 as soon as is practicable4 7,c7 ,security interests of federal home loan bank not avoidable ,notwithstanding any provision of ,state law authorizing a conservator or liquidating agent of a credit union to repudiate contracts1 no such provision shall apply with respect to-- 7i7 any extension of credit from any ,federal home loan bank to any credit union that is a member of any such bank pursuant to this paragraph2 or 7ii7 any security interest in the assets of such a credit union securing any such extension of credit4 7,d7 ,protection for certain ,federal home loan bank advances ,notwithstanding any ,state law to the contrary1 if a ,bank makes an advance under section #aj to a ,state-chartered credit union that is not federally insured-- 7i7 the ,bank's interest in any collateral securing the advance has the same priority and is afforded the same standing and rights that the security interest would have had if the advance had been made to a federally insured credit union2 and 7ii7 the ,bank has the same right to access such collateral that the ,bank would have had if the advance had been made to a federally insured credit union4 4 7b7 ,copies of audits of private insurers of certain depository institutions required ,to be provided to supervisory agencies ,section #dc7;a77#b77;,a7 of the ,federal ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahcat7a77#b77;,a77 is amended-- 7#a7 in clause 7i71 by striking 2 and and inserting a semicolon2 7#b7 in clause 7ii71 by striking the period at the end and inserting 2 and2 and 7#c7 by adding at the end the following3 7iii7 in the case of depository institutions described in subsection 7e77#b77;,a71 the member accounts of which are insured by the private deposit insurer1 which are members of a ,federal home loan bank1 to the ,federal ,housing ,finance ,agency1 not later than #g days after the audit is completed4 4 7c7 ,,gao ,report ,not later than #ah months after the date of enactment of this ,act1 the ,comptroller ,general of the ,united ,states shall conduct a study and submit a report to ,congress-- 7#a7 on the adequacy of insurance reserves held by a private deposit insurer that insures the member accounts of an entity described in section #dc7;e77#b77;,a7 of the ,federal ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahcat7e77#b77;,a772 and 7#b7 for an entity described in paragraph 7#a71 the member accounts of which are insured by a private deposit insurer1 information on the level of compliance with ,federal regulations relating to the disclosure of a lack of ,federal deposit insurance4 #aje4 ,registration threshold for savings and loan holding companies ,the ,securities ,exchange ,act of #aicd 7#ae ,u4,s4,c4 #gh;a et seq47 is amended-- 7#a7 in section #ab7;g7-- 7,a7 in paragraph 7#a77;,b71 by inserting after is a bank the following3 1 a savings and loan holding company 7as such term is defined in section #aj of the ,home ,owners' ,loan ,act 7#ab ,u4,s4,c4 #adfg;a7a77712 and 7,b7 in paragraph 7#d71 by inserting after case of a bank the following3 1 a savings and loan holding company 7as such term is defined in section #aj of the ,home ,owners' ,loan ,act 7#ab ,u4,s4,c4 #adfg;a7a77712 and 7#b7 in section #ae7;d77#a71 by striking case of bank and inserting the following3 case of a bank1 a savings and loan holding company 7as such term is defined in section #aj of the ,home ,owners' ,loan ,act 7#ab ,u4,s4,c4 #adfg;a7a77714 #ajf4 ,transitional license authority ,section #aejd of the ,s4,a4,f4,e4 ,mortgage ,licensing ,act of #bjjh 7#ab ,u4,s4,c4 #eajc7 is amended-- 7#a7 in subsection 7a71 by inserting after as the case may be1 the following3 and except as provided in subsection 7c712 and 7#b7 by adding at the end the following3 7c7 ,transitional authority 7#a7 ,definition ,in this subsection1 the term covered registered loan originator means a registered loan originator who-- 7,a7 submits the information required under section #aeje7;a72 and 7,b7 during the #cj-;day period preceding the date of such submission1 met the standard of being qualified under section #abi;,b7b77#a77;,a7 of the ,truth in ,lending ,act 7#ae ,u4,s4,c4 #afci;b7b77#a77;,a774 7#b7 ,authority ,notwithstanding the requirements of subsections 7b7 through 7e7 of section #aeje1 a ,state may permit a covered registered loan originator to act as a loan originator1 under the supervision of a non-depository firm that engages in loan origination in that ,state1 for the #abj-;day period beginning on the date on which the covered registered loan originator submits the information required under section #aeje7;a74 7#c7 ,limitation ,a covered registered loan originator may not act as a loan originator under paragraph 7#b7 after the date on which the #abj-;day period described in that paragraph expires4 4 ,,ii ,protecting consumers #bja4 ,protecting servicemembers ,section #ajjb7ab7 of the ,consumer ,financial ,protection ,act of #bjaj 7#ab ,u4,s4,c4 #edha7ab77 is amended-- 7#a7 in subparagraph 7,q71 by striking 2 and and inserting a semicolon2 7#b7 in subparagraph 7,r71 by striking the period at the end and inserting 2 and2 and 7#c7 by adding at the end the following3 7,s7 sections #aja1 #ajg 7except with respect to bailments71 #ajh 7except with respect to insurance71 #bja 7except with respect to child custody proceedings71 #bjg1 #cja1 #cjb1 #cjc1 #cje1 and #cje;,a of the ,servicemembers ,civil ,relief ,act 7#ej ,u4,s4,c4 ,app4 #eaa1 #eag1 #eah1 #eba1 #ebg1 #eca1 #ecb1 #ecc1 #ece1 and #ece;a74 4 #bjb4 ,restoration of the ,protecting ,tenants at ,foreclosure ,act of #bjji 7a7 ,repeal of sunset provision ,section #gjd of the ,protecting ,tenants at ,foreclosure ,act of #bjji 7#ab ,u4,s4,c4 #ebja note2 #ab ,u4,s4,c4 #ebbj note2 #db ,u4,s4,c4 #adcg;f note7 is repealed4 7b7 ,restoration ,sections #gja through #gjc of such ,act1 the provisions of law amended or repealed by such sections1 and any regulations promulgated pursuant to such sections1 as were in effect on ,december #ca1 #bjad1 are restored and revived as if the sunset provision in section #gjd had not taken effect4 #bjc4 ,confidentiality of information shared between ,state and ,federal financial services regulators ,section #aeab7;a7 of the ,s4,a4,f4,e4 ,mortgage ,licensing ,act of #bjjh 7#ab ,u4,s4,c4 #eaaa7;a77 is amended by inserting or financial services before industry4