Sec. 3. Asset growth restriction
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Section 29 of the Federal Deposit Insurance Act ( 12 U.S.C. 1831f ) is amended— in the section heading, by striking and inserting Brokered deposits ; and Asset growth restrictions by striking subsections
(a)through (i), and inserting the following: In this section, the terms average , critically undercapitalized , and well capitalized have the meanings given those terms in section 38(b). Not later than 18 months after the date of enactment of the Asset Growth Restriction Act of 2022 , the Corporation, in consultation with the Board of Governors of the Federal Reserve System and the Comptroller of the Currency, shall promulgate regulations imposing a restriction on average total asset growth for insured depository institutions that are less than well capitalized to maintain safety and soundness and minimize risk to the Deposit Insurance Fund. As part of the regulations required under subsection (b), the Corporation shall— establish a framework to impose 1 or more maximum levels of growth in average total assets that an insured depository institution that is less than well capitalized may not exceed, and provide appropriate adjustments for growth resulting from corporate restructuring such as acquisitions or mergers; and establish a waiver process to enable the Corporation to waive the maximum level established in paragraph
(1)upon application by an insured depository institution that is not critically undercapitalized, based on conditions set by the Corporation. As part of the regulations required under subsection (b), the Corporation may— exempt specified classes of assets from the asset growth restriction if the Corporation, in the discretion of the Corporation, determines that growth in those assets does not present risks to the safety and soundness of an insured depository institution; and impose additional restrictions on insured depository institutions to prevent circumvention or evasion of this section by an insured depository institution resulting from actions taken by the insured depository institution by, or through, affiliates of the insured depository institution. The Corporation may, by order— establish a less restrictive level of growth restriction for a particular insured depository institution that is less than well capitalized, or a group of insured depository institutions that are less than well capitalized, if the Corporation finds that such a level will not pose an undue risk to the Deposit Insurance Fund; and establish a more restrictive level of growth restriction for a particular insured depository institution that is less than well capitalized, or a group of insured depository institutions that are less than well capitalized, if the Corporation finds that such a level is necessary to protect the Deposit Insurance Fund. The Corporation shall revise the regulations of the Corporation, as in existence on the date of enactment of the Asset Growth Restriction Act of 2022 , to ensure that those regulations conform to the requirements of this section. . An insured depository institution that is in compliance with the regulations or orders issued pursuant to section 29 of the Federal Deposit Insurance Act ( 12 U.S.C. 1831f ), as amended by subsection
(a)of this section, shall be deemed to be in compliance with the asset growth standard established pursuant to section 39 of that Act ( 12 U.S.C. 1831p–1 ). Section 274(5) of the Truth in Savings Act ( 12 U.S.C. 4313(5) ) is amended by inserting , as that provision was in effect on the day before the date of enactment of the after Asset Growth Restriction Act of 2022 Act .
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- 12 USC 1831p–1
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