(A) the oversight and supervisory practices of the Administration concerning the Fund, including the treatment of amounts deposited in the Fund pursuant to section 202(c) of the Federal Credit Union Act, including analysis of (i) whether those amounts should be (II) treated as expenses; and (ii) the use of those amounts in determining equity capital ratios; (B) the potential for, and potential effects of, administration of the Fund by an entity other than the Administration; (C) the 10 largest corporate credit unions in the United States, conducted in cooperation with appropriate employees of other Federal agencies with expertise in the examination of federally insured financial institutions, including and (i) the investment practices of those credit unions; (ii) the financial stability, financial operations, and financial controls of those credit unions; (D) the regulations of the Administration; and (E) the supervision of corporate credit unions by the Administration. (c) REPORT.-Not later than 12 months after the date of enactment of this Act, the Secretary shall submit to the appropriate committees of the Congress, a report that includes the results of the study and evaluation conducted under subsection (b), together with any recommendations that the Secretary considers to be appropriate. SEC. 2607. REPORT ON THE RECONCILIATION OF DIFFERENCES BETWEEN REGULATORY ACCOUNTING PRINCIPLES AND GENERALLY ACCEPTED ACCOUNTING PRINCIPLES. Not later than 180 days after the date of enactment of this Act, each appropriate Federal banking agency shall submit to the Committee on Banking and Financial Services of the House of Representatives and the Committee on Banking, Housing, and Urban Affairs of the Senate, a report describing both the actions that have been taken by the agency and the actions that will be taken by the agency to eliminate or conform inconsistent or duplicative accounting and reporting requirements applicable to reports or statements filed with any such agency by insured depository institutions, as required by section 121 of the Federal Deposit Insurance Corporation Improvement Act of 1991. Subtitle G-Deposit Insurance Funds SEC. 2701. [12 U.S.C. 1811 nt] SHORT TITLE. This subtitle may be cited as the "Deposit Insurance Funds Act of 1996". SEC. 2702. [12 U.S.C. 1817 nt] SPECIAL ASSESSMENT TO CAPITALIZE SAIF. (a) IN GENERAL.-Except as provided in subsection (f), the Board of Directors of the Federal Deposit Insurance Corporation shall impose a special assessment on the SAIF-assessable deposits of each insured depository institution in accordance with assessment regulations of the Corporation at a rate applicable to all such institutions that the Board of Directors, in its sole discretion, determines (after taking into account the adjustments described in subsections (g), (h), and (j)) will cause the Savings Association Insurance Fund to achieve the designated reserve ratio on the first business day of the 1st month beginning after the date of the enactment of this Act. (b) FACTORS TO BE CONSIDERED.-In carrying out subsection (a), the Board of Directors shall base its determination on— (1) the monthly Savings Association Insurance Fund balance most recently calculated; (2) data on insured deposits reported in the most recent reports of condition filed not later than 70 days before the date of enactment of this Act by insured depository institutions; and (3) any other factors that the Board of Directors deems appropriate. (c) DATE OF DETERMINATION.-For purposes of subsection (a), the amount of the SAIF-assessable deposits of an insured depository institution shall be determined as of March 31, 1995. (d) DATE PAYMENT DUE.-Except as provided in subsection (g), the special assessment imposed under this section shall be (1) due on the first business day of the 1st month beginning after the date of the enactment of this Act; and (2) paid to the Corporation on the later of (A) the first business day of the 1st month beginning after such date of enactment; or (B) such other date as the Corporation shall prescribe, but not later than 60 days after the date of enactment of this Act. (e) ASSESSMENT DEPOSITED IN SAIF.-Notwithstanding any other provision of law, the proceeds of the special assessment imposed under this section shall be deposited in the Savings Association Insurance Fund. (f) EXEMPTIONS FOR CERTAIN INSTITUTIONS.— (1) EXEMPTION FOR WEAK INSTITUTIONS.-The Board of Directors may, by order, in its sole discretion, exempt any insured depository institution that the Board of Directors determines to be weak, from paying the special assessment imposed under this section if the Board of Directors determines that the exemption would reduce risk to the Savings Association Insurance Fund. (2) GUIDELINES REQUIRED.-Not later than 30 days after the date of enactment of this Act, the Board of Directors shall prescribe guidelines setting forth the criteria that the Board of Directors will use in exempting institutions under paragraph (1). Such guidelines shall be published in the Federal Register. (3) EXEMPTION FOR CERTAIN NEWLY CHARTERED AND OTHER DEFINED INSTITUTIONS. (A) IN GENERAL.-In addition to the institutions exempted from paying the special assessment under paragraph (1), the Board of Directors shall exempt any insured depository institution from payment of the special assessment if the institution— (i) was in existence on October 1, 1995, and held no SAIF-assessable deposits before January 1, 1993; (ii) is a Federal savings bank which— (I) was established de novo in April 1994 in order to acquire the deposits of a savings association which was in default or in danger of default; and (II) received minority interim capital assistance from the Resolution Trust Corporation under section 21A(w) of the Federal Home Loan Bank Act in connection with the acquisition of any such savings association; or (iii) is a savings association, the deposits of which are insured by the Savings Association Insurance Fund, which (I) before January 1, 1987, was chartered as a Federal savings bank insured by the Federal Savings and Loan Insurance Corporation for the purpose of acquiring all or substantially all of the assets and assuming all or substantially all of the deposit liabilities of a national bank in a transaction consummated after July 1, 1986; and (II) as of the date of that transaction, had assets of less than $150,000,000. (B) DEFINITION.-For purposes of this paragraph, an institution shall be deemed to have held SAIF-assessable deposits before January 1, 1993, if— (i) it directly held SAIF-assessable deposits before that date; or (ii) it succeeded to, acquired, purchased, or otherwise holds any SAIF-assessable deposits as of the date of enactment of this Act that were SAIF-assessable deposits before January 1, 1993. (4) EXEMPT INSTITUTIONS REQUIRED TO PAY ASSESSMENTS AT FORMER RATES. (A) PAYMENTS TO SAIF AND DIF.-Any insured depository institution that the Board of Directors exempts under this subsection from paying the special assessment imposed under this section shall pay semiannual assessments (i) during calendar years 1996, 1997, and 1998, into the Savings Association Insurance Fund, based on SAIF-assessable deposits of that institution, at assessment rates calculated under the schedule in effect for Savings Association Insurance Fund members on June 30, 1995; and (ii) during calendar year 1999— (I) into the Deposit Insurance Fund, based on SAIF-assessable deposits of that institution as of December 31, 1998, at assessment rates calculated under the schedule in effect for Savings Association Insurance Fund members on June 30, 1995; or (II) in accordance with clause (i), if the Bank Insurance Fund and the Savings Association Insurance Fund are not merged into the Deposit Insurance Fund. (B) OPTIONAL PRO RATA PAYMENT OF SPECIAL ASSESSMENT.-This paragraph shall not apply with respect to any insured depository institution (or successor insured depository institution) that has paid, during any calendar year from 1997 through 1999, upon such terms as the Corporation may announce, an amount equal to the product of(i) 16.7 percent of the special assessment that the institution would have been required to pay under subsection (a), if the Board of Directors had not exempted the institution; and (ii) the number of full semiannual periods remaining between the date of the payment and December 31, 1999. (g) SPECIAL ELECTION FOR CERTAIN INSTITUTIONS FACING HARDSHIP AS A RESULT OF THE SPECIAL ASSESSMENT.— (1) ELECTION AUTHORIZED.—If— (A) an insured depository institution, or any depository institution holding company which, directly or indirectly, controls such institution, is subject to terms or covenants in any debt obligation or preferred stock outstanding on September 13, 1995; and (B) the payment of the special assessment under subsection (a) would pose a significant risk of causing such depository institution or holding company to default or vioÏate any such term or covenant, the depository institution may elect, with the approval of the Corporation, to pay such special assessment in accordance with paragraphs (2) and (3) in lieu of paying such assessment in the manner required under subsection (a). (2) 1ST ASSESSMENT.-An insured depository institution which makes an election under paragraph (1) shall pay an assessment in an amount equal to 50 percent of the amount of the special assessment that would otherwise apply under subsection (a), by the date on which such special assessment is payable under subsection (d). (3) 2D ASSESSMENT.-An insured depository institution which makes an election under paragraph (1) shall pay a 2d assessment, by the date established by the Board of Directors in accordance with paragraph (4), in an amount equal to the product of 51 percent of the rate determined by the Board of Directors under subsection (a) for determining the amount of the special assessment and the SAIF-assessable deposits of the institution on March 31, 1996, or such other date in calendar year 1996 as the Board of Directors determines to be appropriate. (4) DUE DATE OF 2D ASSESSMENT.-The date established by the Board of Directors for the payment of the assessment under paragraph (3) by a depository institution shall be the earliest practicable date which the Board of Directors determines to be appropriate, which is at least 15 days after the date used by the Board of Directors under paragraph (3). (5) SUPPLEMENTAL SPECIAL ASSESSMENT.-An insured depository institution which makes an election under paragraph (1) shall pay a supplemental special assessment, at the same time the payment under paragraph (3) is made, in an amount equal to the product of (A) 50 percent of the rate determined by the Board of Directors under subsection (a) for determining the amount of the special assessment; and (B) 95 percent of the amount by which the SAIF-assessable deposits used by the Board of Directors for determining the amount of the 1st assessment under paragraph (2) exceeds, if any, the SAIF-assessable deposits used by the Board for determining the amount of the 2d assessment under paragraph (3). (h) ADJUSTMENT OF SPECIAL ASSESSMENT FOR CERTAIN BANK INSURANCE FUND MEMBER BANKS.— (1) IN GENERAL.-For purposes of computing the special assessment imposed under this section with respect to a Bank Insurance Fund member bank, the amount of any deposits of any insured depository institution which section 5(d)(3) of the Federal Deposit Insurance Act treats as insured by the Savings Association Insurance Fund shall be reduced by 20 percent (A) if the adjusted attributable deposit amount of the Bank Insurance Fund member bank is less than 50 percent of the total domestic deposits of that member bank as of June 30, 1995; or (B) if, as of June 30, 1995, the Bank Insurance Fund member (i) had an adjusted attributable deposit amount equal to less than 75 percent of the total assessable deposits of that member bank; (ii) had total assessable deposits greater than $5,000,000,000; and (iii) was owned or controlled by a bank holding company that owned or controlled insured depository institutions having an aggregate amount of deposits insured or treated as insured by the Bank Insurance Fund greater than the aggregate amount of deposits insured or treated as insured by the Savings Association Insurance Fund. (2) ADJUSTED ATTRIBUTABLE DEPOSIT AMOUNT.-For purposes of this subsection, the "adjusted attributable deposit amount" shall be determined in accordance with section 5(d)(3)(C) of the Federal Deposit Insurance Act. (j)1 ADJUSTMENT OF SPECIAL ASSESSMENT FOR CERTAIN SAvINGS ASSOCIATIONS.— 1 Subsection (i) made amendments to the Federal Deposit Insurance Act. |