,i #aahth ,,congress #b;d ,session ,h4 ,r4 #hicc ,,in ,,the ,,house ,,of ,,representatives ,july #e1 #bjbd,mr4 ,green of ,texas 7for himself1 ,mrs4 ,beatty1 ,ms4 ,clarke of ,new ,york1 ,ms4 ,tlaib1 ,ms4 ,garcia of ,texas1 ,mr4 ,jackson of ,illinois1 ,ms4 ,lee of ,california1 ,ms4 ,jackson ,lee1 ,mr4 ,evans1 and ,ms4 ,schakowsky7 introduced the following bill2 which was referred to the ,committee on ,financial ,services ,a ,,bill ,to amend the ,securities ,act of #aicc to require covered issuers to carry out a racial equity audit every #b years1 to require atonement for the descendants of enslaved persons1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,original ,securities and ,exchange ,atonement ,act of #bjbd 4 #b4 ,racial equity audit 7a7 ,in general ,the ,securities ,act of #aicc is amended by inserting after section #d;,a 7#ae ,u4,s4,c4 #gg;d-#a7 the following3 #d;,b4 ,racial equity audit 7a7 ,in general ,not later than the end of the #f-month period beginning on the date of enactment of this section1 and every #b years thereafter1 each covered issuer shall-- 7#a7 conduct an independent audit to assess within each line of business-- 7,a7 the issuer's policies and practices on civil rights1 equity1 diversity1 and inclusion2 7,b7 how such policies and practices affect the issuer's business2 and 7,c7 whether the issuer1 any predecessor institution of the issuer1 or any affiliate of the issuer had direct or indirect ties to or profited from the institution of slavery2 7#b7 issue a report to the ,commission containing-- 7,a7 in the case of-- 7i7 the initial report or any subsequent report for which the covered issuer determines material changes have occurred since the previous report1 all findings and determinations made in carrying out the assessments required under paragraph 7#a72 or 7ii7 a subsequent report for which the covered issuer determines no material changes have occurred since the previous report1 an attestation that no material changes were found under the assessments required under paragraph 7#a72 7,b7 to the extent the issuer identifies ties to or profits from the institution of slavery1 a disclosure of the steps the issuer has taken to reconcile such ties or profits2 and 7,c7 to the extent the issuer identifies ties to or profits from the institution of slavery and has not taken steps to reconcile such ties or profits1 a disclosure of the steps to reconcile such ties or profits the issuer plans to take1 which may include-- 7i7 startup capital and funded savings programs in low to moderate income communities for low to moderate income individuals residing in such communities2 7ii7 grants or contributions to historically black colleges and universities2 and 7iii7 grants or contributions to historically black organizations exempt from taxation as described in paragraph 7#c7 or 7#d7 section #eja7;c7 of the ,internal ,revenue ,code of #aihf and exempt from taxation under section #eja7;a7 of such ,code2 and 7#c7 make the report described under paragraph 7#b7 available to the public1 including on a website of the issuer and a website of the ,commission4 7b7 ,failure ,to issue report 7#a7 ,enforcement by ,commission 7,a7 ,covered issuer fines ,any covered issuer that fails to issue a report required under subsection 7a77#b71 or that reports false1 misleading1 or inaccurate information in such a report1 shall be fined by the ,commission in an amount of #bj1jjj per day until the report is issued1 or until the report is corrected to not be false1 misleading1 or inaccurate1 as applicable4 7,b7 ,employee fines ,any employee or officer of a covered issuer who intentionally fails to issue a report required under subsection 7a77#b7 or that reports false1 misleading1 or inaccurate information in such report1 shall be fined by the ,commission in an amount of #b1jjj per day until the report is issued1 or until the report is corrected to not be false1 misleading1 or inaccurate1 as applicable4 7,c7 ,transfer of amounts ,the ,commission shall transfer-- 7i7 #ej percent of the fines collected pursuant to subparagraphs 7,a7 and 7,b7 to the ,secretary of the ,treasury1 and the ,secretary of the ,treasury shall1 without further appropriation1 use such funds to carry out the duties of the ,office of ,minority ,low to ,moderate ,income ,programs2 and 7ii7 #ej percent of the fines collected pursuant to subparagraphs 7,a7 and 7,b7 to the ,secretary of ,housing and ,urban ,development1 and the ,secretary of ,housing and ,urban ,development shall1 without further appropriation1 use such funds to carry out-- 7,i7 a program to provide housing counseling and homebuyer assistance1 including downpayments1 closing costs1 and interest rate buydowns1 to first-time1 first-generation minority low to moderate income homebuyers2 7,,ii7 eviction and foreclosure assistance to minority low to moderate income renters and homebuyers2 7,,iii7 affordable housing production under the ,housing ,trust ,fund established under section #acch of the ,federal ,housing ,enterprises ,financial ,safety and ,soundness act of #aiib 7#ab ,u4,s4,c4 #defh71 including permanent supportive housing for people experiencing homelessness2 7,,iv7 rental assistance to eligible low income households under the ,housing ,choice ,voucher ,program under section #h7o7 of the ,united ,states ,housing ,act of #aicg 7#db ,u4,s4,c4 #adcg;f7o772 and 7,v7 formula grants to participating jurisdictions to conduct ,equity ,plans under the rule of the ,secretary of ,housing and ,urban ,development implementing the requirement under the ,fair ,housing ,act 7#db ,u4,s4,c4 #cfja7 to affirmatively further fair housing4 7#b7 ,private right of action ,a person that holds the securities of a covered issuer and suffers harm as a result of the failure of such covered issuer to issue a report required under subsection 7a77#b71 may bring an action against the covered issuer in the appropriate district court of the ,united ,states4 7#c7 ,whistleblower awards 7,a7 ,in general ,the ,commission shall pay an award or awards to #a or more individuals who voluntarily provided original information to the ,commission that led to the successful enforcement of the fines required under subparagraph 7,a7 or 7,b7 of paragraph 7#a7 in the case of the failure of a covered issuer to issue a report required under subsection 7a77#b7 or that reports false1 misleading1 or inaccurate information in such a report4 7,b7 ,amount ,the amount of an award under subparagraph 7,a7 shall-- 7i7 be established by the ,commission by rule in an amount that the ,commission determines is sufficient to create incentive for individuals to voluntarily provide original information and deter noncompliance with subsection 7a72 and 7ii7 not be less than #bj1jjj4 7,c7 ,original information defined ,in this paragraph1 the term original information means information that-- 7i7 is derived from the independent knowledge or analysis of an individual who voluntarily provides the information to the ,commission2 7ii7 is not known to the ,commission from any other source1 unless the whistleblower is the original source of the information2 and 7iii7 is not exclusively derived from an allegation made in a judicial or administrative hearing1 in a governmental report1 hearing1 audit1 or investigation1 or from the news media1 unless the whistleblower is a source of the information4 7c7 ,definitions ,in this section3 7#a7 ,area median income ,with respect to an individual1 the term area median income means the median income for the area in which the individual lives1 as determined by the ,secretary of ,housing and ,urban ,development for purposes of the ,united ,states ,housing ,act of #aicg 7#db ,u4,s4,c4 #adcg et seq474 7#b7 ,covered issuer ,the term covered issuer means an issuer that-- 7,a7 makes use of the mails or any means or instrumentality of interstate commerce2 and 7,b7 has-- 7i7 more than #ajj employees2 or 7ii7 a capitalization of greater than or equal to #cjj1jjj1jjj4 7#c7 ,low to moderate income ,with respect to an individual1 the term low to moderate income means the individual has earnings of less than #hj percent of the area median income4 7#d7 ,minority ,the term minority means racial and ethnic populations that are underrepresented in the general population relative to the number of persons in the total population4 7#e7 ,reconcile ,the term reconcile means to account for and balance in an equitable manner4 4 7b7 ,office of ,minority ,low to ,moderate ,income ,programs ,chapter #c of title #ca1 ,united ,states ,code1 is amended-- 7#a7 in subchapter ,i1 by adding at the end the following3 #cag4 ,office of ,minority ,low to ,moderate ,income ,programs 7a7 ,establishment ,there is established1 within the ,department of the ,treasury1 an ,office of ,minority ,low to ,moderate ,income ,programs4 7b7 ,duties ,the ,office of ,minority ,low to ,moderate ,income ,programs shall provide grants for-- 7#a7 startup capital and funded savings programs in low to moderate income minority communities for low to moderate income minority individuals residing in such communities2 and 7#b7 such other programs determined appropriate by the ,secretary in furtherance of atonement for descendants of enslaved persons4 7c7 ,funding 7#a7 ,authorization of appropriations ,there is authorized to be appropriated to the ,secretary of the ,treasury #c1jjj1jjj1jjj to carry out this section4 7#b7 ,administrative costs ,the ,secretary of the ,treasury may use #b percent of amounts appropriated to carry out this section for administrative expenses related to carrying out the duties of the ,office of ,minority ,low to ,moderate ,income ,programs4 7d7 ,definitions ,in this section3 7#a7 ,area median income ,with respect to a community1 the term area median income means the median income for the area in which the community is located1 as determined by the ,secretary of ,housing and ,urban ,development for purposes of the ,united ,states ,housing ,act of #aicg 7#db ,u4,s4,c4 #adcg et seq474 7#b7 ,low to moderate income community ,the term low to moderate income community means a census tract in which #ea percent or more of the households located in the census tract earn less than #hj percent of the area median income4 2 and 7#b7 in the table of contents for such chapter1 by inserting after the item relating to section #caf the following3 #cag4 ,office of ,minority ,low to ,moderate ,income ,programs4 4