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Each depositor insured to at least $250,000 per insured bank

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8000 - Miscellaneous Statutes and Regulations


Subtitle C--Bank Enterprise Act

SEC. 231. SHORT TITLE.

This subtitle may be cited as the "Bank Enterprise Act of 1991".

[Codified to 12 U.S.C. 1811 note]

[Source:  Section 231 of title II of the Act of December 19, 1991 (Pub. L. No. 102--242; 105 Stat. 2308), effective December 19, 1991]

SEC. 232. REDUCED ASSESSMENT RATE FOR DEPOSITS ATTRIBUTABLE TO LIFELINE ACCOUNTS.

(a)  QUALIFICATION OF LIFELINE ACCOUNTS.--

(1)  IN GENERAL.--The Comptroller of the Currency and the Federal Deposit Insurance Corporation shall establish minimum requirements for accounts providing basic transaction services for consumers at insured depository institutions in order for such accounts to qualify as lifeline accounts for purposes of this section and section 7(b)(2)(E) of the Federal Deposit Insurance Act.

(2)  FACTORS TO BE CONSIDERED.--In determining the minimum requirements under paragraph (1) for lifeline accounts at insured depository institutions, the Corporation shall consider the following factors:

(A)  Whether the account is available to provide basic transaction services for individuals who maintain a balance of less than $1,000 or such other amount which the Comptroller may determine to be appropriate.

(B)  Whether any service charges or fees to which the account is subject, if any, for routine transactions do not exceed a minimal amount.

(C)  Whether any minimum balance or minimum opening requirement to which the account is subject, if any, is not more than a minimal amount.

(D)  Whether checks, negotiable orders of withdrawal, or similar instruments for making payments or other transfers to third parties may be drawn on the account.

(E)  Whether the depositor is permitted to make more than a minimal number of withdrawals from the account each month by any means described in subparagraph (D) or any other means.

(F)  Whether a monthly statement itemizing all transactions for the monthly reporting period is made available to the depositor with respect to such account or a passbook is provided in which all transactions with respect to such account are recorded.

(G)  Whether depositors are permitted access to tellers at the institution for conducting transactions with respect to such account.

(H)  Whether other account relationships with the institution are required in order to open any such account.

(I)  Whether individuals are required to meet any prerequisite which discriminates against low-income individuals in order to open such account.

(J)  Such other factors as the Corporation may determine to be appropriate.

(3)  DEFINITIONS.--For purposes of this subsection--

(A)  COMPTROLLER.--The term "Comptroller" means the Comptroller of the Currency.

(B)  CORPORATION.--The term Corporation means the Federal Deposit Insurance Corporation.

(C)  INSURED DEPOSITORY INSTITUTION.--The term "insured depository institution" has the meaning given to such term in section 3(c)(2) of the Federal Deposit Insurance Act.

(D)  LIFELINE ACCOUNT.--The term "lifeline account" means any transaction account (as defined in section 19(b)(1)(C) of the Federal Reserve Act) which meets the minimum requirements established by the Corporation under this subsection.

(b)  OMITTED.

(c)  AVAILABILITY OF FUNDS.--The provisions of this section shall not take effect until appropriations are specifically provided in advance. There are hereby authorized to be appropriated such sums as may be necessary to carry out the provisions of this section.

[Codified to 12 U.S.C. 1834(a)]

[Source:  Section 232(a) of title II of the Act of December 19, 1991 (Pub. L. No. 102--242; 105 Stat. 2309), effective December 19, 1991; as amended at section 303(b)(4) of title III of the Act of October 28, 1992 (Pub. L. No. 102-558; 106 Stat. 4225), effective March 1, 1992; section 3(a)(9) of the Act of February 15, 2006 (Pub. L. No. 109--173; 119 Stat. 3606), effective date shall take effect on the date that the final regulation required under section 2109(a)(5) of the Federal Deposit Insurance Reform Act of 2005 take effect; section 353 of title III of the Act of July 21, 2010 (Pub. L. No. 111--203; 124 Stat. 1546), effective July 21, 2010]

SEC. 233. ASSESSMENT CREDITS FOR QUALIFYING ACTIVITIES RELATING TO DISTRESSED COMMUNITIES.

(a)  DETERMINATION OF CREDITS FOR INCREASES IN COMMUNITY ENTERPRISE ACTIVITIES.--

(1)  IN GENERAL.--The Community Enterprise Assessment Credit Board established under subsection (d) shall issue guidelines for insured depository institutions eligible under this subsection for any community enterprise assessment credit with respect to any semiannual period. Such guidelines shall--

(A)  designate the eligibility requirements for any institution meeting applicable capital standards to receive an assessment credit under section 7(d)(4) of the Federal Deposit Insurance Act; and

(B)  determine the community enterprise assessment credit available to any eligible institution under paragraph (3).

(2)  QUALIFYING ACTIVITIES.--An insured depository institution may apply for any community enterprise assessment credit for any semiannual period for--

(A)  the amount, during such period, of new originations of qualified loans and other assistance provided for low- and moderate-income persons in distressed communities, or enterprises integrally involved with such neighborhoods, which the Board determines are qualified to be taken into account for purposes of this subsection;

(B)  the amount, during such period, of deposits accepted from persons domiciled in the distressed community, at any office of the institution (including any branch) located in any qualified distressed community, and new originations of any loans and other financial assistance made within that community, except that in no case shall the credit for deposits at any institution or branch exceed the credit for loans and other financial assistance by the bank or branch in the distressed community; and

(C)  any increase during the period in the amount of new equity investments in community development financial institutions.

(3)  AMOUNT OF ASSESSMENT CREDIT.--The amount of any community enterprise assessment credit available under section 7(d)(4) of the Federal Deposit Insurance Act for any insured depository institution, or a qualified portion thereof, shall be the amount which is equal to 5 percent, in the case of an institution which does not meet the community development organization requirements under section 234, and 15 percent, in the case of an institution, or a qualified portion thereof, which meets such requirements (or any percentage designated under paragraph (5)) of--

(A)  for the first full semiannual period in which community enterprise assessment credits are available, the sum of--

(i)  the amounts of assets described in paragraph (2)(A); and

(ii)  the amounts of deposits, loans, and other financial assistance described in paragraph (2)(B); and

(B)  for any subsequent semiannual period, the sum of--

(i)  any increase during such period in the amount of assets described in paragraph (2)(A) that has been deemed eligible for credit by the Board; and

(ii)  any increase during such period in the amounts of deposits, loans, and other financial assistance described in paragraph (2)(B) that has been deemed eligible for credit by the Board.

(4)  DETERMINATION OF QUALIFIED LOANS AND OTHER FINANCIAL ASSISTANCE.-- Except as provided in paragraph (6), the types of loans and other assistance which the Board may determine to be qualified to be taken into account under paragraph (2)(A) for purposes of the community enterprise assessment credit, may include the following:

(A)  Loans insured or guaranteed by the Secretary of Housing and Urban Development, the Secretary of the Department of Veterans Affairs, the Administrator of the Small Business Administration, and the Secretary of Agriculture.

(B)  Loans or financing provided in connection with activities assisted by the Administrator of the Small Business Administration or any small business investment company and investments in small business investment companies.

(C)  Loans or financing provided in connection with any neighborhood housing service program assisted under the Neighborhood Reinvestment Corporation Act.

(D)  Loans or financing provided in connection with any activities assisted under the community development block grant program under title I of the Housing and Community Development Act of 1974.

(E)  Loans or financing provided in connection with activities assisted under title II of the Cranston-Gonzalez National Affordable Housing Act.

(F)  Loans or financing provided in connection with a homeownership program assisted under title III of the United States Housing Act of 1937 or subtitle B or C of title IV of the Cranston-Gonzalez National Affordable Housing Act.

(G)  Financial assistance provided through community development corporations.

(H)  Federal and State programs providing interest rate assistance for homeowners.

(I)  Extensions of credit to nonprofit developers or purchasers of low-income housing and small business developments.

(J)  In the case of members of any Federal home loan bank, participation in the community investment fund program established by the Federal home loan banks.

(K)  Conventional mortgages targeted to low- or moderate-income persons.

(L)  Loans made for the purpose of developing or supporting--

(i)  commercial facilities that enhance revitalization, community stability, or job creation and retention efforts;

(ii)  business creation and expansion efforts that--

(I)  create or retain jobs for low-income people;

(II)  enhance the availability of products and services to low-income people; or

(III)  create or retain businesses owned by low-income people or residents of a targeted area;

(iii)  community facilities that provide benefits to low-income people or enhance community stability;

(iv)  home ownership opportunities that are affordable to low-income households;

(v)  rental housing that is principally affordable to low-income households; and

(vi)  other activities deemed appropriate by the Board.

(M)  The provision of technical assistance to residents of qualified distressed communities in managing their personal finances through consumer education programs either sponsored or offered by insured depository institutions.

(N)  The provision of technical assistance and consulting services to newly formed small businesses located in qualified distressed communities.

(O)  The provision of technical assistance to, or servicing the loans of low- or moderate-income homeowners and homeowners located in qualified distressed communities.

(5)  ADJUSTMENT OF PERCENTAGE.--The Board may increase or decrease the percentage referred to in paragraph (3)(A) for determining the amount of any community enterprise assessment credit pursuant to such paragraph, except that the percentage established for insured depository institutions which meet the community development organization requirements under section 234 shall not be less than 3 times the amount of the percentage applicable for insured depository institutions which do not meet such requirements.

(6)  CERTAIN INVESTMENTS NOT ELIGIBLE TO BE TAKEN INTO ACCOUNT.--Loans, financial assistance, and equity investments made by any insured depository institution that are not the result of originations by the institution shall not be taken into account for purposes of determining the amount of any credit pursuant to this subsection.

(7)  QUANTITATIVE ANALYSIS OF TECHNICAL ASSISTANCE.--The Board may establish guidelines for analyzing the technical assistance described in subparagraphs (M), (N), and (O) of paragraph (4) for the purpose of quantifying the results of such assistance in determining the amount of any community assessment credit under this subsection.

[Codified to 12 U.S.C. 1834a(a)]

[Source:  Section 233(a) of title II of the Act of December 19, 1991 (Pub. L. No. 102--242; 105 Stat. 2311), effective December 19, 1991; as amended by section 931(c) and (d) of title IX of the Act of October 28, 1992 (Pub. L. No. 102--550; 106 Stat. 3888), effective October 28, 1992; section 1604(b)(2) of title XVI of the Act of October 28, 1992 (Pub. L. No. 102--550; 106 Stat. 4083), effective December 19, 1991; section 303(b)(2) and (9) of title III of the Act of October 28, 1992 (Pub. L. No. 102--558; 106 Stat. 4224 and 4225), effective March 1, 1992; sections 114(c)(1)--(5) of title I of the Act of September 23, 1994 (Pub. L. No. 103--325; 108 Stat. 2181 and 2182), effective September 23, 1994]

(b)  QUALIFIED DISTRESSED COMMUNITY DEFINED.--

(1)  IN GENERAL.--For purposes of this section, the term "qualified distressed community" means any neighborhood or community which--

(A)  meets the minimum area requirements under paragraph (3) and the eligibility requirements of paragraph (4); and

(B)  is designated as a distressed community by any insured depository institution in accordance with paragraph (2) and such designation is not disapproved under such paragraph.

(2)  DESIGNATION REQUIREMENTS.--

(A)  NOTICE OF DESIGNATION.--

(i)  NOTICE TO AGENCY.--Upon designating an area as a qualified distressed community, an insured depository institution shall notify the appropriate Federal banking agency of the designation.

(ii)  PUBLIC NOTICE.--Upon the effective date of any designation of an area as a qualified distressed community, an insured depository institution shall publish a notice of such designation in major newspapers and other community publications which serve such area.

(B)  AGENCY DUTIES RELATING TO DESIGNATIONS.--

(i)  PROVIDING INFORMATION.--At the request of any insured depository institution, the appropriate Federal banking agency shall provide to the institution appropriate information to assist the institution to identify and designate a qualified distressed community.

(ii)  PERIOD FOR DISAPPROVAL.--Any notice received by the appropriate Federal banking agency from any insured depository institution under subparagraph (A)(i) shall take effect at the end of the 90-day period beginning on the date such notice is received unless written notice of the approval or disapproval of the application by the agency is provided to the institution before the end of such period.

(3)  MINIMUM AREA REQUIREMENTS.--For purposes of this subsection, an area meets the requirements of this paragraph if--

(A)  the area is within the jurisdiction of 1 unit of general local government;

(B)  the boundary of the area is contiguous; and

(C)  the area--

(i)  has a population, as determined by the most recent census data available, of not less than--

(I)  4,000, if any portion of such area is located within a metropolitan statistical area (as designated by the Director of the Office of Management and Budget) with a population of 50,000 or more; or

(II)  1,000, in any other case; or

(ii)  is entirely within an Indian reservation (as determined by the Secretary of the Interior).

(4)  ELIGIBILITY REQUIREMENTS.--For purposes of this subsection, an area meets the requirements of this paragraph if the following criteria are met:

(A)  At least 30 percent of the residents residing in the area have incomes which are less than the national poverty level.

(B)  The unemployment rate for the area is 11/2 times greater than the national average (as determined by the Bureau of Labor Statistics' most recent figures).

(C)  Such additional eligibility requirements as the Board may, in its discretion, deem necessary to carry out the provisions of this subtitle.

[Codified to 12 U.S.C. 1834a(b)]

[Source:  Section 233(b) of title II of the Act of December 19, 1991 (Pub. L. No. 102--242; 105 Stat. 2312), effective December 19, 1991; as amended by section 931(e) of title IX of the Act of October 28, 1992 (Pub. L. No. 102--550; 106 Stat. 3889), effective October 28, 1992]


(c)  OMITTED.

(d)  COMMUNITY ENTERPRISE ASSESSMENT CREDIT BOARD.--

(1)  ESTABLISHMENT.--There is hereby established the "Community Enterprise Assessment Credit Board".

(2)  NUMBER AND APPOINTMENT.--The Board shall be composed of 5 members as follows:

(A)  The Secretary of the Treasury or a designee of the Secretary.

(B)  The Secretary of Housing and Urban Development or a designee of the Secretary.

(C)  The Chairperson of the Federal Deposit Insurance Corporation or a designee of the Chairperson.

(D)  2 individuals appointed by the President from among individuals who represent community organizations.

(3)  TERMS.

(A)  APPOINTED MEMBERS.--Each appointed member shall be appointed for a term of 5 years.

(B)  INTERIM APPOINTMENT.--Any member appointed to fill a vacancy occurring before the expiration of the term to which such member's predecessor was appointed shall be appointed only for the remainder of such term.

(C)  CONTINUATION OF SERVICE.--Each appointed member may continue to serve after the expiration of the period to which such member was appointed until a successor has been appointed.

(4)  CHAIRPERSON.--The Secretary of the Treasury shall serve as the Chairperson of the Board.

(5)  NO PAY.--No members of the Commission may receive any pay for service on the Board.

(6)  TRAVEL EXPENSES.--Each member shall receive travel expenses, including per diem in lieu of subsistence, in accordance with sections 5702 and 5703 of title 5, United States Code.

(7)  MEETINGS.--The Board shall meet at the call of the Chairperson or a majority of the Board's members.

[Codified to 12 U.S.C. 1834a(d)]

[Source:  Section 233(d) of title II of the Act of December 19, 1991 (Pub. L. No. 102--242; 105 Stat. 2314), effective December 19, 1991]

(e)  DUTIES OF THE BOARD.--

(1)  PROCEDURE FOR DETERMINING COMMUNITY ENTERPRISE ASSESSMENT CREDITS.--The Board shall establish procedures for accepting and considering applications by insured depository institutions under subsection (a)(1) for community enterprise assessment credits and making determinations with respect to such applications.

(2)  NOTICE TO FDIC.--The Board shall notify the applicant and the Federal Deposit Insurance Corporation of any determination of the Board with respect to any application referred to in paragraph (1) in sufficient time for the Corporation to include the amount of such credit in the computation of the semiannual assessment to which such credit is applicable.

[Codified to 12 U.S.C. 1834a(e)]

[Source:  Section 233(e) of title II of the Act of December 19, 1991 (Pub. L. No. 102--242; 105 Stat. 2315), effective December 19, 1991]

(f)  AVAILABILITY OF FUNDS.--The provisions of this section shall not take effect until appropriations are specifically provided in advance. There are hereby authorized to be appropriated such sums as may be necessary to carry out the provisions of this section.

[Codified to 12 U.S.C. 1834a(f)]


[Source:  Section 233(f) of title II of the Act of December 19, 1991 (Pub. L. No. 102--242; 105 Stat. 2315), effective December 19, 1991]

(g)  PROHIBITION ON DOUBLE FUNDING FOR SAME ACTIVITIES.--No community development financial institution may receive a community enterprise assessment credit if such institution, either directly or through a community partnership--

(1)  has received assistance within the preceding 12-month period, or has an application for assistance pending, under section 105 of the Community Development Banking and Financial Institutions Act of 1994; or

(2)  has ever received assistance, under section 108 of the Community Development Banking and Financial Institutions Act of 1994, for the same activity during the same semi-annual period for which the institution seeks a community enterprise assessment credit under this section.

[Codified to 12 U.S.C. 1834a(g)]

[Source:  Section 114(c)(6)(B) of title I of the Act of September 23, 1994 (Pub. L. No. 103--325; 108 Stat. 2182), effective September 23, 1994]

(h)  PRIORITY OF AWARDS.--

(1)  QUALIFYING LOANS AND SERVICES.--

(A)  IN GENERAL.--If the amount of funds appropriated for purposes of carrying out this section for any fiscal year are insufficient to award the amount of assessment credits for which insured depository institutions have applied and are eligible under this section, the Board shall, in awarding community enterprise assessment credits for qualifying activities under subparagraphs (A) and (B) of subsection (a)(2) for any semiannual period for which such appropriation is available, determine which institutions shall receive an award.

(B)  PRIORITY FOR SUPPORT OF EFFORTS OF CDFI.--The Board shall give priority to institutions that have supported the efforts of community development financial institutions in the qualified distressed community.

(C)  OTHER FACTORS.--The Board may also consider the following factors:

(i)  DEGREE OF DIFFICULTY.--The degree of difficulty in carrying out the activities that form the basis for the institution's application.

(ii)  COMMUNITY IMPACT.--The extent to which the activities that form the basis for the institution's application have benefited the qualified distressed community.

(iii)  INNOVATION.--The degree to which the activities that form the basis for the institution's application have incorporated innovative methods for meeting community needs.

(iv)  LEVERAGE.--The leverage ratio between the dollar amount of the activities that form the basis for the institution's application and the amount of the assessment credit calculated in accordance with this section for such activities.

(v)  SIZE.--The amount of total assets of the institution.

(vi)  NEW ENTRY.--Whether the institution had provided financial services in the designated distressed community before such semiannual period.

(vii)  NEED FOR SUBSIDY.--The degree to which the qualified activity which forms the basis for the application needs enhancement through an assessment credit.

(viii)  EXTENT OF DISTRESS IN COMMUNITY.--The degree of poverty and unemployment in the designated distressed community, the proportion of the total population of the community which are low-income families and unrelated individuals, and the extent of other adverse economic conditions in such community.

(2)  QUALIFYING INVESTMENTS.--If the amount of funds appropriated for purposes of carrying out this section for any fiscal year are insufficient to award the amount of assessment credits for which insured depository institutions have applied and are eligible under this section, the Board shall, in awarding community enterprise assessment credits for qualifying activities under subsection (a)(2)(C) for any semiannual period for which such appropriation is available, determine which institutions shall receive an award based on the leverage ratio between the dollar amount of the activities that form the basis for the institution's application and the amount of the assessment credit calculated in accordance with this section for such activities.

[Codified to 12 U.S.C. 1834a(h)]

[Source:  Section 114(c)(7) of title I of the Act of September 23, 1994 (Pub. L. No. 103--325; 108 Stat. 2182, 2183 and 2184), effective September 23, 1994]

(i)  DETERMINATION OF AMOUNT OF ASSESSMENT CREDIT.--Notwithstanding any other provision of this section, the determination of the amount of any community enterprise assessment credit under subsection (a)(3) for any insured depository institution for any semiannual period shall be made solely at the discretion of the Board. No insured depository institution shall be awarded community enterprise assessment credits for any semiannual period in excess of an amount determined by the Board.

[Codified to 12 U.S.C. 1834a(i)]

[Source:  Section 114(c)(7) of title I of the Act of September 23, 1994 (Pub. L. No. 103--325; 108 Stat. 2184), effective September 23, 1994]

(j)  DEFINITIONS.--For purposes of this section--

(1)  APPROPRIATE FEDERAL BANKING AGENCY.--The term "appropriate Federal banking agency" has the meaning given to such term in section 3(q) of the Federal Deposit Insurance Act.

(2)  BOARD.--The term "Board" means the Community Enterprise Assessment Credit Board established under the amendment made by subsection (d).

(3)  INSURED DEPOSITORY INSTITUTION.--The term "insured depository institution" has the meaning given to such term in section 3(c)(2) of the Federal Deposit Insurance Act.

(4)  COMMUNITY DEVELOPMENT FINANCIAL INSTITUTION.--The term "community development financial institution" has the same meaning as in section 103(5) of the Community Development Banking and Financial Institutions Act of 1994.

(5)  AFFILIATE.--The term "affiliate" has the same meaning as in section 2 of the Bank Holding Company Act of 1956.

[Codified to 12 U.S.C. 1834a(j)]

[Source:  Section 233(g) of title II of the Act of December 19, 1991 (Pub. L. No. 102--242; 105 Stat. 2315), effective December 19, 1991; as redesignated at section 114(c)(6)(A) of title I of the Act of September 23, 1994 (Pub. L. No. 103--325; 108 Stat. 2182), effective September 23, 1994]

SEC. 234. COMMUNITY DEVELOPMENT ORGANIZATIONS.

(a)  COMMUNITY DEVELOPMENT ORGANIZATIONS DESCRIBED.--For purposes of this subtitle, any insured depository institution, or a qualified portion thereof, shall be treated as meeting the community development organization requirements of this section if--

(1)  the institution--

(A)  is a community development bank, or controls any community development bank, which meets the requirements of subsection (b);

(B)  controls any community development corporation, or maintains any community development unit within the institution, which meets the requirements of subsection (c);

(C)  invests in accounts in any community development credit union designated as a low-income credit union, subject to restrictions established for such credit unions by the National Credit Union Administration Board; or

(D)  invests in a community development organization jointly controlled by two or more institutions;

(2)  except in the case of an institution which is a community development bank, the amount of the capital invested, in the form of debt or equity, by the institution in the community development organization referred to in paragraph (1) (or, in the case of any community development unit, the amount which the institution irrevocably makes available to such unit for the purposes described in paragraph (3)) is not less than the greater of--

(A)  1/2 of 1 percent of the capital, as defined by generally accepted accounting principles, of the institution; or

(B)  the sum of the amounts invested in such community development organization; and

(3)  the community development organization provides loans for residential mortgages, home improvement, and community development and other financial services, other than financing for the purchase of automobiles or extension of credit under any open-end credit plan (as defined in section 103(i) of the Truth in Lending Act), to low- and moderate-income persons, nonprofit organizations, and small businesses located in qualified distressed communities in a manner consistent with the intent of this subtitle.

[Codified to 12 U.S.C. 1834b(a)]

[Source:  Section 234(a) of title II of the Act of December 19, 1991 (Pub. L. No. 102--242; 105 Stat. 2315), effective December 19, 1991]

(b)  COMMUNITY DEVELOPMENT BANK REQUIREMENTS.--A community development bank meets the requirements of this subsection if--

(1)  the community development bank has a 15-member advisory board designated as the "Community Investment Board" and consisting entirely of community leaders who--

(A)  shall be appointed initially by the board of directors of the community development bank and thereafter by the Community Investment Board from nominations received from the community; and

(B)  are appointed for a single term of 2 years, except that, of the initial members appointed to the Community Investment Board, 1/3 shall be appointed for a term of 8 months, 1/3 shall be appointed for a term of 16 months, and 1/3 shall be appointed for a term of 24 months, as designated by the board of directors of the community development bank at the time of the appointment;

(2)  1/3 of the members of the community development bank's board of directors are appointed from among individuals nominated by the Community Investment Board; and

(3)  the bylaws of the community development bank require that the board of directors of the bank meet with the Community Investment Board at least once every 3 months.

[Codified to 12 U.S.C. 1834b(b)]

[Source:  Section 234(b) of title II of the Act of December 19, 1991 (Pub. L. No. 102--242; 105 Stat. 2316), effective December 19, 1991]

(c)  COMMUNITY DEVELOPMENT CORPORATION REQUIREMENTS.--Any community development corporation, or community development unit within any insured depository institution meets the requirements of this subsection if the corporation or unit provides the same or greater, as determined by the appropriate Federal banking agency, community participation in the activities of such corporation or unit as would be provided by a Community Investment Board under subsection (b) if such corporation or unit were a community development bank.

[Codified to 12 U.S.C. 1834b(c)]

[Source:  Section 234(c) of title II of the Act of December 19, 1991 (Pub. L. No. 102--242; 105 Stat. 2317), effective December 19, 1991]

(d)  ADEQUATE DISPERSAL REQUIREMENT.--The appropriate Federal banking agency may approve the establishment of a community development organization under this subtitle only upon finding that the distressed community is not adequately served by an existing community development organization.

[Codified to 12 U.S.C. 1834b(d)]

[Source:  Section 234(d) of title II of the Act of December 19, 1991 (Pub. L. No. 102--242; 105 Stat. 2317), effective December 19, 1991]

(e)  DEFINITIONS.--For purposes of this section--

(1)  COMMUNITY DEVELOPMENT BANK.--The term "community development bank" means any depository institution (as defined in section 3(c)(1) of the Federal Deposit Insurance Act).

(2)  COMMUNITY DEVELOPMENT ORGANIZATION.--The term "community development organization" means any community development bank, community development corporation, community development unit within any insured depository institution, or community development credit union.

(3)  LOW- AND MODERATE-INCOME PERSONS.--The term "low- and moderate-income persons" has the meaning given such term in section 102(a)(20) of the Housing and Community Development Act of 1974.

(4)  NONPROFIT ORGANIZATION; SMALL BUSINESS.--The terms "nonprofit organization" and "small business" have the meanings given to such terms by regulations which the appropriate Federal banking agency shall prescribe for purposes of this section.

(5)  QUALIFIED DISTRESSED COMMUNITY.--The term "qualified distressed community" has the meaning given to such term in section 233(b).

[Codified to 12 U.S.C. 1834b(e)]

[Source:  Section 234(e) of title II of the Act of December 19, 1991 (Pub. L. No. 102--242; 105 Stat. 2317), effective December 19, 1991]


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