Pandemic Darlings The pandemic economy, in original documents
Home Source documents Bill — H.R. 6868, Community Capital Investment Program (House, May 14, 2020)

Bill — H.R. 6868, Community Capital Investment Program (House, May 14, 2020)

Summary

H. R. 6868 was introduced in the House of Representatives on May 14, 2020 by Mr. Green of Texas and referred to the Committee on Financial Services. The bill is titled as one to amend the CARES Act to establish a Community Capital Investment Program. Section 1 adds subsection (i) to section 4003 of the CARES Act, directing the Secretary of the Treasury to establish the program to support community investment institutions that provide loans and forbearance for small businesses, minority-owned businesses, and consumers. The program provides direct capital investments and interest-free loans. At least $3,000,000,000 of the investments and loans would go to minority depository institutions.

Summary drafted by a model from the document's text below and checked by script against that text before publication. It is a navigation aid, not a reading of what the document proves. Where AI is used

Issuer
Congressional materials
Document type
Bills Bills 116Hr6868Ih Bills 116Hr6868Ih
Case
Bills Bills 116Hr6868Ih Bills 116Hr6868Ih

Cite this document

“Bill — H.R. 6868, Community Capital Investment Program (House, May 14, 2020).” Original at www.govinfo.gov. Archived at Pandemic Darlings, https://pandemicdarlings.com/source-documents/bills-bills-116hr6868ih-bills-116hr6868ih/, SHA-256 83e1a0577895c02d12557fbb02af38a57198a57e043c2539040396dc3ba8fc5a.

Full text

                                                                                                                                                                          I




                                                                       116TH CONGRESS
                                                                          2D SESSION
                                                                                                             H. R. 6868
                                                                             To amend the CARES Act to establish a Community Capital Investment
                                                                                             Program, and for other purposes.




                                                                                     IN THE HOUSE OF REPRESENTATIVES
                                                                                                     MAY 14, 2020
                                                                         Mr. GREEN of Texas introduced the following bill; which was referred to the
                                                                                            Committee on Financial Services




                                                                                                                 A BILL
                                                                        To amend the CARES Act to establish a Community Capital
                                                                              Investment Program, and for other purposes.

                                                                         1              Be it enacted by the Senate and House of Representa-
                                                                         2 tives of the United States of America in Congress assembled,
                                                                         3     SECTION 1. COMMUNITY CAPITAL INVESTMENT PROGRAM.

                                                                         4              Section 4003 of the CARES Act (15 U.S.C. 9042)
                                                                         5 is amended by adding at the end the following:
                                                                         6              ‘‘(i) COMMUNITY CAPITAL INVESTMENT PROGRAM.—
                                                                         7                        ‘‘(1) IN             GENERAL.—The                     Secretary of the
                                                                         8              Treasury shall establish a Community Capital In-




pamtmann on DSKBC07HB2PROD with BILLS
                                                                         9              vestment Program (the ‘Program’) to support the ef-
                                                                       10               forts of community investment institutions to pro-



                                        VerDate Sep 11 2014   15:48 Jun 03, 2020   Jkt 099200   PO 00000   Frm 00001   Fmt 6652   Sfmt 6201   E:\BILLS\H6868.IH   H6868
                                                                                                                                  2
                                                                         1              vide loans and forbearance for small businesses, mi-
                                                                         2              nority-owned businesses, and consumers, especially
                                                                         3              in low-income and underserved communities, by—
                                                                         4                                 ‘‘(A) providing direct capital investments
                                                                         5                        in community investment institutions; and
                                                                         6                                 ‘‘(B) providing loans to community invest-
                                                                         7                        ment institutions—
                                                                         8                                         ‘‘(i) that are interest-free loans;
                                                                         9                                         ‘‘(ii) that have a loan term of 5 years;
                                                                       10                                  and
                                                                       11                                          ‘‘(iii) with respect to which no loan
                                                                       12                                  payment is required until at least the end
                                                                       13                                  of the 6-month period beginning on the
                                                                       14                                  date the loan is made, or such longer term
                                                                       15                                  as the Secretary may determine appro-
                                                                       16                                  priate.
                                                                       17                         ‘‘(2) APPLICATION DATE.—The Secretary shall
                                                                       18               begin accepting applications for capital investments
                                                                       19               and loans under the Program not later than the end
                                                                       20               of the 10-day period beginning on the date of enact-
                                                                       21               ment of this subsection.
                                                                       22                         ‘‘(3) DIVIDEND RATE.—Any preferred stock or
                                                                       23               other financial instrument issued to the Secretary in




pamtmann on DSKBC07HB2PROD with BILLS
                                                                       24               exchange for a capital investment under the Pro-




                                                                                   •HR 6868 IH

                                        VerDate Sep 11 2014   15:48 Jun 03, 2020   Jkt 099200   PO 00000   Frm 00002   Fmt 6652   Sfmt 6201   E:\BILLS\H6868.IH   H6868
                                                                                                                                  3
                                                                         1              gram shall carry a dividend or interest rate that
                                                                         2              does not exceed 1 percent.
                                                                         3                        ‘‘(4)       RESTRICTIONS.—The                            restrictions   de-
                                                                         4              scribed under subsection (c)(3)(A)(ii) shall apply to
                                                                         5              capital investments and loans made under this sub-
                                                                         6              section.
                                                                         7                        ‘‘(5) AVAILABLE AMOUNTS.—In carrying out
                                                                         8              the Program, the Secretary shall use amounts made
                                                                         9              available under subsection (b), notwithstanding the
                                                                       10               limitations on the use of such funds under para-
                                                                       11               graphs (1) through (4) of such subsection (b).
                                                                       12                         ‘‘(6) MDI SET-ASIDE.—At least $3,000,000,000
                                                                       13               of the direct capital investments and loans made by
                                                                       14               the Secretary under the Program shall be made to
                                                                       15               minority depository institutions.
                                                                       16                         ‘‘(7) TREATMENT OF CAPITAL INVESTMENTS.—
                                                                       17               In making any capital investment under the Pro-
                                                                       18               gram, the Secretary shall ensure that the terms of
                                                                       19               the investment are designed to ensure the invest-
                                                                       20               ment receives Tier 1 capital treatment.
                                                                       21                         ‘‘(8) DEFINITIONS.—In this subsection:
                                                                       22                                  ‘‘(A) COMMUNITY INVESTMENT INSTITU-
                                                                       23                         TION.—The term ‘community investment insti-




pamtmann on DSKBC07HB2PROD with BILLS
                                                                       24                         tution’ means—




                                                                                   •HR 6868 IH

                                        VerDate Sep 11 2014   15:48 Jun 03, 2020   Jkt 099200   PO 00000   Frm 00003   Fmt 6652   Sfmt 6201   E:\BILLS\H6868.IH   H6868
                                                                                                                                  4
                                                                         1                                         ‘‘(i) a community development finan-
                                                                         2                                 cial institution, as defined under section
                                                                         3                                 103 of the Riegle Community Development
                                                                         4                                 and Regulatory Improvement Act of 1994
                                                                         5                                 (12 U.S.C. 4702);
                                                                         6                                         ‘‘(ii) an impact credit union;
                                                                         7                                         ‘‘(iii) an impact bank; and
                                                                         8                                         ‘‘(iv) a minority depository institution,
                                                                         9                                 as defined under section 308 of the Finan-
                                                                       10                                  cial Institutions Reform, Recovery, and
                                                                       11                                  Enforcement Act of 1989 (12 U.S.C. 1463
                                                                       12                                  note).
                                                                       13                                  ‘‘(B) CREDIT                UNION.—The                  term ‘credit
                                                                       14                         union’ has the meaning given the terms State
                                                                       15                         credit union and Federal credit union under
                                                                       16                         section 101 of the Federal Credit Union Act
                                                                       17                         (12 U.S.C. 1752).
                                                                       18                                  ‘‘(C) IMPACT CREDIT UNION.—The term
                                                                       19                         ‘impact credit union’ means a credit union
                                                                       20                         that—
                                                                       21                                          ‘‘(i) has total consolidated assets of
                                                                       22                                  less than $10,000,000,000; and
                                                                       23                                          ‘‘(ii) extends at least 50 percent of the




pamtmann on DSKBC07HB2PROD with BILLS
                                                                       24                                  loans extended by the credit union to bor-




                                                                                   •HR 6868 IH

                                        VerDate Sep 11 2014   15:48 Jun 03, 2020   Jkt 099200   PO 00000   Frm 00004   Fmt 6652   Sfmt 6201   E:\BILLS\H6868.IH   H6868
                                                                                                                                  5
                                                                         1                                 rowers who are low-income borrowers, as
                                                                         2                                 determined by the Secretary.
                                                                         3                                 ‘‘(D) IMPACT                BANK.—The                  term ‘impact
                                                                         4                        bank’ means a depository institution (as defined
                                                                         5                        under section 3 of the Federal Deposit Insur-
                                                                         6                        ance Act) that—
                                                                         7                                         ‘‘(i) has total consolidated assets of
                                                                         8                                 less than $10,000,000,000; and
                                                                         9                                         ‘‘(ii) extends at least 50 percent of the
                                                                       10                                  loans extended by the institution to bor-
                                                                       11                                  rowers who are low-income borrowers, as
                                                                       12                                  determined by the Secretary.’’.
                                                                                                                                  Æ




pamtmann on DSKBC07HB2PROD with BILLS
                                                                                   •HR 6868 IH

                                        VerDate Sep 11 2014   15:48 Jun 03, 2020   Jkt 099200   PO 00000   Frm 00005   Fmt 6652   Sfmt 6301   E:\BILLS\H6868.IH   H6868


File and source

File
BILLS_bills-116hr6868ih_bills-116hr6868ih.pdf
Size
235,329 bytes
SHA-256
83e1a0577895c02d12557fbb02af38a57198a57e043c2539040396dc3ba8fc5a
Our copy
BILLS_bills-116hr6868ih_bills-116hr6868ih.pdf
Original
www.govinfo.gov
Back to top