Sec. 501. Public bank grant program
233 words·~1 min read·
/bill/118/hr/6775/ih/section-501·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
The Board of Governors shall, jointly with the Secretary, carry out a grant program to make grants to covered banks, or persons seeking to become or in the process of becoming covered banks, to carry out the activities described in subsection (b). When determining eligibility for grants under this section, the Board of Governors and the Secretary shall consider, among other factors, the extent to which a grant applicant has established an appropriate degree of community involvement and oversight, including dedicated community representation on the governing board, and evidence of support or commitment from community representative organizations.
When determining eligibility for grants under this section, the Board of Governors and the Secretary may not consider the budgetary or financial health of the entity that wholly owns or controls a covered bank. An entity that receives a grant under this section may use the grant funds— to carry out activities related to bank formation, chartering, and regulatory compliance; for capitalization; to make payments and develop financial market infrastructure; to carry out activities related to information and communications technology; to support operations; to cover unexpected losses; to run sortition processes; and to carry out such other activities as the Board of Governors and the Secretary determine appropriate.
The Board of Governors and the Secretary may not require that an entity that receives a grant under this section provide matching funds with respect to such grant.