Small Business and Community Investments Expansion Act of 2020

I 116TH CONGRESS 2D SESSION H. R. 5612 To amend the Federal Home Loan Bank Act to allow for advances to certain community development financial institutions and credit unions, and for other purposes. IN THE HOUSE OF REPRESENTATIVES JANUARY 15, 2020 Ms. GABBARD introduced the following bill; which was referred to the Committee on Financial Services A BILL To amend the Federal Home Loan Bank Act to allow for advances to certain community development financial in- stitutions and credit unions, and for other purposes. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 SECTION 1. SHORT TITLE. 3 This Act may be cited as the ‘‘Small Business and 4 Community Investments Expansion Act of 2020’’. 5 VerDate Sep 11 2014 17:56 Jan 16, 2020 Jkt 099200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\H5612.IH H5612 pamtmann on DSKBC07HB2PROD with BILLS 2 •HR 5612 IH SEC. 2. EXPANDING THE PURPOSES OF ADVANCES AND 1 COLLATERAL AVAILABLE TO CERTAIN COM- 2 MUNITY DEVELOPMENT FINANCIAL INSTITU- 3 TIONS AND CREDIT UNIONS. 4 (a) IN GENERAL.—Section 10(a) of the Federal 5 Home Loan Bank Act (12 U.S.C. 1430(a)) is amended— 6 (1) in paragraph (2)(B), by inserting ‘‘, eligible 7 community development financial institution, or eli- 8 gible insured credit union’’ after ‘‘community finan- 9 cial institution’’; and 10 (2) in paragraph (3)(E), by inserting ‘‘, eligible 11 community development financial institution, or eli- 12 gible insured credit union’’ after ‘‘community finan- 13 cial institution’’. 14 (b) DEFINITIONS.—Section 2 of the Federal Home 15 Loan Bank Act (12 U.S.C. 1422) is amended by adding 16 at the end the following: 17 ‘‘(13) ELIGIBLE COMMUNITY DEVELOPMENT FI- 18 NANCIAL INSTITUTION.—The term ‘eligible commu- 19 nity development financial institution’ means an en- 20 tity that— 21 ‘‘(A) has been certified as a community de- 22 velopment financial institution (as such term is 23 defined in section 103 of the Riegle Community 24 Development and Regulatory Improvement Act 25 of 1994) by the Secretary of the Treasury; and 26 VerDate Sep 11 2014 17:56 Jan 16, 2020 Jkt 099200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H5612.IH H5612 pamtmann on DSKBC07HB2PROD with BILLS 3 •HR 5612 IH ‘‘(B) satisfies the average total assets 1 threshold requirement for a community finan- 2 cial institution set forth in paragraph (10). 3 ‘‘(14) ELIGIBLE INSURED CREDIT UNION.—The 4 term ‘eligible insured credit union’ means an insured 5 credit union (as defined in section 101 of the Fed- 6 eral Credit Union Act) that satisfies the average 7 total assets threshold requirement for a community 8 financial institution set forth in paragraph (10).’’. 9 Æ VerDate Sep 11 2014 17:56 Jan 16, 2020 Jkt 099200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6301 E:\BILLS\H5612.IH H5612 pamtmann on DSKBC07HB2PROD with BILLS